GIS

Clorox Faces Cash Flow Headwinds in Fiscal 1Q

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Our general takeaway after surveying calendar third-quarter results from peers Hershey (HSY), Colgate-Palmolive (CL), and Unilever (UN) was that performance in the consumer staples space was mostly positive during the third quarter and that emerging-market performance remains robust (even though Unilever toned down expectations a bit). Clorox’s (CLX) better-than-expected fiscal first-quarter results, released Thursday, did not deviate from the mostly positive newsflow. Sales expanded 2% (3.5% excluding the negative impact from currency), and the company recorded pretax profit growth of 7%. Volume for the fiscal first quarter advanced 1% thanks to gains from Professional Products, Charcoal, Laundry and Burt’s Bees offset by declines in Home Care. Gross margins were flat as cost savings and price increases mitigated higher manufacturing and logistics … Read more

Firms Raising Their Dividends In The Week Ending March 15

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We saw a number of firms raise their dividends during the week ending March 15. To access our dividend reports, please click here. Firms Raising Their Dividends This Week: Alexandria Real Estate Equities (ARE): now $0.60 per share quarterly dividend, was $0.56. Avago Technologies (AVGO): now $0.19 per share quarterly dividend, was $0.17. Capital One Financial (COF): now $0.30 per share quarterly dividend, was $0.05. CapLease (LSE): now $0.0775 per share quarterly dividend, was $0.075. Capstead Mortgage Corporation (CMO): now $0.31 per share quarterly dividend, was $0.30. Cohen & Steers (CNS): now $0.20 per share quarterly dividend, was $0.18. Discover Financial Services (DFS): now $0.20 per share quarterly dividend, was $0.14. Equity LifeStyle (ELS): now $0.50 per share quarterly dividend, was $0.4375. … Read more

Search Dividend Reports by Company Name: F to J

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Going forward, please use the ‘Symbol’ search box to download stock and dividend reports of companies you are interested in. The ‘Symbol’ search box can be found in our website header. Image shown from above. Use the active search box in the website header above. Learn more about your membership >>  Note: We have now discontinued this list. Please use the ‘Symbol’ search box in the website header for stock and dividend reports. Please read about our Valuentum Dividend Cushion score (ratio) here. Just having access to this valuable metric alone could save your income portfolio thousands of dollars! The past meets the future as we showcase the Valuentum Dividend Cushion scores of Dividend Aristocrats in this article (click here). The dividend reports below … Read more

General Mills’ Fiscal 2012 Third-Quarter Earnings Weren’t So Hot

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General Mills (GIS) posted disappointing fiscal 2012 third-quarter earnings Wednesday that showed an inability to pursue higher pricing to offset increased input costs. Though we weren’t pleased with the results, we are sticking with our $39 per share fair value estimate. The firm’s net sales advanced 13% in the quarter, though most of this growth was driven by its International Yoplait acquisition. General Mills’ gross margin fell 260 basis points in the period, while the company’s segment operating profit rose a meager 1% as significantly higher input costs year-over-year (10%-11%) and more aggressive advertising initiatives weighed on performance. On a corporate level, operating profit fell over 2%, as its operating margin contracted 170 basis points from last year’s quarter. Adjusted … Read more

General Mills Cuts 2012 Outlook; We Remain on the Sidelines

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On Friday, General Mills (GIS) said that weakness in volumes across US retail food categories in December and January will negatively impact its fiscal third-quarter results (ending in February). As we outlined in our note on the firm’s fiscal second quarter, we were less-than-impressed with the company’s performance at the time, and we suspect most of the current weakness is coming from continued reduced demand for flour, dessert mixes, canned and frozen vegetables, and yogurt. Specifically, General Mills lowered its fiscal 2012 adjusted diluted earnings per share guidance to the range of $2.53 to $2.55 (was $2.59 to $2.61 previously). We also expect the firm’s fiscal 2012 results to be negatively impacted by higher input costs and a negative mix shift … Read more

General Mills Posts Poor Fiscal Second-Quarter Results; Input Costs Represent Major Headwind

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General Mills posted fiscal second-quarter results Tuesday that showed solid sales expansion thanks primarily to its acquisition of Yoplait but modest segment operating profit growth due to higher input costs and marketing expenses. Diluted EPS, excluding non-recurring items, came in at $0.76, reflecting no growth from the same period a year ago. We are maintaining our $38 per share fair value estimate. The firm’s net sales jumped 14% thanks to higher pricing and significant volume growth from its recent acquisition of Yoplait. Revenue in General Mills’ US retail operations during the period grew a meager 3% as demand for flour, dessert mixes, canned and frozen vegetables, and yogurt waned, though higher pricing more than offset the volume declines. International sales grew … Read more

Alert: Removing Coach; Talking Buffett, Unemployment, and Stock Market Valuations

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Image Source: DonkeyHotey There are four takeaways from this piece you must know. We’re removing Coach from the Dividend Growth Newsletter portfolio, Buffett may no longer be against paying a dividend at Berkshire, US unemployment now stands at 4.4%, and market valuations remain frothy. By Brian Nelson, CFA In the financial world, Berkshire Hathaway’s (BRK.A, BRK.B) annual shareholder meeting probably received the most attention the first weekend of May, and we continue to be content with including shares of the Oracle of Omaha’s brainchild in the Best Ideas Newsletter portfolio. Mr. Buffett, however, seems to be open to more and more ideas as the years go by, with him more recently stating that he’s no longer against paying a dividend. … Read more

Top Research and Ideas You May Have Missed

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Is Quant Value Giving Intrinsic Value Investors a Bad Name? Surely, you don’t believe Warren Buffett’s “style” is out of favor? By Brian Nelson, CFA I need to make sure that you’re aware of something very important. The media and perhaps many investment professionals define the concept of “value” as companies with low price-to-book (P/B) ratios, and the concept of “growth” as companies with high price-to-book ratios. This definition of “value” and “growth” and their corresponding returns have been magnified in writings throughout the media and across quantitative research, even in prestigious journals. Warren Buffett has been rallying against most quantitative applications and how “growth” and “value” are defined in popular media and quantitative research for decades.  Here’s one of the Oracle’s most … Read more

US Congress Is Getting Ready to Pass a Massive ~$2.2 Trillion Fiscal Stimulus Bill

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Image Shown: US equities have started to recover some of their lost ground as the likelihood that the US Congress will pass a massive ~$2.2 trillion fiscal stimulus and emergency spending package, dubbed the CARES Act, has increased significantly over the past week as seen through the bounce in the SPDR S&P 500 ETF Trust (SPY). President Trump has clearly indicated that he intends to sign such a bill into law as soon as possible, with the US House of Representatives expected to take up the legislation this upcoming Friday morning on March 27. By Callum Turcan On March 25, the US Senate worked late into the night to secure a bipartisan compromise on a massive ~$2.2 trillion fiscal stimulus … Read more