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CNNfn market movers
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February 11, 1999: 2:39 p.m. ET
Media companies from Chancellor to Fox win big; banks boom on Greenspan
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NEW YORK (CNNfn) - Wall Street told a tale of finance firms and media moguls Thursday, while a few breakout initial offerings and a sinking oil sector provided spice for the market.
Although most of the day's six initial public offerings proved solid but not thrilling, investors remained dependably lusty in their devotion to Internet-related debuts.
Industry-targeted e-commerce firm VerticalNet (VERT) soared 32-7/8 to 48-7/8 from its starting mark of $16, while Healtheon (HLTH), which manages medical information online, leapt 21-1/8 to 29-1/8 from its offering price of $8.
Even Prodigy (PRGY), seen by analysts as a capable but not explosive addition to the Internet group, nearly doubled in value, climbing 13-1/8 to 28-1/8 from its initial price of $15.
Greenspan boosts banks
Congressional testimony from fiscal heavyweight Alan Greenspan on the issue of banking reform galvanized the financial sector, spurring large banks and investment firms to post substantial rallies across the board.
After Federal Reserve Chairman Greenspan said he backs the elimination of statutes mandating the separation of banks and business, Citigroup (C) surged 1-3/8 to 53-3/4.
American Express (AXP) gained 3-1/2 to 100-1/4, BankAmerica (BAC) climbed 2-1/8 to 63-3/4 and Chase Manhattan (CMB) added 2-11/16 to 75-3/4.
Among the big Wall Street firms, J.P. Morgan (JPM) was up 3 at 106-13/16 and Merrill Lynch (MER) added 3-3/4 to 70-3/4. Charles Schwab (SCH) gained 4-7/16 to 67-7/16 and Donaldson, Lufkin & Jenrette (DLJ) surged 3-3/8 to 51-3/8.
Smaller broker Eastbrokers International (EAST) soared 4 to 9-3/8 after a key shareholder showed his confidence in the company by buying an additional 526,000 shares, spurring long-term takeover hopes.
Insurance giant American International Group (AIG) also climbed, adding 7 to 105-3/4 after fourth-quarter profits cracked the $1 billion mark, narrowly beating analyst estimates.
Retail, telecom also firm
Fingerhut (FHT) jumped 5-5/8 to 24-7/16 on the strength of a $1.7 billion merger with retail giant Federated Department Stores (FD) that the companies hope will produce an electronic commerce powerhouse. Federated shares slid 2-9/16 to 39-15/16.
Teen clothing retailer Wet Seal (WTSLA) climbed 3-7/8 to 38-13/16 after telling shareholders that increased sales will lead to profits that will blow Wall Street expectations away.
Fast food holding company Tricon Global (YUM) also surged on the back of earnings, up 4-1/8 to 57-7/8. The company, which owns such fast food chains as Kentucky Fried Chicken, Taco Bell and Pizza Hut, also said it expects to see double-digit sales growth in first-quarter 1999.
New York receipts of British Telecom (BTY) soared 14-3/4 to 163 after fiscal third-quarter profits slid but still beat analyst expectations. Each receipt counts as 10 London shares.
Also in the telecom sector, U.S. communications manufacturer Nextel (NXTL) profited from a $560 million supply contract with privately-held SpectraSite, gaining 1-1/8 to 31-5/8.
On the software side, Keane (KEA) got an upgrade to "trading buy" from Goldman Sachs, showing Wall Street's renewed confidence in the company after on-target fourth-quarter earnings posted overnight and pushing shares up 5-5/16 to 32-5/16.
Oil companies, however, were one of the day's most noteworthy decliners. Royal Dutch Shell's $4.5 billion restructuring charges depressed the sector, driving Royal Dutch (RD) shares down 1-5/8 to 43-5/16 in New York. The news also pushed Exxon (XON) down 2-9/16 to 70 in heavy selling, while Mobil (MOB) fell 2-5/8 to 87-7/16.
Media mania
Meanwhile, a raft of positive earnings announcements lifted several news and entertainment companies into Wall Street favor.
A narrowing loss from Internet financial news provider MarketWatch.com (MKTW) helped boost shares of that company 5-3/4 to 71-1/4.
MarketWatch's online partner and 38-percent owner CBS (CBS) climbed 5/8 to 36-1/16 after increasing its stake in another Internet news company, Sportsline USA (SPLN). Sportsline shares jumped 5-1/4 to 40-1/8.
Technology news provider CNet (CNET) rocketed 20-11/16 to 112 for turning a fourth-quarter profit and announcing a stock split, while print competitor CMP Media (CMPX) gained 8 to 27 after per-share profit beat estimates by a penny.
CMP also benefited from news that it is exploring strategic alternatives for maximizing shareholder value, including a possible sale or merger. As a result, Bear Stearns lifted the stock's rating to "buy" from "attractive."
Global media players faced less enthusiastic response to their earnings announcements. News Corp. (NWS) climbed 1-3/16 to 29-9/16 after reporting unexpectedly high profits and teasing Wall Street with the promise of more ahead, pushing shares of affiliate Fox Entertainment (FOX) up 1-11/16 to 26-7/8.
However, a disappointing movie season for Seagram's Universal film unit hurt Seagram (VO) earnings, driving shares down 3/16 to 48-1/2. 
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