Diamonds and Dogs
9/20/12Norfolk Southern Corp. (NSC)
Norfolk Southern was heading south today down 9.05% closing at $66.11. The rail transport company saw its shares drop after cutting its third quarter outlook. Norfolk cut its earnings per share forecast from $1.59 to a range of $1.18 to $1.25. The company expects poor coal shipments and lower fuel surcharge to have an adverse impact on the company's growth. The poor coal shipments are causing management to expect revenues to be lower by $120 million. Furthermore, fuel surcharge revenues would also remain a drag on revenues resulting in a reduction of $80 million. Norfolk shares fell off the tracks today, losing over $6.50 per share today.
Questcor Pharmaceuticals Inc. (QCOR)
Questcor was looking to regain some of its big losses yesterday, up 15.11% to $30.33. The company rallied today after news was released that the company did not expect yesterday's Aetna decision to negatively affect its business. CEO Don Bailey said, "We do not expect the bulletin to have a material adverse impact." Bailey went on to say, "It's clear that Aetna needs to receive some additional information from us, you could tell with the various information they put out that they did not have a complete understanding of Acthar." Questcor is still down significantly from yesterday, however today's rally was impressive.
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