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Unusual 11 Mid-Day Movers 11/05: RX, FSYS, NWK, ROYL Higher; SMSI, ELMG, PL, CVS Lower

November 5, 2009 12:43 PM EST
SMSI Hot Sheet
Overall Analyst Rating:
    NEUTRAL (= Flat)

Revenue Growth %: -43.3%
Smith Micro Software (NASDAQ: SMSI) 26.7% LOWER; reports Q3 adjusted EPS of $0.20, 1 cent better than the analyst estimate of $0.19. Revenue for the quarter was $27.80 million, which compares to the estimate of $29.37 million. Lowers FY09 Guidance from $110 - $115 million to $105 - $110 million, versus $111.30 million consensus.

IMS Health (NYSE: RX) 23.6% HIGHER; entered into a definitive agreement to be acquired by investment funds managed by TPG Capital and the CPP Investment Board in a transaction with a total value of $5.2 billion, including the assumption of debt. Under the agreement, IMS shareholders will receive $22.00 cash for each share of IMS common stock they own, representing a premium of approximately 50 percent over the closing share price on Friday, October 16, 2009, the last trading day prior to public speculation that IMS was considering its strategic alternatives.

Fuel Systems Solutions, Inc. (NASDAQ: FSYS) 23.6% HIGHER; reports Q3 EPS of $0.77, versus the analyst estimate of $0.43. Revenue for the quarter was $116.2 million, which compares to the estimate of $104.26 million. Sees FY09 revs of $415 - $425 million, versus $379.72 million consensus.

EMS Technologies, Inc. (NASDAQ: ELMG) 23.6% LOWER; reports Q3 EPS of $0.38, ex-items, 3 cents lower than the analyst estimate of $0.41. Revenue for the quarter was $85.7 million, which compares to the estimate of $101.67 million.

Network Equipment Technologies (NYSE: NWK) 22.6% HIGHER; since reporting a Q3 earnings miss on October 21, shares have tumbled more than 37%. Prior to yesterday, the stock had been down 13 trading sessions in a row. With 17% of its float shorted at mid-October, today's move could be the result of a short squeeze.

Royale Energy, Inc. (NASDAQ: ROYL) 22.1% HIGHER; today released the test results of the Goddard 7-1. On Oct 15 the company announced a new field discovery near its successful Lonestar field. This week's completion activities resulted in a stabilized flow rate of 2,450 MCF per day on a restricted choke. Based on these results the well is capable of significantly higher producing rates, and the company expects to begin production at an initial rate of 2,500 MCF per day. The first follow up to the Goddard discovery began drilling Oct 28. The Wylie #1 will test a similar nearby 3D seismic amplitude anomaly. Royale Energy will drill additional follow up wells by the end of this year.

Sanmina-SCI Corp. (NASDAQ: SANM) 21% HIGHER; reports Q4 EPS of $0.00, versus the analyst estimate of ($0.11). Revenue for the quarter was $1.35 billion, which compares to the estimate of $1.26 billion. Sees Q110 adj EPS $0.10 - $0.15, versus $0.01 consensus. See Q110 sales of $1.35 - $1.45 billion, versus $1.32 billion consensus.

Protective Life Corporation (NYSE: PL) 21% LOWER; reports Q3 EPS of $0.32, versus the analyst estimate of $0.76.

CVS Caremark Corporation (NYSE: CVS) 19.6% LOWER; reports Q3 EPS of $0.65, 1 cent better than the analyst estimate of $0.64. Revenue for the quarter was $24.60 billion, which compares to the estimate of $24.61 billion. Shares are sinking on some comments on the conference call: CVS said $3.7 billion in contract losses in the quarter. Lost more in PBM business than expected. PBM margin will fall 10% in 2010.

US Concrete Inc. (NASDAQ: RMIX) 19.6% LOWER; reports Q3 loss of $0.09, even with the analyst estimate of ($0.09). Revenue for the quarter was $153.60 million, which compares to the estimate of $158.11 million.

DG FastChannel, Inc. (NASDAQ: DGIT) 18.6% HIGHER; reports Q3 EPS of $0.22, versus the analyst estimate of $0.23. Revenue for the quarter was $48.30 million, which compares to the estimate of $47.83 million.

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