|By PR Newswire||
|February 13, 2014 09:30 AM EST||
CHICAGO, Feb. 13, 2014 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the Cisco Systems (Nasdaq:CSCO-Free Report), Whole Foods Market (Nasdaq:WFM-Free Report), Gentex Corp (Nasdaq:GNTX-Free Report), Oshkosh Corp (NYSE:OSK-Free Report) and Magna (NYSE:MGA-Free Report).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Wednesday's Analyst Blog:
Cisco Beats Earnings, but Some Comps Down
Tech bellwether and network solutions leader Cisco Systems (Nasdaq:CSCO-Free Report) reported fiscal 2nd quarter earnings after the bell Wednesday. Revenues of $11.16 billion in topped the Zacks Consensus Estimate of $11049 million, while earnings per share (after stock-based compensation and before non-recurring items) was 42 cents per share, beating the Zacks estimate by a penny.
Cash flow form operations grew frown $2.6 billion in the company's fiscal Q1 (ended October 2013) to $2.9 billion, which is good, but year over year GAAP revenue was down close to 8% while Net Income was down 54%. Cisco had made many large acquisitions to help forge new growth in the future over the past year, but it looks like investors will have to wait a bit to see the monetization of new businesses WhipTail Technologies, Collaborate.com and Insieme Networks.
Cisco managed to bump up its quarterly dividend yield from 17 cents to 19 cents per share, and also bought back $4 billion worth of stock for a total return to shareholders of $4.9 billion. Just the company's way of saying "thank you for your patience," I suppose.
No analysts had made any upward or downward estimate revisions to Cisco estimates in the last two months, for either the quarter just reported, the current Q3, fiscal 2014 or fiscal 2015. Apparently everyone is in "wait and see" mode when it comes to Cisco's "Next Generation of IT." At least the game-plan is in place, however; acquisitions this massive usually take time to turn into big growth.
Whole Foods Cuts Prices, Earnings & Revenues Slump
Whole Foods Market (Nasdaq:WFM-Free Report) reported earnings after the bell today, posting an EPS of $0.42 missing the Zacks Consensus Estimate of $0.44. On the Revenue front, Whole Foods also missed the Zacks Consensus Revenue Estimate of $4.3 billion, by posting revenues of $4.24 billion.
There was not much excitement going into the earnings announcement because of the recent decrease of guidance with their Same Store Sales (SSS), and total sales growth for 2014. SSS was revised from 6.5%-8% for 2014 to 5.5%-6.5%, while sales growth was reduced from 12%-14% for 2014 to 11%-12%. These revisions caused the street to lower expectations for both 2014 and 2015 (before this earnings announcement).
Unfortunately for Whole Foods, analysts were intensely looking at SSS, which came in below the expected 5.5% growth by posting 5.4% growth, extending the continued deteriorating SSS comps another quarter. Moreover, sales growth year over year only grew 9.96%, while the street was expecting 11% growth. The misses on both major benchmarks will negatively impact the stock price.
Over the past quarter Whole Foods was cutting prices due to increased competition by companies entering the Organic & Natural food business.
Dumps Like a Truck... Earnings Like WHAT?!
Early February in Chicago is about two things for me; Cold weather and the Auto Show. I remember going as a kid and coming back with a sweet Lamborghini Diablo poster I stuck up on my wall and dreamed about. Just like the one Leo crawled into in "Wolf of Wall Street." The showstopper for me was BMWs i8 electric supercar beast. It's like looking into the future, but wait, the future is here in July? All the glitz, glamour, and Carnauba wax got me thinking. Automakers have made strides toward energy efficiency over the last several years, what's going on with the trucking business? Are these efficient motor designs making their way over the commercial end?
Maybe it is actually the other way around. Maybe the trucking industry made changes years ago and the consumer segment is just catching on. Honestly, I didn't have a great understanding of the trucking biz so I dug in a little bit. Little did I know I would find some of the most exciting earnings stories I've heard in a long time. Couple that with the best price and consensus chart I have ever seen and you've got one heck of story.
An interesting feature in new high-end import cars is the "Night vision" option. Think infrared googles only the image appears on your in-dash screen. This can help drivers avoid hitting that deer around the corner in the dark or avoid the nasty pothole on Ashland Ave (Good luck!). Turns out that trucks have had these kinds of systems for years. Gentex Corp (Nasdaq:GNTX-Free Report) develops and markets electro-optic products, Night Vision Safety automatic dimming mirrors, and a whole line of products that help keep the roads safer at night. The earnings story is great with recent upside revisions and next year growth numbers through the roof. This Zacks Rank #1 (Strong Buy) stock looks good fundamentally. The price and consensus chart gives me a warm fuzzy feeling about this company and certainly puts it on my radar.
I didn't miss the boat and I'll get another shot at it. Right now we are trading below the 25x5 which means I can wait. Also, I have an obvious price level to enter at right around $30. Classic example of a breakout that comes back down to retest. See that wick that came down to touch $30 at the end of January? That tells me $30 is right around the corner again, just be patient. Aside from that, the stochastic buy was right on but I'm not looking for a move from $30.50 to topside resistance at the 25x5 just two bucks away. I'm a momentum wave rider and the surf is not up right now.
At the Jeep display, a professional driver took willing participants up a grade that looked over 45 degrees steep. Jeep does a great job of promoting how rugged and reliable their trucks are. The commercial equivalent of this is Oshkosh Corp (NYSE:OSK-Free Report). I thought they made kids overalls, but apparently that's a different company. OSK manufactures specialty access equipment, fire, emergency and military vehicles and vehicle bodies. Earnings have been looking up for this company as well, although not as high as the Jeep headlights I saw. OSK is a Zacks Rank #2 (Buy) with solid fundamentals and a great name in the commercial vehicle market.
The chart is setting up nicely. A big spike in late January has already cleared the way above $58. We have the stochastics oversold and crossing bullish as the stock finds support at the 25x5. I wouldn't call it textbook perfection, but we are getting there. A keen eye could put a stop in on the south side of $50 and have a nice risk/reward situation.
I know what you're all thinking by now. Where's this "best price and consensus chart I have ever seen?" That belongs to Magna (NYSE:MGA-Free Report). Unfortunately I don't have a fun anecdote from my night at the show to give as an intro on this one. Magna is an independent supplier of OE components, assemblies, modules and systems for cars and light trucks. It's in the same industry that is in the Top 26% of the Zacks Industry Rank as the other two stocks mentioned. The fundamental rank for us here is a Zacks Rank #2 (Buy).
Now totally eliminate the P&C from your head. This stock could break out tomorrow. Above the 25x5, got a stochastic buy from oversold three days ago at $83, and we are approaching a double top with support beneath us at $84-$85. If it takes out the previous high and sees $90 then the stock goes to $100. The pullback we had the beginning of February helped to establish a new bullish support trend line down through the December lows and upwards to the heavens. Earnings are slated for March 3rd and could be the catalyst to push this to the triple digits.
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Zacks Investment Research
800-767-3771 ext. 9339
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
SOURCE Zacks Investment Research, Inc.
Many of the well-known examples of DevOps success we read in blogs on the Internet paint an idyllic picture of DevOps productivity. A team was facing a stodgy, slow-moving operations department, teams weren’t delivering software on time. Those teams moved to DevOps, became proactive about infrastructure and deployment automation, and an overnight transition to productivity ensues. People are promoted, projects are successful, and developers and system administrators dance hand-in-hand in a final...
Apr. 28, 2015 11:15 AM EDT Reads: 1,306
While not quite mainstream yet, WebRTC is starting to gain ground with Carriers, Enterprises and Independent Software Vendors (ISV’s) alike. WebRTC makes it easy for developers to add audio and video communications into their applications by using Web browsers as their platform. But like any market, every customer engagement has unique requirements, as well as constraints. And of course, one size does not fit all. In her session at WebRTC Summit, Dr. Natasha Tamaskar, Vice President, Head of C...
Apr. 28, 2015 11:00 AM EDT Reads: 1,837
Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 16th Cloud Expo at the Javits Center in New York June 9-11 will find fresh new content in a new track called PaaS | Containers & Microservices Containers are not being considered for the first time by the cloud community, but a current era of re-consideration has pushed them to the top of the cloud agenda. With the launch ...
Apr. 28, 2015 11:00 AM EDT Reads: 2,953
The world's leading Cloud event, Cloud Expo has launched Microservices Journal on the SYS-CON.com portal, featuring over 19,000 original articles, news stories, features, and blog entries. DevOps Journal is focused on this critical enterprise IT topic in the world of cloud computing. Microservices Journal offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. Follow new article posts on T...
Apr. 28, 2015 11:00 AM EDT Reads: 2,168
SYS-CON Events announced today that Litmus Automation will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Litmus Automation’s vision is to provide a solution for companies that are in a rush to embrace the disruptive Internet of Things technology and leverage it for real business challenges. Litmus Automation simplifies the complexity of connected devices applications with Loop, a secure and scalable clou...
Apr. 28, 2015 11:00 AM EDT Reads: 1,859
In 2015, 4.9 billion connected "things" will be in use. By 2020, Gartner forecasts this amount to be 25 billion, a 410 percent increase in just five years. How will businesses handle this rapid growth of data? Hadoop will continue to improve its technology to meet business demands, by enabling businesses to access/analyze data in real time, when and where they need it. Cloudera's Chief Technologist, Eli Collins, will discuss how Big Data is keeping up with today's data demands and how in t...
Apr. 28, 2015 11:00 AM EDT Reads: 1,522
SYS-CON Media announced today that @ThingsExpo Blog launched with 7,788 original stories. @ThingsExpo Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @ThingsExpo Blog can be bookmarked. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago.
Apr. 28, 2015 11:00 AM EDT Reads: 2,646
As Marc Andreessen says software is eating the world. Everything is rapidly moving toward being software-defined – from our phones and cars through our washing machines to the datacenter. However, there are larger challenges when implementing software defined on a larger scale - when building software defined infrastructure. In his session at 16th Cloud Expo, Boyan Ivanov, CEO of StorPool, will provide some practical insights on what, how and why when implementing "software-defined" in the dat...
Apr. 28, 2015 11:00 AM EDT Reads: 1,719
SYS-CON Events announced today that robomq.io will exhibit at SYS-CON's @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. robomq.io is an interoperable and composable platform that connects any device to any application. It helps systems integrators and the solution providers build new and innovative products and service for industries requiring monitoring or intelligence from devices and sensors.
Apr. 28, 2015 11:00 AM EDT Reads: 2,141
SYS-CON Events announced today that MangoApps will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY., and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. MangoApps provides private all-in-one social intranets allowing workers to securely collaborate from anywhere in the world and from any device. Social, mobile, and eas...
Apr. 28, 2015 11:00 AM EDT Reads: 3,666
Wearable technology was dominant at this year’s International Consumer Electronics Show (CES) , and MWC was no exception to this trend. New versions of favorites, such as the Samsung Gear (three new products were released: the Gear 2, the Gear 2 Neo and the Gear Fit), shared the limelight with new wearables like Pebble Time Steel (the new premium version of the company’s previously released smartwatch) and the LG Watch Urbane. The most dramatic difference at MWC was an emphasis on presenting we...
Apr. 28, 2015 11:00 AM EDT Reads: 2,162
So I guess we’ve officially entered a new era of lean and mean. I say this with the announcement of Ubuntu Snappy Core, “designed for lightweight cloud container hosts running Docker and for smart devices,” according to Canonical. “Snappy Ubuntu Core is the smallest Ubuntu available, designed for security and efficiency in devices or on the cloud.” This first version of Snappy Ubuntu Core features secure app containment and Docker 1.6 (1.5 in main release), is available on public clouds, ...
Apr. 28, 2015 10:45 AM EDT Reads: 1,563
How do you securely enable access to your applications in AWS without exposing any attack surfaces? The answer is usually very complicated because application environments morph over time in response to growing requirements from your employee base, your partners and your customers. In his session at 16th Cloud Expo, Haseeb Budhani, CEO and Co-founder of Soha, will share five common approaches that DevOps teams follow to secure access to applications deployed in AWS, Azure, etc., and the frict...
Apr. 28, 2015 10:30 AM EDT Reads: 1,749
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists will discuss how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations m...
Apr. 28, 2015 10:15 AM EDT Reads: 2,139
SYS-CON Events announced today the IoT Bootcamp – Jumpstart Your IoT Strategy, being held June 9–10, 2015, in conjunction with 16th Cloud Expo and Internet of @ThingsExpo at the Javits Center in New York City. This is your chance to jumpstart your IoT strategy. Combined with real-world scenarios and use cases, the IoT Bootcamp is not just based on presentations but includes hands-on demos and walkthroughs. We will introduce you to a variety of Do-It-Yourself IoT platforms including Arduino, Ras...
Apr. 28, 2015 10:00 AM EDT Reads: 3,099