Member Articles
Cisco Rallies Big Time!
Image shown: Performance of the S&P 500 (SPY) since August 2017. As US equities continue their newly-found volatility, let’s take a look at some recent earnings reports and other developments around the markets. Cisco, the workhorse of both simulated newsletter portfolios, put up a fantastic report and upped its dividend. Berkshire continues to love Apple, and we maintain the view that the 10-year Treasury rate may be the greatest determinant of how well stocks perform in the coming decades. Airlines, garbage stocks, the “gas tax,” and more. By Kris Rosemann and Brian Nelson, CFA Do you know how happy it makes us to say that Cisco (CSCO) has been a staple of both the simulated Best Ideas Newsletter portfolio and … Read more
General Motors Cuts Guidance on Higher Input Costs
Simulated newsletter portfolio idea General Motors cut its full-year guidance due to higher than expected commodity cost increases and devaluation of key currencies in South America. Peers Ford and Fiat Chrysler also lowered 2018 guidance measures following a tough second quarter for the group. By Kris Rosemann The July 25 trading session was a tough one for simulated newsletter portfolio idea General Motors (GM) as it faced meaningful external pressures on its business and lowered guidance for 2018. Greater-than-expected impacts from rising commodity prices and currency devaluations in Brazil and Argentina were the primary drivers behind the guidance cut. However, some of those pressures may be easing as President Trump has reportedly agreed to work with the European Commission in … Read more
Big Energy Earnings Roundup
Image Source: Exxon Mobil Corporation – Third Quarter 2019 Earnings Presentation By Callum Turcan In alphabetical order by ticker: COP, CVX, RDS, TOT, XOM ConocoPhillips On October 29, upstream super-independent ConocoPhillips (COP) reported third quarter earnings for 2019. Its adjusted underlying oil and gas output rose by 7% year-over-year to over 1.3 million BOE/d in the quarter. Conoco sold off most of its UK operations (through a deal announced in April 2019), which were primarily represented by mature offshore oil and gas fields and a stake in the Clair oilfield, raising approximately $2.2 billion in net cash proceeds when the deal was completed in the third quarter. That transaction will see Conoco’s upstream output move lower sequentially in the fourth … Read more
Dividend Increases/Decreases for the Week Ending November 22
Below we provide a list of firms that raised their dividends during the week ending November 22. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Agilent (A): now $0.18 per share quarterly dividend, was $0.164. American Equity (AEL): now $0.30 per share annual dividend, was $0.28. Brown-Forman (BF.B): now $0.1743 per share quarterly dividend, was $0.1660. C&F Financial (CFFI): now $0.38 per share quarterly dividend, was $0.37. ESSA Bancorp (ESSA): now $0.11 per share quarterly dividend, was $0.10. Everest Re Group (RE): now $1.55 per share quarterly dividend, was $1.40. Farmers … Read more
Dividend Increases/Decreases for the Week Ending December 13
Below we provide a list of firms that raised their dividends during the week ending December 13. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week The AES Corporation (AES): now $0.1433 per share quarterly dividend, was $0.1365. Albany (AIN): now $0.19 per share quarterly dividend, was $0.18. American Tower (AMT): now $1.01 per share quarterly dividend, was $0.95. Amgen (AMGN): now $1.60 per share quarterly dividend, was $1.45. Andersons (ANDE): now $0.175 per share quarterly dividend, was $0.17. AT&T (T): now $0.52 per share quarterly dividend, was $0.51. BlackRock Enhanced Capital&Income … Read more
Why We Like Lockheed Martin as a Defensive Dividend Growth Play
Image Source: Lockheed Martin Corporation – Third Quarter Fiscal 2019 Earnings Presentation By Callum Turcan On January 13, 2020, we announced (link here) we were making some major changes to our newsletter portfolios and that included adding major defense contractor Lockheed Martin Corporation (LMT) to the Dividend Growth Newsletter portfolio with a modest 2.5% – 3.5% weighting. Lockheed Martin is the lead contractor on the massive F-35 fighter jet program, has an expansive slate of weapon systems offerings (including the Javelin and Paragon systems), owns helicopter company Sikorsky (which sells aircraft for military, governmental, and civilian purposes), and offers a wide range of other defense related products and services (radar, sensors, etc.). The company is also the lead contractor on … Read more
CyrusOne Is a High-Quality Data Center REIT
Image Shown: CyrusOne Inc’s financials and near-term growth outlook held up well during the ongoing pandemic, all things considered. Image Source: CyrusOne Inc – Second Quarter of 2020 IR Earnings Presentation By Callum Turcan One of the newest additions to our High Yield Dividend Newsletter portfolio is CyrusOne Inc (CONE), a data center real estate investment trust (‘REIT’). Demand for data centers has been extremely strong during the ongoing coronavirus (‘COVID-19’) pandemic as employees are often working from home (driving up demand for productivity programs which in turn is driving up data consumption worldwide) while demand for data-hungry video streaming services has surged. Over the long haul, we like the outlook for the industry, and more broadly, we prefer companies … Read more
Things Are Looking Up at Cantel Medical But Many Risks Remain
Image Source: Cantel Medical Corporation – Fourth Quarter and Full Year Earnings for Fiscal 2020 IR Presentation Executive Summary: Medical device and instrument maker Cantel Medical will be a major beneficiary of recent news regarding the growing chances that a safe and viable COVID-19 vaccine will potentially get approved soon. Though the company’s financial performance has deteriorated in recent fiscal years and organic revenue has faced headwinds, the firm’s upwardly-revised guidance (particularly its sales guidance) for the first quarter of fiscal 2021 was a highly encouraging sign, and Cantel noted that the level of elective medical procedures are starting to stabilize. Its recent October 2019 acquisition of Hu-Friedy’s dental operations will put the company in a better position to compete for … Read more