Let’s take a look at analysts’ morning notes.
LAS VEGAS SANDS (LVS):
- MORGAN STANLEY: The Foreign Corrupt Practices Act investigation presents risk but our overweight rating remains unchanged. FCPA penalties typically involve modest fines. We estimate the median fine on recent FCPA cases has been $7 million and many cases tend to last beyond 1-2 years. A worst-case scenario, at the high-end of recent cases, would represent around $1-2/share of risk to equity value.
- CANACCORD GENUITY: Verizon had a solid February for sales due to the iPhone4 and XOOM launches, but our checks indicated sales at the remaining three carriers were flat to slightly down in February. We anticipate multiple smartphone and tablet product launches during 2011 leading to increasing competition in the Android ecosystem.
MOTOROLA MOBILITY (MMI)
- CANACCORD GENUITY: iPad 2 could hurt Android tablet sales. We are impressed with Honeycomb and the Android application ecosystem but we believe the price point of $600 with a contract for $800 will limit sales longer term.
FORTRESS INVESTMENT GROUP (FIG):
- JEFFERIES: Improving. We believe a return to more consistent performance fee generation is still at least a few quarters away. We believe there are more attractive investments with the alternative investment industry for this financial firm.
BTU INTERNATIONAL (BTUI):
- WUNDERLICH SECURITIES: Positive outlook for the provider of thermal processing equipment. Upgrading from hold to buy. Solar business is showing strength. It helped boost overall sales to a record. Management said that it was seeing normal seasonal weakness in the legacy product business. We expect this to improve in 2Q11.
DENDREON CORPORATION (DNDN):
- CANACCORD GENUITY: Bullish. With the manufacturing of prostate cancer drug Provenge and commercial expansion proceeding on schedule and ahead of expected positive CMS reimbursement decision, we continue to be buyers of DNDN shares.