Stocks to Watch: Hewlett-Packard, Transatlantic

Gilead Sciences (GILD) agreed to buy Pharmasset (VRUS) for $137 a share in cash.

The deal values Pharmasset at about $11 billion. The transaction price is an 89% premium to Pharmasset's closing price Friday of $72.67.

See if (HPQ) is in our portfolio

Pfizer(PFE) will pay more than $60 million to settle federal probes into whether it paid bribes to win business outside the U.S., according to The Wall Street Journal.The settlements are expected to be made public by the end of the year, according to the report, published Sunday on the Journal's Web site. The report cited anonymous sources familiar with the situation. Shares were falling 1.5% to $19.24 in premarket trading Monday. Hewlett-Packard(HPQ), the computer and printer maker, reports fiscal fourth-quarter earnings after the closing bell Monday.The report is the first under CEO Meg Whitman's watch, who joined the company in the middle of the quarter.Analysts expect HP to earn $1.13 a share on revenue of $32.06 billion.Shares were falling 1% to $27.70. Western Digital(WDC), the Irvine, Calif.-based producer of computer-storage technology, said an arbitrator in Minnesota has ruled against the company in a dispute with Seagate Technology(STX), and awarded Seagate $525 million plus interest. Seagate shares were down 0.3% to $15.96. Earnings are expected Monday from Analog Devices (ADI) and Brocade Communications(BRCD). Shares were unchanged at $4.64. Insurance company Alleghany (Y) is buying Transatlantic Holdings (TRH) for $3.4 billion. Under the deal, Transatlantic shareholders will receive a per share amount of $14.22 in cash and 0.145 Alleghany shares. That's a total value of $59.79 a share. A deal with Alleghany will help Transatlantic ward off rival Validus Holdings (VR), which has launched a hostile bid for Transatlantic. Tyson Foods (TSN) is expected by analysts to post fiscal second-quarter earnings of 51 cents a share on revenue of $329.5 million. -- Written by Joseph Woelfel and Andrea Tse>To submit a news tip, send an email to: tips@thestreet.com. Bank of America Kicks Off Shareholder Dilution

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