When you write about Apple (AAPL), you inevitably hear from some naive person informing you that, "You just don't get it; Apple is different."

There are certainly many things about Apple that are very different, but in the context of the "you just don't get it" crowd, it is absolutely not. The same was said about Google (GOOG) only a short while ago, Xerox (XRX) three decades ago and Winchester -- now part of Olin Corp. (OLN) -- rifles 125 years ago.

Continue reading Chasing Value: Apple's Cash Is Different

Chasing Value: Apple's Cash Is Different originally appeared on BloggingStocks on Mon, 25 Oct 2010 12:00:00 EST. Please see our terms for use of feeds.

Humble copier company Xerox (XRX) is suddenly the toast of Wall Street. In addition to a bullish Barron's feature earlier this week, the stock garnered a rush of attention from optimistic options players Thursday. Although the security has yet to establish a firm foothold in double-digit territory, it seems that hopes are running pretty high for Xerox.

On Thursday, call volume on XRX surged to 28 times the norm, with roughly 103,000 contracts crossing the tape. Most of the volume was focused on the January 2011 series of options, as one trader closed out a block of 35,000 January 7.50 calls and exchanged them for 35,000 contracts of the January 9 call. By rolling these calls up to a higher strike, the speculator is indicating that he expects additional upside from XRX during the intermediate term.

Continue reading Should You Buy the Bullish Hype on Xerox?

Should You Buy the Bullish Hype on Xerox? originally appeared on BloggingStocks on Fri, 17 Sep 2010 12:00:00 EST. Please see our terms for use of feeds.

Over the weekend, Barron's published a very favorable cover story on Xerox (XRX), noting that the company is branching out to "recast" itself as a service company. The article points out that Xerox has seen steady increases in earnings, which have repeatedly topped the Street's expectations. In fact, Xerox CEO Ursula Burns went as far as to say that "Shareholders clearly love us because we can deliver predictable earnings growth."

The article also notes that the Street is a bit behind as far as coming to terms with how Xerox's new businesses will perform. This leads some to believe that the shares could trade at a "reasonable 8.6x estimated earnings for the year ahead." Yes, 8.6 times the estimated earnings in the coming year. The article also states that although Xerox stock is trading "well below" its five-year price-earnings ratio of 13x, a move to 12x would result in a "jump of at least 50%." So, just a move toward the five-year P/E ratio could result in a 50% jump -- good numbers, but let's take a look at XRX's technical performance to see what technical hurdles lie in the road.

Continue reading Xerox Rallies Thanks to Positive Barron's Mention

Xerox Rallies Thanks to Positive Barron's Mention originally appeared on BloggingStocks on Mon, 13 Sep 2010 12:30:00 EST. Please see our terms for use of feeds.

Here are some highlights from this past week's earnings coverage on BloggingStocks:

• Lockheed Martin Corp. (LMT) lower Q1 earnings were better than expected but it lowered its full-year outlook.
• McDonald's Corp. (MCD) solid Q1 numbers were driven by its value menu, McCafe, and strength overseas.
• Microsoft Corp. (MSFT) topped Q1 earnings expectations and cash from operations rose, but shares declined.
• Netflix Inc. (NFLX) shares were lifted after its strong Q1 earnings beat consensus estimates.
• PepsiCo Inc. (PEP) fell short of Q1 revenue estimates but beat earnings per share expectations by a penny.

Continue reading Earnings Highlights: McDonald's, Microsoft, PepsiCo, Raytheon, Starbucks, Yahoo! ...

Earnings Highlights: McDonald's, Microsoft, PepsiCo, Raytheon, Starbucks, Yahoo! ... originally appeared on BloggingStocks on Sat, 24 Apr 2010 15:10:00 EST. Please see our terms for use of feeds.

Copier-and-printer firm Xerox (XRX) released first-quarter results Friday morning, topping the consensus estimate despite posting a loss of four cents per share.

The results were pulled lower by one-time charges related to layoffs and the company's acquisition of Affiliated Computer Services. Excluding one-time costs, Xerox earned 18 cents per share, a nickel better than the Street expected. Revenue increased 33% compared to a year ago, coming in at $4.7 billion. The revenue increase is credited to the addition of Affiliated's business outsourcing segment.

Continue reading One-Time Charges Force Xerox to a Quarterly Loss

One-Time Charges Force Xerox to a Quarterly Loss originally appeared on BloggingStocks on Fri, 23 Apr 2010 15:00:00 EST. Please see our terms for use of feeds.

Here are some highlights from this past week's earnings coverage on BloggingStocks:

• American Express Co. (AXP) doubled its bottom line in Q4 while its provisions for losses fell.
• Blockbuster Inc. (BBI) warned of weakness in Q4 and lowered its guidance, sending shares lower.
• Coach Inc. (COH) better-than-expected Q2 earnings were accompanied by sales growth, but shares fell.
• Comerica Inc. (CMA) posted a smaller-than-expected Q4 loss, sending shares to a 52-week high.
• CSX Corp. (CSX) posted Q4 earnings that topped estimates but its revenue fell short of expectations.

Continue reading Earnings Highlights: American Express, Coach, GE, Google, IBM, McDonald's ...

Earnings Highlights: American Express, Coach, GE, Google, IBM, McDonald's ... originally appeared on BloggingStocks on Sat, 23 Jan 2010 15:10:00 EST. Please see our terms for use of feeds.

It's been a busy week in the equities market. Earnings reports are coming fast and furious. I thought I would catch up on a few companies with a brief look at their numbers.

First up is an entity from the consumer products sector. Kimberly-Clark (KMB), a colleague of Procter & Gamble (PG), issued fourth-quarter data on Friday. Sales increased over 8%, with a better currency environment helping things out. Organic sales powered up almost 3%, driven in part by higher prices. Per-share profit went up over 15% to $1.17.

Continue reading A Look at Three Quarterly Reports: Kimberly-Clark, Xerox, American Express

A Look at Three Quarterly Reports: Kimberly-Clark, Xerox, American Express originally appeared on BloggingStocks on Sat, 23 Jan 2010 09:40:00 EST. Please see our terms for use of feeds.

Out of the chute this morning, the S&P/Case-Shiller index rose 1.2% in July and gave the market a nice uptick for a while. Then came the report from the Conference Board that its consumer confidence index for September fell to 53.1 from 54.5 in August. What was worse is that economists had estimated a rise to 57 for the month. The soft confidence number is almost certainly due to people worried about losing their jobs. Right now, it could be that traders are waiting for Friday's unemployment report before jumping one way or the other. The negative news won out and the indexes traded down most of the day.

The numbers:

Dow

S&P 500

Nasdaq

Continue reading Closing Bell: Housing, consumer confidence deliver lukewarm trading (CIT, C, BAC, ACS, XRX, SQNM & RIMM)

Closing Bell: Housing, consumer confidence deliver lukewarm trading (CIT, C, BAC, ACS, XRX, SQNM & RIMM) originally appeared on BloggingStocks on Tue, 29 Sep 2009 16:00:00 EST. Please see our terms for use of feeds.

Traders had on their rally caps today, and the DJIA moved as high as 9,823 as it renewed its ascent toward 10,000. The index moved back down a bit at the end of the day as traders got lazy during a session in which most of the news came before the bell.

Abbott Laboratories (NYSE: ABT) and Xerox Corporation (NYSE: XRX) both announced deals today that pumped some air into the M&A business. Financial shares are mostly moving higher because increased M&A activity generally means more fees for financial services companies. Trading volume was light, mostly due to the Yom Kippur holiday today.

Today's numbers:

Dow 9,789.44 +124.25 (1.29%)
S&P 500 1,062.88 +18.50 (1.77%)
Nasdaq 2,130.74 +39.82 (1.90%)

Continue reading Closing bell: M&A gives market a boost; Coffee also provides stimulus (C, BAC, ACS, DDRX & GMCR)

Closing bell: M&A gives market a boost; Coffee also provides stimulus (C, BAC, ACS, DDRX & GMCR) originally appeared on BloggingStocks on Mon, 28 Sep 2009 16:00:00 EST. Please see our terms for use of feeds.

In the global tech industry, the services business has become a strategic asset. Last week, Dell (NASDAQ: DELL) agreed to shell out a whopping $3.9 billion for Perot Systems (NYSE: PER).

Now, there's another biggie deal: Xerox (NASDAQ: XRX) has agreed to pay $6.4 billion for Affiliated Computers Services (NASDAQ: ACS). Just like Dell, Xerox's core hardware business is undergoing lots of pressure. So why not expand into something else?

Continue reading Xerox copies Dell for a big M&A deal

Xerox copies Dell for a big M&A deal originally appeared on BloggingStocks on Mon, 28 Sep 2009 13:00:00 EST. Please see our terms for use of feeds.

Here are some highlights from this past week's earnings coverage from BloggingStocks:

• Adobe Systems Inc. (NASDAQ: ADBE) reported better-than-expected Q1 results due to cost cutting.
• Best Buy Inc. (NYSE: BBY) received several upgrades ahead of its Q4 report on the demise of Circuit City.
• Blockbuster Inc. (NYSE: BBI) crushed analyst's expectations for Q4 as same-store sales rose.
• China Direct Industries Inc. (NASDAQ: CDII) Q4 earnings prospects resulted in an analyst's dowgrade.
• Darden Restaurants Inc. (NYSE: DRI) posted better-than-expected Q3 earnings and lifted its 2009 guidance.
• Energy Conversion Devices Inc. (NASDAQ: ENER) was downgraded after it lowered its guidance.
• FedEx Corp. (NYSE: FDX) fell short of Q3 earnings and revenue expectations due to economic conditions.

Continue reading Earnings highlights: FedEx, Nike, Oracle, General Mills, Palm, Adobe and more

Earnings highlights: FedEx, Nike, Oracle, General Mills, Palm, Adobe and more originally appeared on BloggingStocks on Sat, 21 Mar 2009 15:10:00 EST. Please see our terms for use of feeds.

• Citigroup upgraded WebMD (NASDAQ: WBMD) shares to Buy from Hold on valuation following the company's Q4 results and outlook. The firm maintains a $25 target on the stock.
  
• Goldman upgraded Verizon (NYSE: VZ) and AT&T (NYSE: T) to Buy from Neutral based on valuation and expectations for 2010 earnings growth.
• Roth upgraded Maxwell Tech (NASDAQ: MXWL) to Buy from Hold following the company's Q4 results to reflect strong ultracapacitor sales growth and gross margin improvement. The firm maintains a $12 target on the stock.
• Nara Bancorp (NASDAQ: NARA) was raised to Market Perform from Underperform at Friedman Billings.
• Cubic (NYSE: CUB) was upgraded to Neutral from Overweight at JP Morgan.
  
• Terex (NYSE: TEX) was lifted to Outperform from Market Perform at Wachovia.

Continue reading Analyst upgrades, downgrades and initiations: VZ, T, GT, RIO, XRX, MA ...

Analyst upgrades, downgrades and initiations: VZ, T, GT, RIO, XRX, MA ... originally appeared on BloggingStocks on Fri, 20 Feb 2009 11:15:00 EST. Please see our terms for use of feeds.

Before the Bell: Will Google, GE be able to rally the market? originally appeared on BloggingStocks on Fri, 23 Jan 2009 08:50:00 EST. Please see our terms for use of feeds.

I think it's fair to say that there's much trepidation about the earnings season that picks up steam this week. And for better or worse, numbers from the big financials have begun to roll in. Last week we saw profit sink for JPMorgan Chase (NYSE: JPM) and significant losses from Bank of American Corp. (NYSE: BAC), Citigroup Inc. (NYSE: C), and Deutsche Bank (NYSE: DB).

Analysts surveyed by Thomson Reuters expect Bank of New York Mellon Corp. (NYSE: BK) to be among those financials reporting fourth-quarter earnings growth this week. They anticipate that Bank of New York will post a profit of $0.70 per share, compared to $0.67 per share a year ago and $0.72 in the previous quarter. Revenue is expected come to $3.8 billion, about the same as it was a year ago. Bank of New York has fallen short of earnings estimates in two of the past five quarters, by as much as 11.1%. For the full year, analysts are looking for $2.78 per share (+5.8%) on $14.8 billion (+4.2%). The consensus recommendation of analysts is to buy BK, and the long-term EPS growth rate forecast is 10.7%. Shares are 48.7% lower than a year ago. Other financials expected to report quarterly earnings growth this week include SunTrust Banks Inc. (NYSE: STI) and M&T Bank Corp. (NYSE: MTB).

Continue reading The week in preview: Financials, techs lead off earnings crunch

The week in preview: Financials, techs lead off earnings crunch originally appeared on BloggingStocks on Sun, 18 Jan 2009 12:30:00 EST. Please see our terms for use of feeds.

Here are some highlights from this past week's earnings coverage from BloggingStocks:

• American Eagle Outfitters Inc. (NYSE: AEO) saw lower Q3 results in the tough retail envirnoment.
• Analog Devices Inc. (NYSE: ADI) Q4 profit surged but it lowered its Q1 forecast due to slowing orders.
• Borders Group Inc. (NYSE: BGP) had dismal Q3 results and said it had ceased its quest to sell itself.
• Campbell Soup Co. (NYSE: CPB) solid Q1 results beat estimates but shares fell despite a market rally.
• Deere & Co. (NYSE: DE) fell short of Q4 profit expectations and guidance was below estimates.
• Dollar Tree Inc. (NASDAQ: DLTR) had a bigger-than-expected Q3 profit and raised its full-year outlook.
• D.R. Horton Inc. (NYSE: DHI) reported a wider Q4 loss as home sales revenue declined by 50%.
• Hewlett-Packard Co. (NYSE: HPQ) posted strong Q4 numbers that didn't quite match the preliminary results.
• Salesforce.com Inc. (NYSE: CRM) had strong results and an optimistic forecast despite economic conditions.
• Starbucks Corp. (NASDAQ: SBUX) lowered its fiscal 2009 forecast and warned of further restructuring.
• Tiffany & Co. (NYSE: TIF) Q3 earnings declined but topped expectations, and it announced staff reductions.
• Warner Music Group Corp. (NYSE: WMG) Q4 earnings beat expectations though revenues fell slightly.
• Xerox Corp. (NYSE: XRX) forecast a full-year profit in line with estimates and said it is confident in its liquidity.

Upcoming earnings releases include Sears (NASDAQ: SHLD), Staples (NASDAQ: SPLS), Aeropostale (NYSE: ARO), Del Monte Foods (NYSE: DLM), Guess (NYSE: GES), Novell (NASDAQ: NOVL), Toll Brothers (NYSE: TOL), Big Lots (NYSE: BIG), Royal Bank of Canada (NYSE: RY).

Visit AOL Money & Finance for more earnings coverage.

Earnings highlights: HP, Campbell, Deere, Tiffany, Xerox, Borders and others originally appeared on BloggingStocks on Sat, 29 Nov 2008 11:40:00 EST. Please see our terms for use of feeds.

There was a short blurb about Xerox (NYSE: XRX) in the news on Monday. Management at the company wanted investors to know that it won't be needing to beg for the green stuff. Cash flow from operating activities, existing credit facilities, and a leaner business will carry the technology company through the current difficult period. Xerox gave a wide earnings range for 2009, saying it should book between $1 and $1.25 per share. Analysts are counting on $1.15 per share.

Well, that range makes it kind of difficult to predict how things will turn out in terms of whether the company will beat Wall Street or not; might as well flip a quarter. The more important thing to focus on is that Xerox will be profitable and that it is confident in its liquidity. The stock was up almost 18% at the close yesterday on nice volume. With the recent rally, should you look at Xerox as an investment, or a trade?

Xerox isn't one of my favorite stocks. I have no interest in it on a long-term basis. It just isn't a leading innovator these days, and there are way better alternatives out there if you want a core, long-term holding in the tech sector. Microsoft (NASDAQ: MSFT), Hewlett-Packard (NYSE: HPQ), and Apple (NASDAQ: AAPL) are three names off the top of my head I'd look at first.

Continue reading Xerox says it's doing fine - but it's still the same old company

Xerox says it's doing fine - but it's still the same old company originally appeared on BloggingStocks on Tue, 25 Nov 2008 13:05:00 EST. Please see our terms for use of feeds.

Unemployment in September was 6.1%. That is higher than the 5% or so where it was late last year. But it is not a recession level. During the downturn that began in 1973, the number was closer to 9%.

It is clear that the pace of lay-offs is accelerating. Xerox (NYSE: XRX) laid off 5% of its staff. Rumors are that Goldman Sachs (NYSE: GS) will cut 10%. Given that these companies are at different ends of the spectrum of the U.S. economy, the news speaks volumes.

According to Reuters, "As companies look at their prospects for the final quarter of the year and begin to see increasingly grim outlooks for 2009, they are cutting jobs from many different parts of their businesses."

Total employment in the U.S. is about 144 million people. That means if unemployment rise another 3%, another 4.5 million people could be out of work.

Leaving aside the human suffering, the amount of money the government would have to pay to support these people would be incredible. That number of people out of work would also increase foreclosures, credit card and auto defaults.

Looked at through the prism of the work force the recession is going to be very deep and very long.

Douglas A. McIntyre is an editor at 24/7 Wall St.

How deep will job cuts get? originally appeared on BloggingStocks on Fri, 24 Oct 2008 09:33:00 EST. Please see our terms for use of feeds.

Continue reading Before the bell: Set for a lower start; SNE, GS, AMZN, AMGN, DOW, XRX ...

Before the bell: Set for a lower start; SNE, GS, AMZN, AMGN, DOW, XRX ... originally appeared on BloggingStocks on Thu, 23 Oct 2008 08:11:00 EST. Please see our terms for use of feeds.

Analyst upgrades:

• RBC Capital upgraded Sciele Pharma (NASDAQ: SCRX) to Sector Perform from Underperform following the acquisition by Shionogi.
  
• Merrill believes Alcoa (NYSE: AA) may pursue an acquisition of Alumina Ltd (NYSE: AWC) following recent share weakness. Shares of Alumina were upgraded to Buy from Underperform.
  
• Stanford upgraded shares of Google (NASDAQ: GOOG) to Buy from Hold after channel checks indicated U.S. search market trends have stabilized as they believe GOOG's market share gains are broadening, Q3 expectations are modest and the valuation is near lows. The firm has a $550 target on the stock.
• Lowe's (NYSE: LOW) was raised to Buy from Neutral at Goldman.
  

• WestLB downgraded shares of Ericsson (NASDAQ: ERIC) to Reduce from Hold as they believe the company's Q3 earnings could miss expectations.
  
• Lehman downgraded Intersil (NASDAQ: ISIL) to Equal Weight from Overweight based PC exposure and market share loss in notebook power. The company's target was lowered to $24 from $29.
• Dean Foods (NYSE: DF) was lowered to Equal Weight from Overweight at Morgan Stanley.
  
• Gilead Sciences (NASDAQ: GILD) was cut to Neutral from Buy at Banc of America.
• JP Morgan lowered Bank of Nova Scotia (NYSE: BNS) to Underperform from Sector Perform.

• Citigroup initiated Eastman Kodak (NYSE: EK) with a Sell rating and $13 target. The firm believes 2008 consensus estimates and guidance are too high given the company's headwinds.
  
• GT Solar (NASDAQ: SOLR) was assumed with a Neutral rating and $16 target at Banc of America. The firm believes the risk/reward is balanced at current levels with no significant new polysilicon opportunity. Shares were also initiated at Thomas Weisel with an Overweight rating and $18 target and at UBS with a Buy rating and $19 target.
• Citigroup initiated Xerox (NYSE: XRX) with a Buy rating and $20 target and Electronics for Imaging (NASDAQ: EFII) with a Hold rating and $18 target.

Analyst calls: SCRX, GOOG, LOW, DF, GILD, EK, SOLR, XRX ... originally appeared on BloggingStocks on Tue, 02 Sep 2008 11:15:00 EST. Please see our terms for use of feeds.

In a conversation with an attorney friend of mine, who happens to be a woman, she asked for some general financial guidance. During the course of the conversation it occurred to me that women need to save more than men. There are many reasons for this, here are a few:

The first and most obvious reason women need to save more than men is that they live longer -- often without the support of a significant other. Living longer and living alone cost more money.

Second of all, women still do not have complete earnings parity with men. Some of this has to do with job type and some with history. But nevertheless, we are not there yet. If there is a 15% disparity, then a woman is starting at a disadvantage whether saving for her retirement in the future or for buying a gallon of gas today. This can only be made up by saving more and investing more. This is a worthy goal except that with less resources the difficulty is exacerbated.

Continue reading Three reasons women need to save more than men -- Seriously!

Three reasons women need to save more than men -- Seriously! originally appeared on BloggingStocks on Thu, 07 Aug 2008 13:11:00 EST. Please see our terms for use of feeds.