What's In The News: December 13, 2011 - Ally Financial, Bank of America, Citigroup, J.P. Morgan Chase, Wells Fargo

Uploaded by FinancialNewsOnline on Dec 13, 2011

This is what's in the news for December 13. The Wall Street Journal reports five major banks, Ally Financial, Bank of America (NYSE:BAC), Citigroup (NYSE:C), J.P. Morgan Chase (NYSE:JPM), and Wells Fargo (NYSE:WFC), could be forced to make concessions of about $19B as bank representatives and government officials move to finalize a settlement of most state and federal investigations of alleged foreclosure improprieties. Reuters reports the Federal Reserve is not expected to offer the U.S. economy new stimulus at a meeting today as it considers encouraging signs on the recovery against risks coming from Europe. Reuters also reports AT&T (NYSE:T) has another month to decide if it wants to continue to pursue its $39B acquisition of Deutsche Telekom's (PINK:DTEGY) T-Mobile USA after a U.S. judge agreed to delay the court fight over the deal until January 18. Finally, Bloomberg reports AOL (NYSE:AOL) CEO Armstrong plans to reorganize the company to combine its dial-up Internet access business with its Web services, including AOL Instant Messenger.
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Honeywell Expects Profit Growth on Emerging Markets in 2012 (potential upside 17.8%)

Uploaded by FinancialNewsOnline on Dec 15, 2011

Honeywell is forecasting a 13 percent rise in 2012 earnings as emerging-market growth offsets a slump in Europe and increased demand for commercial aircraft production boosts profits at its aerospace unit. Sales from existing businesses are expected to expand 4 percent or less in the U.S. and Europe...while growing as much as 12 percent in the rest of the world...according to Chief Financial Officer David Anderson. Honeywell's aerospace unit will boost profits by as much as 200 million dollars on increased Boeing Co. and Airbus SAS production. Anderson said Honeywell is benefiting from a push into emerging markets since Dave Cote took over as chief executive officer in 2002.

Honeywell has potential upside of 17.8 percent based on a current price of 52 dollars and 48 cents and an average consensus analyst price target of 61 dollars and 84 cents.

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Brazil Looks To Drop $10.7 Billion Lawsuit On Chevron (NYSE:CVX) (potential upside 21%)

Uploaded by FinancialNewsOnline on Dec 14, 2011

Shares of Chevron (NYSE:CVX) are trading 3.6% lower to $99.68 on news that Brazilian government prosecutor s are proposing a $10.7 billion lawsuit for the leak in an oil well off the coast of Rio De Janeiro that occurred in November, according to a Bloomberg report.

Chevron estimated 2,400 barrels leaked from its offshore field before the oil giant was able to plug the leak.

Chevron (NYSE:CVX) has potential upside of 21% based on a current price of $100.14 and an average consensus analyst price target of $121.18.

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Kratos Defense & Security Solutions (NASDAQ:KTOS) Receives $1M Contract (potential upside162.7%)

Uploaded by FinancialNewsOnline on Dec 14, 2011

Kratos Defense & Security Solutions (NASDAQ:KTOS) announced that its Herley Industries, Inc. subsidiary has been awarded a contract valued at approximately $1M by a major U.S. prime contractor for the production of Integrated Microwave Assemblies, IMAs, to be used in the U.S. Navy's P-8A aircraft.

The P-8A Poseidon is the U.S. Navy's newest maritime patrol and reconnaissance aircraft. It is a long-range anti-submarine warfare, anti-surface warfare, intelligence, surveillance and reconnaissance aircraft capable of broad-area, maritime and littoral operations.

Kratos Defense & Security Solutions (NASDAQ:KTOS) has potential upside of 162.7% based on a current price of $5.52 and an average consensus analyst price target of $14.5.