Alcatel Lucent SA (ADR)(NYSE:ALU)’s shares are gaining some ground after yesterday’s slump. The stock is up 4.50% this morning as analyst at Morgan Stanley upgraded the stock by tow-notch to Overweight. The firm is impressed by the company’s refinancing deal and restructuring efforts, and thinks competition between telecom equipment firms is cooling off, but remains worried about the margin impact of unprofitable service contracts. Yesterday, the stock saw selling pressure after the company posted Q4 earnings and announced the departure of a Chief Executive.
The entire solar sector is under selling pressure, lead by SunPower Corporation(NASDAQ:SPWR), which tumbled 8% after the company reported higher quarterly loss due to lower prices for photovoltaic panels. The company posted net loss of $144.8 million, or $1.22 a share,up from a year ago loss of $93 million, or 94 cents a share. The company produced 153 megawatts of panels in the fourth quarter and 936 megawatts in all of 2012. It expects to produce 150 megawatts to 170 megawatts in the current quarter.
Other solar stock losers are Suntech Power Holdings Co., Ltd. (ADR)(NYSE:STP) down 3%, First Solar, Inc.(NASDAQ:FSLR) slid 3.10% and Trina Solar Limited (ADR)(NYSE:TSL) fell 3.75%.
Caesars Entertainment Corp(NASDAQ:CZR) is gaining momentum and soared 29% at $12.94, extending its 195 gain in the previous session. Boyd Gaming Corporation(NYSE:BYD) soared another 11% as well. Investors are buying these stock on expectations that New Jersey Governor Christie’s support of online gambling and potential legalization of the practice in New Jersey could translate into broader acceptance, and legalization, for games like online poker.
EnteroMedics Inc(NASDAQ:ETRM) is the biggest loser and tumbled 55% to $1.27 after hitting a new 52-week low of $1.19. Investors are reacting after the news that the company clinical trial of its implanted device to treat obesity didn’t meet its primary goal, although the company will still move forward with applying for premarket approval in the U.S.
YRC Worldwide, Inc.(NASDAQ:YRCW) gained 4.50% as the company posted fourth quarter loss of $4.53 on revenue of $1.17 billion, matching analysts’ estimates.