PNC Drops Midday as Caribou Peps Up

Buyout of RBC branches, cards sends PNC down

   

Here’s what’s hot in the market today: Caribou Coffee continues to climb thanks to summer promotions while Huntington Ingalls got a boost from a new Navy contract. Industrial manufacturers Harbin and Lincoln Electric saw abnormal trading for very different reasons. PNC Bank took a hit after announcing a $3.5 billion buyout.

PNC Financial (NYSE: PNC) was down almost 2% this morning to about $56.65 after it announced plans to acquire Royal Bank of Canada’s (NYSE: RY) retail locations and credit card assets for $3.5 billion. Nearly 7 million shares traded, around double the normal volume.

Harbin Electric (NASDAQ: HRBN) rose about 60% to top $13 as Chairman and CEO Tianfu Yang reaffirmed his plans to buy the electric motor manufacturer for $744 million, or $24 per share. Citron Research last week challenged some of Yang’s numbers.

Lincoln Electric Holdings (NASDAQ: LECO), the makers of electric motors and welding tools, was down more than 5% to about $33.20 on twice its typical volume. Lincoln another industrial supplier getting Monday.

Huntington Ingalls (NYSE: HII), the U.S. Navy’s principal ship building company, was up less than 1% to move above $36.00 on around three times normal trading. More than 1 million shares in the company were exchanged by midday. The U.S. Navy awarded Huntington Ingalls a contract to build the new DDG 113 destroyer.

Caribou Coffee (NASDAQ: CBOU) was up more than 6% on nearly six times normal trading to top $12.60. More than 700,000 shares were exchanged by midday. The coffee shop chain has grown steadily since the beginning of June when it announced a series of major promotions for the summer, including giveaways and discounts on new products.

As of this writing, Anthony John Agnello did not own a position in any of the stocks named here. Follow him on Twitter at @ajohnagnello and become a fan of InvestorPlace on Facebook.


Article printed from InvestorPlace Media, http://investorplace.com/2011/06/pnc-caribou-cbou-hii-leco-hrbn/.

©2014 InvestorPlace Media, LLC

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