Netflix, Lululemon Take Off — Wednesday’s IP Market Recap

by Kyle Woodley | January 4, 2012 5:04 pm

[1]Wednesday’s trading saw a couple of big-time stock pops and another chapter in the slow death of a giant.

Netflix (NASDAQ:NFLX[2]), the darling of 2011’s first half that became a goat by year-end, rocketed to an 11% gain today as the company offered up an attention-grabbing headline metric: Netflix users took in more than 2 billion hours of streaming video content from October to December.

Netflix spent the last half of 2011 in a nosedive caused by the fallout of changes in its subscription plan[3] that even included a baffling drop[4] at the start of December when the markets were in full-on bull mode. However, since then, NFLX shares have been slowly rebounding, clawing back about 9% even before Wednesday’s gains. Netflix previously hadn’t released its viewing hours metric.

High-end athletic apparel company Lululemon (NASDAQ:LULU[5]) gained almost 9% on Wednesday after getting Goldman Sachs’s seal of approval. The stock was added to the firm’s “Conviction List” — a group of highly recommended stocks — with an analyst predicting a price target of $64. Lululemon shares opened Tuesday trading under $50.

Eastman Kodak (NYSE:EK[6]) continued its march toward zero[7] after shares declined 30% to 47 cents on news of a possible Chapter 11 bankruptcy filing. The Wall Street Journal reported[8] that EK might have to resort to bankruptcy should it fail in its attempt to sell its nearly 1,100 patents. This comes a couple months after Kodak announced it was trying to sell off one of its more modern businesses[9], the online Kodak Gallery.

EK stock has sold off more than 90% in the past 52 weeks. On Tuesday, the company was given an automatic warning from the New York Stock Exchange — after its 30thconsecutive day trading below $1 per share — that it had six months to improve its stock price or face delisting on the NYSE.

Three Up

• Liz Claiborne (NYSE:LIZ[10]): Up 9.29% (80 cents) to $9.41.
• Cabot Oil & Gas (NYSE:COG[11]): Up 7.19% ($5.52) to $82.32.
• Micron Technology (NASDAQ:MU[12]): Up 3.4% (23 cents) to $6.99.

Three Down

• Acme Packet (NASDAQ:APKT[13]): Down 19.21% ($6.11) to $25.70.
• Amarin (NASDAQ:AMRN[14]): Down 9.93% (70 cents) to $6.35.
• MetroPCS Communications (NYSE:PCS[15]): Down 6.39% (60 cents) to $8.79.

As of this writing, Kyle Woodley did not hold a position in any of the aforementioned stocks. Check out our list of previous IP Market Recaps[16].

Source URL: https://investorplace.com/2012/01/netflix-lululemon-kodak-nflx-lulu-ek-market-summary/

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