Diamonds and Dogs

10/17/12

Apollo Group Inc. (APOL)

Apollo Group was failing all of its investors today, down 22.14% at $21.41. The parent company of the University of Phoenix saw its shares drop after releasing a poor earnings report. Apparently, not as many people are saying "I'm a Phoenix" these days, as enrollment fell 14 percent in the quarter. The lower enrollment took its toll on revenue, as well as net income. Net income declined 50% since this time last year. The lower enrollment is also causing the company to cut 800 jobs and shut down 25 campuses in an attempt to cut costs. Apollo investors are getting wacked with the ruler today, with shares dropping well below the previous 52-week low of $25.77.

Cymer Inc. (CYMI)

Cymer Inc. is shining bright today, up 49.47% at $71.49. The light-based technology company saw its shares explode today after news of an acquisition. ASML Holdings offered to purchase Cymer for $2.55 billion. The deal comes at about a 60% premium to Cymer's Monday value, consisting of $20 in cash for each share of Cymer owned plus 1.15 ASML shares. The deal is supposed to close in the first quarter of 2013, with ASML seeing a return within two years. ASML wanted to purchase Cymer to speed up the development of extreme ultraviolet semiconductor lithography, which is needed to produce next-generation mobile chips. Cymer skyrocketed $23.66 per share today, and blasted past its previous 52-week high of $62.40.

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