24/7 Wall St. » DRH

24/7 Wall St. Closing Bell (CVX, WMB, YRCW, CVC, APOL, FSLR, VVUS, KOG, CZR, CEP, DRH, END, SPLS, JOY, SEMG, FORD, GEVO, QUAD, VOCS, SODA)

Paul Ausick — Wed, 29 Feb 2012 21:06:49 +0000

The three major US stock indexes opened higher this morning on the better-than-expected news on US GDP growth (our coverage here). The buying mood turning sour as the Nasdaq neared the 3,000 mark, a place it hasn’t visited in nearly 11 years. Fed Chairman Ben Bernanke’s comments did not include anything unexpected, except perhaps the lack of an affirmation that the Fed would continue its accommodative monetary policy (our coverage here). Crude oil was higher today, with WTI crude up 0.5% at $107.07/barrel and Brent crude up 1.22% at $123.03/barrel. Gold settled down -4.3% at $1,711.30, it’s lowest point in more than a month.

The unofficial closing bells put the DJIA down more than 53 points to 12,951.84(-0.41%), the NASDAQ fell nearly 20 points (-0.67%) to 2,966.89, and the S&P 500 fell -0.47% or about 6.5 points to 1,365.66.

There were several analyst upgrades and downgrades today, including Chevron Corp. (NYSE: CVX) raised to ‘buy’ at Deutsche Bank; Williams Companies Inc. (NYSE: WMB) raised to ‘Conviction Buy List’ at Goldman Sachs (more coverage here); YRC Worldwide Inc. (NASDAQ: YRCW) maintained as ‘underperform’ but target price cut from $15 to $6; Cablevision Systems Corp. (NYSE: CVC) cut to ‘neutral’ at Collins Stewart; and Apollo Group Inc. (NASDAQ: APOL) cut to ‘hold’ at Deutsche Bank.

Earnings reports since markets closed last night have led to some price changes as of the last half hour of trading today: First Solar Inc. (NASDAQ: FSLR) is down -12% at $32 after posting a new 52-week low of $31.86 earlier today (more coverage here and here); Vivus Inc. (NASDAQ: VVUS) is up 6.5% at $22.65 (more coverage here); Kodiak Oil & Gas Corp. (NYSE: KOG) is down -6.2% at $9.70; Ceasar’s Entertainment Corp. (NASDAQ: CZR) is up 3.9% at $11.28; Constellation Energy Partners LLC (NYSE: CEP) is up up 6.6% at $2.73; DiamondRock Hospitality Co. (NYSE: DRH) is down -3.5% at $9.94; Endeavor International Corp. (NYSE: END) is down -9.7% at $11.54; Staples Inc. (NASDAQ: SPLS) is down -8.6% at $14.63 (more coverage here); Joy Global Inc. (NYSE: JOY) is down -5.6% at $86.65 (more coverage here); and SemGroup Corp. (NYSE: SEMG) is up 1.53% at $28.55.

Other standouts from today include the following stocks:

Forward Industries Inc. (NASDAQ: FORD) is up about 22% at $2.88. The protective case maker has signed a partnership deal for a waterproof iPad case, and is certainly rising on the prospect of a new iPad 3 announcement next week from Apple Inc. (NASDAQ: AAPL).

Gevo Inc. (NASDAQ: GEVO) is up more than 15% at $10.30. The biofuel maker reports earnings after markets close today. The run-up could have the same effect on the market following a weak report from Pacific Ethanol Inc. (NASDAQ: PEIX).

Quad Graphics Inc. (NYSE: QUAD) is up nearly 15% at $15.01. The printing company reported better-than-expected earnings this morning.

Vocus Inc. (NASDAQ: VOCS) is down about -40% at $13.50 after posting a new 52-week low of $13.10 earlier. The marketing and public relations software maker has acquired privately held iContact for $169 million in cash and stock.

SodaStream International Ltd. (NASDAQ: SODA) is down nearly -14% at $40.29. The beverage equipment maker reported what appear to be good earnings today. More coverage here.

Stay tuned for Thursday. Auto makers will be reporting February sales figures throughout the day. Federal Reserve chairman Ben Bernanke, Cleveland Fed president Sandra Pianalto, Fed governor Sarah Bloom Raskin, Atlanta Fed president Dennis Lockhart, and San Francisco Fed president John Williams are giving speeches. We have noted the following events on the schedule (all times Eastern):

8:30 a.m. – New US unemployment benefits claims
8:30 a.m. – US personal income and outlays report
10:00 a.m. – Institute for Supply Management manufacturing index
10:00 a.m. – Construction spending
10:30 a.m. – EIA weekly 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: APOL, CEP, CVC, CVX, CZR, DRH, END, Ford, FSLR, GEVO, JOY, KOG, QUAD, SEMG, SODA, SPLS, VOCS, VVUS, WMB, YRCW

Expected Upside in Lifestyle-Oriented REITs (HCN, SNH, UDR, ESS, CPT, RLJ, DRH, HHC, GGP)

Paul Ausick — Thu, 10 Nov 2011 19:28:00 +0000

The number and types of real estate investment trusts (REITs) is both large and varied, and, thus, better taken in smaller chunks. Our focus today hits those REITs that offer senior living centers, apartment buildings, and some mixed-use properties.

We’ve also culled some stocks from today’s list because either they don’t pay a dividend — or pay a low dividend for a REIT — or the company has already surpassed its current median target price. The companies we’ve selected are Health Care REIT, Inc. (NYSE: HCN), Senior Housing Properties Trust (NYSE: SNH), UDR, Inc. (NYSE: UDR), Essex Property Trust Inc. (NYSE: ESS), Camden Property Trust (NYSE: CPT), RLJ Lodging Trust (NYSE: RLJ), Diamondrock Hospitality Co. (NYSE: DRH), The Howard Hughes Corp. (NYSE: HHC), and General Growth Properties Inc. (NYSE: GGP).

Howard Hughes Corp. is not a REIT, but its operations are a near-identical fit with those of the trusts. It does not pay a dividend, but its upside potential is significant and we include it here as a “quasi-REIT.”

All data from Yahoo! Finance, and share prices were collected in the early afternoon today.

Health Care REIT, Inc. (NYSE: HCN) has a median target price of $53.00 from 13 brokers. Shares are trading today at $49.61, for an implied gain of $3.39, or 7%. HCN’s forward P/E is 13.11 and the company pays a dividend yield of 5.6%. The stock’s 52-week trading range is $41.03-$55.21, and at today’s price that’s about 21% above its 52-week low and 10% below the 52-week high.

HCN today completed a secondary offering of 12.65 million shares priced at $50/share. The company raised $632.5 million, which it plans to use for future investment, to pay down debt, and for general corporate purposes. Shares had been trading near the target price in advance of the offering. The attractive dividend yield makes the stock worth considering.

Senior Housing Properties Trust (NYSE: SNH) has a median target price of $24.00 from 7 brokers. Shares are trading today at $21.27, for an implied gain of $2.73, or 13%. SNH’s forward P/E is 7.31 and the company pays a dividend yield of 7%. The stock’s 52-week trading range is $19.09-$24.66, and at today’s price that’s about 11% above its 52-week low and 14% below the 52-week high.

Senior Housing Properties pays the highest dividend of any stock in this group and there is still headroom a nice implied gain. The 52-week high is barely above the target price, which could indicate a target price boost soon.

UDR, Inc. (NYSE: UDR) has a median target price of $27.00 from 18 brokers. Shares are trading today at $24.31, for an implied gain of $2.69, or 11%. UDR’s forward P/E is 17.12 and the company pays a dividend yield of 3.2%. The stock’s 52-week trading range is $20.04-$27.26, and at today’s price that’s about 21% above its 52-week low and 11% below the 52-week high.

UDR has been able to raise its rents due to its strategy of buying apartment properties in cities where job growth is better than average and higher priced housing is performing better.

Essex Property Trust Inc. (NYSE: ESS) has a median target price of $145.00 from 20 brokers. Shares are trading today at $135.09, for an implied gain of $9.91, or 7%. Essex’s forward P/E is 20.9 and the company pays a dividend yield of 3%. The stock’s 52-week trading range is $105.60-$148.44, and at today’s price that’s about 28% above its 52-week low and 9% below the 52-week high.

Essex’s target price is lower than its 52-week high and its forward P/E is higher than average as well, indicating that the stock could be priced at very near its full value. The 7% implied gain is further evidence that expectations for growth are not all that rosy.

Filed under: REIT Tagged: CPT, DRH, ESS, GGP, HCN, HHC, RLJ, SNH, UDR

Top Day Trader Alerts (AIXG, IRE, AIB, DRH, NBG, NBIX)

Administrator — Tue, 25 May 2010 12:57:16 +0000

Picking movers on a morning like this when overseas markets and US markets are being slapped silly is fairly easy. ALL OF THEM! We have picked out a few select names that are moving more than normal on news, rumors, or other issues outside of the normal 2% to 3% band. Stocks on the move include Aixtron Aktiengesellschaft (NASDAQ: AIXG), The Bank of Ireland (NYSE: IRE), Allied Irish Banks plc (NYSE: AIB), DiamondRock Hospitality Company (NYSE: DRH), National Bank of Greece SA (NYSE: NBG), and Neurocrine Biosciences Inc. (NASDAQ: NBIX).

Aixtron Aktiengesellschaft (NASDAQ: AIXG) is getting hit today, partly with ADRs and partly on an analyst downgrade from JPMorgan Cazenove. Shares closed at $27.71 yesterday and are trading down 11.5% at $24.52 on about 20,000 shares.

The Bank of Ireland (NYSE: IRE) and Allied Irish Banks plc (NYSE: AIB) are being kicked yet again with the international markets. Bank of Ireland (NYSE: IRE) ADRs are down 11.6% at $4.48 on close to 100,000 shares (new 52-week lows); Allied Irish Banks plc (NYSE: AIB) is down 11% at $2.23 on 150,000 shares (also a 52-week low for ADRs).

DiamondRock Hospitality Company (NYSE: DRH) has announced pricing of its secondary public offering of 20,000,000 common shares at a price of $8.40 per share. Shares closed at $9.24 yesterday, and the stock is trading down around $8.35. The 8:45 AM snapshot showed 90,000 shares and average volume is 1.577 million; the 52-week range is $5.11 to $11.77.

National Bank of Greece SA (NYSE: NBG) is a PIIGS leading cast member… ADRs are down 6% at $2.47 on analyst actions today. The 52-week low is $2.44.

Neurocrine Biosciences Inc. (NASDAQ: NBIX) is soaring this morning after it reported that its endometriosis drug met its study goals. Shares are up 50% at $4.10 on 150,000 shares. Average volume is 411,000 shares and the old 52-week range was $1.94 to $3.67.

You can join our free daily email distribution list to hear more about dividend trends, analyst upgrades and downgrades, top day trader and active trader alerts, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG

Sponsor: 5 best investments for 2010 – The next nine months represent a bold new era for investors.

Filed under: Pre-Market Activity, Trading Alert Tagged: AIB, AIXG, DRH, IRE, NBG, NBIX

Best Performing Sectors In Last Month: Hotel REITs, Home Furnishings, Car Rentals

247wallst — Fri, 24 Apr 2009 13:54:18 +0000

Based on the TickerSpy index of major industry sectors, hotel REITs had the best performance of any group measured, up almost 60%. At the head of the industry were Diamondrock (DRH) and LaSalle Hotel (LHO).

Home Furnishing Retail was a closed second, up 55% lead by Pier 1 (PIR) and Kirklands (KRK).

Over the last month, the Vehicle Rental sector was higher by 50%. AvisBudget (CAR) and Hertz (HTZ) help push up this industry group.

The biggest loser in the last month was Gold and Silver stocks with the largest companies in the sector being Agnico Eagle (AEM) and and Yamana Gold (AUY)

Data from Tickerspy.

Douglas A. McIntyre

Posted in Metals, REIT Tagged: AEM, AUY, CAR, DRH, HTZ, KRK, LHO, PIR

This Week’s Top Share Buyback Changes (SCHW, DRH, LCAPA, QCOM, TBL, TEL)

247wallst — Fri, 14 Mar 2008 09:57:39 +0000

There was an absence of major buyback announcements this week. That coincides with the lack of as many earnings reports as well. Below are some of the standout buyback and repurchase announcements from this week:

Charles Schwab Corp. (NASDAQ: SCHW) boosted its buyback plan Thursday by approving an additional $500 million in buybacks, making the total buyback amount $619 million. Charles Schwab’s market cap is $23.6 billion.

DiamondRock Hospitality Co. (NYSE: DRH), a real estate investment trust (REIT), announced on Monday that up to 4.8 million shares were approved for repurchase. $1.24 billion is their current market cap. It isn’t unique, but REIT’s rarely repurchase shares compared to other sectors because they have to distribute most of their income.

Liberty Media Capital (NASDAQ: LCAPA) has approved $1 Billion in repurchases of Liberty Entertainment common stock and $300 million of Liberty Capital common stock on Monday. Their market cap is $1.95 Billion.

QUALCOMM Inc. (NASDAQ: QCOM) approved a $2 Billion buyback plan Tuesday. The program will replace a $3 Billion buyback that currently had $2 million remaining. The current market cap for QUALCOMM is $64.9 Billion.

Timberland Co. (NYSE: TBL) authorized on Monday another 6 million shares for repurchasing. The apparel and footwear company currently has 1 million shares left from its previous 6 million share repurchase program. They have a market cap of $816 million so this would retire close to another 10% of its stock.

Tyco Electronics, Ltd. (NYSE: TEL) also upped its buyback plan on Thursday by $500 million, reaching $1.25 billion in authorized repurchases. Since September, Tyco Electronics has repurchased $512 of its common stock. Market cap sitting at $15.7 billion.

Rachel Lopez
March 14, 2008