Bank of America, BJ’s, Tata Motors: U.S. Equity Preview

By Matt Townsend

May 20 (Bloomberg) -- The following companies may have unusual price changes in U.S. markets. Stock symbols are in parentheses after company names, and prices are as of 7:41 a.m. in New York.

Analog Devices Inc. (ADI US) jumped 10 percent to $22.65. The maker of semiconductors for companies such as Cisco Systems Inc. forecast third-quarter earnings of 17 cents to 19 cents a share, more than the 11-cent average estimate of analysts surveyed by Bloomberg.

Bank of America Corp. (BAC US) advanced 6.3 percent to $11.96. The biggest U.S. bank by assets raised about $13.5 billion by selling stock after U.S. regulators determined it needed more cash to weather an extended recession.

BJ’s Wholesale Club Inc. (BJ US): The third-largest U.S. wholesale club chain posted first-quarter earnings excluding some items of 45 cents a share, beating the average analyst estimate by 3.5 percent.

Hewlett-Packard Co. (HPQ US) fell 3.9 percent to $35.14. The world’s largest maker of personal computers forecast third- quarter sales that missed analysts’ estimates, a sign that recession-wary customers continue to shun new technology purchases. Sales will be unchanged or drop as much as 2 percent from last quarter. That signals revenue of as low as $26.9 billion, missing the $27.5 billion average analyst estimate.

Regions Financial Corp. (RF US) dropped 4.6 percent to $5. The Alabama bank said it began selling $1 billion of common shares and $250 million of new mandatory convertible preferred shares after the government said it needs $2.5 billion to weather a worsening recession. The bank is a potential takeover target with BB&T Corp. and JPMorgan Chase & Co. the most logical bidders, Fox-Pitt Kelton Cochran Caronia Waller said in a report yesterday.

Raymond James Financial Inc. (RJF US): The biggest U.S. regional brokerage is withdrawing its application for the capital purchase program of the Troubled Asset Relief Program, saying it has “adequate internal funds.”

Tata Motors Ltd. (TTM US) surged 13 percent to $10.20. India’s largest truckmaker rose after a credit rating company said the automaker plans to sell 42 billion rupees ($879 million) of debentures.

To contact the reporter on this story: Matt Townsend in New York at mtownsend9@bloomberg.net.