AOL Defies Markets’ Dive — Monday’s IP Market Recap
by InvestorPlace Staff | April 9, 2012 5:13 pm
[1]Wall Street finally got to react to last Friday’s employment report after having to wait out the long Easter weekend. And as expected, it had little praise. The far-worse-than-expected hiring in March prompted investors to sell off stocks at the first opportunity on Monday. But on the strength of a hefty sale of more than 800 patents to Microsoft[2] — to the tune of $1.1 billion — AOL (NYSE:AOL[3]) positively levitated.
While the Dow Jones Industrials bounced around more than 150 points lower at times today and closed down 130 points, or 1%, AOL soared 43% to $26.40, its highest point in more than a year. Buoying the stock were hopes that AOL would quickly make good on its assertion that it would distribute a “significant” portion of the proceeds back to long-suffering shareholders, thanks to the deal with Microsoft (NASDAQ:MSFT[4]).
Another beaten-down stock that defied the trend Monday was grocery chain SuperValu (NYSE:SVU[5]), which reports earnings Tuesday. Down over 34% year-to-date, the stock pivoted to a 3.7% gain today, perhaps on some shorts getting out before the earnings report, just in case. And there are plenty of shorts. The Wall Street Journal[6] reported today that “Bets against the supermarket chain’s shares gaining in value have jumped 41% since the end of 2011 to 72.9 million shares. That is one-third of all the company’s shares outstanding and a considerably high number.”
But as hard as it tried to color its cheeks with some rouge, Avon (NYSE:AVP[7]) just couldn’t get investors to buy into its announcement that Sheri McCoy would become its next CEO[8], succeeding Andrea Jung after a long and painful search. AVP closed 73 cents lower, or 3.1%.
Three Up
- Rangold Resources (NASDAQ:GOLD[9]): Up 9.1% ($7.46) to $88.90.
- D.R. Horton (NYSE:DHI[10]): Up 4.6% (65 cents) to $14.70.
- eBay (NASDAQ:EBAY[11]): Up 1.9% (68 cents) to $36.30.
Three Down
- Brightcove (NASDAQ:BCOV[12]): Down 9.7% ($2.13) to $19.82.
- Pandora Media (NYSE:P[13]): Down 7.5% (74 cents) to $9.18.
- Trina Solar Limited (NYSE:TSL[14]): Down 7.28% (48 cents) to $6.11.
Check out recaps from previous trading days here[15].
- [Image]: https://investorplace.com/hot-topics/investorplace-market-recap/
- sale of more than 800 patents to Microsoft: https://investorplace.com/2012/04/aol-nabs-1-1-billion-for-its-patents/
- AOL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AOL
- MSFT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MSFT
- SVU: http://studio-5.financialcontent.com/investplace/quote?Symbol=SVU
- The Wall Street Journal: http://online.wsj.com/article/BT-CO-20120409-707237.html
- AVP: http://studio-5.financialcontent.com/investplace/quote?Symbol=AVP
- Sheri McCoy would become its next CEO: https://investorplace.com/2012/04/sheri-mccoy-takes-charge-at-avon/
- GOLD: http://studio-5.financialcontent.com/investplace/quote?Symbol=GOLD
- DHI: http://studio-5.financialcontent.com/investplace/quote?Symbol=DHI
- EBAY: http://studio-5.financialcontent.com/investplace/quote?Symbol=EBAY
- BCOV: http://studio-5.financialcontent.com/investplace/quote?Symbol=BCOV
- P: http://studio-5.financialcontent.com/investplace/quote?Symbol=P
- TSL: http://studio-5.financialcontent.com/investplace/quote?Symbol=TSL
- here: https://investorplace.com/2012/04/hot-topics/investorplace-market-recap/
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