Continue reading Closing Bell: Mixed Fanfare on Wall Street (AAPL, BRK-B, GE, LUV, SMH, MCD, OREX)

Closing Bell: Mixed Fanfare on Wall Street (AAPL, BRK-B, GE, LUV, SMH, MCD, OREX) originally appeared on BloggingStocks on Mon, 04 Apr 2011 16:30:00 EST. Please see our terms for use of feeds.

Southwest Airlines (LUV) is the largest airline in the United States, based on domestic passengers carried. Southwest Airlines operates more than 3,100 flights a day, as of December 31, 2010, utilizing a fleet of 548 Boeing 737 aircraft. Southwest Airlines currently serves 71 cities in 36 states. It also provides freight services with in the United States, and the company competes with American Airlines (AMR), Delta Airlines (DAL), and U.S. Airways (LCC). In September 2010, Southwest announced plans to acquire AirTran Airways (AAI), which is expected to close in Q2 2011.

Launch of Coverage on Southwest Airlines; $14.05 Price Estimate

We've broken down our analysis of Southwest Airlines into two main business segments:

Continue reading Coverage Launch: $14 Trefis Price Estimate for Southwest Airlines (LUV)

Coverage Launch: $14 Trefis Price Estimate for Southwest Airlines (LUV) originally appeared on BloggingStocks on Mon, 21 Mar 2011 12:00:00 EST. Please see our terms for use of feeds.

Fortune has released its list of the world's 50 most respected companies and once again Apple Inc. (AAPL) tops the list.

This is the fourth year in a row that the Cupertino based company has grabbed the top slot. Apple's respect comes mainly due to the company's ability to release new products at an amazingly quick pace, often updating its main product lines at least once a year.

Continue reading Apple Still Fortune's Most Respected Company

Apple Still Fortune's Most Respected Company originally appeared on BloggingStocks on Thu, 03 Mar 2011 17:30:00 EST. Please see our terms for use of feeds.

Southwest Airline Co. (LUV) overall option implied volatility of 32 is below its 26-week average of 34 into Q2 earnings per share (EPS) on January 20, suggesting slightly less price movement.

Microsoft Corporation (MSFT) overall option implied volatility of 23 is below its 26-week average of 28 into Q2 EPS on January 27, suggesting decreasing price movement.

Options Update is by Stock Specialist Paul Foster of theflyonthewall.com.

Continue reading Options Update: Southwest Volatility Low

Options Update: Southwest Volatility Low originally appeared on BloggingStocks on Wed, 19 Jan 2011 18:00:00 EST. Please see our terms for use of feeds.

The earnings season ramps up this week. Analysts polled by Thomson Reuters foresee strong reports from such big names as Apple (AAPL), eBay (EBAY), IBM (IBM), General Electric (GE), Google (GOOG), Schlumberger (SLB) and Southwest Airlines (LUV). And fast on the heels of last week's big earnings beat from JPMorgan Chase (JPM), there will be plenty more results from the financial sector to peruse this week.

Among the financials expected to post double-digit earnings growth this week are Capital One Financial (COF), Morgan Stanley (MS), SLM Corp. (SLM) and U.S. Bancorp (USB), but the week's biggest earnings winner may be Wells Fargo (WFC).

Continue reading Week in Preview: Banks in the Earnings Spotlight

Week in Preview: Banks in the Earnings Spotlight originally appeared on BloggingStocks on Sun, 16 Jan 2011 12:30:00 EST. Please see our terms for use of feeds.

Southwest Airlines (LUV) is hosting an analyst meeting on December 16. Overall option implied volatility of 31 is below its 26-week average of 35, according to Track Data, suggesting decreasing price movement.

Discover Financial Services (DFS) is scheduled to report Q4 EPS on December 16. Overall option implied volatility of 37 is near its 26-week average, according to Track Data, suggesting nondirectional price movement.

Options Update is by Stock Specialist Paul Foster of theflyonthewall.com

Options Update: Southwest Airlines Volatility Low into Analyst Meeting originally appeared on BloggingStocks on Wed, 15 Dec 2010 17:00:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Goldman upgraded Citigroup (C) to conviction buy from buy, Principal Financial (PFG) to buy from neutral, and Stancorp Financial (SFG) and Hartford Financial (HIG) to neutral from sell.
• JetBlue (JBLU) was upgraded to overweight from neutral at JPMorgan.
• Barclays upgraded Royal Caribbean (RCL) and Carnival (CCL) upgraded to overweight from equal weight.
• Hollysys Automation (HOLI) was upgraded to buy from hold at Roth Capital.
• RBC Capital upgraded Alliance Data Systems (ADS) to outperform from sector perform.
• RRI Energy (RRI) was upgraded to buy from hold at Citigroup.

Continue reading Analyst Calls: ALTR, ATHN, C, CCL, HD, JBLU, LUV, MSFT, RCL ...

Analyst Calls: ALTR, ATHN, C, CCL, HD, JBLU, LUV, MSFT, RCL ... originally appeared on BloggingStocks on Mon, 25 Oct 2010 11:30:00 EST. Please see our terms for use of feeds.

The earnings crunch is back on this week. Third quarter reports are due from tech, financial and pharmaceutical companies, from airlines and from many others. Here's a day-by-day rundown of the coming week's earnings highlights, with a closer look at Apple (AAPL), Harley-Davidson (HOG), Boeing (BA) and Southwest Airlines (LUV).

Getting things started on Monday, analysts surveyed by Thomson Reuters expect Citigroup (C), Halliburton (HAL) and IBM (IBM) to post year-over-year earnings growth. But Monday's highlight no doubt will be Apple's (AAPL) quarterly results.

Continue reading Week in Preview: Return of the Earnings Crunch (AAPL, BA, HOG, LUV)

Week in Preview: Return of the Earnings Crunch (AAPL, BA, HOG, LUV) originally appeared on BloggingStocks on Sun, 17 Oct 2010 12:30:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• KeyBanc upgraded Las Vegas Sands (LVS) to hold from underweight based on Singapore performance and a potential revaluation of the yuan.
• ThinkEquity upgraded Seattle Genetics (SGEN) to buy from hold based on the positive SGN-35 HL data. The firm raised its price target to $16 from $12.
• Merriman upgraded Applied Signal (APSG) to buy from neutral with a $28 to $31 valuation range, citing greater confidence in earnings estimates and the company's recent contract wins.
• Siliconware Precision (SPIL) was upgraded to neutral from underperform at Macquarie.
• Pulte Group (PHM) was upgraded to neutral from sell at Goldman.
• Greenbrier (GBX) was upgraded to outperform from market perform at Morgan Keegan.

Continue reading Analyst Calls: AAI, APSG, D, GBX, HSP, LVS, SGEN, SI, SON, TGT, TXT ...

Analyst Calls: AAI, APSG, D, GBX, HSP, LVS, SGEN, SI, SON, TGT, TXT ... originally appeared on BloggingStocks on Tue, 28 Sep 2010 12:30:00 EST. Please see our terms for use of feeds.

The earnings crunch rolls on this coming week, and the analysts surveyed by Thomson Reuters are looking for strong quarterly results from the likes of Avon (AVP), Coinstar (CSTR), Corning (GLW), DuPont (DD), MetLife (MET), Norfolk Southern (NSC), Northrop Grumman (NOC), Royal Dutch Shell (RDS.A) and many others. In fact, Broadcom (BRCM), Chevron (CVX) and Southwest Airlines (LUV) are expected to have doubled their second-quarter earnings per share compared to a year ago.

The three months that ended in June saw Southwest Airlines celebrate the 39th anniversary of its founding, and it also declared a quarterly dividend. Analysts expect the Dallas-based no-frills carrier to report that second-quarter earnings came to 27 cents a share, a 70.4% rise from a year earlier. Revenue for the period is expected to have grown 20.4% to $3.2 billion. So far, analysts predict similar earnings and revenue numbers for the third quarter. But earnings results were better than expected in the past four quarters, beating consensus estimates by as much as 47%.

Continue reading The Week in Preview: High Expectations for Southwest, Chevron, Broadcom

The Week in Preview: High Expectations for Southwest, Chevron, Broadcom originally appeared on BloggingStocks on Sun, 25 Jul 2010 12:30:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Keefe Bruyette upgraded East West Bancorp (EWBC) to outperform from market perform after the company acquired assets from Washington First International Bank. The firm has a $21 price target for shares.
• Piper Jaffray upgraded Amylin (AMLN) to overweight from neutral, citing valuation and Bydureon's profile. The firm maintains a $26 price target for shares.
• Soleil upgraded MGM Mirage (MGM) to hold from sell, citing signs of stabilization in Vegas and valuation. The firm upped its target for shares to $13 from $11.10.
• T. Rowe Price (TROW) was upgraded to outperform from market perform at FBR Capital.
• JetBlue (JBLU) was upgraded to buy from neutral at BofA/Merrill.
• NetEase.com (NTES) was upgraded to buy from hold at Standpoint Research.

Continue reading Analyst Calls: AMLN, AMR, EWBC, FSYS, LGF, LUV, MGM, PLOW, SXCI, TROW ...

Analyst Calls: AMLN, AMR, EWBC, FSYS, LGF, LUV, MGM, PLOW, SXCI, TROW ... originally appeared on BloggingStocks on Mon, 14 Jun 2010 12:00:00 EST. Please see our terms for use of feeds.

The silver lining to the travel slump last year was that fewer flights made it easier for airlines to hit their deadlines. In 2009, the airline sector had its best year for on-time arrivals since 2003, largely because many routes were cut as passenger traffic fell and companies looked for ways to cut costs. According to the Department of Transportation, airlines hit a 79.5% on-time rate last year (which includes flights that were within 15 minutes of their arrival time).

Hawaiian Airlines had the best record, but it's a small regional, lacking the challenges of the major carriers. Among the big guys, Southwest's (LUV) 83% on-time rate was best, and United's (UAUA) 81% was tops for traditional air carriers. Of course, these airlines and the rest of the sector were helped along by the fact that they pad their schedule, which makes it a hell of a lot easier to show up on time.

Continue reading United Airlines Buys On-Time Success

United Airlines Buys On-Time Success originally appeared on BloggingStocks on Sun, 14 Feb 2010 10:20:00 EST. Please see our terms for use of feeds.

Continue reading Southwest Airlines (LUV) lifted by November traffic data

Southwest Airlines (LUV) lifted by November traffic data originally appeared on BloggingStocks on Fri, 04 Dec 2009 13:20:00 EST. Please see our terms for use of feeds.

For years, it's been evident that smaller airlines have had an operating advantage, particularly when they use less expensive airports. They've been able to post better numbers as a result, and in the current travel slump, they've outperformed the larger carriers. Well, they've also picked up a considerable amount of market share.

According to a report by USA Today, low cost carriers now have 30% of the market in the United States. Price-sensitive consumers are turning to cheaper alternatives, even if it means (for fliers with elite status) giving up the perks they've earned through years of customer loyalty.

Continue reading Low cost carriers own 30% of domestic airline biz, growing fast

Low cost carriers own 30% of domestic airline biz, growing fast originally appeared on BloggingStocks on Tue, 10 Nov 2009 16:15:00 EST. Please see our terms for use of feeds.

Analyst upgrades:

• RBC Capital upgraded Bank of America (NYSE: BAC) to Outperform from Sector Perform and said the company has attractive franchise value and earnings power, and is nearing the start of a credit driven earnings recovery. The firm raised its target to $22 from $19.
• Oppenheimer assumed coverage of Amazon.com (NASDAQ: AMZN) and upgraded shares to Outperform from Perform. The firm expects Amazon's revenue growth to re-accelerate over the next several quarters, making consensus estimates too conservative. Opco set a $130 price target on the stock.
• Barclays upgraded Ford (NYSE: F) to Equal Weight from Underweight and believes the company will report Q3 results above the Street. The firm raised its Q3 EPS estimate to 7 cents from 16 cents, vs. consensus of 21 cents, and its price target to $8 from $7.
• Charles River Labs (NYSE: CRL) was upgraded to Neutral from Sell at Goldman.
• Briggs & Stratton (NYSE: BGG) was upgraded to Outperform from Neutral at Baird.
• Sealed Air (NYSE: SEE) was upgraded to Equal Weight from Underweight at Barclays.

Continue reading Analyst upgrades, downgrades and initiations: AMZN, BA, BAC, F, LUV, LYG T, WEN ...

Analyst upgrades, downgrades and initiations: AMZN, BA, BAC, F, LUV, LYG T, WEN ... originally appeared on BloggingStocks on Tue, 20 Oct 2009 11:40:00 EST. Please see our terms for use of feeds.

• American Express (NYSE:AXP) was upgraded to Market Perform from Underperform at FBR Capital, as the firm sees limited near-term downside in the stock. The firm raised its target price on the shares to $37 from $25.
  
• RBC Capital upgraded Estee Lauder (NYSE:EL) to Outperform from Sector Perform. Target to $44 from $34. UBS upgraded Nestle on expectations the company will begin returning cash to shareholders via buybacks and dividends.
  
• Piper Jaffray raised Dicks Sporting (NYSE:DKS) to Neutral from Underweight following positive channel checks and raised its target on the shares to $28 from $18.
  
• Sohu.com (NASDAQ:SOHU) was upgraded to Neutral from Sell by Pali Capital.
  
• Halliburton (NYSE:HAL) was raised to Buy from Hold by Natixis.
  
• Sunpower (NASDAQ:SPWRA) was upgraded to Neutral from Underperform at Macquarie.
• China Automotive (NASDAQ:CAAS) was upgraded to Buy from Neutral at Merriman.

Continue reading Analyst upgrades, downgrades and initiations: AXP, HAL, EL, MAT, CAT....

Analyst upgrades, downgrades and initiations: AXP, HAL, EL, MAT, CAT.... originally appeared on BloggingStocks on Mon, 19 Oct 2009 12:50:00 EST. Please see our terms for use of feeds.

Southwest Airlines Co. (NYSE: LUV), the Dallas-based low-cost air carrier, is scheduled to discuss its third quarter 2009 financial results in a conference call Thursday at 11:30 AM ET hosted by CEO Gary Kelly and CFO Laura Wright. You can catch the live webcast on the company's website.

During the three months that ended in September, Southwest began service to Boston Logan, prepared a bid to acquire Frontier Airlines, and declared its 132nd consecutive quarterly dividend. But analysts surveyed by Thomson Reuters expect the company to report that earnings fell from 9 cents per share a year ago to a penny per share. Sales for the quarter are expected to be 9.7% lower to $2.6 billion.

Continue reading Southwest Airlines to post a profit for Q3?

Southwest Airlines to post a profit for Q3? originally appeared on BloggingStocks on Wed, 14 Oct 2009 16:45:00 EST. Please see our terms for use of feeds.

United Airlines (NASDAQ: UAUA), US Airways (NYSE: LCC) and American Airlines (NYSE: AMR), according to an influential analyst, have run out of options. Jamie Baker of JPMorgan said in a July 20, 2009 report that these companies couldn't do anything to prevent a cash crisis. They only savior available to them would have to be an outside investor. To call the position grim would be optimistic. Unfortunately, it couldn't have come at a worse time.

As Baker was walking the bear into the airline industry, United was starting to celebrate its change in direction. The carrier has improved its on-time rate, according to a USA Today report, and its operations are coming around. Despite the fact that the airline industry has been brutalized by the global recession, the airline has made some progress. Through August, the company's share price doubled, and its ascent has continued in September. So, the company is locked in an ongoing struggle to manage its identity, cope with its past and shape how the world sees it today.

The operational "makeover" has resulted in a reduction of its fleet from 601 jets in 2000 to 386 as of the summer of 2009. In terms of passenger traffic, it's in the #4 spot in the United States - trailing Delta (NYSE: DAL), Southwest (NYSE: LUV) and American. With Q2 revenues off 25.2% year-over-year, however, drastic measures are still necessary.

Continue reading United's battle over its identity

United's battle over its identity originally appeared on BloggingStocks on Thu, 17 Sep 2009 17:00:00 EST. Please see our terms for use of feeds.

August brought more misery to the airline industry in the United States. Seven of the country's nine largest carriers saw traffic drop, with only Southwest Airlines (NYSE: LUV) and JetBlue Airways Corp (NASDAQ: JBLU) bucking the trend. The continued upward climb of unemployment, tighter corporate budgets and sluggish demand for leisure travel has resulted in fewer passengers in seats.

JetBue was the only carrier not to report a drop in available seat miles (ASMs), the primary measure of airline productivity. Load factors, however, which indicate how full a plane is, tended to be higher, largely a result of flights that have been cut in an effort to reduce costs.

Continue reading August a sluggish month for U.S. airlines

August a sluggish month for U.S. airlines originally appeared on BloggingStocks on Sun, 06 Sep 2009 15:10:00 EST. Please see our terms for use of feeds.

There may be new hope for the perpetually ailing airline industry. While I wouldn't expect these companies to become top performers anytime soon, it looks like the best revenue stream is the one nobody's been talking about: change and cancellation fees.

These penalties, which can reach up to $150, bring $2 billion in revenue into the industry annually. According to the Department of Transportation, they were good for $527.6 million in the first quarter -- in the United States alone. This is 3.2% of U.S. airline revenue.

American Airlines parent AMR (NYSE: AMR) raked in $116 million in revenue from these penalties in the first quarter of 2009 -- compared to $108 million from the more highly publicized extra bag fees. For JetBlue (NASDAQ: JBLU), the numbers are smaller (JetBlue, of course, isn't as big as AMR) but no less compelling. By pumping its change and cancellation fee from $100 to $150, the airline scored $32.2 million in Q1 2009, up from $25 million in Q1 2008.

Continue reading Could cancellation fees save the airlines?

Could cancellation fees save the airlines? originally appeared on BloggingStocks on Thu, 30 Jul 2009 11:40:00 EST. Please see our terms for use of feeds.