Tag Archives: EPS

by | November 17, 2014 · 8:23 pm

Home Depot earnings report tomorrow morning

Home Depot (HD) is a do-it-yourself home improvement retailer. The firm operates The Home Depot stores, which are a full-service, warehouse-style stores. HD stores serve three primary customer groups; do-it-yourself (D-I-Y) customers, do-it-for-me (D-I-F-M) customers and professional customers.

homedepot

In February 2013, HD acquired Measurecomp LLC and HD components LLC. About one year later, in January 2014, HD acquired Blinds.com.

It`s only a few companies left to reveal their earnings this time, and tomorrow morning Home Depot (HD) will report their latest earnings. Last time HD reported earnings they had an earnings growth of 23%, but this time it is estimated an earnings growth of «only» 21%.

That will be down two ticks, but that`snot bad, because a 21% boost to the bottom line will be the second best quarter last year. The growth seems to continue, as the retailer has seen some solid growth on the bottom line over the past two years.

HD reported a sales growth of 3% and 6% in the first two quarters, and this growth is expected to decline to 5%. Analysts consensus is expecting $1,13 in earnings per share. Revenue is $20,500 billion YoY.

When HD reports positive earnings report Q3 like the one we will see tomorrow, it usually boost the stock price. It is expected to see similar things to happen and HD will continue to lead the industry.

Some analysts belive that the industrial retail sales companies like HD will lose market shares against the online sales. It will simply kill the market sector, but despite that, it is expected to see solid earnings report from HD tomorrow morning. Positive news for HD tomorrow is good news for long perspective investors. The stock is up 19% YTD, and 17% last three months.

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | October 28, 2014 · 5:32 pm

Investors expectations for Facebook is high

Facebook will report earnings for its 3rd quarter of the year after the closing bell today. They smashed the earnings estimates in July and the stock jumped 6,5% higher. The stock continues to rally after that, but have surged 14% in the past two weeks.

facebook logo

Last quarter Facebook reported earnings of 42 cents per share, while Wall Street was forecasting 33 cents. Everyone was surprised, but what now? Over the past year Wall Street has sandbagged its estimates 5 quarter in a row, and Estimize is more bullish on Facebook`s bottom line now, expecting the social media king`s EPS to beat the Street by 5 cents per share. Wall Street has left its earnings consensus flat.

It`s expected to see the company to grow by 57% at the top and 80% at the bottom line. A 57% YoY revenue increase would be down slightly. Average over the past year is 64%. An 80% EPS gain YoY is also below the average of 124%. Their growth is expected to break. $3 billion a quarter in sales makes it unprecedented to grow fast.

In the company`s previous earnings release Facebook reported 1,32 billion monthly users, and 1,07 billion monthly users on mobile. A huge number, but Zuckerberg have a plan to keep the profit piling g up.

They will increase the value of advertisements by improving data tracking, and with help from Atlas, Facebook will try to compete with Google, which is the master of data tracking and serving targeted advertisements which is gold for marketers worldwide.

Mark Zuckerberg want to offer best in the class mobile experience. At the beginning he was worried that the app was too difficult to manage. He was worried that the app was clunky on mobile, and trying to do too many things at once. So far it looks like his plan is paying off as Facebook is making a killing on mobile advertisements.

They will also try to expand the user base by connecting more people to the internet across the globe. When Zuckerberg outlined his goal to connect the world to the internet last summer, only 2,7 billion (1/3 population of the planet) had access to the internet. So far, they have done a great job to sign up new members as they have over 1 billion monthly users.

It`s easy to see why investors are so bullish on Facebook. The only point of concern might be that Facebook has performed so well over the past year that expectations have gotten ahead of themselves.

Facebook is up 47,4% YTD. Will they beat the Street this time?

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | October 27, 2014 · 4:16 pm

Earnings from Social Media stocks this week

This week is a big week for social media stocks. It all starts today, and we will be getting earnings release from Twitter (TWTR) after the bell today. Twitter kicks off the week for social media earnings today, followed by Facebook tomorrow.

twitter chart

(Picture: Twitter chart)

Twitter haven`t met analysts expectations on MAU`s (monthly active users) growth lately. With 271 million MAU`s they are focusing on product improvements to increase the amount of time users spend on their platform.

They launched their brand new Audio Cards this quarter which enables music and podcasts to be played directly on Twitter via Soundcloud.

The company has underperformed the Nasdaq and Facebook (FB), as analysts is disappointed at Twitters growth prospects and engagement levels. So far, they have posted strong sales growth but with disappointing earnings.

Analysts expect strong results from the social media giant after the bell today, and this brings up the big question; Is this a good time to invest in the tweeting giant?

It is expected to se a report revenue of $360 million, and if that is the fact, it will represent about 100% increase in sales vs same time last year.

It`s not easy to value early stage growth companies like Twitter, but investors will focus on earnings and revenue after the bell today. Some people are negative and expect EPS of $-0,27. Other say $0,01.

Last quarter, the stock gained 22% because revenue was $312 million compared to analysts estimate of $282 million. Some say the surge in performance last time was attributed to increased engagement and user activity because of the FIFA World Cup, and analysts belive that Twitter will not be able to follow with a similar performance.

Analysts I have talked to are forecasting earnings of 3 cents per share. Twitter has a great track record of beating the Street`s EPS consensus. Will they beat Wall Street this time?

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | October 16, 2014 · 2:22 pm

Netflix revenue up +27%

Netflix will plunge today. Down about 25%. Investors are disappointed because of their subscriber growth. That said, Netflix have always been a volatile stock.

netflix-logo

They reported Q3 EPS of $0,96 and they beat consensus by $0,03. Revenue was up +27% y/y to $1,41 billion, and hit investors estimate. They have a total paid member base of 50,65 million, and that is up +33% y/y. Free cash is down to -$74 million on higher investments.

They failed in Q3 with 3,02 million subscribers and that`s below its estimated 3,69 million. Netflix reported profits of $59,3 million, and that`s better than last years Q3 at $48,4 million.

Investors do not think that Netflix will reach their membership growth goals because they have raised prices for their new members, but earlier this year Netflix said they added 1,7 million members and that`s better than expected.

Netflix says it will add 4 million new members in fourth quarter as they have launched their service in Europe led by Germany and France. They will start streaming of all 10 seasons of Friends, and belive HBO is their biggest competitor, but they have different programs and shows.

A drop like this is a great opportunity.

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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by | April 23, 2014 · 2:00 pm

Earnings estimates

Positive earnings continue to lift the markets higher and the S&P traded higher for the 6th consecutive day. The S&P ended up 7,5 points and are the only major index to be in positive territory so far in 2014.

Russel 2000 is the worst index wich is down -0,6% YTD. Nasdaq is down -0,4% YTD and DOW is currently down -0,04% YTD. Netflix (NFLX) beat earnings expectations and traded up +7% yesterday. It is a buy signal in Netflix, but I will wait to see the next 4 trading sessions to be convinced.

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Look out for Apple`s (AAPL) earnings report later on today. The report will released after the market close today. The report will be for the fiscal Quarter ending Mar 2014. Consensus EPS forecast for the quarter is $10,21. Up from $10,09 last year. Market cap: 473,8B. Apple Inc is the world`s largest company by market value.

Facebook (FB) will release an earnings report after the market close today. The report will be for the fiscal Quarter ending Mar 2014. Consensus EPS forecast for the quarter is $0,18. Up from $0,09 last year. That is 100%! Market cap: 121,93B.

Also Logitch International S.A (LOGI) will report earnings after market close today. The report will be for the fiscal Quarter ending Mar 2014. Consensus EPS forecast for the quarter is $0. Up from $-0,09 last year. Market cap: 2,43B.

Yum (YUM) is the owner of KFC, Pizza Hut and Taco Bell fast-food chains. The stock climbed 2% yesterday to $79. Profit rose 72 cents to 87 cents according to a statement yesterday. It was estimated 84 cents a share on average.

Their performance of its China division is strong. Operating profit grew 80% in China. The China Division opened 123 new units in the first quarter. Fast food giant McDonald`s Corp (MCD) reported a 5% drop in first quarter profit that missed analysts` estimate.

The next days are the most important of the earnings season. Many big companies are trying to beat the estimates. Will Microsoft (MSFT) beat the estimates tomorrow? They will continue supporting the Nokia X platform.

What about Google (goog)? Will they suffer from Android Open Source Project smartphones? Microsoft will probably use some of its tons of Android licensing money to undercut Google-approved Android phones.

Other earnings reports to look for: Tesla (TSLA) May 14. Ebay (EBAY) Apr 29. Twitter (TWTR) May 07. This is only a few stocks to watch out for among many other interesting U.S stocks to look for the next days and weeks.

Reports today:
9:45 a.m EST Flash Manufacturing PMI
10:00 a.m EST New Home Sales
10:30 a.m EST Crude Oil Inventories

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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