Motley Fool QuickNews

September 1, 2000

Closing Market Numbers

DJIA             11,238.78    +23.68    (+0.21%)
S&P 500           1,520.77    +3.09     (+0.20%)
Nasdaq            4,234.33    +27.98    (+0.67%)
Russell 2000        541.91    +4.02     (+0.75%)
30-Year Bond     108 13/32    -3/32    5.66 Yield

NOW 50            2,087.71    + 7.21    + 0.35%

Inside Today's QuickNews

  1. Roundup: Foolish takes on Excite@Home, Hertz, SpectraSite, FUD, and more.
  2. Today's Market Movers: Top news and active stocks.
  3. Editor's Pick: One great feature you shouldn't miss.
Roundup

FOOL ON THE HILL An Investment Opinion
Don't Dismiss Negative Sentiment
By Bill Mann (TMF Otter)

Don't like what someone is saying about your company? Accuse 'em of spreading fear, uncertainty, and doubt (FUD). It's the easy way to keep from actually having to think about threats to your investment. And you know what? If you can't see threats, they can't hurt you. That's the thought, at least. Perhaps a better way to keep ahead of the game is to retain detached skepticism and a willingness to analyze information at face value, regardless of the source.
FULL STORY

RULE BREAKER PORTFOLIO A QuickNews Extra
Excite@Home's Awkward Growth
By Nico Detourn (TMF Nico)

Excite@Home's subscriber numbers and estimated growth rate can tell us much about the Internet and broadband, technology adoption, and the consumer's need for speed. But, they don't tell us much about Excite@Home's business. For that, we need to look at how the different business segments interact and shift our focus from "subscribers" to "customers," a broader and more-useful term for a complex asset capable of generating multiple values, including subscriber value and viewer value.
FULL STORY

SBC Deal Spotlights Wireless Tower Business
By Chris Rugaber (TMF RFK)

While few investors may be aware of it, the wireless tower management business has excellent potential. Companies like SpectraSite Holdings are expanding their wireless tower networks and renting capacity on them for high-margin revenue. Nevertheless, costs are high for now, as tower management companies spend heavily to buy and build additional facilities.
FULL STORY

Excite@Home Plays With Pogo.com
By Nico Detourn (TMF Nico)

Excite@Home sees interactive online games -- such as those offered by its latest acquisition -- as fundamental to the development and consumer adoption of broadband, and it believes pogo.com's position among narrowband online game fans will facilitate consumer migration to the flagship @Home Internet service and future set-top platforms. Like many analysts, Excite@Home is bullish on the category.
FULL STORY

FOOL PLATE SPECIAL An Investment Opinion
Everybody Hertz, Sometimes
By Rick Aristotle Munarriz (TMF Edible)

With an airline strike and poor weather conditions stranding potential customers, car and equipment rental giant Hertz gave investors some downward guidance for the next few quarters. Optimistic outlook? Well, not exactly.
FULL STORY

BREAKFAST WITH THE FOOL
Emulex May Have Found Its Man
By Mike Trigg

An ex-employee of Internet Wire Inc. was allegedly behind the hoax that sent shares of Emulex (Nasdaq: EMLX) plunging 60% a week ago. Mark S. Jakob, 23 years old, allegedly made $240,000 on trades based on the stock's movement.
FULL STORY

Today's Market Movers

Ups

Worldwide voice and data network operator Global Crossing (Nasdaq: GBLX) rose $5 1/16 to $35 1/8 as the company said last night it expects $5.2 million in revenue from continuing operations in 2000. That's up from last year's $4.84 billion and doesn't count revenue from the lines to be sold to Citizens Communications (NYSE: CZN). The company also boosted its projected figure for earnings before interest, taxes, depreciation, and amortization (EBITDA) to $1.34 billion.

Biopharmaceutical company Versicor (Nasdaq: VERS) moved up $2 1/16 to $13 3/4 after Lehman Brothers analyst Tony Butler started coverage of the company with a "buy" rating and a 12-month share price target of $27. "Our enthusiasm for the company stems from (1) a wholly focused approach targeting the anti-infective market, (2) a promising pipeline with high launch probabilities, and (3) a strong management team," Butler reportedly wrote.

Hearing products developer Symphonix Devices (Nasdaq: SMPX) cleared up $4 11/32 to $9 1/2 after the FDA approved its Vibrant Soundbrige middle ear aid for moderate-to-severe hearing loss. Symphonic would rather we didn't call it a hearing aid: The surgically implanted implement "utilizes direct-drive technology to stimulate the tiny bones in the middle ear, enhancing the natural hearing process," reads a company release.

Shares of Michigan bank Ottawa Financial (Nasdaq: OFCP) moved up $2 29/32 to $23 29/32 after Cincinnati-based Fifth Third Bancorp (Nasdaq: FITB) agreed to buy the company for about $160 million in stock. The deal values Ottawa at just under $25 per share based on last night's close, representing a 19% premium.

Downs

Internet consultancy Viant (Nasdaq: VIAN) dropped $5 11/16 to $8 3/16 today as the company said it expects third-quarter revenues to come in as much as 15% below Q2's $38.5 million figure. The shortfall will lead to negative earnings, compared with a $0.03 per share profit a year ago. Wall Street was looking for $0.08 per share of profit. The sector seems to be in trouble, as analysts are worried that the start-ups paying consultants' bills won't have continued access to cash.

Dialysis services company Renal Care Group (Nasdaq: RCGI) lost $7/8 to $19 3/8 after revealing that several patients undergoing treatment in its Youngstown, Ohio, facility on Wednesday experienced chills, nausea, and fever, leading to 19 hospitalizations and one death. The facility has been closed and the company is investigating.

Deep-dish pizza chain Uno Restaurant (NYSE: UNO) cooled $1 9/16 to $8 1/8 after the company said fiscal Q4 (ending Oct. 1) earnings will come in between $0.22 and $0.27 per share, well off last year's $0.37 mark. A shorter quarter, slowing same-store sales growth, and increased opening costs were the culprit, according to a company release. Uno also expects a fourth-quarter charge of between $8 million and $10 million in connection with underperforming assets.

Regional airline operator Atlantic Coast Airlines Holdings (Nasdaq: ACAI) descended $3 3/8 to $28 3/8 after the company said second-half earnings will miss Wall Street's estimates because of high fuel costs, bad weather, and the strike at UAL Corp.'s (NYSE: UAL) United Airlines. Third-quarter EPS are seen coming in between $0.30 and $0.35, while EPS for Q4 is expected to turn out between $0.45 and $0.55 per share.

Editors' Pick: One Great Feature You Shouldn't Miss

  • The Fool's Roy Lewis explains when it's beneficial to convert funds from a traditional IRA to a Roth.