SAN FRANCISCO Morgan Stanley upped its price target on Netflix Inc. to $ 105 from $ 80 on Wednesday morning. In a note before the opening bell, analyst Scott Devitt kept his overweight, or buy, rating on the stock, citing his belief that the online movie provider is “on course to potentially disrupt the long-standing premium cable ecosystem.” Devitt said the deal the company announced last week with the Walt Disney Co. “is meaningful in that it is Netflix’s second output deal with a major film studio as well as the fact that it is Disney, one of the most [...]
SAN FRANCISCO Seagate Technology shares fell almost 3% Wednesday, to $ 27.86 a share, as J.P. Morgan analyst Mark Moskowitz cut his rating on the hard-disk drive maker to underweight, or sell, from neutral. In a research note, Moskowitz said “macroeconomic and secular factors” are likely to put pressure on Seagate’s revenue and gross margins. Moskowitz said there are signs of fundamentals weakening in the hard-disk drive market next year, and he cut his 2013 forecast for hard-disk sales to decline by 1.5% from and earlier estimate of a gain 2.4% from 2012.
NEW YORK Seagate Technology Inc. fell 3.6% to $ 28 a share in premarket trades on Wednesday after J.P. Morgan cut its rating on the company to underweight from neutral and reduced its price target to $ 20 a share from $ 25. Analyst Mark Moskowitz said macroeconomic and secular factors “stand to pressure the company’s revenue and gross margin profiles.” While shares could move up in the next 30-45 days on speculation of a leveraged buyout, “our call is on the fundamentals,” he said in a note to clients.
Morgan Keegan & Co. has asked a federal court to resolve its dispute with retired basketball player Horace Grant over $ 333,000 in interest that Grant says the brokerage owes him on a $ 1.46 million arbitration award, according to court documents. Morgan Keegan on Monday filed a motion in U.S. District Court for the Central District of California for an acknowledgment that it has satisfied its monetary obligation to Grant in a long-running legal dispute. Morgan Keegan, a unit of Raymond James Financial Inc. , is refusing to pay Grant $ 333,000 in interest that Grant says he is [...]
Morgan Stanley hired former Goldman Sachs trader Edward Glenn Hadden to run its Treasury bond desk last year, even though his former employer had placed the trader on paid leave for about a year following an internal inquiry, said three people familiar with the situation. The inquiry by Goldman involved a matter separate from an ongoing investigation by exchange operator CME Group into a December 2008 trade that involved U.S. Treasury futures. Neither Hadden nor Goldman has been accused of wrongdoing in the 2008 trading incident. But the decision by Morgan Stanley to hire Hadden even though some of his [...]
Morgan Stanley trader Edward Glenn Hadden is under investigation by regulators at CME Group over trades in Treasury futures four years ago while he was employed by Goldman Sachs, according to a regulatory filing. Hadden is a managing director and head of global interest rates products at Morgan Stanley. Prior to joining Morgan Stanley, Hadden was a partner at Goldman Sachs, and head of government bond trading. Regulators at CME Group, which runs commodity and futures exchanges, initiated a probe against Hadden over Treasury futures orders placed on the expiration date in December 2008, according to a “broker check” report [...]
NEW YORK Morgan Stanley is suing a former employee who was convicted of insider trading in order to recover $ 33 million it said it paid U.S. regulators to settle civil claims relating to the crimes, court papers showed. In a complaint filed in Manhattan federal court on October 31, Morgan Stanley sued ex-FrontPoint Partners hedge fund manager Joseph “Chip” Skowron over the funds the bank paid to the U.S. Securities and Exchange Commission. The lawsuit also called for unspecified compensatory and punitive damages. Doctor-turned-stock picker Skowron pleaded guilty in August to trading stock of Human Genome Sciences Inc in [...]
NEW YORK Cisco Systems Inc. fell 2% in premarket trades on Friday after J.P. Morgan analysts cut their rating on the networking technology firm to neutral from overweight, and slashed their price target to $ 17 a share from $ 21 a share. “We…expect 2013 to be a tough year as macro pressures persist,” analyst Rod Hall said in a note to clients. Cisco is facing weak enterprise and government spending as well as economic uncertainty in Europe, analysts noted. “We believe battered telco equipment names like Ciena Corp. and smartphone and tablet-geared Qualcomm Inc. look incrementally better for 2013,” analysts said.
NEW YORK Analysts at Morgan Stanley on Friday downgraded online couponing firm Groupon Inc. to equal weight from overweight. “Groupon missed 3Q revenue and guided to lower fourth-quarter consolidated segment operating income. While we are proponents of the company’s long-term position within the local eCommerce landscape, the path to executing on this vision will take longer than expected. We are downgrading due to slower growth and lower margins,” the analysts said. Groupon shares fell 24% in preopen trading.
Morgan Stanley is trying to halt a securities arbitration case filed by a Facebook investor who blames the firm and other companies for $ 1.9 million in damages stemming from the social media giant’s botched initial public offering. Lawyers for Morgan Stanley, a lead underwriter for the IPO, filed a complaint in federal court in Manhattan on Monday seeking an order to stop the arbitration as it relates to the brokerage, because Morgan Stanley says the investor is not its customer. The complaint, filed in U.S. District Court for the Southern District of New York, alleges the investor ordered the [...]