Merck Reports Solid Second Quarter; Its Drug Pipeline Looks Promising
July 27, 2012
Merck reported solid second quarter results and indicated that progress in its pipeline remains strong. Though the firm will face patent expiration of its blockbuster Singulair in coming weeks, we think shares remain fairly valued.
Dividend Growth Gem Republic Services Reports Strong Second Quarter; Raises Dividend
July 27, 2012
Dividend growth gem Republic Services hiked its dividend 7% as it works to get its operations back on track. The garbage hauler’s second quarter was decent, and its debt refinancings suggest continued strong dividend growth for years to come.
Amazon’s Profits Fall Short in Its Second Quarter
July 27, 2012
Amazon reported weak second-quarter results as profits plummeted and free cash flow dropped considerably. Though we have no qualms about the online retailer’s revenue expansion, we’d like to see more robust profit-generation before considering it in our Best Ideas portfolio.
Starbucks’ Fiscal Third Quarter Results and Outlook Disappoint
July 27, 2012
Starbucks reported lower than expected fiscal third-quarter results, and its outlook fell short of consensus expectations. We continue to think the shares are overvalued.
Alert: Facebook Tumbles in After-Hours Trading
July 26, 2012
Facebook posted disappointing second-quarter results in its first earnings report since going public. The firm continues to converge to our $20 per share fair value estimate.
Colgate and Kimberly Clark Post Strong Second Quarter Results
July 26, 2012
Consumer products firms Colgate and Kimberly Clark posted strong second quarter results that showed solid organic growth and gross margin expansion. Though the share price of each firm falls within its respective fair value range, we’re keeping a close eye on both companies.
Exxon Reports Second Quarter Results
July 26, 2012
Exxon reported lower than expected second-quarter earnings as lower oil and gas prices weighed on the firm during the period. The oil and gas giant has the least attractive dividend yield among its peer group.
Precision Castparts Reports Strong Fiscal First Quarter Results; Aerospace and Power End Markets Remain Strong
July 26, 2012
Precision Castparts reported strong fiscal first-quarter results. Though the firm may face some near-term headwinds due to unexpected repairs on a couple of its forging presses, its exposure to the aerospace upswing has never been stronger.
3M Posts Record Second-Quarter Earnings; Reaffirms Outlook
July 26, 2012
3M posted solid second quarter earnings, but its underlying business segments continue to be a mixed bag. The firm’s Health Care and Industrial/Transportation segments remain quite strong, but the company’s Electro/Communications and Display/Graphics divisions continue to be pressured.
Waste Management Reports Second Quarter Results; Free Cash Flow Remains Strong
July 26, 2012
The garbage hauler continues to pull in cash at a nice pace, and restructuring plans should help offset cost headwinds.
