Shares of Tyson Foods Inc. (NYSE: TSN), a meat protein and food production company engaged in the production, distribution and marketing of chicken, beef, pork, prepared foods and related allied products, are soaring in early trading today.
At last check, TSN shares were trading 6.64% higher at $18.06 on volume of 9,780. The stock hit an intra-day high of $18.18 in trading today.
TSN shares are soaring in trading today after the company reported better than expected fourth-quarter earnings, driven by higher prices for beef and chicken and lower costs. However, the company’s revenue for the quarter missed Street estimates.
TSN reported net income of $185 million, or $0.51 per share for the fourth quarter, compared to $97 million, or $0.26 per share. Excluding one-time items, the company reported earnings of $0.55 per share, beating Street estimates of $0.44 per share. Sales for the quarter were $8.37 billion, down from $8.40 billion reported for the same period in the previous year. Analysts were expecting the company to report sales of $8.49 million.
Shares of Texas Industries Inc. (NYSE: TXI), a supplier of heavy construction materials in the southwestern U.S., are gaining in early trading today. At last check, TXI shares were trading 1.97% higher at $44.95, which is also the stock’s intra-day high.
Shares of Wright Medical Group Inc. (NASDAQ: WMGI), a global orthopaedic medical device company engaged in the design, manufacturing and marketing of devices and biologic products for extremity, hip and knee repair and reconstruction, are down sharply in trading today.
At last check, WMGI shares were trading 2.30% lower at $19.55 on volume of 165,714. The stock fell to an intra-day low of $18.89 earlier today.
WMGI shares are falling even as the company entered into a definitive agreement with BioMimetic Therapeutics Inc. (NASDAQ: BMTI) for a business combination of WMGI and BMTI.
BMTI focuses on the development of regenerative medicine products to promote the healing of musculoskeletal injuries and diseases with a novel protein therapeutic product, Augment® Bone Graft, which is under late stage FDA review as a replacement for autologouss bone graft in foot and ankle fusions.
As per the terms of the agreement, each share of BMTI common stock will be converted into the right to receive an upfront payment of $1.50 in cash and 0.2482 shares of WMGI common stock. Each BMTI share will also receive on tradable Contingent Value Right (CVR). The CVR entitles the holder to receive additional cash payments of up to $6.50 per share. These payments will be payable upon receipt of FDA approval of Augment Bone Graft and achieving certain revenue milestones.
Wright Medical Group President and CEO Robert Palmisano said that the company believes the transaction will significantly accelerate the continued transformation of its business as well as of its strategy of building a world-class biologics platform and growing its foot and ankle business at well above market growth rates.
While WMGI shares have slipped in early trading today, shares of BMTI are seeing a huge rally. At last check, BMTI shares were trading 72.29% higher at $7.15 on above average volume of 628,109. The stock hit a 52-week high of $7.33 in early trading today.
Shares of Intel Corporation (NASDAQ: INTC), designer and manufacturer of digital technology platforms, are down sharply in early trading today. At last check, INTC shares were trading 1.24% lower at $19.94 on volume of 3.94 million. The stock fell to a 52-week low of $19.73 earlier today.
INTC shares are falling after the company announced that Paul Otellini, its President and CEO, has decided to retire as an officer and director at the company’s annual stockholders’ meeting in May.
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