NASDAQ (New York) Market Overview Year: 2012 Week: 12

Even though the beginning of the week promised much since Jones Industrial Average Index (DJI), NASDAQ Composite (IXIC) and S&P 500 (INX) showed a modest growth rate, after the market opened on Tuesday all three indexes went downwards sharply and remained growing gradually till the end of Wednesday. Afterwards, Thursdays drop of 0.5 % performed by all 3 indexes influenced their development negatively, although they retrieved positions on Friday. S&P 500 index (INX) finished the week with 0.50% negative growth, Dow Jones Industrial Average (DJI) index decreased by 1.14% and only NASDAQ Composite index (IXIC) increased by 0.41%.

NASDAQ Composite index (IXIC), Dow Jones Industrial Average index (DJI) and S&P 500 index (INX) change during week 11. Source: google.com/finance

NASDAQ Composite index (IXIC) started the week with 3,055.26 points and finished it with 3067.92 points. The index rose sharply starting from Tuesday (March 20) and the growth after Thursdays drop in upcoming days (March 22-23) were very modest. Weekly volume in NASDAQ was 8,441,443,188 shares during week 12, which is on average 60,825,479,787 USD per day. The biggest winner of this week is Dialogic (DLGC) with its outstanding performance, which resulted in 86.30% growth. Anchor Bancorp Wisconsin (ABCW) and China Bak Battery (CBAK) showed impressive results as well resulting in 56.52% and 41.73% growth respectively. This week was very unfortunate for Dearborn Bancorp (DEAR), Cardiome Pharma (CRME) and Marina Biotech (MRNA) that saw their share price decrease by 65.71%, 59.07%, 31.19% respectively.

The best performer this week turned out to be a leading provider of communication technologies Dialogic Inc. (DLGC) showing a massive increase of 86.30%. Opening at 0.74 USD, the stock price was moving sideways and remained stable throughout the week when it suddenly burst on Friday morning, performing a jump of 88.92% in one day and closing at 1.36 USD level. The weekly status quo was broken after Dialogic Inc. had reported fourth quarter and full year 2011 financial results. According to financial statements, total revenues have increased by 5.5%

compared to the third quarter, achieving the highest non-GAAP Gross Margins and EBITDA in the companys history. These announcements have triggered new market trading activity, escorting the stock price to new heights. In the nearest future correction is expected to occur and lower the price. Afterwards, new support level should develop, which is likely to be significantly higher than the one in the beginning of the week.

Dialogic Inc. (DLGC) index change during week 12; Source: google.com/finance

Another great gainer of the week is Anchor Bancorp Wisconsin (ABCW) holding company for Anchor bank, which provides banking services to consumers and businesses in four different states of U.S. This week companys share price jumped from 0.46 USD to 0.72 USD, which is an increase of 56.52%.

Anchor Bancorp Wisconsin (ABCW) index change during week 12. Source: http://www.google.com/finance

Most probably upcoming annual financial statemests (fiscal year end at March 31) are the cause of price growth. Over the last quarter EPS incresed from -0.92 to -0.72 (21%) and according to yahoo.finance estimations next years earnings should become positive. The tendance attracted investors, who are willing to see even greater performance of the current quarter and of the fiscal year 2011, and led to the sharpe growth of the price before publishing annual report. So Anchor Bancorp Wisconsin is a good investment while seeing positive trend of earnings, even though they are negative at the moment; but one should also know if under any circumstances the annual report will indicate worse performance than the last year, the share price would decrease significantly.

China BAK Battery Inc. (CBAK), global manufacturer of lithium-based battery cells, faced an increase of 41.73% in its share price. Reason behind that is companys contract with Geely (one of the fastest-growing automakers in China and the parent company of Volvo Car Corporation) to develop battery packs for a new plug-in hybrid electric (PHEV) sedan. Furthermore, company finally reached consistent and sustainable level offinancial performance which is a great indicator for investors. Relatively low volumes might indicate that price of the share could go either direction (possibility of cerrection is not neglected), although we strongly believe that recent growth is based on strong fundamental evidences.

China BAK Battery Inc. (CBAK) index change during week 12; Source: google.com/finance

The third worst performer of the week is Marina Biotech (MRNA) with 31.19 % decrease in share price. Funny enough, last week the same company was the third largest winner (90.57 % increase in share price). Apparently, successful performance of the company (profitable license agreement with ProNAi Therapeutics) was outweighted by investorswillingness to take the profits; therefore, intense correction followed by high volumes occured in the market. Last four days of the trading week were relatively calm with slight fluctuation around 0.68 USD per share. Looking at the nearest future, companys shares might regain its attractiveness when unaudited report for the first quarter of 2012 will be published.

Marina Biotech (MRNA) index change during week 12; Source: google.com/finance

Week 12 was not very fortunate for share prices and main stock market indexes. Benchmarks struggled to find definite direction as the lack of news left them swinging between small gains and losses. The energy sector had dented the S&P 500, while Hewlett-Packard's decision of merging its printing and personal computing businesses dragged down the Dow. However, tech shares brought the Nasdaq into the positive zone. Week 13 is still under a thick layer of uncertainty. It is anticipated that indexes might continue their trend as an extention of this weeks course, although there are no conclusive evidence to support this argument. It would be right to say that slight fluctuations either up or down might not considered as a big suprsise. Review by: Tautrimas Lengvinas, Edgaras Marcinkus, Nerijus Ruginis, Kipras Kazlauskas