The broader U.S. stock market averages fell 0.25% to 0.5% on Monday, led by energy and materials names. The underlying price of crude oil fell nearly 4% on the session. Elsewhere, the yield on the benchmark 10-year U.S. Treasury note fell 3.4 basis points to 2.146%.
Lexicon Pharmaceuticals (LXRX) was the big winner on Monday, gaining 61%. The company reported positive clinical results for an anti-diarrhea drug for patients with carcinoid syndrome. On the other hand, Starz (STRZA) fell 12% after the company was downgraded at Morgan Stanley from Overweight to Equal-Weight.
In after-hours action, Integrated Devices (IDTI) is trading more than 4% higher after posting better-than-expected earnings. Meanwhile, Denny's (DENN) and Texas Roadhouse (TXRH) are down 7% and 5%, respectively, after each restaurant operator had quarterly profits that fell short of the consensus analyst estimate.
Elsewhere, American International (AIG) is little changed, even though management announced better-than-expected earnings. In addition, the company boosted the quarterly dividend 128%, to $0.28 a share (1.75% yield), and added $5 billion to its stock buyback program.
Looking ahead to Tuesday morning, Aetna (AET), Coach (COH), CVS Health (CVS), Kellogg (K) and Sprint (S) headline the earnings calendar.
David Peltier is the portfolio manager for Stocks Under $10 and Dividend Stock Advisor. Test drive with a free trial.
