Stocks Intraday Alert: L Brands, Inc. (LB), Universal American Corp (UAM), Mast Therapeutics, Inc. (MSTX)

L Brands, Inc. (LB) continued its upward trend with the stock climbing 0.76% or $0.53 to close the day at $70.17 on higher than average trading volume of 2.67M shares, compared to its three month average trading volume of 2.14M. The Columbus Ohio 43230 based company has been outperforming the apparel stores companies by -9.2774% for last three months and its recent losses have pulled the stock down -22.44% YTD, versus the apparel stores industry which is down -1.07% for the same period. The RSI of 53.37 indicates the stock is neither overvalued nor undervalued at the current levels, hold for now.

L Brands, Inc. operates as a specialty retailer of women’s intimate and other apparel, beauty and personal care products, and accessories. The company operates in three segments: Victoria’s Secret, Bath & Body Works, and Victoria’s Secret and Bath & Body Works International. Its products include loungewear, bras, panties, swimwear, athletic attire, fragrances, shower gels and lotions, aromatherapy, soaps and sanitizers, home fragrances, handbags, jewelry, and personal care accessories. The company offers its products under the Victoria’s Secret, Pink, Bath & Body Works, La Senza, Henri Bendel, C.O. Bigelow, White Barn Candle Company, and other brand names. L Brands, Inc. sells its merchandise through company-owned specialty retail stores in the United States, Canada, and the United Kingdom, which are primarily mall-based; through its Websites; and through franchises, licenses, and wholesale partners. As of January 31, 2016, the company operated 2,721 retail stores in the United States; 270 retail stores in Canada; and 14 retail stores in the United Kingdom. It also operated 221 La Senza stores in 29 countries; 125 Bath & Body Works stores in 30 countries; 19 Victoria’s Secret stores in 7 Middle Eastern countries; and 373 Victoria’s Secret Beauty and Accessories stores, and various small-format locations in approximately 75 countries. The company was formerly known as Limited Brands, Inc. and changed its name to L Brands, Inc. in March 2013. L Brands, Inc. was founded in 1963 and is headquartered in Columbus, Ohio.

Universal American Corp (UAM) had a light trading with around 2.67M shares changing hands compared to its three month average trading volume of 341.52K. The stock traded between $9.86 and $9.93 before closing at the price of $9.93 with 0.3% change on the day. The White Plains New York 10601 based company is currently trading 78.92% above its 52 week low of $5.55 and -0.7% below its 52 week high of $9.93. Both the RSI indicator and target price of 85.24 and $7.75 respectively, lead us to believe that it could drop over the coming weeks.

Universal American Corp., together with its subsidiaries, provides health insurance and managed care products and services to Medicare and Medicaid customers in the United States. It operates through Medicare Advantage, Management Services Organization, and Medicaid segments. The company operates HMO plans under contracts with centers for Medicare and Medicaid services under the Today’s Options HMO brand; Medicare advantage management service organizations that manage business and affiliated independent physician associations; PPO plans under the Today’s Options PPOs brand; and network PFFS plans under the Today’s Options brand, as well as offers defined prescription drug benefit. It also supports physician partnerships for the development of value-based healthcare models, such as accountable care organizations’ (ACOs) with technology, analytics, clinical care coordination, regulatory compliance, and program administration resources. In addition, the company operates ACOs under the Medicare Shared Savings Program through its physicians and other healthcare professionals. It operates approximately 21 MSSP ACOs and 1 Next Generation ACO; and serves approximately 39,000 members through Total Care Medicaid health plan. The company distributes products and services through a network of channels, including its career agency and independent agents, as well as through telephonic and Internet enrollment. Universal American Corp. was founded in 1981 and is headquartered in White Plains, New York.

Mast Therapeutics, Inc. (MSTX) traded within a range of $0.0715 to $0.077 after opening the day at $0.08. The company has seen its stock decrease in value by -82.5% so far this year. The stock was down close to -2.65% on light volume in last trading session and closed at $0.07 per share. After the recent fall, the stock is currently holding -89.65% below its 52 week high of $0.71 and 5% above its 12-month low of $0.07. The shares are down by over -82.07% in the last three months, and the RSI indicator value of 36.48 is neither bullish nor bearish, tempting investors to stay on the sidelines.

Mast Therapeutics, Inc., a clinical-stage biopharmaceutical company, develops therapies for serious or life-threatening diseases with significant unmet needs. The company’s lead product candidate is MST-188 (vepoloxamer), an injection used for the treatment of sickle cell disease, arterial disease, and heart failure. It also develops AIR001, a sodium nitrite solution for intermittent inhalation via nebulizer, as well as for the treatment of heart failure with preserved ejection fraction. The company was formerly known as ADVENTRX Pharmaceuticals, Inc. and changed its name to Mast Therapeutics, Inc. in March 2013. Mast Therapeutics, Inc. was founded in 1995 and is headquartered in San Diego, California.

 

Stocks on the Move: Universal American Corp (UAM), The Kroger Co. (KR), Mondelez International, Inc. (MDLZ)

Universal American Corp (UAM) continued its upward trend with the stock climbing 11.36% or $1.01 to close the day at $9.9 on light trading volume of 10.21M shares, compared to its three month average trading volume of 186.90K. The White Plains New York 10601 based company has been outperforming the health care plans group over the past 52 weeks, with the stock gaining 38.27%, compared to the industry which has advanced 5.76% over the same period. With RSI of 85.43, the stock should still continue to rise and get closer to its one year target estimate of $7.75, making it a hold for now.

Universal American Corp., together with its subsidiaries, provides health insurance and managed care products and services to Medicare and Medicaid customers in the United States. It operates through Medicare Advantage, Management Services Organization, and Medicaid segments. The company operates HMO plans under contracts with centers for Medicare and Medicaid services under the Today’s Options HMO brand; Medicare advantage management service organizations that manage business and affiliated independent physician associations; PPO plans under the Today’s Options PPOs brand; and network PFFS plans under the Today’s Options brand, as well as offers defined prescription drug benefit. It also supports physician partnerships for the development of value-based healthcare models, such as accountable care organizations’ (ACOs) with technology, analytics, clinical care coordination, regulatory compliance, and program administration resources. In addition, the company operates ACOs under the Medicare Shared Savings Program through its physicians and other healthcare professionals. It operates approximately 21 MSSP ACOs and 1 Next Generation ACO; and serves approximately 39,000 members through Total Care Medicaid health plan. The company distributes products and services through a network of channels, including its career agency and independent agents, as well as through telephonic and Internet enrollment. Universal American Corp. was founded in 1981 and is headquartered in White Plains, New York.

The Kroger Co. (KR) fell -0.53% during last trading as the stock lost $-0.18 to finish the day at $33.52 with about 10.18M shares changing hands, compared to its three month average trading volume of 11.26M. The $31.61B market cap company, which fluctuated between $32.59 and $33.59 during the day, currently situated 17.19% above its 52 week low of $28.71 and -20.54% away from its one year high of $42.75. The RSI of 60.97 indicates the stock is neither overvalued nor undervalued at the current levels, hold for now.

The Kroger Co., together with its subsidiaries, operates as a retailer in the United States. It also manufactures and processes food for sale in its supermarkets. The company operates retail food and drug stores, multi-department stores, jewelry stores, and convenience stores. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; multi-department stores provide general merchandise items, such as apparel, home fashion and furnishings, outdoor living, electronics, automotive products, toys, and fine jewelry; and price impact warehouse stores offer grocery, and health and beauty care items, as well as meat, dairy, baked goods, and fresh produce items. The company’s marketplace stores comprise full-service grocery, pharmacy, health and beauty departments, and perishable goods, as well as general merchandise, including apparel, home goods, and toys. It operates under the banner brands, such as Kroger, Ralphs, Fred Meyer, King Soopers, etc., as well as Simple Truth and Simple Truth Organic brands. As of January 30, 2016, the company operated 2,778 retail food stores, including 1,387 fuel centers; 784 convenience stores; and 323 fine jewelry stores and an online retail store, as well as franchised 78 convenience stores. The Kroger Co. was founded in 1883 and is headquartered in Cincinnati, Ohio.

Mondelez International, Inc. (MDLZ) saw its value increase by 1.03% as the stock gained $0.44 to finish the day at a closing price of $42.99. The stock was higher in trading and has fluctuated between $35.88-$46.4 per share for the past year. The shares are up by 0.28% in the past three months and down by 0% over the past six months. It is currently trading -0.72% below its 20 day moving average and 0.03% above its 50 day moving average. Analysts believe the company can continue to increase in value to reach at $49.88 a share over the next twelve months. The current relative strength index (RSI) reading is 49.99. The technical indicator lead us to believe there will be no major movement any time soon, hold.

Mondelez International, Inc., through its subsidiaries, manufactures and markets snack food and beverage products worldwide. The company offers biscuits, including cookies, crackers, and salted snacks; chocolates, and gums and candies; powdered beverages and coffee; and cheese and grocery products. Its primary brand portfolio includes LU, Nabisco and Oreo biscuits; Cadbury, Cadbury Dairy Milk, and Milka chocolates; Trident gum; Jacobs Kaffee; and Tang powdered beverages. Mondelez International, Inc. sells its products to supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, gasoline stations, drug stores, value stores, and other retail food outlets through direct store delivery, company owned and satellite warehouses, distribution centers, and other facilities, as well as through independent sales offices and agents. The company was formerly known as Kraft Foods Inc. and changed its name to Mondelez International, Inc. in October 2012. Mondelez International, Inc. was founded in 2000 and is based in Deerfield, Illinois.

 

Stock under consideration today: Universal American Corp (UAM)

The shares of Universal American Corp (NYSE:UAM) currently has mean rating of 3.40 while 0 analysts have recommended the shares as “BUY”, 0 recommended as “OUTPERFORM” and 3 recommended as “HOLD”. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for sell.

The company’s mean estimate for sales for the current quarter ending Jun 16 is 400.54M by 4 analysts. The means estimate of sales for the year ending Dec-16 is 1.56B by 4 analysts.

The mean price target for the shares of Universal American Corp (UAM) is at 7.50 while the highest price target suggested by the analysts is 8.00 and low price target is 6.50. The mean price target is calculated keeping in view the consensus of 3 brokerage firms.

The average estimate of EPS for the current fiscal quarter for Universal American Corp (UAM) stands at 0.06 while the EPS for the current year is fixed at 0.18 by 3 analysts.

The next one year’s EPS estimate is set at 0.29 by 4 analysts while a year ago the analysts suggested the company’s EPS at 0.18. The analysts also projected the company’s long-term growth at 39.00% for the upcoming five years.

In its latest quarter ended on 31st March 2016, Universal American Corp (UAM) reported earnings of $0.07. The posted earnings topped the analyst’s consensus by $0.03 with the surprise factor of 75.00%. In the matter of earnings surprises, the term “Cockroach Effect” is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.

On June 21, 2016 Universal American Corp (UAM) announced that it has priced its private offering of $100 million principal amount of Convertible Senior Notes due 2021 through a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended. Universal American granted the initial purchasers of the notes a 30-day option to purchase up to an additional $15 million aggregate principal amount of the notes on the same terms and conditions, which has been fully exercised. The sale of the notes is expected to close on June 27, 2016, subject to customary closing conditions.