24/7 Wall St. » AEO

After the Fall: Retail Stocks Upside Potential Remains (COST, WMT, TGT, M, KSS, JCP, GPS, LTD, AEO, ANF, TJX, DG)

Paul Ausick — Thu, 24 May 2012 15:22:09 +0000

Retailers have fared better than many other sectors over the past year, with the majority of share prices having risen although price to book values remain negative. Thus, either the sector is undervalued or there is something amiss.

When the stores reported first quarter earnings, the preponderance of guidance pointed to slower sales in the second quarter likely based on sales pulled forward into the first quarter due to warm weather. But it could be the case that falling gasoline prices are giving sales a lift in May that could continue through June. According to the latest report from Retail Metrics, retailers are on track to post a comparable store sales gain of 3.6% in May, excluding the negative effect of lost sales at Walgreen Co. (NYSE: WAG) due to its being dropped by pharmacy benefits management firm Express Scripts Inc. (NASDAQ: ESRX).

We looked at a dozen retailers with an eye toward discerning value opportunities for investors: Costco Wholesale Corp. (NASDAQ: COST), Wal-Mart Stores Inc. (NYSE: WMT), Target Corp. (NYSE: TGT), Macy’s Inc. (NYSE: M), Kohl’s Corp. (NYSE: KSS), J.C. Penney Company Inc. (NYSE: JCP), Gap Inc. (NYSE: GPS), Limited Brands Inc. (NYSE: LTD), American Eagle Outfitters Inc. (NYSE: AEO), Abercrombie & Fitch Inc. (NYSE: ANF), The TJX Companies Inc. (NYSE: TJX), and Dollar General Corp. (NYSE: DG).

Costco Wholesale Corp. (NASDAQ: COST) traded at $84.14 and has a market value of around $37 billion. The consensus target price from Thomson Reuters is $86.83 and the 52-week range is $70.22-$92.10. Costco has a dividend yield of 1.3%. The implied upside to the consensus target is just 3%, and we would note that the target is below the 52-week high.

Wal-Mart Stores Inc. (NYSE: WMT) traded at $64.65 and has a market value of around $220 billion. The consensus target price from Thomson Reuters is $65.28 and the 52-week range is $48.31-$64.88 (new high set today). Walmart has a dividend yield of 2.5%. The implied upside to the consensus target is barely 1%, but we would note that the target is still above the 52-week high.

Target Corp. (NYSE: TGT) traded at $56.84 and has a market value of around $38 billion. The consensus target price from Thomson Reuters is $63.65 and the 52-week range is $45.28-$58.95. Target has a dividend yield of 2.1%. The implied upside to the consensus target is 12%, and we note again that the target is above the 52-week high.

Filed under: Dividend, Economy, Retail, Value Investing Tagged: AEO, ANF, COST, DG, GPS, JCP, KSS, LTD, M, TGT, TJX, WMT

24/7 Wall St. Closing Bell — May 23, 2012 (FB, PCX, BX, AMAT, DELL, AEO, BIG, HRL, STP, TSL, FRED, HNZ, MMYT, TIF, TD, COST, PETM, STX)

Paul Ausick — Wed, 23 May 2012 20:05:55 +0000

The three major US stock indexes opened lower this morning after European leaders disagree on a fiscal response to the continent’s debt crisis(our coverage here). New US home sales were slightly above the consensus estimate, but made little difference in the slide. As the day wore on, more bad news from Europe sent crude oil prices tumbling and the dollar rising in the currency markets (our coverage here). The US dollar index rose today, now up 0.76% at 82.115. The GSCI commodity index is down fractionally at 628.23, with commodities mostly lower on the stronger dollar. Orange juice, cocoa, and cotton were today’s big losers. WTI crude oil closed down -2.1% at $89.90/barrel, its lowest settlement since October, and Brent crude trades down -2.51% at $105.69/barrel. Natural gas rose just 0.52% today to $2.72/thousand cubic feet. Gold settled down -1.8% today, at $1,548.40/ounce.

The unofficial closing bells put the DJIA down nearly 7 points to 12,496.07 (-0.05%), the NASDAQ rose about 11 points (0.39%) to 2,850.12, and the S&P 500 rose 0.17% or about 2 points to 1,318.85.

There were several analyst upgrades and downgrades today, including Facebook Inc. (NASDAQ: FB) started as ‘buy’ with a target price of $40 at Needham (more coverage here); Patriot Coal Corp. (NYSE: PCX) cut to ‘hold’ at Deutsche Bank; The Blackstone Group LP (NYSE: BX) raised ‘buy’ at Sterne Agee; Applied Materials Inc. (NASDAQ: AMAT) raised to ‘neutral’ at Goldman Sachs; and Dell Inc. (NASDAQ: DELL) cut to ‘neutral’ at Mizuho and maintained as ‘underperform’ with a $14 target price at Credit Suisse.

Earnings reports since markets closed last night have led to some price changes as of the last half hour of trading today: Dell is down -16.8% at $12.55 after posting a new 52-week low of $12.31 earlier today (more coverage here); American Eagle Outfitters Inc. (NYSE: AEO) is up 1.4% at $20.07; Big Lots Inc. (NYSE: BIG) is up 4% at $36.20; Hormel Foods Corp. (NYSE: HRL) is up 1.2% at $29.54; Suntech Power Holdings Co. Ltd. (NYSE: STP) is up 1.5% at $2.01 (more coverage here); and Trina Solar Ltd. (NYSE: TSL) is up 4.9% at $5.59.

Tomorrow we are scheduled to get earnings reports from Fred’s Inc. (NASDAQ: FRED), H.J. Heinz Co. (NYSE: HNZ), MakeMyTrip Ltd. (NASDAQ: MMYT), Tiffany & Co. (NYSE: TIF), The Toronto-Dominion Bank (NYSE: TD), and Costco Wholesale Corp. (NASDAQ: COST).

Other standouts from today include the following stocks:

PetSmart Inc. (NASDAQ: PETM) is up 13.3% at $62.99 after posting a new 52-week high of $63.19 earlier today. The company reported better-than-expected earnings and forecast more good things to come.

Seagate Technology PLC (NASDAQ: STX) is down -2.4% at $25.72. The disk drive maker is buying France-based LaCie SA for $186 million.

Stay tuned for Thursday. New York Fed President William Dudley is giving a speech. We have also noted the following events on the schedule (all times Eastern):

8:30 a.m. – Durable goods orders
8:30 a.m. – New claims for unemployment benefits
10:30 a.m. – EIA weekly natural gas storage report
11:00 a.m. – Kansas City Fed manufacturing index
1:00 p.m. – 7-year note auction
4:30 p.m. – Fed balance sheet and money supply

Paul Ausick

Filed under: HI/LOW, Market Close Tagged: AEO, AMAT, BIG, BX, COST, DELL, FB, FRED, HNZ, HRL, MMYT, PCX, PETM, STP, STX, TD, TIF, TSL

24/7 Wall St. Closing Bell — May 22, 2012 (GPS, DRYS, DPZ, LYB, TSLA, AZO, BBY, RL, WSM, EXPR, AEO, BIG, HRL, NTAP, P, STP, TSL, PCX, BNHN, FB)

Paul Ausick — Tue, 22 May 2012 20:06:11 +0000

The three major US stock indexes opened slightly higher this morning following their European and Asian counterparts, none of which were the least concerned about a downgrade to Japanese debt or dire predictions from the OECD and the IMF (our coverage here and here). Existing US home sales were slightly above the consensus estimate, which also helped buoy stocks this morning (our coverage here). The US dollar index rose today, now up 0.52% at 81.509. The GSCI commodity index is up fractionally at 633.25, with commodities mostly lower on the stronger dollar. Corn and cotton were today’s big losers. WTI crude oil closed down -1% at $91.66/barrel, and Brent crude trades down -0.62% at $108.13/barrel. Natural gas rose more than 3% today at $2.69/thousand cubic feet. Gold settled down -0.8% today, at $1,576.60/ounce.

The unofficial closing bells put the DJIA down about 2 points to 12,502.66 (-0.01%), the NASDAQ fell about 8 points (-.029%) to 2,839.08, and the S&P 500 rose 0.05% or less than 1 point to 1,316.63.

There were several analyst upgrades and downgrades today, including Gap Inc. (NYSE: GPS) raised to ‘buy’ at Lazard Capital; DryShips Inc. (NASDAQ: DRYS) started as ‘buy’ at Global Hunter; Domino’s Pizza Inc. (NYSE: DPZ) reiterated as ‘buy’ with a target price of $46 at Argus; LyondellBasell Industries (NYSE: LYB) started as ‘outperform’ with a target price of $60 at Credit Suisse; and Tesla Motors Inc. (NASDAQ: TSLA) started as ‘buy’ at Maxim Group.

Earnings reports since markets closed last night have led to some price changes as of the last half hour of trading today: Autozone Inc. (NYSE: AZO) is down -1.67% at $362.40; Best Buy Co. Inc. (NYSE: BBY) is up 1.3% at $18.41 (more coverage here); Ralph Lauren Corp. (NYSE: RL) is up 3.4% at $151.24 (more coverage here); Williams Sonoma Inc. (NYSE: WSM) is up 3.4% at $35.90; and Express Inc. (NYSE: EXPR) is down -26.9% at $16.88.

Tomorrow we are scheduled to get earnings reports from American Eagle Outfitters Inc. (NYSE: AEO), Big Lots Inc. (NYSE: BIG), Hormel Foods Corp. (NYSE: HRL), NetApp Inc. (NASDAQ: NTAP), Pandora Media Inc. (NYSE: P), Suntech Power Holdings Co. Ltd. (NYSE: STP), and Trina Solar Ltd. (NYSE: TSL).

Other standouts from today include the following stocks:

Patriot Coal Corp. (NYSE: PCX) is down nearly -40% at $2.22 after posting a new 52-week low of $1.36 earlier today. The coal miner was reported to be interviewing firms to help with a restructuring. Patriot issued a non-denial denial later to stem the bleeding. More coverage here and here.

Benihana Inc. (NASDAQ: BNHN) is up 21.3% at $16.13. The restaurateur is being acquired for $296 million.

Facebook Inc. (NASDAQ: FB) is down -8.6%% at $31.12 after posting a new low of $30.98 earlier today. Shares are getting pummeled again today. We’ve started a deathwatch here and here. Just search for ‘facebook deathwatch’ to get the latest dope.

Stay tuned for Wednesday. Minneapolis Fed President Naryana Kocherlakota is giving a speech. We have also noted the following events on the schedule (all times Eastern):

7:00 a.m. – Mortgage Bankers Association purchase applications
10:00 a.m. – New home sales
10:00 a.m. – FHFA house price index
10:30 a.m. – EIA weekly petroleum status report
1:00 p.m. – 5-year note auction

Paul Ausick

Filed under: HI/LOW, Market Close Tagged: AEO, AZO, BBY, BIG, BNHN, DPZ, DRYS, EXPR, FB, GPS, HRL, LYB, NTAP, P, PCX, RL, STP, TSL, TSLA, WSM

Only A Few Big Retail/Apparel Winners Expected For April (JWN, SKS, LULU, KORS, AEO)

Administrator — Wed, 02 May 2012 16:26:34 +0000

The final projections from Retail Metrics are out and April is looking as though the same-store sales are going to come in up only 1.5%. If so, this will mark the lowest gain since October 2010. We have focused on the retail and apparel sector here to keep it focused and there are several issues that are expected to hurt this April.

For starters, an earlier Easter by 16 days pushed sales out of April into March. Weak private sector employment data is not helping. A very warm February and March likely acted as a pull-forward in sales away from April, and a later Mother’s Day most likely pushed some April sales out into May. Another issue is the elevated but abating price of gasoline for consumers. The gain of 8.7% in April 2011 is also making further gains more difficult by comparison.

The Monthly Retail Metrics economic diffusion index has rolled over and is now more negative data points than positive for the first time in months. Here are some of the expected double-digit winners:

In large-format upscale apparel retail stores it is Nordstrom Inc. (NYSE: JWN) that is expected to have the highest marks with same-store sales gains of 6.2%. Saks Inc. (NYSE: SKS) is expected to be up 5.6%

Lululemon Athletica Inc. (NASDAQ: LULU) may not be considered a ‘fashion’ retailer based upon its yoga and exercise theme, but the expectation is for gains of 21.8% for April same-store sales.

Michael Kors Holdings Ltd. (NYSE: KORS) sells through licensing but also has its own network of stores. Retail Metrics sees it posting a massive 34.4% in same-store sales gains.

American Eagle Outfitters, Inc. (NYSE: AEO) is already seeing its shares urge by over 11% to $19.99 after it raised guidance based upon sales gains of 17% for stores open at least a year if you include the AEO Direct site.

Keep in mind that many retail outlets have seen two years or more of solid sales gains and that many of these stocks have risen excessively. It might be getting easier to argue that the retail sector shares have risen enough that any bad news is not likely to be received too well by investors.

JON C. OGG

Filed under: Apparel, Consumer Goods, Economy, Luxury, Retail Tagged: AEO, JWN, KORS, LULU, SKS

Top Analyst Upgrades & Downgrades (AEO, AAPL, ANGI, ARMH, CIEN, GLUU, AWAY, HALO, JPM, KR, L, QCOM, SSW, VNO, ZNGA)

Administrator — Thu, 08 Mar 2012 13:15:49 +0000

These are some of this Thursday’s top analyst upgrades, downgrades, and initiations seen in Wall Street research calls.

American Eagle Outfitters, Inc. (NYSE: AEO) Raised to Conviction Buy List at Goldman Sachs.

Apple Inc. (NASDAQ: AAPL) Reiterated Buy and raised price target to $660 from $600; valuation range raised at Wells Fargo as well.

Angie’s List, Inc. (NASDAQ: ANGI) Started as Buy at Canaccord Genuity.

ARM Holdings PLC (NASDAQ: ARMH) Raised to Overweight at Morgan Stanley.

Ciena Corporation (NASDAQ: CIEN) Raised to Buy at Stifel Nicolaus.

Glu Mobile Inc. (NASDAQ: GLUU) Started as Buy at Canaccord Genuity.

HomeAway Inc. (NASDAQ: AWAY) Started as Hold at Canaccord Genuity.

Halozyme Therapeutics, Inc. (NASDAQ: HALO) Started as Overweight at Barclays.

J.P. Morgan Chase & Co. (NYSE: JPM) raised estimates by Morgan Stanley.

The Kroger Company (NYSE: KR) named as Bull of the Day at Zacks.

Loews Corporation (NYSE: L) named as Bear of the Day at Zacks.

Qualcomm Inc. (NASDAQ: QCOM) Reiterated Buy with $72 target at Argus.

Seaspan Corporation (NYSE: SSW) Cut to Underperform at Credit Suisse.

Vornado Realty Trust (NYSE: VNO) Cut to Hold at Argus.

Zynga Inc. (NASDAQ: ZNGA) Started as Hold at Canaccord Genuity.

If you enjoyed the top analyst upgrades and downgrades, you can join our free email newsletter that includes analyst summaries each morning sent right to your inbox. We also cover top issues such as IPOs, special financial exclusives, mergers and more. Sign up in the box below.

JON C. OGG

Filed under: 24/7 Wall St. Wire, Analyst Calls Tagged: AAPL, AEO, ANGI, ARMH, AWAY, CIEN, GLUU, HALO, JPM, KR, L, QCOM, SSW, VNO, ZNGA

24/7 Wall St. Closing Bell (AAPL, ADP, KFT, PG, MCO, LULU, ADGF, CHTP, AEO, BWS, CSIQ, CTIC, HOV, TRCR, MAG, BONT, P, VRML)

Paul Ausick — Wed, 07 Mar 2012 21:10:13 +0000

US stocks opened higher this morning following an in-line report from ADP on US employment gains. There was little economic news out today, but we can anticipate tomorrow’s report on new jobless claims and, of course, the biggie, Friday’s report on non-farm payrolls. By mid-morning stocks were solidly higher and have been trading more than half a point pretty consistently. Apple Inc. (NASDAQ: AAPL) pretty well shut down the afternoon news with its new iPad announcement (more coverage here). The dollar was weaker this morning and has fluctuated somewhat on the downside all day, trading down -0.12% now at 79.715. Crude oil has been higher on the weaker greenback, with WTI closing up 1.4% at $106.16/barrel and Brent crude up 1.99% at $124.41/barrel. Gold rose 0.7% today, settling at $1,683.90/ounce.

The unofficial closing bells put the DJIA up nearly 79 points to 12,837.78 (0.62%), the NASDAQ rose more than 25 points (0.87%) to 2,935.69, and the S&P 500 rose 0.69% or more than 9 points to 1,352.63.

There were several analyst upgrades and downgrades today, including Automatic Data Processing Inc. (NYSE: ADP) raised to ‘Focus List’ at Credit Suisse; Kraft Foods Inc. (NYSE: KFT) cut to ‘hold’ at Jefferies; Proctor & Gamble (NYSE: PG) raised to ‘overweight’ at JPMorgan; Moody’s Corp. (NYSE: MCO) cut to ‘neutral at UBS; and Lululemon Athletica Inc. (NASDAQ: LULU) raised to ‘outperform’ at Credit Suisse.

Earnings reports since markets closed last night have led to some price changes as of the last half hour of trading today: Adams Golf Inc. (NASDAQ: ADGF) is up 1.7% at $9.60; Chelsea Therapeutics International Inc. (NASDAQ: CHTP) is up 2.3% at $3.57; American Eagle Outfitters Inc. (NYSE: AEO) is up 6.1% at $15.52; Brown Shoe Co. Inc. (NYSE: BWS) is down -9.3% at $9.46; Canadian Solar Inc. (NASDAQ: CSIQ) is down -12.8% at $2.86; Cell Therapeutics Inc. (NASDAQ: CTIC) is up 0.80% at $1.26; and Hovnanian Enterprises Inc. (NYSE: HOV) is up 3.3% at $2.48.

Other standouts from today include the following stocks:

Transcend Services Inc. (NASDAQ: TRCR) is up more than 39% at $29.24. The medical transcription service is being acquired by Nuance Communications Inc. (NASDAQ: NUAN) for $300 million in net cash ($29.50/share). More coverage here.

Magnetek Inc. (NASDAQ: MAG) is up 22% at $17.50. The electrical equipment maker posted a robust quarterly earnings report today.

The Bon Ton Stores Inc. (NASDAQ: BONT) is up more than 32% at $6.95. The retailer reported lower-than-expected earnings and revenues, but its forecast is above expectations.

Pandora Media Inc. (NYSE: P) is down more than -24% at $10.83. The Internet radio company posted worse than expected earnings last night. More coverage here.

Vermillion Inc. (NASDAQ: VRML) is down -29% at $2.13. The medical device maker’s stock more than doubled yesterday, and today’s action is likely a bit of profit-taking following an analyst’s downgrade. More coverage here.

Stay tuned for Thursday. We have noted the following events on the schedule (all times Eastern):

7:30 a.m. – Challenger Gray & Christmas job-cut report
8:30 a.m. – New unemployment benefits claims
10.00 a.m. – Census Bureau quarterly services survey
10:30 a.m. – EIA natural gas storage report
4:30 p.m. – Federal Reserve balance sheet and money supply

Paul Ausick

Filed under: 24/7 Wall St. Wire Tagged: AAPL, ADGF, ADP,, AEO, BONT, BWS, CHTP, CSIQ, CTIC, HOV, KFT, LULU, MAG, MCO, P, PG, TRCR, VRML

Top Earnings Previews for the Rest of the Week (P, AEO, PLCE, HRB, HOV, AONE, ALTR, BUD, RENN, SFD, WSM)

Administrator — Tue, 06 Mar 2012 17:32:06 +0000

Earnings season is over for the most part, but we still have many widely held companies which are due to report earnings this week. We have compiled earnings previews for the following shares: Pandora Media Inc. (NYSE: P); American Eagle Outfitters Inc. (NYSE: AEO); Children’s Place Retail Stores Inc. (NASDAQ: PLCE); H and R Block Inc. (NYSE: HRB); Hovnanian Enterprises Inc. (NYSE: HOV); A123 Systems Inc. (NASDAQ: AONE); Altera Corporation (NASDAQ: ALTR); Anheuser Busch Inbev SA (NYSE: BUD); Renren Inc. (NYSE: RENN); Smithfield Foods Inc. (NYSE: SFD); and Williams Sonoma Inc. (NYSE: WSM). We have broken these out by day and included Thomson Reuters consensus data on each. Color has been added on some of the names as well.

Pandora Media Inc. (NYSE: P) reports after the close on Tuesday and investors are still trying to get a better grasp on its business model as far as how it will make money. The company surprised before. Estimates are -$0.02 EPS on just over $83 million in sales and the market value is $2.2 billion.

WEDNESDAY, MARCH 7

American Eagle Outfitters Inc. (NYSE: AEO) has estimates of $0.35 EPS and $1.05 billion in sales. With where its stock is around $14.50, this looks fairly valued so it will likely take good news or bad news to move the stock.

Children’s Place Retail Stores Inc. (NASDAQ: PLCE) has estimates of $0.91 EPS on just over $478.1 million in sales.

H&R Block Inc. (NYSE: HRB) is expected to report $0.05 EPS and $700 million sales, but next quarter is the tax-season money quarter. Next quarter targets are $2.24 EPS on $2.11 billion in sales. To emphasize how much the tax season matters, the entire fiscal year-end of April 2012 is expected to be $3.01 billion.

Hovnanian Enterprises Inc. (NYSE: HOV) is expected to report -$0.47 EPS and $287.66 million in sales.

THURSDAY, MARCH 8

A123 Systems Inc. (NASDAQ: AONE) failed to rally on Tuesday’s construction news. Estimates are -$0.51 EPS on almost $48.5 million in revenues. Shares are well under $2.00 now.

Altera Corporation (NASDAQ: ALTR) is a ‘business update’ rather than a formal earnings release. Estimates are $0.37 EPS and $426.8 million in sales.

Anheuser Busch Inbev SA (NYSE: BUD) has estimates of $0.91 EPS and $9.9 billion in sales. We would remind investors that this is now translated from Euros now that this is not a U.S.-based company.

Renren Inc. (NYSE: RENN) is still down and out from its 2011 IPO but it is still very actively traded as a Facebook knock-off in China. Renren is expected to report earnings of $0.02 EPS and almost $32.3 million in sales. Next quarter estimates are -$0.04 EPS on almost $30.9 million in sales.

Smithfield Foods Inc. (NYSE: SFD) is expected to report earnings of $0.66 EPS and $3.5 billion in sales.

Williams Sonoma Inc. (NYSE: WSM) is expected to report earnings of $1.13 EPS and $1.25 billion in sales. Shares are down almost 15% from the 52-week high and the shares are still close to the consensus price target of $39.57.

Keep in mind on any of these companies that dates and estimates can change without notice.

JON C. OGG

Filed under: Calendar, Earnings Tagged: AEO, ALTR, AONE, BUD, HOV, HRB, P, PLCE, RENN, SFD, WSM

Top Earnings Previews For The Week Ahead (FMCN, TEA, URBN, PAY, P, AEO, PLCE, HRB, HOV, AONE, ALTR, BUD, RENN, SFD, WSM)

Administrator — Fri, 02 Mar 2012 17:40:06 +0000

Earnings season is over for the most part, but we still have many companies that are widely held stocks due to release their earnings for the week ahead. We are tracking earnings due in the following shares: Focus Media Holding Ltd. (NASDAQ: FMCN); Teavana Holdings Inc. (NYSE: TEA); Urban Outfitters Inc. (NASDAQ: URBN); VeriFone Systems Inc. (NYSE: PAY); Pandora Media Inc. (NYSE: P); American Eagle Outfitters Inc. (NYSE: AEO); Children’s Place Retail Stores Inc. (NASDAQ: PLCE); H and R Block Inc. (NYSE: HRB); Hovnanian Enterprises Inc. (NYSE: HOV); A123 Systems Inc. (NASDAQ: AONE); Altera Corporation (NASDAQ: ALTR); Anheuser Busch Inbev SA (NYSE: BUD); Renren Inc. (NYSE: RENN); Smithfield Foods Inc. (NYSE: SFD); and Williams Sonoma Inc. (NYSE: WSM).

We have broken these out by day and included Thomson Reuters consensus data on each. Color has been added on some of the names as well.

MONDAY, MARCH 5

Focus Media Holding Ltd. (NASDAQ: FMCN) has already recovered handily from when alleged accounting woes were surrounding this company. This is the outdoor advertiser in China. Estimates are $0.61 EPS and $225.1 million in sales.

Teavana Holdings Inc. (NYSE: TEA) remains a premium company with great products and growth, but at a price for a small tea retail empire trading at close to 40-times next year’s expected earnings. Estimates are $0.32 EPS on $67.8 million in sales.

Urban Outfitters Inc (NASDAQ: URBN) has recovered off of its lows but the company remains an early turnaround story. The real question is what the growth opportunities are for the next decade compared to the growth of the last decade. Earnings estimates are $0.20 EPS on $742.9 million in sales.

VeriFone Systems Inc. (NYSE: PAY) has estimates of $0.52 EPS on about $417.5 million in sales.

TUESDAY, MARCH 6

Pandora Media Inc. (NYSE: P) remains in limbo and investors are still trying to get a better grasp on its business model as far as how it will make money. The company surprised before. Estimates are -$0.02 EPS on almost $83 million in sales and the market value is $2.2 billion.

WEDNESDAY, MARCH 7

American Eagle Outfitters Inc. (NYSE: AEO) has estimates of $0.35 EPS and $1.05 billion in sales.

Children’s Place Retail Stores Inc. (NASDAQ: PLCE) has estimates of $0.89 EPS on just over $478 million in sales.

H and R Block Inc. (NYSE: HRB) is expected to report $0.05 EPS and $700 million sales, but next quarter is the tax-season money quarter and the estimates are currently $2.24 EPS on $2.11 billion in sales. To emphasize how much the tax season matters, the entire fiscal year-end of April 2012 is expected to be $3.01 billion.

Hovnanian Enterprises Inc. (NYSE: HOV) is expected to report -$0.47 EPS and $287.6 million in sales. While this is a homebuilder and while it has been widely followed before, this is probably not going to be a sector-mover for homebuilders.

THURSDAY, MARCH 8

A123 Systems Inc. (NASDAQ: AONE) is challenged with shares now down under $2.00 and a weak performance late in the week. Estimates are -$0.41 EPS on almost $53.7 million in revenues. It seems sad that lithium-ion batteries are not doing well and around $1.80 it has a 52-week range of $1.51 to $8.70.

Altera Corporation (NASDAQ: ALTR) is a ‘business update’ rather than a formal earnings release but investors will be watching its guidance. Estimates are $0.37 EPS and $426.8 million in sales.

Anheuser Busch Inbev SA (NYSE: BUD) has estimates of $0.91 EPS and $9.9 billion in sales, but keep in mind that this is now translated from Euros now that this is not a U.S.-based company.

Renren Inc. (NYSE: RENN) is down massively from its 2011 IPO but it is still very actively traded as a Facebook knock-off in China. Renren is expected to report earnings of $0.02 EPS and $32.3 million in sales.

Smithfield Foods Inc. (NYSE: SFD) is expected to report earnings of $0.67 EPS and $3.5 billion in sales.

Keep in mind on any of these companies that dates and estimates can change without notice.

JON C. OGG

Filed under: 24/7 Wall St. Wire, Calendar, Earnings, The Week Tagged: AEO, ALTR, AONE, BUD, FMCN, HOV, HRB, P, PAY, PLCE, RENN, SFD, TEA, URBN, WSM

24/7 Wall St. Closing Bell (BRCM, NFLX, NOK, GOOG, VMW, STZ, MON, WOR, HELE, DNDN, ACOM, ZUMZ, OSH, BKS, AEO)

Paul Ausick — Thu, 05 Jan 2012 21:05:34 +0000

US markets opened lower today and finally managed modest gains by mid-afternoon. News from Europe on the reluctance of banks to lend, coupled with an higher-than-expected yield on a French bond issue were not outweighed by encouraging employment news in the US. The ISM services index came in lower than expected, and mid-morning reports on US energy inventories sent natural gas and WTI crude oil prices lower. WTI crude is down about -1.4% at $101.73/barrel and Brent crude is down about -1% at $112.65/barrel. Gold is up more than 0.5% at $1,621.80.

The unofficial closing bells put the DJIA down nearly 3 points to 12,415.70 (-0.02%), the NASDAQ rose more than 21 points (0.81%) to 2,669.86, and the S&P 500 rose 0.29% or nearly 4 points to 1,281.05.

There were several analyst upgrades and downgrades today, including Broadcom Corp. (NASDAQ: BRCM) maintained ‘buy’ with a $46 target price at Argus; Netflix Inc. (NASDAQ: NFLX) maintained ‘underperform’ and estimates cut at Needham; Nokia Corp. (NYSE: NOK) raised to ‘outperform’ at Credit Suisse; Google Inc. (NASDAQ: GOOG) cut to ‘hold’ at Benchmark; and VMWare Inc. (NYSE: VMW) started as ‘buy’ at Sterne Agee.

Earnings reports of note since markets closed yesterday include: Constellation Brands Inc. (NYSE: STZ) is down about -3.5% at $19.72; Monsanto Co. (NYSE: MON) is up more than 5.5% at $76.70; Worthington Industries Inc. (NYSE: WOR) is down -0.6% at $17.55; and Helen of Troy Ltd. (NASDAQ: HELE) is up more than 4% at $32.73.

Other standouts from today include the following stocks:

Dendreon Corp. (NASDAQ: DNDN) is up nearly 40% at $10.61. The biotech company reported a sales jump of 25% for its prostate cancer drug. The company is one of our top biotech picks for 2012.

Ancestry.com, Inc. (NASDAQ: ACOM) is up more than 21% at $27.69. The internet genealogy provider reported a 22% rise in subscribers and forecast sales growth for 2012 of more than 14%.

Zumiez Inc. (NASDAQ: ZUMZ) is up nearly 17% at $30.74 after posting a new 52-week high earlier of $30.94. The sports apparel company reported a 10% same-store sales gain and raised guidance this morning. See our coverage here.

Orchard Supply Hardware Stores (NYSE: OSH) is down nearly -25% at $16.70. The home improvement store held its IPO on Monday and today provided a weak outlook for 2012.

Barnes & Noble Inc. (NYSE: BKS) is down more than -17% at $11.25. The bookstore chain said today that it is considering spinning off its Nook e-reader unit as a strategic option. Our coverage is available here.

American Eagle Outfitters Inc. (NYSE: AEO) is down more than -10% at $13.61. The clothing retailer slashed its fourth-quarter profit guidance by nearly a quarter.

Stay tuned for Friday. Federal Reserve Governors Elizabeth Duke and Sarah Bloom Raskin are speaking, as are Boston Fed President Eric Rosengren and New York Fed President William Dudley. Here are the noteworthy events on the schedule (all times Eastern):

8:30 a.m. – Employment reports, including non-farm payrolls
3:00 p.m. – US Treasury STRIPS

Paul Ausick

Filed under: HI/LOW, Market Close Tagged: ACOM, AEO, BKS, BRCM, DNDN, GOOG, HELE, MON, NFLX, NOK, OSH, STZ, VMW, WOR, ZUMZ

24/7 Wall St. Closing Bell (AEO, RAM, TSRX, WAG, SCG, BASI, CAMP, RAM, NOA, FAC, PHH, MJN, SFLY)

Paul Ausick — Fri, 23 Dec 2011 21:04:41 +0000

Today’s opening on equity markets lifted stocks slightly on mixed economic news. New home and durable goods sales rose more than expected, but personal income and spending didn’t meet expectations, with income growth at just 0.1% in November compared growth of 0.4% in October. The Santa Claus rally continued all day on very light volume. WTI crude oil is up about 0.3% at $99.83/barrel and Brent crude is up just 0.06% at $107.96. Gold continues to fall, down to $1,607.10, a drop of -0.22%.

The unofficial closing bells put the DJIA up about 125 points to 12,294.68 (1.03%), the NASDAQ rose more than 19 points (0.74%) to 2,618.64, and the S&P 500 rose 0.9% or more than 11 points to 1,265.31.

There were several analyst upgrades and downgrades today, including American Eagle Outfitters Inc. (NYSE: AEO) cut from ‘buy’ to ‘hold’ at Standpoint Research; RAM Energy Resources Inc. (NYSE: RAM) raised from ‘market perform’ to ‘outperform’ at Rodman; Trius Therapeutics Inc. (NASDAQ: TSRX) started as ‘outperform’ at Robert W. Baird; Walgreen Co. (NYSE: WAG) maintained as ‘hold’ with a lowered price target of $36 at Jefferies; and Scana Corp. (NYSE: SCG) maintained as ‘buy’ with raised price target of $43 at Wunderlich.

Here are today’s post-earnings news reactions with prices during the last half-hour of trading: Bioanalytical Systems Inc. (NASDAQ: BASI) is up more than 15% at $1.60 and CalAmp Corp. (NASDAQ: CAMP) is down more than -19% at $4.13. All told a light day for earnings reports.

Other standouts from today include the following stocks:

RAM Energy Resources Inc. (NASDAQ: RAM) is up nearly 21% at $2.43. The independent oil & gas company continues its run from yesterday, when if finished up more than 70% on news of re-listing on Nasdaq and a $550 million private equity investment.

North American Energy Partners Inc. (NYSE: NOA) is up more than 33% at $6.98. The oil field services company will resume its contract with Canadian Natural Resources Ltd. (NYSE: CNQ) pending a final contract signing.

First Acceptance Corp. (NYSE: FAC) is up nearly 33% at $1.36. A director of the insurance company bought 200,000 shares on Wednesday.

PHH Corp. (NYSE: PHH) is down more than -5% at $10.53. The mortgage servicer’s credit ratings were cut yesterday at S&P and the fallout continues.

Mead Johnson Nutrition Co. (NYSE: MJN) is down about -5.5% at $64.97. The food processing company had its Enfamil infant formula recalled at Wal-Mart Stores Inc. (NYSE: WMT) yesterday, and Walgreen’s, Safeway, Kroger, and Supervalu stores followed today.

Shutterfly Inc. (NASDAQ: SFLY) is down nearly -5% at $23.89. The Internet photo site cut its fourth-quarter guidance this morning.

Markets are closed Monday, December 26. Stay tuned for Tuesday. Here are the noteworthy events on the schedule (all times Eastern):

9:00 a.m. – S&P Case-Shiller housing price index
10:00 a.m. – Conference Board consumer sentiment index
10:00 a.m. – State Street investor confidence index

Have a Merry Christmas Day and great weekend.

Paul Ausick

Filed under: HI/LOW, Market Close Tagged: AEO, BASI, CAMP, FAC, MJN, NOA, PHH, RAM, SCG, SFLY, TSRX, WAG