Tuesday, February 2nd, 2010
Top 3 Most Interesting Stocks for February 2, 2010
Symetra Financial Corporation (NYSE:SYA), Tessco Technologies, Inc. (NASDAQ:TESS), and Compugen Ltd. (NASDAQ:CGEN) are the three most interesting stocks from today’s session.
Warren Buffett Buys Into Symetra Financial
Symetra Financial Corporation (SYA, Free Analysis), a diversified financial services company, may have IPO’d at the bottom of its expected price range, but it counts billionaire investor Warren Buffett among its top holders. The Oracle of Omaha’s Berkshire Hathaway disclosed a 21.92% passive stake in the company during today’s session.
On January 21st, Symetra offered 30.4 million shares in an initial public offering that was priced at $12 per share. Originally, the company was going to offer 27 million shares at a price range of between $12-14 per share. The company will announce its fourth quarter and full year 2009 results on Wednesday, February 10, 2010 after the market closes.
Activist Pushes for Changes at Tessco Technologies
Tessco Technologies, Inc. (TESS, Free Analysis), a provider of integrated product and supply chain solutions, is starting to feel the pressure from its largest shareholder. Discovery Group, which owns a 14.1% stake in the company, submitted a 14a-8 shareholder proposal to be voted on at the 2010 Annual Shareholder Meeting requesting declassification of the board.
Discovery believes that the chronic undervaluation of Tessco shares reflects a discount related to the company’s small size combined with a perceived reticence on the part of the Board to consider a takeover by larger strategic suitors that could offer shareholders a significantly higher valuation. Investors are carefully watching this situation as value could be unlocked.
Compugen Discovers Autoimmune Disease Treatment
Compugen Ltd. (CGEN, Free Analysis), a drug development company, saw its shares jump nearly 20% after announcing the discovery and experimental validation of CGEN-15001 for the treatment of autoimmune disorders. The drug represents the extracellular region of a previously unknown membrane protein in the B7/CD28 family.
Autoimmune diseases develop when defects in the immune system lead the body to attack its own cells, tissues and organs. In total, approximately 25 million people in the U.S. are affected by illnesses of this nature. The company’s new drug demonstrates a potent decrease in the diseases state in multiple sclerosis animal models.
Written by David Breen
