Weekly Market Wrap: January 4, 2012
Friday, January 4, 5:24 PM ET

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Hi. I'm Sayoko Murase. Welcome to the 'Weekly Market Wrap' for January 4, 2012.

The Dow Jones Industrial Average, the S&P 500, and the Nasdaq were all higher for the week.

Crude oil futures are higher this week, trading around $92.88 per barrel on Friday afternoon.

Gold futures are slightly lower this week, trading at $1655.97 an ounce in afternoon trading.

In notable economic news this week, private-sector employers stepped up hiring in December, offering further evidence of underlying strength in the economy. The ADP National Employment Report showed the private sector added 215,000 jobs last month, after increasing their payrolls by 148,000 in November.

In corporate news this week, Avis Budget Group (NASDAQ:CAR) announced it will buy Zipcar (ZIP) for about $500 million, making it the number one player in the U.S. car sharing market. The offer of $12.25 per share in cash represents a premium of 49 percent to Zipcar's Monday closing price. The company currently controls 75 percent of the $400 million car sharing industry, which is projected to grow to $10 billion during the next several years.

Food packaging manufacturer Landec (NASDAQ:LNDC) announced that second quarter profit more than doubled, and restated its first quarter results to account for an undervaluation of $2.9 million for its investment in Windset Holdings. The correction adds $1.8 million, or 7 cents per share, to first quarter earnings, for a total of 17 cents per share.

Mellanox Technologies (NASDAQ:MLNX) announced that it was reducing its fourth quarter revenue outlook. The new guidance is $119 million to $121 million for the quarter, well below previous guidance of $145 to $150 million.

Calavo Growers (NASDAQ:CVGW) announced that net income increased by 72 percent in the fiscal fourth quarter, helped by a better than expected avocado harvest. The company earned $6.2 million, or 42 cents per share, up from $3.6 million, or 25 cents per share, in the same period last year. Analysts had expected earnings of 41 cents per share. Revenue dropped by 4 percent to $141.6 million from $147.3 million, due to lower avocado pricing. For the full year, the company earned $17.1 million, or $1.15 per share, versus $11.1 million, or 75 cents per share, in the same period last year. Revenue for the year increased by 6 percent to $551.1 million from $522.5 million.

Drive in restaurant chain Sonic (NASDAQ:SONC) announced that it earned $6.1 million, or 11 cents per share, for the most recent fiscal quarter that ended on November 30th, versus $5.5 million, or 9 cents per share, in the same quarter last year. Revenue decreased to $126 million from $128.3 million, in part due to the fact that some drive-ins were re-franchised. Margins improved by 80 basis points, and same store sales increased by three percent. The results met profit estimates, and beat revenue estimates of $125.9 million slightly.

This is the 'Weekly Market Wrap' for Friday January 4, 2012. Please join us on Monday for the 'Week Ahead Market Report.