Zacks Investment Research Zacks is the leading investment research firm focusing on equities earnings estimates and stock analysis for the individual investor, including stock picks, stock screening, portfolio stock tracker and stock screeners. http://so-l.ru/news/source/zacks_investment_research Tue, 23 May 2017 12:03:46 +0300 <![CDATA[Time to Buy CRM Mid Cap Value Investor Fund (CRMMX)]]> CRM Mid Cap Value Investor Fund (CRMMX) seeks long-term capital growth. CRMMX invests a major portion of its assets in equity securities of domestic and foreign companies, which are included in the Russell Midcap Value Index, which are publicly traded on a U.S. securities market.

This Mid Value product has a history of positive total returns for over 10 years. Specifically, the fund’s returns over the 3, 5 year benchmarks; 3 year 7.9% and 5 year 12%. To see how this fund performed compared in its category, and other #1 and #2 Ranked Mutual Funds, please click here.

The CRM Mid Cap Value Investor fund, as of the last filing, allocates their fund in top three major groups; Large Value, Intermediate Bond and Small Growth. Further, as of the last filing, C.R. Bard Inc, Treehouse Foods Inc and CSRA Inc were the top holdings for CRMMX.

This Zacks Rank #2 (Buy) was incepted in September 2000 and is managed by CRM Funds. CRMMX carries an expense ratio of 1.14% and requires a minimal initial investment of $2,500.

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http://so-l.ru/news/show/time_to_buy_crm_mid_cap_value_investor_fund_crmmx Tue, 23 May 2017 11:08:19 +0300
<![CDATA[Look at T. Rowe Price New America Growth Advisor Fund (PAWAX)]]> T. Rowe Price New America Growth Advisor Fund (PAWAX) seeks long-term growth of capital by investing primarily in the common stocks of U.S. growth companies. PAWAX invests at least 65% of total assets in common stocks of U.S. companies that operate in those sectors of the economy identified by T. Rowe Price as the fastest growing or having the greatest growth potential.

This Large Growth product has a history of positive total returns for over 10 years. Specifically, the fund’s returns over the 3, 5 year benchmarks; 3 year 13% and 5 year 14.2%. To see how this fund performed compared in its category, and other #1 and #2 Ranked Mutual Funds, please click here.

PAWAX’s performance, as of the last filing, when compared to funds in its category was in the top 4% over the past 1 year, and in the top 3% over the past 3 years and in the top 7% over the past 5 years.

The T. Rowe Price New America Growth Advisor fund, as of the last filing, allocates their fund in top three major groups; Large Growth, Foreign Bond and Foreign Stock. Further, as of the last filing, Amazon.com Inc, Facebook Inc and Apple Inc were the top holdings for PAWAX.

This Zacks Rank #1 (Strong Buy) was incepted in September 1985 and is managed by T. Rowe Price. PAWAX carries an expense ratio of 1.07% and requires a minimal initial investment of $2,500.

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http://so-l.ru/news/show/look_at_t_rowe_price_new_america_growth_advisor_f Tue, 23 May 2017 11:07:10 +0300
<![CDATA[Alliance Data (ADS) Down 9.8% Since Earnings Report: Can It Rebound?]]> A month has gone by since the last earnings report for Alliance Data Systems Corporation ADS. Shares have lost about 9.8% in that time frame, underperforming the market.

Will the recent negative trend continue leading up to the stock's next earnings release, or is it due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.

Alliance Data Posts In-Line Q4 Earnings, Keeps '17 View

Alliance Data Systems Corporation’s operating earnings of $3.64 per share in the first quarter of 2017 came in line with the Zacks Consensus Estimate. Earnings, however, improved year over year by a penny.

Epsilon and Card Services delivered solid performance in the quarter. However, results at LoyaltyOne were weak.

Behind the Headlines

Alliance Data’s revenues came in at $1.9 billion, up 12% year over year. The top line beat the Zacks Consensus Estimate of $1.8 billion.

Operating expenses jumped 14.6% year over year to $1.5 billion, primarily due to a rise in the cost of operations and higher provision for loan losses. Operating income improved 2.4% year over year to $352.4 million.

However, adjusted earnings before interest tax depreciation and amortization (EBITDA) were $501 million, up 2% year over year.

Segment Update

LoyaltyOne: Revenues totaled $333 million, down 6% year over year. Adjusted EBITDA declined 26% to $59 million. AIR MILES’ saw its reward miles issued and redeemed decreasing 4% each.
    
Epsilon: Revenues were $529 million in the quarter, up 7% year over year. Adjusted EBITDA increased 5% year over year to $85 million. The quarter witnessed growth in core product offerings revenues (Auto, CRM, Agency). The quarter witnessed the strongest revenue growth in five quarters.

Card Services: Revenues came in at $1 billion, up 22% year over year. Adjusted EBITDA was $331 million, up 8% year over year. Average credit card receivables, excluding amounts reclassified as assets held for sale, advanced 16% year over year to $15.7 billion. Net principal loss rates for the reported quarter were 6.3%, up 110 basis points year over year, chiefly due to account seasoning.

Financial Update

As of Mar 31, 2017, cash and cash equivalents was $1.87 billion compared with $1.86 billion as of Dec 31, 2016. At the end of the reported quarter, credit card and loan receivables, net, were $15.76 billion, down 4.7% from the prior-year period.

At the end of the quarter, debt increased 12.5% from year-end 2015 to $6.3 billion.

Capital expenditure at Alliance Data decreased 15.1% year over year to $46.6 million in the quarter.

Guidance

For 2017, the company expects revenues of $7.7 billion. Core earnings per share is projected to be $18.50, reflecting growth rate of about 10%.

How Have Estimates Been Moving Since Then?

Following the release, investors have witnessed a downward trend in fresh estimates. There has been one revision higher for the current quarter compared to two lower.

Alliance Data Systems Corporation Price and Consensus

 

VGM Scores

At this time, the stock has an average score of 'C' on both growth and momentum front. Charting a somewhat similar path, the stock was allocated a grade of 'A' on the value side, putting it in the top quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of A'. If you aren't focused on one strategy, this score is the one you should be interested in.

Based on our scores, the stock is more suitable for value investors than those looking for growth and momentum.

Outlook

While estimates have been broadly trending downward for the stock, the magnitude of these revisions indicates a downward shift. Notably, the stock has a Zacks Rank #3 (Hold). We are expecting an inline return from the stock in the next few months.


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http://so-l.ru/news/show/alliance_data_ads_down_9_8_since_earnings_repor Tue, 23 May 2017 11:02:00 +0300
<![CDATA[Rockwell Collins (COL) Up 3.1% Since Earnings Report: Can It Continue?]]> It has been about a month since the last earnings report for Rockwell Collins, Inc. COL. Shares have added about 3.1% in that time frame, outperforming the market.

Will the recent positive trend continue leading up to the stock's next earnings release, or is it due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.

Rockwell Collins Tops Q2 Earnings, Revises FY17 View

Rockwell Collins reported financial results for second-quarter fiscal 2017 (ended Mar 31, 2017). The company’s adjusted earnings per share of $1.34 surpassed the Zacks Consensus Estimate of $1.31 by 2.3%. Reported earnings also grew 3.1% from $1.30 per share earned a year ago.

Revenues

In the fiscal second quarter Rockwell Collins’ total sales were $1,342 million, which beat the Zacks Consensus Estimate of $1,330 million by 0.9%. Revenues also grew 2.4% year over year on higher sales at Government Systems and Information Management Services.

Operational Highlights

Total segment operating income during the quarter was $282 million, up 3.7% from $272 million in the year-ago quarter.

Operating margin during the quarter expanded 30 basis points (bps) year over year to 21%.

Rockwell Collins’ total research and development investment (including the increase in pre-production engineering costs) was $255 million, up 5.4%. The figure represented 19% of total quarterly sales compared with 18.5% in the year-ago period.

Segment Performance

Commercial Systems: In the quarter under review, segmental sales of $594 million were down 2.8% year over year, primarily due lower business aircraft OEM production rates.

Operating earnings for the quarter were $132 million compared with $135 in the year-ago quarter. Operating margin expanded 10 bps to 22.2%.

Government Systems: The segment reported sales of $565 million, up 5% on the back of higher simulation and training program revenues, and higher fixed-wing platform revenues.

Operating earnings for the quarter were $114 million, up 5.6% from $108 million in the year-ago period. Operating margin expanded 10 bps to 20.2% primarily driven by higher sales volume and cost-saving initiatives.

Information Management Services: Segment sales were $183 million, up from $162 million in the year-ago period on the back of double-digit growth in aviation-related sales.

Operating earnings for the quarter were $36 million, up from $29 million in the year-ago period. Operating margin was 19.7% compared with 17.9% a year ago. The increase was primarily due to higher sales volume.

Financial Condition

As of Mar 31, 2017, Rockwell Collins’ cash and cash equivalents were $281 million compared with $340 million as of Sep 30, 2016.

Long-term debt (net) was $1,354 million as of Mar 31, 2017, down from $1,374 million as of Sep 30, 2016.

Cash used for operating activities in the first six months of fiscal 2017 was $1 million, compared with $45 million a year ago.

Fiscal 2017 Guidance

Adjusted earnings per share are expected in the range of $5.95–$6.15.

The company has increased its fiscal 2017 revenue guidance in the range of $6.7–$6.8 billion compared to the prior guidance of $5.3–$5.4 billion.

Total segment operating margin is now expected to be in the band of 19%–20% compared with the previous guidance of 21%.

The company expects free cash flow in the range of $650−$750 million compared with previous guided range of $600−$700 million. Its R&D expenditure guidance is projected in the $1.05−$1.15 billion band, up from the prior $900−$950 million band.

The full-year tax rate is anticipated to be in the range of 27%–28% compared with 28%–29% guided earlier.

How Have Estimates Been Moving Since Then?

Following the release, investors have witnessed an upward trend in fresh estimates. There has been one revision higher for the current quarter, while looking back an additional 30 days, we can see even more upward momentum. There have been five moves up in the last two months. In the past month, the consensus estimate has shifted by 17.9% due to these changes.

Rockwell Collins, Inc. Price and Consensus

 

VGM Scores

At this time, the stock has a poor Growth Score of 'F', however its Momentum is doing a lot better with a 'C'. Following the exact same course, the stock was allocated also a grade of 'C' on the value side, putting it in the middle 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of 'D'. If you aren't focused on one strategy, this score is the one you should be interested in.

Zacks' style scores indicate that the company's stock is suitable for value and momentum investors.

Outlook

While estimates have been trending upward for the stock, the magnitude of this revision looks promising. It comes with little surprise that the stock has a Zacks Rank #1 (Strong Buy). We are expecting an above average return from the stock in the next few months.


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Rockwell Collins, Inc. (COL): Free Stock Analysis Report
 
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Zacks Investment Research]]>
http://so-l.ru/news/show/rockwell_collins_col_up_3_1_since_earnings_repo Tue, 23 May 2017 11:00:00 +0300
<![CDATA[Almost There]]> Stocks started the week with a third straight day of gains, as it continues to climb out of last Wednesday’s selloff. The major indices are not there yet, but a couple more days on the plus side should do it and put to rest one of the most hysterical plunges we’ve seen in a while.

For now, President Trump’s overseas trip has progressed without controversy and today the Chicago Fed National Activity Index reached its highest level in more than 2 years. In the absence of any obstacles, the market was able to move higher on Monday. The S&P climbed 0.52% to 2394, the Dow advanced 0.43% to 20,894.8 and the NASDAQ increased 0.82% to 6133.62.

The portfolios had several double-digit winners on Monday, led by a more than 50% profit for a position in Zacks Counterstrike. Momentum Trader, Black Box Trader and Insider Trader also sold stocks for strong returns. There were seven buys among the editors as well. Learn about it all below:

Today's Portfolio Highlights:

Zacks Counterstrike: The portfolio has already pulled double-digit profits out of Applied Optoelectronics (AAOI) twice in recent weeks, and today Jeremy decided to close out the position as it nears the $70 price target. This stock has been really good to the portfolio, but it has moved so high and seems due for one of its vicious pullbacks. The editor would be willing to get back in at a lower price down the road. For now though, he’ll just enjoy the 52.5% return.

Momentum Trader: For the second time in the past six months, the portfolio is getting a 20%+ winner out of Advanced Energy Industries (AEIS). The first time was back in December for a nearly 21.5% profit. Today, Dave wants to take a little risk off the table, so he sold half of this semiconductor manufacturing technology company for a 24.4% gain. But he’s holding onto the other half in case it continues to run higher.

Black Box Trader: The portfolio had a couple nice winners in this week’s adjustment, which included four swaps in all. The sold stocks were:

• Weight Watchers (WTW, +15.9%)
• KB Home (KBH, +8.5%)
• Cigna Corp. (CI)
• Pilgrim's Pride (PPC)

The two new additions that replaced these names are:

• The Carlyle Group (CG)
• Platform Specialty (PAH)
• Performance Food Group (PFGC)
• Ultra Clean Holdings (UCTT)

Read the Black Box Trader’s Guide to learn more about this computer-driven service designed to take the emotion out of investing.

Insider Trader: Who knew avocados could be so profitable? Tracey did, which is why she bought Calavo Growers (CVGW) a little more than two months ago. The stock is up approximately 13% for the portfolio, and the editor thought it was time to bank that return on such a volatile stock ahead of its June 5th report. Remember, last time CVGW missed expectations and the shares got hammered. Plus, she wanted to make some room for a new buy...

The portfolio is moving from a fruit (yes, an avocado is a fruit) to fast food with its new addition of Yum China (YUMC), the Yum! Brands (YUM) spin-off that operates more than 7000 KFC and Pizza Huts in China. Shares are hitting new highs after a solid first-quarter report amid an improving Chinese economy, but that didn’t stop the Chief Legal Officer and a Director from buying shares on May 17. Tracey likes to see insiders buying at new highs because it means that they are especially bullish that the good times will continue. She added it with an approximately 8% allocation.

Healthcare Innovators: Shares of Johnson & Johnson (JNJ) are consolidating after moving higher in the wake of its Invokana update. Kevin saw this as a perfect time to add this well-known healthcare staple to the portfolio, especially after it announced a 5-year plan to release 10 “blockbuster” launches. The market has been pretty slow to react to such a bold plan, but the editor won’t make that mistake. Read the complete commentary for a lot more on this new addition.

Home Run Investor: Shares of HubSpot (HUBS) have gotten a bit oversold as it drifts below $70, leaving Dave with a great opportunity to add this inbound marketing software platform to the portfolio. The editor was most impressed with the company’s revenue growth, which came to 57% in 2015, 48.9% in 2016 and 32.16% this year. Read more in the full write-up and get ready for another buy on Wednesday morning.

Zacks Confidential: “If a picture is worth a thousand words, then the right stock chart can be worth thousands of dollars (or more)!” So says Kevin Matras, who incorporates the Zacks Rank in his methodology to find the “right” chart. He’s been very successful in this regard, so Steve gave him the Zacks Confidential this week to show how it’s done. Learn how to use chart patterns and get three stocks that look ready to breakout: Finding Breakout Stocks: Seeing is Believing.

Have a Good Evening,
Jim Giaquinto

Recommendations from Zacks' Private Portfolios:

Believe it or not, this article is not available on the Zacks.com website. The commentary is a partial overview of the daily activity from Zacks' private recommendation services. If you would like to follow our Buy and Sell signals in real time, we've made a special arrangement for readers of this website. Starting today you can see all the recommendations from all of Zacks' portfolios absolutely free for 7 days. Our services cover everything from value stocks and momentum trades to insider buying and positive earnings surprises (which we've predicted with an astonishing 80%+ accuracy). Click here to "test drive" Zacks Ultimate for FREE >>

 
Zacks Investment Research]]>
http://so-l.ru/news/show/almost_there Tue, 23 May 2017 08:21:00 +0300
<![CDATA[Uber News: Pittsburgh Woes, Pool Update, New Prices]]> Uber is seemingly in the news every day as the ridesharing powerhouse conquers more and more of the taxicab market and pushes forward with its driverless car technology. Today, we will take a look at three of the latest noteworthy Uber issues.

Pittsburgh Problems

Uber began testing its driverless car program in Pittsburgh, Pennsylvania in September. Now, after initially being accepted by the mayor and the city, Uber might be done testing its new futuristic technology in Pittsburgh. The New York Times first reported Sunday night that the slowly deteriorating relationship between Uber and Pittsburgh might be coming to a close based on a continuing string of issues.

For one, Travis Kalanick’s company backed out of Pittsburgh’s $50 million application for a federal transportation grant. Uber has also started charging for the driverless practice rides it originally promised would be free. And maybe more importantly, Steel City officials and residents feel Uber didn’t make good on its promise to bring jobs to the city.

In response to the allegations that the company is failing to pull its weight, Uber told the New York Times that it has created 675 jobs in the area, while also having contributed to local organizations.

Uber also reportedly became an issue in the city’s recent mayoral primary election, where incumbent mayor and early Uber supporter Bill Peduto won easily.

Pool Updates

Uber announced on Monday that is has updated the “Pool” version of its ridesharing service, which aims to have riders pay less by sharing trips with other Uber users headed in the same direction. However, the company’s cheapest version rarely saves passengers or drivers any time.

Last year, the company updated its app’s algorithms in Manhattan to ask riders to walk a bit in order to save more trip time overall. The hope was to have all of the Pool passengers be picked up on the same street, much like a public bus system. Now, the updated version of Pool, which is being tested in New York, will tell riders in the city’s jam-packed business hub to “choose the best nearby corner for a rider to walk to.”

Uber’s new service will pick people up past a light on the right-hand side of the road, which, according to the company, makes it easier to pick up multiple passengers without the need to change lanes. The company said it will also factor in where bus lanes are located on more crowded streets.

The company wants to cut down on the zigzagging hassle Uber Pool can present to both drivers and passengers by holding off on determining a pick up location. According to the statement, Uber has “improved our algorithm to cut down the number of turns for each mile driven by 20%. We’re also making matches that avoid detours and enable drivers to stay on avenues for more direct routes.”

Uber Charges What It Thinks Passengers Will Pay

In a recent Bloomberg article, Uber’s newest money-making tactic was revealed—and the company made sure its drivers didn’t also collect.

Uber’s new “route-based pricing” will charge customers not based on mileage, time, traffic, and demand as it normally does. Instead, Uber charges riders what its’ algorithms predict they are willing to pay. Uber’s head of product development Daniel Graf said the company now uses machine-learning to determine how much a customer would be willing to pay based on socioeconomic factors.

The basic idea is that Uber will charge someone more who is traveling from a rich neighborhood to another wealthy part of town than a person going to a poorer part of town.

Head here for a more in-depth look at Uber’s competition, controversy, and the possibility of a 2017 IPO.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/uber_news_pittsburgh_woes_pool_update_new_price Tue, 23 May 2017 02:02:00 +0300
<![CDATA[Top Research Reports for Altria, Chevron, Kraft-Heinz & Time Warner]]> Monday, May 22, 2017

The Zacks Research Daily presents the best research output of our analyst team. Today’s publication features new research reports on 16 major stocks, including Chevron (CVX), Altria (MO), Kraft-Heinz (KHC) and Time Warner (TWX). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today. Y

ou can see all of today’s research reports here >>>

Chevron started 2017 on a bullish note. It not only swung to a Q1 profit from a year-ago loss, but results handily beat estimates on the back of rebounding commodity prices, lower expenses and an improved U.S. refining environment. Following outperformance in 3 of the last 4 quarters, the stock has performed about in-line with the Zacks Integrated Oil Industry over the past year (up about +7%), but handily outperformed ExxonMobil which saw its stock go down -8.6% over the same time period. However, with oil testing the psychologically-critical $50 threshold again, the near-to-medium term revenue outlook for Chevron – one of the most oil-weighted majors – remains cloudy. Moreover, Chevron is still outspending its cash flow, making it dependent on asset sales. Hence, the Zacks analyst thinks investors should wait for a better entry point before buying shares in America's second largest oil company. (You can read the full research report on Chevron here >>>)

Altria shares have lagged the Zacks Tobacco industry in the year-to-date period, with the stock up +6.5% vs. the peer group’s +15.8% gain. The company’s weaker than expected Q1 quarterly results have added to its under-performance. Altria, the U.S.-based entity whose international sibling is Phillips Morris International (PM), is operating in a mature and heavily regulated market that has been undergoing consistent volume declines over the last many years. But the strength of Marlboro brand and a solid portfolio or low-risk smokeless tobacco products positions it to profitably navigate this market. Further, the recent takeover of SABMiller by Anheuser-Busch InBev's helped Altria maximize the value of its SABMiller investment. An attractive dividend, currently yielding 3.4%, is a notable part of this story as well. (You can read the full research report on Altria here >>>)

Kraft Heinz shares remained relatively subdued this year, gaining only +3.4% year to date. Kraft Heinz's first-quarter earnings and revenues fell short of expectations. Notably, the company’s sales have now declined in four of the past five quarters. The Zacks analyst stresses that Kraft Heinz has been struggling due to the shift in consumer preference toward natural and organic ingredients over packaged and processed food. That said, strong brand portfolio, cost savings initiatives, innovation and marketing efforts raise growth prospects for the company. (You can read the full research report on Kraft Heinz here >>>)

Time Warner share have handily outperformed the broader market as well as the media space (the stock is up more than +35.4% over the last one year) on greater appreciation for the company's proactive strategic initiatives in response to the evolving media landscape. This trend is also borne out by its positive earnings surprise streak for more than 20 straight quarters. Investments in video content and technology continued to show results. Further, Time Warner’s significant international presence has helped broaden client base and product portfolio. Additionally, investments in programming, production and marketing, along with focus on operating and capital efficiencies augur well. However, decline in overall advertising spending and currency headwinds may adversely impact performance. On the other hand, AT&T has agreed to acquire Time Warner in an $85.4 billion deal, which is expected to be concluded by the end of the year. (You can read the full research report on Time Warner here >>>)

5 Trades Could Profit "Big-League" from Trump Policies
If the stocks above spark your interest, wait until you look into companies primed to make substantial gains from Washington's changing course.

Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>

Sheraz Mian

Director of Research

Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>

Today's Must Read
Featured Reports

Equity Residential (EQR) Q1 FFO in Line, Supply Woes Linger

The Zacks analyst thinks Equity Residential is expected to gain from favorable demographic trends and portfolio-repositioning moves, but high apartment supply is likely to weigh on rental rates.

Alexion (ALXN) Beats Earnings & Sales in Q1, Soliris Strong

The covering analyst thinks while Soliris should do well, investor focus should be on the development of ALXN1210.

Delta (DAL) Hikes Dividend, Unveils New Buyback Plan

The Zacks analyst likes Delta's recent investor-friendly moves. The company's strong April traffic report also raises optimism.

Valero Energy (VLO) Q1 Earnings & Revenues Beat Estimates

The covering analyst agrees that higher throughput margin led Valero Energy to post strong results in Q1. However, we are concerned with the considerable rise in total expenses for the quarter.

Manulife's (MFC) Q1 Earnings Improve on Asia Business Growth

Manulife's first-quarter 2017 core earnings increased year over year on higher core investment gains, in-force and new business growth in Asia and improved wealth and asset management businesses.

Cognizant (CTSH) Grows on Strategic Efforts, Risks Persist

Though risks remain, the covering analyst believes its sustained focus on expanding digital capabilities and strategic partnership will continue to drive growth.

HCA Healthcare (HCA) Grows Inorganically, Commercial a Drag

The Zacks analyst thinks a number of buyouts have generated growth, and HCA's massive diversified business and size are other positives.

New Upgrades

Eastman Chemical (EMN) Poised To Gain From Acquisitions

The Zacks analyst is impressed with Eastman Chemical's focus on cost-cutting and productivity actions amid a challenging operating environment. The company will also gain from strategic acquisitions.

Edwards Lifesciences (EW) Up on Strong Q1, THV Raises Hope

The covering analyst thinks Edwards Lifesciences is trading ahead of the broader industry on strong Q1. The narrowed 2017 guidance indicates this bullish trend to continue through the coming days.

Catalyst (CPRX) Posts In Line Loss in Q1, Focusses on Firdapse

Catalyst posted loss in line with the estimates in Q1. Per the Zacks analyst, Catalyst's efforts to develop Firdapse appear encouraging given the significant commercial potential in the target markets

New Downgrades

Jack in the Box (JACK) Riddled with Issues Despite Decent Q2

A reduced fiscal 2017 outlook due to a challenging restaurant environment and poor performance of the Qdoba brand raises concern for Jack in the Box despite decent Q2 results, per the Zacks analyst.

CF Industries (CF) Hurt by Pricing Pressure & High Debt

The Zacks analyst believes that the revenues of CF Industries will be hurt by pricing pressure as well as headwinds in agricultural market. Also, its high debt level poses considerable financial risk.

Sun Life Financial's (SLF) High Expenses Raise Concerns

The covering analyst believes that Sun Life Financial's escalating expenses will continue to restrict margin expansion.


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Time Warner Inc. (TWX): Free Stock Analysis Report
 
Altria Group (MO): Free Stock Analysis Report
 
The Kraft Heinz Company (KHC): Free Stock Analysis Report
 
Chevron Corporation (CVX): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
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http://so-l.ru/news/show/top_research_reports_for_altria_chevron_kraft_he Tue, 23 May 2017 01:20:00 +0300
<![CDATA[The Most Spectacular Retail Earnings Charts]]>

Earnings season is winding down but there are still a lot of prominent retailers reporting this week.

If you thought all the retailers except Amazon were failing, you thought wrong. This group of 5 companies represent some of the best earnings charts on Wall Street.

Each of these companies is at, or near, its 52-week highs. Additionally, several have perfect or nearly perfect earnings surprise records going back 5 years.

It’s not easy to beat earnings every quarter for years and these retailers are also in a tough industry.

There’s a lot of change going on in retail right now. It’s worth tuning in on these earnings report to find out how these earnings all-stars are winning at a difficult game.

Retail Stocks with Spectacular Earnings Charts

1.    Lowe’s LOW is trading near 5 year highs even though it has some misses in its track record. Competitor Home Depot had a very solid report. Many are expecting Lowe’s to follow suit.

2.    Best Buy BBY was called the “Amazon showcase” just a few years ago. But it has turned it around. Look at that chart. New 5-year highs. How are they able to do it? It’s a great retail success story.

3.    Burlington Stores BURL hasn’t missed since its 2013 IPO. Off-priced retail has been strong but there were some chinks in the armor this quarter with competitors. Will Burlington see any weakness?

4.    Costco COST is near 5-year highs even though it has missed two quarters in a row. It still has a loyal global following and a management team that seems to know just what the customer wants.

5.    Ulta Beauty ULTA keeps blowing past expectations but how long can it keep up this torrid pace? It has the best same-store-sales comps in the business. But shares are priced for perfection. Watch guidance.

Want to Learn How to Trade Options?

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[In full disclosure, Tracey owns shares of ULTA in her personal portfolio.]

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Lowe's Companies, Inc. (LOW): Free Stock Analysis Report
 
Best Buy Co., Inc. (BBY): Free Stock Analysis Report
 
Costco Wholesale Corporation (COST): Free Stock Analysis Report
 
Burlington Stores, Inc. (BURL): Free Stock Analysis Report
 
Ulta Beauty Inc. (ULTA): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/the_most_spectacular_retail_earnings_charts Tue, 23 May 2017 01:19:00 +0300
<![CDATA[Novartis' (NVS) Lung Cancer Drug Gets Positive CHMP Opinion]]> Novartis NVS recently announced that the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) has recommended the approval of a label expansion of Zykadia (ceritinib) to include the first-line treatment of patients with advanced non-small cell lung cancer (NSCLC) whose tumors are anaplastic lymphoma kinase (ALK)-positive.

Upon approval, Zykadia will provide a new treatment option for previously untreated and newly diagnosed patients with ALK-positive advanced NSCLC.

Novartis’ has outperformed the Zacks classified industry year to date. The stock has rose 11.5% compared with the Large Cap Pharmaceuticals industry’s gain of 8.6%.

We note that Zykadia is currently approved in the European Union (EU) for the treatment of adult patients with ALK-positive advanced NSCLC previously treated with crizotinib.

The European Commission will take the CHMP recommendation while reviewing the application but is not bound by it. A decision from the EC is expected within two months.

Earlier in the year, the FDA granted Zykadia Breakthrough Therapy designation for first-line treatment of patients with ALK-positive NSCLC with metastases to the brain. The application is under priority review in the U.S.

In Oct 2016, the FDA approved Merck & Co., Inc.’s MRK Keytruda for the treatment of patients with metastatic NSCLC whose tumors express PD-L1 as determined by an FDA-approved test. The approval was the first FDA approval of a checkpoint inhibitor for first-line treatment of lung cancer.

We remind investors that Novartis broadened its oncology portfolio by acquiring GlaxoSmithKline plc’s GSK certain oncology products and pipeline compounds in Mar 2015 after having divested its Animal Health Division to Eli Lilly and Company LLY.

Going forward, we expect approval of new drugs and label expansion of existing ones to bode well for Novartis. Also, strong performance of growth products should be able to offset the impact of generic competition for Gleevec.

Zacks Rank

Novartis currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Eli Lilly and Company (LLY): Free Stock Analysis Report
 
Novartis AG (NVS): Free Stock Analysis Report
 
GlaxoSmithKline PLC (GSK): Free Stock Analysis Report
 
Merck & Company, Inc. (MRK): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/novartis_nvs_lung_cancer_drug_gets_positive_chm Tue, 23 May 2017 00:53:00 +0300
<![CDATA[Top Stock Picks of the Week for May 22: WYNN & RRGB]]>

Wynn Resorts (WYNN) is cashing in on the hot economy in both Las Vegas and Macau as consumers spend more on leisure and entertainment. Estimates for 2017 have started to turn higher on this Zacks Rank #1 (Strong Buy) and are moving even higher still for 2018. Could a resurging China boost numbers further?

Red Robin Gourmet Burger (RRGB) surprised on its last earnings report by seeing positive same-store-sales growth as some of its value meals boosted the quarter. It’s slowly rolling out delivery and curbed side service at its 500 restaurants. Estimates are on the move higher for 2017 and 2018. It’s a Zacks Rank #1 (Strong Buy) as well. Are the restaurants about to make a comeback?

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Wynn Resorts, Limited (WYNN): Free Stock Analysis Report
 
Red Robin Gourmet Burgers, Inc. (RRGB): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/top_stock_picks_of_the_week_for_may_22_wynn_rrg Tue, 23 May 2017 00:35:00 +0300
<![CDATA[Oceaneering's (OII) Inspection Agreement Extended by Statoil]]> Oilfield services provider Oceaneering International, Inc. OII recently announced that it has secured a three-year extension from Norwegian oil and gas company Statoil ASA STO for one of its oilfield business segments, Asset Integrity.

The agreement will grant Oceaneering the opportunity to develop and implement programs for inspection and maintenance for 14 Statoil facilities. The onshore and offshore facilities are located in Norway.

Programs' Specifications

Per Oceaneering, the programs that will be offered to Statoil will comprise the evaluation and reporting of integrity status and corrective measures. The programs will also cover non-destructive testing, video inspection, and measurement of vibration, thermography, and inspection of the heat exchanger.

According to Oceaneering, the extension of the Frame Agreement by Statoil reflects the solid long-term relationship between the companies. The deal also indicates Statoil’s confidence on Oceaneering's ability to offer secure, reliable, and efficient services. We expect the extension to boost Oceaneering’s earnings and help it turnaround from a net loss of $7.5 million, as reported in the first quarter of 2017.

The agreement also provides Statoil the option to include other fields to the work scope.

About the Company

Oceaneering is an advanced applied technology company that provides engineered services and hardware to customers who operate in marine, aerospace, and other harsh environments. The company supplies a broad range of integrated technical services to a wide array of industries and is one of the world's largest underwater services contractors. The company is headquartered in Houston, TX.

Price Performance

Oceaneering operates in the Zacks categorized Oil and Gas - Field Servicesindustry. The company’s shares have gained 4.92% over the last one month compared with the industry’s decrease of 1%.

Zacks Rank and Stocks to Consider

Oceaneering presently has a Zacks Rank #3 (Hold). Some better-ranked stocks in oil and energy sector include Delek US Holdings, Inc. DK and Canadian Natural Resources Ltd. CNQ. Both of these stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Delek US Holdings’ sales for the current year are expected to increase 73.24% year over year. The company recorded a positive average earnings surprise of 60.68% in the last four quarters.

Canadian Natural Resources’ sales for the current quarter are expected to increase 24.11% year over year. The company recorded a positive earnings surprise of 30.77% in the first quarter of 2017.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Delek US Holdings, Inc. (DK): Free Stock Analysis Report
 
Canadian Natural Resources Limited (CNQ): Free Stock Analysis Report
 
Oceaneering International, Inc. (OII): Free Stock Analysis Report
 
Statoil ASA (STO): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/oceaneering_s_oii_inspection_agreement_extended Mon, 22 May 2017 23:54:00 +0300
<![CDATA[What's in Store for Pure Storage (PSTG) in Q1 Earnings?]]> Pure Storage Inc. PSTG is set to release its first-quarter fiscal 2018 earnings on May 24. In the last quarter, the company reported a positive earnings surprise of 12.5%. We note that the company has delivered positive surprises in three of the last four quarters resulting in an average positive surprise of 9.57%.

The company reported non-GAAP net loss of 21 cents per share (including stock-based compensation) in the fourth quarter of fiscal 2017, narrower than the Zacks Consensus Estimate of a loss of 24 cents.

Total revenue was $227.9 million, which was up a significant 51.7% year over year and ahead of the Zacks Consensus Estimate of $224 million.

However, improving results failed to provide significant momentum to the share price. We note that Pure Storage has underperformed the Zacks Computer- Storage Devices industry on a year-to-date basis. While the industry gained 14.8%, the stock has declined 12.1% over the same period.



Let’s see how things are shaping up for this announcement.

Factors to Consider   

The company’s FlashArray line of products has gained substantial traction in both the local and state level data center environments. However, Morgan Stanley’s recent report on Pure Storage suggests that the company’s FlashBlade as well as newly introduced products may have not witnessed a remarkable run in the to-be-reported quarter.

According to Morgan Stanley, increased competition in the low-end market has slowed down Pure Storage’s revenue growth. Notably, the company’s revenue growth rate forecast of 22% to 28% for the first quarter is much lower than over 50% growth rate witnessed for the last several quarters.

Furthermore, the company focuses on research and development, primarily upgrading its existing products, while also developing new ones. The costs incurred for these upgrades and innovations can be a drag on the company’s income in the to-be-reported quarter.

Nevertheless, we note that the recent launch of the company’s first all-NVMe, enterprise-class all-flash array, should have a positive impact in the to-be-reported quarter’s top-line performance.

Earnings Whispers?

Our proven model does not conclusively show that Pure Storage is likely to beat earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here, as you will see below.

Zacks ESP: Pure Storage’s Earnings ESP is 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate are pegged at a loss of 38 cents per share. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
 

Pure Storage, Inc. Price and EPS Surprise

Pure Storage, Inc. Price and EPS Surprise | Pure Storage, Inc. Quote

Zacks Rank: Pure Storage carries a Zacks Rank #3, which when combined with a 0.00% ESP makes surprise prediction difficult.

We caution against stocks with a Zacks Rank #4 and 5 (Sell-rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.

Stocks to Consider

Here are some companies that, as per our model, have the right combination of elements to post an earnings beat in their upcoming quarter:

Applied Materials, Inc. AMAT with an ESP of +2.47% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Angie's List, Inc. ANGI with an Earnings ESP of +33.33% and a Zacks Rank #1.

Allied Motion Technologies, Inc. AMOT with an Earnings ESP of +6.45% and a Zacks Rank #3.


Zacks' 2017 IPO Watch List    

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth.

Download this IPO Watch List today for free >>


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
 
Pure Storage, Inc. (PSTG): Free Stock Analysis Report
 
Angie's List, Inc. (ANGI): Free Stock Analysis Report
 
Allied Motion Technologies, Inc. (AMOT): Free Stock Analysis Report
 
Applied Materials, Inc. (AMAT): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/what_s_in_store_for_pure_storage_pstg_in_q1_earn Mon, 22 May 2017 23:52:00 +0300
<![CDATA[Astrazeneca (AZN) Gets Positive CHMP Opinion for Brodalumab]]> Astrazeneca PLC AZN and its partner LEO Pharma received a positive opinion from the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA). The Committee recommended the approval of brodalumab for the treatment of adult patients with moderate-to-severe plaque psoriasis who are candidates for systemic therapy. We note that the CHMP’s positive opinion on brodalumab will be reviewed by the European Commission.

Brodalumab is a human monoclonal antibody that binds to the interleukin-17 (IL-17) receptor and inhibits inflammatory signaling by blocking the binding of several types of IL-17 to the receptor. Also, it prevents the body from receiving signals that may lead to inflammation.

Astrazeneca’s shares are up 24% year to date, comparing favorably with an increase of 8.6% witnessed by the Zacks classified Large-Cap Pharma industry.

Notably, the recommendation follows the FDA approval received in Feb 2017 and the approval by the Japanese Pharmaceuticals and Medical Devices Agency, in 2016. In Feb 2017, Astrazeneca and its partner Valeant Pharmaceuticals VRX received approval for brodalumab under the brand name Siliq injection for the treatment of adult patients with moderate-to-severe plaque psoriasis who are candidates for systemic therapy or phototherapy and have failed to respond or have lost response to other systemic therapies.

In fact, LEO Pharma has exclusive rights to develop and commercialize brodalumab in Europe. Additionally, Valeant Pharmaceuticals has the exclusive license to develop and commercialize the antibody, except in Europe, Japan and certain other Asian countries where rights are held by Kyowa Hakko Kirin Co., Ltd through an agreement with Amgen AMGN.

Zacks Rank & Stocks to Consider

Astrazeneca currently has a Zacks Rank #3 (Hold). A better-ranked stock in the health care sector includes VIVUS, Inc. VVUS sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

VIVUS’ loss per share estimates narrowed from 50 cents to 39 cents for 2017 over the last 60 days. The company posted positive earnings surprises in all of the four trailing quarters, with an average beat of 233.69%.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time. One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Astrazeneca PLC (AZN): Free Stock Analysis Report
 
VIVUS, Inc. (VVUS): Free Stock Analysis Report
 
Amgen Inc. (AMGN): Free Stock Analysis Report
 
Valeant Pharmaceuticals International, Inc. (VRX): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/astrazeneca_azn_gets_positive_chmp_opinion_for_b Mon, 22 May 2017 23:46:00 +0300
<![CDATA[Dow Chemical Inks Coatings, Silicones Deals in Saudi Arabia]]> The Dow Chemical Company DOW inked two agreements that will help it to advance innovation and strategic agenda in the Kingdom of Saudi Arabia (“KSA”). The deals will bring state-of-the-art manufacturing technologies to KSA, supporting the Kingdom’s Vision 2030 for advanced manufacturing development plan and economic diversification.

Per one of the agreements, Dow will construct advanced manufacturing facilities to produce varied range of water-treatment applications and polymers for coatings. The proposed investment also includes feasibility study of the proposed investment in the company’s Performance Silicones franchise.

The coating facility, located in PlasChem Park in Jubail, will address the needs of the Saudi Arabian market with an innovative range of acrylic-based polymers for water-treatment, industrial and architectural coatings and detergent applications. The facility will complement Dow’s existing coating capacities in the Middle-East, including Dubai, Jebel Ali and United Arab Emirates.

The proposed silicones investment includes construction of a fully integrated high performance silicones and world-scale siloxanes complex. The products manufactured from these utilities are aimed at industries and markets like personal and home care, solar energy, high performance building and construction, automotive, medical devices, and oil and gas.

The project, upon completion, will support the economic impact of KSA through creation of roughly 350 full-time technology jobs. The investment will also open up about 1,000 jobs during the peak construction season. It will also create about 100 high-skilled and full-time operational jobs in the Kingdom that will support sustainable economic growth and ramp up domestic manufacturing.

Dow has been long-term strategic partner in Saudi Arabia for almost 4 decades. It is also the largest foreign investor in the country. Dow became the first company to obtain trading license from the Government of Saudi Arabia, permitting full ownership in the trading sector.  

Dow maintains several joint ventures in the region including Saudi Arabian Oil Company (Saudi Aramco) and Sadara Chemical Company. Sadara is one of the world’s largest integrated chemical facilities comprising of 26 manufacturing units, of which 19 units are either in start-up or operating mode. The deal will integrate the former Dow Corning silicones business into Dow, accelerating the development of new hybrid materials and unique technologies for regional-specific needs.

Dow’s shares have declined 3.3% in the last three months, underperforming the Zacks categorized Chemicals-Diversified industry’s dip of 0.3%.



Dow topped earnings expectations in first-quarter 2017, on the back of cost-cutting and productivity actions and continued focus on consumer-driven markets. The company is witnessing strong demand across major consumer-focused markets such as packaging, infrastructure, transportation and consumer care, which is contributing to volume and earnings growth.

However, Dow is exposed to currency headwinds and the company sees an impact of 3–6 cents per share from headwind associated with foreign exchange translation in second-quarter 2017. This is expected to largely offset the benefits from productivity actions.

 
Dow currently carries a Zacks Rank #3 (Hold).

Stocks to Consider

Better-ranked companies in the basic materials space include Kronos Worldwide Inc. KRO, Methanex Corp. MEOH and ArcelorMittal MT. All the three stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.

Kronos has an expected long-term earnings growth of 5%.

Methanex has an expected long-term earnings growth of 15%.

ArcelorMittal has an expected long-term earnings growth of 11.5%.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Dow Chemical Company (The) (DOW): Free Stock Analysis Report
 
Methanex Corporation (MEOH): Free Stock Analysis Report
 
Kronos Worldwide Inc (KRO): Free Stock Analysis Report
 
ArcelorMittal (MT): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/dow_chemical_inks_coatings_silicones_deals_in_sau Mon, 22 May 2017 23:43:00 +0300
<![CDATA[Sanofi Wins Favorable CHMP Opinion for Biosimilar Humalog]]> Sanofi SNY recently announced that the European Medicines Agency’s (EMA) Committee for Medicinal Products for Human Use (CHMP) has given a positive opinion, recommending marketing approval to a biosimilar version of Eli Lilly & Company’s LLY Humalog (insulin lispro). The biosimilar candidate was submitted for approval in EU in Sep 2016.

Please note that a final decision from EU on the marketing authorization for Insulin Lispro Sanofi is expected in the coming months.

Shares of Sanofi have outperformed the Zacks classified Large Cap Pharma industry so far this year. The stock has gained 21.9% during the period, while the broader industry witnessed an increase of 8.6%.



Coming back to the latest news, the positive opinion was supported by data from a pharmacokinetic phase I study and two multi-center phase IIIa studies (SORELLA 12 and SORELLA 2). While the phase I study evaluated the product’s similarity in exposure and activity compared to Humalog, the phase III studies were designed to evaluate the safety and efficacy compared to Humalogd. The studies were conducted in more than 1,000 adults with type I or type II diabetes.

We remind the investors that Sanofi’s Diabetes franchise is under pressure with key product, Lantus, facing increasing competition at the payor level. The drug is also exposed to biosimilar competition in several European markets. Moreover, Lilly’s Basaglar, a follow-on insulin glargine product of Lantus entered the U.S. market in Dec 2016. Sanofi expects its global Diabetes sales to decline 4–8% annually (at constant exchange rates) over 2015–2018.

During the first-quarter 2017 conference call, management warned that the U.S. diabetes franchise sales will decline faster through the rest of the year. The Diabetes franchise (including emerging markets) declined 6% to €1.66 billion in the first quarter of 2017. The decrease is anticipated due to exclusion from the UnitedHealth Group Inc. UNH formulary plans, which started on Apr 1, 2017 as well incremental effect from the CVS Health Corp. CVS formulary exclusion.

Zacks Rank

Sanofi currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Sanofi (SNY): Free Stock Analysis Report
 
Eli Lilly and Company (LLY): Free Stock Analysis Report
 
UnitedHealth Group Incorporated (UNH): Free Stock Analysis Report
 
CVS Health Corporation (CVS): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/sanofi_wins_favorable_chmp_opinion_for_biosimilar Mon, 22 May 2017 23:38:00 +0300
<![CDATA[Here's Why Avis (CAR) Stock Jumped 7% Today]]> Shares of Avis Budget Group, Inc. CAR have popped on Monday amid news that the rental car company will push heavily into the world of connected vehicles.

The Parsippany, New Jersey-based company today announced its plans to outfit 50,000 more rental vehicles with new technology. Avis hopes to double its number of “connected cars” by early 2018. “This investment will bring the total of connected cars in the Avis fleet to nearly 100,000,” Avis chief innovation officer Arthur Orduña said in a press release.

“It will also ensure that we remain at the forefront of our industry and will bring us one step closer to realizing what we believe is the future of car rental for our customers.”

Avis’ stock jumped 7.02% in early afternoon trading on Monday. The rental car company’s new connected vehicle plan aims to help improve maintenance and fuel concerns. The connected car agenda also hopes to make pick ups and returns much more simple.

According to an Avis’ statement, the connected vehicle push aims to shorten wait times by enhancing “vehicles’ maintenance needs so that they are addressed promptly and prior to vehicles being rented; fuel consumption measured to the tenth of a gallon for more precise customer billing; mileage readings at the start and end of each rental for a faster experience.”

Avis’s new fleet of connected cars will also allow drivers to make “one-touch returns,” receive instant email receipts, and unlock and lock vehicles via the company’s mobile app. On top of these updates, customers will be able to use Avis’ app to make more precise and quick rentals while at an Avis location.

Tough Times

Shares of Avis have fallen off a cliff since December 2014 when the company’s stock was trading near its all-time high of $66.33 per share. Avis’ outlook doesn’t seem to be getting much better recently. On May 12, Avis president and CFO David B. Wyshner resigned just over a week after the company posted less than stellar first quarter earnings

Avis missed both Zacks Consensus Estimates for revenue and earnings last quarter. The company reported a loss of $0.94 per share, which was well below our estimate of a loss of $0.51 per share. Avis’ revenues were down 2% year-over-year and it posted a net loss of $107 million.

The dismal first quarter earnings report has led to the company to fall to a Zacks Rank #5 (Strong Sell). And Avis might be positioned to slump even further this year.

With competition from ridesharing companies such as Uber along with Avis’ high prices, the car rental company might need more than speedier mobile-based check out times to turn things around.

If you want know more about Ford’s (F) new push towards connected vehicles, read here: Everything You Need to Know About Ford's New CEO

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Avis Budget Group, Inc. (CAR): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/here_s_why_avis_car_stock_jumped_7_today Mon, 22 May 2017 23:30:00 +0300
<![CDATA[REIT Industry Stock Outlook - May 2017]]> The first four months of this year were not favorable for the overall U.S. real estate investment trust (REIT) industry. Uncertainty and restrained trading activity took a toll on returns.

The FTSE/NAREIT All REITs Index registered a total return of 3.5% in the first four months of 2017, lagging the S&P 500’s stellar 7.2%. Specifically, Equity REITs, which comprised a majority of the total REIT market, came up with a weak performance, with the FTSE NAREIT All Equity REITs Index finishing April with a total return of 2.99%.

Admittedly, the concerns surrounding rate hikes and movements of treasury yields made investors skeptical about investing in REIT stocks. This is because REITs are typically dependent on debt for their business. Also, they are often considered as bond substitutes for their high and consistent dividend-paying nature. Apart from these, fundamentals of some of the underlying asset categories provided headwinds and drove away gains.

Particularly, the retail REIT segment felt the heat with dwindling traffic and store closures amid aggressive growth in online sales, which checkered demand for the retail real estate space. Also, an increasing number of deliveries of new units in a number of key markets and elevated concession activity raised concerns over some apartment REIT stocks.

But sidelining the entire industry would not be prudent, as REITs cater to a wide range of real estate assets and each asset category has its own demand-supply dynamics.

In the first four months of 2017, even though the overall returns from the REIT industry fell short of the broader market, a number of asset categories showed fundamental strength and the REITs catering to those asset classes reaped benefits.

Among them are the data center REITs that posted a total return of 18.0% with growth in cloud computing, Internet of Things and big data. Moreover, infrastructure REITs gained 15.7% and Specialty REITs delivered returns of 14.3%, handily outpacing the broader market.

In addition, any rate hike would eventually be backed by economic improvement. And when economic growth gathers steam and inflation rises, prices of real estate generally increase, and rent and occupancy of properties go up.

But not every category of real estate is likely to get an equal boost and not all locations are equally poised to flourish. Therefore, investors need to remain cautiously optimistic and assess the fundamentals of the underlying asset category before making any investment. Further, the capacity of REITs to absorb a rate hike should also be considered. Hence, things like lease durations and pricing power in the market would command attention.

Dividends Standing Tall

Dividends are by far the biggest enticement to invest in REIT stocks, and income-seeking investors continue to prefer them. This is because, as of Apr 28, 2017, the dividend yield of the FTSE NAREIT All REITs Index was 4.14%, which handily outpaced the 2.01% dividend yield offered by the S&P 500.

Among the REIT market components, the FTSE NAREIT All Equity REIT Index enjoyed a dividend yield of 3.85% while the FTSE NAREIT Mortgage REITs Index had a dividend yield of 9.55%. Over long periods, REITs have outperformed the broader indexes with respect to dividend yields.

U.S. law requires REITs to distribute 90% of their annual taxable income in the form of dividends to shareholders. This unique feature made the industry stand out and gain a solid footing over the past 15–20 years.

Capital Access

Further, in recent years, REITs managed their balance sheets well and focused on lowering debt and extending maturities. Also, REITs have indeed been proactive in the capital market, with the stock exchange-listed REITs collecting $69.6 billion in capital offerings in 2016. Moreover, $23.11 billion of capital raised in the first quarter of 2017 was more than in any quarter since the second quarter of 2014. This denotes investors’ growing confidence in the industry. Further, as of Apr 28, 2017, REITs have raised $26.4 billion in capital.
 

Zacks Industry Rank

Within the Zacks Industry classification, REITs are broadly grouped in the Finance sector (one of the 16 Zacks sectors) and further sub-divided into four industries at the expanded (aka "X") level: REIT Equity Trust - Retail, REIT Equity Trust - Residential, REIT Equity Trust - Other and REIT Mortgage Trust. The level of sensitivity and exposure to different stages of the economic cycle vary for each industry.

We rank 256 industries in the 16 Zacks sectors based on the earnings outlook and fundamental strength of the constituent companies in each industry.

We club our industries into two groups: the top half (industries with the best average Zacks Rank) and the bottom half (the industries with the worst average Zacks Rank). Over the last 10 years, using a one-week rebalance, the top half beat the bottom half by a factor of more than 2 to 1. (To learn more visit: About Zacks Industry Rank.)

The Zacks Industry Rank is #162 for REIT Mortgage Trust, #187 for REIT Equity Trust – Other, #191 for REIT Equity Trust – Retail and #208 for REIT Equity Trust – Residential.

Earnings Trends

We are in the final stretch of the current reporting cycle. So far, the finance sector, of which REITs are part, has revealed strength and better-than-expected results. Results from all the S&P 500 financial counterparts were out by May 19. Total earnings increased 10.4% year over year backed by 5.2% higher revenues, with 72.3% beating EPS estimates and 68.1% exceeding top-line estimates. (Read: Not Every Retailer is Suffering This Earnings Season)

For more information on earnings for this sector and others, please read our 'Earnings Trends' report.

However, the performance of the REIT industry has so far been mixed.

Per a NAREIT media release, occupancy rates touched record levels in the first quarter of 2017, while funds from operations (“FFO”), a widely used metric to gauge the performance of REITs, reported a decline from the prior quarter.

In fact, the Q1 scorecard reveals that total FFO of the listed U.S. Equity REIT industry of $14.3 billion in the reported quarter declined 3.9% sequentially. However, the figure came 8.1% higher than the prior-year quarter tally.

Nevertheless, same-store net operating income (NOI) reported 3.7% year-over-year growth. Results were driven by segments like Data Centers, Single Family Homes, and Industrial, which delivered robust same-store NOI growth of 8.0%, 7.3% and 5.9%, respectively.

Furthermore, properties owned by the listed Equity REITs enjoyed solid occupancy levels. In fact, the occupancy rate touched a record high of 93.9% in Q1, indicating an expansion of 30 basis points (bps) from the previous quarter and 84 bps from the year-ago period.

REITs Worth Adding

Over the last three months, the industry has lost around 3.0% compared with the S&P 500’s gain of 1.1%. As the industry underperformed the broader market, the stocks are good bargains now.

Investors can consider the following REIT stocks that have solid fundamentals to weather any rate hike. Also, their favorable Zacks Rank makes them solid picks.

American Tower Corp. (AMT) is a REIT that is engaged in the ownership, operation and development of multitenant communications real estate with a portfolio of over 147,000 communications sites. It has a Zacks Rank #1 (Strong Buy). It is also steady performer having exceeded the Zacks Consensus Estimate in each of the four trailing quarters with an average beat of 4.78%. The stock is trading at a discount to the industry average.

CoreCivic, Inc. (CXW), formerly the Corrections Corporation of America, provides correctional, detention and residential reentry facilities. With positive estimate revisions over the past two months and a VGM Score of B, CoreCivic can be a solid addition to one’s portfolio. Notably, VGM is also of great assistance in selecting stocks. Importantly, this scoring system helps in picking winning stocks in their individual industry categories. The stock currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Prologis, Inc. (PLD) is an industrial REIT based in San Francisco, CA. Amid a consistent shift toward e-commerce and supply chain strategy transformations, Prologis is well poised to benefit from its capacity to offer modern distribution facilities in strategic infill locations.

Prologis has exceeded estimates in three out of the trailing four quarters with an average beat of 1.90%. This Zacks Rank #2 (Buy) stock is also trading at a discount to the industry average.

PS Business Parks, Inc. (PSB) is Glendale, CA-based is a REIT, which owns, acquires, develops and operates commercial real estate properties, especially multi-tenant flex, office and industrial. It has a Zacks Rank #2 and delivered positive surprises in all of the trailing four quarters, with an average beat of 3.42%. The stock is also trading at a discount to the industry average. Moreover, PS Business Parks’ estimates for 2017 FFO per share climbed 1.3% to $6.01, over the past seven days.

Note: All EPS numbers presented in this write up represent funds from operations (“FFO”) per share. FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
PS Business Parks, Inc. (PSB): Free Stock Analysis Report
 
ProLogis, Inc. (PLD): Free Stock Analysis Report
 
Corrections Corp. of America (CXW): Free Stock Analysis Report
 
American Tower Corporation (REIT) (AMT): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/reit_industry_stock_outlook_may_2017 Mon, 22 May 2017 23:26:00 +0300
<![CDATA[3 Underfollowed Stocks with Solid Potential]]> Buying a quality stock during a pullback can be extremely lucrative for an investor. But it can be all the more profitable if the market has overlooked the name. That's the idea behind our “Underfollowed Gems” premium screen.

On average, an S&P stock is covered by 14 analysts. So if a name is only being followed by a fraction of that number, it hasn't attracted the full attention of the market. But it will! And if that stock is a Zacks Rank #1 (Strong Buy) or #2 (Buy), it means the market is missing out on a company with rising earnings estimates. It won't miss out for long, and the share price will appreciate as more and more analysts realize what they've been missing.

Below, you'll find three Zacks Rank #1s that are underfollowed. The few analysts that are watching these companies have raised their earnings estimates after solid quarterly reports. When the market takes its next leg higher and analysts are less defensive, these stocks may be among the biggest beneficiaries. For the full list and the screen's parameters, make sure to click the link above.


CSX Corporation (CSX)

These are good days for railroads. A thriving and improving economy means more and more goods are crossing the country on the rails, which explains why this space has an enviable position in the top 14% of the Zacks Industry Rank with the 35th spot out of 256. The space is up by more than 11% this year…but CSX Corporation (CSX) has surged nearly 4X that much so far in 2017! This major provider of rail-based transportation has new management and its really paying off as shares have soared a little more than 40% year-to-date. Now just think what this company can do if Washington gets its act together and passes some pro-growth measures, such as infrastructure spending.

The company’s first quarter report last month continued an impressive streak of earnings beats that stretches back to a rare miss in February of 2014. That comes to 13 straight positive surprises. Earnings per share of 51 cents topped the Zacks Consensus Estimate by 18.6% and improved from last year by 37.8%. Over the past four quarters, CSX has put together an average surprise of a little more than 8%. Revenue improved 10% to $2.9 billion, which was also ahead of our expectations at $2.7 billion. The company enjoyed volume growth across most markets, but one of the more encouraging trends was the 31% improvement in coal revenue. Coal accounts for over 15% of revenues for railroads in this country, and President Trump is a much bigger fan of the energy source than was his predecessor.

Now with 12 estimates making up the Zacks Consensus Estimate for this year and next, CSX barely fits the parameters of this screen. However, for a railroad company of its size, you'd think it would be better followed. Just like its share price, earnings estimates for CSX have been moving higher all year. The Zacks Consensus Estimate for this year is $2.29, which is up 8% in the past 30 days as 10 of 12 covering analysts revised higher. It’s also up 13.4% over three months. The Zacks Consensus Estimate for next year is currently expected to improve more than 19% from 2017 to $2.73. The estimate has advanced 11% in the past month and 21.3% in three months. No analysts have downgraded their expectations for either period.

 

CSX Corporation Price, Consensus and EPS Surprise

CSX Corporation Price, Consensus and EPS Surprise | CSX Corporation Quote

 


Western Digital (WDC)

It’s been a great four quarters for data storage company Western Digital (WDC), which is enjoying “a healthy market environment with good demand for all NAND based products, as well as for capacity enterprise and client hard drives”. So how good is the industry? Computer – storage devices is in the top 6% of the Zacks Industry Rank with the 16th spot out of 256…and WDC is making the most of this position. The company has amassed an average surprise of 13.5% over the past four quarters and has advanced 27.5% year to date, which is better than its highly-ranked industry at 15.7%.

Not only did WDC beat the Zacks Consensus Estimates for earnings and revenue in its fiscal third quarter report late last month, but it's impressive year-over-year growth shows just what kind of a run this company is on. WDC earned $2.07 per share in the quarter, which topped the Zacks Consensus Estimate of $1.85 by 11.9% and soared from last year by 71%. Revenue was just as noteworthy at $4.65 billion, or 65% better than last year and ahead of our expectations at $4.54 billion. Strong demand for hard drives as well as NAND-based products from all categories of customers led to these results.

The Zacks Consensus Estimate for this year (ending next month) is composed of only four estimates and next year (ending June 2018) has only two, so the market doesn’t seem to be fully aware yet of this company’s comeback. Right now, we are expecting $7.69 for this fiscal year, marking a 9.4% advance from 30 days ago. Next fiscal year, which begins in July, is shaping up to be even more remarkable as it continues to benefit from the shift to non-PC applications, digital data growth and growing exposure to smaller business spaces. The Zacks Consensus Estimate of $10.58 increased 34.4% from a month ago and suggests a year-over-year increase of 37.6%.

 

Western Digital Corporation Price, Consensus and EPS Surprise

Western Digital Corporation Price, Consensus and EPS Surprise | Western Digital Corporation Quote

 


Applied Optoelectronics (AAOI)

Entering today’s session, shares of Applied Optoelectronics (AAOI) are up 171% so far in 2017. But this fiber-optic device maker isn’t taking a break. The stock was up more than 11% as of this writing (May 22) after receiving a “Strong Buy” rating from a brokerage. Well, we’ve had AAOI at a Zacks Rank #1 for a while now, and it looks like rest of the market may just be starting to catch up. That makes AAOI a perfect example for this screen. Presently, there are only 4 estimates accounting for this year’s Zacks Consensus Estimate, and only half that much for next year. You can bet that will change in the near future as this company continues its impressive momentum.

Earlier this month, AAOI reported the highest earnings and revenue in its history during the first quarter. Earnings per share of $1.02 beat the Zacks Consensus Estimate by nearly 7.4%, while total revenue of $96.2 million nearly doubled year over year (+91%). Much of this success can be attributed to its Internet data centers end market. AAOI has beaten the Zacks Consensus Estimate for five straight quarters now, which corresponds with that sharp upward trajectory of late that you can see in its graph below. For the current quarter (Q2), it expects revenue to hit a new record of between $106 million and $112 million with earnings per share of $1.09 to $1.19.

Earnings estimates have been as dramatic as its share price. The Zacks Consensus Estimate for this year is at $4.32, or 14.9% better than a month ago. Next year’s estimate is currently 16% higher at $5.01, which has advanced 23.7% in 30 days. Over the past three months, the Zacks Consensus Estimates have taken off by 142.7% for 2017 and 211% for 2018.

 

Applied Optoelectronics, Inc. Price, Consensus and EPS Surprise

Applied Optoelectronics, Inc. Price, Consensus and EPS Surprise | Applied Optoelectronics, Inc. Quote

 


Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth.

Download this IPO Watch List today for free >>


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
 
Western Digital Corporation (WDC): Free Stock Analysis Report
 
CSX Corporation (CSX): Free Stock Analysis Report
 
Applied Optoelectronics, Inc. (AAOI): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/3_underfollowed_stocks_with_solid_potential_5 Mon, 22 May 2017 23:15:00 +0300
<![CDATA[Is Guess? (GES) Poised for a Beat This Earnings Season?]]> Guess?, Inc. GES is set to report first-quarter fiscal 2018 results on May 24 after the market closes. The question lingering in investors’ minds is, whether this apparel retailer will be able to post a positive earnings surprise in the to-be-reported quarter.

The company posted an average earnings beat of 22.12%, despite missing the consensus mark thrice in the trailing four quarters. Consequently, the dismal performance weighed upon the stock and is clearly reflected in its share prices.

We note that in the past year, the shares of this apparel retailer have declined 39.9%, compared with the 19.0% decline witnessed by the Zacks categorized Textile-Apparel Manufacturing.

Let us see how things are shaping up for this announcement.

What Does the Zacks Model Unveil?

Our proven model shows that Guess? is likely to beat earnings because it has the right combination of two key ingredients.

Zacks Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is +3.23%. This is because the Most Accurate estimate is at a loss of 30 cents, while the Zacks Consensus Estimate is pegged at a loss of 31 cents. This is very meaningful and a leading indicator of a likely positive earnings surprise for shares. You may uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Guess? currently carries a Zacks Rank #3 (Hold). Note that stocks with Zacks Ranks #1 (Strong Buy), 2 (Buy) and 3 have a significantly higher chance of beating earnings. Conversely, Sell-rated stocks (#4 and 5) should never be considered going into an earnings announcement.

The combination of Guess’ Zacks Rank #3 and an Earnings ESP of +3.23% makes us very optimistic about a possible earnings beat.

Which Way Are Estimates Treading?

Let’s look at the estimate revisions in order to get a clear picture of what analysts are thinking about the company right before earnings release. The Zacks Consensus Estimate for the first quarter has improved marginally in the last seven days, while remaining stable for fiscal 2018.

Guess?, Inc. Price, Consensus and EPS Surprise

 

Guess?, Inc. Price, Consensus and EPS Surprise | Guess?, Inc. Quote

Factors Influencing the Quarter

The company anticipates net revenue to grow 2–4% on a constant currency basis, in the first quarter. It also anticipates operating loss margin in the range of 6% and 7%, including 30 bps of currency headwind. The company expects a loss in the band of 30–33 cents.

Guess? is struggling with waning comps in the North American Retail segment. Comps declined 4.9%, 2%, 4% and 7%, respectively in the four quarters of fiscal 2017, due to a tough retail environment. Further, foreign currency is putting pressure on the company’s sales.

Further, the company is experiencing lower margins due to higher cost of sales. Although it is taking several cost cutting initiatives, higher promotional environment and competitive retail environment are putting strain on gross margins.

For fiscal 2018, the company expects improvement in both Europe and Asia as the company continues its retail expansion there. In the Americas, the company expects to remain focused on profitability improvements, backed by plans of rent reductions and closing underperforming stores. The company also expects to implement supply chain initiatives to drive profit improvement in fiscal 2018.

Stocks to Consider

Here are some companies in the consumer discretionary sector you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:

Gildan Activewear, Inc. GIL has an Earnings ESP of +2.08% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

H&R Block, Inc. HRB has an Earnings ESP of +2.56% and a Zacks Rank #2.

Vail Resorts, Inc. MTN has an Earnings ESP of +3.41% and a Zacks Rank #2.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Vail Resorts, Inc. (MTN): Free Stock Analysis Report
 
Guess?, Inc. (GES): Free Stock Analysis Report
 
Gildan Activewear, Inc. (GIL): Free Stock Analysis Report
 
H&R Block, Inc. (HRB): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/is_guess_ges_poised_for_a_beat_this_earnings_se Mon, 22 May 2017 23:07:00 +0300
<![CDATA[What's in Store for Deckers Outdoor (DECK) in Q4 Earnings?]]> Deckers Outdoor Corp. DECK, a leading designer, producer and brand manager of innovative, niche footwear and accessories, is slated to report fourth-quarter fiscal 2017 results on May 25.

Previous quarter, the company had delivered a negative earnings surprise of 3.1%. In the trailing four quarters, it outperformed the Zacks Consensus Estimate by an average of 24%. Let’s see how things are shaping up prior to this announcement.

What to Expect?

The question lingering in investors’ minds now is whether Deckers Outdoor will be able to come up with a positive earnings surprise in the quarter to be reported. The current Zacks Consensus Estimate for the quarter under review is pegged at a loss of 6 cents. In the year-ago quarter, the company had posted earnings per share of 11 cents.

We note that the Zacks Consensus Estimate has been stable over the past 30 days. Analysts polled by Zacks expect revenues of $359 million, down 5.3% from the year-ago quarter.

We noted that the stock has underperformed the Zacks categorized Shoes & Retail Apparel industry in the past six months. The company’s shares have decreased 9.0%, while the Zacks categorized industry has fallen 0.9%.  

Factors Influencing This Quarter

Deckers’ focus on expanding its brand assortments, bringing more innovative line of products, targeting consumers digitally via marketing and a sturdy eCommerce as well as optimizing omni-channel distribution bode well.

Deckers targets profitable and underpenetrated markets, along with focus on product innovations and store augmentation. Further, management is transitioning to a direct subsidiary model from a distributor model outside the U.S. The company is also making substantial investments to fortify its online presence.

Management trimmed its fiscal 2017 outlook following a disappointing performance in the third-quarter fiscal 2017. Deckers now expects net sales to decline 5% and projects earnings between $3.45 and $3.55 per share. The company had earlier forecast net sales to decline in the band of 1.5–3% and earnings in the range of $4.05–$4.25 for fiscal 2017.

In the fourth quarter, net sales are estimated to decline by 5–6%. Management envisions bottom line in the band of break-even to a loss of $0.10 per share, compared to the adjusted earnings of $0.11 reported in the year-ago period.

What the Zacks Model Unveils?

Our proven model does not conclusively show that Deckers Outdoor is likely to beat earnings estimates this quarter. This is because a stock needs to have both a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) and a positive Earnings ESP for this to happen. You may uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Deckers Outdoor has an ESP of 0.00% as both the Zacks Consensus Estimate and the Most Accurate estimate are pegged at a loss of 6 cents. The company’s Zacks Rank #3 (Hold) increases the predictive power of ESP. However, we need to have a positive ESP to be confident about an earnings surprise.

Deckers Outdoor Corporation Price, Consensus and EPS Surprise

Other Stocks Poised to Beat Earnings Estimates

Here are some other companies you may want to consider as our model shows that these too have the right combination of elements to come up with an earnings beat:

Best Buy Co., Inc. BBY has an Earnings ESP of +10.00% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Burlington Stores, Inc. BURL has an Earnings ESP of +2.86% and a Zacks Rank #2.

Ulta Beauty, Inc. ULTA has an Earnings ESP of +0.56% and a Zacks Rank #2.

Zacks' 2017 IPO Watch List    

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>


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
 
Burlington Stores, Inc. (BURL): Free Stock Analysis Report
 
Ulta Beauty Inc. (ULTA): Free Stock Analysis Report
 
Deckers Outdoor Corporation (DECK): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://so-l.ru/news/show/what_s_in_store_for_deckers_outdoor_deck_in_q4_e Mon, 22 May 2017 22:53:00 +0300