We have a lot to expect from the cast of characters in what we call The Unusual Suspects in the coning week.  We will be watching trading in shares of Apple Inc. (NASDAQ: AAPL), Google Inc. (NASDAQ: GOOG), Deer Consumer Products, Inc. (NASDAQ: DEER), Express-1 Expedited Solutions, Inc. (NYSE Amex: XPO), Five Star Quality Care Inc. (NYSE: FVE), Liberty Global, Inc. (NASDAQ: LBTYA), LinkedIn Corporation (NYSE: LNKD), Merit Medical Systems, Inc. (NASDAQ: MMSI), Microsoft Corporation (NASDAQ: MSFT), Netflix, Inc. (NASDAQ: NFLX), Sony Corporation (NYSE: SNE), Novartis AG (NYSE: NVS), SurModics Inc. (NASDAQ: SRDX), Target Corporation (NYSE: TGT), and in Yahoo! Inc. (NASDAQ: YHOO).

In each company we have offered a background and/or a preview of what to expect and added color and share price trend data in if applicable or if merited.  You will notice that we do not have a single earnings report in this piece.  There is actually going to be a big list of companies (about 20 big companies) reporting earnings this coming week and we created a separate earnings calendar with detailed previews on each company.  Another similar weekend feature was our Top Ten Analyst Calls of the Week.

Apple Inc. (NASDAQ: AAPL) and Google Inc. (NASDAQ: GOOG) are sort of two-in-one as both sort of confirmed on Friday the omens we saw on Thursday.  Technicians, or chartists, have taken note and these are equally concerning.  Apple has broken its 200-day moving average for the first time in this market cycle; Google broke under $500 for the first time since last September and a simple chart read would signal that weakness is more likely than strength.

Deer Consumer Products, Inc. (NASDAQ: DEER) is a maker of small home and kitchen electronic appliances in China, and it has been caught up in the middle of the huge drop in Chinese stocks.  Friday was awful with a 21% drop to $5.07 after an outside research warning that it deserved closer scrutiny.  The company announced after the close that it reaffirmed guidance, affirmed its $0.05 dividend, said it had no negative corporate developments, claimed that all rumors were false, and it filed lawsuit against short sellers and fictitious bloggers alleging “an orchestrated scheme to manipulate and depress Deer’s stock.”  Anything out of China as a stock right now is under closer scrutiny, at best, so you have to do your own due diligence.

Express-1 Expedited Solutions, Inc. ( Amex: XPO) is a company that most have not heard of, even in the world of third-party logistics. It came on the map this last week after announcing that Bradley S. Jacobs, founder of both United Rentals and United Waste Systems, took a $150 million stake with co-investors. Jacobs will take over as chairman and CEO and he went on record saying that he plans “to build a multi-billion dollar transportation brokerage business over the next several years.”  Shares went from $2.19 to $2.83 during the week, but the peak price on the news was $3.13.  This company just got on the map and will be watched long beyond this week.

Five Star Quality Care Inc. (NYSE: FVE) will be on to watch after its secondary of 10 million shares priced at $5.00 and closed Friday only at $5.14.  This stock was all the way up at $7.20 less than two weeks ago and a 28% haircut is still far too much even when you consider the dilution.

Liberty Global, Inc. (NASDAQ: LBTYA) is set to hold its annual shareholder meeting on Tuesday.  This is the one day of the year that shareholders have any say in John Malone’s and his management team’s international cable operation.

LinkedIn Corporation (NYSE: LNKD) is still above its IPO pricing but its $65.53 share price compares to a post-IPO range of $65.10 to $122.70.  It has fallen by almost half from the first day’s top tick a month ago.  What matters is that the analysts at Wall Street brokerage firm underwriters will finally be free to initiate coverage as the quiet period ends.

Merit Medical Systems, Inc. (NASDAQ: MMSI) was lower on Friday by 3% on word of a secondary offering, with all shares apparently being sold by the company.  We would expect the company to price the offering mid-week and its $18.00 close compares to a 52-week range of $11.38 to $23.68.

Microsoft Corporation (NASDAQ: MSFT) was given a positive write-up as being deep value in Barron’s this weekend, but the “deep value: story is actually riddled with exceptions and riddled with caution.  If this was meant to be a boost it seems that the message may have been lost in translation.

Netflix, Inc. (NASDAQ: NFLX) lost movie content from Sony Corporation (NYSE: SNE).  There is a debate over how “permanent” or over how temporary this is due to Netflix saying this is a debate with Starz and Sony.  If permanent, it could matter.  If not, on with Netflix. For whatever itss worth, Netflix did finish #1 on the Investors Business Daily charts.

Novartis AG (NYSE: NVS) will have a panel review of its supplemental new drug application for its Ilaris drug as a treatment for arthritic conditions in gout.  This is only one drug from a multi-billion drug behemoth.

SurModics Inc. (NASDAQ: SRDX) was hit hard this week after partner Johnson & Johnson (NYSE: JNJ) announced an exit to the drug-coated stent market, for which SurModics makes the molecules for the drug time-released delivery.  Zacks actually defended it on weakness, although we are not as certain that the news is all priced in suddenly as the research outfit indicates.  Shares ended the week down about 14% but had been down closer to 20% before recovering.  At $11.55, its 52-week range is $8.29 to $17.05.

Target Corporation (NYSE: TGT) emerged as the winner as employees of a store in New York voted against joining the large retail union.  One store doesn’t matter, but this was apparently the first store to vote in well over a decade over whether or not to unionize.  The United Food and Commercial Workers union (Local 1500) plans to contest the 137-to-85 vote.

Yahoo! Inc. (NASDAQ: YHOO) is likely to have a very vocal week.  The internet search and content player has its annual shareholder meeting June 13 in Santa Clara, California.  If any shareholders are going to try to make more noise, this is the week you will hear about it.

You are invited to join our free daily email distribution list to hear more about analyst upgrades and downgrades, top day trader and active trader alerts, dividend trends, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.