Markets

Mid-Day Market Update: Stage Stores Drops On Earnings Miss; Tumi Holdings Shares Jump

Midway through trading Thursday, the Dow traded down 0.45 percent to 16,823.61 while the NASDAQ declined 0.60 percent to 4,675.39. The S&P also fell, dropping 0.45 percent to 1,977.60.

Leading and Lagging Sectors

On Thursday, basic materials shares rose by 0.78 percent. Top gainers in the sector included Joy Global Inc. (NYSE: JOY ), Coeur Mining Inc (NYSE: CDE ), and Seabridge Gold, Inc. ( USA ) (NYSE: SA ).

In trading on Thursday, healthcare shares fell by 1.07 percent. Meanwhile, top losers in the sector included MediciNova, Inc. (NASDAQ: MNOV ), down 20 percent, and Amicus Therapeutics, Inc. (NASDAQ: FOLD ), down 8 percent.

Top Headline

Joy Global Inc. (NYSE: JOY ) reported weaker-than-expected results for its fourth quarter on Thursday.

On an adjusted basis, Joy Global reported a quarterly loss of $0.23 per share, on net sales of $526.3 million. However, analysts were expecting a loss of $0.12 per share, on sales of $528.3 million.

Joy Global reiterated its 2016 earnings forecast of $0.10 to $0.50 per share on revenue of $2.4 billion to $2.6 billion.

Equities Trading UP

Tumi Holdings Inc (NYSE: TUMI ) shares shot up 26 percent to $25.42. Samsonite is near a deal to acquire Tumi Holdings in a deal that could be valued close to $2 billion, the Wall Street Journal reported.

Shares of Joy Global Inc. (NYSE: JOY ) got a boost, shooting up 17 percent to $15.62. Joy Global reported Q4 adjusted loss of $0.23 per share on revenue of $526 million.

Semtech Corporation (NASDAQ: SMTC ) shares were also up, gaining 10 percent to $21.27 after the company reported better-than-expected results for its fourth quarter and issued a strong outlook for the current quarter.

Equities Trading DOWN

Stage Stores Inc (NYSE: SSI ) shares dropped 23 percent to $6.89 after the company reported weaker-than-expected Q4 earnings.

Shares of Ciena Corporation (NYSE: CIEN ) were down 19 percent to $16.72. Ciena reported upbeat quarterly earnings, but the company missed analysts' sales expectations. The company expects Q2 revenue towards the low end of estimates.

Sunedison Inc (NYSE: SUNE ) was down, falling around 14 percent to $1.53 after the company reported that it has suspended quarterly dividend on preferred stock. Macquarie downgraded SunEdison from Outperform to Neutral.

Commodities

In commodity news, oil traded up 1.10 percent to $35.04, while gold traded up 1.23 percent to $1,257.10.

Silver traded up 1.12 percent Thursday to $15.19, while copper rose 0.92 percent to $2.20.

Eurozone

European shares were mostly lower today. The eurozone's STOXX 600 fell 0.38 percent, the Spanish Ibex Index gained 0.27 percent, while Italy's FTSE MIB Index rose 0.69 percent. Meanwhile, the German DAX slipped 0.11 percent, and the French CAC 40 dropped 0.22 percent, while U.K. shares fell 0.25 percent.

Economics

US jobless claims increased 6,000 to 278,000 in the last week of February. However, economists were projecting jobless claims to reach 271,000 in the week.

U.S. nonfarm productivity declined at an annual pace of 2.2 percent in the fourth quarter, versus economists' expectations for a 3.2 percent decline.

The Markit services PMI slipped to 49.70 in February, versus a prior reading of 49.80. However, economists were expecting a reading of 49.80.

US factory orders rose 1.60 percent in January, versus economists' expectations for a 2.00 percent growth.

The ISM non-manufacturing index declined to 53.40 in February, versus a previous reading of 53.50. However, economists were estimating a reading of 53.20.

Supplies of natural gas dropped 48 billion cubic feet for the week ended February 26, the U.S. Energy Information Administration reported. However, analysts were expecting a decline of 37 billion to 41 billion cubic feet.

© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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