Bad News posts
FeedPosted Feb 25th 2009 11:20AM by Michael Fowlkes (RSS feed)
Filed under: Earnings reports, Bad news, Products and services, Newspapers, Competitive strategy, Marketing and advertising, Recession
Shares of the
Washington Post Company (NYSE:
WPO) are trading in the red this morning after the company reported that its fourth quarter
profit dropped by a massive 77%. Net income came in at $2.01 per share, verse $8.71 per share in the same period last year.
As I noted in the earnings preview yesterday, the company's flagship newspaper and its magazine division (
Newsweek Magazine) have been hit hard with losses in advertising revenue, and both had a dismal 2008 year. The company's newspaper division
lost $14.4 million in the fourth quarter and had a $192.4 million operating loss for the entire 2008 year. Its newspaper division had a slight profit of $10.9 million in the fourth quarter, but on a full year basis it posted a loss of $16.1 million.
Continue reading Washington Post (WPO) misses the mark
Posted Feb 18th 2009 12:15PM by Michael Fowlkes (RSS feed)
Filed under: International markets, Earnings reports, Bad news, Products and services, Employees, Goodyear Tire and Rubber (GT), Recession, Financial Crisis
Shares of Akron, Ohio based
Goodyear Tire and Rubber (NYSE:
GT) are trading in the red this morning after the company reported
dismal fourth quarter and full year 2008 earnings this morning.
Going into today's earnings release, analysts had been expecting to see the company show a $1.03 per share loss for its fourth quarter, but the results came in worse than expected, with a quarterly loss down at -$1.37 per share. This compares to a profit during the same period last year of 23 cents per share.
Continue reading Goodyear Tire (GT) loses air on earnings
Posted Feb 12th 2009 8:18AM by Michael Fowlkes (RSS feed)
Filed under: After the bell, International markets, Earnings reports, Bad news, Products and services, Housing, Earnings transcripts, Recession, Financial Crisis
Masco Corp. (NYSE:
MAS), which manufactures and installs building materials,
announced its fourth quarter numbers Wednesday afternoon, falling short of analyst estimates.
Analysts had expected to see the company show a loss for its fourth quarter of 5 cents, but a tough sales environment pushed the company's loss much wider than expected, with a reported 18-cent loss per share.
Continue reading Masco (MAS) misses estimates and announces dividend cut
Posted Jan 30th 2009 11:50AM by Michael Fowlkes (RSS feed)
Filed under: Before the bell, Major movement, Earnings reports, Forecasts, Bad news, From the boards, Procter and Gamble (PG), Recession
Consumer products maker
Procter & Gamble (NYSE:
PG) is falling today after the company announced earnings this morning, and
lowered its full year 2009 forecast.
Going into this morning's earnings release, analysts had been expecting to see the company show earnings of $1.58 per share for its fiscal 2009 second quarter. While the company was able to post $1.58 for the quarter, earnings from continuing operations missed, with a reported $0.94 per share, short of analyst estimates for $0.99 a share.
Continue reading Procter & Gamble (PG) falls on earnings forecast
Posted Jan 7th 2009 5:00PM by Michael Fowlkes (RSS feed)
Filed under: Major movement, International markets, Forecasts, Bad news, Products and services, Intel (INTC), Technology, Recession, Financial Crisis
Shares of chip maker
Intel Corporation (NASDAQ:
INTC) are selling off today after the company announced that
fourth quarter revenues were going to be below (
wsj subscription required) an already lowered estimate.
The stock is currently down 6.4% on the day to $14.38 and trading near its intraday low of $14.34 following the announcement that the company is expecting to see revenues for its fourth quarter around the $8.2 billion level. At this level, the quarterly revenues would be 20% lower than its previous quarter, and well below its guidance from November that forecast a 12% dip in the quarter.
Today's news is a clear sign of the troubles that the semiconductor industry is dealing with at this time. Typically, the fourth quarter is the strongest quarter, and as recently as October, Intel had forecast that its fourth quarter sales would actually be higher than its third quarter numbers by around 3%. How quickly things can change.
Continue reading Intel sells off following Q4 revenue guidance
Posted Oct 22nd 2008 1:05PM by Todd Harrison (RSS feed)
Filed under: Analyst reports, Bad news,
Minyanville contributor Minyan Peter dares to share the kind of keen insight and actionable information you won't find in any prospectus. For more original thought, visit www.minyanville.com.I will make my visit to the soap box this morning very brief. When I read comments like the following from
Wachovia (
NYSE: WB) this morning, my skin crawls:
"
The $18.8 billion in noncash goodwill impairment reflect[s] declining market valuations and the terms of the merger with Wells Fargo; the recognition of the impairment affected the retail and small business, commercial, wealth management and asset management subsegments. The goodwill impairment charge has no impact on Wachovia's tangible capital levels or regulatory capital ratios, because goodwill is deducted when computing those ratios."
Let me put what Wachovia just said in plain language:
'In hindsight, we paid $18.8 billion more than we should have for the businesses we bought. But it doesn't matter. The cash went out the door long ago. And because the regulators were at least smart enough to realize we were overpaying, they didn't let us count the $18.8 billion as capital. So none of this should bother you.'
So when you open your next brokerage statement and your stocks are worth less than they were last month, try expressing your feelings like you are the CEO of a one of the world's largest financial institutions:
"
The $10,000 in noncash impairment that I took this month reflects declining market values, but that's okay, at least I didn't have to write a check for $10,000 this month."
Feel better?
I sure do.
Now I will get off my soap box.
Posted Oct 8th 2008 8:45AM by Michael Fowlkes (RSS feed)
Filed under: Before the bell, Earnings reports, Bad news, Competitive strategy, Alcoa Inc (AA), Commodities
The current earnings season officially got under way last night as
Alcoa (NYSE:
AA), the first DOW stock to report, released its third quarter numbers, and the
results were not too pretty.
Going into last night's earnings release, analysts had been expecting Alcoa to earn
53 cents per share in its third quarter, but the company reported much lower actual numbers -- 33 cents per share for the quarter, or $268 million. Weak demand, coupled with falling aluminum prices were the main culprits during the quarter.
During the same period last year, the company showed earnings of 63 cents per share, or $555 million.
Since hitting an all time high in July, aluminum prices have been pulling back sharply over the past few months, and have
dipped around 32% from the highs set over the summer.
The company also announced that it would be trying to preserve its cash by
suspending its stock buyback plan. Previously, the company had approved a 25% buyback of its outstanding stock, and had already purchased 12%, but will stop the buying for the time being.
Shares of the company are trading down a little over 3% this morning in the premarket.
Michael Fowlkes has worked as a stock trader for seven years and spent the last four years working as an analyst for the online investment advisory service Investor's Observer.Posted Oct 1st 2008 3:46PM by Michael Fowlkes (RSS feed)
Filed under: Bad news, Products and services, Consumer experience, Competitive strategy, Ford Motor (F), General Motors (GM), Toyota Motor Corp. (TM), Economic data, Recession, Financial Crisis
September proved to be yet another tough month for American auto maker
Ford Motor Company (NYSE:
F) as the company saw its
U.S. sales drop by a massive 34% during the month.
The company noted that we are in the middle of an "atmosphere of caution" as the troubled economic environment, and tightening credit conditions are still taking their tolls on the automotive industry.
We will hear more troubling news later today as more auto makers release their September numbers, and analysts are expecting to hear more of the same from the other major names in the industry. Fellow Detroit auto maker
General Motors Corporation (NYSE:
GM) is expected to announce sales dropping around 27%, while Japanese maker
Toyota Motor Corporation (NYSE:
TM) is expected to show a sales decline of around 17%.
Today's news from the major names should really come as no surprise, since we have been hearing much of the same through most of the year. Through August, nationwide sales of vehicles was down 11.2%.
As consumers continue to express their concerns over the overall economy it is going to continue to be tough for car dealers to get shoppers into their showrooms. Bigger incentives should help a little, but until consumers start to turn more positive on the overall economy, it is going to be tougher and tougher to sell them new cars.
Michael Fowlkes has worked as a stock trader for seven years and spent the last four years working as an analyst for the online investment advisory service Investor's Observer.Posted Jul 8th 2008 9:43AM by Michael Fowlkes (RSS feed)
Filed under: Before the bell, Major movement, Earnings reports, Forecasts, Bad news, Office Depot (ODP), Recession
Look for shares of
Office Depot (NYSE:
ODP) to take a beating today after the office supplies retailer shocked Wall Street by predicting a
huge drop in its second quarter same-stores sales.
Office Depot is going to announce its second quarter numbers later this month, and investors got a better picture of just what to expect this morning after the company stated that it is now forecasting a 10% drop in its same-store sales for the quarter, citing the slowing American economy as the main reason.
The company also warned it expects the remainder of the year to remain difficult. While the retailer believes that sales trends should improve slightly, it is remaining pessimistic. Margins for the quarter, it says, have declined by about 200 basis points than what it had previously anticipated. Even before today's revision, the company had estimated about 200 to 250 basis point decline in its margins. Looking at the rest of the year, the company thinks that its margins should increase sequentially in both Q3 and Q4.
Continue reading Slowing economy hits Office Depot (ODP) hard
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Agricultural manufacturer Mosaic Co. (NYSE: MOS) is trading slightly lower in after hours trading this afternoon after the company posted lower than expected earnings for its fiscal first quarter.
Shares of Accenture (NYSE: ACN) are trading in the red in after hours trading today following the company's fiscal fourth quarter earnings release and a weaker than expected first quarter forecast.
Shares of California-based homebuilder KB Home (NYSE: KBH) sold off Friday morning after the company failed to meet analyst estimates for its third quarter.
Shares of e-commerce giant Amazon.com, Inc. (NASDAQ: AMZN) are selling off sharply this afternoon after disappointing Wall Street with its second quarter numbers.
According to a report today from the Labor Department, 15 states now have unemployment rates above 10%.
Semiconductor Nvidia Corp. (NASDAQ: NVDA) had its turn in the earnings parade this afternoon, and the company put up dismal results that failed to meet analyst expectations.
Closing Bell: Can't go up every day (BAC, HE, HPW, COMS, BRCD, WMT, AMD)
Wal-Mart grows profit and cash flow in Q3, but comps still ailing
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