NEW YORK - Valassis Communications Inc.'s stock surged Wednesday as investors welcomed news that the producer of newspaper ad inserts anticipates topping Wall Street's first-quarter earnings expectations.
| VCI | 6.5 |
Late Tuesday Valassis forecast a quarterly profit between 22 cents and 28 cents per share, which excludes charges and costs such as interest and taxes. The company predicted first-quarter revenue of about $600 million.
Analysts surveyed by Thomson Financial forecast first-quarter net income of 20 cents per share on sales of $586 million. Analysts' estimates typically exclude one-time items.
Mark Bacurin of Robert W. Baird & Co. continues to like Valassis' stock, saying integrated sales will support improved sales growth for the rest of the year.
The closing of a $160 million delayed draw term loan is also a positive for the company, as it takes away near-term liquidity concerns, the analyst added in a note to clients.
Shares of Livonia, Mich.-based Valassis Communications climbed 51 cents, or 3.9 percent, to $13.55 in afternoon trading. The stock has traded in a range of $7.67 to $19.73 over the past 52 weeks.

The new chief executive of Royal Dutch Shell Plc faces the tallest order in Euro...
Cisco live 2009 website is down and nobody can access the site for the latest in...


Take profit from the markets roller coaster. No downloads, no commissions, no spreads.
Can predict currency pairs movements? Binary option trading is what you need. Click here.
Come and experience the trading platform that everyone talks about. Simple, fast and exciting.