Consumer Stocks Ending Near Session Lows; ChinaEdu Up 6% Following $128-Mln Going-Private Offer

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Top Consumer Stocks,

WMT -1.65%

MCD -2.04%

DIS -3.40%

CVS -3.67%

KO -3.03%

Consumer stocks are lower shortly before the closing bell with shares of consumer staples companies in the S&P 500 retreating 2.9%. Shares of consumer discretionary firms in the S&P 500 also are down about 2.6%.

In company news, ChinaEdu Corp ( CEDU ) is up 5.8% to $6.18 a share, slightly off its $6.32 session high that followed the online education company received a going-private offer from its CEO and executive chairman that values the company at $128.8 mln.

CEO Shawn Ding and Executive Chairman Julia Huang are offering $7 per American depositary share, or 20% above CEDU's $5.84 closing price Wednesday night. CEDU said the potential buyers are in talks with one or more banks to finance the proposed transaction.

CEDU also has formed a special board committee to assess the proposal.

Separately, CEDU yesterday reported Q1 per-ADS earnings of $0.186, ex items, were up from non-GAAP EPS of $0.13 last year and beating the analyst consensus by $0.01 per ADS. Quarterly revenue declined 2.1% from year-ago levels to $19.2 million, roughly in-line with analysts.

In other sector news,

(+) GME, Microsoft scraps new restrictions for its new Xbox One game console on selling, sharing or trading games - a key part of GME's business.

(-) FIVE, Launches secondary offering of 8.6 mln shares by selected shareholders, including company executives and board members. The discount retailer currently has about 54 mln shares outstanding.



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This article appears in: Investing , Commodities

Referenced Stocks: CEDU

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