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Stocks in the Lehigh Valley: Insider Buying Boosts Intermagnetics, AMR Reports $150 Million in Pilot Strike Losses

Strategic Insights

— 2 min read

In the Lehigh Valley, investors are taking note of a few key developments in the stock market. Intermagnetics General Corp., the parent of APD Cryogenics in Allentown, has seen a surge in insider buying, with five different insiders, including company president Glenn Epstein, purchasing stock in the 1,000- to 5,000-share range since November. This is a promising sign for the company, which has been experiencing a turnaround after its stock price fell from a 52-week high of over $11 to its current trading level around $5.69 per share.

Meanwhile, AMR Corp., the parent of American Airlines, has reported significant losses due to the eight-day "sickout" by pilots earlier this year, estimated to be over $150 million in pre-tax earnings. The strike, which included about $58.7 million in losses during the three days when pilots ignored a back-to-work order, has highlighted the challenges facing the airline industry.

In other news, Lucent Technologies Inc., a major employer in the Lehigh Valley, has announced a 2-for-1 stock split, making it a more attractive investment option for shareholders.

Key Takeaways:

  • Intermagnetics General Corp. has seen a surge in insider buying, with five different insiders purchasing stock in the 1,000- to 5,000-share range since November.
  • AMR Corp. has reported significant losses due to the eight-day "sickout" by pilots earlier this year, estimated to be over $150 million in pre-tax earnings.
  • The strike, which included about $58.7 million in losses during the three days when pilots ignored a back-to-work order, highlights the challenges facing the airline industry.
  • Lucent Technologies Inc.'s 2-for-1 stock split makes it a more attractive investment option for shareholders.
  • The company's recent acquisition of Sybarus Technologies, a privately held Canadian firm that designs semiconductor chips, is seen as a positive development.
  • Dow Theory Forecasts has rated Intermagnetics, AMR, and Lucent as "accumulate," "buy," and "accumulate," respectively.

Statistics:

  • Intermagnetics' stock price has fallen from a 52-week high of over $11 to its current trading level around $5.69 per share.
  • The eight-day "sickout" by pilots earlier this year cost AMR Corp. over $150 million in pre-tax earnings.
  • The three days when pilots ignored a back-to-work order resulted in about $58.7 million in losses for AMR Corp.
  • Lucent Technologies Inc. employs about 5,000 people in the Lehigh Valley.
  • The company's stock closed at $104.25 per share Friday, up $2.

Sources:

  • The Low Prices Stock Survey
  • Dow Theory Forecasts
  • Bloomberg News
  • The Morning Call
  • Intermagnetics General Corp.
  • AMR Corp.
  • Lucent Technologies Inc.

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