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Market Update Analysis: 
Ford to Cut Capacity and Staff
Author: 123jump.com Staff
123jump.com
Last Update: 6:06 PM EST January 23 2006


(Continued)

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After a steep sell-off in the large cap and tech stocks in the previous, market opened higher in the morning. Ford and General Motors closed higher by 5% and 9% respectively on initial market reaction to the Ford restructuring plan. Supreme Court refused to hear patent dispute case between RIMM, maker of BlackBerry, and NTP.

 
Ford Motor Co., (F: chart), automotive company, reported Q4 earnings of 8 cents a share, up from 6 cents a share a year-ago, beating analyst estimate for a profit of penny a share. If not for a number of items, the company posted earnings from continuing operations of 26 cents a share, down from a year-earlier equivalent profit of 28 cents a share.

Bank of America Corp, (BAC: chart), banking services, reported that its Q4 profit dropped to 93 cents a share, down from 94 cents a share in the year-ago period on costs related to its recent acquisition on credit card firm MBNA, increased provision expense and lower trading results. If not for merger and restructuring costs, it gained 94 cents a share, missing analyst estimate of $1.02 a share. The company earned $3.85 billion, or 94 cents a year ago in the year ago quarter. Quarterly revenue was $14.12 billion, up 3%.

Pilgrim''s Pride Corp., (PPC: chart), chicken producer, reported Q1 net income fell 47% to 39 cents a share, down from 73 cents in the year-ago period on 1.8% lower sales. Sales dropped to $1.34 billion from $1.37 billion. The company cited weakness at its Mexico operations plus higher energy costs and lower sales prices for the decline.

Provident Financial Holdings Inc., (PROV: chart), holding company, reported Q2 net income rose 67% to $1.23 a share, up from 77 cents a share in the year-ago period. In the latest period, the banking company sold a commercial office building, prompting an increase of 53 cents to earnings.

Energizer Holdings Inc., (ENR: chart) batteries manufacturer, reported that Q1 profit was $1.77 a share, up vs. $1.60 in the year- ago period, topping analysts’ forecasts of $1.61 a share. Earnings included a 5-cent restructuring charge related to the company''s European supply chain. Sales for Q1 advanced to $882.4 million from $875.9 million in last year''s first quarter.

TD Banknorth, (BNK: chart), banking services company, reported Q4 earnings of 32 cents a share, up from 12 cents a share in the year-ago period. Aside from non-recurring items, earnings would have been 62 cents a share, up from 59 cents in the same period last year and in line with the analyst estimate. Net interest income was flat with last year’s, while non-interest income fell to $60.1 million from $72.5 million.

Insteel Industries Inc., (IIIN: chart), wire products manufacturer, reported Q1 net income of 81 cents a share, up from 54 cents a share in the year-ago period. Sales in Q1 advanced 12% to $83.5 million from $74.7 million.

Carpenter Technology, (CRS: chart), specialty metals and engineered products producer, reported Q2 earnings of $1.65 a share, up vs. $1.28 a share in the year-ago period, topping analyst estimate of $1.60 a share. Revenue advanced to $345.7 million from last year''s $312.1 million as strength in the aerospace markets helped improve demand for alloys, titanium and ceramic materials.
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