PROACTIVE U.S. NEWS SUMMARY: Halliburton, Caterpillar, Power-One, McDonald's, Hasbro, Microsoft, Apple, Netflix and more
U.S. shares rose on Monday, with the technology-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) adding 1 percent to 3,239.88. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) increased 0.2 percent. The most followed shares included Caterpillar Inc., Halliburton Co., Hasbro Inc., Eldorado Gold Corp., McDonald's Corp. and Microsoft Corp.
In energy shares, Occidental Petroleum Corp. (NYSE:OXY) snapped three days of losses, gaining 1.2 percent to $80.60. Abu Dhabi National Oil Co., a partner to the largest onshore crude producer in the continental U.S., said on Monday it expects to finish a $10 billion gas development project by the end of 2014.
Halliburton Co. (NYSE:HAL) gained 5.5 percent to $39.26 after the world's second-largest oilfield services company posted a first-quarter adjusted profit of 62 cents a share that beat the 57 cents a share average projection estimated by 32 analysts. The Houston, Texas-based company also said that it was in court-facilitated talks to settle private claims against it in the trial to determine blame for the 2010 Macondo incident, which caused $637 million in costs to Halliburton in the first quarter. Halliburton carried out cementing work on BP Plc (NYSE:BP)’s Macondo well in U.S. Gulf of Mexico. An explosion at the site caused the largest offshore oil spill in U.S. history.
In industrial shares, Caterpillar Inc. (NYSE:CAT) strengthened 2.7 percent to $82.63 even though the world’s biggest manufacturer of mining and construction equipment reported a weaker-than-expected first quarter profit and cut its forecast for 2013 on mining demand slowdown. Net income for the quarter that ended March 31 dropped to $880 million, or $1.31 a share, from $1.58 billion, or $2.37 a share in the year-earlier period. The average of 18 analysts was for a profit of $1.40 a share. Sales in the same quarter fell 17 percent to $13.21 billion from a year earlier, trailing analysts' estimates of $13.72 billion. The economic bellwether and Dow component said it expects revenue this year of $57 billion to $61 billion, and a profit of $7 per share, compared with an earlier forecast of $60 billion to $68 billion in revenue, and a profit of $7 to $9 a share.
Power-One Inc. (NASDAQ:PWER) surged 57 percent to $6.33 after ABB Ltd. (NYSE:ABB), the world’s biggest builder of electricity networks, agreed to buy the maker of solar-power inverters for about $6.35 a share, or $1 billion.
In consumer stocks, McDonald's Corp. (NYSE:MCD) extended losses for a fourth day, losing as much as 0.7 percent to $99.23 after CLSA cut the rating on the world's largest restaurant chain to "outperform" from "buy". The stock was also lifted to $107 by Sterne Agee.
Hasbro Inc. (NASDAQ:HAS) extended gains for a third session, rising as much as 3.3 percent to $48.46, the highest intraday price since Dec. 2010 as the toymaker posted adjusted results that beat analysts' estimates. Excluding the impact of a restructuring charge and tax adjustments, Hasbro said it earned 5 cents a share, above the 4 cents a share earnings expected by 12 analysts. Revenue increased more than 2 percent to $663.7 million.
Apple Inc. (NASDAQ:AAPL) gained 2.5 percent to $400.07, ending three days of losses, after the iPhone maker had been upgraded to "buy" from "hold" at BGC Capital. The stock was also raised at Avondale ahead of its quarterly earnings report tomorrow.
Netflix Inc. (NASDAQ:NFLX), the subscription video-streaming service, is scheduled to report its quarterly earnings after the bell on Monday. The Los Gatos, California-based company is expected to post a first-quarter profit of 18 cents a share on revenue of $1.02 billion, compared with a net loss of 8 cents a share in the year-earlier period. Shares added 6.7 percent to $174.37.
In other stocks, Eldorado Gold Corp. (NYSE:EGO), the Canadian producer with mines in China and Greece, gained 5.3 percent to $7.41, paring this year's losses, as the price of the precious metal rose for a fifth day, its longest winning streak this year.
NanoViricides (OTCBB:NNVC) gained for a third day, jumping 8.5 percent to 64 cents. The biopharmaceutical firm anticipated that the oral and injectable versions of its FluCide drug candidate would be effective against the new H7N9 strain of the flu that has caused a slew of deaths in China of late.