Futures indicate lower opening Monday morning. Earnings jitters and bearish analyst comments set the tone.
Analysts at Lehman Brothers downgraded several chip equipment makers Monday morning. Lehman downgraded Applied Materials (NASDAQ:AMAT) from a strong buy rating to market perform and reduced its price target to $35. Lehman did the same with KLA-Tencor (NASDAQ:KLAC), downgrading from a strong buy to a lower rating. And Novellus Systems (NASDAQ:NVLS). These three big chip equipment stocks could pressure the broader Nasdaq Monday, depending on how the market receives the downgrade.
Earnings, Earnings, Earnings
Third-quarter earnings season is underway...
Bank of America (NYSE:BAC) reported numbers that slightly edged past estimates. The company earned $1.28 per share in the third-quarter, while consensus estimates were calling for a profit of $1.25 per share.
Boise Cascade (NYSE:BCC) also reported this morning. The company recorded 20 cents per share in profits during its most recent quarter, which topped estimates of 15 cents per share. The paper company said, "Although demand has recovered partially since mid-September and our businesses have operated well, it is very difficult to predict the pace and strength of any further recovery."
Global Marine (NYSE:GLM) reported earnings that exceeded estimates, but warned that the recovery in the natural gas market would be setback further. The company cited a weak economic environment.