Sales increased 6%. On a GAAP basis, Kodak made $1.36 per share from continuing operations. This compares to a loss of $3.40 per share booked in the year-ago period. According to Reuters, the non-GAAP number was $1.08 per share, beating the estimate of 18 cents by what is obviously a very wide margin.

Continue reading Eastman Kodak Up Big on Q4 News

Eastman Kodak Up Big on Q4 News originally appeared on BloggingStocks on Thu, 28 Jan 2010 15:30:00 EST. Please see our terms for use of feeds.

Eastman Kodak (NYSE: EK), which counts Sony (NYSE: SNE) and Canon (NYSE: CAJ) as related companies, continues its slide into fundamental hell. According to the third-quarter earnings release, sales declined a scary 26%, and a GAAP loss of 41 cents per share was reported. Last year at this time, Kodak produced positive income of 35 cents per share. According to Reuters, the adjusted loss of 23 cents per share was worse than analyst projections. Wall Street was hoping for something closer to a loss of 19 cents per share.

Don't you get the feeling management just doesn't know what to do? Kodak has become a conundrum of epic proportions. Just how is someone supposed to improve a situation that has gone so downhill?

Continue reading Eastman Kodak's Q3 continues to expose negatives

Eastman Kodak's Q3 continues to expose negatives originally appeared on BloggingStocks on Fri, 30 Oct 2009 09:00:00 EST. Please see our terms for use of feeds.

Continue reading Eastman Kodak (EK) falls on capital-raising efforts

Eastman Kodak (EK) falls on capital-raising efforts originally appeared on BloggingStocks on Thu, 17 Sep 2009 13:30:00 EST. Please see our terms for use of feeds.

Investors continued to sell Eastman Kodak (NYSE: EK) during the second quarter, and shares bottomed at $2 per share.

Looking forward, I recently added Eastman Kodak to my Penny Stock Winners model portfolio as a buy recommendation.

In my opinion, the carnage at Eastman Kodak has been complete and the upside benefit of the digtal revolution is worth the speculation. The company may never fully recover from the last few years, but a small improvement in operations can result in big gains in the stock.

I would be a buyer of Eastman Kodak at these prices.

Next: Stock to Avoid #10

Stock to avoid #9 -- Eastman Kodak (EK) originally appeared on BloggingStocks on Sun, 19 Jul 2009 12:00:00 EST. Please see our terms for use of feeds.

With such uncertainty, following an absolute return strategy continues to offer investors the biggest bang for their buck. There is no sense in guessing where the market will be down the road.

Instead, buy cheap stocks and sell stocks that are expensive. Then blend the two approaches together in one portfolio and chances are you'll make money.

Even with a huge rally in stocks, the S&P 500 ended the second quarter with a year-to-date gain of 1.78%. That is a vast improvement compared to the 11% loss at the end of the first quarter, but it's a minimal return for taking risk in the stock market.

Investors need to do better -- and they can.

Continue reading Take a pass on these ten stocks

Take a pass on these ten stocks originally appeared on BloggingStocks on Sat, 18 Jul 2009 08:00:00 EST. Please see our terms for use of feeds.

According to this article, Kodak's adjusted loss of $0.95 per share from continuing operations missed Wall Street's call. By a lot. Some in the analyst community thought that Kodak would lose $0.44 per share. Others thought the company would lose less than even that figure. Doesn't matter what source you look at, the facts in the case make it clear that Kodak is not doing well. Worldwide sales shed just under 30% of their value. The digital segment fared very poorly in Q1.

Continue reading Eastman Kodak's Q1 snapshot shows company in decline

Eastman Kodak's Q1 snapshot shows company in decline originally appeared on BloggingStocks on Fri, 01 May 2009 14:20:00 EST. Please see our terms for use of feeds.

Continue reading Bill Gates reports 5.2% stake in Kodak

Bill Gates reports 5.2% stake in Kodak originally appeared on BloggingStocks on Tue, 17 Feb 2009 15:48:00 EST. Please see our terms for use of feeds.

Eastman Kodak (NYSE: EK) has been struggling for decades, and the current financial crunch is just pushing it further along. Today it announced 4,500 job cuts on a 24% drop in revenue and a restructuring charge of $350 million. Kodak is a classic example of a company whose decades of success make it unable to adapt to change.

First, a look at Kodak's report. With sales down to $2.43 billion from $3,22 billion a year ago, it is cutting its workforce by 18%. This cut contributed to a fourth quarter loss from continuing operations of $133 million, or 50 cents a share -- compared to last year's profit from continuing operations of $92 million, or 32 cents. This report comes at the end of a four-year, $3.4 billion overhaul in December 2007 that eliminated 50% of its workers, or 28,000 jobs. The shakeup was supposed to shift the company's focus to digital products and services from traditional film, but it came too late.

Continue reading Kodak keeps collapsing

Kodak keeps collapsing originally appeared on BloggingStocks on Thu, 29 Jan 2009 09:45:00 EST. Please see our terms for use of feeds.

In this series, we take a look at the 25 stocks on the S&P 500 Index (SPX) that have turned in the worst performance during the past decade -- what went wrong, and what happens next.

Be honest -- when was the last time you dropped off a roll of film to be developed? If your response dates back to the 1990s, the unpleasant fate of Eastman Kodak Company (NYSE: EK) probably doesn't need too much explaining. The way we take pictures and use paper has shifted drastically in the past decade, and Eastman has struggled in its attempts to keep up (with more "struggling" than "keeping up" involved, nearly every step of the way).

What went wrong? At No. 11 on our list of SPX dawdlers, EK shed 80% of its value during from June 30, 1998 through June 30, 2008. The stock tapped an all-time high near $95 in early 1997; during the decade in question, the shares peaked at $88.94 in July 1998. It was to be the first in a long series of lower highs for EK as it cascaded down the charts.

Eastman Kodak entered 1998 with an aggressive turnaround plan. The elimination of 20% of EK's payroll was meant to help stem the tide of diminishing profits and market share for the one-time leviathan of photography; the company was floundering in the face of heightened competition from the likes of Fuji. EK also unloaded a chain of retail stores and non-core businesses, but a gradual increase in profits couldn't mask disappointing sales growth.

Continue reading Worst 10-year performers: Eastman Kodak battles the digital era

Worst 10-year performers: Eastman Kodak battles the digital era originally appeared on BloggingStocks on Tue, 29 Jul 2008 17:31:00 EST. Please see our terms for use of feeds.

Paul Krugman's New York Times op-ed tries to defend his Princeton colleague, Federal Reserve Chairman Ben Bernanke. Krugman suggests that inflation is not a problem because he can't find any long-term labor contracts with 11% annual pay increases as in 1981's United Mine Workers contract.

Krugman gets himself into a weak position and he does not disclose his fealty to Bernanke whom he evidently does not believe can defend himself. It seems absurd to pretend that inflation is not a problem. Food prices have tripled and oil prices have doubled as Bernanke cut the Fed funds rate from 5.25% to 2%. Last week Dow Chemical (NYSE: DOW) announced a 20% price increase as did Eastman Kodak (NYSE: EK) in response to rising oil and other commodity prices. Huntsman Chemical (NYSE: HUN) announced a 25% price increase. And consumers -- who account for 70% of GDP growth -- expect inflation to rise at a rate of 7.7%.

Continue reading Krugman's lame defense of Bernanke's pro-inflation policy

Krugman's lame defense of Bernanke's pro-inflation policy originally appeared on BloggingStocks on Mon, 02 Jun 2008 09:57:00 EST. Please see our terms for use of feeds.

Continue reading Kodak (EK) falls on disappointing quarterly earnings

Kodak (EK) falls on disappointing quarterly earnings originally appeared on BloggingStocks on Thu, 01 May 2008 13:10:00 EST. Please see our terms for use of feeds.

After hitting a one-year high of $30.20 in June, the stock hit a one-year low of $16.66 last week. This morning, EK opened at $20.54. So far today the stock has hit a low of $19.85 and a high of $20.91. As of 11:05, EK is trading at $19.88, down $0.57 (-2.8%). The chart for EK looks bearish but improving slightly, while S&P gives the stock a neutral 3 STARS (out of 5) hold rating.

For a bearish hedged play on this stock, I would consider a March bear-call credit spread above the $22.50 range. A bear-call credit spread is an options position that combines the purchase and sale of call options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make an 8.7% return in 2 months as long as EK is below 22.50 at March expiration. Kodak would have to rise by more than 15% before we would start to lose money.

Continue reading Eastman Kodak (EK) falls on Q4 earnings miss

Eastman Kodak (EK) falls on Q4 earnings miss originally appeared on BloggingStocks on Wed, 30 Jan 2008 13:16:00 EST. Please see our terms for use of feeds.

MAJOR PAPERS:

• Merrill Lynch & Co Inc (NYSE: MER), under intense pressure from billions of dollars of mortgage write-downs may get about a $5B capital investment from Temasek Holdings, a Singapore state-owned investment firm, the Wall Street Journal reported.
• The WSJ also reported that the SEC is investigating how Washington Mutual Incorporated (NYSE: WM) handled and reported on mortgage loans which may have been based on inflated home appraisals.

• BusinessWeek's "Inside Wall Street," Eastman Kodak Company (NYSE: EK) is looking to transform from a pariah on the Street into success. The number one photography company has been restructuring since 2003, and analysts expect to see strong profitability and cash flow in 2008.
• Aldabra 2 Acquisition Corp (AMEX: AII) may be another success story, BusinessWeek's "Inside Wall Street" noted, particularly if it gets a boost in output and "possible listing on the Big Board."
• Analysts are bullish on Inspire Pharmaceuticals Inc (NASDAQ: ISPH), BusinessWeek's "Inside Wall Street" reported, which has conjunctivitis drug AzaSite on the market and several drugs in its pipeline. AzaSite sales are expected to come in around $45M next year, but the company could grow further with its cystic fibrosis drug Denufosol, now in phase III trials.

Newspaper wrap-up: WaMu under SEC investigation originally appeared on BloggingStocks on Fri, 21 Dec 2007 08:50:00 EST. Please see our terms for use of feeds.

Continue reading Kodak (EK) ends Olympic sponsorship: A bad omen?

Kodak (EK) ends Olympic sponsorship: A bad omen? originally appeared on BloggingStocks on Mon, 15 Oct 2007 12:50:00 EST. Please see our terms for use of feeds.

Eastman Kodak (EK) ditches Olympic advertising originally appeared on BloggingStocks on Fri, 12 Oct 2007 11:59:00 EST. Please see our terms for use of feeds.

Hewlett-Packard (NYSE: HPQ) has introduced another technology that demonstrates why the company often out-flanks rivals. The new product, which is free, allows mobile PC users to print documents on almost any printer. According to The New York Times, the system is called "Cloudprint".

The feature uses server-based software run on hardware owned and operated by HP. The Times writes that :"The service requires users to first "print" their documents to H.P. servers connected to the Internet. The system then assigns them a document code, and transmits that code to a cellphone, making it possible to retrieve and print the documents from any location." HP hopes the service will drive printer and ink sales.

HP's printing and imaging group is critical to the company's success. According to the HP 10-Q, the division represents 27% of the company's annual revenue and will do almost $30 billion this year. The operation competes with Lexmark (NYSE: LXK), Canon (NYSE: CAJ), and Kodak (NYSE: EK) for market share in the huge global printer market.

The HP initiative is an example of how the company's innovation prowess is keeping it ahead of its competition, but it is also a sign that server-based applications are growing in importance. Google (NASDAQ: GOOG) is offering several server-based products including its document and spreadsheet products. The move is seen as a challenge to Microsoft (NASDAQ: MSFT) which creates software the works primarily on individual PCs.

HPQ shares are up 80% over the last two years. but the company is not waiting for the competition to catch its breath.

Douglas A. McIntyre is a partner at 24/7 Wall St.

Printers: Another reason HP (HPQ) stays ahead originally appeared on BloggingStocks on Mon, 20 Aug 2007 07:00:00 EST. Please see our terms for use of feeds.

• Verizon Communications Inc (NYSE: VZ) to report Q2 earnings; conference call at 8:30am. Analysts will look at Verizon's marketing strategy [particularly for FiOS], infrastructure improvements, and operating expenses. Above-average debt remains a blemish, but Wall Street will overlook that if Verizon registers impressive subscription and market share statistics, and demonstrates that its fiber optic-based FiOS Internet/TV network roll-out timetable for major markets remains on schedule.
• Monster Worldwide Inc (NASDAQ: MNST) to report Q2 earnings; conference call at 10am. Monster is expected to register adequate, albeit decelerating revenue growth in Q2 compared to Q1, hence the grade for the company's performance may hinge on analysts' projection regarding the likely revenue scenario moving forward.

• Federal District Court Hearing to decided whether to approve the FTC's application for injunction blocking the proposed merger between Whole Foods Market Inc (NASDAQ: WFMI) and Wild Oats Markets Inc (NASDAQ: OATS).
• FDA 8am Gastrointestinal Drugs and Drug Safety and Risk Management Joint Advisory Committee Hearing on Biogen Inc's (NASDAQ: BIIB) Tysabri for Crohn's Disease.
• RegenRX Pharmaceuticals (AMEX: RGN) to update on its clinical trials program at 4:30pm.

• PDUFA date for GlaxoSmithKline (NYSE: GSK) / POZEN Inc's (NASDAQ: POZN) Trexima for migraine headaches.
• Teva Pharmaceuticals (NASDAQ: TEVA) to report Q2 earnings; conference call at 8:30am.
• Sales Conference Calls: Ford Motor Company (NYSE: F) at 1pm; General Motors Corporation (NYSE: GM) at 2pm
• Starbucks Corporation (NASDAQ: SBUX) to report Q3 earnings; conference call at 5pm. After recent sluggish stock performance, some analysts see Starbucks snapping back in the quarters ahead: Starbucks is expected to add a breakfast sandwich at 4,000 stores/coffee houses, which could increase per-store revenue by $70K annually.

• Eastman Kodak Company (NYSE: EK) to report Q2 earnings; conference call at 11am. Note that the volatility in Kodak is elevated going into its earnings report.

• Procter & Gamble Company (NYSE: PG) to report Q4 earnings; conference call at 8:30am.

Market highlights for next week: Verizon, Starbucks to report originally appeared on BloggingStocks on Fri, 27 Jul 2007 15:30:00 EST. Please see our terms for use of feeds.

MAJOR PAPERS:

• Higher interest rate are making commercial real estate deal makers think twice about deals, according to the Wall Street Journal's "Heard on the Street," sending shares of companies like Archstone-Smith Trust (NYSE: ASN) down from $64 to $60.75 a share.
• The Financial Times reported that U.S. senators have proposed new laws that would impose higher taxes on private equity firms that list their shares on stock exchanges, a move that could be a blow to private-equity firm Blackstone Group, which is seeking to list its shares.
• The U.S. and U.K. are working on a treaty that would allow Britain to buy American weapons without obtaining export licenses, the Financial Times reported; any deal on the issue could face opposition in the U.S. Congress, although the British believe eliminating the need for the licenses would expedite the arms purchasing process.

• Turnaround candidate Eastman Kodak Company (NYSE: EK) may be ready to shine, BusinessWeek's "Inside Wall Street" column reported, and now may be a good time to evaluate a potential EK play, according to investment advisor Gregory MacArthur.
• Gateway Inc (NYSE: GTW) is selling products in China for the first time in a pilot program with Digital China Holdings Ltd, the LA Times reported.
• According to The Nation, The Dow Chemical Company (NYSE: DOW) is planning to ask its board of directors later this year for approval to invest in five petrochemical projects in Thailand.
• Cementos Portland Valderribas, a unit of Fomento de Construcciones y Contractas is planning a bid for Texas Industries Inc (NYSE: TXI), the Expansion reports, citing people close to the situation.

Newspaper wrap-up 6-15-07: Gateway selling products in China originally appeared on BloggingStocks on Fri, 15 Jun 2007 09:15:00 EST. Please see our terms for use of feeds.

• Bill Miller, despite being wrong on this investment since 1999, believes Eastman Kodak Company (NYSE: EK) will turnaround and is worth $45 per. As we have blogged in the past, the new CEO is very close to getting this business model to work, meaning this company could turn into a free cash flow machine.
• Steve Mandel, formerly of Tiger Management and now running a fund at Lone Pine Capital, likes EMC Corporation (NYSE: EMC), which was up big last week. In addition, he likes other large cap stocks such as General Electric Company (NYSE: GE) and Goldman Sachs Group Inc (NYSE: GS). He also has has postive comments on Google Inc (NASDAQ: GOOG).
• Wilbur Ross is still pushing his commodities turnaround plays, in particular International Coal Group Inc (NYSE: ICO). Ross's thinking is as follows: Coal pricing should reach healthy levels as excess inventory is burned off. Coal will account for 57% of U.S. electricity generation, up from 50% today, in the next twenty five years. Appalachian coal, in which ICO is rich, has considerable pricing power since East Coast supply is limited and demand is strong.

A plethora of stock ideas originally appeared on BloggingStocks on Tue, 29 May 2007 15:20:00 EST. Please see our terms for use of feeds.

Eastman Kodak gives up some of yesterday's gains originally appeared on BloggingStocks on Tue, 22 May 2007 12:16:00 EST. Please see our terms for use of feeds.