Equity 11

Bronco, FNX, Teck, Magellan, RIM, TD Bank: Canada Equity Movers
Email Print A A A
By John Kipphoff and Cordell Eddings
Feb. 6 (Bloomberg) -- Shares of the following companies are having unusual moves in Canadian trading. Stock symbols are in parentheses, and prices are as of 11:59 a.m. in Toronto.
The Standard & Poor’s/TSX Composite Index rose 1.9 percent to 9,025.45. A close at this level would be highest in four weeks.
Miners of industrial metals advanced after copper prices jumped as much as 6.5 percent on speculation that government spending in China will boost growth and revive demand. Inmet Mining Corp. (IMN CN) rose 13 percent to C$26.57. Teck Cominco Ltd. (TCK/B CN) jumped 14 percent to C$5.72. Quadra Mining Ltd. (QUA CN) climbed 12 percent to C$3.89. Lundin Mining Corp. (LUN CN) gained 9.5 percent to 92 Canadian cents. Equinox Minerals Ltd. (EQN CN) added 6.7 percent to C$1.90.
Bronco Energy Ltd. (BCF CN) plunged 27 percent to 66 cents, the lowest intraday since its initial public offering in November 2005. The company exploring for oil and natural gas in Alberta was downgraded to “sell” from “hold” by Genuity Capital Markets analyst Philip Skolnick in Toronto.
FNX Mining Co. (FNX CN) rose 10 percent to C$4.52 and earlier advanced to C$4.63, the highest intraday price in a month. The miner that sells nickel and copper ore to Cia. Vale do Rio Doce said it canceled a $100 million line of credit because the borrowing cost has risen too much and it has enough cash to finance operations.
Kinross Gold Corp. (K CN) added 1.9 percent to C$22.67 and earlier climbed to C$23, the highest price intraday since Jan. 26. Canada’s third-largest gold producer was raised to “buy” from “neutral” by UBS AG analyst Brian MacArthur after the brokerage raised its 2009 and 2010 price estimate for the metal this week.
Magellan Aerospace Corp. (MAL CN) slumped 25 percent to 62 cents and earlier lost 33 percent, the most intraday in 16 years. The maker of aircraft parts was downgraded to “sell” from “buy” by Dundee Securities analyst Richard Stoneman in Toronto.
Magellan said this week that it is in “serious financial difficulty” and that it received additional financing from its biggest shareholder, Canadian oil billionaire Murray Edwards. Stoneman cut his share-price target 81 percent to 50 cents, according to Bloomberg data.
North American Energy Partners Inc. (NOA CN) climbed 14 percent to C$3.48, the highest intraday price since Jan. 20. The provider of services to oilsands producers reported fiscal third-quarter profit of 59 cents a share, or 69 percent more than the average analyst estimate in a Bloomberg survey.
Research In Motion Ltd. (RIM CN) climbed 5.4 percent to C$73.74 and reached $74.50 earlier, the highest intraday price since Oct. 14. UBS AG analysts led by Jeffrey Fan said their analysis found improving sales at the maker of the BlackBerry smartphone. UBS raised its share-price estimate 36 percent to $57 (C$72.01) and kept its “neutral” rating on the stock unchanged, citing concern that the weakening economy may hurt demand for mobile phones.
RIM also had its share estimate increased to $67 by Bank of America Corp. analysts led by Vivek Arya in New York, who said new handsets will help the company gain market share from competitors. Bank of America reiterated its “buy” recommendation.
Toronto-Dominion Bank (TD CN) gained the most intraday since Jan. 28, rising 2.6 percent to C$40.17. Canada’s second- largest bank by assets increased its stake in TD Ameritrade Holding Corp. (AMTD US) to 45 percent.
To contact the reporters on this story: John Kipphoff in Toronto at jkipphoff@bloomberg.net; Cordell Eddings in New York at ceddings@bloomberg.net.