While the shares have recently bounced back after an overdone post earnings drop, Eaton (ETN) is still undervalued at the current price and it is not too late to initiate a position. Despite the 9% bounce from the recent lows in August, this company is still our favorite in the Diversified Machin
Forecasts of real GDP growth attract a lot of media attention. But what matters more to the person on the street is how growth translates into jobs. Unfortunately, the mediocre growth outlook of recent years may lead to a disturbing outlook for jobs, particularly among fuel-exporting countries and in the Latin America and Caribbean region.
Trading is an emotional business. You are putting your money at risk based on your opinion of which way a market will move. You are either right or you’re wrong. For every trade you take, someone is on the other side of the trade trying to take you down.
If you are new to trading, then fear is natural, but it doesn't have to remain that way. The more you study markets,....More>>>
Susquehannas Pablo Zuanic takes a look at consumer food companies in the wake of Brexit, and writes that Coca-Cola Enterprises (CCE), Mondelez (MDLZ) and SodaStream (SODA) have the most exposure to the British pound and euro, which are falling today.
For bargain hunters, he recommends Mondelez over CCE, given soda taxes and the fact that Cokes (KO) 48%....More>>>
That’s how Citigroup’s Paul Lejuez and team described Tiffany’s (TIF) fourth-quarter earnings and 2016 guidance in a note this morning:
Adj EPS of $1.46 vs cons and our $1.40. Comps -5% worldwide (constant Fx, in line with Holiday results), with the Americas -8% (in line with Holiday), Europe -3% (Holiday -2%), Japan +10% (in line with Holiday), and....More>>>
Ladenburg Thalmann’s Adolfo Rueda explains why he’s feeling bullish about shares of Lululemon Athletica (LULU):
We highlight the daily chart for LULU and rate the stock Outperform. We would add/buy at current levels as well as on slight weakness. We are using a technical target of $72.00 while using a stop of $58.75.
LULU reclaimed its slowly deteriorating moving average....More>>>
Citigroup’s Kate McShane and team ask if the bull markets in Nike (NKE) andUnder Armour (UA) are over. Their answer: No. They explain why:
Since their respective analyst days last fall (Under Armour – Sept; Nike – Oct),Under Armour and Nike stocks are down ~17% and 5%, respectively. The pullback in both names appears to be driven primarily by....More>>>
UBS analyst Brennan Hawken and team explain why they initiated Wells Fargo (WFC) with a Sell rating today:
Andrew Harrer/Bloomberg News
We see risks to Wells Fargo’s revenue growth and credit performance, which coupled with a valuation on the high end of peers and consensus estimates that have not come down much, putsWells Fargo shares at risk of underperformance in our....More>>>
Biotech stocksRegeneron Pharmaceuticals (REGN),Biogen (BIIB),Amgen (AMGN) and Celgene (CELG), among themhave staged nice rallies during the past three months but are still down for 2016. Now, Piper Jaffray’s Joshua Schimmer and team ask: “What’s the trade for the rest of the year?” They answer their own question:
The handbag survey conducted every quarter by Baird Equity Research suggests big things ahead for Coach (COH).
Analyst Mark R. Altschwager upgraded the handbag and accessory company to outperform from neutral and lifted his price target by 11% to $50, based on survey findings that showed a potential sales turnaround after 12 quarters of comparative sales declines.
Strategas Research Partners’ Jason DeSena Trennert and Ryan Grabinski wonder what impact Valeant Pharmaceuticals International’s (VRX) current woes will have on other so-called platform companies,Endo International (ENDP), Allergan (AGN), and Danaher (DHR) among them:
Valeant’s recent difficulties might warrant a second look at platform companies…We dont mean to pile....More>>>
The notion that value outperforms in the long run is a staple in the financial literature, and for an obvious reason: the historical record tells us so. But the last nine years tell a different story, based on the return spread for the Russell 1000 Value Index less the Russell 1000 Growth Index. As AJO Partners in Philadelphia advised in an investment note last week, the current run of growth’s....More>>>
Anthem (ANTM) has suedExpress Scripts, alleging that the pharmacy benefits manager charged too much for the drugs it provided. Citigroup’sGaren Sarafian explains:
Anthem filed a suit intraday today against its pharmacy benefit manager Express Scripts for what it believes is higher than competitive benchmark pricing that the company has previously claimed to....More>>>
At some point in any romantic relationship, this question may arise: "Why do you love me?" The moment is fraught with danger and the answer needs to come quickly and without hesitation. Otherwise, well, who knows. The worst possible answer would be, "Because you're a person."<
This analysis will show why we think OpenText (OTEX) is one of the few undervalued companies in the technology sector. Per the fiscal 2017 annual report, OpenText made progress expanding into the enterprise information management such that the company sees a total addressable market size of $35 b