Canaccord Genuity Morning Coffee on Knight Capital Group (KCG) and IBM (IBM): You’re My Boy, Big Blue!
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Price: $20.00 --0%
Rating Summary:
3 Buy, 2 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 17 | Down: 14 | New: 17
Rating Summary:
3 Buy, 2 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 17 | Down: 14 | New: 17
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Canaccord Genuity Morning Coffee on Knight Capital Group (NYSE: KCG) and IBM (NYSE: IBM): You’re my boy, Big Blue!
IT consulting giant IBM reviewing Knight Capital’s development process after a software error sent the firm to the brink of bankruptcy, the companies co-announced yesterday. Knight Capital was rescued by an investor group after the computer malfunction caused a $440-million loss on August 1; the error was the result of a program that wasn’t “properly installed” as the market maker prepared for a new NYSE Euronext (NYSE: NYX) trading program meant to attract retail investors, the company found. The company received a cash infusion through the sale of convertible equity a week after the trading loss; shares outstanding nearly doubled to 181.7 million as Jefferies Group (NYSE: JEF), one of the brokerages that helped arrange the bailout, converted almost all of its preferred stock this month. IBM is expected to deliver the report to Knight’s board this fall and will provide periodic updates; Knight Capital had $510 million in cash as of August 31, up from $365 million on June 30, according to yesterday’s press release.
IT consulting giant IBM reviewing Knight Capital’s development process after a software error sent the firm to the brink of bankruptcy, the companies co-announced yesterday. Knight Capital was rescued by an investor group after the computer malfunction caused a $440-million loss on August 1; the error was the result of a program that wasn’t “properly installed” as the market maker prepared for a new NYSE Euronext (NYSE: NYX) trading program meant to attract retail investors, the company found. The company received a cash infusion through the sale of convertible equity a week after the trading loss; shares outstanding nearly doubled to 181.7 million as Jefferies Group (NYSE: JEF), one of the brokerages that helped arrange the bailout, converted almost all of its preferred stock this month. IBM is expected to deliver the report to Knight’s board this fall and will provide periodic updates; Knight Capital had $510 million in cash as of August 31, up from $365 million on June 30, according to yesterday’s press release.
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