Russell 2000 down, narrows losses
The Russell 2000 index has narrowed its morning losses but continues to trade in the red, while the Dow is flat. At 1:58 p.m. ET the Russell 2000 had lost 3.61 points, or 0.43%, to 829.57. The Dow Jones Industrial Average was up 2.84 points, or 0.02%, to 13,427.80.
Shares of FOCUS Enhancements, Inc. (Nasdaq: FCSE) are in negative territory following news the Campbell, Calif.-based company has reaffirmed second-quarter revenue guidance below Wall Street’s expectations. Revenue for the second quarter is projected between $8.5 million and $9.5 million, the designer of wireless video technologies announced before the opening bell. Two analysts polled by Thomson Financial were looking for revenues of $11.67 million. Additionally, CEO and President Brett Moyer said the company has delayed production and shipment of one of its chips to the fourth quarter instead of the third. Shares are down $0.11, or 10%, to $1.04.
Toronto, Canada-based Generex Biotechnology Corp. (Nasdaq: GNBT) has been initiated with a “Market Outperform” rating. Investment bank Rodman & Renshaw reported that Generex’s oral insulin Oral-lyn could become a major player in the non-injectable insulin market and bring in over $600 million in revenues by 2013. The stock’s target price has been set at $6. Generex specializes in drug delivery for metabolic diseases through the inner lining of the mouth. Shares are up $0.62, or 49%, to $1.88.
Shares of plastic packaging films maker AEP Industries Inc. (Nasdaq: AEPI) are down $1.26, or 3%, to $44.99, on news quarterly profit declined 66%. The net income for the three months ended April 30 was $6.2 million, or $0.77 per share, compared with $18.2 million, or $2.08 per share, in the same period of 2006, the South Hackensack, N.J.-based company said after Monday’s close. Analyst estimates were unavailable. AEP attributed the decrease to a growth in inventories.
In economic news, the price of oil has fallen nearly a dollar to just above $65 a barrel following news that the International Energy Agency has raised its forecast for global oil demand. The Paris-based organization was founded in 1974 to prevent energy supply disruptions and act as a source of information.
