Why Yahoo, Verizon Communications and Three Other Stocks Are on the Move Today

Markets are at a standstill on Friday as investors weighed mixed earnings reports.

However, several stocks are making headlines today, including Yahoo! Inc. (NASDAQ:YHOO), Verizon Communications Inc. (NYSE:VZ), Olin Corporation (NYSE:OLN), Skyworks Solutions Inc (NASDAQ:SWKS) and Technical Communications Corporation (NASDAQ:TCCO). Let’s find out what factor are making these stocks move and analyze hedge funds’ sentiment towards them.

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Verizon in Advanced Talks to Acquire Yahoo

Investors are closely watching Yahoo! Inc. (NASDAQ:YHOO) and Verizon Communications Inc. (NYSE:VZ) this morning after several media reports said that Verizon is close acquire Yahoo. Bloomberg, citing people familiar with the matter, said the Verizon was discussing to buy Yahoo’s core internet business, including the company’s real estate, for about $5 billion. CNBC said that the deal could be announced as soon as “early next week”. Yahoo! received several bids, but the company is now solely in talks with the New Jersey-based telecommunications company.  As of the end of the first quarter, 97 hedge funds tracked by us were bullish on Yahoo! Inc. (NASDAQ:YHOO), up from 84 funds a quarter earlier. On the other hand, 61 hedge funds held stakes in Verizon Communications Inc. (NYSE:VZ) at the end of March, up from 52 funds a quarter earlier.

Olin Corporation Cuts 2016 Guidance

Olin Corporation (NYSE:OLN) shares have plunged by more than 20% so far today after the company cut its second-quarter and full-year guidance amid weak domestic caustic soda demand and chlorinated organic sales declines. For the second quarter, the Missouri-based ammunition manufacturer now expects net income to be  breakeven and adjusted EBITDA to be approximately $180 million. For the full year, Olin sees adjusted EBITDA to be in the range of $840 million to $900 million. Olin’s CEO John E. Fischer said in a statement that “several headwinds” affected the second quarter, but the fundamentals of the business remain the same. Mr. Fischer also said that the company expects benefits from new trends emerging in the caustic soda market like low exports from China and European mercury cell chlor alkali capacity rationalizations. As of the end of the first quarter, 25 investors from our database were long Olin Corporation (NYSE:OLN), down from 35 funds a quarter earlier.

On the next page, we will discuss why Skyworks Solutions and Technical Communcations are on the move today.

Skyworks Solutions Posts Third-Quarter Results

Skyworks Solutions Inc (NASDAQ:SWKS)’s stock is getting crushed today, losing more than 10% so far after reporting an annual decline in profit for the fiscal third quarter. The semiconductors company’s profit came in at $238.1 million, lower than $262.5 million recorded in the third quarter last year. The company earned $1.24 per share, which was above analysts consensus estimate of $1.21. Revenue of $751.7 million also topped the consensus estimate of $750.22 million. Skyworks Solutions expects its fourth-quarter EPS at $1.43, below analysts expectations of $1.42. Ken Griffin’s Citadel Investment Group is one of the 39 investors from our database with long positions in Skyworks Solutions Inc (NASDAQ:SWKS) at the end of the first quarter.

Technical Communications Skyrockets

Technical Communications Corporation (NASDAQ:TCCO)’ stock has surged  by over 70% so far today, without any significant developments surrounding the company, which suggests that the stock is up on technical buying. The tiny, $9 million, Massachusetts-based communications devices company is expected to report earnings on August 8. Only two funds among those we track owned shares of Technical Communications Corporation (NASDAQ:TCCO) at the end of the first quarter.

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