STOCKS NEWS US-Citigroup sees opportunity in financial stocks

Stocks on the move

Real-time Equity news

U.S. stock market report

0847 ET 24Aug2009
Citigroup sees opportunity in financial stocks

Citigroup on Monday wrote that financial stocks, as well as banks and insurance groups, were all trading 'well below' their mean relative performance levels, 'suggesting opportunity remains in place even after the impressive rally experienced over the past five months.'

'Our valuation and earnings revision analysis similarly argues powerfully for the Insurance industry group but the Banks group may be more stretched,' the firm added.

Reuters Messaging: [e-mail]


0840 ET 24Aug2009
Aspect Medical upgraded to 'buy'

Natixis on Monday upgraded Aspect Medical to 'buy,' citing improving fundamentals and cheap valuation.

The firm also raised its price target on the stock to $10 from $7.

For details, see

Shares of Aspect closed Friday at $5.99.

Reuters Messaging: [e-mail]


0837 ET 24Aug2009
Charlotte Russe agrees to be bought, shares soar

Charlotte Russe on Monday agreed to be acquired by Advent International Corp for $17.50 per share in cash.

The per-share offer price represents a premium of 26.9 percent over the company's Friday close.

For details, see

Shares soared 26 percent to $17.38 in premarket trading.

Reuters Messaging: [e-mail]


0829 ET 24Aug2009
Barclays upgrades three credit card companies

Barclays Capital on Monday upgraded a trio of credit card companies, citing the potential for long-term earnings growth.

American Express, Capital One and Discovery Financial were all upgraded to 'overweight' from 'neutral.'

'We foresee three to five years of steadily increasing earning growth, from the depressed levels of 2009 caused by loan losses in the 9 percent to 10 percent range, to positive earnings in 2010, to more normalized earnings by the second half of 2011 and on to historical above average earnings by 2012,' the firm wrote.

Shares of Discover rose 9.2 percent to $14.75 in premarket trading while Capital One was up 2.1 percent to $37.26 and American Express, a Dow component, added 2.3 percent to $33.60.

Reuters Messaging: [e-mail]


0825 ET 24Aug2009
Citigroup downgrades Natural Resource to 'sell'

Citigroup downgraded Natural Resource Partners LP to 'sell' from 'hold,' saying the company, which leases coal reserves to miners, may need to cut its dividend by as much as 20 percent due to the weak contract coal pricing outlook for 2010.

Analyst John Tysseland expects the company to lower its dividend to $1.72 a unit from its current rate of $2.16 a unit per annum.

'While Natural Resource continues to have a strong balance sheet and ample liquidity, cash flows are likely to remain well below the partnership's distribution payout through 2010,' Tysseland wrote in a note to clients dated Aug. 23.

For details, see

Shares closed Friday at $20.02.

Reuters Messaging: [e-mail] Keywords: MARKETS STOCKSNEWS

COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.