Could it be four straight days of red for Markets? And the week-long trend of management changes continue - this time it’s Coca-Cola (KO), Qualcomm (QCOM) and Restoration Hardware (RH).
But first, here are this morning's business headlines.
Futures are pointing up this morning, but the Dow (^DJI), S&P (^GSPC) and the Nasdaq (^IXIC) are all poised to end down for the week. This is ahead of the Fed's policy meeting next week. And this comes as the House passed the budget deal on Thursday that would avert another government shutdown. The Senate will vote on it next week.
Big changes at Coca-Cola. They're shaking up senior management and organization in its North America business. The company says it's an attempt to accelerate growth. Among them, late Thursday it was announced that Coco-Cola Americas president Steve Cahillane will leave the company. He was once viewed as a successor to the CEO. In North America, the operations will be split into two units - Coca-Cola North America and Coca-Cola Refreshments. Despite sales growth in emerging markets, Coke has struggled with a decline in soda sales among Americans. The stock is up over 4% year-to-date. In other news of management changes, Qualcomm has named Steve Mollenkopf as its CEO and president.
And Ford says it's planning to hire 5,000 new workers in the U.S. and another 6,000 abroad. This is part of a push to release 23 new car models worldwide in 2014. The company says that is the most in its history. Some of the new models they're revamping are the Mustang and the F-150 pick-up - the company's most profitable vehicle.
In other automaker news, Thursday General Motors (GM) announced it’s selling its 7% stake in the French automaker Peugeot. The two companies have an agreement to manufacture vehicles, which will continue. G.M. bought the stake in March of last year for $402 million as part of an alliance to improve the results of both companies. At yesterday's close, that stake was worth about $362.6 million. The news sent Peugeot shares down close to 10%.
Now here are four stocks to watch throughout the trading day
First up, Restoration Hardware (RH), which fell more than 11% in after-hours trading yesterday. The skid came after it was reported co-CEO Carlos Alberini was leaving the company to become chairman and CEO of Lucky Brand. That news overshadowed a better-than-expected earnings report. The company reported profits of $0.32 a share which beat estimates by $0.04. Sales also jumped 39% to $395.8 million also beating expectations. Restoration Hardware has had a tough week with shares dropping more than 12%.
Next, Intel (INTC) which is down this morning. The drop comes as Bloomberg reported that Google (GOOG) is considering moving away from Intel and could start making its own chips. Intel's dominance in that space has already taken a hit with the market shifting away from personal computers to mobile devices. It would reportedly be a challenge for Google but if it ends up being successful other companies could soon follow. For the year, Intel is up over 15%.
Now, Adobe Systems (ADBE). The stock jumped more than 7% in extended trading yesterday after it reported earnings. The software company reporting earnings of $0.32 a share - in line with estimates, though that was significantly down from last year's $0.61. Revenue fell 9.7% percent to $1.04 billion, though beating estimates of $1 billion. Shares rose with news that the company's Creative Cloud subscribers rose by 402,000 to 1.4 million. Shares of Adobe are up almost 41% year-to-date.
Finally, Hilton (HLT), which had a successful return to the NYSE yesterday, ending up 7.5%. The stock is up over a percent in early trading. The world's largest hotel chain held the biggest IPO ever for a hotel this week and the second biggest IPO of the year, raising $2.35 billion, after pricing the stock at $20 a share.
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