McDonald’s facing a ‘perfect storm of negatives’: Pro — CNBC
October 22, 2014
Brian Nelson, President of Equity Research at Valuentum Securities, says the fast food giant’s third quarter results were atrocious and outlines what’s needed to improve earnings moving forward. — CNBC
McDonald’s Third Quarter Performance Very Ugly; Even Worse Than Yum! Brands’
October 22, 2014
McDonald’s is being hit by a perfect storm of negative catalysts, and it may get worse before it gets better. Yum Brands will fall short of achieving previously-announced earnings per share goals.
We’re Expecting an Absolute Blow-Out Holiday Quarter for Apple
October 21, 2014
A trip to the local Apple retail store is all that is needed to assess the continued tremendous interest in Apple products.
Pricing Power Is the Name of the Game in Chipotle’s Third Quarter
October 20, 2014
Chipotle is a fantastic company with excellent growth prospects. Shares, however, are priced to perfect execution, which cannot be guaranteed in the ultra-competitive fast-casual space.
Hasbro Continues to Shine
October 20, 2014
Hasbro put up a fantastic third quarter, and we continue to like the company as an income growth idea.
Big Blue Blows Up
October 20, 2014
We knew something was terribly wrong. IBM’s (IBM) earnings quality had been waning, and we thought a big miss might be on the horizon. We wrote here in January 2014: Never did we ever think we’d be using Big Blue as an example of poor earnings quality, but its fourth-quarter 2013 results, released January 21, fit the mold. The first is revenue growth. IBM’s fourth-quarter 2013 revenue dropped 5.5%, a pace that exceeded that of the 4.6% drop for the year, indicating an acceleration of the revenue decline. We’re viewing this as a sign that the worst may still be ahead of Big Blue as it tries to steer the company back to growth. Without a solid backdrop of revenue growth, earnings-per-share expansion will
Dividend Increases for the Week Ending October 17
October 20, 2014
Let’s take a look at dividend increases for the week ending October 17.
General Electric Powers Higher; Honeywell, Textron Reveal Strength
October 19, 2014
Honeywell and Textron raised full-year 2014 guidance, and General Electric thinks organic revenue growth for the year will be at the high-end of the 4%-7% guided range. Still, their outlooks for 2015 will trump any performance during the remainder of this year.
‘The Correction’ May Have Passed But Are We Now In A Bear Market?
October 17, 2014
The markets rallied today, but next week will be very important. We’re monitoring the credit markets closely for hints on risk-taking and its impact on the direction of the broader equity markets.
Google’s Competitive Advantages As Strong As Ever Following Third Quarter Report
October 17, 2014
Consensus estimates aside, Google (GOOG, GOOGL) issued a very strong third quarter Thursday. The firm reported consolidated revenues of $16.52 billion in the quarter, an increase of 20% on a year-over-year basis. Non-GAAP operating income for the period was $5.36 billion, which compares to non-GAAP operating income of $4.62 billion in last year’s quarter, an increase of 16%. Non-GAAP EPS in the third quarter of $6.35 advanced 12.8% over the $5.63 mark in the prior-year period. Much like that which occurred in eBay’s (EBAY) third quarter, which it reported earlier this week, operating leverage was absent in Google’s business model during the period. Google’s bottom-line growth rate was still solid, but we would have liked to see earnings growth in excess
