Market Update (RSH, KMB, IGT, ABX)

Shares of RadioShack Corp RSH fell about 0.4% after the company reported weaker-than-expected Q1 earnings. RSH reported its Q1 earnings at $35.1 million, or $0.33 per share, down from $50.1 million, or $0.39 per share, in the year-earlier period. However, analysts were expecting earnings of $0.35 per share. The company's sales increased to $1.06 billion from $1.04 billion. RSH lowered the top end of its 2011 profit projections to a range of $1.60 to $1.80 per share, from $1.60 to $1.90 per share. However, analysts expected 2011 earnings of $1.72 per share. Shares of Kimberly-Clark Corp KMB dropped about 3.4% after the company reported its Q1 profit at $350 million, or $0.86 per share, down from $384 million, or $0.92 per share, in the year-earlier period. The company's adjusted profit dropped to $1.09 per share, from $1.14 per share. KMB's revenue increased 4% y/y to $5.03 billion. However, analysts were expecting earnings of $1.17 per share on revenue of $4.98 billion. Kimberly-Clark now projects 2011 adjusted earnings of $4.80 to $5.05 per share, versus its previous forecast of $4.90 to $5.05 per share. However, analysts expected earnings of $4.95 per share. Treasury prices rose and the dollar remained lower against the euro after a report depicted that sales of new homes increased 11.1% in March. Yields on 10-year notes declined 2 basis points to 3.38%. The dollar index (DXY) was at 74.002, versus 74.126 in late North American trading on Thursday. Against the dollar, the euro gained to $1.4594, from $1.4545 late Thursday. Shares of Barrick Gold Corporation ABX fell about 5.3% after the company agreed to buy Equinox Minerals for 7.3 billion Canadian dollars, or $7.8 billion. The deal valued Equinox Minerals at 8.15 Canadian dollars per share, representing a 30% premium above the stock's closing price on Feb. 25, the last trading day before the company announced a takeover bid for the Lundin Mining Corp. The Equinox board has withdrawn its bid for Lundin. Shares of International Game Technology IGT jumped about 10.5% after the company reported better-than-expected FQ2 earnings and raised its earnings guidance for the full fiscal year. IGT reported its FQ2 net income from continuing operations at $69.6 million, or $0.23 per share, up from $26 million, or $0.08 per share, in the year-earlier period. The company's revenue increased 1% to $492 million. However, analysts expected earnings of $0.20 per share on revenue of $479.2 million. The company's quarterly operating expenses dropped to $161 million from $208 million. IGT raised its earnings outlook to between $0.84 and $0.90 per share, from its earlier forecast of $0.79 to $0.87 per share. However, analysts were expecting a FY11 profit of $0.87 per share. Read more from Benzinga's Markets.