Target plans to cut thousands of positions as part of an effort to reduce costs by $2 billion over the next couple of years. It also gave full-year earnings guidance that was better than estimates and says it plans to buy back $2 billion worth of its shares this year. Shares rose a fraction to $78.
Best Buy reported better-than-expected quarterly earnings on a strong holiday season. On that, the retailer declared a special dividend of 51 cents a share and an increased its quarterly dividend to 23 cents a share. And the company will buy back $1 billion worth of shares, its first share repurchase plan since 2012. The stock was 1.5 percent higher to $39.18.
Lumber Liquidators saw its shares reverse course today. As we told you yesterday, the stock sold off after CBS’s “60 Minutes” reported that the company sold flooring with higher levels of formaldehyde. But today, Janney Capital Markets upgraded their rating on the stock to “buy” from “neutral” saying fears generated by the program are overblown. Shares popped five percent to $40.78.
Actavis sold $21 billion in bonds today. The 10-year bond was priced to yield about 3.8 percent, which was at the lower end of guidance, showing strong investor demand for one of the largest corporate offering on record. The stock fell a fraction to $296.23.
Shares of restaurant company Bob Evans fell sharply after the bell, after the company misses earnings and revenue estimates for the quarter and issued light guidance for the year. The company also said it won’t spin off its food unit. The company has hired J.P. Morgan to advise on strategic options for its real estate. Shares fell more than 15 percent after the close, but rose a fraction during the regular session to $59.64.