tradingchannel posts
FeedPosted Apr 16th 2008 2:06PM by Larry Schutts (RSS feed)
Filed under: Earnings Reports, MasterCard Inc'A' (MA), Technical Analysis, Western Union (WU), Stocks to Buy
Global Payments (NYSE: GPN) is
a high-volume payments processor of electronic transactions and related money transfers. It performs point-of-sale credit card, debit card, and check authorization functions for merchants and financial institutions and offers corporate and government clients benefits transfer processing and electronic tax payment services. The firm also facilitates money transfers from the US and Europe, primarily targeting immigrants who send funds to their home countries. MasterCard (NYSE: MA) is a client. Western Union (NYSE: WU) is a competitor.
The firm had good news for investors late last month, when it announced fiscal Q3 EPS of 44 cents and revenues of $310.6 million. Wall Street has been expecting 42 cents and $300.9 million. In discussing the solid results, the CEO pointed to successful merchant services operations and strong revenue growth from an Asia-Pacific joint venture with HSBC Holdings (NYSE: HBC). Management also guided FY08 EPS to $1.95-$1.97 ($1.94 consensus) and FY08 revenues to $1.25-$1.26 billion ($1.24B consensus).
Continue reading Global Payments (GPN): Share price advances through positive trading channel
Posted Apr 16th 2008 12:05PM by Larry Schutts (RSS feed)
Filed under: Earnings Reports, Technical Analysis, Stocks to Buy
Benihana (NASDAQ: BNHNA) operates
a series of restaurants featuring Asian cuisine prepared at the customer's table. The chefs are entertainers and the culinary process is the floor show. The chain consists of 60 teppanyaki restaurants, nine Haru sushi restaurants and 18 RA Sushi Bars. Eight teppanyaki and eight RA Sushi facilities are under development. Eighteen franchised Benihana teppanyaki restaurants are operating in the US, Latin America and the Caribbean.
The company pleased investors last week, when it reported Q408 sales of $69.8 million. That topped the equivalent period in the previous year by $4.1 million. FY08 sales of $295.2 million beat the FY07 total by $24.1 million.
Continue reading Benihana (BNHNA): Shares in positive trading channel
Posted Apr 2nd 2008 2:42PM by Larry Schutts (RSS feed)
Filed under: Earnings Reports, Technical Analysis, Stocks to Buy
Hovnanian Enterprises (NYSE: HOV) is
a major U.S. homebuilder. The firm designs and constructs single-family detached homes, attached townhomes and condominiums, mid-rise and high-rise condominiums, urban infill, and active adult homes. It targets first-time buyers, move-up buyers, luxury buyers, active adult buyers, and empty nesters. The company operates in 19 states, primarily along the East Coast and in the Midwest, California, and Texas. Hovnanian also offers mortgage financing and title services.
Investors were relieved last month, when the company reported a Q1 loss of $2.07 per share and revenues of $1.09 billion. On average, the Street had been looking for a loss of $1.96 per share and revenues of $911.4 million. Management admitted that the housing market remains challenging, but it continued to project positive cash flow from operations in excess of $100 million for FY08. Fitch Ratings subsequently upgraded its view of the homebuilder's revolving credit facility, saying the recovery prospects were "outstanding." The change to "BB-/RR1" from "B-/RR4" came, after Hovnanian reduced its credit facility from $1.2 billion to $900 million.
Continue reading Hovnanian Enterprises (HOV): Shares cycle through positive trading channel
Posted Apr 1st 2008 11:00AM by Larry Schutts (RSS feed)
Filed under: Earnings Reports, Gap Inc (GPS), Abercrombie and Fitch (ANF), Technical Analysis, Stocks to Buy
J. Crew Group (NYSE: JCG) is
a multi-channel retailer of women's and men's apparel, shoes and accessories. Known for its preppy fashions, the firm targets young professionals through 203 retail stores, a catalog business, a Web site and 63 factory outlet stores. Asian contractors produce about eighty percent of the company's merchandise. Competitors include Gap (NYSE: GPS) and Abercrombie and Fitch (NYSE: ANF).
The company pleased investors last month, when it reported Q4 EPS of 41 cents (ex-items). That topped the average Street estimate by two cents. Revenues rose 53.5% (yr/yr) to $399.9 million ($400.9M consensus). Gross margins improved 50 basis points to 41.3% and operating margins increased 60 basis points to 10.8%. Management guided FY09 EPS to $1.85-$1.87, versus consensus of $1.83.
Continue reading J. Crew Group (JCG): Shares cycling in positive trading channel
Posted Mar 12th 2008 1:46PM by Larry Schutts (RSS feed)
Filed under: Earnings Reports, Technical Analysis, Stocks to Buy
K-Tron International (NASDAQ: KTII) designs
and produces material handling equipment and systems for a variety of industrial markets. Principal products include feeders, mass flow meters, pneumatic conveying equipment and pressure systems. The company also sells hammer mills, wood hogs and double roll crushers, used in the electric utility, mining, and forest products industries. Subsidiary K-Tron Electronics produces electronic assemblies and controller hardware.
The firm pleased investors last week, when it said its fourth quarter profit climbed 40%. Earnings rose to $2.18 per share, compared with $1.57 per share, in the prior-year period. Quarterly sales grew 33% to $59.1 million. Annual net income soared 65% to $21.3 million and full-year revenue increased 36% to $201.7 million.
Continue reading K-Tron International (KTII): Shares advancing through positive trading channel
Posted Feb 28th 2008 1:16PM by Larry Schutts (RSS feed)
Filed under: Earnings Reports, Best Buy (BBY), , Technical Analysis, Stocks to Buy
Hhgregg (NYSE: HGG) is
a specialty retailer of consumer electronics, home appliances and related services. The firm operates 85 southeastern and midwestern U.S. stores, under the names hhgregg and Fine Lines. It also operates a retail Web site. Offerings include notebook computers, televisions, DVD recorders, refrigerators, ranges, dishwashers, freezers, washers, dryers and Serta mattresses. Competitors include Best Buy (NYSE: BBY) and Circuit City (NYSE: CC).
The company pleased investors earlier in the month, when it reported fiscal Q3 EPS of 45 cents and revenues of $390.4 million. Analysts had been expecting 40 cents and $389.9 million. Management also announced plans to open seven new stores in Q4 and guided FY08 EPS to $0.95-$1.03 ($1.00 consensus).
Continue reading Hhgregg (HGG): Share price advances through positive trading channel
Posted Jan 16th 2008 3:46PM by Larry Schutts (RSS feed)
Filed under: Technical Analysis, Stocks to Buy, Northrop Grumman (NOC)
ManTech International Corporation (NASDAQ: MANT) provides
information technology services, primarily to agencies of the United States government. Company operations involve systems engineering, software development, security architecture, information assurance, network and infrastructure protection, communications integration and engineering support. Clients include the intelligence community; the Departments of Defense, State, Homeland Security and Justice; and the space community. Northrop Grumman (NYSE: NOC) is a major competitor.
The stock has been on the move for the past three months, advancing through a positive trading channel in response to such developments as the acquisition of Homeland Security contractor McDonald Bradley, better-than-expected Q3 EPS and sales figures, upside guidance for Q4 numbers, subsequent affirmation of Q4 guidance, upside estimates for FY08 results and favorable analyst remarks. The price is currently consolidating at the base of that channel, where oversold MACD, Momentum and Stochastic technical parameters suggest the potential for a rise back toward the top. Correspondence of the stock's 90-day moving average to the channel base backs the rebound notion.
Continue reading ManTech International Corporation: Shares rise in trading channel
Posted Jan 16th 2008 1:39PM by Larry Schutts (RSS feed)
Filed under: Johnson and Johnson (JNJ), Boston Scientific (BSX), Technical Analysis, Stocks to Buy
American Medical Systems Holdings (NASDAQ: AMMD) provides
medical solutions designed to restore the pelvic health of men and women. It manufactures and markets surgical products to urologists, gynecologists, and urogynecologists for erectile restoration, benign prostatic hyperplasia, male urethral stricture, urinary and fecal incontinence, menorrhagia, and pelvic organ prolapse. Boston Scientific (NYSE: BSX) and Johnson & Johnson (NYSE: JNJ) are major competitors.
The stock lost ground at the end of October, on a slightly weaker than expected third quarter report. It has risen fifteen percent since that time, however, on word of insider buying, a pair of upgrades, in-line to upside fourth quarter guidance and the replacement of the CEO by the COO.
Continue reading American Medical Systems (AMMD) shares rise in positive trading channel
Posted Jan 15th 2008 4:22PM by Larry Schutts (RSS feed)
Filed under: Microsoft (MSFT), Amazon.com (AMZN), Sony Corp ADR (SNE), Best Buy (BBY), Technical Analysis, Stocks to Buy
GameStop Corporation (NYSE: GME) is
the world's largest video game and entertainment software retailer, offering software, hardware and game accessories for the PC, as well as video game systems from Sony (NYSE: SNE), Nintendo (OTC: NTDOY) and Microsoft (NASDAQ: MSFT). The firm also owns two e-commerce sites and Game Informer, a leading video and computer game magazine. GameStop operates 5,123 retail stores across the United States and in 15 countries worldwide. Amazon.com (NASDAQ: AMZN) and Best Buy (NYSE: BBY) are competitors.
The stock is up nearly forty percent over the past five months, sparked by such issues as better than expected EPS/sales results in Q2 and Q3; upside guidance for Q4 EPS; and solid same-store sales improvements in Q2 (29.1%), Q3 (46.3%) and the nine-week holiday period (20%). The news has the stock cycling through a positive trading channel. The price is consolidating near the base of that channel, where oversold CCI, MACD and Momentum technical parameters suggest the potential for a rise back toward the top.
Continue reading GameStop Corporation: GME shares advance through positive trading channel
Posted Jan 15th 2008 2:40PM by Larry Schutts (RSS feed)
Filed under: International Business Machines (IBM), CIGNA Corp (CI), Technical Analysis, Stocks to Buy
Sometimes our biggest medical emergency is the cost of the drugs we need to treat our physical ailments. There is a firm in Franklin Lakes, New Jersey, that actively pursues initiatives to cut increasing drug costs and it has some clout. It is the nation's leading pharmacy benefit manager and operates the country's largest mail order pharmacy.
Medco Health Solutions (NYSE: MHS) serves some 65 million members in the U.S. and Puerto Rico. Patients fill their prescription needs through a network of close to 60,000 pharmacies, a mail-order program, or the company's online pharmacy. Medco helps contain pharmacy health care costs for private and public employers, health plans, labor unions, government agencies, and individuals served by the Medicare Part D Prescription Drug Program. Cigna (NYSE: CI) and Express Scripts (NASDAQ: ESRX) are major competitors. IBM (NYSE: IBM) is a major customer.
Continue reading Medco Health Solutions: Battling the high cost of drugs
Posted Jan 9th 2008 12:57PM by Larry Schutts (RSS feed)
Filed under: Good news, Technical Analysis, Stocks to Buy
Auxilium Pharmaceuticals (NASDAQ: AUXL) is
a specialty biopharmaceutical company with a focus on developing products for urologists, endocrinologists, orthopedists and select primary care physicians. The firm markets Testim, a topical testosterone gel for the treatment of hypogonadism. It also has projects in clinical development for the treatment of Dupuytren's contracture, Peyronie's disease, Frozen Shoulder syndrome and overactive bladder.
The stock is up 48% over the past fifteen weeks, sparked by such issues as better than expected Q3 results, upside
guidance and subsequent affirmation of FY07 revenues, and positive clinic trial developments. The news has the stock cycling through a positive trading channel. The price is consolidating at the base of that channel, where oversold CCI, MACD and Stochastic technical parameters suggest the potential for a rise back toward the top. Correspondence of the stock's 30-day moving average to the base of the channel backs the rebound notion.
Continue reading Auxilium Pharmaceuticals: Shares advance through a positive trading channel
Posted Jan 7th 2008 2:35PM by Larry Schutts (RSS feed)
Filed under: Good news, Technical Analysis, Stocks to Buy
Feeling a little heavy after the holidays? Wondering where to find help honoring that New Year's resolution to lose some weight, without attending "public" sessions? Go online, of course! There is an Web outfit in Fort Lauderdale that is helping nearly 120,000 dieters already.
eDiets.com (NASDAQ: DIET) develops and markets Internet-based diet and fitness programs in North America and Europe. It offers subscribers diet plans according to the individual's weight goals and includes related shopping lists and recipes. It also provides meal delivery service, corporate wellness programs and telephone/online support. The company has partnerships with Bristol-Myers Squibb (NYSE: BMY), Microsoft (NASDAQ: MSFT), and Time Warner's (NYSE: TWX) AOL.
DIET shares are up 40% over the past ten weeks, sparked by such issues as upside FY08 revenue guidance, favorable
analyst remarks, a new CEO and an improved technology platform. The news has the stock cycling through a positive trading channel. The price is currently near the base of that channel, where oversold Momentum and MACD technical parameters suggest the potential for a rise back toward the top. Correspondence of the issue's 30-day moving average to the base of the channel backs the rebound notion.
Continue reading eDiets.com: Online assistance for finding that slimmer you
Posted Dec 21st 2007 3:20PM by Larry Schutts (RSS feed)
Filed under: Good news, Technical Analysis, Stocks to Buy
An active pharmacy benefits manager should smooth the path between patients and their prescription medications. There is an outfit in St Louis that handles the job well. It was the recipient of Fortune's first-ever "Streetie Award" for the best overall performance by any company.
Express Scripts (NASDAQ: ESRX) is one of the largest pharmacy benefit management companies in North America, serving over 50 million members through managed-care organizations, insurance carriers, employers and workers compensation groups. Services include network-pharmacy claims processing, formulary management, home delivery services, drug-utilization review, disease management and medical-data analysis services. The company also distributes a full range of injectable and infusion biopharmaceutical products directly to patients.
Continue reading Express Scripts (ESRX) shares advancing through a positive trading channel
Posted Dec 20th 2007 2:02PM by Larry Schutts (RSS feed)
Filed under: Good news, Technical Analysis, Nordstrom, Inc (JWN), Stocks to Buy
Nordstrom Inc. (NYSE: JWN) is a leading U.S. fashion retailer, with outlets in 28 states. The firm operates 101 full-line stores, 51 Nordstrom Racks, two Jeffrey boutiques, one free-standing shoe store and two clearance facilities. It also serves customers through catalogs and a web site.
The stock has been a steady gainer recently, rising on such developments as better than expected Q3 earnings/revenues,
upside guidance for Q4/FY08 EPS, favorable analyst remarks, much better than expected November same-store sales, and word of insider buying. The news has kept JWN shares cycling through a positive six-week trading channel. The price is currently consolidating at the base of that channel, where oversold MACD and Stochastic technical parameters suggest the potential for a rise back toward the top. The correspondence of the stock's 30-day moving average to the base of the channel backs the rebound notion.
Continue reading Nordstrom shares in positive trading channel
Posted Nov 27th 2007 3:45PM by Larry Schutts (RSS feed)
Filed under: Microsoft (MSFT), Dell (DELL), Hewlett-Packard (HPQ), International Business Machines (IBM), Technical Analysis, Stocks to Buy
Citrix Systems (NASDAQ: CTXS) offers infrastructure software and services that enable enterprise-wide, on-demand access to information and applications. The company's software provides networked PCs and wireless devices with remote access to applications on a central server. Its programs also allow for load balancing, application development and resource management, in both Windows and UNIX environments. Citrix has more than 180,000 customers worldwide. Microsoft (NASDAQ: MSFT) and IBM (NYSE: IBM) are featured partners.
Fourth quarter company news has been heartening. The firm reported better than expected Q3 numbers, issued solid FY07
guidance, announced new partnerships with Dell (NASDAQ: DELL), Hewlett-Packard (NYSE: HPQ) and Business Objects (NASDAQ: BOBJ), and saw eight brokerages issue CTXS targets that averaged 27% above the current share price. The news kept the stock cycling through a positive 19 week trading channel. The price is currently consolidating at the base of that channel, where oversold CCI, MACD, Momentum, RSI and Stochastic technical parameters suggest the potential for a rise back toward the top. Correspondence of the stock's 200-day moving average to the base of the channel backs the rebound notion.
Brokers recommend the issue with seven "strong buys," 13 "buys" and five "holds." Analysts see a 16% average annual growth rate through the next five years. The CTXS Price to Book ratio (4.04), Price to Free Cash Flow ratio (20.61), Sales Growth rate (25.94%) and EPS Growth rate (41.38%) compare favorably with industry, sector and S&P 500 averages. Institutional investors hold about 81% of the outstanding shares. The stock is one of those used to calculate the S&P 500 Index and the Nasdaq 100 Index. Over the past 52 weeks, it has traded between $26.10 and $43.90. A stop-loss of $31.45 looks good here.
Larry Schutts is a contributing editor for Theflyonthewall.com and the Vice-President of Stockwinners.com.
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