The Wall Street Journal-20080112-Methode Electronics Declines 9-- P-F- Chang-s- Synnex Are Higher
Return to: The_Wall_Street_Journal-20080112
Methode Electronics Declines 9%; P.F. Chang's, Synnex Are Higher
Investors' fears over consumer spending pushed down small- capitalization stocks to new 52-week lows Friday as retail and technology stocks mirrored the decline of their larger counterparts.
Leading the negative sentiment was a warning from large-cap American Express that some of its customers were struggling to pay bills, which piggybacked on previous concerns about consumer spending from other credit-card and consumer-oriented companies. The high price of oil also seems to be hitting shoppers in their wallets.
Among the most direct areas hit by consumer-credit concerns were consumer-discretionary stocks, such as retailers and restaurants. Leading the decliners for discretionary small caps were Big 5 Sporting Goods, off 1.82, or 15%, at 10.56, and Children's Place, down 2.08, or 11%, at 16.93.
However, after raising its fourth-quarter earnings guidance on higher revenue and easing cost pressures, P.F. Chang's China Bistro jumped 2.55, or 12%, to 24.36.
TTM Technologies slid 93 cents, or 9%, to 9.12, and Methode Electronics fell 1.30, or 9%, to 12.66, on the New York Stock Exchange. Opnext fell 2.54, or 36%, to 4.42, after cutting its fiscal third-quarter revenue forecast, citing some supply and quality-related issues.
One technology stock that became a bright spot for investors was Synnex, up 1.43, or 7%, to 20.69, on the NYSE. The company posted higher fourth-quarter earnings that beat Wall Street expectations.
The most discussed area of the market remained financial stocks.
Provident Bankshares fell 2.16, or 11%, at 16.81, and BankUnited Financial, slid 52 cents, or 10%, to 4.48.
