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CNNfn market movers
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May 14, 1999: 2:57 p.m. ET
Avoiding the market fray, investors look for value in telecom, tech shares
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NEW YORK (CNNfn) - Investors seeking shelter from the stock market fray created by Friday's consumer price index data found some refuge in a handful of telecom and technology firms that offered hope of better things to come.
While most stocks retreated under fears of a possible forthcoming interest rate hike, outdoor furniture maker Meadowcraft Inc. led the market's few gainers out of the gate.
Investors bought up the Birmingham, Ala.-based company after Meadowcraft (MWI) said it is buying out its chairman and controlling stockholder for $53.2 million, or $10 per share, cash. Traders promptly did their best to keep pace with the generous offer, raising the firm's shares 2-11/16 to 9-11/16.
Primus Telecommunications Group (PRTL) gained 2-1/8 to 17-3/4 after the long-distance and data network services company was raised to "strong buy" from "outperform" by analyst Myles Davis at Morgan Stanley Dean Witter. Davis expects the stock to rise to 27 in the next 12 months.
Adtran Inc. (ADTN) rose 2-13/16 to 24-1/16 after the telephone-equipment maker was raised to "buy" from "hold" by analyst Chandan Sarkar at SoundView Technology Group. Sarkar expects the stock to reach 31 within a year.
American depositary shares of Portugal Telecom (PT) continued the company's momentum on the Lisbon bourse index earlier in the day, climbing 1-7/16 to 44-3/8.
On a smaller scale, electronic component distributor Bell Industries (BI) was up 13/16 to 11-1/8 after announcing it had earned 6 cents per share during the first quarter, reversing a 20 cents per share loss.
Technology and Internet firms also managed to forge gains in contrast to many other firm's stocks Friday.
ACTV Inc. (IATV) rose 1-1/16 to 17. The provider of technology for the converging of television and the Internet may attract more investment because of its e-commerce and interactive-TV technology, Business Week's "Inside Wall Street" column said.
iChargeit (ICHG) rose 3 to 12, its second gain in as many days, after it said it will introduce an Internet service for customers with children that filters out adult content before it reaches the computer. IChargeit is currently developing an online shopping center.
Priceline.com (PCLN) rose 9-1/2 to 131-5/8 after the online retailer, which lets consumers bid for airline tickets and hotel rooms, was reiterated near-term "accumulate" by analyst Henry Blodget at Merrill Lynch & Co. The long-term rating was reiterated "buy."
3Com (COMS) rose 2-5/8 to 29-3/16 and traded as high as 29-1/2 on rumors that the No. 2 maker of networking equipment will be acquired by a phone equipment company, possibly Ericsson AB (ERICY)
Global retailer Venator Group (Z) benefited as well, climbing 1-15/16 to 11-9/16 after Merrill Lynch upgraded its rating of the company from neutral to a near-term buy.
Agriculture- and construction-equipment maker Case Corp. also rumbled forward after two publications disclosed the company had entered merger talks with New Holland NV, a Dutch construction equipment maker headquartered in London.
Neither company would confirm the negotiations, but investors were betting on a premium anyway, lifting Case (CSE) shares 1-15/16 to 44-3/4.
Pep Boys-Manny, Moe & Jack (PBY) rose 2-1/2 to 18-3/16 after the well-known auto-parts retailer posted first-quarter earnings of 20 cents a share, beating the 18-cent average estimate of analysts' polled by First Call.
While many stocks put in a less than stellar performance Friday, Sepracor (SEPR) was a notably poor performer, falling 8-27/32 to 83-23/32. Investors dumped shares of the pharmaceutical firm after it said that Johnson & Johnson (JNJ) had opted not to jointly promote one of Sepracor's critical drugs, norastemizole. Johnson & Johnson shares fell 2-1/2 to 92-7/16. 
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