Schaeffer's Daily Market Blog Features Wal-Mart Stores, Pixar Animation Studios, PHAZAR, Medtronic, and Google.

CINCINNATI -- Among the stocks featured in the May 23 edition of Schaeffer's Market Blog are Wal-Mart Stores (NYSE:WMT), Pixar Animation Studios (NASDAQ:PIXR), PHAZAR (NASDAQ:ANTP), Medtronic (NYSE:MDT), and Google (NASDAQ: GOOG). Schaeffer's Market Blog is just one of the many free market commentaries written everyday at www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. The Market Blog is written throughout every trading day by Schaeffer's financial analysts and traders. They are quick insights to the day's most notable market activity from an options perspective. For additional information about this report or to have it delivered to you free via email every day click on the following link. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1M&PAGE=1 .

Schaeffer's Market Blog for Monday, May 23, 2005:

Below are just a few of today's Market Blog entries. Click here to read all of today's Market Blog. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1C&PAGE=1 .

10:03 AM Apple Considering Intel Chips

Rumor has it that Apple Computer (AAPL) is considering using chips made by Intel (INTC) in its Macintosh line of computers. The Wall Street Journal cited industry sources in its story this morning. APPL has long been using chips supplied by IBM (IBM) in the Macintosh line. It is unclear yet as to whether AAPL intends to use INTC chips in a limited capacity or make the switch across the board. Should it switch completely to INTC's chips, the change would be very detrimental to IBM. The sentiment for these three stocks is mixed. The table below shows the current Schaeffer's put/call open interest ratio (SOIR), the current short-interest ratio, and the analyst ratings for the three stocks. AAPL and INTC are both trading higher, and as you might expect, IBM is trading down.

10:29 AM Wal-Mart Reiterates that It Is on Track to Meet May Sales Forecast, Again

In what seems like a daily event, Wal-Mart Stores (NYSE:WMT) reiterated on Saturday that it is still on track to hit the previous forecast for sales growth of two to four percent for May. It seems as if WMT is giving daily updates on their sales figures, especially after missing earnings forecast for the first quarter. The sentiment picture has not changed much since the earnings announcement. The Schaeffer's put/call open interest ratio is at 1.30, which is higher than all but one reading taken during the past year. The SOIR was at 1.24 when the earnings were announced. The short-interest ratio is at 1.8, which is up from the April reading of 1.31 but the increase stems from a decline in average daily trading volume. The number of shares sold short actually declined during the most recent reporting period. Analysts remain fairly bullish with 13 "buy" ratings, seven "hold" ratings, and zero "sell" ratings. None of the major brokerage firms have downgraded the stock since the earnings announcement.

11:54 AM Can An Upgrade Help Pixar Hold Above Technical Resistance?

This morning, shares of Pixar Animation Studios (NASDAQ:PIXR) were upgraded from "neutral weight" to "overweight" by the Prudential Equity Group. The firm stated it believes PIXR will increase its production schedule to more than one film a year. The stock has been on my bull list for quite some time, based on the high level of skepticism toward PIXR in the midst of its technical and fundamental strength. However, one problem the stock has had is breaking through overhead resistance at the 50 level. This morning's analyst upgrade may be just what PIXR needs to hold above this important technical level. At last check, shares of PIXR were trading $2.06 higher to $52.74.

1:06 PM PHAZAR Rockets Higher

According to Hoover's, PHAZAR (NASDAQ:ANTP) is a holding company that operates through its Antenna Products, Phazar Antenna, and Thirco subsidiaries to manufactures fixed and mobile antennas for such wireless Internet, LAN, GPS, cellular, and Bluetooth networks. The company's products include cellular, shipboard, surveillance, and tactical antennas and towers primarily sold in the U.S. PHAZAR's customers include commercial equipment makers as well as agencies and contractors of the U.S. government. The stock is the biggest gainer on the Nasdaq Composite, adding more than 21 percent so far. When I last wrote about ANTP here in early May (do a search by ticker below to read that blog entry), the stock was finding support at 15. We'll its now up more than 50 percent from that level. As said then, the stock has been a volatile, momentum name that has very wide price swings. The stock has a very thin float, which contributes significantly to its volatility. Short interest is still a whopping 31 percent of the stock's float.

1:06 PM Medtronic to Release Quarterly Earnings Report After Close Tuesday

According to Yahoo! Finance, Medtronic (NYSE:MDT) is a medical technology company that provides lifelong solutions for people with chronic disease. The company is scheduled to release its quarterly earnings report after the market close tomorrow, with analysts calling for earnings of 53 cents per share. MDT has been a mixed earnings performer in the past, matching forecasts twice, missing once, and topping once during the past four quarters. A look at sentiment indicators on MDT ahead of the earnings report reveals mixed emotions from investors. Option players are relatively neutral, as the Schaeffer's put/call open interest ratio (SOIR) of 0.73 is in the middle third of all readings taken over the past year. Short interest declined by 29 percent over the most recent reporting period and now stands at 2.84 days. Financial analysts have a modestly optimistic outlook for the stock, with 15 "buy" ratings, 10 "hold" ratings, and no "sell" ratings on MDT. Today, MDT is trading 10 cents higher at $52.95.

2:11 PM Google Rockets Higher

There seems to be no stopping Google (NASDAQ:GOOG) from its upward journey. The stock is reaching new all-time highs once again today. The intraday high is right around $254 with the stock currently up $11.71, or 4.85 percent, to $253.27. Optimism toward the stock has been on the rise. However, I wouldn't be so bold as to call it an extreme in the current level of optimism, which is often indicative of a top in the shares.

2:45 PM Turn Up the Buying

Right at 2:00 p.m. someone turned on the buying, as the S&P 500 Index (SPX) jumped four points in 15 minutes - the largest move of the day. As far as I can see there isn't any reason for the sudden surge in the equity market, but its happening and that's the bottom line. Internet is having a very nice day with Google (GOOG) leading the way. As John mentioned, the search engine giant is up more than five percent today to $255 a share. Wow!

The above are just a few of today's Daily Market Blog entries. Click here to read all of today's Daily Market Blog. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1C&PAGE=1 .

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Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com , is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method .