The major indices charged out of the gate Monday, gaining an average of 2.75% on better-than-expected economic news. The markets continued to rally even as General Motors formally filed for bankruptcy and it was announced that it, along with Citigroup, would be dropped from the Dow Jones Industrial Average next week.
Here are some of Monday’s winners and losers.
Winners
CBS Corporation (CBS)
Shares continued to rise Monday after UBS raised its rating to Buy from Neutral late last week. Additionally, John Rogers, chief investment officer of Ariel Investments, indicated that the company will continue to acquire shares based on the belief that ad revenue will begin to return. Shares were up 18.4%, gaining $1.36 to close at $8.74.
CB Richard Ellis Group Inc. (CBG)
Shares of this real estate firm rallied Monday as Goldman Sachs analysts raised their rating to Neutral from Sell. Shares were up 15.2% Monday, gaining $1.11 to close at $8.41.
Illinois Tool Works Inc. (ITW)
Shares of this industrial machining company rose 11% Monday as Credit Suisse analysts raised their rating to Outperform from Neutral, citing that previous restructuring efforts should lead to growth in operating margins. The stock closed at $35.85, up $3.56 on the day.
Macy’s Inc. (M)
Much of the retail sector was up Monday after the Institute of Supply Management’s Manufacturing Index continued its upward trend and beat analyst expectations in May. Macy’s stock was up over 15% on the da,y gaining $1.76 to close at $13.44.
Genworth Financial Inc. (GNW)
Life insurance companies continued to move upwards despite the credit-ratings agencies’ liability concerns. Late last week, Genworth Financial announced that it had filed an IPO with the Canadian government to sell 49% of its stake in its Canadian business to generate additional revenue. Shares were up 11.5% on Monday, gaining 68 cents to close at $6.60.
Losers
Pfizer Inc. (PFE)
Pfizer shares dropped 43 cents Monday after the pharmaceutical giant halted a late-stage trial on a drug it once hoped would be used as a primary treatment for breast cancer. Pfizer closed at $14.76, down 2.8%.
Cephalon Inc. (CEPH)
As the company launched a campaign to entice users to switch from their best selling Provigil to the newer Nuvugil, Credit Suisse cut the stock’s price outlook to $60 from $77. Cephalon ended trading Monday down 3.5% closing at $56.25, losing $2.06.
Baxter International Inc. (BAX)
Shares were down 3.8% Monday as the market continued to digest the recently announced 4.8% stake in British drug developer Lipoxen Plc which was announced late last week. Shares ended at $49.23, down $1.96.
Regions Financial Corp. (RF)
Regions Financial shares experienced further dilution as the company announced it is increasing a previously announced offering of common and preferred shares to $2.09 billion from $1.85 billion. Shares were down almost 4.8%, losing 20 cents to close at $3.99.
Keycorp (KEY)
Shares of the bank were down with general market pressure on financial companies on Monday. The stock closed at $4.74 down 26 cents or 5.2%.
