ID
stringlengths 6
11
| CONTEXT
stringlengths 3
140k
⌀ |
|---|---|
NEWS_600
|
Shares of Marsh & McLennan Cos. MMC, +0.23% inched 0.23% higher to $173.51 Monday, on what proved to be an all-around positive trading session for the stock market, with the S&P 500 Index SPX, +1.19% rising 1.19% to 4,019.81 and the Dow Jones Industrial Average DJIA, +0.76% rising 0.76% to 33,629.56. This was the stock's third consecutive day of gains. Marsh & McLennan Cos. closed $9.63 short of its 52-week high ($183.14), which the company achieved on April 21st.
The stock demonstrated a mixed performance when compared to some of its competitors Monday, as Accenture PLC Cl A ACN, -0.40% fell 0.40% to $279.34, Chubb Ltd. CB, +1.43% rose 1.43% to $223.59, and American International Group Inc. AIG, +1.01% rose 1.01% to $63.10. Trading volume (1.4 M) remained 199,584 below its 50-day average volume of 1.6 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_601
|
Shares of 3M Co. MMM, +1.63% rallied 1.63% to $122.62 Monday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +1.19% rising 1.19% to 4,019.81 and the Dow Jones Industrial Average DJIA, +0.76% rising 0.76% to 33,629.56. This was the stock's second consecutive day of gains. 3M Co. closed $52.63 short of its 52-week high ($175.25), which the company reached on January 26th.
The stock demonstrated a mixed performance when compared to some of its competitors Monday, as Johnson & Johnson JNJ, -0.25% fell 0.25% to $168.31, Honeywell International Inc. HON, +1.20% rose 1.20% to $204.46, and General Electric Co. GE, +2.69% rose 2.69% to $79.77. Trading volume (3.4 M) eclipsed its 50-day average volume of 2.8 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_602
|
PLANO, Texas, Jan. 23, 2023 /PRNewswire/ -- Dogness (International) Corporation ("Dogness" or the "Company") (NASDAQ: DOGZ), a developer and manufacturer of a comprehensive line of Dogness-branded, OEM/ODM and private label pet products, today announced it is benefitting from a significant rebound in pet product sales in the Australian market. This is the latest strategic market to benefit from a post-COVID reopening and return to a more normalized environment. This follows strong sales growth for the full calendar year 2022 ended December 31, 2022, with sales to Australia more than doubling prior year sales.
Logo (PRNewsfoto/Dogness International Corporation)
It is estimated that the Australian pet market will reach $3.9 billion in 2023, with the total number of pets in the country having increased from 28.5 million in 2019 to 30.4 million in 2021. (source: Mordor Intelligence)
Silong Chen, Chairman and Chief Executive Officer of Dogness, commented, "We are encouraged with our continued strong performance in the Australian market. By leveraging established local sales partners and expanding to more instore and online channels, we have quickly gained traction and considerable momentum for our intelligent pet products and our traditional pet product lines. Our commitment to developing attractive, high-quality products that ensure comfort to pets and sought after utility to pet parents sets Dogness apart and positions us well for continued success in Australia and all of the markets we serve worldwide, including China, the U.S. and Japan. We are confident entering 2023 and look forward to further building on our brand awareness and customer momentum."
Dogness has built an integrated sales platform across all channels, with major customers including Petco, PetSmart, Costco Wholesale Corporation, Xiuhu, Sam's Club, Walmart, Target, QVC®, Pet Value, Pets at Home, PETZL, Petmate, Trendspark, Anyi Trading, IKEA, SimplyShe, and online shopping platforms, such as Amazon, Chewy.com, Boqii Holding Limited, Target.com, HomeDepot.com, Loews.com, Wayfair.com, JD, Tmall and Taobao, as well as live streaming sales platforms hosted by influencers.
Story continues
About Dogness
Dogness (International) Corporation was founded in 2003 from the belief that dogs and cats are important, well-loved family members. Through its smart products, hygiene products, health and wellness products, and leash products, Dogness' technology simplifies pet lifestyles and enhances the relationship between pets and pet caregivers. The Company ensures industry-leading quality through its fully integrated vertical supply chain and world-class research and development capabilities, which has resulted in over 200 patents and patents pending. Dogness products reach families worldwide through global chain stores and distributors. For more information, please visit: ir.dogness.com.
Forward Looking Statements
No statement made in this press release should be interpreted as an offer to purchase or sell any security. Such an offer can only be made in accordance with the Securities Act of 1933, as amended, and applicable state securities laws. Certain statements in this press release concerning our future growth prospects are forward-looking statements regarding our future business expectations intended to qualify for the "safe harbor" under the Private Securities Litigation Reform Act of 1995, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding lingering effects of the Covid-19 pandemic on our customers' businesses and end purchasers' disposable income, our ability to raise capital on any particular terms, fulfillment of customer orders, fluctuations in earnings, fluctuations in foreign exchange rates, our ability to manage growth, our ability to realize revenue from expanded operation and acquired assets in China and the U.S., our ability to attract and retain highly skilled professionals, client concentration, industry segment concentration, reduced demand for technology in our key focus areas, our ability to successfully complete and integrate potential acquisitions, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings. These filings are available at www.sec.gov. Dogness may, from time to time, make additional written and oral forward-looking statements, including statements contained in the Company's filings with the Securities and Exchange Commission and our reports to shareholders. In addition, please note that any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of the date of this press release. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company unless it is required by law.
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/dogness-benefits-from-rebound-in-pet-product-sales-in-australian-market-latest-market-to-benefit-from-post-covid-reopening-301727747.html
SOURCE Dogness International Corporation
|
NEWS_603
|
Shares of Dover Corp. DOV, +1.71% advanced 1.71% to $141.72 Monday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +1.19% rising 1.19% to 4,019.81 and the Dow Jones Industrial Average DJIA, +0.76% rising 0.76% to 33,629.56. This was the stock's second consecutive day of gains. Dover Corp. closed $33.38 below its 52-week high ($175.10), which the company achieved on January 27th.
The stock demonstrated a mixed performance when compared to some of its competitors Monday, as Danaher Corp. DHR, +0.95% rose 0.95% to $277.00, Paccar Inc. PCAR, +3.08% rose 3.08% to $102.25, and Ingersoll Rand Inc. IR, +0.98% rose 0.98% to $55.89. Trading volume (490,636) remained 339,582 below its 50-day average volume of 830,218.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_604
|
Shares of Wayfair Inc. soared again Monday toward a five-month high, after a longtime bearish analyst swung to bullish from bearish, saying the online home furnishings seller’s job cut announcement is a sign of management’s “newfound commitment” to cutting costs.
J.P. Morgan’s Christopher Horvers double upgraded Wayfair’s stock to overweight, after being underweight since April 2020. He boosted his stock price target by 80%, to $63 from $35.
The stock W, +26.80% shot up 25.0% in morning trading, putting them on track for the highest close since Aug. 18.
On Friday, the stock had rocketed 20.3% after Wayfair said it was laying off 1,750 employees, or about 10% of its workforce, as part of a cost-cutting plan, to join the growing number of companies announcing workforce reductions.
The stock’s 50.3% rally the past two days would be the biggest two-day gain since it ran up 53.0% over the two sessions ended April 7, 2020.
Horvers wrote in a note to clients that his swing to being bullish is based on “a positive shift in market share trends and management’s newfound commitment to controlling expenses/investments, which combined, should cause a significant inflection in earnings revisions from steeply negative over the past two years to positive, on top of still-attractive valuation.”
Wayfair is expected to report fiscal fourth-quarter results on or around Feb. 23, with the FactSet consensus suggesting a fifth-straight quarterly loss, and a year-over-year decline in sales for the seventh-straight quarter.
Despite an ebb and flow of demand resulting from the COVID pandemic, Horvers believes Wayfair remains “structurally relevant” in home retailing, as the company is well positioned to capitalize on the longer-term home-retailing industry mix shift to online.
“[W]e believe W remains structurally relevant in the home retailing industry, with a leading online assortment and advantaged supply chain, and we expect it to benefit from the longer term shift of the category online,” Horvers wrote. “Thus, we expect investors to come our way in 2023.”
The average rating of the 38 analysts surveyed by FactSet is the equivalent of neutral and the average price target is $49.47, which is about 15% below current prices.
|
NEWS_605
|
By Geoffrey Smith
Investing.com -- Here are some of the stocks in focus in premarket trading on Monday, 23rd January. Please refresh for updates.
Wayfair (NYSE:W) stock rose 12% after getting a double-upgrade from JPMorgan, flipping from underweight to overweight. The stock had already risen 20% to a four-month high on Friday. Salesforce (NYSE:CRM) stock rose 4.7% after hedge fund Elliott confirmed it has taken a substantial stake in business software company. Elliott managing partner Jesse Cohn said the fund "is looking forward to working constructively" with Marc Benioff and his management team. Spotify (NYSE:SPOT) stock rose 5.9% after the Swedish-based podcasting company said it will cut its workforce by around 6%, making it the latest in a line of technology companies to cut back after over-hiring during the pandemic. Baker Hughes (NASDAQ:BKR) stock rose 3.0% after the oilfield services company reported record order inflows in the fourth quarter, setting it up for a year of strong operational cash flow. Abbott Labs (NYSE:ABT) stock fell 2.5% after a report late on Friday that the Department of Justice is investigating conduct at its infant formula plant in Sturgis, Michigan. The plant was temporarily shut during a period when the market for formula was already badly undersupplied due to a number of factors. Synchrony Financial (NYSE:SYF) stock rose 2.0% after the former GE Capital reported better-than-expected earnings, with higher interest income and fee income offsetting provisions that were more than double the level of a year ago. PayPal (NASDAQ:PYPL) stock fell 2% after The Wall Street Journal reported that major U.S. banks are teaming up to provide their own digital wallet, which would compete with PayPal.
Related Articles
Wayfair surges, Spotify rises in premarket; PayPal falls
Baker Hughes misses profit estimate amid shortages, inflation
Activist investor Elliott Management takes stake in Salesforce - sources
|
NEWS_606
|
ASTANA, Jan 16 (Reuters) - Vkusno & tochka, the Russian successor brand to McDonald's, has applied to have its trademarks registered in neighbouring Kazakhstan following the U.S. company's exit from its market, the Kazakh government said on Monday.
McDonald's and its Kazakh licensee terminated their agreement this month, citing supply issues.
Sources earlier told Reuters McDonald's Kazakhstan had stopped buying supplies from Russia and had trouble replacing them.
McDonald's closed its Russian restaurants soon after Moscow sent tens of thousands of troops into Ukraine last February, eventually selling to a local licensee, Alexander Govor, who unveiled the Vkusno & tochka brand in June.
The Russian company did not immediately reply to a request for comment. (Reporting by Tamara Vaal; writing by Olzhas Auyezov; editing by Jason Neely)
|
NEWS_607
|
Mohawk Industries, Inc.
CALHOUN, Ga., Jan. 16, 2023 (GLOBE NEWSWIRE) -- Mohawk Industries, Inc. (NYSE: MHK), the world’s largest floor covering manufacturer, today announced that it has entered into an agreement with plaintiffs to resolve the previously disclosed securities class action lawsuit. Mohawk and certain of its executive officers were named as defendants in this lawsuit initially filed on January 3, 2020, in the United States District Court for the Northern District of Georgia (the “Securities Class Action”). Mohawk believes that this Securities Class Action is without merit and that it has substantive defenses to the claims of liability and damages; however, Mohawk has concluded that further litigation would be protracted, burdensome and expensive. In exchange for dismissal and a full release of claims against the defendants, the parties reached an agreement to settle the Securities Class Action for $60 million, of which a significant portion is covered by insurance. The settlement of the Securities Class Action is expected to be submitted for preliminary approval by the court. The settlement of this case is subject to the usual and customary final documentation, public notice, and court approval.
Mohawk has also successfully settled a previously disclosed dispute with the Belgian Tax Authority (“BTA”) regarding the tax treatment of royalty income arising from intellectual property. In April 2022, the BTA issued a tax assessment of approximately €187 million (including penalties but excluding interest) for the calendar years ending December 2013 through 2018. Although Mohawk believes its tax position in Belgium is correct, Mohawk entered into an agreement with the BTA on November 23, 2022, to settle the dispute for a one-time payment of €3 million.
Since Mohawk issued its third quarter earnings release on October 27, 2022, the U.S. Federal Reserve has announced two additional interest rate increases. These increases, combined with continuing high inflation and lagging consumer confidence in the U.S. and Europe, resulted in the global residential flooring business softening more than the Company expected in the fourth quarter. In response, the Company increased temporary plant shutdowns, which further compressed margins and lowered quarterly results. In addition, demand in Flooring North America weakened more than the other segments, which led to actions to reduce its inventory levels. The combination of the lower volume, plant shutdowns and the consumption of higher cost carpet inventory decreased the segment’s financial performance for the quarter. Due to these factors, the Company’s fourth quarter adjusted EPS is expected to be between $1.27 and $1.31, excluding any restructuring or other one-time charges. The Company’s complete fourth quarter and full-year results, as well as guidance for the first quarter of 2023, will be included in the fourth quarter earnings release on February 9, 2023, with more extensive commentary to follow during the quarterly investor call on February 10, 2023.
The Company is in the process of completing its accounting processes and preparing its fourth quarter and full year 2022 financial statements. As a result, the preliminary financial results presented in this release are based on current expectations and may be adjusted as a result of, among other things, completion of the Company’s financial closing procedures and annual audit and other developments that may arise between now and the time these financial results are finalized. Furthermore, the adjusted EPS financial measure presented in this release is calculated consistent with how the Company has historically calculated adjusted EPS and excludes certain items that may not be indicative of, or are unrelated to, the Company’s core operating performance.
ABOUT MOHAWK INDUSTRIES
Mohawk Industries is the leading global flooring manufacturer that creates products to enhance residential and commercial spaces around the world. Mohawk’s vertically integrated manufacturing and distribution processes provide competitive advantages in the production of carpet, rugs, ceramic tile, laminate, wood, stone, and vinyl flooring. Our industry leading innovation has yielded products and technologies that differentiate our brands in the marketplace and satisfy all remodeling and new construction requirements. Our brands are among the most recognized in the industry and include American Olean, Daltile, Durkan, Eliane, Feltex, Godfrey Hirst, IVC, Karastan, Marazzi, Mohawk, Mohawk Group, Pergo, Quick-Step and Unilin. During the past decade, Mohawk has transformed its business from an American carpet manufacturer into the world’s largest flooring company with operations in Australia, Brazil, Canada, Europe, Malaysia, Mexico, New Zealand, and the United States.
Certain of the statements in the immediately preceding paragraphs, particularly anticipating fourth quarter and year end results, future performance, business prospects, growth and operating strategies and similar matters and those that include the words “could,” “should,” “believes,” “anticipates,” “expects,” and “estimates,” or similar expressions constitute “forward-looking statements.” For those statements, Mohawk claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. There can be no assurance that the forward-looking statements will be accurate because they are based on many assumptions, which involve risks and uncertainties. The following important factors could cause future results to differ: changes in economic or industry conditions; competition; inflation and deflation in raw material prices and other input costs; inflation and deflation in consumer markets; energy costs and supply; timing and level of capital expenditures; timing and implementation of price increases for the Company’s products; impairment charges; integration of acquisitions; international operations; introduction of new products; rationalization of operations; taxes and tax reform; product and other claims; litigation; the risks and uncertainty related to the COVID-19 pandemic; and other risks identified in Mohawk’s SEC reports and public announcements.
Contact: James Brunk, Chief Financial Officer (706) 624-2239
|
NEWS_608
|
Wall Street kicked off the fourth-quarter 2022 earnings season last Friday. However, the season will gather pace this week. This reporting cycle will be important as market participants will closely monitor any sign of earnings, revenues or margin decline.
A large section of economists and financial experts are concerned that the U.S. economy may face at least a mild recession in 2023 with a higher interest rate regime and tighter monetary control adopted by the Fed.
Nevertheless, five insurers are likely to beat Q4 2022 earnings results. These are - Aflac Inc. AFL, Reinsurance Group of America Inc. RGA, Marsh & McLennan Companies Inc. MMC, Unum Group UNM and The Travelers Companies Inc. TRV.
Insurance Sector Q4 2022
An improving interest rate environment benefits life insurers as their products and investments are rate sensitive. A favorable interest rate thus impacts life insurers' earnings, capital and reserves, liquidity, and competitiveness positively.
Insurance brokerage firms are continuously expanding globally, cross-selling products, increasing rates, tightening underwriting standards, and controlling expenses. Growth in the aging population is driving demand for retirement benefit products. The rising population of baby boomers and millennials as well as increasing awareness is boosting demand for medical insurance, life insurance, accidental insurance and other forms of insurance.
To maintain competitiveness in the industry, players are embracing technological change. The threat comes from new entrants, including technology companies like insurtechs, start-ups and others. Insurers are focused on using technology and innovation, including artificial intelligence, robotics and blockchain, to simplify and improve client experience, increase efficiencies, alter business models and bring about other disruptive changes in industries in which the existing players operate.
Accelerated digitization is also curbing costs, thus aiding margin expansion. It will also help in faster claims processing, thus improving operational performance and retention rate. While investments in technology increase business efficiency, the expenses associated with such investments increase operating costs. At the same time, insurers must shield themselves from falling prey to cyber threats.
Story continues
Our Top Picks
Five insurance companies are set to beat on fourth quarter earnings results. Each of these stocks carries a Zacks Rank #2 (Buy) and has a positive Earnings ESP. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Our research shows that for stocks with the combination of a Zacks Rank #3 (Hold) or better and a positive Earnings ESP, the chance of an earnings beat is as high as 70%. These stocks are anticipated to appreciate after their earnings releases. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
The chart below shows the price performance of our five picks in the ast quarter.
Zacks Investment Research
Image Source: Zacks Investment Research
The Travelers Companies boasts a strong market presence in auto, homeowners’ insurance and commercial U.S. property-casualty insurance with solid inorganic growth. A high retention rate, increase in new business and positive renewal premium change bode well.
TRV’s commercial businesses should perform well owing to market stability. The Travelers Companies remains optimistic about the personal line of business, given growth at the profitable agency auto and homeowners business. TRV expects fixed income NII, including earnings from short-term securities, to be around $500 million after-tax in the fourth quarter.
The Travelers Companies has an Earnings ESP of +2.59%. It has an expected earnings growth rate of 11.2% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 0.1% over the last seven days.
TRV recorded earnings surprises in the last four reported quarters, with an average beat of 25.4%. The company is set to release earnings results on Jan 24, before the opening bell.
Marsh & McLennan Companies is well-poised to grow on the back of significant investments and acquisitions made within its operating units, the launch of new products and branching out into new businesses.
MMC’s increased stake in Marsh India will further buoy growth. Revenues have been increasing thanks to a wide geographic presence and strong client retention. The Risk and Insurance Services unit has been contributing to revenue growth too.
Marsh & McLennan Companies has an Earnings ESP of +5.67%. It has an expected earnings growth rate of 9.8% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 1% over the last seven days.
MMC recorded earnings surprises in the last four reported quarters, with an average beat of 3.2%. The company is set to release earnings results on Jan 26, before the opening bell.
Unum Group’s conservative pricing and reservation practices have contributed to overall profitability. A sustained increase in premiums of UNM is fueled by high persistency levels in core business lines and strong sales volume along with solid benefits experience.
Continued rollout of dental products and geographic expansion have been paying off as acquired dental insurance businesses of UNM are growing in the United States and the U.K. We believe strong operating results have led to solid statutory earnings and capital, boosting financial flexibility.
Unum has an Earnings ESP of +0.80%. It has an expected earnings growth rate of 1% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 0.3% over the last 30 days.
Unum recorded earnings surprises in the last four reported quarters, with an average beat of 34.9%. The company is set to release earnings results on Jan 31, after the closing bell.
Aflac is poised to grow from the buyout of Argus Dental and Vision. Multiple product launches, the build-out of a virtual sales channel and a robust product pipeline will keep driving AFL’s sales. Its cost-saving efforts will aid the bottom line.
Sound capital management enables it to return shareholders’ funds via share buybacks and dividend payments. AFL has been raising its dividend for 40 consecutive years. Its strong solvency position is impressive.
Aflac has an Earnings ESP of +2.12%. It has an expected earnings growth rate of 3.1% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 0.7% over the last 30 days.
AFL recorded earnings surprises in the last four reported quarters, with an average beat of 4.8%. The company is set to release earnings results on Feb 1, after the closing bell.
Reinsurance Group of America steadily benefits from a mix of organic and transactional opportunities. RGA’s niche position in reinsurance markets and expansion of international footprint are positives. Individual mortality has matured and provides a base for stable earnings. Individual mortality has matured and provides a base for stable earnings.
Significant value embedded in in-force business should generate predictable long-term earnings. RGA is poised to benefit from improving life reinsurance pricing environment and higher investment income. A solid solvency position reflects its ability to make interest payments.
Reinsurance Group of America has an Earnings ESP of +1.59%. It has an expected earnings growth rate of 5.5% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 2.3% over the last 30 days.
RGA recorded earnings surprises in three out of the last four reported quarters, with an average beat of 49.7%. The company is set to release earnings results on Feb 2, after the closing bell.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The Travelers Companies, Inc. (TRV) : Free Stock Analysis Report
Aflac Incorporated (AFL) : Free Stock Analysis Report
Unum Group (UNM) : Free Stock Analysis Report
Marsh & McLennan Companies, Inc. (MMC) : Free Stock Analysis Report
Reinsurance Group of America, Incorporated (RGA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_609
|
Are we data dependent—or data delusional?
Right now, the stability of the stock market boils down to how investors view recent economic data suggesting that inflationary pressures might be easing.
If you believe the data, the market’s recent gains are legitimate. The Federal Reserve might raise rates less aggressively, which would help secure those gains and perhaps even create a meaningful foundation for a recovery rally.
Conversely, perhaps you believe that more information is needed beyond a smattering of bullish data points—and that the market’s gains might be evidence of widespread delusional thinking.
Unlike extreme stock declines, which frighten most people, hardly anyone ever complains about rising prices, even if the moves are extremely unusual. Last week’s 700-point gain in the Dow Jones Industrial Average looks like just such a socially acceptable type of volatility.
Rather than getting into a high-minded debate, let’s focus on some “known knowns” that are hard to dismiss. They should give investors even more reason to patiently wait for the market to reveal more of itself before reaching any firm conclusion about what 2023 holds in store.
Corporate earnings season has just begun. Investor expectations are dour, and it is hard to know whether sentiment is calibrated with reality. Extrapolating messages from earnings is also arguably more difficult this go-round than in the past.
For one thing, the current Fed leaders have become incredibly skilled at weaponizing words and compiling meeting minutes to keep investors on edge. The Fed’s rate-setting committee concludes a two-day meeting on Feb. 1. Expectations are high that rates will rise another quarter percentage point.
At the same time, the leaders of Goldman Sachs, who arguably know more than most investors most of the time, aren’t exactly signaling cheerfulness. Even as the firm’s analysts strain to find good news around U.S. companies, Goldman is laying off 3,200 staff members. Many other big companies are also reducing head count, which few do when they are optimistic about the future.
All of this adds up to one conclusion: You shouldn’t rush to act. Rather than buying this or that stock in anticipation of how investors react to the Fed or the avalanche of data that will hit the market, consider taking a step back.
In the absence of a clear trend, we recently suggested that investors consider renting stocks in the options market by buying calls. The approach risks less money than buying the associated stock, and that has merit in a time of risk.
But there is another approach, too. If you have stocks that you want to buy, think about trading cash-secured put options. The strategy entails reserving the amount of money needed to buy the stock in your brokerage account and then selling the associated put.
Consider a Moderna (ticker: MRNA) trade as a way to monetize the possibility that we are living in an age of viral pandemics that might require new medical treatments.
With the drugmaker at $192, the February $170 put could be sold for about $4.50. If the stock is above the strike price at expiration, you get to keep the put premium. The great risk is if the stock falls far below the put strike, which would obligate investors to buy the stock at the strike price, or adjust the position to avoid assignment.
During the past 52 weeks, Moderna has ranged from $115.03 to $217.25.
Steven M. Sears is the president and chief operating officer of Options Solutions, a specialized asset-management firm. Neither he nor the firm has a position in the options or underlying securities mentioned in this column.
Email: [email protected]
|
NEWS_610
|
Morgan Stanley’s MS trading business (constituting a significant portion of its top line) is expected to have been a bright spot in the fourth quarter of 2022. Hence, the company’s fourth-quarter results, scheduled to be announced on Jan 17 before the opening bell, are expected to reflect the benefits of robust trading performance.
Like the first three quarters of 2022, market volatility and client activity were robust in the fourth quarter. Several factors, including Russia’s invasion of Ukraine and continued supply-chain disruptions, led to ambiguity among investors. Also, the ultra-aggressive stance of the central banks across the globe to control inflation and ensuing fears of an economic slowdown/recession drove client activity and trading volumes.
These resulted in heightened volatility in the equity markets and other asset classes, including commodities, bonds and foreign exchange. So, Morgan Stanley is likely to have recorded an improvement in trading revenues this time.
The Zacks Consensus Estimate for fourth-quarter equity trading revenues is pegged at $2.08 billion. The figure suggests a decline of 27.1% from the previous-year quarter’s reported number. The consensus estimate for fixed-income trading revenues of $1.47 billion indicates a year-over-year increase of 19.5%. Our estimates for equity trading revenues and fixed-income trading revenues are $2.16 billion and $1.52 billion, respectively.
Other Factors to Influence Q4 Results
Net Interest Income (NII): Lending activities continued at a solid pace in the to-be-reported quarter. Per the Fed’s latest data, there was a slight moderation in wholesale and consumer lending in the quarter, with real estate loans holding ground. These are likely to have driven decent loan growth for Morgan Stanley.
The Federal Reserve continued with its ultra-hawkish monetary policy stance, raising interest rates by another 125 basis points in the quarter. Thus, the policy rate reached 4.25-4.50%, the highest in the past 15 years. This is likely to have had a favorable impact on Morgan Stanley’s net interest margin (NIM) and NII. Yet, the inversion of the yield curve in the December-end quarter is expected to have weighed on NIM to some extent.
The consensus estimate for NII is pegged at $2.5 billion, suggesting an increase of 19.8% on a year-over-year basis. Our estimate for NII is $2.52 billion, indicating a rise of 20.4%.
Investment Banking (IB) Income: Similar to the first three quarters of 2022, global deal-making continued to shrink in the fourth quarter. A host of factors like geopolitical tensions, sky-high inflation, rising interest rates and fears of a global recession acted as headwinds for M&As. Thus, both deal volume and total value numbers crashed during the fourth quarter.
While Morgan Stanley’s position as one of the leading players in the space is likely to have provided some leverage, overall growth in advisory fees is expected to have been weak in the quarter. The consensus estimate for advisory fees is pegged at $608 million, suggesting a plunge of 43.2% on a year-over-year basis. Our estimate for the same stands at $618.5 million, suggesting a decline of 42.3%.
For similar reasons, IPOs and follow-up equity issuances dried up in the to-be-reported quarter. Bond issuance volumes witnessed a decline too. Hence, Morgan Stanley’s underwriting fees are expected to have been hurt in the quarter under review.
The consensus estimate for fixed-income underwriting fees is pegged at $340 million, suggesting a fall of 33.3%. The Zacks Consensus Estimate for equity underwriting fees of $241 million indicates a plunge of 71.7%. Thus, the consensus estimate for total underwriting fees of $582 million implies a decrease of 57.3%.
Our estimate for fixed-income underwriting fees is $307.7 million, while that for equity underwriting fees is $275.8 million.
Overall, the Zacks Consensus Estimate for IB income of $1.19 billion indicates a decline of 50.9%. Our estimate for IB income is $1.2 billion, implying a plunge of 50.6%.
Expenses: Cost reduction, which has long been the main strategy of Morgan Stanley to remain profitable, is unlikely to have been a major support in the October-December quarter. As the company continues to invest in franchise, overall costs are anticipated to have flared up.
Story continues
What Our Quantitative Model Predicts
According to our proven model, the chances of Morgan Stanley beating the Zacks Consensus Estimate for earnings this time around are low. This is because it doesn’t have the right combination of the two key ingredients — positive Earnings ESP and Zacks Rank #3 (Hold) or better — to increase the odds of an earnings beat.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: The Earnings ESP for Morgan Stanley is -0.72%.
Zacks Rank: The company currently carries a Zacks Rank #3.
Morgan Stanley Price and EPS Surprise
Morgan Stanley Price and EPS Surprise
Morgan Stanley price-eps-surprise | Morgan Stanley Quote
The Zacks Consensus Estimate for the company’s fourth-quarter earnings has moved 2.3% lower to $1.25 over the past seven days. The estimate suggests a 39.9% decline from the year-ago reported number. Our estimate for earnings is $1.30 per share.
The consensus estimate for sales is pegged at $12.16 billion, which indicates a year-over-year fall of 16.3%. Our estimate for total revenues is $11.69 billion.
Banks to Consider
Here are a couple of bank stocks that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this time around:
The Earnings ESP for Goldman Sachs GS is +1.23% and it carries a Zacks Rank #3, at present. The company is slated to report fourth-quarter and full-year 2022 results on Jan 17.
Over the past seven days, GS’ Zacks Consensus Estimate for quarterly earnings has moved 4.2% lower.
Citizens Financial Group CFG is also scheduled to release fourth-quarter and full-year 2022 earnings on Jan 17. The company, which carries a Zacks Rank #3 at present, has an Earnings ESP of +0.45%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CFG’s quarterly earnings estimates have remained unchanged over the past week.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The Goldman Sachs Group, Inc. (GS) : Free Stock Analysis Report
Morgan Stanley (MS) : Free Stock Analysis Report
Citizens Financial Group, Inc. (CFG) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_611
|
Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) CEO Warren Buffett used to have a reputation for being somewhat averse to the technology sector. Through his years of market-crushing performance, the famously successful investor generally preferred to put his company's money behind businesses with streamlined models operating in relatively simple industries, and tech companies have a reputation for complexity. In fact, Berkshire has more equity holdings in technology companies than any other sector -- and by a substantial margin.
|
NEWS_612
|
The $10bn investment that Microsoft is considering in San Francisco-based research outfit OpenAI looks set to become the defining deal for a new era of artificial intelligence. If the US software giant is right about the far-reaching implications of the technology, it could also trigger a realignment in the AI world as other tech groups race to stake out their place in the new field of generative AI. “These [AI] models are going to change the way that people interact with computers,” said Eric Boyd, head of AI platforms at Microsoft.
|
NEWS_613
|
The EU's antitrust watchdog will likely warn Microsoft over the technology giant's potential $69 billion acquisition of video game maker Activision Blizzard, according to a new media report.
Sources recently told Reuters that the European Commission's concerns over the deal would be made public in the coming weeks. Blizzard is the publisher that owns the famous "Call of Duty" video game franchise.
The commission's statement has a set deadline of April 11, 2023, for its objections, according to Reuters. Blizzard's latest "Call of Duty: Modern Warfare 2" generated over $1 billion in revenue 10 days after its initial November release date.
"We're continuing to work with the European Commission to address any marketplace concerns," a Microsoft spokesperson told Reuters in a statement. "Our goal is to bring more games to more people, and this deal will further that goal."
VIDEO GAME WORKERS ESTABLISH MICROSOFT'S FIRST UNION
Microsoft, which owns the Xbox console brand, announced the deal to purchase Blizzard in January 2022. However, antitrust regulators in the United States and the United Kingdom have attempted to stall the acquisition.
READ ON THE FOX BUSINESS APP
In order to avoid concerns over the deal, Microsoft has vowed to make "Call of Duty" available on Nintendo in a 10-year agreement. The company is willing to negotiate with its competitor Sony for the same conditions, according to Reuters.
VIDEO GAMERS SUE MICROSOFT OVER $69 BILLION ACTIVISION DEAL
Countries such as Saudi Arabia, Serbia and Brazil have given Microsoft approval to move forward with the acquisition without mandatory conditions.
The EU launched the investigation of Microsoft's acquisition in November 2022 before the deal was announced, fearing it would create unfair control of the video game industry.
|
NEWS_614
|
The tech sector had a difficult year in 2022, as soaring inflation followed by rapidly rising interest rates brought the sector back down from the meteoric valuations it saw in 2021. The outlook for this year is still quite uncertain, with liquidity tightening and the impact of all of the Fed's rate hikes still largely unknown. The Invesco QQQ Trust (NASDAQ: QQQ) is a popular tech ETF because it owns many headline-grabbing tech stocks like Apple, Microsoft, Amazon, Alphabet, and Meta Platforms, just to name some of its largest holdings.
|
NEWS_615
|
(Bloomberg) -- Microsoft Corp. has invested in Asian human resources software company Darwinbox, as more corporate customers seek an edge in retaining talented workers.
Most Read from Bloomberg
The US tech giant made an equity investment of an undisclosed size as an extension of Darwinbox’s Series D round that valued the company at more than $1 billion in early 2022, according to the startup’s statement Tuesday. As part of the deal, the two companies will work together to integrate the Darwinbox and Microsoft product ecosystems.
Darwinbox, which serves more than 700 enterprise clients, was founded in Hyderabad, India, in 2015 and counts Singapore as its international headquarters. Salesforce Ventures and Sequoia Capital are among its backers, and its customers include HDFC Bank, Aviva Singlife and Tokopedia.
Most Read from Bloomberg Businessweek
©2023 Bloomberg L.P.
|
NEWS_616
|
Investors in Microsoft Corporation MSFT need to pay close attention to the stock based on moves in the options market lately. That is because the Mar 17, 2023 $125.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Microsoft shares, but what is the fundamental picture for the company? Currently, Microsoft is a Zacks Rank #4 (Sell) in the Computer - Software industry that ranks in the Top 24% of our Zacks Industry Rank. Over the last 30 days, one analyst has increased the earnings estimates for the current quarter, while none have dropped their estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from $2.28 per share to $2.29 in that period.
Given the way analysts feel about Microsoft right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Looking to Trade Options?
Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.
Click to see the trades now >>
Story continues
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Microsoft Corporation (MSFT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_617
|
Among the 6 biggest deal dispatches this past week, Microsoft is reportedly in talks to invest billions in ChatGPT owner OpenAI. Here’s the full list, as covered in real time on InvestingPro. Sign up to get this news first.
Microsoft in talks to take big stake in OpenAI: report
Microsoft (NASDAQ:MSFT) is said to be in discussions to invest up to $10 billion in OpenAI, the creator of the ChatGPT platform, according to a report by Semafor. The funding round will also include other venture capital firms, and values OpenAI at around $29 billion.
As part of the deal, Microsoft will reportedly take in 75% of OpenAI's profits until the initial investment is recouped. After that point, Microsoft will hold a 49% stake in OpenAI, while other investors will also hold a 49% stake, and OpenAI's nonprofit parent will hold a 2% stake.
The report comes amid speculation that Microsoft is planning to incorporate OpenAI’s technology into its Office and email software products. According to previous reports, Microsoft had invested around $1 billion in cash and cloud credits into OpenAI in 2019, and has been considering increasing its investment in the company.
Microsoft shares rose 5.5% for the week.
Heavy M&A action in health and biotech
CinCor Pharma (NASDAQ:CINC) rocketed some 150% after AstraZeneca (NASDAQ:AZN) agreed to buy out the company for $26 per share, or $1.3 billion, a 121% premium over CinCor’s most recent close. The deal also includes a contingent value right of $10 per share in cash, or $500 million, “payable upon a specified regulatory submission of a baxdrostat product.” CinCor closed the week at $28.95.
Amryt (NASDAQ:AMYT) shares soared 107% after Chiesi Farmaceutici agreed to buy the Ireland-based biopharma for $14.50 per American depositary share (ADS), or $1.25 billion in cash, plus contingent value rights worth up to another $2.50 per ADS - or $225 million - if certain milestones are achieved. Amryt ended the week at $14.72.
Story continues
Oak Street Health (NYSE:OSH) shares gained more than 27% last Monday after Bloomberg News reported that CVS Health (NYSE:CVS) is in advanced talks to acquire the company and is prepared to pay more than $10 billion to close the deal in the coming weeks.
Rounding out last week's hot deals
Also on Monday, Duck Creek Technologies (NASDAQ:DCT) shares surged more than 46% after the company announced it has agreed to be acquired by Vista Equity Partners for $19.00 per share in an all-cash transaction valued at approximately $2.6 billion.
And in that same session, Paya Holdings (NASDAQ:PAYA) shares gained more than 24% on news it had agreed to be purchased by Nuvei (NASDAQ:NVEI) in an all-cash transaction at $9.75 per share, or some $1.3 billion.
***
If you’re interested in upgrading your search for new investing ideas, check out InvestingPro.
Related Articles
6 big deal reports: Microsoft eyes $10B OpenAI investment
European shares near 9-month high as new year rally continues
Ex Commerzbank female banker seeks $707,000 over discrimination, harassment
|
NEWS_618
|
Exxon Mobil Corporation XOM will significantly increase gasoline and diesel production at its Beaumont refinery in Texas after completing a $1.2-billion expansion planned about a decade ago, per a report by Reuters.
This will be the first major expansion to U.S. crude oil processing in about 10 years. The Beaumont refinery processes nearly 369,000 barrels per day of crude oil and manufactures 2.8 billion gallons of gasoline per year.
The commencement of a 250,000-bpd crude distillation unit (“CDU”) at the refinery is expected this month, making Beaumont the second-largest refinery in the United States. The CDU will increase the refinery’s capacity by 68%.
CDUs initially convert crude into feedstocks for other units at the refinery. The equipment will not generate big new volumes of gasoline and diesel instantly. The company plans to advance the new CDU slowly to cope with potential startup problems.
The refinery expansion is taking place when U.S. President Joe Biden has been urging refiners to produce more fuels or face penalties. The expansion will likely create 120,000 bpd of refined products, including gasoline, diesel and jet fuel, and supply feedstocks for its other Gulf Coast refineries.
ExxonMobil did not provide information about the initiation of the Beaumont Light Atmospheric Distillation Expansion (“BLADE”) project, a new processing facility. The company’s crude oil extracted from the Permian shale play in West Texas and New Mexico was planned to be processed by BLADE.
According to a U.S. Energy Information Administration report, six crude oil refineries in the United States have shut down, dropping the U.S. capacity from 18.98 million bpd to 17.9 million bpd since the onset of the coronavirus pandemic.
ExxonMobil’s Beaumont refinery expansion marks a return to the time of steady refining capacity gains through processing modifications and adding new equipment to existing facilities. The expansion will help rebalance global markets and reduce product cracks.
Story continues
Price Performance
Shares of ExxonMobil have outperformed the industry in the past six months. The stock has gained 31.4% compared with the industry’s 27.9% rally.
Zacks Investment Research
Image Source: Zacks Investment Research
Zacks Rank & Key Picks
ExxonMobil currently carries a Zack Rank #3 (Hold).
Investors interested in the energy sector might look at the following companies that presently flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Nabors Industries Ltd. NBR is one of the largest land-drilling contractors globally, conducting oil, gas and geothermal land drilling operations. NBR is expected to see an earnings rise of 58.5% in 2022.
Nabors' efforts to lower costs and concentrate on cash flows also bode well. The drilling contractor plans to limit the 2022 capex to $95-$100 million. Better-than-expected cost-cutting initiatives and a capital spending program could favorably impact Nabors’s ability to achieve expected operating results.
Helmerich & Payne Inc. HP is a major land and offshore drilling contractor in the western hemisphere, having the youngest and most efficient drilling fleet. HP is expected to see an earnings surge of 280% in 2022.
HP boasts a strong balance sheet, carrying $542.3 million in long-term debt. The company’s debt-to-capitalization stands at just 16.6% compared with many of its peers that are hugely burdened with debts.
Murphy USA Inc. MUSA is a leading independent retailer of motor fuel and convenience merchandise in the United States. Murphy USA is expected to see an earnings surge of 80.9% in 2022.
MUSA is committed to returning excess cash to its shareholders through continued share buyback programs. As part of this initiative, the fuel retailer approved a repurchase authorization of up to $1 billion, which can be completed by Dec 31, 2026.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Exxon Mobil Corporation (XOM) : Free Stock Analysis Report
Nabors Industries Ltd. (NBR) : Free Stock Analysis Report
Helmerich & Payne, Inc. (HP) : Free Stock Analysis Report
Murphy USA Inc. (MUSA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_619
|
Shares of Church & Dwight Co. CHD, +0.64% slipped 1.17% to $81.29 Tuesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.70% to 3,919.25 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.56% to 33,704.10. This was the stock's second consecutive day of losses. Church & Dwight Co. closed $23.99 short of its 52-week high ($105.28), which the company achieved on April 27th.
The stock underperformed when compared to some of its competitors Tuesday, as Procter & Gamble Co. PG, +0.71% fell 0.10% to $151.89. Trading volume (992,846) remained 571,010 below its 50-day average volume of 1.6 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_620
|
Church & Dwight Co. Inc. CHD has been benefiting from a strong brand portfolio, a solid online show, pricing actions and strategic buyouts.
This led to third-quarter 2022 results, wherein the bottom and top lines beat the Zacks Consensus Estimate. Net sales of $1,317.3 million inched up 0.4% year over year. The company’s U.S. portfolio saw consumption growth in 11 of 17 categories.
Management expects 2022 reported sales growth of 3%, the mid-point of its previous range (2-4%). For the fourth quarter of 2022, the company expects a 2% increase in reported sales.
In the past three months, shares of this Zacks Rank #3 (Hold) company have gained 14.6% compared with the industry's 16.2% growth.
Zacks Investment Research
Image Source: Zacks Investment Research
That said, let’s delve deeper into the factors aiding the stock.
Factors Narrating CHD’s Growth Story
The company’s aggressive pricing efforts bode well. Although third-quarter 2022 organic sales fell 0.7%, owing to a volume decline of 8.5%, the metric was somewhat offset by favorable pricing of 7.8%.
The company anticipates 2022 organic sales growth of 1%. Management stated that solid consumption in several businesses in 2022 offset the slowdown across discretionary brands, including Waterpik and Flawless.
Another factor working for Church & Dwight is the online channel. During the third quarter, the company’s online sales, as a percentage of total sales, were 15%. Management expects online sales for 2022 to be more than 15% as a percentage of total sales.
Church & Dwight is on track with its acquisition spree. The company recently completed its buyout of the Hero Mighty Patch brand (or Hero) and other acne treatment products. It also concluded the integration of the Therabreath buyout, which marks the company's 14th power brand.
We note that the buyouts of FLAWLESS and WATERPIK were other prudent additions to Church & Dwight’s portfolio. Another noteworthy acquisition is Batiste.
In December 2020, the company took over Matrixx Initiatives, which owns the ZICAM brand. Zicam is a leading zinc supplement in the United States in the vitamins, minerals, and supplements cough/cold shortening category. In the third quarter of 2022, contributions from Therabreath, Zicam and Hero buyouts aided the top line, with a double-digit consumption increase across all three businesses.
The company is focused on product innovation for further growth. It launched the VITAFUSION brand’s 2-in-1 Bi-Layer Gummies. The ZICAM brand is on track with the launch of the first immune supplement gummies for both day and night, which come with the benefits of Zinc + Vitamins C&D.
The TROJAN brand is likely to introduce two condoms, TROJAN ULTRAFIT and TROJAN BARESKIN RAW. Another notable launch is THERABREATH’s Whitening Rinse. The company also announced a new segment with ARM & HAMMER Baby Hypoallergenic Detergent.
In another development, the company is expanding ARM & HAMMER Forever Fresh Clumping Cat Litter to include the use of Essential Oils to provide long-lasting odor control and freshness.
Story continues
Headwinds to Overcome
The company has been witnessing increased raw material, manufacturing and distribution expenses, as well as increased promotional spending, which dented margins in the third quarter of 2022. In the quarter, Church & Dwight’s gross margin shrunk 250 basis points (bps) to 41.7%. SG&A expenses, as a percentage of sales, expanded 280 bps to 11.7%. Consequently, earnings of 76 cents per share declined 5% year over year.
For 2022, management expects the reported gross margin to contract year over year, as it envisions inflation to outpace pricing and productivity. The company anticipates adjusted EPS of $2.93-$2.97, down 2-3% from that reported in 2021. Earlier, the company expected an adjusted EPS of $2.97 for 2022.
For the fourth quarter of 2022, CHD expects to witness gross margin contraction due to an unfavorable mix within the portfolio. It expects adjusted EPS of 58-62 cents per share, down 3-9% from the year-ago quarter’s reported figure. The downside can be attributed to a major rise in quarterly tax rates and acquisition-related costs.
The company expects a 2% increase in reported sales. Organic sales are estimated to fall 1%.
Wrapping Up
CHD’s strong brand portfolio, online strength, pricing actions and strategic buyouts are likely to offset the hurdles stemming from cost inflation in the near term. A long-term earnings growth rate of 6.7% raises optimism in the stock.
Stocks to Consider
Here are some better-ranked stocks from the broader Consumer Staples space, namely e.l.f. Beauty ELF, Conagra Brands CAG and Campbell Soup CPB
e.l.f. Beauty currently sports a Zacks Rank of 1 (Strong Buy). ELF has a trailing four-quarter earnings surprise of 77%, on average. The stock has rallied 29% in the past three months.
You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for e.l.f. Beauty’s fiscal 2022 sales and earnings suggests growth of 17.6% and 8.3%, respectively, from the prior-year reported numbers. The consensus mark for ELF’s earnings per share has moved up by a penny in the past seven days.
Conagra Brands, a consumer-packaged goods food company, currently carries a Zacks Rank of 2 (Buy). CAG has a trailing four-quarter earnings surprise of 1.8% on average.
The Zacks Consensus Estimate for Conagra Brands’ fiscal 2022 sales and earnings suggests growth of 5.2% and 3.4%, respectively, from the year-ago reported figures.
Campbell Soup, which manufactures and markets food and beverage products, currently carries a Zacks Rank of 2. CPB has a trailing four-quarter earnings surprise of 8.7%, on average.
The Zacks Consensus Estimate for Campbell Soup’s fiscal 2022 sales and earnings suggests growth of 8.2% and 4.9%, respectively, from the year-ago reported figures.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Conagra Brands (CAG) : Free Stock Analysis Report
Campbell Soup Company (CPB) : Free Stock Analysis Report
Church & Dwight Co., Inc. (CHD) : Free Stock Analysis Report
e.l.f. Beauty (ELF) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_621
|
Churchill Downs Incorporated
Five Year Agreement with Brown-Forman Includes Old Forester, Finlandia and Herradura
LOUISVILLE, Ky., Jan. 11, 2023 (GLOBE NEWSWIRE) -- Churchill Downs Incorporated (“CDI” or the “Company”) (Nasdaq: CHDN) announced today that Churchill Downs Racetrack (“Churchill Downs”) has entered an agreement with Woodford Reserve® Kentucky Bourbon (“Woodford Reserve”) that will solidify the renewal of Woodford Reserve as the presenting sponsor of the Kentucky Derby through 2027. Woodford Reserve has been the “Official Bourbon of the Kentucky Derby” since 1999 and the presenting sponsor for the past four years.
“We are thrilled to welcome back Woodford Reserve as the presenting sponsor of the Kentucky Derby for the next five years,” said Bill Carstanjen, CEO of CDI. “We are pleased to build upon this partnership between two global entities that represent the unique culture and unbridled spirit of Kentucky. Brown-Forman’s brand offerings are the ideal complement to the heritage of this time-honored tradition.”
“We are proud to renew this partnership, as it unites together two of Kentucky’s greatest attractions, bourbon and thoroughbreds,” said Lawson Whiting, CEO of Brown-Forman Corporation, owner of Woodford Reserve.
Woodford Reserve commemorated the sponsorship by laying down oak in the Kentucky Derby Winner’s Circle at Churchill Downs to be used in a barrel for a very rare bourbon that will celebrate the milestone 150th running of the Kentucky Derby in 2024. The oak will be “seasoned” in open air for approximately two months, allowing the wood to mature in preparation for the whiskey.
“We are excited for the next five years, and we are honored to continue our partnership with Churchill Downs by creating this very special bottle for Derby 150,” said Woodford Reserve Master Distiller, Chris Morris. “On the first Saturday in May, no matter where in the world we are, we are all Kentuckians with a glass of Woodford Reserve in hand.”
Woodford Reserve will continue to leverage existing partnerships associated with the Kentucky Derby, Churchill Downs and the Road to the Kentucky Derby. The extended partnership includes three additional Brown-Forman brands: Old Forester, Finlandia and Herradura.
Story continues
Old Forester returns as the “Official Mint Julep of the Kentucky Derby” and a sponsor of Thurby, a beloved day of live racing held on the Thursday of Derby week. Premium Finlandia vodka celebrates the Kentucky Oaks as a key ingredient for the signature Oaks Lily cocktail. Herradura tequila cocktails will be available at Churchill Downs throughout Derby week.
About the Kentucky Derby
The $3 million Kentucky Derby takes place on the first Saturday in May at historic Churchill Downs in Louisville, Ky. Inaugurated in 1875, the legendary 1 ¼-mile race for 3-year-olds is the longest continually-held major sporting event in the United States and the first leg of horse racing’s Triple Crown series. Also known as, “The Run for the Roses” and “The Most Exciting Two Minutes in Sports,” the Kentucky Derby is the most attended horse race in the nation. The 149th Kentucky Derby will take place on Saturday, May 6, 2023. For more information, please visit www.KentuckyDerby.com.
About Churchill Downs Incorporated
Churchill Downs Incorporated (“CDI”, NASDAQ: CHDN) has been creating extraordinary entertainment experiences for nearly 150 years, beginning with the company’s most iconic and enduring asset, the Kentucky Derby. Headquartered in Louisville, Kentucky, CDI has expanded through the development of live and historical racing entertainment venues, the growth of the TwinSpires horse racing online wagering business and the operation and development of regional casino gaming properties. More information is available at www.churchilldownsincorporated.com.
About Woodford Reserve
Woodford Reserve, “Presenting Sponsor of the Kentucky Derby,” is crafted at the historic Woodford Reserve Distillery, tucked in the heart of thoroughbred country in Versailles, Kentucky. A National Historic Landmark, the Woodford Reserve Distillery represents craftsmanship with a balance of historic heritage and modern practices. Woodford Reserve is a product of the Brown-Forman Corporation, a premier producer and marketer of fine quality beverage alcohol brands including Jack Daniel’s, Finlandia, Korbel, Tequila Herradura, Old Forester, Sonoma-Cutrer and Chambord. Please enjoy your bourbon responsibly. To learn more about Woodford Reserve, visit us www.woodfordreserve.com or check us out on Facebook at www.facebook.com/woodfordreserve .
This news release contains various “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by the use of terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “predict,” “project,” “seek,” “should,” “will,” and similar words or similar expressions (or negative versions of such words or expressions).
Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Important factors, among others, that may materially affect actual results or outcomes include the following: the impact of the novel coronavirus (COVID-19) pandemic, including the emergence of variant strains, and related economic matters on our results of operations, financial conditions and prospects; the occurrence of extraordinary events, such as terrorist attacks, public health threats, civil unrest, and inclement weather; the effect of economic conditions on our consumers' confidence and discretionary spending or our access to credit; additional or increased taxes and fees; the impact of significant competition, and the expectation the competition levels will increase; changes in consumer preferences, attendance, wagering, and sponsorships; loss of key or highly skilled personnel; lack of confidence in the integrity of our core businesses or any deterioration in our reputation; risks associated with equity investments, strategic alliances and other third-party agreements; inability to respond to rapid technological changes in a timely manner; concentration and evolution of slot machine manufacturing and other technology conditions that could impose additional costs; inability to negotiate agreements with industry constituents, including horsemen and other racetracks; inability to identify and complete expansion, acquisition or divestiture projects, on time, on budget or as planned; difficulty in integrating recent or future acquisitions into our operations; costs and uncertainties relating to the development of new venues and expansion of existing facilities; general risks related to real estate ownership and significant expenditures, including fluctuations in market values and environmental regulations; reliance on our technology services and catastrophic events and system failures disrupting our operations; online security risk, including cyber-security breaches, or loss or misuse of our stored information as a result of a breach, including customers’ personal information, could lead to government enforcement actions or other litigation; personal injury litigation related to injuries occurring at our racetracks; compliance with the Foreign Corrupt Practices Act or applicable money-laundering regulations; payment-related risks, such as risk associated with fraudulent credit card and debit card use; work stoppages and labor issues; risks related to pending or future legal proceedings and other actions; highly regulated operations and changes in the regulatory environment could adversely affect our business; restrictions in our debt facilities limiting our flexibility to operate our business; failure to comply with the financial ratios and other covenants in our debt facilities and other indebtedness; and increase in our insurance costs, or obtain similar insurance coverage in the future, and inability to recover under our insurance policies for damages sustained at our properties in the event of inclement weather and casualty events.
We do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Investor Contact: Nick Zangari
(502) 394-1157
[email protected] Media Contact: Tonya Abeln
(502) 386-1742
[email protected]
|
NEWS_622
|
New property brings upscale brand's hallmark design and luxury amenities to growing New England portfolio
ROCKVILLE, Md., Jan. 3, 2023 /PRNewswire/ -- Cambria Hotels, an upscale brand franchised by Choice Hotels International, Inc. (NYSE: CHH), continues its expansion throughout New England with the grand opening of its newest hotel in Connecticut: the Cambria Hotel New Haven University Area. This addition will provide modern travelers with the amenities they need to discover all the opportunities New Haven has to offer.
Cambria Hotel New Haven University Area
To commemorate the grand opening of New Haven's latest hotel, which officially opened in September, Cambria Hotel New Haven University Area welcomed community members and distinguished guests to a ribbon cutting ceremony. Upon arrival, guests were treated to a New Haven-inspired reception and property tours featuring the hotel's full-service bar and restaurant, contemporary and sophisticated guestrooms, and state-of-the-art fitness center.
Speakers at the event included Francis Lively, CEO and president, The LCP Group (the owners of the Hotel), Justin Elicker, mayor of New Haven, Yale University representatives, Yale New Haven Children's Hospital representatives, and Choice Hotels executives, who each expressed their enthusiasm about the brand's debut in New Haven. Cambria Hotel New Haven University Area was proud to welcome Yale University's bulldog mascot, "Handsome Dan," to the celebration, underscoring the hotel's pet-friendly policy for guests and their animal companions.
"New Haven is a thriving New England city, and home to a number of prestigious universities and national corporations," said Janis Cannon, senior vice president, upscale brands, Choice Hotels. "At Cambria Hotels, our expansion has always focused on growth in markets with strong business and leisure demand. As the cultural hub of Connecticut, New Haven is the ideal spot to premiere the Constitution State's latest Cambria hotel. We are excited to welcome New England travelers to yet another property in our rapidly growing portfolio."
Story continues
The six-story, 130-room Cambria Hotel New Haven University Area is located at 20 Dwight Street, minutes from Yale University and Yale New Haven Hospital, as well as the city's best shopping, dining, museums, and entertainment. In addition, it is conveniently located near national corporations such as Pfizer Research and AstraZeneca, and other landmarks like New Haven Harbor, University of New Haven, and Southern Connecticut State University.
"We're thrilled to capitalize on LCP's strategy of owning the newest and best-located assets in thriving markets such as New Haven," said Francis Lively, CEO, LCP Group. "Collaborating with Choice and Crescent, along with the prestigious universities, hospitals, and local businesses, LCP looks forward to growing our presence in the community."
The Cambria Hotel New Haven University Area features upscale amenities and approachable indulgences that appeal to modern travelers, including:
Multi-purpose indoor and outdoor spaces and business center.
Open-concept lobby with locally inspired design and décor, reflecting the unique personality of the surrounding community, including artwork from local New Haven artists.
Contemporary and sophisticated guest rooms, complete with modern fixtures, plush bedding, workspace, and 50-inch flat screen TVs.
Spa-inspired bathrooms with Bluetooth mirrors.
9 Squared, a full-service restaurant and bar with locally inspired menu, local craft beers, craft cocktails, and outdoor seating.
Multi-function meeting and event spaces.
Fitness center with state-of-the-art equipment.
Selection of craft beer and wine in collaboration with Cambria Estate Winery and Cambria's Signature Local Craft Beer Program.
The Cambria Hotel New Haven University Area was developed in collaboration with HighSide Development, architect and interior designer, Baskervill, and general contractor, KBE Building Corporation. The hotel is owned by The LCP Group and will be managed by Crescent Hotels & Resorts, an award winning, nationally recognized, operator of hotels and resorts with more than 100 properties in the United States and Canada.
Cambria's newest addition joins the recently added Cambria Hotel Boston Somerville, Cambria Hotel Portland Downtown Old Port, and Cambria Hotel Manchester South Windsor, as well as the Cambria Hotel Boston, Downtown-South Boston (opened in 2019) to fuel Cambria's rapidly growing footprint in New England.
Guests at the Cambria Hotel New Haven University Area can participate in the award-winning Choice Privileges loyalty program. Choice Privileges membership is free and offers fast rewards and exclusive member rates for those who book directly at www.choicehotels.com.
There are currently more than 60 Cambria hotels open across the U.S. in popular cities such as Chicago, Los Angeles, New York, New Orleans, and Phoenix, with nearly 70 hotels in the pipeline as of September 30, 2022.
For more information on Cambria Hotels development opportunities, visit www.choicehotelsdevelopment.com/cambriahotels.
About Cambria® Hotels
The Cambria Hotels brand is designed for the modern traveler, offering guests a distinct experience with simple, guilt-free indulgences allowing them to treat themselves while on the road. Properties feature compelling design inspired by the location, spacious and comfortable rooms, flexible meeting space, and local, freshly prepared food and craft beer. Cambria Hotels is rapidly expanding in major U.S. cities, with hotels open in Chicago, Los Angeles, Washington, D.C., Nashville, and Phoenix. There are currently more than 60 Cambria hotels open and nearly 70 hotels in the pipeline. To learn more, visit www.choicehotels.com/cambria.
About Choice Hotels®
Choice Hotels International, Inc. (NYSE: CHH) is one of the largest lodging franchisors in the world. With nearly 7,500 hotels, representing nearly 630,000 rooms, in 46 countries and territories as of September 30, 2022, the Choice® family of hotel brands provides business and leisure travelers with a range of high-quality lodging options from limited service to full-service hotels in the upper upscale, upper mid-scale, midscale, extended-stay, and economy segments. The award-winning Choice Privileges® loyalty program offers members a faster way to rewards, with personalized benefits starting on day one. For more information, visit www.choicehotels.com.
About The LCP Group
The LCP Group, L.P. (LCP) is a private real estate investment manager with real estate holdings and assets under management of approximately $1 billion throughout the United States. LCP specializes in hospitality investments and has been actively acquiring strategic hotel assets on behalf of institutional and private equity investors since 1973. For more information, please visit www.lcpgroup.com.
About Crescent Hotels & Resorts
Crescent Hotels & Resorts is an award winning, nationally recognized, operator of hotels and resorts with over 100 properties in the United States and Canada. Crescent is one of the few elite management companies approved to operate upper-upscale and luxury hotels under the brand families of Marriott, Hilton, IHG and Hyatt. Crescent also operates a collection of independent and lifestyle properties under the Latitudes Collection umbrella. These properties include PGA National Resort, Horseshoe Bay Resort, and The Opus Westchester, Autograph Collection. Powered by innovative, forward - thinking experts, Latitudes is a modern management platform for lifestyle hotels and resorts where creative concepts connect with modern travelers from urban boutique hotels to oceanside resorts. For more information, please visit www.crescenthotels.com.
Forward-Looking Statement
This communication includes "forward-looking statements" about future events, including anticipated hotel openings. Such statements are subject to numerous risks and uncertainties, including construction delays, availability and cost of financing and the other "Risk Factors" described in our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q, any of which could cause actual results to be materially different from our expectations.
Addendum
This is not an offering. No offer or sale of a franchise will be made except by a Franchise Disclosure Document first filed and registered with applicable state authorities. A copy of the Franchise Disclosure Document can be obtained through contacting Choice Hotels International at 1 Choice Hotels Circle, Suite 400, Rockville, MD 20850, [email protected].
© 2023 Choice Hotels International, Inc. All Rights Reserved
(PRNewsfoto/Choice Hotels International, In)
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/cambria-hotels-celebrates-new-england-expansion-with-grand-opening-in-new-haven-connecticut-301712436.html
SOURCE Choice Hotels International, Inc.
|
NEWS_623
|
Choice Hotels International, Inc.’s CHH Cambria brand recently announced the opening of the Cambria Hotel New Haven University Area in Connecticut. This marks the brand’s fifth property in New England, joining the likes of the Cambria Hotel Boston Somerville, Cambria Hotel Portland Downtown Old Port, Cambria Hotel Manchester South Windsor and Cambria Hotel Boston, Downtown-South Boston.
Located at Dwight Street, the six-story (130-room) upscale hotel provides guests access to amenities like fitness centers, on-site dining and multi-function indoor-outdoor meeting spaces. The property is close to several shopping, dining, and entertainment attractions as well as museums. It also offers convenient access to several corporations, including Pfizer Research and AstraZeneca.
With respect to the opening, Janis Cannon, senior vice president, upscale brands, Choice Hotels, stated, "At Cambria Hotels, our expansion has always focused on growth in markets with strong business and leisure demand. As the cultural hub of Connecticut, New Haven is the ideal spot to premiere the Constitution State's latest Cambria hotel. We are excited to welcome New England travelers to yet another property in our rapidly growing portfolio."
Focus on Cambria Brand
The Cambria Hotels brand is a major growth driver for the company. Cambria has significantly outperformed the upscale soft brands (and the segment on the whole) in terms of year-over-year revenue per available room change. The brand has been well received on account of smart-conversion opportunities. During third-quarter 2022, the company’s domestic hotel openings increased 5.2% year over year. The company stated that it has almost 60 Cambria hotels open across cities such as Chicago, Los Angeles, Washington, D.C., Nashville and Phoenix.
Backed by solid consumer confidence and the attractiveness of Choice Hotels’ value proposition, the company anticipates boosting the revenue intensity of its system by adding more properties. The company anticipates ramped-up expansion across major U.S. cities. Further, CHH stated that it has additional 69 domestic properties in the pipeline.
Story continues
Zacks Investment Research
Image Source: Zacks Investment Research
Shares of Choice Hotels have lost 27.4% in the past year compared with the industry’s 12.1% decline.
Zacks Rank & Key Picks
Choice Hotels currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some better-ranked stocks in the Zacks Consumer Discretionary sector are World Wrestling Entertainment, Inc. WWE, Royal Caribbean Cruises Ltd. RCL and Reservoir Media, Inc. RSVR.
World Wrestling Entertainment currently sports a Zacks Rank #1. WWE has a trailing four-quarter earnings surprise of 25.2%, on average. The stock has increased 43.7% in the past year.
The Zacks Consensus Estimate for WWE’s current financial year sales and earnings per share (EPS) indicates a rise of 4.9% and 10.7%, respectively, from the year-ago period’s estimated levels.
Royal Caribbean currently sports a Zacks Rank #1. RCL has a trailing four-quarter earnings surprise of negative 1.8%, on average. Shares of RCL have declined 32.5% in the past year.
The Zacks Consensus Estimate for RCL’s 2023 sales and EPS indicates a rise of 43.6% and 138.3%, respectively, from the year-ago levels.
Reservoir currently sports a Zacks Rank #1. RSVR has a long-term earnings growth rate of 17.5%. Shares of RSVR have declined 20.4% in the past year.
The Zacks Consensus Estimate for RSVR’s 2023 sales and EPS indicates a rise of 11.6% and 80%, respectively, from the year-ago period’s levels.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Royal Caribbean Cruises Ltd. (RCL) : Free Stock Analysis Report
World Wrestling Entertainment, Inc. (WWE) : Free Stock Analysis Report
Choice Hotels International, Inc. (CHH) : Free Stock Analysis Report
Reservoir Media, Inc. (RSVR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_624
|
ROCKVILLE, Md., Jan. 12, 2023 /PRNewswire/ -- For the fourth year in a row, Choice Hotels International, Inc. (NYSE: CHH) President and CEO Patrick Pacious has been named one of the highest-rated CEOs, according to Comparably's 2022 Best CEO rankings. The accolade, which positions Pacious alongside chief executives of some of the world's most well-known companies – from Microsoft and Adobe to Google and IBM – comes on the heels of his fifth year at the helm of Choice and reflects the company's latest period of success.
Choice Hotels CEO Patrick Pacious Named 'Best CEO' for Fourth Consecutive Year by Comparably
"Choice Hotels has transformed itself these past few years, and this latest recognition is a powerful testament to not just the strength of our strategic investments and growth, but also to the fortitude of all our associates who have gone the extra mile to take our business and brand promise to new heights," said Pacious. "Together, we're leading the way – supporting more than 13,000 franchise owners who put their trust in Choice brands each day while continuing to create rewarding experiences for the loyal guests who stay with us – and our future has never been brighter."
Pacious has been Choice Hotels' president and CEO since September 2017, and throughout his successful tenure has established a proven track record of building and strengthening brands. In addition to cementing Choice Hotels' legacy in the midscale travel segment with the successful transformation of the company's flagship Comfort brand, Pacious propelled Choice's extended stay segment with new brands following the strategic acquisition of WoodSpring Suites in 2018 and the launch of Everhome Suites in 2020. In 2021, under Pacious' stewardship, Choice also became the first hotel company to exceed its pre-pandemic performance. Most recently, Pacious guided the acquisition of Radisson Hotels Americas, the largest transaction in the company's history, which added nine brands and further extends the company's reach into the upscale segment.
In addition to helping empower small business owner success and creating memorable experiences for guests when traveling, Pacious has led an inclusive corporate culture. As a result, he was named the Lodging Magazine 2022 Person of the Year and Choice was also recently recognized as a best-in-class franchisor and leading employer by several groups, including:
Top Franchise for Diversity 2022 by Entrepreneur Magazine
World's Best Employers 2022 by Forbes
America's Best Employers for Veterans 2022 by Forbes
World's Top Female-Friendly Companies 2022 by Forbes
Comparably determined this year's Best CEOs through ratings anonymously provided by employees. The final data set was compiled from nearly 15 million ratings across 70,000 U.S. companies on Comparably.com and segmented into two ranked lists: Top 100 CEOs from Large Companies (those with 500 or more employees) and Top CEOs from Small/Mid-Size companies. Choice Hotels is the only hotel company to be recognized on this annual list.
For information about Choice Hotels' leadership, visit www.media.choicehotels.com/our-leadership.
About Choice Hotels®
Choice Hotels International, Inc. (NYSE: CHH) is one of the largest lodging franchisors in the world. Choice Hotels has more than 7,500 hotels, and nearly 630,000 rooms, in 46 countries and territories as of September 30, 2022. The Choice® family of hotel brands provide business and leisure travelers with a broad range of high-quality lodging options from limited service to full-service hotels in the upper upscale, upper mid-scale, midscale, extended-stay and economy segments. The award-winning Choice Privileges® loyalty program offers members a faster way to rewards, with personalized benefits starting on day one. For more information, visit www.choicehotels.com.
© 2023 Choice Hotels International, Inc. All rights reserved.
Choice Hotels International. (PRNewsFoto/Choice Hotels International) (PRNewsfoto/CHOICE HOTELS INTERNATIONAL)
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/choice-hotels-ceo-patrick-pacious-named-best-ceo-for-fourth-consecutive-year-by-comparably-301720409.html
SOURCE Choice Hotels International, Inc.
|
NEWS_625
|
The outlook for stocks in 2023 is still in flux. Last year’s headwinds haven’t dissipated, so we’ll be dealing with high inflation, rising interest rates, the Russia-Ukraine war, and an increased risk of recession for the foreseeable future, and that has investors taking an interest in defensive plays.
The classic move, of course, is to move heavily into dividend stocks. These bring several advantages that can protect an investment portfolio during an unsettled economic period, including a reliable income stream, and potential to beat inflation through the dividend yield. It’s even possible to find dividend stocks that offer a combination of double-digit upside potential and payment yield – a solid combination that will maximize their defensive advantages.
Wall Street’s analysts are taking note of these, including some of the Street’s leading names. Nitin Kumar – one of the 5-star analysts with Mizuho Securities, and ranked among the top 25 analysts by TipRanks – has been searching the market for dividend champs – and he points out two stocks yielding 10% or better. That’s more than enough, on its own, to assure a positive real rate of return, but each of these stocks also brings over 20% upside potential to the table. Let’s take a closer look.
Chesapeake Energy Corporation (CHK)
First up is Chesapeake Energy, an exploration and development company in the North American hydrocarbon industry – which is a fancy way of saying that it’s a company that looks for, and exploits, natural gas and petroleum deposits. Chesapeake has operations across North America, with particularly large assets in Pennsylvania’s Marcellus shale and Louisiana’s Haynesville formation. More than two-thirds of Chesapeake’s proven reserves are in natural gas, with significant amounts of petroleum and natural gas liquids also present. Chesapeake holds assets in the Eagle Ford formation of Texas, but is making efforts to divest from that position in order to focus on its high-profit holdings in Pennsylvania and Louisiana.
Story continues
In its last set of reported financial results, for 3Q22, Chesapeake showed total revenues of $4.19 billion, more than doubling from the $1.63 billion reported in 3Q21. Following from the revenues, Chesapeake showed cash from operations of $1.3 billion and net income of $883 million. The company’s EPS came in at $6.12 per diluted share; the non-GAAP adjusted net income was $5.06 per diluted share, a gain of 112% from the prior-year quarter.
In addition to these sound results, Chesapeake had a Q3 free cash flow of $773 million. This was a company record, and was achieved even as the company’s share repurchases and dividend payments totaled more than $1.9 billion during the quarter.
Chesapeake’s last common share dividend was paid on December 1, and the combination of regular and supplemental dividend payments came to $3.16 per share. At that rate, the dividend annualizes to $12.64 and yields a sky-high 14%. This is almost double the last reported inflation numbers.
Mizuho’s Kumar is optimistic that Chesapeake can continue to deliver results for return-oriented investors, noting: “CHK's low-cost inventory in two of the leading gas shale plays (Appalachia and Haynesville) is complemented by a peer-leading cash return framework. Continued investment into 'held for sale' Eagle Ford assets dilutes corporate capital efficiencies, but successful divestiture could also unlock further shareholder value... Overall, we believe a slightly discounted valuation complemented by strong FCF generation and corporate execution can win the day over macro concerns.”
Extrapolating forward from this position, Kumar rates CHK shares a Buy, and sets his price target at $155, indicating confidence in a solid one-year upside potential of ~74%. Based on the current dividend yield and the expected price appreciation, the stock has ~88% potential total return profile. (To watch Kumar’s track record, click here)
Wall Street seems to be in agreement with the bulls on this one as all 8 of the recent analyst reviews on Chesapeake are positive, giving the stock its unanimous Strong Buy consensus rating. The shares are trading for $89.19 and their $145.88 average price target implies ~64% upside for the coming year. (See CHK stock forecast on TipRanks)
Pioneer Natural Resources (PXD)
The next high-yield dividend stock we're looking at is Pioneer Natural Resources. This firm is based in Irving, Texas, and like Chesapeake, it’s a hydrocarbon exploration and production company. Pioneer operates in the West Texas Permian basin, the world’s second-largest oilfield. Pioneer is a major asset holder in the region, and is a pure-play Permian producer.
During the third quarter of 2022, the last for which financial results have been released, Pioneer produced an average or 656,582 barrels of oil equivalent (BOE) per day. This was down slightly year-over-year, by 2.8% from 3Q21, but was still enough to generate over $6.09 billion in revenue, for a top-line gain of 36.5% y/y. Pioneer’s high revenue supported $2 billion in net income attributable to common shareholders, or $7.93 per share. In non-GAAP terms, these income numbers came to $1.9 billion, or $7.48 per diluted share. The non-GAAP EPS was up 81% from 3Q21.
Pioneer’s cash flow from operations in 3Q22 was $3 billion, and the company’s free cash flow was $1.7 billion. The company’s strong cash flows gave management confidence to continue its share repurchase program and dividend payments; during the quarter, the company bought back $500 million worth of shares, and declared a total dividend (base plus variable) of $5.71 per common share. The dividend was paid out on December 15.
At its current rate, the combined dividend payment annualizes to $22.84 and gives a yield of 10%. This is approximately 5x the average dividend yield found among S&P-listed companies.
Checking in again with Kumar, we find that he is bullish on Pioneer – with particular reference to the company’s proven reserves. Kumar writes, “We believe management will execute on its strategy of bringing forward value by focusing on higher-return inventory – a luxury they can afford in our opinion given their long runway of projects... This should refocus investors on the strong cash return program that is complemented by one of the largest reserve bases in U.S. shale..."
As indicated by his stance, Kumar rates PDX a Buy, while his price target, at $294, implies a one-year gain of 28%.
Overall, PDX stock has 16 recent analyst reviews, with a breakdown of 7 Buys, 8 Holds, and 1 Sell giving a Moderate Buy consensus rating. The average price target of $285.27 suggests 24% upside potential on the 12-month horizon. (See PXD stock forecast on TipRanks)
To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a tool that unites all of TipRanks’ equity insights.
Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
|
NEWS_626
|
For Immediate Release
Chicago, IL – January 11, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Stellantis STLA, ChargePoint Holdings CHPT, Mercedes-Benz MBGAF, BYD Co. BYDDY and Tesla TSLA.
Here are highlights from Tuesday’s Analyst Blog:
EV Roundup: Partnerships, Sales Totals and More
Heightening climate concerns, technological advances and stricter fuel-emission standards have turned the fortunes in favor of electric vehicles (EVs). Last week, auto giant Stellantis expanded its partnership with Archer Aviation to manufacture the latter’s e-aircraft. EV charging company ChargePoint Holdings, German automaker Mercedes-Benz and U.S. solar, stationary power and renewable energy provider MN8 Energy have joined forces for a fast charging network in North America. Meanwhile, China’s EV maker BYD Co. reported December and 2022 sales data. EV behemoth Tesla also reported its 2022 production and deliveries.
Last Week’s Top Stories
ChargePoint teamed up with MN8 Energy and Mercedes-Benz to step up the availability of DC fast charging in North America. The companies look to develop more than 400 charging hubs in the United States and Canada. Beginning this year, the three companies will commence building over 400 charging hubs with more than 2,500 ChargePoint DC fast charging ports, enhancing the charging experience for EV drivers.
MN8 Energy and Mercedes-Benz will finance and operate the charging hubs, powered by CHPT’s hardware and software solutions.The charging hubs will be powered by ChargePoint Express Plus, one of the most technically advanced high-powered charging platforms.With this collaboration, ChargePoint is building upon its existing ties with Mercedes-Benz and MN8 Energy to offer a seamless charging experience for drivers.
Story continues
BYD hit a new record by selling 235,197 plugin vehicles in December. This was the fourth straight month when the plugin vehicle sales volumes of the company crossed 200,000 units. BYD Song was the best-selling model of the month, with 70,079 units sold. Sales of BYD Han, all-electric BYD Yuan, all-electric BYD Dolphin, all-electric BYD Seal, BYD Qin, BYD Tang and BYD Destroyer totaled 30,043, 29,468, 26,074, 15,378, 26.206, 20,165 and 6,107 units, respectively. The new BYD Frigate 07 model registered deliveries of 1,805 units.
For full-year 2022, the company sold 1,863,494 units, up a whopping 209% year over year. Of the total sales, battery-powered EVs accounted for around 49%. BYD delivered 911,140 pure EVs last year, rocketing 184% year over year. BYD also announced its partnership with NVIDIA to bring NVIDIA’s on-demand cloud gaming service— GeForce Now— to its new energy vehicles.
Stellantis signs an agreement with Archer to manufacture the latter’s flagship electric vertical take-off and landing (eVTOL) aircraft, Midnight. Production of Midnight aircraft will commence in 2024 at the manufacturing facility in Covington, GA. Having a range of 100 miles per charge, Midnight is well suited for back-to-back short-distance trips of about 20 miles. The deal will give Archer access to $150 million additional capital over 2023 and 2024.
This unique partnership in the urban air mobility space will be powered by Stellantis’ manufacturing abilities and additional capital infusion and Archer’s world-class team of eVTOL, electric powertrain and certification experts. Stellantis, being the exclusive contract manufacturer for Midnight aircraft, intends to mass-produce Archer’s eVTOL aircraft and commence deliveries by 2025.
Tesla delivered 55,796 China-made vehicles last month, per the China Passenger Car Association (CPCA). This represents a 44% and 21% monthly and yearly decline, respectively. This also marked the lowest monthly sales since July when most of the production at the Shanghai plant was temporarily halted for upgrades. For full-year 2022, the EV king delivered 50% more China-made vehicles compared with 2021.
Globally, Tesla delivered a record 1.31 million electric vehicles in 2022, up 40% from 2021. Model 3/Y deliveries amounted to 1,247,146 units, while 66,705 Models S/X were delivered in 2022. As far as the production count for 2022 is concerned, TSLA produced 1,369,611 vehicles (up 47% year over year), with the breakdown coming to 1,298,434 units for Model 3/Y and 71,177 units for Model S/X. It ramped up production after opening new factories in Texas, Shanghai and Berlin.
Tesla currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.
Why Haven’t You Looked at Zacks' Top Stocks?
Our 5 best-performing strategies have blown away the S&P's impressive +28.8% gain in 2021. Amazingly, they soared +40.3%, +48.2%, +67.6%, +94.4%, and +95.3%. Today you can access their live picks without cost or obligation.
See Stocks Free >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
[email protected]
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Tesla, Inc. (TSLA) : Free Stock Analysis Report
Byd Co., Ltd. (BYDDY) : Free Stock Analysis Report
Stellantis N.V. (STLA) : Free Stock Analysis Report
ChargePoint Holdings, Inc. (CHPT) : Free Stock Analysis Report
MercedesBenz Group AG (MBGAF) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_627
|
Heightening climate concerns, technological advances and stricter fuel-emission standards have turned the fortunes in favor of electric vehicles (EVs). Last week, auto giant Stellantis STLA expanded its partnership with Archer Aviation to manufacture the latter’s e-aircraft. EV charging company ChargePoint Holdings CHPT, German automaker Mercedes-Benz MBGAF and U.S. solar, stationary power and renewable energy provider MN8 Energy have joined forces for a fast charging network in North America. Meanwhile, China’s EV maker BYD Co. BYDDY reported December and 2022 sales data. EV behemoth Tesla TSLA also reported its 2022 production and deliveries.
Last Week’s Top Stories
ChargePoint teamed up with MN8 Energy and Mercedes-Benz to step up the availability of DC fast charging in North America. The companies look to develop more than 400 charging hubs in the United States and Canada. Beginning this year, the three companies will commence building over 400 charging hubs with more than 2,500 ChargePoint DC fast charging ports, enhancing the charging experience for EV drivers.
MN8 Energy and Mercedes-Benz will finance and operate the charging hubs, powered by CHPT’s hardware and software solutions.The charging hubs will be powered by ChargePoint Express Plus, one of the most technically advanced high-powered charging platforms.With this collaboration, ChargePoint is building upon its existing ties with Mercedes-Benz and MN8 Energy to offer a seamless charging experience for drivers.
BYD hit a new record by selling 235,197 plugin vehicles in December. This was the fourth straight month when the plugin vehicle sales volumes of the company crossed 200,000 units. BYD Song was the best-selling model of the month, with 70,079 units sold. Sales of BYD Han, all-electric BYD Yuan, all-electric BYD Dolphin, all-electric BYD Seal, BYD Qin, BYD Tang and BYD Destroyer totaled 30,043, 29,468, 26,074, 15,378, 26.206, 20,165 and 6,107 units, respectively. The new BYD Frigate 07 model registered deliveries of 1,805 units.
Story continues
For full-year 2022, the company sold 1,863,494 units, up a whopping 209% year over year. Of the total sales, battery-powered EVs accounted for around 49%. BYD delivered 911,140 pure EVs last year, rocketing 184% year over year. BYD also announced its partnership with NVIDIA to bring NVIDIA’s on-demand cloud gaming service— GeForce Now— to its new energy vehicles.
Stellantis signs an agreement with Archer to manufacture the latter’s flagship electric vertical take-off and landing (eVTOL) aircraft, Midnight. Production of Midnight aircraft will commence in 2024 at the manufacturing facility in Covington, GA. Having a range of 100 miles per charge, Midnight is well suited for back-to-back short-distance trips of about 20 miles. The deal will give Archer access to $150 million additional capital over 2023 and 2024.
This unique partnership in the urban air mobility space will be powered by Stellantis’ manufacturing abilities and additional capital infusion and Archer’s world-class team of eVTOL, electric powertrain and certification experts. Stellantis, being the exclusive contract manufacturer for Midnight aircraft, intends to mass-produce Archer’s eVTOL aircraft and commence deliveries by 2025.
Tesla delivered 55,796 China-made vehicles last month, per the China Passenger Car Association (CPCA). This represents a 44% and 21% monthly and yearly decline, respectively. This also marked the lowest monthly sales since July when most of the production at the Shanghai plant was temporarily halted for upgrades. For full-year 2022, the EV king delivered 50% more China-made vehicles compared with 2021.
Globally, Tesla delivered a record 1.31 million electric vehicles in 2022, up 40% from 2021. Model 3/Y deliveries amounted to 1,247,146 units, while 66,705 Models S/X were delivered in 2022. As far as the production count for 2022 is concerned, TSLA produced 1,369,611 vehicles (up 47% year over year), with the breakdown coming to 1,298,434 units for Model 3/Y and 71,177 units for Model S/X. It ramped up production after opening new factories in Texas, Shanghai and Berlin.
Tesla currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.
Price Performance
The following table shows the price movement of some of the major EV players over the last week and six-month period.
Zacks Investment Research
Image Source: Zacks Investment Research
What’s Next in the Space?
Stay tuned for announcements of upcoming EV models and any important updates from the red-hot industry.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Tesla, Inc. (TSLA) : Free Stock Analysis Report
Byd Co., Ltd. (BYDDY) : Free Stock Analysis Report
Stellantis N.V. (STLA) : Free Stock Analysis Report
ChargePoint Holdings, Inc. (CHPT) : Free Stock Analysis Report
MercedesBenz Group AG (MBGAF) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_628
|
The remarkable growth in EV stocks seen during 2021 provided investors with an exciting view of the future. Indeed, the Biden administration deserves credit for helping to promote electrification and creating a strong foundation of trust in the space that helped it gain momentum. However, not all electric vehicle companies represent must-buy EV stocks. There was arguably a bubble in this space, with rampant inflation rates and supply chain hiccups the key to unraveling sky-high valuations in this sector.
That said, the future of the electrification trend is as bright as ever. There is plenty of potential for investors looking to put fresh capital to work in the coming years. With supportive policies from governments across the globe, EVs may yet again become one of the hottest investments. Companies are working hard to find solutions for the supply chain bottlenecks, and many have started distributing vehicles at a healthy pace again.
Whit that said, here are seven must-buy EV stocks investors should be focused on now.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
TSLA Tesla $113.06 ALB Albermarle $221.64 NIO Nio $10.37 F Ford $12.58 CHPT ChargePoint $9.01 BYDDF BYD Company $26.30 GM General Motors $35.91
Tesla (TSLA)
Tesla Motors (TSLA) now an SP500 company with a busy Pond Springs location in northwest Austin, TX
Source: Roschetzky Photography / Shutterstock.com
It has been a wild few years for Tesla (NASDAQ:TSLA), but the company still delivers vehicles at an impressive rate. The concern, though, has always been its valuation when the stock was trading near the $1,000 mark. However, TSLA stock now trades at a more attractive price tag than ever before, as a result of this macroeconomic uncertainty.
One of the exciting things to come from Tesla founder and CEO Elon Musk recently has been his newest project Twitter. There is no doubt that Elon Musk’s presence has been telling in Tesla’s success, and seeking out new opportunities in technology only helps bolster that confidence. Tesla being the face of the EV revolution, it’s safe to say that they remain one of the best stocks to own in the EV realm.
Story continues
Albemarle (ALB)
Albemarle (ALB) logo on a mobile phone screen
Source: IgorGolovniov/Shutterstock.com
Investing in the electric vehicle sector can be risky, as there is always a gamble when trying to predict the industry’s winners and losers. Thank goodness for Albemarle (NYSE:ALB). This company provides an attractive alternative investment that guarantees incredible results. Albermarle has established itself as a leading lithium player. This, combined with its current dip in stock value and growth potential, makes ALB one of the most attractive stocks currently available on the market.
Albemarle recently reported record revenue and earnings for the fourth straight quarter, crossing the $2 billion mark for the first time. Moreover, Albemarle also pays a decent dividend, making its stock increasingly attractive for investors.
Nio (NIO )
NIO logo, sign atop of North American headquarters and global software development center in Silicon Valley. NIO is Chinese electric autonomous vehicles manufacturer
Source: Michael Vi / Shutterstock.com
Despite its recent struggles, there appears to be a light at the end of the tunnel for Chinese EV giant Nio (NYSE:NIO). The company’s share price plummeted to its lowest level in 2022, yet analysts remain optimistic about the firm’s prospects. Nio is likely to enjoy an impressive comeback in 2023 after a difficult 2022. The China-based electric vehicle company has been enjoying an impressive surge in sales, and the government’s focus on economic recovery is likely to provide further support for Nio’s efforts.
Nio recorded monthly annual deliveries of 15,185 vehicles in December, up 50.8% for the year. The firm delivered 122,486 vehicles for the year, increasing by 34% from the prior year. Hence, with its forward-looking strategies and cutting-edge products, Nio is well-placed to take full advantage of this promising new market trend and create even more success over the year ahead.
Ford (F)
Ford logo badge on grill of car
Source: JuliusKielaitis / Shutterstock.com
Ford (NYSE:F) is paving the way to go green with its efforts in expanding electric vehicle production. With an impressive planned investment of up to $20 billion, the leading automaker is creating game-changing vehicles that will soon be available for consumers. Ford has gone a step further by creating a subsidiary for EVs, as well as dedicated teams for manufacturing and assembly. This ensures the company’s electrification program runs as smoothly as possible. All signs point to this being the dawn of an exciting new era in automotive transport, with Ford providing its signature stylish rides from the outset.
For those looking to set their portfolio up for long-term success, buying Ford stock now is an intriguing proposition. The company’s share price has dropped by over 40% compared to last year, meaning investors get great value with a low entry price. An added bonus is the generous dividend yield of 4.4%. Throw in Ford’s foray into the growing electric vehicle sector, and you’ve got a sound and profitable investment on your hands. All signs point towards now being an ideal time to join forces with Ford Motors and reap long-term gains far into the future.
ChargePoint (CHPT)
EV stocks: A close-up shot of a ChargePoint charging station.
Source: YuniqueB / Shutterstock.com
ChargePoint (NYSE:CHPT) is primed to lead the electric mobility revolution as investments in EV charging infrastructure continue to grow rapidly. The company’s total investment in the United States and Europe is expected to reach $60 billion by 2030 and $192 billion by 2040. It boasts a comprehensive portfolio for nearly every charging scenario, ensuring its customers can have customized solutions for their needs. Furthermore, ChargePoint generates recurring revenues, promoting long-term stability. With these factors in place, the company looks set to maximize growth opportunities provided by President Biden’s commitment to building 500,000 EV charging ports across the continent.
The drive towards cleaner, greener forms of transport is gathering momentum as EVs become increasingly popular. This boom in EV popularity has a knock-on effect for companies such as ChargePoint, who are responsible for installing charge points for battery-powered cars. ChargePoint has been growing each quarter rapidly, delivering triple-digit growth in its sales and earnings.
BYD Company (BYDDF)
BYD Company Limited logo in front of their website. BYDDY stock.
Source: T. Schneider / Shutterstock
BYD Company (OTCMKTS:BYDDF) is respected for being a leader in the electric vehicle industry, and its current presence on the list of top EV stocks to buy can’t be overlooked. Although Buffett has recently reduced his stake, he has held onto this stock for 14 years, which speaks to its long-term value and potential.
The Chinese electric vehicle (EV) market is positioning itself as a leading force in the industry, and BYDDF stock offers unparalleled access to this ever-growing space. With China dominating the sector in terms of both size and rate of growth, investors can now gain exposure to these favorable dynamics at nearly a third off the stock’s highs. Industry observers suggest there is no better way to take advantage of the expansive opportunities in this booming sphere than to add BYDDF stock to their portfolios.
General Motors (GM)
A self-driving Chevrolet Bolt from Cruise Automation, a subsidiary of General Motors (GM).
Source: Michael Vi / Shutterstock.com
As a major manufacturer, General Motors (NYSE:GM) is setting a powerful example of how to move towards sustainability. The company has committed to the electrification of its lineup over the next five years, and is already taking strides in this direction. This shift was exemplified by the impressive third-quarter sales figures for its EVs, indicating that customers respond favorably to GM’s environmentally-friendly efforts. Thus, with enthusiasm from both automobile companies and other businesses alike, it’s clear that we can all work together to move towards an environmentally conscious future. GM’s latest moves position it as a leader in this exciting wave of innovation, further strengthening its commitment to building a greener tomorrow.
General Motors’ continued success paid off in its recently announced sales of over 2.2 million vehicles within the United States in 2022, overtaking Toyota Motor’s yearly total. Indeed, this impressive result was driven by the astonishing 623,261 vehicles sold in the fourth quarter alone and displays GM’s commitment to providing innovative solutions and meeting consumer needs.
On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.
More From InvestorPlace
The post 7 Must-Buy EV Stocks for Your January Buy List appeared first on InvestorPlace.
|
NEWS_629
|
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about ChargePoint Holdings, Inc. (CHPT).
ChargePoint Holdings, Inc. currently has an average brokerage recommendation (ABR) of 1.64, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 14 brokerage firms. An ABR of 1.64 approximates between Strong Buy and Buy.
Of the 14 recommendations that derive the current ABR, nine are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 64.3% and 7.1% of all recommendations.
Brokerage Recommendation Trends for CHPT
Broker Rating Breakdown Chart for CHPT
Check price target & stock forecast for ChargePoint Holdings, Inc. here>>>
The ABR suggests buying ChargePoint Holdings, Inc., but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
Story continues
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near -term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
Zacks Rank Should Not Be Confused With ABR
Although both Zacks Rank and ABR are displayed in a range of 1-5, they are different measures altogether.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Should You Invest in CHPT?
In terms of earnings estimate revisions for ChargePoint Holdings, Inc., the Zacks Consensus Estimate for the current year has remained unchanged over the past month at -$0.72.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for ChargePoint Holdings, Inc. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for ChargePoint Holdings, Inc.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
ChargePoint Holdings, Inc. (CHPT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_630
|
Scott Anderson Appointed Interim Chief Executive Officer
Bob Biesterfeld to Step Down as President and Chief Executive Officer
C.H. Robinson Board of Directors Initiates Search for Permanent Successor
MINNEAPOLIS, January 03, 2023--(BUSINESS WIRE)--C.H. Robinson Worldwide, Inc. ("C.H. Robinson") (Nasdaq: CHRW) announced today that Scott Anderson, Chair of the Board of Directors has been appointed Interim Chief Executive Officer, effective January 1, 2023. Bob Biesterfeld has stepped down as President and Chief Executive Officer and as a member of the Board, effective December 31, 2022.
The Board has commenced a search for a new permanent CEO and has retained Russell Reynolds, a leading national executive search firm, to assist in the process of identifying internal and external candidates. With Mr. Anderson’s appointment as interim CEO, Jodee Kozlak will become independent Chair of the C.H. Robinson Board. C.H. Robinson has also made changes to the membership of the Audit Committee and Governance Committee so that these committees remain composed solely of independent directors, and appointed Kermit Crawford the Chair of the Governance Committee.
"On behalf of the Board of Directors, I thank Bob for his many important contributions over the past three years as CEO and his 24 years with C.H. Robinson," said Mr. Anderson. "Since joining Robinson in 1999, Bob has played an important role in positioning C.H. Robinson for long-term success, most recently leading the company through a challenging period, which included COVID-19 and dealing with supply chain disruptions. We wish him all the best."
Mr. Anderson added, "I am honored to take on the role of Interim CEO and am committed to ensuring this will be a seamless transition for all C.H. Robinson stakeholders. Now is the right time for C.H. Robinson to accelerate our strategic initiatives and the Board is focused on identifying a CEO successor who can execute on the opportunities ahead for Robinson. I look forward to working closely with our talented employees to continue to improve our customer and carrier experience, and scale our digital processes to foster sustainable growth."
Story continues
"It has been a privilege to lead C.H. Robinson and this exceptional team," said Mr. Biesterfeld. "I am proud of all that we have achieved together, and it has been a pleasure working with so many talented members of the team throughout the organization during my tenure as CEO. I am confident that C.H. Robinson’s industry leading people and culture will continue to ensure that the company is well-positioned for the future."
About Scott Anderson
Mr. Anderson was appointed to the C.H. Robinson Board of Directors in January 2012 and has been Chair of the Board since 2020. Most recently, he was President and Chief Executive Officer of Patterson Companies from 2010 to 2017 and was elected as Chairman of the Board of Patterson Companies in April 2013. He served as a director on the Board of Duke Realty Corporation prior to its acquisition by Prologis this past October. He is a former Chairman of the Dental Trade Alliance, has served on the Board of Directors of the Ordway Theater and is a trustee of Gustavus Adolphus College, where he served as Chairman of the Board from 2019-2021. He is a senior advisor to TPG Capital’s healthcare team and heads the Executive Council of Carlson Private Capital. Mr. Anderson earned a Master of Business Administration from Northwestern University, Kellogg School of Management and his bachelor’s degree from Gustavus Adolphus College.
About Jodee Kozlak
Ms. Kozlak joined C.H. Robinson as a Director in 2013. Ms. Kozlak is the Founder and CEO of Kozlak Capital Partners, LLC, a private consulting firm. Prior to this role, Ms. Kozlak served as the Global Senior Vice President of Human Resources of Alibaba Group from February 2016 to November 2017. Prior to joining Alibaba Group, Ms. Kozlak was at Target Corporation beginning in January 2001, where she served in a variety of legal and leadership roles, including as the Executive Vice President and Chief Human Resources Officer from March 2007 through February 2016. Prior to joining Target in 2001, Ms. Kozlak was a Partner in the litigation practice of Greene Espel, PLLP, and a Senior Auditor at Arthur Andersen & Co. Ms. Kozlak serves as a board member of K.B. Home, MGIC Investment Corp., and Leslies, Inc. Ms. Kozlak is a past fellow of the Distinguished Careers Institute (DCI) at Stanford University, received a Juris Doctor degree from the University of Minnesota and a Bachelor of Arts degree in Accounting from the College of St. Thomas.
About Kermit Crawford
Mr. Crawford joined C.H. Robinson as a Director in 2020. Mr. Crawford previously served as President and Chief Operating Officer at Rite Aid Corporation from 2017 to 2019. Prior to joining Rite Aid, Mr. Crawford was an Operating Partner and Advisor with private equity firm Sycamore Partners from 2015 to 2017. He previously worked for Walgreens from 1983 to 2014 and he served in multiple roles of increasing responsibility, including Executive Vice President and President of Pharmacy, Health and Wellness and Executive Vice President and Senior Vice President of Pharmacy Services. Mr. Crawford has served on the Board of Directors for The Allstate Corporation, where he chairs the audit committee, since 2013. Mr. Crawford joined the Visa Board of Directors in 2022 and serves on the Audit & Risk Committee and Nominating & Corporate Governance Committee. He also serves on the Board of Directors for Northwestern Lake Forest Hospital and the Board of Trustees for The Field Museum. Mr. Crawford is a former member of the Board of Directors at TransUnion. Mr. Crawford holds a Bachelor of Science from The College of Pharmacy and Health Sciences at Texas Southern University.
About C.H. Robinson
C.H. Robinson solves logistics problems for companies across the globe and across industries, from the simple to the most complex. With $28 billion in freight under management and 20 million shipments annually, we are one of the world’s largest logistics platforms. Our global suite of services accelerates trade to seamlessly deliver the products and goods that drive the world’s economy. With the combination of our multimodal transportation management system and expertise, we use our information advantage to deliver smarter solutions for our 100,000 customers and 85,000 contract carriers. Our technology is built by and for supply chain experts to bring faster, more meaningful improvements to our customers’ businesses. As a responsible global citizen, we are also proud to contribute millions of dollars to support causes that matter to our company, our Foundation and our employees. For more information, visit us at www.chrobinson.com (Nasdaq: CHRW).
CHRW-IR
View source version on businesswire.com: https://www.businesswire.com/news/home/20230103005209/en/
Contacts
FOR INVESTOR INQUIRIES, CONTACT:
Chuck Ives, Director of Investor Relations
Email: [email protected]
FOR MEDIA INQUIRIES, CONTACT:
Duncan Burns, Chief Communications Officer
Email: [email protected]
|
NEWS_631
|
CH Robinson Worldwide Inc (NASDAQ: CHRW) has appointed Scott Anderson, Chair of the Board of Directors, as the interim Chief Executive Officer, effective January 1, 2023.
Bob Biesterfeld has stepped down as President and CEO and as a member of the Board, effective December 31, 2022.
The Board has commenced a search for a new permanent CEO and has retained the executive search firm, Russell Reynolds, to assist in the process.
With Anderson's appointment as interim CEO, Jodee Kozlak will become independent Chair of the C.H. Robinson Board.
C.H. Robinson has also made changes to the membership of the Audit Committee and Governance Committee so that these committees remain composed solely of independent directors, and appointed Kermit Crawford as the Chair of the Governance Committee.
"Now is the right time for C.H. Robinson to accelerate our strategic initiatives and the Board is focused on identifying a CEO successor who can execute on the opportunities ahead for Robinson," said Scott Anderson.
Price Action: CHRW shares are trading higher by 1.77% at $93.18 in premarket on the last check Tuesday.
See more from Benzinga
Don't miss real-time alerts on your stocks - join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
|
NEWS_632
|
EDEN PRAIRIE, Minn., January 10, 2023--(BUSINESS WIRE)--C.H. Robinson Worldwide, Inc. ("C.H. Robinson") (Nasdaq: CHRW), one of the world’s largest logistics platforms, announced today that it will issue its fourth quarter 2022 results after the market closes on Wednesday, February 1, 2023. The company will hold a conference call from 5:00 pm - 6:00 pm Eastern Time on the same day to discuss the quarterly results and answer live questions from the investment community.
Hosting the conference call will be Scott Anderson, Interim Chief Executive Officer; Arun Rajan, Chief Operating Officer; Mike Zechmeister, Chief Financial Officer; and Chuck Ives, Director of Investor Relations.
Presentation slides and a simultaneous audio webcast of the conference call may be accessed at http://investor.chrobinson.com.
To participate in the conference call by telephone, please call ten minutes early by dialing 877-269-7756. International callers should dial +1-201-689-7817. An audio replay will be available at http://investor.chrobinson.com.
About C.H. Robinson
C.H. Robinson solves logistics problems for companies across the globe and across industries, from the simple to the most complex. With $28 billion in freight under management and 20 million shipments annually, we are one of the world’s largest logistics platforms. Our global suite of services accelerates trade to seamlessly deliver the products and goods that drive the world’s economy. With the combination of our multi-modal transportation management system and expertise, we use our information advantage to deliver smarter solutions for our 100,000 customers and 85,000 contract carriers. Our technology is built by and for supply chain experts to bring faster, more meaningful improvements to our customers’ businesses. As a responsible global citizen, we are also proud to contribute millions of dollars to support causes that matter to our company, our Foundation and our employees. For more information, visit us at www.chrobinson.com (Nasdaq: CHRW).
Story continues
CHRW-IR
View source version on businesswire.com: https://www.businesswire.com/news/home/20230110005846/en/
Contacts
Chuck Ives, Director of Investor Relations
Email: [email protected]
|
NEWS_633
|
Rossignoli brings 20 years of global supply chain expertise to help customers and growers optimize their fresh produce supply chains
EDEN PRAIRIE, Minn., January 09, 2023--(BUSINESS WIRE)--Global logistics company C.H. Robinson Worldwide, Inc. ("C.H. Robinson") (Nasdaq: CHRW) today announced that Jose Rossignoli has been named the new president of Robinson Fresh. He succeeds Michael Castagnetto who has been promoted within C.H. Robinson to vice president of Customer Success supporting the North American Surface Transportation (NAST) division.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230109005850/en/
Jose Rossignoli (Photo: Business Wire)
Rossignoli, who has been with the company since 2012, has held various leadership roles within Robinson Fresh, including general manager, director of Global Sourcing and most recently, vice president of Global Sourcing. In that time, he has been a key player in evolving the business into one of the leading supply chain product and services companies in the fresh food industry. His dynamic background, which includes deep experience engaging stakeholders across the entire international fresh supply chain, from growers to carriers to shippers, will help build upon Robinson Fresh’s rapid momentum with a continued focus on integrating product and services to provide customers with a seamless supply chain solution. As president and a member of C.H. Robinson’s senior leadership team, Rossignoli also plans to leverage his global background to bring diversity of thought and ideas throughout the company.
"C.H. Robinson is on course to continue to deliver and grow superior global services and integrated capabilities to our customers, carriers and growers," said Scott Anderson, interim CEO of C.H. Robinson. "This all begins with our talented team. We are putting the right talent in place at the right time. Jose’s appointment as president of Robinson Fresh and Michael Castagnetto’s promotion to a leadership role in our NAST division will help us serve our customers in the most optimal way. I want to thank Michael for his great work leading Robinson Fresh and we’re looking forward to seeing where Jose and his team take the business."
Story continues
Consumer expectations are driving supply chain complexity – especially for fresh, frozen and food products. Robinson Fresh is in a unique position to reduce complexity for customers by being able to not only deliver fresh produce, but to add value through its integrated supply chain and logistics services to create a more efficient and holistic solution for customers.
"Robinson Fresh has undergone a positive transformation over the past couple of years, and I am excited to work with our extremely talented team to build upon that growth and progress," said Rossignoli. "The next year will be exciting as we work toward our strategic goal of growing our integrated capabilities while continuing to uncover new and innovative ways to meet our customers’ needs."
About C.H. Robinson
C.H. Robinson solves logistics problems for companies across the globe and across industries, from the simple to the most complex. With $28 billion in freight under management and 20 million shipments annually, we are one of the world’s largest logistics platforms. Our global suite of services accelerates trade to seamlessly deliver the products and goods that drive the world’s economy. With the combination of our multimodal transportation management system and expertise, we use our information advantage to deliver smarter solutions for our 100,000 customers and our 85,000 contract carriers. Our technology is built by and for supply chain experts to bring faster, more meaningful improvements to our customers’ businesses. As a responsible global citizen, we are also proud to contribute millions of dollars to support causes that matter to our company, our Foundation and our employees. For more information, visit us at www.chrobinson.com (Nasdaq: CHRW).
About Robinson Fresh
Robinson Fresh® specializes in sourcing and transporting fresh produce for consumers around the world. As one of the largest produce providers in the world and a division of the world’s largest logistics platform, C.H. Robinson, Robinson Fresh offers the highest quality products, services and solutions. Customers take advantage of year-round and global product supply, cold chain expertise, world-class account management and impactful category insights. This expertise fuels Robinson Fresh’s ability to create and execute innovative supply chain solutions for customers, from seed to shelf. For more information, visit www.robinsonfresh.com.
CHRW-IR
View source version on businesswire.com: https://www.businesswire.com/news/home/20230109005850/en/
Contacts
Lauren Perry
952.221.4615
[email protected]
|
NEWS_634
|
Best Buy Co., Inc. BBY has been resorting to extraordinary efforts to enrich customers’ experience. The company is banking upon solid digital efforts to proficiently cater to consumers amid such trying times. In fact, Best Buy’s quick shift to a contactless curbside service-only operating model in view of the coronavirus outbreak has worked wonders.
Remarkably, the company is constantly conducting tests and pilots to turn into a more customer-centric, digitally focused and efficient company. Its membership drive under the name ‘Best Buy total tech’ is quite a wise move. This program offers unlimited Geek Squad technical support at exclusive member pricing with free shipping and standard installation.
Buoyed by such efforts, this consumer electronic retailer’s shares have surged 33.1% in the past three months, comfortably outperforming the industry’s 13.3% growth.
Let’s Delve Deep
Best Buy is focused on improving its digital capabilities including boosting its omnichannel services, such as buy online, pickup in-store services. The company is also deepening its customer engagement with more in-home consultations and in-home installations.
Moreover, Best Buy provides convenient pickup options like in-store pickup, curbside pickup, lockers and alternate pickup locations. The company’s consultation service, which supports customers with personalized tech needs, has been gaining traction.
Zacks Investment Research
Image Source: Zacks Investment Research
In addition, management has been making significant investments in fundamental technology capabilities, such as data and analytics as well as cloud migration to drive scale, efficiency and effectiveness. Management remains focused on optimizing its stores. Thus, Best Buy continues making investments in the stores and elevating unique experiences.
Best Buy is smoothly progressing on its virtual store format, where customers interact with experts via chat, audio, video and screen sharing. Moreover, the company has made investments in the distribution center network to improve productivity. Best Buy has invested in store-based fulfillment, which includes ship-from-store customer fulfillment centers.
The company is also making significant headway in the health and beauty category. To this end, management had launched a skincare technology product across its stores and online. In the health business category, the company has launched over-the-counter hearing aids in about 300 stores and online, with a new online hearing assessment tool.
Story continues
Best Buy acquired Current Health which develops a market-leading remote patient monitoring platform allowing physicians to monitor and connect with patients in their homes. The company’s other notable buyouts in the health space include GreatCall in 2018 and Critical Signal Technologies in 2019.
Best Buy has also expanded its assortment in categories like outdoor living to provide customers with complete solutions. In this respect, its acquisition of Yardbird, a leading direct-to-consumer company that specializes in premium outdoor furniture, is worth noting. Such well-chalked plans are likely to keep contributing to the company’s online revenues.
Conclusion
Wrapping up, Best Buy seems well poised to tap growth opportunities given its solid tech-agnostic drives. While the aforesaid efforts are likely to continue driving sales, the company’s earnings status looks favorable too. It has delivered an average earnings surprise of 13.8% in the trailing four quarters.
In addition, the Zacks Consensus Estimate for fiscal 2024 earnings per share is currently pegged at $6.92, suggesting growth of 5.7% year over year. An impressive long-term earnings expected growth rate of 17.7% and a Value Score of A for this Zacks Rank #3 (Hold) stock further exhibits strength.
Solid Picks in Retail
We highlighted three top-ranked stocks, namely Tecnoglass TGLS, Chico's FAS CHS and Wingstop WING.
Tecnoglass manufactures and sells architectural glass,windows, and aluminum products for residential and commercial construction industries. TGLS currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Tecnoglass’ current financial-year sales and earnings per share suggests growth of 43.4% and 82.2%, respectively, from the year-ago reported figures. TGLS has a trailing four-quarter earnings surprise of 26.9%, on average.
Chico's FAS, an omnichannel specialty retailer, currently sports a Zacks Rank of 1. CHS has a trailing four-quarter earnings surprise of 87.5%, on average.
The Zacks Consensus Estimate for Chico's FAS’s current financial-year sales and EPS suggests 19.6% and 127.5% growth, respectively, from the year-ago reported figures.
Wingstop, which franchises and operates restaurants, currently holds a Zacks Rank #2 (Buy). The company has a trailing four-quarter earnings surprise of 5.8%, on average.
The Zacks Consensus Estimate for Wingstop’s current financial-year sales and earnings per share suggests 25.5% and 23% growth, respectively, from the year-ago reported numbers. WING has an expected EPS growth rate of 5.8% for three-five years.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Best Buy Co., Inc. (BBY) : Free Stock Analysis Report
Chico's FAS, Inc. (CHS) : Free Stock Analysis Report
Tecnoglass Inc. (TGLS) : Free Stock Analysis Report
Wingstop Inc. (WING) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_635
|
For Immediate Release
Chicago, IL – January 4, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: CalMaine Foods CALM, Chico's FAS, Inc. CHS, DCP Midstream Partners DCP, ADT ADT and Halliburton HAL.
Here are highlights from Tuesday’s Analyst Blog:
After a Gloomy Year, 2023 Could Be Much Better: 5 Picks
U.S. stocks ended 2022 with sharp losses, while the major indexes finished the year with nearly no record highs. Wall Street’s major bourses registered their first yearly drop since 2018 as the Federal Reserve’s aggressive monetary policy stance to tame sky-high inflation, recession fears, the Russia-Ukraine crisis and concerns over COVID outbreaks in China dampened investors’ sentiment.
The broader S&P 500 tanked 19.4% in 2022, its first double-digit percentage annual loss since the Great Recession period, and resulted in an almost $8 trillion decline in market cap. The tech-laden Nasdaq plummeted 33.1%, while the 30-stock Dow shed 8.9%.
The Dow Jones Market Data added that the S&P 500 wrapped up 2022 with just one record close, its lowest since 2012. In comparison, the index had notched a whopping 70 record-high closes in 2021. Similarly, the Nasdaq finished 2022 with no record closes for the first time since 2014. On the other hand, the Dow ended the year with only two record closes to its name.
The lack of new record highs in the equity market was accompanied by declines in other assets, such as bonds that are considered to be safer investment options and those that are primarily not, including cryptocurrencies. Nonetheless, the scarcity of milestones, particularly in the equity market, was mainly due to the Fed hiking interest rates aggressively to curb 40-year high inflation. But such a hawkish stance pushed borrowing costs higher and curtailed consumer spending levels, raising fears of an economic slowdown in the near future.
Story continues
This year, however, the trajectory of the stock market is primarily dependent on inflation and the Fed’s policies in trying to contain it. Inflation, by the way, has started to show signs of cooling down. The consumer price index increased at an annual pace of 7.1% in November, which is less than October’s year-over-year increase of 7.7%. Lest we forget, the consumer price index had soared 9.1% year over year in June. Thus, thanks to the falling rate of inflation, the Fed may not unleash a barrage of rate hikes this year, as it did last year, eventually leading to a pickup in consumption.
Additionally, as COVID-led curbs are sooner or later expected to be repealed in China, its economy should open up and equities may make a comeback this year. At the same time, the emergence of automation and digitalization in 2023 would probably lead to a rotation of funds into growth players like tech stocks.
Thus, the year 2023 is likely to be a much better year for the stock market than last year. Hence, it’s prudent for investors to make the most of a better year by investing in stocks poised to grow in the near term. We have, therefore, highlighted five stocks that carry a Zacks Rank #1 (Strong Buy) or 2 (Buy), and a Growth Score of A or B, a combination that offers the best opportunities in the growth investing space. You can see the complete list of today’s Zacks Rank #1 stocks here.
CalMaine Foods is primarily engaged in the production, grading, packing and sale of fresh shell eggs, including conventional, cage-free, organic and nutritionally-enhanced eggs. CALM has a Zacks Rank #1 and a Growth Score of A.
The Zacks Consensus Estimate for its current-year earnings has moved up 51.6% over the past 60 days. The company’s expected earnings growth rate for the current year is 351.5%.
Chico's FAS is a cultivator of brands serving the lifestyle needs of fashion-savvy women 30 years and older. CHS has a Zacks Rank #1 and a Growth Score of A.
The Zacks Consensus Estimate for its current-year earnings has moved up 7.1% over the past 60 days. The company’s expected earnings growth rate for the current year is 127.5%.
DCP Midstream Partners is a leading energy infrastructure firm. DCP has a Zacks Rank #1 and a Growth Score of A.
The Zacks Consensus Estimate for its current-year earnings has moved up 14% over the past 60 days. The company’s expected earnings growth rate for the current year is 181.1%.
ADT provides security and automation solutions for homes and businesses, primarily in the United States. ADT has a Zacks Rank #1 and a Growth Score of B.
The Zacks Consensus Estimate for its current-year earnings has moved up 200% over the past 60 days. The company’s expected earnings growth rate for the current year is 304%.
Halliburton is one of the largest oilfield service providers in the world, offering a variety of equipment, maintenance, and engineering and construction services to the energy, industrial and government sectors. HAL has a Zacks Rank #2 and a Growth Score of B.
The Zacks Consensus Estimate for its current-year earnings has moved up 1.5% over the past 60 days. The company’s expected earnings growth rate for the current year is 94.4%.
Why Haven’t You Looked at Zacks' Top Stocks?
Our 5 best-performing strategies have blown away the S&P's impressive +28.8% gain in 2021. Amazingly, they soared +40.3%, +48.2%, +67.6%, +94.4%, and +95.3%. Today you can access their live picks without cost or obligation.
See Stocks Free >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
[email protected]
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Halliburton Company (HAL) : Free Stock Analysis Report
Chico's FAS, Inc. (CHS) : Free Stock Analysis Report
CalMaine Foods, Inc. (CALM) : Free Stock Analysis Report
ADT Inc. (ADT) : Free Stock Analysis Report
DCP Midstream Partners, LP (DCP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_636
|
Multiple insiders secured a larger position in Charter Communications, Inc. (NASDAQ:CHTR) shares over the last 12 months. This is reassuring as this suggests that insiders have increased optimism about the company's prospects.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for Charter Communications
The Last 12 Months Of Insider Transactions At Charter Communications
Over the last year, we can see that the biggest insider purchase was by Lead Independent Director Eric Zinterhofer for US$10m worth of shares, at about US$377 per share. That means that an insider was happy to buy shares at above the current price of US$342. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
Happily, we note that in the last year insiders paid US$12m for 29.95k shares. But insiders sold 5.30k shares worth US$2.4m. Overall, Charter Communications insiders were net buyers during the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Charter Communications Insiders Bought Stock Recently
Over the last quarter, Charter Communications insiders have spent a meaningful amount on shares. Lead Independent Director Eric Zinterhofer spent US$10m on stock, and there wasn't any selling. This could be interpreted as suggesting a positive outlook.
Story continues
Does Charter Communications Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that Charter Communications insiders own 0.3% of the company, worth about US$185m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About Charter Communications Insiders?
The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Charter Communications insiders are well aligned, and quite possibly think the share price is too low. One for the watchlist, at least! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Case in point: We've spotted 1 warning sign for Charter Communications you should be aware of.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_637
|
Shares of Charter Communications Inc. Cl A CHTR, +0.78% advanced 1.01% to $378.43 Wednesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 1.28% to 3,969.61 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.80% to 33,973.01. This was the stock's second consecutive day of gains. Charter Communications Inc. Cl A closed $248.21 short of its 52-week high ($626.64), which the company reached on January 12th.
The stock outperformed some of its competitors Wednesday, as Netflix Inc. NFLX, +0.81% fell 0.09% to $327.26, Walt Disney Co. DIS, -0.41% rose 0.81% to $96.33, and Comcast Corp. Cl A CMCSA, +0.62% rose 0.18% to $37.95. Trading volume (844,743) remained 637,575 below its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_638
|
Investors in Charter Communications, Inc. CHTR need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 20, 2023 $220.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Charter Communications shares, but what is the fundamental picture for the company? Currently, Charter Communications is a Zacks Rank #5 (Strong Sell) in the Cable Television industry that ranks in the Bottom 33% of our Zacks Industry Rank. Over the last 30 days, one analyst has increased the earnings estimate for the current quarter, while five have dropped their estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from $8.21 per share to $8.02 in that period.
Given the way analysts feel about Charter Communications right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Looking to Trade Options?
Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.
Click to see the trades now >>
Story continues
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Charter Communications, Inc. (CHTR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_639
|
If you're looking for a multi-bagger, there's a few things to keep an eye out for. Typically, we'll want to notice a trend of growing return on capital employed (ROCE) and alongside that, an expanding base of capital employed. Basically this means that a company has profitable initiatives that it can continue to reinvest in, which is a trait of a compounding machine. With that in mind, we've noticed some promising trends at Charter Communications (NASDAQ:CHTR) so let's look a bit deeper.
Return On Capital Employed (ROCE): What Is It?
For those that aren't sure what ROCE is, it measures the amount of pre-tax profits a company can generate from the capital employed in its business. The formula for this calculation on Charter Communications is:
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
0.094 = US$12b ÷ (US$144b - US$12b) (Based on the trailing twelve months to September 2022).
Thus, Charter Communications has an ROCE of 9.4%. On its own that's a low return on capital but it's in line with the industry's average returns of 8.9%.
See our latest analysis for Charter Communications
roce
In the above chart we have measured Charter Communications' prior ROCE against its prior performance, but the future is arguably more important. If you're interested, you can view the analysts predictions in our free report on analyst forecasts for the company.
What The Trend Of ROCE Can Tell Us
Charter Communications is showing promise given that its ROCE is trending up and to the right. The figures show that over the last five years, ROCE has grown 159% whilst employing roughly the same amount of capital. So our take on this is that the business has increased efficiencies to generate these higher returns, all the while not needing to make any additional investments. It's worth looking deeper into this though because while it's great that the business is more efficient, it might also mean that going forward the areas to invest internally for the organic growth are lacking.
Story continues
In Conclusion...
To sum it up, Charter Communications is collecting higher returns from the same amount of capital, and that's impressive. Since the stock has only returned 3.6% to shareholders over the last five years, the promising fundamentals may not be recognized yet by investors. So exploring more about this stock could uncover a good opportunity, if the valuation and other metrics stack up.
On a final note, we've found 1 warning sign for Charter Communications that we think you should be aware of.
While Charter Communications isn't earning the highest return, check out this free list of companies that are earning high returns on equity with solid balance sheets.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_640
|
Shares of Charter Communications Inc. Cl A CHTR, +0.78% rallied 2.03% to $374.64 Tuesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.70% to 3,919.25 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.56% to 33,704.10. Charter Communications Inc. Cl A closed $252.00 below its 52-week high ($626.64), which the company reached on January 12th.
The stock demonstrated a mixed performance when compared to some of its competitors Tuesday, as Netflix Inc. NFLX, +0.81% rose 3.92% to $327.54, Walt Disney Co. DIS, -0.41% rose 0.83% to $95.56, and Comcast Corp. Cl A CMCSA, +0.62% rose 0.88% to $37.88. Trading volume (1.1 M) remained 391,943 below its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_641
|
Shares of Charter Communications Inc. Cl A CHTR, +0.78% inched 0.78% higher to $388.47 Friday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.40% to 3,999.09 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.33% to 34,302.61. This was the stock's fourth consecutive day of gains. Charter Communications Inc. Cl A closed $232.53 short of its 52-week high ($621.00), which the company achieved on February 3rd.
The stock demonstrated a mixed performance when compared to some of its competitors Friday, as Netflix Inc. NFLX, +0.81% rose 0.81% to $332.82, Walt Disney Co. DIS, -0.41% fell 0.41% to $99.40, and Comcast Corp. Cl A CMCSA, +0.62% rose 0.62% to $38.93. Trading volume (771,216) remained 673,768 below its 50-day average volume of 1.4 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_642
|
Shares of Charter Communications Inc. Cl A CHTR, +0.78% dropped 0.15% to $367.18 Monday, on what proved to be an all-around dismal trading session for the stock market, with the S&P 500 Index SPX, +0.40% falling 0.08% to 3,892.09 and Dow Jones Industrial Average DJIA, +0.33% falling 0.34% to 33,517.65. The stock's fall snapped a six-day winning streak. Charter Communications Inc. Cl A closed $259.46 below its 52-week high ($626.64), which the company achieved on January 12th.
The stock demonstrated a mixed performance when compared to some of its competitors Monday, as Netflix Inc. NFLX, +0.81% fell 0.12% to $315.17, Walt Disney Co. DIS, -0.41% rose 0.91% to $94.77, and Comcast Corp. Cl A CMCSA, +0.62% fell 0.90% to $37.55. Trading volume (1.1 M) remained 429,010 below its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_643
|
PGA TOUR First to Utilize Xumo Enterprise’s Innovative Self-Service CMS for FAST Channel Management
Expansion Comes After a Year of Rapid Growth for Xumo’s Existing Enterprise Business, Which Delivered 65% More Streaming Hours to Customers in 2022.
PHILADELPHIA, January 05, 2023--(BUSINESS WIRE)--Xumo Enterprise, the business-to-business arm of the new streaming platform joint venture between Comcast and Charter, provides the industry with tools and services to make free ad-supported streaming TV (FAST) more accessible. Today, it announced a new suite of software and technology solutions providing content owners, advertisers, and streaming platforms more ways to program, manage and monetize a customized streaming solution that can scale up or down to meet their unique needs and business goals.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230105005626/en/
Xumo Enterprise Unveils Expanded Suite of Solutions for Building, Managing and Monetizing Fast Channels and Services (Graphic: Business Wire)
"As more streamers look to supplement their subscription services with free programming, FAST services are becoming an increasingly popular way for content owners and advertisers to reach new viewers," said Stefan Van Engen, Vice President of Content Acquisition and Programming, Xumo. "Since 2016 we have powered many of the leading FAST channels and services globally, and today’s announcement provides the growing industry with even more tools to maximize an existing FAST offering or create a new one."
As part of the new solution suite, Xumo Enterprise is now offering content owners the ability to manage their own FAST channels within its reimagined content management system (CMS) designed to make channel management for the emerging FAST business simple and intuitive. The PGA TOUR is the first content partner to utilize Xumo Enterprise’s CMS to manage its FAST channel across available platforms. Capabilities of the CMS include building a programming schedule, managing ad loads, and gaining viewing and engagement insights.
Story continues
"Our FAST channel has seen rapid growth over the past year – we’ve added more programming from our archives, expanded to new platforms and increased overall engagement," said Tom Jeffs, Vice President of Media Business Development, PGA TOUR. "Xumo Enterprise’s CMS solution has been a great asset for us, giving us a simple way to nimbly program and manage our FAST channel as an extension of our broader storytelling efforts."
Xumo Enterprise’s CMS offering enhances and extends the company’s existing enterprise solutions, which saw unprecedented growth in 2022 as FAST adoption within the industry soared. The company delivered 65% more streaming hours to its enterprise customers in 2022 than it did the year prior. Xumo Enterprise’s existing suite of software and technology solutions include:
FAST channel syndication. Global ad-supported and subscription-based streaming services can partner with Xumo Enterprise to distribute FAST channels within their experience, choosing from Xumo’s library of 250+ premium, quality content partnerships.
Linear channel creation and distribution. Xumo Enterprise’s CMS enables content owners to create, program and distribute their own branded FAST channels. Its best-in-class linear play out technology reaches 30+ countries.
Monetization and optimized ad insertion. The proprietary ads management system (AMS) and server-side ad insertion (SSAI) solutions offered by Xumo Enterprise ensures content owners and streaming platforms can successfully reach new and larger audiences while building their respective businesses.
Yield management and data insights. A new solution from Xumo Enterprise, content partners can now directly control and manage the ad load and frequency alongside engagement for their linear channel.
White-labeled streaming service. Xumo is the only FAST solution provider that has the tech stack to develop white-labeled streaming services for OEMs and distributors customized to individual audiences and business needs.
About Xumo
Xumo, a joint venture between Comcast and Charter, was formed to develop and offer a next-generation streaming platform on a variety of branded 4K streaming devices and smart TVs. Powered by Comcast’s global technology platform, Xumo devices and services feature an entertainment experience designed to make it easy for consumers to find and enjoy their favorite streaming content through a world-class user interface and voice search, and for partners to meaningfully connect and engage with millions of consumers.
View source version on businesswire.com: https://www.businesswire.com/news/home/20230105005626/en/
Contacts
Debbie Frey
Comcast Corporation
215-286-4568
[email protected]
John Tagle
Comcast Corporation
215-286-3011
[email protected]
|
NEWS_644
|
Today we will run through one way of estimating the intrinsic value of Charter Communications, Inc. (NASDAQ:CHTR) by taking the expected future cash flows and discounting them to their present value. One way to achieve this is by employing the Discounted Cash Flow (DCF) model. There's really not all that much to it, even though it might appear quite complex.
Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.
See our latest analysis for Charter Communications
Crunching The Numbers
We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows. Generally the first stage is higher growth, and the second stage is a lower growth phase. In the first stage we need to estimate the cash flows to the business over the next ten years. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.
Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value:
10-year free cash flow (FCF) forecast
2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 Levered FCF ($, Millions) US$5.59b US$5.93b US$5.81b US$8.17b US$8.82b US$9.30b US$9.71b US$10.1b US$10.4b US$10.7b Growth Rate Estimate Source Analyst x17 Analyst x15 Analyst x10 Analyst x5 Analyst x4 Est @ 5.48% Est @ 4.43% Est @ 3.69% Est @ 3.18% Est @ 2.82% Present Value ($, Millions) Discounted @ 10% US$5.1k US$4.9k US$4.3k US$5.5k US$5.4k US$5.2k US$4.9k US$4.6k US$4.3k US$4.1k
("Est" = FCF growth rate estimated by Simply Wall St)
Present Value of 10-year Cash Flow (PVCF) = US$48b
Story continues
After calculating the present value of future cash flows in the initial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.0%. We discount the terminal cash flows to today's value at a cost of equity of 10%.
Terminal Value (TV)= FCF 2032 × (1 + g) ÷ (r – g) = US$11b× (1 + 2.0%) ÷ (10%– 2.0%) = US$133b
Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$133b÷ ( 1 + 10%)10= US$50b
The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is US$99b. The last step is to then divide the equity value by the number of shares outstanding. Relative to the current share price of US$368, the company appears quite good value at a 34% discount to where the stock price trades currently. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent.
dcf
The Assumptions
Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Charter Communications as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 10%, which is based on a levered beta of 1.363. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business.
SWOT Analysis for Charter Communications
Strength
Earnings growth over the past year exceeded the industry.
Weakness
Interest payments on debt are not well covered.
Opportunity
Annual earnings are forecast to grow for the next 4 years.
Good value based on P/E ratio and estimated fair value.
Significant insider buying over the past 3 months.
Threat
Debt is not well covered by operating cash flow.
Annual earnings are forecast to grow slower than the American market.
Next Steps:
Whilst important, the DCF calculation shouldn't be the only metric you look at when researching a company. DCF models are not the be-all and end-all of investment valuation. Instead the best use for a DCF model is to test certain assumptions and theories to see if they would lead to the company being undervalued or overvalued. For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. What is the reason for the share price sitting below the intrinsic value? For Charter Communications, we've compiled three further elements you should consider:
Risks: For instance, we've identified 1 warning sign for Charter Communications that you should be aware of. Future Earnings: How does CHTR's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other Solid Businesses: Low debt, high returns on equity and good past performance are fundamental to a strong business. Why not explore our interactive list of stocks with solid business fundamentals to see if there are other companies you may not have considered!
PS. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the NASDAQGS every day. If you want to find the calculation for other stocks just search here.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_645
|
STAMFORD, Conn., Jan. 4, 2023 /PRNewswire/ -- Charter Communications, Inc. (NASDAQ: CHTR) (the "Company" or "Charter") will host a webcast on Friday, January 27, 2023 at 8:30 a.m. Eastern Time (ET) to discuss financial and operating results for the quarter and year ended December 31, 2022. A press release reporting such results will be issued at 7:00 a.m. ET that day.
Charter Communications Logo. (PRNewsfoto/Charter Communications, Inc.)
The webcast can be accessed live via the Company's investor relations website at ir.charter.com. The webcast will be archived at ir.charter.com approximately two hours after completion of the webcast.
About Charter
Charter Communications, Inc. (NASDAQ:CHTR) is a leading broadband connectivity company and cable operator serving more than 32 million customers in 41 states through its Spectrum brand. Over an advanced communications network, the Company offers a full range of state-of-the-art residential and business services including Spectrum Internet®, TV, Mobile and Voice.
For small and medium-sized companies, Spectrum Business® delivers the same suite of broadband products and services coupled with special features and applications to enhance productivity, while for larger businesses and government entities, Spectrum Enterprise provides highly customized, fiber-based solutions. Spectrum Reach® delivers tailored advertising and production for the modern media landscape. The Company also distributes award-winning news coverage and sports programming to its customers through Spectrum Networks. More information about Charter can be found at corporate.charter.com.
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/charter-to-hold-webcast-to-discuss-fourth-quarter-and-full-year-2022-financial-and-operating-results-301713730.html
SOURCE Charter Communications, Inc.
|
NEWS_646
|
Shares of Charter Communications Inc. Cl A CHTR, +0.78% rose 1.86% to $385.47 Thursday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.34% to 3,983.17 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.64% to 34,189.97. This was the stock's third consecutive day of gains. Charter Communications Inc. Cl A closed $240.60 below its 52-week high ($626.07), which the company reached on January 13th.
The stock demonstrated a mixed performance when compared to some of its competitors Thursday, as Netflix Inc. NFLX, +0.81% rose 0.88% to $330.13, Walt Disney Co. DIS, -0.41% rose 3.61% to $99.81, and Comcast Corp. Cl A CMCSA, +0.62% rose 1.95% to $38.69. Trading volume (1.2 M) remained 258,309 below its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_647
|
Global Food Trucks Markets Report 2022: Analysis & Forecasts 2019-2022 & 2022-2027 - Increasing Demand at Food Festivals and Events as Consumers Are Exploring New Products and Tastes
DUBLIN, Jan. 4, 2023 /PRNewswire/ -- The "Food Trucks: Global Markets" report has been added to ResearchAndMarkets.com's offering.
Research and Markets Logo
This report segments the market by food truck type, food type, serving type, and region. The report provides an overview of the global food truck market and analyzes market trends. Using 2021 as the base year, the report estimates market data for the forecast period 2022 through 2027. Market values have been calculated based on the total revenue of food truck providers.
Scroll to continue with content Ad ADVERTISEMENT
Food trucks reduce the costs associated with establishing a restaurant and offer convenient, mobile service to customers. The growing adoption of food trucks by giant players is based on different factors including location and cost in a bid to offer more convenient service to customers. Early use cases of food trucks were seen in universities, music festivals and so on. Recently, venture capital firms have been investing in start-ups that are developing food trucks.
In this report, the global food trucks market is segmented by truck type, food type, serving type, and region. The report provides an overview of the global food truck market and analyzes market trends. By serving type, the market is segmented into dine-in and take-out. Based on food type, the market is divided into fast food, ice cream, BBQ, beverages, Asian, and others. By truck type, the food truck market is segmented into trucks, vans and buses, and others.
Geographical regions in the report are North America, Europe, Asia-Pacific, and the Rest of the World (RoW) (South America, the Middle East, and Africa). Revenue forecasts from 2022 to 2027 are given for the market segments mentioned above, with estimated values derived from solutions and service providers' total revenue.
Profile descriptions of the leading market participants, including Cafe2U, Kentucky Fried Chicken, Kogi Korean BBQ, Kona Ice, Pizza Hut LLC, and Tim Hortons Inc.
Report Includes
Analyses of the global market trends, with historic market revenue data for 2021, estimates for 2022, forecasts for 2023 and 2025, and projections of compound annual growth rates (CAGRs) through 2027
Understanding of the upcoming market potential and industry growth drivers and opportunities in the food trucks industry with a holistic review of Porter's Five Forces model and SWOT analysis covering major regions and countries involved in market development
Estimation of the actual market size and revenue forecast for the food trucks market in USD million values, and corresponding market share analysis based on the type of service, vehicle/food truck type, food type, and region
In-depth information (facts and figures) about the major market dynamics, food safety regulations, technology advancements, and competitive environment of the leading global players
Discussion of underlying political, economic, sociocultural, technological, legal, and environmental trends and concerns that may influence the nature and size of this market
Competitive landscape of the leading market participants in food trucks industry, their business segments, company revenue share analysis, product portfolio, and recent key developments
A relevant patent analysis with review of patents granted on food trucks systems from 2019 to 2022
Advertisement Advertisement
Key Topics Covered:
Chapter 1 Introduction
Chapter 2 Summary and Highlights
Chapter 3 Market Overview
3.1 History and Evolution
3.2 SWOT Analysis
3.3 Porter's Five Forces Analysis of the Market for Food Trucks
3.4 PESTLE Analysis
3.5 Patent Analysis
3.5.1 Recent Patents
3.6 Impact of the Covid-19 Pandemic on Food Trucks Market
Chapter 4 Market Dynamics
4.1 Market Drivers
4.1.1 Rising Demand for Fast Service
4.1.2 Better Prices Compared to Traditional Food Spaces
4.2 Market Restraints
4.2.1 Menu in Food Trucks is Limited
4.2.2 Restricted Online Presence
4.3 Market Opportunities
4.3.1 Consumers Are Exploring New Products and Tastes
4.3.2 Increasing Demand at Food Festivals and Events
Advertisement
Chapter 5 Market Breakdown by Type of Service
5.1 Overview
5.2 Dine-In
5.3 Take-Out
Chapter 6 Market Breakdown by Type of Vehicle
6.1 Overview
6.2 Vans and Buses
6.3 Trucks
6.4 Other Vehicles
Chapter 7 Market Breakdown by Type of Food
7.1 Overview
7.2 Fast Food
7.3 Ice Cream
7.4 Bbq
7.5 Beverages
7.6 Asian
7.7 Others
Chapter 8 Market Breakdown by Region
8.1 Overview
8.2 North America
8.2.1 U.S.
8.2.2 Canada
8.2.3 Mexico
8.3 Europe
8.3.1 U.K.
8.3.2 Germany
8.3.3 Italy
8.3.4 Spain
8.3.5 France
8.3.6 Rest of Europe
8.4 Asia-Pacific
8.4.1 China
8.4.2 India
8.4.3 Japan
8.4.4 Rest of Asia-Pacific
8.5 Rest of the World
8.5.1 South America
8.5.2 Middle East
8.5.3 Africa
Advertisement
Chapter 9 Competitive Landscape
9.1 Top Companies
9.2 Strategic Analysis
Chapter 10 Company Profiles
Baskin-Robbins
Burger King Corp.
Cafe2U
Chick-Fil-A
Dairy Queen Corp.
Dominos Pizza Inc.
Dunkin Brands, Inc.
Jack in the Box Inc.
Kentucky Fried Chicken
Kogi Korean Bbq
Kona Ice
Mcdonalds Corp.
Papa Johns International Inc.
Pizza Hut LLC
Starbucks Corp.
Taco Bell Corp.
Tim Hortons Inc.
The Wendys Co.
Toppers Pizza
For more information about this report visit https://www.researchandmarkets.com/r/diqnhr
Media Contact:
Research and Markets
Laura Wood, Senior Manager
[email protected]
For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
Advertisement
U.S. Fax: 646-607-1904
Fax (outside U.S.): +353-1-481-1716
Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg
Cision
View original content:https://www.prnewswire.com/news-releases/global-food-trucks-markets-report-2022-analysis--forecasts-2019-2022--2022-2027---increasing-demand-at-food-festivals-and-events-as-consumers-are-exploring-new-products-and-tastes-301713466.html
SOURCE Research and Markets
|
NEWS_648
|
2023 Marks the Fourth Year Cigna Named to the JUST 100
BLOOMFIELD, Conn., Jan. 11, 2023 /PRNewswire/ -- Cigna Corporation (NYSE: CI) today announced it earned the #1 ranking among the health care industry in the newly released list of America's Most JUST Companies by JUST Capital and CNBC. Cigna placed #16 overall out of over 950 companies, and this year marks the fourth time that the organization has been recognized for its corporate citizenship.
Cigna Logo (PRNewsfoto/Cigna)
"We are committed to making a difference for those we serve and for the communities in which we live and work," said Kari Stevens, senior vice president, chief counsel and corporate secretary at Cigna. "Being named among America's best corporate citizens affirms our commitment to our stakeholders and encourages us to keep moving forward in driving transformative change."
Cigna is taking many actions to help improve the health and vitality of its stakeholders, including:
Customers: With the urgent and growing demand for mental health care, Cigna has doubled the size of our behavioral health network over the past five years to give customers quicker and more convenient access to clinicians who are equipped to serve their unique needs, ages and languages.
Employees: Our employees are dedicated to supporting our clients and customers, and we are dedicated to supporting our employees. In 2022, Cigna expanded its caregiver leave program, which now allows up to eight weeks of paid leave to enable employees to care for a family member with a serious health condition, including care for grandparents and grandchildren in addition to children, spouses and parents.
Communities: Cigna's Community Ambassador Fellowship program provides eligible employees up to three months of paid leave and up to $20,000 to support a community-based project. Over 30 employees have been a part of this powerful experience to date. The collective impact of this program reflects approximately 14,000 hours in volunteerism across five countries and a significant investment from Cigna to support community program development and execution.
Story continues
JUST Capital is an independent non-profit organization widely regarded as the leading platform for tracking, measuring, and improving corporate performance in the stakeholder economy. The JUST 100 is the only ranking that recognizes companies doing right by all their stakeholders as defined by the American public.
For the annual Rankings, JUST Capital collects and analyzes corporate data to evaluate the 1,000 largest public U.S. companies across 20 issues identified through comprehensive, ongoing public opinion research on Americans' attitudes toward responsible corporate behavior. JUST Capital has engaged more than 160,000 participants, on a fully representative basis, since 2015.
About Cigna
Cigna Corporation is a global health service company dedicated to improving the health, well-being and peace of mind of those we serve. Cigna delivers choice, predictability, affordability and access to quality care through integrated capabilities and connected, personalized solutions that advance whole person health. All products and services are provided exclusively by or through operating subsidiaries of Cigna Corporation, including Cigna Health and Life Insurance Company, Connecticut General Life Insurance Company, Evernorth companies or their affiliates and Express Scripts companies or their affiliates. Such products and services include an integrated suite of health services, such as medical, dental, behavioral health, pharmacy, vision, supplemental benefits and other related products.
Cigna maintains sales capability in over 30 countries and jurisdictions, and has over 190 million customer relationships around the world. To learn more about Cigna, including links to follow us on Facebook or Twitter, visit www.cigna.com.
Media Contact
Meaghan MacDonald
1 (860) 840-1212
[email protected]
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/cigna-earned-the-1-ranking-for-corporate-citizenship-in-the-health-care-industry-by-just-capital-and-cnbc-301719485.html
SOURCE Cigna
|
NEWS_649
|
BLOOMFIELD, Conn., Jan. 12, 2023 /PRNewswire/ -- Global health services company Cigna Corporation (NYSE:CI) will release its fourth quarter 2022 financial results on Friday, February 3, 2023, and will host a conference call the same day.
Cigna Logo (PRNewsfoto/Cigna)
Fourth quarter 2022 financial results will be released no later than 6:30 a.m. Eastern Time (ET). Management will review these results on a conference call beginning at 8:30 a.m. ET. The call-in numbers are as follows:
Live Call
(888) 455-5036 (Domestic)
(773) 799-3981 (International)
Passcode: 2032023
Replay
(800) 839-2290 (Domestic)
(203) 369-3607 (International)
It is strongly suggested that participants dial in to the conference call by 8:15 a.m. ET on February 3. A replay of the call will be available from 12:30 p.m. ET on February 3 until 11:59 p.m. ET on February 17, 2023. Additionally, the conference call will be available on a live internet webcast at https://investors.cigna.com/events-and-presentations/default.aspx in the Investor Relations section of Cigna's website. Please note that this feature will be in listen-only mode.
A copy of the company's news release and financial supplement will be available on Cigna's website in the Investor Relations section at https://investors.cigna.com/home/default.aspx, no later than 6:30 a.m. ET on February 3.
About Cigna
Cigna Corporation is a global health services company dedicated to improving the health, well-being and peace of mind of those we serve. Cigna delivers choice, predictability, affordability and access to quality care through integrated capabilities and connected, personalized solutions that advance whole person health. All products and services are provided exclusively by or through operating subsidiaries of Cigna Corporation, including Cigna Health and Life Insurance Company, Connecticut General Life Insurance Company, Evernorth companies or their affiliates and Express Scripts companies or their affiliates. Such products and services include an integrated suite of health services, such as medical, dental, behavioral health, pharmacy, vision, supplemental benefits and other related products. Cigna maintains sales capability in over 30 countries and jurisdictions, and has over 190 million customer relationships around the world. To learn more about Cigna®, including links to follow us on Facebook or Twitter, visit www.cigna.com.
Story continues
Investor Relations Contact
Ralph Giacobbe
1 (860) 787-7968
[email protected]
Media Contact
Justine Sessions
1 (860) 810-6523
[email protected]
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/cigna-corporations-fourth-quarter-2022-earnings-release-details-301720273.html
SOURCE Cigna
|
NEWS_650
|
Shares of Cigna Corp. CI, +1.29% inched 0.25% higher to $303.79 Tuesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.70% to 3,919.25 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.56% to 33,704.10. This was the stock's second consecutive day of gains. Cigna Corp. closed $36.32 below its 52-week high ($340.11), which the company reached on December 13th.
The stock outperformed some of its competitors Tuesday, as UnitedHealth Group Inc. UNH, -1.23% fell 0.83% to $486.00, CVS Health Corp. CVS, +0.83% fell 0.92% to $90.65, and Elevance Health Inc. ELV, +1.24% fell 0.01% to $470.68. Trading volume (1.3 M) remained 494,964 below its 50-day average volume of 1.8 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_651
|
Cigna (CI) closed at $304.19 in the latest trading session, marking a -1.97% move from the prior day. This move lagged the S&P 500's daily loss of 1.17%. At the same time, the Dow lost 1.02%, and the tech-heavy Nasdaq lost 2.45%.
Coming into today, shares of the health insurer had lost 6.59% in the past month. In that same time, the Finance sector lost 2.19%, while the S&P 500 lost 5.25%.
Cigna will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cigna to post earnings of $4.84 per share. This would mark year-over-year growth of 1.47%. Meanwhile, our latest consensus estimate is calling for revenue of $45.58 billion, down 0.22% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Cigna. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Cigna is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Cigna is currently trading at a Forward P/E ratio of 12.51. This valuation marks a premium compared to its industry's average Forward P/E of 9.22.
Investors should also note that CI has a PEG ratio of 1.11 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Insurance - Multi line stocks are, on average, holding a PEG ratio of 1.19 based on yesterday's closing prices.
Story continues
The Insurance - Multi line industry is part of the Finance sector. This group has a Zacks Industry Rank of 30, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Cigna Corporation (CI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_652
|
Shares of Cigna Corp. CI, +1.29% rose 1.29% to $314.21 Friday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.40% to 3,999.09 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.33% to 34,302.61. This was the stock's fifth consecutive day of gains. Cigna Corp. closed $25.90 short of its 52-week high ($340.11), which the company reached on December 13th.
The stock outperformed some of its competitors Friday, as UnitedHealth Group Inc. UNH, -1.23% fell 1.23% to $489.57, CVS Health Corp. CVS, +0.83% rose 0.83% to $89.92, and Elevance Health Inc. ELV, +1.24% rose 1.24% to $483.00. Trading volume (1.5 M) remained 265,323 below its 50-day average volume of 1.8 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_653
|
Shares of several health insurers rallied in trading on Friday after UnitedHealth Group Inc. UNH, -1.23% reported better-than-expected profit and revenue in the fourth quarter of 2022. Elevance Health Inc.’s ELV, +1.24% stock was up 2.6%, while shares of Cigna Corp. CI, +1.29% gained 2.2%, and shares of CVS Health Corp. CVS, +0.83% , which owns Aetna, were up 1.1%. (Elevance operates the Anthem Blue Cross and Blue Shield health plans.) UnitedHealth’s stock, the best performer among the Dow Jones Industrial Average’s components this morning, was up 2.4%.
|
NEWS_654
|
One simple way to benefit from the stock market is to buy an index fund. But if you pick the right individual stocks, you could make more than that. Just take a look at Cigna Corporation (NYSE:CI), which is up 47%, over three years, soundly beating the market return of 15% (not including dividends). On the other hand, the returns haven't been quite so good recently, with shareholders up just 39% , including dividends .
Although Cigna has shed US$6.2b from its market cap this week, let's take a look at its longer term fundamental trends and see if they've driven returns.
Check out our latest analysis for Cigna
To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).
Cigna was able to grow its EPS at 21% per year over three years, sending the share price higher. The average annual share price increase of 14% is actually lower than the EPS growth. So one could reasonably conclude that the market has cooled on the stock.
The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).
This free interactive report on Cigna's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further.
What About Dividends?
It is important to consider the total shareholder return, as well as the share price return, for any given stock. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. As it happens, Cigna's TSR for the last 3 years was 52%, which exceeds the share price return mentioned earlier. And there's no prize for guessing that the dividend payments largely explain the divergence!
Story continues
A Different Perspective
It's good to see that Cigna has rewarded shareholders with a total shareholder return of 39% in the last twelve months. And that does include the dividend. Since the one-year TSR is better than the five-year TSR (the latter coming in at 9% per year), it would seem that the stock's performance has improved in recent times. In the best case scenario, this may hint at some real business momentum, implying that now could be a great time to delve deeper. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For instance, we've identified 1 warning sign for Cigna that you should be aware of.
For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_655
|
Shares of Cigna Corp. CI, +1.29% rallied 1.79% to $309.23 Wednesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 1.28% to 3,969.61 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.80% to 33,973.01. This was the stock's third consecutive day of gains. Cigna Corp. closed $30.88 below its 52-week high ($340.11), which the company reached on December 13th.
The stock demonstrated a mixed performance when compared to some of its competitors Wednesday, as UnitedHealth Group Inc. UNH, -1.23% rose 1.52% to $493.40, CVS Health Corp. CVS, +0.83% fell 0.99% to $89.75, and Elevance Health Inc. ELV, +1.24% rose 2.09% to $480.54. Trading volume (1.6 M) remained 174,778 below its 50-day average volume of 1.8 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_656
|
Cigna (CI) closed at $309.23 in the latest trading session, marking a +1.79% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.29%. Elsewhere, the Dow gained 0.8%, while the tech-heavy Nasdaq added 10.96%.
Coming into today, shares of the health insurer had lost 8.01% in the past month. In that same time, the Finance sector gained 2.67%, while the S&P 500 lost 0.23%.
Wall Street will be looking for positivity from Cigna as it approaches its next earnings report date. This is expected to be February 3, 2023. On that day, Cigna is projected to report earnings of $4.84 per share, which would represent year-over-year growth of 1.47%. Our most recent consensus estimate is calling for quarterly revenue of $45.58 billion, down 0.22% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Cigna. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Cigna is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Cigna is currently trading at a Forward P/E ratio of 12.24. This represents a premium compared to its industry's average Forward P/E of 9.39.
Meanwhile, CI's PEG ratio is currently 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Insurance - Multi line was holding an average PEG ratio of 1.17 at yesterday's closing price.
Story continues
The Insurance - Multi line industry is part of the Finance sector. This group has a Zacks Industry Rank of 28, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow CI in the coming trading sessions, be sure to utilize Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Cigna Corporation (CI) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_657
|
Shares of Cigna Corp. CI, +1.29% inched 0.32% higher to $310.22 Thursday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.34% to 3,983.17 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.64% to 34,189.97. This was the stock's fourth consecutive day of gains. Cigna Corp. closed $29.89 short of its 52-week high ($340.11), which the company reached on December 13th.
The stock demonstrated a mixed performance when compared to some of its competitors Thursday, as UnitedHealth Group Inc. UNH, -1.23% rose 0.46% to $495.67, CVS Health Corp. CVS, +0.83% fell 0.64% to $89.18, and Elevance Health Inc. ELV, +1.24% fell 0.72% to $477.08. Trading volume (1.3 M) remained 508,247 below its 50-day average volume of 1.8 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_658
|
Ciena Corporation CIEN appears to be a promising stock to add to the portfolio in tackling the current macroeconomic and geopolitical uncertainties and benefit from its healthy fundamentals and growth prospects.
Let’s look at the factors that make the stock an attractive pick:
Attractive Pricing: Wall Street is facing extreme volatility due to macroeconomic factors such as rising inflation and interest rate hikes by the Federal Reserve, increased crude oil prices and lingering supply-chain woes.
The above-mentioned factors are taking a toll on major U.S. indices. In the past year, the S&P 500 has fell 17.3%.
The stock is down 31.7% from its 52-week high level of $74.98 on Jan 13, 2022, making it relatively affordable for investors.
Ciena Corporation Price
Ciena Corporation Price
Ciena Corporation price | Ciena Corporation Quote
Solid Rank: CIEN currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Robust Estimates: The Zacks Consensus Estimate of 2023 and 2024 earnings is pegged at $2.62 and $3.70, which indicates a year-over-year increase of 37.9% and 41%, respectively.
Also, revenues for 2023 and 2024 are estimated to be $4.25 billion and $4.63 billion, indicating year-over-year growth of 17% and 8.8%, respectively.
Ciena reported fourth-quarter fiscal 2022 (ended Oct 29, 2022) results, with adjusted earnings of 61 cents per share, beating the Zacks Consensus Estimate of 8 cents.
Quarterly total revenues were down 6.8% year over year to $971 million owing to supply-chain disruptions. The top line surpassed the Zacks Consensus Estimate by 14%. However, Ciena stated that revenues are likely to start improving from fiscal 2023, owing to strong secular demand trends coupled with easing supply-chain issues.
CIEN has a four-quarter average earnings surprise of 162.4%.
Upbeat Guidance: For fiscal 2023, the company expects revenue growth of 16%-18%. Adjusted gross margin is estimated to be between 42% and 44%.
Story continues
Adjusted operating expenses are estimated to be $325 million per quarter. The outlook is driven by a significant backlog and signs of supply-chain improvement.
Solid Business Model:
CIEN is a leading provider of optical networking equipment, software and services. The company’s coherent optics solutions continue to benefit from increased network traffic, demand for bandwidth and adoption of cloud architectures.
In the fiscal fourth quarter, the company achieved 200 Adaptive IP customers driven by strength in key areas like coherent routing, metro aggregation, PON and high-speed business services. Also, the company had 776 100G+ customers, including 17 and 15 new customer wins on WaveLogic Ai and WaveLogic 5 Extreme, respectively.
In December 2022, the company announced that its coherent optics solutions were leveraged by Uruguay-based telecommunications company ?? Dedicado. Dedicado will utilize Ciena’s 6500 Packet-Optical Platform powered by WL5e coherent optical technology to support the rising demand for network connectivity.
The company continues to grow its customer base through collaborations and acquisitions. In November 2022, the company announced an agreement to acquire California-based Tibit Communications. Also, the company announced that it had acquired Benu Networks.
The buyouts will increase the company's capacity to support clients' metro and edge strategies and cope with increased investments made by service providers to update and boost network connectivity.
The company also has a share repurchase program in place. Ciena repurchased $500 million worth of shares in fiscal 2022. The company plans to repurchase shares worth $250 million in fiscal 2023.
As of Oct 29, 2022, the company had 1.2 billion in cash and investments and $1,061.1 million of net long-term debt.
The company plans to deliver a three-year revenue CAGR of 10-12% throughout fiscal 2025, excluding the next year’s revenue growth of 16-18%.
Few Headwinds
Apart from its solid fundamentals, the company is prone to several risks. The company operates in a highly competitive and capital-intensive communications networking and equipment business. This is likely to negatively impact the company’s performance.
Also, the company relies upon third-party contract manufacturers with facilities in Canada, Mexico, Thailand and the United States to perform a substantial portion of its supply chain activities.
Other Stocks to Consider
Some other top-ranked stocks from the broader technology space are Arista Networks ANET, Jabil JBL and Asure Software ASUR. Arista Networks and Jabil sport a Zacks Rank #1, whereas Asure Software carries a Zacks Rank #2.
The Zacks Consensus Estimate for Arista Networks 2022 earnings is pegged at $4.37 per share, up 0.5% in the past 60 days. The long-term earnings growth rate is anticipated to be 17.5%.
Arista Networks’ earnings beat the Zacks Consensus Estimate in the last four quarters, the average being 12.7%. Shares of ANET have declined 13.4% in the past year.
The Zacks Consensus Estimate for Jabil’s 2023 earnings is pegged at $8.31 per share, rising 1.6% in the past 60 days. The long-term earnings growth rate is anticipated to be 12%.
Jabil’s earnings beat the Zacks Consensus Estimate in all the last four quarters, the average being 8.8%. Shares of JBL have increased 2.7% in the past year.
The Zacks Consensus Estimate for Asure Software’s 2022 earnings is pegged at 7 cents per share, unchanged in the past 60 days. The long-term earnings growth rate is anticipated to be 23%.
Asure Software’s earnings beat the Zacks Consensus Estimate in all the last four quarters, the average being 83.3%. Shares of ASUR have soared 37.5% in the past year.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ciena Corporation (CIEN) : Free Stock Analysis Report
Jabil, Inc. (JBL) : Free Stock Analysis Report
Asure Software Inc (ASUR) : Free Stock Analysis Report
Arista Networks, Inc. (ANET) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_659
|
CINCINNATI, Jan. 5, 2023 /PRNewswire/ -- Cincinnati Financial Corporation (Nasdaq: CINF) invites you to listen to the live internet broadcast of its conference call to discuss fourth-quarter and full-year 2022 results on Tuesday, February 7, 2023, at 11 a.m. ET. The company plans to release its results on Monday, February 6, after the close of regular trading on the Nasdaq Stock Market.
What: CINF fourth-quarter and full-year 2022 earnings conference call
When: Tuesday, February 7, 2023, at 11 a.m. ET
Where: Live over the internet.
How: Visit www.cinfin.com/investors. Participants are encouraged to go to the website to test your systems for compatibility prior to the time of the call.
Replay: A replay of the call will be available at cinfin.com/investors beginning approximately two hours after the completion of the live call.
Contact: Stephanie Johnson, 513-870-2768
About the Company: Cincinnati Financial Corporation offers primarily business, home and auto insurance through The Cincinnati Insurance Company and its two standard market property casualty companies. The same local independent insurance agencies that market those policies may offer products of our other subsidiaries, including life insurance, fixed annuities and surplus lines property and casualty insurance. For additional information about the company, please visit cinfin.com.
Also available on the company's website will be information reconciling any non‑GAAP financial measures to be discussed on the conference call.
Cincinnati Financial Corporation logo. (PRNewsFoto/Cincinnati Financial Corporation) (PRNewsFoto/CINCINNATI FINANCIAL CORPORATION)
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/cincinnati-financial-schedules-webcast-to-discuss-fourth-quarter-and-full-year-2022-results-301714567.html
SOURCE Cincinnati Financial Corporation
|
NEWS_660
|
Retailers to Watch in 2023 Include Best Buy, IKEA, and Petco for their Seamless Blend of Digital and Physical Experiences
NEW YORK, January 12, 2023--(BUSINESS WIRE)--CI&T (NYSE:CINT), a leader in driving digital transformation for global brands, today announced the release of its third annual Connected Retail Report, revealing consumers’ evolving attitudes and expectations for omnichannel shopping as well as the "2023 Retailers to Watch" with winning formulas for connected retail. This year’s report shows intra-pandemic consumers are hopping between online and offline shopping in the ways that work best for them and expect consistent experiences regardless of the avenue, posing a new channel balancing act for retailers.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230112005271/en/
With store restrictions lifted, consumers are recalibrating their shopping routines and along the way redefining what they want out of the "Connected Retail" experience. According to the report, consumers are shopping digital and physical channels at almost identical rates, evenly splitting their time between online (48%) and offline (52%) shopping, however, the vast majority (86%) of respondents have the same expectations for both retail worlds. Consumers reinforced this point by indicating that they have highly similar desired capabilities for online and brick-and-mortar stores with reliable in-stocks, easy returns, and efficient shopping journeys being the most valued aspects of the user experience. As a result, retailers need to evolve their thinking of "Connected Retail" as across-the-board innovation so that consumers can channel-hop without disappointment.
"Every response to our consumer survey indicated a desire for a customer experience that is convenient, efficient, and aligned with current shopping habits," said Melissa Minkow, Director of Retail Strategy at CI&T and author of the Connected Retail Report. "Now it’s up to retailers to build services that best accommodate those preferences, while building the right bridges between channels to incentivize simultaneous use."
Story continues
Key themes include:
All eyes on delivery: Consumers have an unmatched appreciation for delivery, respondents overwhelmingly ranked delivery as the most important fulfillment option. Consumers are almost six times more likely to order an item online for delivery than pick it up via curbside or via BOPIS, reinforcing the idea that consumers are looking for efficiency and convenience.
Exercise caution with the metaverse: 81% of respondents have not yet shopped in the metaverse and 45% indicated that they could never see themselves shopping in it. The report’s metaverse data serves as a warning to those retailers rushing to debut a rollout.
Consumers are particular about personalization: 59% of respondents said they are excited by the idea of a retailer using their preferences and shopping history to personalize the shopping experience. Digitally, the top three aspects consumers would like to see personalized on a retailer’s app or website include: showing the closest store based on location, offering discounts on products bought regularly and sharing product suggestions based on previous purchases.
CI&T’s 2023 Retailers to Watch
This year’s retailers prioritized convenience, personalization, and the seamlessly connected shopping journeys that align with consumer preferences for each channel. While creative and innovative initiatives are appealing, in practice, they must fit into the brand ecosystem that consumers are familiar with. These retailers are not only pushing the envelope when it comes to innovative thinking, but also successfully translating customers’ habits, needs, and expectations into an experience that works for them, while maintaining high quality standards and consistency across all channels.
CI&T’s 2023 Retailers to Watch include:
Abercrombie & Fitch
Apple
Best Buy
Home Depot
IKEA
Nike
Petco
Sephora
Target
Ulta
Methodology
First released in 2021, CI&T’s Connected Retail Report is an annual industry benchmark for the year ahead. It looks to uncover and understand key motivations along the path to purchase, shifts in buying behaviors, and how retailers are measuring up. This year’s Consumer Survey portion was conducted in October of 2022, surveying 545 U.S. consumers of all ages, races, and genders to capture their purchase preferences. The survey informs a detailed audit of 22 top retailers across seven categories: relationship-building, search, shop, cart, buy, fulfillment, and returns.
View the full report here.
About CI&T
CI&T (NYSE:CINT) is a global digital specialist, a partner in digital transformation for 100+ large enterprises and fast growth clients. As digital natives, CI&T brings a 28-year track record of accelerating business impact through complete and scalable digital solutions. With a global presence in nine countries with a nearshore delivery model, CI&T provides strategy, data science, design, and engineering, unlocking top-line growth, improving customer experience, and driving operational efficiency. Recognized by Forrester as a Leader in Modern Application Development Services, CI&T is the Employer of Choice for more than 6,900 professionals.
View source version on businesswire.com: https://www.businesswire.com/news/home/20230112005271/en/
Contacts
Stephanie Wheeler
Illume PR for CI&T
[email protected]
|
NEWS_661
|
Marsh & McLennan Companies, Inc.’s MMC business Marsh recently acquired HMS Insurance Associates, Inc. through its subsidiary Marsh McLennan Agency or MMA. The acquiree, located in Hunt Valley, MD, is one of the biggest independent agencies in the country.
MMA is expected to gain vastly from HMS Insurance’s robust experience in property and casualty insurance, group captive, employee benefits and surety operations. The acquiree was founded in 1943 and serves both businesses and individuals in the Mid-Atlantic region. The financial terms of the deal are yet to be disclosed.
Per the deal, all employees (above 120) of HMS Insurance are expected to join MMA and continue working from the Hunt Valley office. The move is likely to boost Marsh McLennan Agency’s footprint in the region. It boasts 170 offices across North America. The acquisition is expected to result in resource expansion and enhance the service capabilities of the combined unit.
Last month, MMA acquired McDonald Zaring Insurance, a full-service agency in Walla Walla, WA, in a similar fashion. Acquisitions form one of the core growth strategies at Marsh & McLennan.
Numerous purchases within its different operating units enable it to enter new geographical regions, expand within the existing ones, foray into new businesses, develop new segments and specialize within its existing businesses. MMC spent $213 million on acquisitions in the first nine months of 2022. Moves like this will poise the company well for long-term growth.
Price Performance
Shares of Marsh & McLennan have climbed 2.7% in the past year compared with the industry’s 1.2% increase.
Zacks Investment Research
Image Source: Zacks Investment Research
Zacks Rank & Key Picks
Marsh & McLennan currently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader finance space are CI Financial Corp. CIXX, MGIC Investment Corporation MTG and Aegon N.V. AEG. While CI Financial sports a Zacks Rank #1 (Strong Buy) at the moment, MGIC Investment and Aegon have a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Story continues
Based in Toronto, CI Financial is a leading asset management holding company. The Zacks Consensus Estimate for CIXX’s 2023 earnings indicates an 11.9% year-over-year increase.
Headquartered in Milwaukee, WI, MGIC Investment provides private mortgage insurance and other products in the domestic markets and internationally. The Zacks Consensus Estimate for MTG’s 2022 earnings indicates a 49.7% increase from the prior-year reported number.
Based in The Hague, the Netherlands, Aegon is an insurance, pensions and asset management services provider. The Zacks Consensus Estimate for AEG’s 2022 bottom line has improved 128.6% in the past 60 days.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Aegon NV (AEG) : Free Stock Analysis Report
MGIC Investment Corporation (MTG) : Free Stock Analysis Report
Marsh & McLennan Companies, Inc. (MMC) : Free Stock Analysis Report
CI Financial Corp. (CIXX) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_662
|
American International Group, Inc. AIG is well-poised to grow on the back of acquisitions and prudent capital allocation. Improving travel and warranty operations are likely to drive AIG’s personal lines insurance business in the coming days.
American International, with a market cap of $47 billion, is a leading global insurance organization. Building on its long history, AIG provides a wide range of property casualty and different types of liability insurance. AIG also includes multiple types of auto insurance and health products.
Courtesy of solid prospects, this Zacks Rank #3 (Hold) company is worth retaining at the moment.
Key Drivers
AIG’s cost-controlling efforts are expected to support its bottom line. Its transformative program, named AIG 200, a global, multi-year initiative to achieve transformational changes, achieved its run-rate savings target six months ahead of schedule.
Thanks to alterations in the business mix and ongoing expense discipline, its expense ratio is expected to continue improving. The metric improved 90 basis points in the first nine months of 2022. Our estimate suggests general operating and other expenses to decline 2.6% year over year in 2022.
The Zacks Consensus Estimate for American International’s 2022 earnings is pegged at $4.33 per share, which has been unchanged over the past week. Our estimate for the metric is pegged at $4.13 per share. AIG beat on earnings in three of the last four quarters and missed once, the average beat being 13%. The consensus estimate for 2022 revenues is pegged at $45 billion, while our estimate is pegged at $44.9 billion.
American International Group, Inc. Price and EPS Surprise
American International Group, Inc. Price and EPS Surprise
American International Group, Inc. price-eps-surprise | American International Group, Inc. Quote
The Fed opted for multiple aggressive interest rate hikes last year to counter the fastest inflation pace witnessed in more than 40 years. Even though the intensity is expected to decline this year, the growing interest rate environment is likely to benefit investment income from AIG’s General Insurance North America operations.
Story continues
The improving economy and declining COVID-related restrictions have led to increased consumer spending. This is likely to drive AIG’s net written premiums and revenue growth in the days ahead. Its personal lines insurance business is expected to continue witnessing an improvement in travel and warranty operations.
The company’s prudent capital allocation to buyouts and shareholder value-boosting measures is a major positive. Strategic acquisitions help the company scale its business and improve its product portfolio. Its capital deployment efforts enhance shareholder value through share buybacks and dividend payouts.
In the first nine months of 2022, AIG rewarded shareholders with $4,370 million in share buybacks and dividends worth $746 million. At the third-quarter end, it had $4.6 billion remaining under its share repurchase authorization.
Risks
There are a few factors that might mar American International’s prospects.
In the trailing 12 months, AIG’s free cash flow declined 27.8% to $4.5 billion. Also, American International’s return on equity of 7.3% is lower than the industry average of 8.4%. This reflects AIG’s relative inefficiency in utilizing its shareholders’ funds to generate profits. Nevertheless, we believe that a systematic and strategic plan of action will drive AIG’s long-term growth.
Key Picks
Some better-ranked stocks in the broader finance space are CI Financial Corp. CIXX, MGIC Investment Corporation MTG and Aegon N.V. AEG. While CI Financial sports a Zacks Rank #1 (Strong Buy) at the moment, MGIC Investment and Aegon have a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Based in Toronto, CI Financial is a leading asset management holding company. The Zacks Consensus Estimate for CIXX’s 2023 earnings indicates an 11.9% year-over-year increase.
Headquartered in Milwaukee, WI, MGIC Investment provides private mortgage insurance and other products in the domestic markets and internationally. The Zacks Consensus Estimate for MTG’s 2022 earnings indicates a 49.7% increase from the prior-year reported number.
Based in The Hague, the Netherlands, Aegon is an insurance, pensions and asset management services provider. The Zacks Consensus Estimate for AEG’s 2022 bottom line has improved 128.6% in the past 60 days.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Aegon NV (AEG) : Free Stock Analysis Report
American International Group, Inc. (AIG) : Free Stock Analysis Report
MGIC Investment Corporation (MTG) : Free Stock Analysis Report
CI Financial Corp. (CIXX) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_663
|
NEW YORK, January 03, 2023--(BUSINESS WIRE)--Colgate-Palmolive Company (NYSE: CL) today announced that its Board of Directors has appointed Lorrie Norrington as Lead Independent Director, effective March 1, 2023. Ms. Norrington will succeed Stephen I. Sadove, the Company’s current Lead Independent Director. Mr. Sadove will remain on the Audit and Personnel and Organization Committees of the Colgate Board of Directors.
Ms. Norrington joined the Company’s Board in September 2015 and currently serves as Chair of the Nominating, Governance and Corporate Responsibility Committee. She brings extensive global corporate leadership, digital, e-commerce and ESG experience to this role, including her experience in several senior management roles at eBay, including President of Global eBay Marketplaces, Chief Operating Officer of eBay Marketplaces, President of eBay International and CEO of Shopping.com. Lorrie is currently an Operating Partner of Lead Edge Capital LLC and previously held senior roles at Intuit, Inc. and General Electric Company.
"We are incredibly grateful for Steve’s leadership of our Board as Lead Independent Director, an important role that ensures robust independent leadership on the Board. Steve has made immeasurable contributions to our strategy, business success and governance excellence, and I look forward to continuing to work alongside him during this transition," said Noel Wallace, Chairman, President and Chief Executive Officer. "As we look ahead, Lorrie will be an outstanding Lead Independent Director, and I am excited to partner with her as we continue to advance our growth strategy and drive our digital transformation. With her significant ESG expertise, Lorrie is an excellent Chair of our Nominating, Governance and Corporate Responsibility Committee and we look forward to continuing to benefit from her experience and expertise in this role as well."
Mr. Sadove said, "It has been an honor to serve as the Lead Independent Director of Colgate’s Board. I, alongside the remainder of the Board, am confident Lorrie is the right choice for the Company’s next Lead Independent Director, and I look forward to working with her, Noel and the rest of the Board and the management team in the Company’s next phase of growth."
"I am honored to serve as Lead Independent Director of Colgate’s Board of Directors and thank Steve for his leadership," said Ms. Norrington. "I am excited to partner with Noel, Steve and the rest of the Board and the management team as we embark on this important next chapter in the Colgate-Palmolive journey, focused on continuing to capture growth opportunities across all of our divisions and categories."
About Colgate-Palmolive Company
Colgate-Palmolive Company is a caring, innovative growth company reimagining a healthier future for all people, their pets and our planet. Focused on Oral Care, Personal Care, Home Care and Pet Nutrition, we sell our products in more than 200 countries and territories under brands such as Colgate, Palmolive, elmex, hello, meridol, Sorriso, Tom’s of Maine, EltaMD, Filorga, Irish Spring, PCA SKIN, Protex, Sanex, Softsoap, Speed Stick, Ajax, Axion, Fabuloso, Soupline and Suavitel, as well as Hill’s Science Diet and Hill’s Prescription Diet. We are recognized for our leadership and innovation in promoting sustainability and community wellbeing, including our achievements in decreasing plastic waste and promoting recyclability, saving water, conserving natural resources and improving children’s oral health through the Colgate Bright Smiles, Bright Futures program, which has reached more than 1.4 billion children since 1991. For more information about Colgate’s global business and how we are building a future to smile about, visit www.colgatepalmolive.com. CL-C
Cautionary Statement on Forward-Looking Statements
This press release may contain forward-looking statements (as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 or by the Securities and Exchange Commission (SEC) in its rules, regulations and releases). These statements are made on the basis of the Company’s views and assumptions as of this time and the Company undertakes no obligation to update these statements whether as a result of new information, future events or otherwise, except as required by law or by the rules and regulations of the SEC. Moreover, the Company does not, nor does any other person, assume responsibility for the accuracy and completeness of these statements. The Company cautions investors that any such forward-looking statements are not guarantees of future performance and that actual events or results may differ materially from those statements. For more information about factors that could impact the Company’s business and cause actual results to differ materially from forward-looking statements, investors should refer to the Company’s filings with the SEC (including, but not limited to, the information set forth under the captions "Risk Factors" and "Cautionary Statement on Forward-Looking Statements" in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 and subsequent Quarterly Reports on Form 10-Q). Copies of these filings may be obtained upon request from the Company’s Investor Relations Department or on the Company’s website at www.colgatepalmolive.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20230103005550/en/
Contacts
John Faucher 212-310-3653
Hope Spiller 212-310-2291
|
NEWS_664
|
NEW YORK, January 12, 2023--(BUSINESS WIRE)--The Board of Directors of Colgate-Palmolive Company (NYSE:CL) today declared a quarterly cash dividend of $0.47 per common share, payable on February 14, 2023, to shareholders of record on January 23, 2023. The Company has paid uninterrupted dividends on its common stock since 1895.
* * *
Colgate-Palmolive Company is a caring, innovative growth company reimagining a healthier future for all people, their pets and our planet. Focused on Oral Care, Personal Care, Home Care and Pet Nutrition, we sell our products in more than 200 countries and territories under brands such as Colgate, Palmolive, elmex, hello, meridol, Sorriso, Tom’s of Maine, EltaMD, Filorga, Irish Spring, PCA SKIN, Protex, Sanex, Softsoap, Speed Stick, Ajax, Axion, Fabuloso, Soupline and Suavitel, as well as Hill’s Science Diet and Hill’s Prescription Diet. We are recognized for our leadership and innovation in promoting sustainability and community wellbeing, including our achievements in decreasing plastic waste and promoting recyclability, saving water, conserving natural resources and improving children’s oral health through the Colgate Bright Smiles, Bright Futures program, which has reached more than 1.4 billion children since 1991. For more information about Colgate’s global business and how we are building a future to smile about, visit www.colgatepalmolive.com. CL-D
View source version on businesswire.com: https://www.businesswire.com/news/home/20230111005630/en/
Contacts
John Faucher 212-310-3653
Hope Spiller 212-310-2291
|
NEWS_665
|
Low-cost index funds make it easy to achieve average market returns. But in any diversified portfolio of stocks, you'll see some that fall short of the average. For example, the Colgate-Palmolive Company (NYSE:CL) share price return of 14% over three years lags the market return in the same period. Unfortunately, the share price has fallen 5.9% over twelve months.
With that in mind, it's worth seeing if the company's underlying fundamentals have been the driver of long term performance, or if there are some discrepancies.
Check out our latest analysis for Colgate-Palmolive
There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.
Over the last three years, Colgate-Palmolive failed to grow earnings per share, which fell 5.1% (annualized).
The strong decline in earnings per share suggests the market isn't using EPS to judge the company. Since the change in EPS doesn't seem to correlate with the change in share price, it's worth taking a look at other metrics.
It may well be that Colgate-Palmolive revenue growth rate of 4.9% over three years has convinced shareholders to believe in a brighter future. In that case, the company may be sacrificing current earnings per share to drive growth, and maybe shareholder's faith in better days ahead will be rewarded.
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
Colgate-Palmolive is well known by investors, and plenty of clever analysts have tried to predict the future profit levels. So we recommend checking out this free report showing consensus forecasts
What About Dividends?
It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for Colgate-Palmolive the TSR over the last 3 years was 22%, which is better than the share price return mentioned above. This is largely a result of its dividend payments!
Story continues
A Different Perspective
Although it hurts that Colgate-Palmolive returned a loss of 3.7% in the last twelve months, the broader market was actually worse, returning a loss of 20%. Of course, the long term returns are far more important and the good news is that over five years, the stock has returned 4% for each year. In the best case scenario the last year is just a temporary blip on the journey to a brighter future. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For instance, we've identified 1 warning sign for Colgate-Palmolive that you should be aware of.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_666
|
A look at the shareholders of Colgate-Palmolive Company (NYSE:CL) can tell us which group is most powerful. And the group that holds the biggest piece of the pie are institutions with 81% ownership. Put another way, the group faces the maximum upside potential (or downside risk).
Since institutional have access to huge amounts of capital, their market moves tend to receive a lot of scrutiny by retail or individual investors. Therefore, a good portion of institutional money invested in the company is usually a huge vote of confidence on its future.
Let's delve deeper into each type of owner of Colgate-Palmolive, beginning with the chart below.
Check out our latest analysis for Colgate-Palmolive
What Does The Institutional Ownership Tell Us About Colgate-Palmolive?
Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.
As you can see, institutional investors have a fair amount of stake in Colgate-Palmolive. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Colgate-Palmolive, (below). Of course, keep in mind that there are other factors to consider, too.
Since institutional investors own more than half the issued stock, the board will likely have to pay attention to their preferences. We note that hedge funds don't have a meaningful investment in Colgate-Palmolive. Looking at our data, we can see that the largest shareholder is The Vanguard Group, Inc. with 9.4% of shares outstanding. With 7.8% and 5.9% of the shares outstanding respectively, BlackRock, Inc. and State Street Global Advisors, Inc. are the second and third largest shareholders.
Story continues
On studying our ownership data, we found that 25 of the top shareholders collectively own less than 50% of the share register, implying that no single individual has a majority interest.
While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. Quite a few analysts cover the stock, so you could look into forecast growth quite easily.
Insider Ownership Of Colgate-Palmolive
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.
Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.
Our most recent data indicates that insiders own less than 1% of Colgate-Palmolive Company. It is a very large company, so it would be surprising to see insiders own a large proportion of the company. Though their holding amounts to less than 1%, we can see that board members collectively own US$67m worth of shares (at current prices). It is always good to see at least some insider ownership, but it might be worth checking if those insiders have been selling.
General Public Ownership
With a 19% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Colgate-Palmolive. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Next Steps:
I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with Colgate-Palmolive , and understanding them should be part of your investment process.
If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.
NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_667
|
TOLEDO, Ohio, Jan. 13, 2023 /PRNewswire/ -- The Great Lakes Clean Hydrogen coalition (GLCH) today announced it has received encouragement from the U.S. Department of Energy (DOE) to proceed with the development and submittal of their full hydrogen hub application. The coalition, which is led by Linde (NYSE: LIN; FWB: LIN), Energy Harbor, Cleveland-Cliffs Inc. (NYSE: CLF), GE Aerospace and the University of Toledo, along with the Glass Manufacturing Industry Council (GMIC), was among 79 organizations submitting concept papers to the DOE for development consideration. The proposal, by GLCH, was selected as one of 33 projects encouraged to proceed to the full application process.
GLCH has proposed to develop low-carbon hydrogen via electrolysis based in Oak Harbor, Ohio at Davis-Besse Nuclear Power Station. The facility proposes to distribute the hydrogen across the Great Lakes region by pipeline and road transportation.
The GLCH project is built on the foundation of ongoing, preliminary work supported by the DOE and the Idaho National Laboratory. The proposed approach will supplement hydrogen from nuclear power, as needed, with clean hydrogen produced through solar energy projects under development in the region. The coalition is actively working with the states of Ohio and Michigan, technology suppliers, hydrogen consumers, state and regional academic institutions, national laboratories, and non-profit organizations to develop a clean energy hydrogen hub to serve Ohio, Michigan and portions of Pennsylvania and Indiana. Total project investment is expected to exceed $2 billion, with 50 percent requested from federal infrastructure funding managed by the DOE's regional clean hydrogen hub initiative.
Initially, this proposal addresses decarbonization in the steel, aviation, and glass industries while supporting the transition to hydrogen transit in buses and other vehicles. Through the full scope of the application, GLCH intends to grow to serve additional companies operating in the Great Lakes region, interested in decarbonizing their products, manufacturing facilities, power generation plants, and mobility networks with low-carbon hydrogen. GLCH intends that investments in the project benefit the communities involved and advance environmental justice, diversity, equity and inclusion as well as create opportunity for high value jobs.
About Great Lakes Clean Hydrogen
Building upon three-years of work with the DOE national laboratories and university partners, GLCH is an industry-led coalition focused on transitioning Midwest manufacturing, mobility, power generation and technology operators away from greenhouse gas emitting feedstocks and fuels to hydrogen, a low carbon alternative solution. Working with economic development professionals in the region, GLCH anticipates also attracting investors and new businesses who value access to low carbon hydrogen resulting in jobs at prevailing wages, support for disadvantaged communities and a healthier environment.
GLCH believes it differentiates itself from other hub initiatives through the use of existing carbon free infrastructure from Energy Harbor's safe, reliable nuclear power generation, technology that produces low carbon hydrogen at a very competitive price, diverse distribution channels and hydrogen-ready facilities, such as Cleveland-Cliffs' Direct Reduction plant located in Toledo, Ohio.
About Linde
Linde is a leading global industrial gases and engineering company with 2021 sales of $31 billion (€26billion). We live our mission of making our world more productive every day by providing high-quality solutions, technologies and services which are making our customers more successful and helping to sustain and protect our planet.
The company serves a variety of end markets including chemicals & energy, food & beverage, electronics, healthcare, manufacturing, metals and mining. Linde's industrial gases are used in countless applications, from life-saving oxygen for hospitals to high-purity & specialty gases for electronics manufacturing, hydrogen for clean fuels and much more. Linde also delivers state-of-the-art gas processing solutions to support customer expansion, efficiency improvements and emissions reductions.
For more information about the company and its products and services, please visit www.linde.com
About Energy Harbor
Energy Harbor is a highly reliable provider of carbon free baseload electricity committed to Environmental, Social and Governance (ESG) principles critical to meeting the nation's emissions goals and accelerating the country's clean energy transition. Our success is driven by our unwavering employee commitment to safe, reliable operations, financial stability and best in class service to meet the energy and sustainability needs of our customers.
For more information on Energy Harbor visit www.energyharbor.com
About Cleveland-Cliffs Inc.
Cleveland-Cliffs is the largest flat-rolled steel producer in North America. Founded in 1847 as a mine operator, Cliffs also is the largest manufacturer of iron ore pellets in North America. The Company is vertically integrated from mined raw materials, direct reduced iron, and ferrous scrap to primary steelmaking and downstream finishing, stamping, tooling, and tubing. Cleveland-Cliffs is the largest supplier of steel to the automotive industry in North America and serves a diverse range of other markets due to its comprehensive offering of flat-rolled steel products. Cleveland-Cliffs has established a climate commitment to reduce its GHG emissions 25% by 2030 from 2017 levels and is a partner of the DOE's Better Climate Challenge, which encourages companies to set bold portfolio-wide GHG reduction targets. Headquartered in Cleveland, Ohio, Cleveland-Cliffs employs approximately 27,000 people across its operations in the United States and Canada.
About GE Aerospace
GE Aerospace is a world-leading provider of jet engines, components, and systems for commercial and military aircraft with a global service network to support these offerings. GE Aerospace and its joint ventures have an installed base of more than 39,000 commercial and 26,000 military aircraft engines, and the business is playing a vital role in shaping the future of flight.
About University of Toledo
A public research university offering more than 250 undergraduate and graduate programs and internationally recognized in renewable energy and water research, and its ability to connect research to the broader community. The University is leading the diversity, equity and environmental justice aspects of GLCH's application. Its Wright Center for Photovoltaics Innovation and Commercialization (PVIC) is charged with developing and advancing solar to H2 projects in the GLCH hub. PVIC has received more than $50 million in external funding over the past decade and leads the DOE's solar energy CdTe Accelerator Consortium.
About Glass Manufacturing Industry Council
GMIC is a 501(c)(6) non-profit trade association representing the interests of the glass manufacturing industry. GMIC bridges all segments of glass manufacturing, including float glass, container, fiber, and specialty glass. GMIC does for individual companies what they would find difficult to do on their own; provide technical education, coordinate technical initiatives, provide industry intelligence, develop workforce, advocate with lawmakers, promote the usage and image of glass products and provide opportunities to meet and exchange ideas. Incorporated in 1998, the council is governed by a board of trustees with offices in Westerville Ohio.
Cision
View original content:https://www.prnewswire.com/news-releases/great-lakes-clean-hydrogen-coalition-encouraged-to-submit-full-application-by-us-department-of-energy-301721303.html
SOURCE Energy Harbor
|
NEWS_668
|
For Immediate Release
Chicago, IL – January 13, 2023 – Stocks in this week’s article are American Airlines AAL, Cleveland-Cliffs CLF, Boise Cascade Co. BCC, Thor Industries THO and Caleres CAL.
5 Broker-Friendly Stocks to Rely On Amid Market Chaos
Year 2022 was marked by extreme turbulence and volatility. To combat the sky-high inflation, the Fed adopted a hawkish stance and raised interest rates multiple times during the course of the year. Despite moderating a little bit, inflation remains high in the United States. Consequently, further rate hikes in 2023 are likely.
The sky-high inflation apart, uncertainty due to the Russia-Ukraine war and the resurgence of COVID-19 cases, particularly in China, are further concerns. Despite the uncertainty, shunning equities is not an advisable option. We believe that investors should include broker-favorite stocks like American Airlines, Cleveland-Cliffs, Boise Cascade Co., Thor Industries and Caleres in their watchlist.
Brokers, irrespective of their types (sell-side, buy-side or independent), undertake thorough research of the stocks covered by them. They have at their disposal a lot more information on a company and its prospects than individual investors. To attain their objective, they go through minute details of the publicly available financial documents apart from attending company conference calls and other presentations. Consequently, the opinion of brokers should act as a valuable guide for investors while deciding their course of action (buy, sell or hold) on a particular stock.
Movement of Earnings Estimates: A Solid Pointer
Since brokers follow the stocks in their coverage minutely, they revise their earnings estimates after carefully examining the pros and cons of an event for the concerned company. In fact, a rating upgrade or downgrade by brokers has the potential to immediately influence the price of the stock.
Given the expertise and know-how of brokers in investment matters, it is natural for investors to believe that there is a solid reason/logic behind brokers improving their recommendation on a particular stock. In fact, a rating upgrade generally leads to stock price appreciation and vice versa. Estimates can move north for a number of reasons — favorable earnings performance, bullish guidance, product launch or any favorable macro scenario.
Story continues
To take care of the earnings performance, we have designed a screen based on improving analyst recommendations and upward estimate revisions over the last four weeks.
Ignore the Top Line at Your Peril
To design a winning strategy, it is not wise to consider only the bottom line only. In fact, according to some market watchers, a top-line outperformance is more creditable for a stock than mere earnings beat under some circumstances. Therefore, to make our strategy full-proof, one needs to address top-line concerns as well. We have considered the price/sales ratio, which serves as a strong complementary valuation metric, for screening stocks.
Here are five of the 10 stocks that passed the screen test:
American Airlines is based in Fort Worth, TX. The gradual increase in air-travel demand (particularly for leisure) is aiding AAL. However, high fuel costs are hurting the bottom line.
Over the past 60 days, the Zacks Consensus Estimate for AAL’s 2023 earnings has been revised 13.1% upward. American Airlines currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cleveland-Cliffs is a leading iron ore producer in the United States. It supplies differentiated iron ore pellets under long-term contracts to major blast furnace steel producers in North America. The Mining and Pelletizing operation gains from low-cost, high-quality iron ore pellet production with substantial logistics and transportation advantages to serve the Great Lakes steel market. The company should gain from its merger with AK Steel Holding Corporation.
Over the past 60 days, the Zacks Consensus Estimate for CLF’s 2023 earnings has been revised 54% upward. Cleveland-Cliffs currently sports a Zacks Rank #1.
Boise Cascade: Based in Boise, ID, BCC makes wood products and distributes building materials in the United States as well as Canada. Boise Cascade’s Building Materials Distribution and Wood Products segments are gaining strength from strong end-product demand as well as higher commodity product prices. It has also been increasing commodity offerings that will instill growth in the existing markets, underserved markets and across its entire national footprint.
Over the past 60 days, the Zacks Consensus Estimate for 2023 earnings has been revised 0.8% upward. BCC currently carries a Zacks Rank #3 (Hold).
Thor Industries is benefiting from its growth by acquisition strategy. The buyout of Germany-based EHG made Thor the largest recreational vehicle (RV) manufacturer in the world. Its cash flow generating ability also bodes well.
Over the past 30 days, the Zacks Consensus Estimate for 2023 earnings has been revised 0.8% upward. THO currently carries a Zacks Rank #3.
Caleres is a leading footwear retailer and wholesaler in the United States, China, Canada and Guam. The company operates through Famous Footwear and Brand Portfolio segments. This Saint Louis, MO-based company has been benefiting from the positive consumer demand trends and accelerated recovery in the footwear marketplace, aiding its sales.
The momentum in the Famous Footwear brand is expected to contribute meaningfully to sales growth. Strong performances of CAL’s emerging brands, including Vionic, Sam Edelman, Allen Edmonds and Blowfish Malibu, are expected to be growth drivers. Caleres has an excellent surprise history with its earnings having surpassed the Zacks Consensus Estimate in each of the last four quarters, the average being 26% CAL currently carries a Zacks Rank #3.
You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and backtest them first before taking the investment plunge.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2038325/5-broker-friendly-stocks-to-rely-on-amid-the-market-chaos
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
Follow us on Twitter: https://www.twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Contact: Jim Giaquinto
Company: Zacks.com
Phone: 312-265-9268
Email: [email protected]
Visit: https://www.zacks.com/
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer. Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Thor Industries, Inc. (THO) : Free Stock Analysis Report
ClevelandCliffs Inc. (CLF) : Free Stock Analysis Report
American Airlines Group Inc. (AAL) : Free Stock Analysis Report
Boise Cascade, L.L.C. (BCC) : Free Stock Analysis Report
Caleres, Inc. (CAL) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_669
|
Year 2022 was marked by extreme turbulence and volatility. To combat the sky-high inflation, the Fed adopted a hawkish stance and raised interest rates multiple times during the course of the year. Despite moderating a little bit, inflation remains high in the United States. Consequently, further rate hikes in 2023 are likely.
The sky-high inflation apart, uncertainty due to the Russia-Ukraine war and the resurgence of COVID-19 cases, particularly in China, are further concerns. Despite the uncertainty, shunning equities is not an advisable option. We believe that investors should include broker-favorite stocks like American Airlines AAL, Cleveland-Cliff CLF, Boise Cascade Company BCC, Thor Industries THO and Caleres CAL in their watchlist.
Brokers, irrespective of their types (sell-side, buy-side or independent), undertake thorough research of the stocks covered by them. They have at their disposal a lot more information on a company and its prospects than individual investors. To attain their objective, they go through minute details of the publicly available financial documents apart from attending company conference calls and other presentations. Consequently, the opinion of brokers should act as a valuable guide for investors while deciding their course of action (buy, sell or hold) on a particular stock.
Scroll to continue with content Ad ADVERTISEMENT
Movement of Earnings Estimates: A Solid Pointer
Since brokers follow the stocks in their coverage minutely, they revise their earnings estimates after carefully examining the pros and cons of an event for the concerned company. In fact, a rating upgrade or downgrade by brokers has the potential to immediately influence the price of the stock.
Given the expertise and know-how of brokers in investment matters, it is natural for investors to believe that there is a solid reason/logic behind brokers improving their recommendation on a particular stock. In fact, a rating upgrade generally leads to stock price appreciation and vice versa. Estimates can move north for a number of reasons — favorable earnings performance, bullish guidance, product launch or any favorable macro scenario.
To take care of the earnings performance, we have designed a screen based on improving analyst recommendations and upward estimate revisions over the last four weeks.
Advertisement Advertisement
Ignore the Top Line at Your Peril
To design a winning strategy, it is not wise to consider only the bottom line only. In fact, according to some market watchers, a top-line outperformance is more creditable for a stock than mere earnings beat under some circumstances. Therefore, to make our strategy full-proof, one needs to address top-line concerns as well. We have considered the price/sales ratio, which serves as a strong complementary valuation metric, for screening stocks.
Screening Criteria
# (Up-Down Rating)/ Total (4 weeks) =Top #75: This gives the list of the top 75 companies that have witnessed net upgrades over the last 4 weeks.
Advertisement
% change in Q (1) est. (4 weeks) = Top #10: This gives the top 10 stocks that have witnessed earnings estimate revisions over the past 4 weeks for the upcoming quarter.
Price-to-Sales = Bot%10: The lower the ratio, the better. Companies meeting this criterion are in the bottom 10% of our universe of over 7,700 stocks.
Price greater than 5: A stock trading below $5 will not likely be of significant interest to most investors.
Average Daily Volume greater than 100,000 shares over the last 20 trading days: Volume has to be significant to ensure that these are easily traded.
Market value ($ mil) = Top #3000: This gives us stocks that are the top 3000 in terms of market capitalization.
Advertisement
Com/ADR/Canadian= Com: This takes out the ADR and Canadian stocks.
Here are five of the 10 stocks that passed the screen test:
American Airlines is based in Fort Worth, TX. The gradual increase in air-travel demand (particularly for leisure) is aiding AAL. However, high fuel costs are hurting the bottom line.
Over the past 60 days, the Zacks Consensus Estimate for AAL’s 2023 earnings has been revised 13.1% upward. American Airlines currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cleveland-Cliffs is a leading iron ore producer in the United States. It supplies differentiated iron ore pellets under long-term contracts to major blast furnace steel producers in North America. The Mining and Pelletizing operation gains from low-cost, high-quality iron ore pellet production with substantial logistics and transportation advantages to serve the Great Lakes steel market. The company should gain from its merger with AK Steel Holding Corporation.
Advertisement
Over the past 60 days, the Zacks Consensus Estimate for CLF’s 2023 earnings has been revised 54% upward. Cleveland-Cliffs currently sports a Zacks Rank #1.
Boise Cascade Company: Based in Boise, ID, BCC makes wood products and distributes building materials in the United States as well as Canada. Boise Cascade’s Building Materials Distribution and Wood Products segments are gaining strength from strong end-product demand as well as higher commodity product prices. It has also been increasing commodity offerings that will instill growth in the existing markets, underserved markets and across its entire national footprint.
Over the past 60 days, the Zacks Consensus Estimate for 2023 earnings has been revised 0.8% upward. BCC currently carries a Zacks Rank #3 (Hold).
Thor Industries is benefiting from its growth by acquisition strategy. The buyout of Germany-based EHG made Thor the largest recreational vehicle (RV) manufacturer in the world. Its cash flow generating ability also bodes well.
Advertisement
Over the past 30 days, the Zacks Consensus Estimate for 2023 earnings has been revised 0.8% upward. THO currently carries a Zacks Rank #3.
Caleres is a leading footwear retailer and wholesaler in the United States, China, Canada and Guam. The company operates through Famous Footwear and Brand Portfolio segments. This Saint Louis, MO-based company has been benefiting from the positive consumer demand trends and accelerated recovery in the footwear marketplace, aiding its sales.
The momentum in the Famous Footwear brand is expected to contribute meaningfully to sales growth. Strong performances of CAL’s emerging brands, including Vionic, Sam Edelman, Allen Edmonds and Blowfish Malibu, are expected to be growth drivers. Caleres has an excellent surprise history with its earnings having surpassed the Zacks Consensus Estimate in each of the last four quarters, the average being 26% CAL currently carries a Zacks Rank #3.
You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and backtest them first before taking the investment plunge.
Advertisement
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today.
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance.
Advertisement
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Thor Industries, Inc. (THO) : Free Stock Analysis Report
ClevelandCliffs Inc. (CLF) : Free Stock Analysis Report
American Airlines Group Inc. (AAL) : Free Stock Analysis Report
Boise Cascade, L.L.C. (BCC) : Free Stock Analysis Report
Caleres, Inc. (CAL) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_670
|
Shares of Model N, Inc. MODN have surged 49.8% over the past year, driven by improved market demand across its portfolio on the back of a flexible business model and solid cash flow. Earnings estimates for the current fiscal year have increased 66.1% over the past year while that for the next fiscal year is up 36.6% since February 2022, implying robust inherent growth potential. With healthy fundamentals, this Zacks Rank #2 (Buy) stock appears to be a solid investment option at the moment. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks Investment Research
Image Source: Zacks Investment Research
Growth Drivers
San Mateo, CA-based Model N provides revenue management solutions for life sciences and technology companies, including applications for configure, price, quote, rebates management and regulatory compliance. The company is accelerating its transition of revenue management to the cloud and is making steady progress in its transformation to a Software-as-a-Service (SaaS) based business model.
Companies using legacy systems like spreadsheets are increasingly finding it difficult to keep pace with the current industry trends that include shorter product lifecycles, strict compliance & regulatory controls, and growing volumes of transactional data. We believe that Model N’s cloud-based revenue management solutions are well suited to address the current unique needs of these industries. The company’s solutions provide a higher return on investment (ROI) and plug gaps in the end-to-end revenue management process that legacy systems fail to do. This improves the top-line growth of the companies, in turn boosting the adoption of Model N’s solutions.
Model N has significant growth opportunities in the underpenetrated revenue management market as it continues to replace legacy processes that are labor-intensive, error-prone, inflexible and costly. Its solutions are particularly suitable for manufacturing and financial services. Its Revenue Cloud transforms the revenue lifecycle into a strategic, end-to-end process aligned across the enterprise, while its industry-specific solution suites – Revenue Cloud for Life Sciences and Revenue Cloud for High Tech – offer a range of solutions from individual products to complete product suites.
The company reported strong fourth-quarter fiscal 2022 results, with both the bottom line and top line beating the respective Zacks Consensus Estimate driven by the successful transition to a SAAS platform as part of its transformation to a cloud company. With a healthy contribution from all of its growth levers, the company ended fiscal 2022 on a positive note. It expects this momentum to continue in the impending quarters as well.
It delivered a positive earnings surprise of 61.5%, on average, in the trailing four quarters. The stock has a VGM Score of B.
Other Key Picks
Ooma Inc. OOMA, sporting a Zacks Rank #1, delivered an earnings surprise of 21.7%, on average, in the trailing four quarters. Earnings estimates for Ooma for the current year have moved up 37.8% since March 2022. It has a VGM Score of B.
Ooma offers communications services and related technologies for businesses and consumers in the United States and Canada. It helps to create powerful connected experiences for businesses and consumers through its smart cloud-based SaaS platform.
Arista Networks, Inc. ANET, sporting a Zacks Rank #1, is likely to benefit from the strong momentum and diversification across its top verticals and product lines. The company has a software-driven, data-centric approach to help customers build their cloud architecture and enhance their cloud experience. Arista has a long-term earnings growth expectation of 17.5% and delivered an earnings surprise of 12.7%, on average, in the trailing four quarters.
It holds a leadership position in 100-gigabit Ethernet switching share in port for the high-speed datacenter segment. Arista is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in data-driven cloud networking business with proactive platforms and predictive operations.
Clearfield, Inc. CLFD, sporting a Zacks Rank #1, is a leading provider of communication networks, telecom services and support solutions. The company is witnessing a strong demand environment, largely driven by an effort by rural broadband operators to establish themselves as dominant broadband access providers. In addition, Clearfield is gaining traction with Tier 2 carriers that aim to extend their fiber connectivity across the country.
Headquartered in Minneapolis, MN, Clearfield has gained 17.8% over the past year. It delivered an earnings surprise of 39.7%, on average, in the trailing four quarters.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Model N, Inc. (MODN) : Free Stock Analysis Report
Arista Networks, Inc. (ANET) : Free Stock Analysis Report
Clearfield, Inc. (CLFD) : Free Stock Analysis Report
Ooma, Inc. (OOMA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_671
|
Shares of Bandwidth Inc. BAND have surged 46.2% over the past six months, driven by improved market demand across its portfolio on the back of a dynamic business model and cost-effective operations. Earnings estimates for the current fiscal year have increased a stellar 516.7% since February 2022, implying robust inherent growth potential. With healthy fundamentals, this Zacks Rank #1 (Strong Buy) stock appears to be a solid investment option at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Zacks Investment Research
Image Source: Zacks Investment Research
Growth Drivers
Founded in 2000 and headquartered in Raleigh, NC, Bandwidth operates as a Communications Platform-as-a-Service (CPaaS) provider, offering avant-garde software application programming interfaces for voice and messaging services. It is the only application programming interface (API) platform provider that owns a Tier 1 network with enhanced network capacity, primarily catering to business enterprises.
Bandwidth capitalizes on a variety of marketing channels to promote its products and services. This reinforces pricing flexibility and provides a significant competitive advantage to build a capital-efficient and customized networking infrastructure. The company follows a usage-based revenue model that enables it to simultaneously augment its top-line growth and increase subscriber base. Bandwidth generates a majority of its revenues from the CPaaS business in the United States. The company believes that its evolving portfolio and accretive customer base are the cornerstones of long-term growth across a diverse set of markets.
The company enables enterprises to rapidly scale communications functionalities to various applications and devices with its easy-to-use software APIs. It supports high user volumes without affecting deliverability and cost-effectively eliminates performance degradation. Bandwidth’s reduced capital expenditure requirements and lower marginal costs enable it to minimize total cost to customers. Continuous innovation on CPaaS offerings allows enterprise customers to have direct access to Bandwidth’s comprehensive suite of products and services that cater to the networking requirements of large-scale Internet companies and cloud service providers based in the United States.
It is undertaking the necessary steps to pursue international expansion opportunities, thereby strengthening its enterprise customer base overseas. Bandwidth established two data centers in Frankfurt and London and has been permitted to operate in 13 European countries, which includes 11 members of the European Union, the United Kingdom and Switzerland.
It has a long-term earnings growth expectation of 25% and delivered a solid earnings surprise of 301.8%, on average, in the trailing four quarters. The stock has a VGM Score of A.
Other Key Picks
Ooma Inc. OOMA, sporting a Zacks Rank #1, delivered an earnings surprise of 21.7%, on average, in the trailing four quarters. Earnings estimates for Ooma for the current year have moved up 37.8% since March 2022. It has a VGM Score of B.
Ooma offers communications services and related technologies for businesses and consumers in the United States and Canada. It helps to create powerful connected experiences for businesses and consumers through its smart cloud-based SaaS platform.
Arista Networks, Inc. ANET, sporting a Zacks Rank #1, is likely to benefit from the strong momentum and diversification across its top verticals and product lines. The company has a software-driven, data-centric approach to help customers build their cloud architecture and enhance their cloud experience. Arista has a long-term earnings growth expectation of 17.5% and delivered an earnings surprise of 12.7%, on average, in the trailing four quarters.
It holds a leadership position in 100-gigabit Ethernet switching share in port for the high-speed datacenter segment. Arista is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in data-driven cloud networking business with proactive platforms and predictive operations.
Clearfield, Inc. CLFD, sporting a Zacks Rank #1, is a leading provider of communication networks, telecom services and support solutions. The company is witnessing a strong demand environment, largely driven by an effort by rural broadband operators to establish themselves as dominant broadband access providers. In addition, Clearfield is gaining traction with Tier 2 carriers that aim to extend their fiber connectivity across the country.
Headquartered in Minneapolis, MN, Clearfield has gained 17.8% over the past year. It delivered an earnings surprise of 39.7%, on average, in the trailing four quarters.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Arista Networks, Inc. (ANET) : Free Stock Analysis Report
Clearfield, Inc. (CLFD) : Free Stock Analysis Report
Ooma, Inc. (OOMA) : Free Stock Analysis Report
Bandwidth Inc. (BAND) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_672
|
Report highlights personalized medicines ensuring greater efficacy for rare diseases and previously untreatable conditions
Promising therapeutic developments for HIV, Parkinson's disease, Crohn's disease, alopecia, multiple myeloma and breast cancer on horizon
LONDON, Jan. 10, 2023 /CNW/ -- Clarivate Plc (NYSE:CLVT), a global leader in providing trusted information and insights to accelerate the pace of innovation, today announced the release of its annual Drugs to Watch™ report. In its 10th year, the Drugs to Watch report provides in-depth predictive analysis of drugs with the potential to transform treatment paradigms and serve unmet patient needs. The report serves as a key industry resource in an ever-evolving drug innovation landscape - with more than 70 drugs having been identified as Drugs to Watch. This year's analysis identifies drugs entering the market or launching key indications in 2023 which are predicted to achieve blockbuster status by 2027 or be clinical game changers for millions of patients worldwide. Clarivate analysts identified 15 late-stage experimental treatments that are each forecast to deliver annual sales of more than $1 billion within five years. These promising advancements include a broad spectrum of therapeutic developments for rare diseases and tough-to-treat conditions, including HIV, Parkinson's disease, Crohn's disease, alopecia, multiple myeloma and breast cancer.
The Drugs to Watch 2023 list from Clarivate primarily features treatments targeted to a particular biomarker, ensuring greater efficacy and less precious time lost searching for a drug or biologic that will arrest or reverse the progress of disease. Personalized medicines have begun to evolve from promise to reality, accounting for more than 25% of FDA approvals for the last seven years1. The rise of personalized medicine has resulted in success beyond oncology and rare diseases, facilitating therapies for formerly untreatable conditions.
The report also highlights potential blockbusters in Mainland China. Clarivate identified nine drugs that are likely to achieve $1 billion in Mainland China by 2030, including both global and domestically manufactured assets. Of the nine selected, eight are oncology drugs, reflecting healthcare reforms under Healthy China 20302 that have placed a focus on addressing the increasing cancer burden in Mainland China.
In addition, the report examines the industry's progress in addressing the diseases highlighted in the United Nations Sustainable Development Goals. These goals address infectious diseases such as tuberculosis, malaria, neglected tropical diseases and water-borne diseases, as well as maternal mortality and non-communicable diseases like mental illness and substance abuse.
Among new drugs and biologics that have either won approval or are poised to, Clarivate has identified 15 treatments likely to achieve blockbuster status in the next five years or transform paradigms to meet unmet patient needs. The 2023 Drugs to Watch, are:
Bimekizumab (BIMZELX®) developed by UCB- Bimekizumab is the first dual IL-17 A/F inhibitor to treat moderate to severe plaque psoriasis. Phase 3 trial results showed superior skin clearance outcomes than existing treatments. Its less-frequent dosing schedule and good safety profile will likely be attractive to clinicians and patients.
Capivasertib (AZD5363) developed by AstraZeneca- For patients with breast cancer, Capivasertib is a novel, highly potent, selective ATP-competitive pan-AKT kinase inhibitor that exerts similar activity against the three isoforms AKT1, AKT2 and AKT3. Positive data have emerged from early-phase trials, with clinical benefit to patients irrespective of their PIK3CA/AKT1/PTEN mutational status, and several phase 3 trials are now underway.
Daprodustat (GSK1278863/Duvroq) developed by GSK plc.- Daprodustat belongs to a novel class of oral treatments for chronic kidney disease (CKD)-related anemia and is a HIF-PHI developed to treat anemia associated with CKD, which has a high incidence rate and few effective, safe treatment options. Already available for CKD-related anemia in Japan, its uptake has been impressive.
Deucravacitinib (SOTYKTU™/BMS-986165) developed by Bristol Myers Squibb- As a first-in-class oral, targeted agent that selectively inhibits tyrosine kinase 2 (TYK2), a Janus kinase (JAK) family member that mediates cytokine-driven immune and inflammatory signals, it has the potential to fill a gap in the treatment armamentarium for plaque psoriasis.
Foscarbidopa/foslevodopa (ABBV-951) developed by AbbVie- Foscarbidopa/foslevodopa is a novel reformulation of the gold-standard Parkinson's disease treatment (carbidopa/levodopa) delivered via a subcutaneous pump for the treatment of motor fluctuations in advanced Parkinson's disease. In addition to serving a niche group of patients with high unmet need, it offers better efficacy than orally administered carbidopa-levodopa, dosing flexibility and a more convenient pump than existing and upcoming competitors.
LEQEMBI™ (BAN2401) developed by Eisai Co Ltd and Biogen Inc, and Donanemab (LY-3002813), developed by Eli Lilly and Company- LEQEMBI and Donanemab are poised to help treat early-stage Alzheimer's disease. Supported by landmark clinical data from a phase 3 trial, next-in-class anti-Aβ monoclonal antibody (MAb) LEQEMBI has recently received accelerated approved by the U.S. and has ex-U.S. launches. Donanemab, and others in the class (e.g., Roche's gantenerumab), may follow suit pending the results of ongoing trials.
Lenacapavir (Sunlenca®/GS-6207) developed by Gilead Sciences Inc.- Approved in Europe and under evaluation by the U.S. Food and Drug Administration (FDA), lenacapavir is the first-in-class, long-acting HIV-1 capsid inhibitor approved to treat multi-drug resistant (MDR) HIV in people who have been heavily treated, a patient population with unmet medical need. Also currently being investigated to treat HIV and for pre-exposure prophylaxis (PrEP), its infrequent dosing and self-administration will likely make it a favored choice in a population with treatment adherence challenges.
Mirikizumab (LY-3074828) developed by Eli Lilly and Company -Mirikizumab, a monoclonal antibody targeting the p19 subunit of IL-23, will likely be first-in-class for ulcerative colitis and the third in the class approved for Crohn's disease. Part of a set of emerging therapies with novel mechanisms of action, it will contribute to the growing market share held by these therapies.
Pegcetacoplan (EMPAVELI®/ASPAVELI®/APL-2) developed by Apellis Pharmaceuticals Inc. - Pegcetacoplan has launched already in the United States and Europe for Paroxysmal nocturnal hemoglobinuria (PNH), a rare hematological disease. As one of the few drugs to have completed phase 3 trials for GA, pegcetacoplan is expected to be the first drug to launch for geographic atrophy (GA)or "dry late age-related macular degeneration (AMD)," which has no approved pharmacotherapy.
Ritlecitinib (PF-06651600) developed by Pfizer Inc.- Ritlecitinib will likely benefit from its first-in-class status, rapid onset of action and expected label for both adults and adolescents, potentially providing an effective option to stimulate hair growth in a stigmatizing disease - Alopecia areata.
Sparsentan developed by Travere Therapeutics Inc - Sparsentan is a first-in-class, orally active, single molecule that functions as a high-affinity, dual-acting antagonist of both endothelin type A (ETA) and angiotensin II subtype 1 (AT1) receptors, which are associated with progression of kidney disease. Its development for IgA nephropathy and focal segmental glomerulosclerosis (FSGS) promises to halt that progression for many patients and fills a gap in the treatment armamentarium.
Teclistamab (TECVAYLI®/JNJ-64007957) developed by Janssen Pharmaceutical Companies of Johnson & Johnson - After receiving conditional approval from the EC (European Commission), teclistamab is the first-in-class bispecific antibody targeted to B-cell maturation antigen (BCMA) to treat multiple myeloma. Ongoing phase 3 trials are expected to provide confirmation of clinical benefit in teclistamab's approved setting and lead to label expansions in other multiple myeloma patient populations, including in combination with other approved agents.
Teplizumab (TZIELD™/PRV-031) developed by Provention Bio Inc- Teplizumab is the first immunotherapy to launch for T1DM and is a landmark drug given its potential ability to preserve beta cell function and delay the need for insulin treatment in those with type 1 diabetes mellitus (T1DM).
Valoctocogene roxaparvovec (ROCTAVIAN™/BMN-270) developed by BioMarin Pharmaceutical Inc - Approved by the European Commission (EC) in August 2022, valoctocogene roxaparvovec is also poised to be the first gene therapy to launch in the United States for severe hemophilia A. Treatment benefit is expected to last for years, reduce the number of bleeding events, minimize the need for replacement factor VIII (FVIII) and negate the use of otherwise burdensome prophylaxis treatment.
Mike Ward, Global Head of Life Sciences and Healthcare Thought Leadership, Clarivate: "While R&D productivity remained a challenge for pharma in 2022, the FDA only approved 37 NMEs during the year, we might expect the approval rate to recover in 2023 to pre-pandemic levels. While oncology remains a key focus for the industry, as the latest edition of Drugs to Watch shows, we can also expect to see approvals and launches for medicines in other disease areas."
Despite the many urgent challenges life science companies will face in 2023, from patent cliffs to capital investment, the industry is on the cusp of unlocking revolutionary technologies that could greatly advance human health.
Access the Drugs to Watch 2023 report from Clarivate, here.
For more Drugs to Watch updates and analyses throughout the year, visit the Drugs to Watch web page and follow Clarivate for Life Sciences & Healthcare on LinkedIn and Twitter. #DrugstoWatch2023.
To learn more about how Clarivate can help healthcare companies inform and shape the drug discovery, development and delivery process, join Dr. Robert Poolman on Tuesday, January 10, 2023 for a presentation on integrating disparate datasets to maximize healthcare benefits for patients during 2023 Fierce JPM Week. For more information, visit: https://www.fiercejpmweek.com/fiercejpmweek/jpmweek-person-agenda.
To learn more about Clarivate data products, visit www.clarivate.com.
Methodology for the Clarivate Drugs to Watch 2023 Report
Increasingly, companies are targeting smaller patient populations with more targeted drugs, many of which will garner less revenue than the mass-market drugs that have traditionally formed the bread and butter of large pharmas but which stand to greatly advance patient care. Accordingly, Clarivate revised its methodology to recognize late-stage developmental therapeutics of clinical and commercial notes.
To identify this year's Drugs to Watch, Clarivate drew from the expertise of over 160 analysts covering hundreds of diseases, drugs and markets and eleven integrated data sets that span the R&D and commercialization lifecycle, including: Cortellis Competitive Intelligence™, Disease Landscape & Forecast, BioWorld™, Drug Timeline & Success Rates, Cortellis Clinical Trials Intelligence™, Cortellis Generics Intelligence™, Cortellis Deals Intelligence™, Access & Reimbursement payer studies , Clarivate Real World Data and Analytics , Web of Science™ Derwent Innovation™ and other industry sources including biopharma company press releases, filings and peer-reviewed publications. Candidate drugs in phase 2 or phase 3 trials, at pre-registration or registration stage, or already launched early in 2022 were selected for analysis, including those pursuing new indications that could be particularly impactful; drugs launched prior to 2022 were excluded. The dataset was filtered for drugs that had total forecast sales of $1 billion or more by 2027. Clarivate experts and analysts evaluated each drug in its individual context, based on factors such as expected approval or launch dates, competitive landscape, regulatory status, trial results, market dynamics and other key factors, and added novel drugs that, while likely to fall short of blockbuster status, are poised to be therapeutic game-changers. Please note that Clarivate analysts generated the data shown in this report prior to December 15, 2022. The Drugs to Watch 2023 Report and the treatments referenced in this release are based on Clarivate's current expectations based on existing data, but actual results derived from the drugs named in the report and here may differ significantly.
Clarivate is committed to comprehensively supporting customers across the entire drug, device and medical technology lifecycles to advance human health. By combining patient journey data, therapeutic area expertise, artificial intelligence and analytics in ways that unlock hidden insights, data-driven decisions and accelerating innovation, Clarivate's end-to-end research intelligence is designed to enable customers to make informed evidence-based decisions.
About Clarivate
Clarivate™ is a global leader in providing solutions to accelerate the pace of innovation. Our bold mission information and insights that reduce the time from new ideas to life-changing inventions in the areas of Academia & Government, Life Sciences & Healthcare, Professional Services and Consumer Goods, Manufacturing & technology. We help customers discover, protect and commercialize their inventions using our trusted subscription and technology-based solutions coupled with deep domain expertise. For more information, please visit clarivate.com.
Media contact:
Catherine Daniel
Director External Communications, Life Sciences & Healthcare
[email protected]
1 Source: The Personalized Medicine Coalition (PMC). PERSONALIZED MEDICINE AT FDA: The Scope & Significance of Progress in 2021. 2021. https://www.personalizedmedicinecoalition.org/Userfiles/PMC-Corporate/file/Personalized_Medicine_at_FDA_The_Scope_Significance_of_Progress_in_2021.pdf
2 Source: Peijie Chen, Fuzhong Li, Peter Harmer. Healthy China 2030: moving from blueprint to action with a new focus on public health. 2019. https://pubmed.ncbi.nlm.nih.gov/31493840/
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/clarivate-identifies-fifteen-potential-blockbuster-drugs-in-annual-drugs-to-watch-report-301717308.html
SOURCE Clarivate Plc
Cision
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/January2023/10/c7470.html
|
NEWS_673
|
Shares of Clorox Co. CLX, +2.30% slid 1.18% to $140.98 Tuesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.70% to 3,919.25 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.56% to 33,704.10. This was the stock's second consecutive day of losses. Clorox Co. closed $45.88 short of its 52-week high ($186.86), which the company reached on January 14th.
The stock underperformed when compared to some of its competitors Tuesday, as Procter & Gamble Co. PG, +0.71% fell 0.10% to $151.89. Trading volume (852,343) remained 276,955 below its 50-day average volume of 1.1 M.
|
NEWS_674
|
Shares of Clorox Co. CLX, +2.30% inched 0.69% higher to $141.95 Wednesday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 1.28% to 3,969.61 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.80% to 33,973.01. The stock's rise snapped a two-day losing streak. Clorox Co. closed $44.91 short of its 52-week high ($186.86), which the company reached on January 14th.
The stock outperformed some of its competitors Wednesday, as Procter & Gamble Co. PG, +0.71% fell 0.81% to $150.66. Trading volume (1.1 M) remained 40,387 below its 50-day average volume of 1.1 M.
|
NEWS_675
|
Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important.
We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises.
2 Stocks to Add to Your Watchlist
The Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate. The core of the ESP model is comparing the Most Accurate Estimate to the Zacks Consensus Estimate, where the resulting percentage difference between the two equals the Expected Surprise Prediction.
The final step today is to look at a stock that meets our ESP qualifications. Clorox (CLX) earns a Zacks Rank #3 27 days from its next quarterly earnings release on February 2, 2023, and its Most Accurate Estimate comes in at $0.75 a share.
CLX has an Earnings ESP figure of 15.39%, which, as explained above, is calculated by taking the percentage difference between the $0.75 Most Accurate Estimate and the Zacks Consensus Estimate of $0.65.
CLX is one of just a large database of Consumer Staples stocks with positive ESPs. Another solid-looking stock is Kimberly-Clark (KMB).
Kimberly-Clark, which is readying to report earnings on January 25, 2023, sits at a Zacks Rank #3 (Hold) right now. It's Most Accurate Estimate is currently $1.51 a share, and KMB is 19 days out from its next earnings report.
The Zacks Consensus Estimate for Kimberly-Clark is $1.50, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of 0.8%.
Story continues
Because both stocks hold a positive Earnings ESP, CLX and KMB could potentially post earnings beats in their next reports.
Find Stocks to Buy or Sell Before They're Reported
Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The Clorox Company (CLX) : Free Stock Analysis Report
KimberlyClark Corporation (KMB) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_676
|
OAKLAND, Calif., Jan. 4, 2023 /PRNewswire/ -- The Clorox Company (NYSE: CLX) will issue its second-quarter fiscal year 2023 results on Feb. 2, 2023. Timing for the announcement will be as follows:
1:15 p.m. PT/4:15 p.m. ET: Press release and prepared management remarks posted on the company's website
2 p.m. PT/5 p.m. ET: Live Q&A audio webcast for analysts with CEO Linda Rendle and Chief Financial Officer Kevin Jacobsen
Links to the webcast, press release and prepared remarks can be found at Clorox quarterly results.
About The Clorox Company
The Clorox Company (NYSE: CLX) champions people to be well and thrive every single day. Its trusted brands, which include Brita®, Burt's Bees®, Clorox®, Fresh Step®, Glad®, Hidden Valley®, Kingsford®, Liquid-Plumr®, Pine-Sol® and Rainbow Light®, can be found in about nine of 10 U.S. homes and internationally with brands such as Ajudin®, Clorinda®, Chux® and Poett®. Headquartered in Oakland, California, since 1913, Clorox was one of the first U.S. companies to integrate ESG into its business reporting, with commitments in three areas: Healthy Lives, Clean World and Thriving Communities. Visit thecloroxcompany.com to learn more.
CLX-F
(PRNewsfoto/The Clorox Company)
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/clorox-announces-feb-2-webcast-of-second-quarter-fiscal-year-2023-results-301712693.html
SOURCE The Clorox Company
|
NEWS_677
|
Shares of Clorox Co. CLX, +2.30% inched 0.61% higher to $142.82 Thursday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.34% to 3,983.17 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.64% to 34,189.97. This was the stock's second consecutive day of gains. Clorox Co. closed $44.04 short of its 52-week high ($186.86), which the company reached on January 14th.
The stock outperformed some of its competitors Thursday, as Procter & Gamble Co. PG, +0.71% fell 0.56% to $149.81. Trading volume (1.0 M) remained 91,523 below its 50-day average volume of 1.1 M.
|
NEWS_678
|
Shares of Clorox Co. CLX, +2.30% rallied 2.30% to $146.11 Friday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.40% to 3,999.09 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.33% to 34,302.61. This was the stock's third consecutive day of gains. Clorox Co. closed $40.75 short of its 52-week high ($186.86), which the company achieved on January 14th.
The stock outperformed some of its competitors Friday, as Procter & Gamble Co. PG, +0.71% rose 0.71% to $150.88. Trading volume (1.2 M) eclipsed its 50-day average volume of 1.1 M.
|
NEWS_679
|
Shares of Clorox Co. CLX, +2.30% slid 1.23% to $142.66 Monday, on what proved to be an all-around poor trading session for the stock market, with the S&P 500 Index SPX, +0.40% falling 0.08% to 3,892.09 and Dow Jones Industrial Average DJIA, +0.33% falling 0.34% to 33,517.65. Clorox Co. closed $44.20 below its 52-week high ($186.86), which the company achieved on January 14th.
The stock underperformed when compared to some of its competitors Monday, as Procter & Gamble Co. PG, +0.71% fell 1.22% to $152.04. Trading volume (915,073) remained 221,121 below its 50-day average volume of 1.1 M.
|
NEWS_680
|
Canadian Imperial Bank of Commerce CM has been ordered to pay $848 million in damages to Cerberus Capital Management in relation to a contract dispute tied to the 2008 global financial crisis. Canadian Imperial plans to appeal the New York judge’s order.
Canadian Imperial mentioned that it expects to witness a C$1.16-billion pretax charge or C$850 million ($631 million) after taxes in its first-quarter results, which will reduce its ratio of capital to assets.
The dispute between Cerberus and Canadian Imperial rose from a complex 2008 structured note transaction, in which CM received a $571-million loan intended to reduce its U.S. residential real estate exposure in exchange for payments to a Cerberus entity.
In November 2015, Cerberus sued Canadian Imperial, claiming that it underpaid some amounts it owed, and stopped making some payments altogether after a group of credit default swaps went into default and the underlying bonds were liquidated.
Canadian Imperial said that Cerberus misread the underlying agreements and had been accepting the alleged underpayments for several years.
However, in December, after a non-jury trial, Justice Joel Cohen of a New York state court in Manhattan found that CM was liable for breach of contract and, hence, he rejected CM’s counterclaims, which included that Cerberus acted with fraudulent intent.
Hence, Yesterday, Cerberus said that “ample evidence” supported Cohen's findings, and it expected his decisions would be “fully upheld” in an appeal.
Over the past six months, shares of CM have lost 13.2% against an 8.1% increase recorded by the industry.
Zacks Investment Research
Image Source: Zacks Investment Research
Currently, Canadian Imperial carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Financial Misconduct by U.S. Firms
Last month, Wells Fargo & Company WFC was ordered by the CFPB to pay more than $2 billion in redress to consumers and a $1.7-billion civil penalty for the widespread mismanagement of auto loans, mortgages and deposit accounts.
Per the enforcement action, Wells Fargo harmed millions of consumers for several years. The bank had systematic failures in its servicing of automobile loans that resulted in $1.3 billion in harm across more than 11 million accounts. WFC incorrectly applied borrowers’ payments, improperly charged fees and interest, and wrongfully repossessed borrowers’ vehicles.
In October, Bank of America BAC agreed to pay $1.84 billion to resolve claims by Ambac Financial, a bond insurer, regarding residential mortgage-backed securities. Ambac claimed that between 2004 and 2006, it insured certain mortgage-backed securities, backed by poorly underwritten Countrywide Financial loans. Countrywide is a lender whom BofA acquired in 2008.
Countrywide’s purchase put BofA at the center of years of litigation over who was to blame for a mortgage-market meltdown.
Story continues
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Bank of America Corporation (BAC) : Free Stock Analysis Report
Wells Fargo & Company (WFC) : Free Stock Analysis Report
Canadian Imperial Bank of Commerce (CM) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_681
|
As Canada's 1.2 million small and medium-sized businesses (SMBs) look to grow, Elavon to provide payment processing for CIBC acceptance and merchant services platform
TORONTO, Jan. 11, 2023 /CNW/ - Meeting the needs of small-and medium-sized businesses, CIBC, together with Pollinate, announced today that Elavon has been chosen as the payment processor to power payment processing on a platform called Tyl by CIBC that will provide products, services and tools for business banking clients.
CIBC Logo (CNW Group/CIBC)
Tyl by CIBC will support startups, small businesses, and entrepreneurs with side hustles to make their ambitions a reality. Entrepreneurs work hard to realize their ambitions, and this platform is uniquely positioned to meet their needs. A cloud-based, digital-first platform, Tyl by CIBC enables safe and secure payments acceptance, provides easy point-of-sale technology, and offers a range of additional services and capabilities — such as allowing for merchants to offer loyalty programs to their customers.
"With Tyl by CIBC we are delighted to help entrepreneurs and business owners achieve their ambitions and grow. By bringing an integrated bank-based acquiring solution to them – working with Elavon to underpin the platform – they can have the innovation they need with the security and backing of a leading bank." said Chris Sweetland, Senior Vice-President, Payments, Strategy and Transformation at CIBC. "As we support the ambitions of entrepreneurs and business owners across Canada, Tyl by CIBC will help them process their customer payments but also provide other tools and products to effectively run their business."
Elavon is one of the world's largest payments processors, handling more than five billion transactions for clients every year.
"Elavon is proud to be the partner of choice to help deliver Tyl by CIBC to Canadian small businesses," said Jamie Walker, CEO of Elavon. "Elavon works with millions of businesses worldwide and shares CIBC's commitment to providing simple, innovative solutions that ensure customer satisfaction."
Story continues
In launching Tyl by CIBC, the bank joins a global alliance of tier one banks focused on creating powerful, integrated experiences for their SMB clients, starting with acquiring. Other banks in this alliance include NatWest and National Australia Bank.
"Small businesses worldwide are facing unprecedented challenges, and it is an honour to work with banks so committed to their success," said Fiona Roach Canning, Co-founder of Pollinate. "We continue to see consistent trends in the needs of SMBs across countries and are delighted to partner with Elavon in Canada as we serve merchants everywhere together."
About CIBC
CIBC is a leading North American financial institution with 13 million personal banking, business, public sector and institutional clients. Across Personal and Small Business Banking, Commercial Banking and Wealth Management, and Capital Markets businesses, CIBC offers a full range of advice, solutions and services through its leading digital banking network, and locations across Canada, in the United States and around the world.
About Pollinate
Pollinate enables banks to offer cutting-edge digital tools to their small business customers and to consumers, transforming the profitability of a traditional acquiring business. Pollinate has built a Global Alliance of like-minded banks, committed to harnessing the power of data to create powerful digital experiences. Partners and investors include NatWest, National Australia Bank, CIBC, Insight Partners, Fiserv and Mastercard.
About Elavon
Elavon is a leading global payments company with more than 4,300 employees and operations in 10 countries. Elavon is wholly owned by U.S. Bank (NYSE: USB), the fifth-largest bank in the United States, and provides end-to-end payment processing solutions and services to more than 2 million customers in the United States, Europe, and Canada. As the leading provider for airlines and a top five provider in hospitality, healthcare, retail, and public sector/education, Elavon's innovative payment solutions are designed to solve pain points for businesses from small to the largest global enterprises.
SOURCE CIBC
Cision
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/January2023/11/c2459.html
|
NEWS_682
|
Shares of Comerica Inc. CMA, -0.54% rallied 1.15% to $67.58 Tuesday, on what proved to be an all-around positive trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.70% to 3,919.25 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.56% to 33,704.10. Comerica Inc. closed $34.51 below its 52-week high ($102.09), which the company achieved on February 10th.
The stock demonstrated a mixed performance when compared to some of its competitors Tuesday, as UBS Group AG UBS, +0.63% rose 1.25% to $20.24, SVB Financial Group SIVB, -0.43% rose 1.30% to $252.68, and Citizens Financial Group Inc. CFG, -0.26% rose 0.39% to $41.26. Trading volume (1.6 M) eclipsed its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_683
|
Wells Fargo (WFC) came out with quarterly earnings of $0.67 per share, beating the Zacks Consensus Estimate of $0.63 per share. This compares to earnings of $1.38 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 6.35%. A quarter ago, it was expected that this biggest U.S. mortgage lender would post earnings of $1.09 per share when it actually produced earnings of $1.30, delivering a surprise of 19.27%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Wells Fargo , which belongs to the Zacks Banks - Major Regional industry, posted revenues of $19.66 billion for the quarter ended December 2022, missing the Zacks Consensus Estimate by 1.16%. This compares to year-ago revenues of $20.86 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Wells Fargo shares have added about 3.7% since the beginning of the year versus the S&P 500's gain of 3.7%.
What's Next for Wells Fargo?
While Wells Fargo has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Story continues
Ahead of this earnings release, the estimate revisions trend for Wells Fargo: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $1.14 on $20.42 billion in revenues for the coming quarter and $4.95 on $82.16 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - Major Regional is currently in the top 36% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Comerica Incorporated (CMA), is yet to report results for the quarter ended December 2022. The results are expected to be released on January 19.
This company is expected to post quarterly earnings of $2.56 per share in its upcoming report, which represents a year-over-year change of +54.2%. The consensus EPS estimate for the quarter has been revised 0.8% lower over the last 30 days to the current level.
Comerica Incorporated's revenues are expected to be $1.01 billion, up 34.3% from the year-ago quarter.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Wells Fargo & Company (WFC) : Free Stock Analysis Report
Comerica Incorporated (CMA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_684
|
Shares of Comerica Inc. CMA, -0.54% rose 1.28% to $68.91 Thursday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.34% to 3,983.17 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.64% to 34,189.97. This was the stock's third consecutive day of gains. Comerica Inc. closed $33.18 below its 52-week high ($102.09), which the company achieved on February 10th.
The stock outperformed some of its competitors Thursday, as UBS Group AG UBS, +0.63% rose 1.13% to $20.65, SVB Financial Group SIVB, -0.43% fell 0.46% to $253.82, and Citizens Financial Group Inc. CFG, -0.26% rose 0.87% to $41.83. Trading volume (1.4 M) remained 67,827 below its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_685
|
Shares of Comerica Inc. CMA, -0.54% inched 0.68% higher to $68.04 Wednesday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 1.28% to 3,969.61 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.80% to 33,973.01. This was the stock's second consecutive day of gains. Comerica Inc. closed $34.05 below its 52-week high ($102.09), which the company achieved on February 10th.
The stock demonstrated a mixed performance when compared to some of its competitors Wednesday, as UBS Group AG UBS, +0.63% rose 0.89% to $20.42, SVB Financial Group SIVB, -0.43% rose 0.91% to $254.99, and Citizens Financial Group Inc. CFG, -0.26% rose 0.51% to $41.47. Trading volume (1.1 M) remained 403,878 below its 50-day average volume of 1.5 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_686
|
DALLAS, Jan. 12, 2023 /PRNewswire/ -- Comerica Bank was named to the list of America's Most JUST Companies as recognition for its commitment to serving its workers, customers, communities, environment and shareholders.
Comerica logo. (PRNewsFoto/Comerica Bank) (PRNewsfoto/Comerica Bank)
JUST Capital, along with media partner CNBC, released the 2023 Rankings of America's Most JUST Companies, including the marquee JUST 100. The Rankings are a comprehensive evaluation of how the nation's largest corporations perform on the issues that matter most to Americans today, including creating jobs in the U.S., paying a fair, living wage, acting with integrity at the leadership level, contributions to community development, community support through volunteerism and contributions to local nonprofits, supporting workforce retention and training, protecting worker health and safety, cultivating a diverse and inclusive workplace, providing benefits and work-life balance, protecting customer privacy, minimizing pollution, and more.
"We are honored to be named to this year's America's Most Just Companies," said Wendy Bridges, Executive Vice President, Corporate Responsibility. "Comerica has long served as a leader in the corporate responsibility space, and we remain driven to create solutions ensuring the long-term success for our customers, colleagues and communities."
Among the highlights, Comerica placed first among all banks in the Shareholders & Governance category, which examines how a company priorities good governance. It also tied for fifth among banks in the Customers category, evaluating customer service.
For the annual Rankings, JUST Capital collects and analyzes corporate data to evaluate the 1,000 largest public U.S. companies across 20 Issues identified through comprehensive, ongoing public opinion research on Americans' attitudes toward responsible corporate behavior. JUST Capital has engaged more than 160,000 participants, on a fully representative basis, since 2015.
Compared to their Russell 1000 peers, companies in the JUST 100 on average:
Story continues
Created 12,318 more jobs in the U.S. from 2017 to 2021.
Pay 72% of workers a family sustaining living wage (8.6 percentage points more than peers).
Provide 9 more hours of career development training per employee.
Offer 2 more weeks of paid parental leave for primary caregivers and 1 more week of paid leave for secondary caregivers.
Offer 2 more days of paid sick leave .
Intake 79% less water per revenue dollar .
Emitted 42% less metric tons of CO2 per revenue dollar .
Had a 4.5% higher profit margin, 2.3% higher return on equity, and paid 5 times more in dividends.
Further demonstrating its ongoing dedication to environmental initiatives, Comerica recently published its first report aligned with the recommendations of the Task Force for Climate-related Disclosure (TCFD). The TCFD Report, available at comerica.com/sustainability, highlights Comerica's climate strategy which is focused on supporting customers, integrating climate matters into its business and reducing the bank's emissions footprint.
About Comerica
Comerica Bank is a subsidiary of Comerica Incorporated (NYSE: CMA), a financial services company headquartered in Dallas, Texas, and strategically aligned by three business segments: The Commercial Bank, The Retail Bank and Wealth Management. Comerica focuses on relationships, and helping people and businesses be successful. In addition to Texas, Comerica Bank locations can be found in Michigan, California, Florida and Arizona. Additionally, Comerica has select businesses operating in Canada and Mexico. Comerica reported total assets of $84.1 billion as of Sept. 30, 2022.
About CNBC
CNBC is the recognized world leader in business news, providing real-time financial market coverage, business content and general news consumed by more than 544 million people per month across all platforms. The network's 14 live hours a day of news programming in North America (weekdays from 5:00 a.m. - 7:00 p.m. ET) is produced at CNBC's global headquarters in Englewood Cliffs, N.J., and includes reports from CNBC News bureaus worldwide. CNBC at night features a mix of new reality programming, CNBC's highly successful series produced exclusively for CNBC and a number of distinctive in-house documentaries.
CNBC also offers content through its vast portfolio of digital products such as: CNBC.com, which provides financial market news and information to CNBC's investor audience; CNBC Make It, a digital destination focused on making you smarter about how you earn, save and spend your money; CNBC PRO, a premium service that provides in-depth access to Wall Street; a suite of CNBC mobile apps for iOS and Android devices; Amazon Alexa, Google Assistant and Apple Siri voice interfaces; and streaming services including Apple TV, Roku, Amazon Fire TV, Android TV and Samsung Smart TVs. To learn more, visit https://www.cnbc.com/digital-products/ .
Members of the media can receive more information about CNBC and its programming on the NBCUniversal Media Village Web site at http://www.nbcumv.com/programming/cnbc . For more information about NBCUniversal, please visit http://www.NBCUniversal.com .
About JUST Capital
JUST Capital is an independent nonprofit dedicated to measuring and improving corporate stakeholder performance – from fair wages to workforce diversity to climate commitments – at America's largest public companies. Our mission is to tackle the most pressing social challenges of our time by galvanizing the collective power of corporate America. We believe that business and markets can and must be a greater force for good, and that by shifting the resources of the $19 trillion private sector, we can address systemic issues at scale. Guided by the priorities of the public, our research, rankings, indexes, and data-driven tools help deliver on the promise of stakeholder capitalism and an economy that works for all Americans. JUST Capital publishes the annual list of America's Most JUST Companies, the JUST 100, in partnership with CNBC. To learn more, visit: www.JUSTCapital.com .
Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/comerica-named-one-of-americas-most-just-companies-by-just-capital-and-cnbc-301720740.html
SOURCE Comerica Bank
|
NEWS_687
|
The market expects Comerica Incorporated (CMA) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on January 19. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus Estimate
This company is expected to post quarterly earnings of $2.56 per share in its upcoming report, which represents a year-over-year change of +54.2%.
Revenues are expected to be $1.01 billion, up 34.3% from the year-ago quarter.
Estimate Revisions Trend
The consensus EPS estimate for the quarter has been revised 0.14% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Earnings Whisper
Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Story continues
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Comerica Incorporated?
For Comerica Incorporated, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -0.31%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination makes it difficult to conclusively predict that Comerica Incorporated will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?
Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Comerica Incorporated would post earnings of $2.57 per share when it actually produced earnings of $2.60, delivering a surprise of +1.17%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom Line
An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Comerica Incorporated doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Comerica Incorporated (CMA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_688
|
Shares of Comerica Inc. CMA, -0.54% slumped 0.54% to $68.54 Friday, on what proved to be an all-around great trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.40% to 3,999.09 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.33% to 34,302.61. The stock's fall snapped a three-day winning streak. Comerica Inc. closed $33.55 below its 52-week high ($102.09), which the company achieved on February 10th.
The stock underperformed when compared to some of its competitors Friday, as UBS Group AG UBS, +0.63% rose 0.63% to $20.78, SVB Financial Group SIVB, -0.43% fell 0.43% to $252.73, and Citizens Financial Group Inc. CFG, -0.26% fell 0.26% to $41.72. Trading volume (1.5 M) eclipsed its 50-day average volume of 1.4 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_689
|
Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Comerica Incorporated (CMA), which belongs to the Zacks Banks - Major Regional industry.
This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 4.82%.
For the last reported quarter, Comerica Incorporated came out with earnings of $2.60 per share versus the Zacks Consensus Estimate of $2.57 per share, representing a surprise of 1.17%. For the previous quarter, the company was expected to post earnings of $1.77 per share and it actually produced earnings of $1.92 per share, delivering a surprise of 8.47%.
Price and EPS Surprise
Thanks in part to this history, there has been a favorable change in earnings estimates for Comerica Incorporated lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Comerica Incorporated currently has an Earnings ESP of +0.39%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #3 (Hold) indicates that another beat is possibly around the corner. We expect the company's next earnings report to be released on January 19, 2023.
Story continues
When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Comerica Incorporated (CMA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_690
|
Shares of Comerica Inc. CMA, -0.54% shed 1.17% to $66.81 Monday, on what proved to be an all-around rough trading session for the stock market, with the S&P 500 Index SPX, +0.40% falling 0.08% to 3,892.09 and Dow Jones Industrial Average DJIA, +0.33% falling 0.34% to 33,517.65. Comerica Inc. closed $35.28 short of its 52-week high ($102.09), which the company reached on February 10th.
The stock demonstrated a mixed performance when compared to some of its competitors Monday, as UBS Group AG UBS, +0.63% rose 0.50% to $19.99, SVB Financial Group SIVB, -0.43% rose 1.48% to $249.43, and Citizens Financial Group Inc. CFG, -0.26% fell 1.30% to $41.10. Trading volume (1.0 M) remained 486,595 below its 50-day average volume of 1.5 M.
|
NEWS_691
|
Commercial Metals (CMC) came out with quarterly earnings of $2.24 per share, beating the Zacks Consensus Estimate of $1.99 per share. This compares to earnings of $1.62 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 12.56%. A quarter ago, it was expected that this manufacturer and recycler of steel and metal products would post earnings of $2.23 per share when it actually produced earnings of $2.45, delivering a surprise of 9.87%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Commercial Metals , which belongs to the Zacks Steel - Producers industry, posted revenues of $2.23 billion for the quarter ended November 2022, surpassing the Zacks Consensus Estimate by 2.90%. This compares to year-ago revenues of $1.98 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Commercial Metals shares have added about 4.8% since the beginning of the year versus the S&P 500's gain of 1.5%.
What's Next for Commercial Metals?
While Commercial Metals has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Story continues
Ahead of this earnings release, the estimate revisions trend for Commercial Metals: favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #1 (Strong Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $1.31 on $1.86 billion in revenues for the coming quarter and $6.94 on $8.02 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Steel - Producers is currently in the top 6% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Nucor (NUE), has yet to report results for the quarter ended December 2022.
This steel company is expected to post quarterly earnings of $4.18 per share in its upcoming report, which represents a year-over-year change of -47.6%. The consensus EPS estimate for the quarter has been revised 8.4% lower over the last 30 days to the current level.
Nucor's revenues are expected to be $7.91 billion, down 23.7% from the year-ago quarter.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Commercial Metals Company (CMC) : Free Stock Analysis Report
Nucor Corporation (NUE) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_692
|
The Sherwin-Williams Company SHW is benefiting from strong demand in its domestic end markets, pricing and cost-control initiatives and expansion of operations.
Shares of Sherwin-Williams, a Zacks Rank #2 (Buy) stock, have lost 27.9% over the past year against the 24.8% decline of its industry.
Zacks Investment Research
Image Source: Zacks Investment Research
Sherwin-Williams is gaining from favorable demand in domestic markets. It is witnessing strong architectural sales volumes, which is driving sales in the Americas Group segment. It saw strong demand in the third quarter of 2022 across all professional architectural markets in the Americas Group.
The company, in its third-quarter call, said that it sees the strong positive results to continue into the fourth quarter. This is projected to be driven by sustained momentum in the Americas Group and industrial end markets in North America, continued price realization, good cost control and softer year-over-year comparisons. It expects consolidated net sales to increase high-single to low-double digit percentage year over year in the fourth quarter.
Sherwin-Williams’ cost-control initiatives, working capital reductions, supply chain optimization and productivity improvement are also expected to provide margin benefits. It is also implementing pricing actions to offset cost inflation, especially in raw materials.
The company also remains committed toward expanding its retail operations. It is focused on capturing a larger share of its end-markets, as is evident from increasing number of retail stores. It added 32 net new stores through the first three quarters of 2022 and expects to add 40-50 new stores in the fourth quarter.
Sherwin-Williams also has a strong liquidity position and is using its cash strategically. It generated $1.28 billion in net operating cash during the first nine months of 2022. The company also repurchased 2.75 million shares of its common stock during the period. It had remaining authorization to repurchase 45.8 million shares through open market purchases at the end of the third quarter.
The SherwinWilliams Company Price and Consensus
The SherwinWilliams Company Price and Consensus
The SherwinWilliams Company price-consensus-chart | The SherwinWilliams Company Quote
Stocks to Consider
Other top-ranked stocks worth considering in the basic materials space include Olympic Steel, Inc. ZEUS, Commercial Metals Company CMC and Nucor Corporation NUE.
Olympic Steel currently sports a Zacks Rank #1 (Strong Buy). The Zacks Consensus Estimate for ZEUS's current-year earnings has been revised 4.8% upward in the past 60 days. You can see the complete list of today’s Zacks #1 Rank stocks here.
Olympic Steel’s earnings beat the Zacks Consensus Estimate in three of the last four quarters. It has a trailing four-quarter earnings surprise of roughly 25.4%, on average. ZEUS has rallied around 37% in a year.
Commercial Metals currently carries a Zacks Rank #1. The consensus estimate for CMC's current-year earnings has been revised 10.2% upward in the past 60 days.
Commercial Metals’ earnings beat the Zacks Consensus Estimate in each of the last four quarters. It has a trailing four-quarter earnings surprise of roughly 16.7%, on average. CMC has gained around 48% in a year.
Nucor currently carries a Zacks Rank #1. The company has a projected earnings growth rate of 21.5% for the current year.
Nucor’s earnings beat the Zacks Consensus Estimate in each of the last four quarters. It has a trailing four-quarter earnings surprise of roughly 3.9%, on average. NUE has rallied roughly 36% in a year.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The SherwinWilliams Company (SHW) : Free Stock Analysis Report
Nucor Corporation (NUE) : Free Stock Analysis Report
Commercial Metals Company (CMC) : Free Stock Analysis Report
Olympic Steel, Inc. (ZEUS) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
|
NEWS_693
|
BUFFALO, N.Y., January 09, 2023--(BUSINESS WIRE)--Columbus McKinnon Corporation (Nasdaq: CMCO), a leading designer, manufacturer and marketer of intelligent motion solutions for material handling, today announced the appointment of Rebecca Yeung, Corporate VP, Operations Science & Advanced Technology, FedEx Corporation (NYSE: FDX) to its Board of Directors, effective January 9, 2023. The addition of Ms. Yeung as an independent director brings Columbus McKinnon's Board to eleven directors of which ten are independent. Ms. Yeung will serve on the Corporate Governance and Nominations Committee.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230109005834/en/
Columbus McKinnon Appoints Rebecca Yeung to Board of Directors (Photo: Business Wire)
Scroll to continue with content Ad ADVERTISEMENT
Richard H. Fleming, Chairman of the Board, commented "We are very excited to welcome Rebecca to our Board. We expect that her industrial technology skills and strategic insights will add valuable perspective to our talented Board and help advance our strategy to drive stronger growth and deliver top-tier financial performance as a global leader in intelligent motion solutions."
David J. Wilson, President and CEO of Columbus McKinnon, commented, "Rebecca’s wealth of experience in AI-enabled robotics, warehouse and supply chain automation, and data-centered logistics solutions at FedEx is an excellent complement to our efforts as we unlock the potential of Columbus McKinnon. We believe her insights will be advantageous as we continue to develop and deliver advanced intelligent motion solutions to address the megatrends of automation and digitization that are driving massive change in the material handling industry. We believe we are at the forefront of this evolution and we are excited to bring Rebecca’s perspectives into our boardroom."
Kathryn V. Roedel, Chair of the Governance and Nomination Committee, noted, "We are thrilled to have Rebecca join the Columbus McKinnon Board of Directors. Her operations technology background aligns perfectly with our transformation of Columbus McKinnon into a designer and manufacturer of intelligent motion solutions for our customers. Further, we believe that Rebecca's global experience and strategic skills, combined with her deep knowledge of Asia enhance the growth acumen and depth of our Board."
Ms. Yeung brings to the Board nearly 30 years of global experience in both strategy and operations technology. The majority of her career has been at FedEx, a global logistics company that provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services. She joined the company in 1998 and served in various marketing, innovation, and technology roles including Principal, Corporate Strategy; Staff Director, Service Experience & Operations Technology; and VP, Advanced Technology & Innovation prior to her current role as Corporate VP, Operations Science & Advanced Technology. Prior to joining FedEx, she was a Management Consultant at the China-Britain Consulting Group in Shanghai, China.
Advertisement Advertisement
Ms. Yeung is a graduate of Fudan University, Shanghai, China, and has an MBA from the Robert H. Smith School of Business, University of Maryland.
About Columbus McKinnon
Columbus McKinnon is a leading worldwide designer, manufacturer and marketer of intelligent motion solutions that move the world forward and improve lives by efficiently and ergonomically moving, lifting, positioning and securing materials. Key products include hoists, crane components, precision conveyor systems, rigging tools, light rail workstations and digital power and motion control systems. The Company is focused on commercial and industrial applications that require the safety and quality provided by its superior design and engineering know-how. Comprehensive information on Columbus McKinnon is available at www.columbusmckinnon.com.
Safe Harbor Statement
This news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements concerning expected growth, future sales and EBITDA margins, and future potential to deliver results; the execution of its strategy and further transformation of the Company with stronger growth, less cyclicality and higher margins, and achievement of certain goals. These statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements, including the impact of supply chain challenges and inflation, the ability of the Company to scale the organization, achieve its financial targets including revenue and adjusted EBITDA margin, and to execute CMBS and the Core Growth Framework; global economic and business conditions affecting the industries served by the Company and its subsidiaries including COVID-19; the Company's customers and suppliers, competitor responses to the Company's products and services, the overall market acceptance of such products and services, the ability to expand into new markets and geographic regions, and other factors disclosed in the Company's periodic reports filed with the Securities and Exchange Commission. Consequently, such forward-looking statements should be regarded as current plans, estimates and beliefs. The Company assumes no obligation to update the forward-looking information contained in this release.
Advertisement
View source version on businesswire.com: https://www.businesswire.com/news/home/20230109005834/en/
Contacts
Gregory P. Rustowicz
Executive Vice President - Finance and CFO
Columbus McKinnon Corporation
716-689-5442
[email protected]
Investor Relations:
Deborah K. Pawlowski
Kei Advisors LLC
716-843-3908
[email protected]
|
NEWS_694
|
While it may not be enough for some shareholders, we think it is good to see the Comcast Corporation (NASDAQ:CMCSA) share price up 30% in a single quarter. But in truth the last year hasn't been good for the share price. In fact the stock is down 25% in the last year, well below the market return.
Since shareholders are down over the longer term, lets look at the underlying fundamentals over the that time and see if they've been consistent with returns.
Check out our latest analysis for Comcast
To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.
Unfortunately Comcast reported an EPS drop of 62% for the last year. The share price fall of 25% isn't as bad as the reduction in earnings per share. So despite the weak per-share profits, some investors are probably relieved the situation wasn't more difficult.
You can see below how EPS has changed over time (discover the exact values by clicking on the image).
Dive deeper into Comcast's key metrics by checking this interactive graph of Comcast's earnings, revenue and cash flow.
What About Dividends?
It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. In the case of Comcast, it has a TSR of -22% for the last 1 year. That exceeds its share price return that we previously mentioned. The dividends paid by the company have thusly boosted the total shareholder return.
A Different Perspective
We regret to report that Comcast shareholders are down 22% for the year (even including dividends). Unfortunately, that's worse than the broader market decline of 15%. Having said that, it's inevitable that some stocks will be oversold in a falling market. The key is to keep your eyes on the fundamental developments. Longer term investors wouldn't be so upset, since they would have made 0.5%, each year, over five years. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Consider for instance, the ever-present spectre of investment risk. We've identified 4 warning signs with Comcast , and understanding them should be part of your investment process.
Story continues
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_695
|
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. To keep the lesson grounded in practicality, we'll use ROE to better understand Comcast Corporation (NASDAQ:CMCSA).
Return on equity or ROE is an important factor to be considered by a shareholder because it tells them how effectively their capital is being reinvested. Simply put, it is used to assess the profitability of a company in relation to its equity capital.
Check out our latest analysis for Comcast
How To Calculate Return On Equity?
The formula for ROE is:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
So, based on the above formula, the ROE for Comcast is:
6.2% = US$5.0b ÷ US$81b (Based on the trailing twelve months to September 2022).
The 'return' is the income the business earned over the last year. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.06.
Does Comcast Have A Good ROE?
One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. However, this method is only useful as a rough check, because companies do differ quite a bit within the same industry classification. As is clear from the image below, Comcast has a lower ROE than the average (12%) in the Media industry.
roe
Unfortunately, that's sub-optimal. However, a low ROE is not always bad. If the company's debt levels are moderate to low, then there's still a chance that returns can be improved via the use of financial leverage. A high debt company having a low ROE is a different story altogether and a risky investment in our books. To know the 4 risks we have identified for Comcast visit our risks dashboard for free.
Why You Should Consider Debt When Looking At ROE
Most companies need money -- from somewhere -- to grow their profits. The cash for investment can come from prior year profits (retained earnings), issuing new shares, or borrowing. In the first two cases, the ROE will capture this use of capital to grow. In the latter case, the use of debt will improve the returns, but will not change the equity. Thus the use of debt can improve ROE, albeit along with extra risk in the case of stormy weather, metaphorically speaking.
Story continues
Comcast's Debt And Its 6.2% ROE
Comcast clearly uses a high amount of debt to boost returns, as it has a debt to equity ratio of 1.20. Its ROE is quite low, even with the use of significant debt; that's not a good result, in our opinion. Investors should think carefully about how a company might perform if it was unable to borrow so easily, because credit markets do change over time.
Summary
Return on equity is useful for comparing the quality of different businesses. In our books, the highest quality companies have high return on equity, despite low debt. If two companies have the same ROE, then I would generally prefer the one with less debt.
But ROE is just one piece of a bigger puzzle, since high quality businesses often trade on high multiples of earnings. Profit growth rates, versus the expectations reflected in the price of the stock, are a particularly important to consider. So I think it may be worth checking this free report on analyst forecasts for the company.
Of course Comcast may not be the best stock to buy. So you may wish to see this free collection of other companies that have high ROE and low debt.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
NEWS_696
|
Shares of Comcast Corp. Cl A CMCSA, +0.62% shed 0.90% to $37.55 Monday, on what proved to be an all-around grim trading session for the stock market, with the S&P 500 Index SPX, +0.40% falling 0.08% to 3,892.09 and Dow Jones Industrial Average DJIA, +0.33% falling 0.34% to 33,517.65. The stock's fall snapped a four-day winning streak. Comcast Corp. Cl A closed $14.55 short of its 52-week high ($52.10), which the company achieved on January 14th.
The stock underperformed when compared to some of its competitors Monday, as Netflix Inc. NFLX, +0.81% fell 0.12% to $315.17, Walt Disney Co. DIS, -0.41% rose 0.91% to $94.77, and Charter Communications Inc. Cl A CHTR, +0.78% fell 0.15% to $367.18. Trading volume (22.8 M) remained 2.3 million below its 50-day average volume of 25.1 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_697
|
Shares of Comcast Corp. Cl A CMCSA, +0.62% inched 0.88% higher to $37.88 Tuesday, on what proved to be an all-around favorable trading session for the stock market, with the S&P 500 Index SPX, +0.40% rising 0.70% to 3,919.25 and the Dow Jones Industrial Average DJIA, +0.33% rising 0.56% to 33,704.10. Comcast Corp. Cl A closed $14.22 short of its 52-week high ($52.10), which the company achieved on January 14th.
The stock demonstrated a mixed performance when compared to some of its competitors Tuesday, as Netflix Inc. NFLX, +0.81% rose 3.92% to $327.54, Walt Disney Co. DIS, -0.41% rose 0.83% to $95.56, and Charter Communications Inc. Cl A CHTR, +0.78% rose 2.03% to $374.64. Trading volume (15.7 M) remained 9.2 million below its 50-day average volume of 24.9 M.
Editor's Note: This story was auto-generated by Automated Insights, an automation technology provider, using data from Dow Jones and FactSet. See our market data terms of use.
|
NEWS_698
|
There was no shortage of beaten-down stocks in 2022, with the Russell 1000 index down 20% as high inflation caused market disarray. But some of those shares—that have strong fundamentals—could be big winners in 2023.
While the Federal Reserve has been battling inflation by lifting interest rates, its rate hike campaign could cause a recession, or at least a decline in expected economic activity and corporate earnings. Higher rates also make future profits less valuable, putting downward pressure on the multiple of near-term expected earnings that stocks trade at.
That has landed a handful of stocks in the “buy-the-dip” bucket. Some of those are technology names that saw their price/earnings multiples plummet because these companies are valued on the basis of growth of profits for the long-term, the type of valuation that gets hit hard when long-term rates rise.
If those stocks’ multiples have now “reset” lower, their prices could rise if they can keep growing their earnings stream.
Other stocks face the mere threat of lower earnings going forward, but have shown resilience in their recent profit trends. To be sure, some beaten-down stocks will perform poorly this year because of weak profit fundamentals.
With that context in mind, Evercore strategists screened for the beaten-down stocks that could be winners this year.
They started by looking in the Russell 1000 for stocks that dropped more than the index in 2022. They narrowed those down by finding the ones with low sentiment, or names with a short interest in the 20th percentile of their two-year ranges, meaning that short sellers who have bet aggressively against the stock are likely to aggressively buy shares back if prices begin moving higher. The last criteria was companies that have seen better analyst earnings estimate revisions than the index since Sept. 30, as the economy has already begun weakening.
Here are five stocks on Evercore’s list:
Fortinet (ticker: FTNT) stock dropped 32% in 2022, currently has short interest in its 81st percentile for the past two years and has seen analysts revise the company’s 2023 EPS estimate up by 6.8% since Sept. 30. The aggregate 2023 EPS estimate for Russell 1000 companies has fallen almost 5% since that date, according to FactSet.
Walgreens Boots Alliance (WBA) stock fell 28% last year, has short interest in its 96th percentile and EPS revisions since Sept. 30 that are down just 1.7%.
Avis Budget Group (CAR) stock dropped 21% in 2022, has short interest in its 85th percentile and EPS revisions up 13.7%.
Nvidia (NVDA) stock fell 50%, has short interest in its 50th percentile and EPS revisions down only 2.2%.
Comcast (CMCSA) stock dropped 31%, has short interest in its 91st percentile and has seen analysts revise EPS down just 2.6%.
Some losers don’t become winners, but these easily could.
Write to Jacob Sonenshine at [email protected]
|
NEWS_699
|
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Comcast Corporation (NASDAQ:CMCSA) as an investment opportunity by taking the expected future cash flows and discounting them to today's value. We will take advantage of the Discounted Cash Flow (DCF) model for this purpose. Before you think you won't be able to understand it, just read on! It's actually much less complex than you'd imagine.
We generally believe that a company's value is the present value of all of the cash it will generate in the future. However, a DCF is just one valuation metric among many, and it is not without flaws. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.
See our latest analysis for Comcast
The Model
We're using the 2-stage growth model, which simply means we take in account two stages of company's growth. In the initial period the company may have a higher growth rate and the second stage is usually assumed to have a stable growth rate. In the first stage we need to estimate the cash flows to the business over the next ten years. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.
A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate:
10-year free cash flow (FCF) estimate
2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 Levered FCF ($, Millions) US$14.3b US$15.6b US$16.5b US$18.0b US$19.8b US$21.1b US$22.1b US$23.0b US$23.8b US$24.5b Growth Rate Estimate Source Analyst x18 Analyst x12 Analyst x9 Analyst x4 Analyst x3 Est @ 6.25% Est @ 4.97% Est @ 4.07% Est @ 3.44% Est @ 3.00% Present Value ($, Millions) Discounted @ 8.1% US$13.2k US$13.3k US$13.1k US$13.1k US$13.4k US$13.2k US$12.8k US$12.3k US$11.8k US$11.2k
("Est" = FCF growth rate estimated by Simply Wall St)
Present Value of 10-year Cash Flow (PVCF) = US$127b
Story continues
After calculating the present value of future cash flows in the initial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.0%. We discount the terminal cash flows to today's value at a cost of equity of 8.1%.
Terminal Value (TV)= FCF 2032 × (1 + g) ÷ (r – g) = US$25b× (1 + 2.0%) ÷ (8.1%– 2.0%) = US$406b
Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$406b÷ ( 1 + 8.1%)10= US$185b
The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is US$313b. In the final step we divide the equity value by the number of shares outstanding. Compared to the current share price of US$37.9, the company appears quite good value at a 48% discount to where the stock price trades currently. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent.
dcf
The Assumptions
We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Comcast as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 8.1%, which is based on a levered beta of 1.025. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business.
SWOT Analysis for Comcast
Strength
Debt is well covered by earnings and cashflows.
Dividends are covered by earnings and cash flows.
Weakness
Earnings declined over the past year.
Dividend is low compared to the top 25% of dividend payers in the Media market.
Opportunity
Annual earnings are forecast to grow faster than the American market.
Trading below our estimate of fair value by more than 20%.
Threat
Annual revenue is forecast to grow slower than the American market.
Moving On:
Although the valuation of a company is important, it shouldn't be the only metric you look at when researching a company. It's not possible to obtain a foolproof valuation with a DCF model. Preferably you'd apply different cases and assumptions and see how they would impact the company's valuation. For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. Can we work out why the company is trading at a discount to intrinsic value? For Comcast, we've compiled three fundamental elements you should assess:
Risks: To that end, you should be aware of the 4 warning signs we've spotted with Comcast . Future Earnings: How does CMCSA's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing!
PS. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the NASDAQGS every day. If you want to find the calculation for other stocks just search here.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
|
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.