S&P 500 2,441.20 17.28
Gold$1,224.80 $5.30
Nasdaq 6,253.81 61.92
Crude Oil $60,490.00      $-1570.00
Market Update

Celgene in $7.2 B Deal with Receptos; Bank of America Net Jump


Author: Mukesh Buch
ticker.com
Last Update: 12:43 PM ET July 15 2015

12:30 PM New York Bank of America net soared 132%. BlackRock net barely rose 1%. Celgene agreed to acquire Receptos for $7.2 billion. Delta Air Lines net surged 85%.U.S. Bancorp net fell 0.7%. Yum Brands profit plunged 30%.

Tollbooth Index rose 15.47 to 10,926.02.

Earnings Review

Allegheny Technologies Inc (ATI) declined 9% or $2.56 to $25.60 after the specialty stainless sheet producer forecasted net loss for the second-quarter ending in June in the range of $16 million to $18 million and earnings per share between 15 cents and 17 cents.

Bank of America Corp (BAC) jumped 3% or 52 cents to $17.65 after the financial services provider reported total revenue in the second-quarter ending in June decreased 1.7% to $22.12 billion from a year ago period.

Net income in the quarter soared 132.3% to $5.32 billion or 45 cents per diluted share compared to $2.29 billion or 19 cents from the same quarter last year.

The bank said consumer banking deposits in the quarter jumped 6% to $547 billion and Merrill Edge brokerage assets climbed 15% to $122 billion. Global banking loan balances advanced 7% to $307 billion.

BlackRock, Inc (BLK) increased $2.86 to $345.59 after the investment management group said revenue in the second-quarter ending in June gained 5% to $2.91 billion from a year ago period.

Net income in the quarter rose 1% to $819 million or $4.84 per diluted share compared to $808 million or $4.72 from the same quarter last year.

Celgene Corporation (CELG) soared 9.6% or $11.61 to $134.61 after the biopharmaceutical company agreed to acquire rival Receptos Inc for $7.2 billion, a 12% premium to closing price of July 14.

The transaction is expected to close in the third-quarter.

Shares of Receptos Inc surged 10.3% to $228.59.

Delta Air Lines, Inc (DAL) slipped 1.7% or 72 cents to $42.94 after the air transportation company reported revenue in the second-quarter ending in June edged up 0.8% to $10.71 billion from a year ago period.

Net income in the quarter surged 85% to $1.49 billion or $1.83 per diluted share compared to $801 million or 94 cents from the same quarter last year.

U.S. Bancorp (USB) jumped 3.6% or $1.58 to $45.46 after the financial services company reported revenue in the second-quarter ending in June slipped 2.8% to $5.04 billion from a year ago period.

Net income in the quarter fell 0.7% to $1.42 billion or 80 cents per diluted share compared to $1.43 billion or 78 cents from the same quarter last year.

Yum! Brands, Inc (YUM) slumped 2.5% or $2.31 to $89.27 after the quick service restaurants operator said revenue in the second-quarter ending in June fell 3% to $3.11 billion from a year ago period.

Net income in the quarter plunged 30% to $235 million or 53 cents per diluted share compared to $334 million or 73 cents from the same quarter last year.

The company''s sales at established KFC and Pizza Hut restaurants in China declined by 10% including declines of 12% at KFC and 4% respectively.

Same-store sales in the quarter at Taco Bell jumped 6%. KFC same-store sales increased 3% while Pizza Hut same-store sales were flat.

Worldwide system sales rose 3%.

  1
Sources: Data collected by 123jump.com and Ticker.com from company press releases, filings and corporate websites. Market data: BATS Exchange. Inc