Home Federal Savings & Loan said it...

Home Federal Savings & Loan said it was unaware of any special reason, except for its recently reported third-quarter earnings, for the $1.125 per share rise in its stock price Monday to $27. The stock rise amid heavy New York Stock Exchange trading fueled speculation that Home Fed could be a takeover candidate.

Saying that the S&L; is not currently involved in any takeover talks, Home Federal told Dow Jones news service that it knows of no new stock analysts’ reports that might have spurred the investor interest. Spokeswoman Monica Wiley said much of the trading was attributable to a single large seller but many buyers.

Trading volume in Home Fed stock Monday totaled 120,000 shares, or triple its normal daily volume, Wiley said. Last week, Home Fed announced earnings of $27.9 million, up 33% from the same quarter a year ago. Wiley said the stock activity may have been a “delayed reaction” to the favorable earnings release.