Unnamed: 0
stringlengths 3
8
| Date
stringlengths 23
23
| Article_title
stringlengths 1
250
| Stock_symbol
stringlengths 1
5
| Url
stringlengths 44
135
| Publisher
stringclasses 1
value | Author
stringclasses 1
value | Article
stringlengths 1
343k
| Lsa_summary
stringlengths 3
53.9k
| Luhn_summary
stringlengths 1
53.9k
| Textrank_summary
stringlengths 1
53.9k
| Lexrank_summary
stringlengths 1
53.9k
|
|---|---|---|---|---|---|---|---|---|---|---|---|
11400.0
|
2018-05-22 00:00:00 UTC
|
Morning Movers: JC Penney Tumbles as CEO Jumps Ship for Lowe's; Kohl's Climbs
|
AAP
|
https://www.nasdaq.com/articles/morning-movers-jc-penney-tumbles-ceo-jumps-ship-lowes-kohls-climbs-2018-05-22
|
nan
|
nan
|
The Dow Jones Industrial Average is heading higher this morning as the U.S. and China continue to make progress on avoiding a trade war.
Getty Images
S&P 500 futures have advanced 0.2%, while Dow Jones Industrial Average futures have gained 48 points, or 0.2%. Nasdaq Composite futures have gained 0.3%.
From the looks of it, progress us being made on to avoid a full-blow trade war. The U.S. is said to be considering a plan to allow ZTE to buy U.S. chips, while China is said to be removing tariffs on soybeans and lowering them on cars and auto parts. Shares of General Motors (GM) have gained 1.2% to $38.55 on the news, while Ford Motor (F) has advanced 0.7% to $11.59, and Tesla (TSLA) has risen 0.7% to $286.48.
"We may already be getting some relief on one of the major issues that has weighed on the market since early February, when President Donald Trump threatened to impose tariffs on the US's major trading partners," writes Yardeni Research's Ed Yardeni. "So we are gratified that the trade negotiations already are going our way-i.e., away from a trade war."
Of course, with trade no longer a (big) concern, investors will turn their attention to other issues. There's Italy, where a new government is close to being formed, one that could seek to renegotiate that country's massive debt. While that's not great for the euro, which continues to drop, it's not causing concerns among investors as of yet. And emerging market stocks, which have been getting hammered, also seem to be finding some traction this morning. "If we can continue to consolidate in these markets, then there are few near term market related risks to point to," writes NatWest Securities' John Briggs. "I do think it is way too early to declare victory on either of those fronts, but if those markets stabilize, it only more quickly returns focus to the overall backdrop - a June rate hike from the Fed, higher oil prices, inflation moving back to target, and perhaps even a focus on ECB signaling coming up this summer."
And won't that be fun.
Earnings & News
Adobe Systems (ADBE) is up 1.2% to $240.98 on news that it will acquire Magento Commerce for $1.68 billion, and that it authorized an $8 billion stock repurchase plan.
Tiernan Ray for Barron's
Advance Auto Parts (AAP) is up 3.2% to $123, after reporting first-quarter earnings. The auto parts retailer earned $2.10 a share, on revenue of $2.87 billion. Analysts were looking for earnings of $1.96 a share on revenue of $2.91 billion.
AutoZone (AZO) is up 3% to $685 after reporting third-quarter earnings. The auto parts retailer earned $13.42 a share, on revenue of $2.26 billion. Analysts were looking for earnings of $12.99 a share on revenue of $2.71 billion.
Lowe's (LOW) is up 1.6% to $88.75 after naming JC Penny's (JCP) Marvin Ellison as its new CEO. Shares of JC Penney have dropped 8% to $2.30.
Kohl's (KSS) is up 5.6% to $69.10 after reporting first-quarter earnings. The department store earned 64 cents a share, on $3.95 billion in revenue. Analysts were looking for earnings of 50 cents a share on revenue of $3.96 billion. For the full year, it raised its guidance, as it now expects to earn between $5.05 and $5.50 a share, compared with the $5.27 per-share consensus estimate.
Micron Technology (MU) is up 6.7% to $59.21 after announcing a $10 billion share repurchase plan.
TJX Cos. (TJX) is up 0.9% to $85.43 after reporting first-quarter earnings. The discounter earned $1.13 a share on revenue of $8.67 billion. Analysts were looking for earnings of $1.02 a share on revenue of $8.47 billion. For the full year, it lowered its guidance, as it expects to earn between $4.75 and $4.83 a share, compared with the $4.84 per-share consensus estimate. However, it reiterated that it expects to see same-store sales growth of 1% to 2%.
Toll Brother (TOL) is down 4.9% to $41.50 after reporting second-quarter earnings. The homebuilder earned 72 cents a share on revenue of $1.6 billion. Analysts were looking for earnings of 76 cents a share on revenue of $1.58 billion. - Teresa Rivas
UPgrades & Downgrades
Anheuser-Busch InBev (BUD) is up 1.8% to $95.88 after RBC Capital Markets upgraded it to Sector Perform.
Getty Images
Cameco (CCJ) is down 1.1% to $11.26 after RBC Capital Markets downgraded it to Sector Perform.
Macy's (M) is up 1.7% to $35.18 after Susquehanna upgraded it to Positive.
Raytheon (RTN) is down 1.4% to $211 after Credit Suisse downgraded it to Neutral.
Target (TGT) is up 0.9% to $77.53 after Bank of America Merrill Lynch reiterated it as a top pick ahead of tomorrow's earnings. - T.R.
Sign up to Review & Preview, a new daily email from Barron's. Every evening we'll review the news that moved markets during the day and look ahead to what it means for your portfolio in the morning.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Tiernan Ray for Barron's Advance Auto Parts (AAP) is up 3.2% to $123, after reporting first-quarter earnings. The Dow Jones Industrial Average is heading higher this morning as the U.S. and China continue to make progress on avoiding a trade war. The U.S. is said to be considering a plan to allow ZTE to buy U.S. chips, while China is said to be removing tariffs on soybeans and lowering them on cars and auto parts.
|
Tiernan Ray for Barron's Advance Auto Parts (AAP) is up 3.2% to $123, after reporting first-quarter earnings. The Dow Jones Industrial Average is heading higher this morning as the U.S. and China continue to make progress on avoiding a trade war. Getty Images S&P 500 futures have advanced 0.2%, while Dow Jones Industrial Average futures have gained 48 points, or 0.2%.
|
Tiernan Ray for Barron's Advance Auto Parts (AAP) is up 3.2% to $123, after reporting first-quarter earnings. Analysts were looking for earnings of $1.96 a share on revenue of $2.91 billion. Analysts were looking for earnings of 50 cents a share on revenue of $3.96 billion.
|
Tiernan Ray for Barron's Advance Auto Parts (AAP) is up 3.2% to $123, after reporting first-quarter earnings. Nasdaq Composite futures have gained 0.3%. However, it reiterated that it expects to see same-store sales growth of 1% to 2%.
|
11401.0
|
2018-05-22 00:00:00 UTC
|
Advance Auto Parts (AAP) Q1 Earnings Beat Estimates, Up Y/Y
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-q1-earnings-beat-estimates-up-y-y-2018-05-22
|
nan
|
nan
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of $2.10 per share in first-quarter 2018 (ended Apr 21, 2018), up from $1.60 in the prior-year quarter. Also, the figure surpassed the Zacks Consensus Estimate of $1.98. Adjusted operating income increased to $224.1 million from $204.9 million in first-quarter 2017.
Advance Auto Parts reported net revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion. Revenues were 0.6% lower than the year-ago quarter. During the quarter under review, comparable store sales were down 0.8% year over year.
Gross profit was $1.27 billion in the reported quarter, almost in line with the prior-year period. Gross Profit margin increased 32 basis points year over year to 44.3%.
Advance Auto Parts, Inc. Price, Consensus and EPS Surprise
Advance Auto Parts, Inc. Price, Consensus and EPS Surprise | Advance Auto Parts, Inc. Quote
Adjusted selling, general and administrative (SG&A) expenses totaled $1.05 billion or 36.5% of sales compared with $1.07 billion or 36.9% of sales in the year-ago period.
Financial Position
Advance Auto Parts had cash and cash equivalents of $639 million as of Apr 21, 2018, up from $547 million as of Dec 30, 2017. The total long-term debt was $1.04 billion as of Apr 21, 2018, almost unchanged from the figure released on Dec 30, 2017.
In first-quarter 2018, operating cash flow was $154 million compared with $35.1 million in the same period of 2017.
Dividend
On May 15, 2018, Advance Auto Parts' board approved a cash dividend of 6 cents per share to be paid on Jul 6, 2018, for shareholders of record as of Jun 22, 2018.
Store Update
As of Apr 21, 2018, Advance Auto Parts operated 5,044 stores and 131 Worldpac branches and served approximately 1,225 independently-owned Carquest stores.
Zacks Rank & Stocks to Consider
Advance Auto Parts currently carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the auto space are General Motors Company GM , Magna International Inc. MGA and BMW AG BAMXF , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
General Motors has an expected long-term growth rate of 5.5%. Shares of the company have risen 14.7% over the past year.
Magna International has an expected long-term growth rate of 8.5%. In a year's time, shares of the company have gained 47.9%.
BMW has an expected long-term growth rate of 4.5%. Shares of the company have risen 10.2% over the past year.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Bayerische Motoren Werke AG (BAMXF): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
Magna International Inc. (MGA): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of $2.10 per share in first-quarter 2018 (ended Apr 21, 2018), up from $1.60 in the prior-year quarter. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Bayerische Motoren Werke AG (BAMXF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report To read this article on Zacks.com click here. In first-quarter 2018, operating cash flow was $154 million compared with $35.1 million in the same period of 2017. Dividend On May 15, 2018, Advance Auto Parts' board approved a cash dividend of 6 cents per share to be paid on Jul 6, 2018, for shareholders of record as of Jun 22, 2018.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Bayerische Motoren Werke AG (BAMXF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP reported adjusted earnings of $2.10 per share in first-quarter 2018 (ended Apr 21, 2018), up from $1.60 in the prior-year quarter. Advance Auto Parts, Inc. Price, Consensus and EPS Surprise Advance Auto Parts, Inc. Price, Consensus and EPS Surprise | Advance Auto Parts, Inc. Quote Adjusted selling, general and administrative (SG&A) expenses totaled $1.05 billion or 36.5% of sales compared with $1.07 billion or 36.9% of sales in the year-ago period.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Bayerische Motoren Werke AG (BAMXF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP reported adjusted earnings of $2.10 per share in first-quarter 2018 (ended Apr 21, 2018), up from $1.60 in the prior-year quarter. Advance Auto Parts reported net revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion.
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of $2.10 per share in first-quarter 2018 (ended Apr 21, 2018), up from $1.60 in the prior-year quarter. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Bayerische Motoren Werke AG (BAMXF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts reported net revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion.
|
11402.0
|
2018-05-22 00:00:00 UTC
|
Wall Street Applauds Measures to Ease US/China Trade Tensions
|
AAP
|
https://www.nasdaq.com/articles/wall-street-applauds-measures-ease-uschina-trade-tensions-2018-05-22
|
nan
|
nan
|
US stock futures were trading higher Tuesday with receding trade tensions between the US and China setting the Dow Jones Industrial Average up for a 40 point gain at the open. Investors applauded Beijing's decision to lower the tariff on auto imports to 15% as well as a possible deal that would allow ZTE Corp access to US suppliers in return for concessions that include management changes and broader access to Chinese markets.
The possibility for reconciliation regarding ZTE is giving the chipmaker sector a boost and allowing the Nasdaq to outperform its Wall Street peers. The tech-heavy index is indicated to open near the 7,500 milestone for the first time in more than two months.
In corporate news, the retail sector got a shot in the arm from quarterly results from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ), all of which are trading with sizable gains before Tuesday's opening bell. The outlier is JC Penney ( JCP ), which came under pressure following this morning's announcement that it's CEO, Marvin Ellison, is jumping ship for Lowe's (LOW). Accordingly, JCP is flirting with its all-time low while LOW is moving closer to its record high.
In commodities, oil futures are higher after Secretary of State Mike Pompeo warned of strict sanctions against Iran, along with restrictions placed on Venezuelan oil following recently contested election results.
The dollar is lower against most of the major currencies, notably the British pound which lunged higher on the heels of hawkish remarks from members of the Bank of England to British lawmakers. The risk-on trade is not translating into gains for the dollar vs the Japanese yen, although the European joint currency is fractionally lower against the greenback for the sixth time in seven days.
On Tuesday'seconomic calendar the Richmond Fed manufacturing index is expected to jump to10.0 in May from negative 3.0 the month prior.
-Dow Jones Industrial up 0.21%
-S&P 500 futures up 0.16%
-Nasdaq 100 futures up 0.33%
SENTIMENT
Nikkei down 0.18%
Hang Seng Closed
Shanghai Composite up 0.02%
FTSE-100 up 0.20%
DAX-30 up 0.41%
PRE-MARKET SECTOR WATCH
(+) Large cap tech: Higher
(+) Chip stocks: Higher
(+) Software stocks: Higher
(+) Hardware stocks: Higher
(+) Internet stocks: Higher
(-) Oil stocks: Lower
(+/-) Biotech stocks: Mixed
(+/-) Drug stocks: Mixed
(+) Financial stocks: Higher
(+) Retail stocks: Higher
(+) Industrial stocks: Higher
(+/-) Airlines: Flat
(+) Autos: Higher
UPSIDE MOVERS:
(+) CHEK (+13.84%) Announced publication of CE Mark multicentre clinical study on C-Scan
(+) KSS (+6.78%) Beat Q1 estimates, raised FY EPS guidance
(+) TJX (+3.15%) Reported better-than-expected Q1 results
DOWNSIDE MOVERS:
(-) LBY (-18.62%) Suspended quarterly dividend
(-) DY (-11.42%) Missed Q3 estimates, lowered FY19 guidance
(-) ARDX (-11.42%) Announced $50 million stock offering
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In corporate news, the retail sector got a shot in the arm from quarterly results from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ), all of which are trading with sizable gains before Tuesday's opening bell. The possibility for reconciliation regarding ZTE is giving the chipmaker sector a boost and allowing the Nasdaq to outperform its Wall Street peers. The risk-on trade is not translating into gains for the dollar vs the Japanese yen, although the European joint currency is fractionally lower against the greenback for the sixth time in seven days.
|
In corporate news, the retail sector got a shot in the arm from quarterly results from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ), all of which are trading with sizable gains before Tuesday's opening bell. US stock futures were trading higher Tuesday with receding trade tensions between the US and China setting the Dow Jones Industrial Average up for a 40 point gain at the open. (+) Large cap tech: Higher (+) Chip stocks: Higher (+) Software stocks: Higher (+) Hardware stocks: Higher (+) Internet stocks: Higher (-) Oil stocks: Lower (+/-) Biotech stocks: Mixed (+/-) Drug stocks: Mixed (+) Financial stocks: Higher (+) Retail stocks: Higher (+) Industrial stocks: Higher (+/-) Airlines: Flat (+) Autos: Higher
|
In corporate news, the retail sector got a shot in the arm from quarterly results from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ), all of which are trading with sizable gains before Tuesday's opening bell. US stock futures were trading higher Tuesday with receding trade tensions between the US and China setting the Dow Jones Industrial Average up for a 40 point gain at the open. (+) Large cap tech: Higher (+) Chip stocks: Higher (+) Software stocks: Higher (+) Hardware stocks: Higher (+) Internet stocks: Higher (-) Oil stocks: Lower (+/-) Biotech stocks: Mixed (+/-) Drug stocks: Mixed (+) Financial stocks: Higher (+) Retail stocks: Higher (+) Industrial stocks: Higher (+/-) Airlines: Flat (+) Autos: Higher
|
In corporate news, the retail sector got a shot in the arm from quarterly results from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ), all of which are trading with sizable gains before Tuesday's opening bell. US stock futures were trading higher Tuesday with receding trade tensions between the US and China setting the Dow Jones Industrial Average up for a 40 point gain at the open. (+) Large cap tech: Higher (+) Chip stocks: Higher (+) Software stocks: Higher (+) Hardware stocks: Higher (+) Internet stocks: Higher (-) Oil stocks: Lower (+/-) Biotech stocks: Mixed (+/-) Drug stocks: Mixed (+) Financial stocks: Higher (+) Retail stocks: Higher (+) Industrial stocks: Higher (+/-) Airlines: Flat (+) Autos: Higher
|
11403.0
|
2018-05-22 00:00:00 UTC
|
Advance Auto Parts (AAP) Q1 Earnings Surpass Estimates
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-q1-earnings-surpass-estimates-2018-05-22
|
nan
|
nan
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported first-quarter 2018 results, wherein adjusted earnings of $2.10 per share surpassed the Zacks Consensus Estimate of $1.98.
Revenue
Advance Auto Parts posted revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion. Revenues in the year-ago quarter were $2.89 billion.
Earnings Estimates Revision
In the trailing four quarters, the company beat estimates twice and missed twice with an average beat of 2.2%.
Advance Auto Parts, Inc. Price and EPS Surprise
Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote
The stock has not seen the Zacks Consensus Estimate for annual or quarterly earnings being revised over the last 30 days.
Key Stats/Developments to Note
As of Apr 21, 2018, Advance Auto Parts operated 5,044 stores and 131 Worldpac branches and served approximately 1,225 independently-owned Carquest stores.
Zacks Rank
Currently, Advance Auto Parts carries a Zacks Rank #3 (Hold) which is subject to change following the earnings announcement. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Check back later for our full write up on Advance Auto Parts earnings report!
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported first-quarter 2018 results, wherein adjusted earnings of $2.10 per share surpassed the Zacks Consensus Estimate of $1.98. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported first-quarter 2018 results, wherein adjusted earnings of $2.10 per share surpassed the Zacks Consensus Estimate of $1.98. Revenue Advance Auto Parts posted revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported first-quarter 2018 results, wherein adjusted earnings of $2.10 per share surpassed the Zacks Consensus Estimate of $1.98. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Revenue Advance Auto Parts posted revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported first-quarter 2018 results, wherein adjusted earnings of $2.10 per share surpassed the Zacks Consensus Estimate of $1.98. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Revenue Advance Auto Parts posted revenues of $2.87 billion, missing the Zacks Consensus Estimate of $2.91 billion.
|
11404.0
|
2018-05-22 00:00:00 UTC
|
Markets Now: Dow Drops 60 Points as Boeing, UnitedHealth Weigh on Blue Chips
|
AAP
|
https://www.nasdaq.com/articles/markets-now-dow-drops-60-points-boeing-unitedhealth-weigh-blue-chips-2018-05-22
|
nan
|
nan
|
Want to know why the Dow Jones Industrial Average is doing what it's doing? Check back here for a semi-live look at the volatile markets from Barron's reporters.
Getty Images
2:15 p.m. O.M.G. Can it get any duller? The Dow Jones Industrial Average has dropped 62.61 points, or 0.3%, to 24,950.68, while the S&P 500 is up 0.1% to 2736.08 and the Nasdaq Composite has advanced 0.1% to 7404.01. About the only exciting thing going on is the rout in retail stocks-the SPDR S&P Retail ETF (XRT) has slumped 1.4% to $46.11 following earnings from Kohl's (KSS), AutoZone (AZO), and Advance Auto Parts (AAP)-but the sector is too small these days to move the needle all that much. Even Treasuries have barely moved.
the Dow is down, but that's only because it's price weighted and the two biggest losers today-- Boeing (BA) and UnitedHealth Group (UNH) carry $200+ price tags.
Wake me up at the close.
6:44 a.m. With little in the way of news this morning, stocks are taking the path of least resistance: higher. After posting sizable gains yesterday, S&P 500 futures have advanced 0.1%, while Dow Jones Industrial Average futures have risen 43 points, or 0.2%. Nasdaq Composite futures have gained 0.3%.
And why shouldn't it? "The cease-fire in the US-Chinese'trade war' is holding," writes Societe Generale's Kit Juckes. "US Treasury yields are having a pause now they have broken free from 3%. The new Italian Government is closer to being formed, oil pricesare still climbing and risk sentiment is tentatively recovering."
Let's hope it stays that way.
Sign up to Review & Preview, a new daily email from Barron's. Every evening we'll review the news that moved markets during the day and look ahead to what it means for your portfolio in the morning.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
About the only exciting thing going on is the rout in retail stocks-the SPDR S&P Retail ETF (XRT) has slumped 1.4% to $46.11 following earnings from Kohl's (KSS), AutoZone (AZO), and Advance Auto Parts (AAP)-but the sector is too small these days to move the needle all that much. The new Italian Government is closer to being formed, oil pricesare still climbing and risk sentiment is tentatively recovering." Every evening we'll review the news that moved markets during the day and look ahead to what it means for your portfolio in the morning.
|
About the only exciting thing going on is the rout in retail stocks-the SPDR S&P Retail ETF (XRT) has slumped 1.4% to $46.11 following earnings from Kohl's (KSS), AutoZone (AZO), and Advance Auto Parts (AAP)-but the sector is too small these days to move the needle all that much. Want to know why the Dow Jones Industrial Average is doing what it's doing? After posting sizable gains yesterday, S&P 500 futures have advanced 0.1%, while Dow Jones Industrial Average futures have risen 43 points, or 0.2%.
|
About the only exciting thing going on is the rout in retail stocks-the SPDR S&P Retail ETF (XRT) has slumped 1.4% to $46.11 following earnings from Kohl's (KSS), AutoZone (AZO), and Advance Auto Parts (AAP)-but the sector is too small these days to move the needle all that much. After posting sizable gains yesterday, S&P 500 futures have advanced 0.1%, while Dow Jones Industrial Average futures have risen 43 points, or 0.2%. Every evening we'll review the news that moved markets during the day and look ahead to what it means for your portfolio in the morning.
|
About the only exciting thing going on is the rout in retail stocks-the SPDR S&P Retail ETF (XRT) has slumped 1.4% to $46.11 following earnings from Kohl's (KSS), AutoZone (AZO), and Advance Auto Parts (AAP)-but the sector is too small these days to move the needle all that much. The Dow Jones Industrial Average has dropped 62.61 points, or 0.3%, to 24,950.68, while the S&P 500 is up 0.1% to 2736.08 and the Nasdaq Composite has advanced 0.1% to 7404.01. After posting sizable gains yesterday, S&P 500 futures have advanced 0.1%, while Dow Jones Industrial Average futures have risen 43 points, or 0.2%.
|
11405.0
|
2018-05-22 00:00:00 UTC
|
Consumer Sector Update for 05/22/2018: SNE,AAP,KSS,JCP
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-05222018-sneaapkssjcp-2018-05-22
|
nan
|
nan
|
Top Consumer Stocks
WMT -1.23%
MCD -1.31%
DIS 0.00%
CVS +0.31%
KO -0.40%
Consumer stocks have turned lower again this afternoon, with shares of consumer staples companies in the S&P 500 dropping over 0.2% in recent trade while shares of consumer discretionary firms in the S&P 500 were losing almost 0.4% and reversing a small gain earlier this morning.
In industry news:
Same-store sales at 20 of the largest U.S. chain stores rose 3.2% during the seven days ended May 19, easing from a 4.9% jump during the prior week-long period, according to the Redbook survey. Month-to-date sales were unchanged compared with the first three weeks in April and slipping 0.8 percentage points from the prior week and marking the weakest weekly reading since March 17. The full month year-on-year gain declined by 0.9 percentage points to 4.0%, with retailers in the Redbook sample reporting a steep retreat for sales last week following three weeks of rising sales.
Among consumer stocks moving on news:
- Sony Corp. ( SNE ) has slowly drifted lower on Tuesday, falling almost 3% recently to a new intra-day low, after the consumer electronics company issued FY21 guidance expecting little growth in sales in most of its product catagories over its prior year estimates. The company is projecting FY21 operating income in a range of JPY180 billion to JPY240 billion, or about $1.62 billion to $2.16 billion, in-line with its FY20 target. It also sees little movement for its semiconductor and music segment during FY21 over FY20 projections and lowered its home entertainment and sound outlook for FY21 to JPY1,150 billion compared with its JPY1,200 billion forecast for FY20.
In other sector news:
- Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Net sales fell to $2.87 billion from $2.89 billion during the year-ago period and trailing the $2.91 billion analyst mean.
- Kohl's ( KSS ) was sinking almost 7% on Tuesday despite reporting Q1 financial results topping analyst projections and raising its FY18 earnings outlook. Excluding one-time items, the department store retailer earned $0.64 per share during the three months ended May 5, up from $0.39 per share during the same quarter last year and exceeding the Capital IQ consensus by $0.14 per share. Net sales grew to $4.21 billion from $4.07 billion last year and also beating the $3.96 billion Street view. The company is expecting to earn between $5.05 to $5.50 per share during the 12 months ending next February, up from its prior forecast range expecting $4.95 to $5.45 per share and continuing to straddle the $5.27 per share analyst consensus.
- JCPenney ( JCP ) dropped to a new, all-time low on Tuesday, sliding almost 9% to a worst-ever $2.28 a share after board chairman CEO Marvin Ellison resigned to take the top job at home-improvement retailer Lowes ( LOW ) beginning on July 2. He succeeds Robert Niblock, who previously announced plans to retire. Lowes also named Richard Dreiling as its new board chair, effective July 2.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In other sector news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. In industry news: Same-store sales at 20 of the largest U.S. chain stores rose 3.2% during the seven days ended May 19, easing from a 4.9% jump during the prior week-long period, according to the Redbook survey.
|
Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. In other sector news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluding one-time items, the department store retailer earned $0.64 per share during the three months ended May 5, up from $0.39 per share during the same quarter last year and exceeding the Capital IQ consensus by $0.14 per share.
|
In other sector news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Excluding one-time items, the department store retailer earned $0.64 per share during the three months ended May 5, up from $0.39 per share during the same quarter last year and exceeding the Capital IQ consensus by $0.14 per share.
|
In other sector news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Consumer stocks have turned lower again this afternoon, with shares of consumer staples companies in the S&P 500 dropping over 0.2% in recent trade while shares of consumer discretionary firms in the S&P 500 were losing almost 0.4% and reversing a small gain earlier this morning.
|
11406.0
|
2018-05-22 00:00:00 UTC
|
Consumer Sector Update for 05/22/2018: AAP,KSS,JCP
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-05222018-aapkssjcp-2018-05-22
|
nan
|
nan
|
Top Consumer Stocks
WMT -1.10%
MCD -1.02%
DIS +0.11%
CVS +0.69%
KO -0.21%
Consumer stocks were narrowly mixed Tuesday afternoon, with shares of consumer staples companies in the S&P 500 increasing 0.1% in recent trading while shares of consumer discretionary firms in the S&P 500 were losing almost 0.3% and reversing a small gain earlier.
In industry news:
Same-store sales at 20 of the largest US chain stores rose 3.2% during the seven days ended May 19, easing from a 4.9% jump during the prior week-long period, according to the Redbook survey. Month-to-date sales were unchanged compared with the first three weeks in April and slipping 0.8 percentage points from the prior week and marking the weakest weekly reading since March 17. The full month year-on-year gain declined by 0.9 percentage points to 4.0%, with retailers in the Redbook sample reporting a steep retreat for sales last week following three weeks of rising sales.
Among consumer stocks moving on news:
- Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Net sales fell to $2.87 billion from $2.89 billion during the year-ago period, trailing the $2.91 billion analyst mean.
In other sector news:
- Kohl's ( KSS ) was sinking almost 7% on Tuesday despite reporting Q1 financial results topping analyst projections and raising its FY18 earnings outlook. Excluding one-time items, the department store retailer earned $0.64 per share during the three months ended May 5, up from $0.39 per share during the same quarter last year and exceeding the Capital IQ consensus by $0.14 per share. Net sales grew to $4.21 billion from $4.07 billion last year and also beating the $3.96 billion Street view. The company is expecting to earn between $5.05 to $5.50 per share during the 12 months ending next February, up from its prior forecast range expecting $4.95 to $5.45 per share and continuing to straddle the $5.27 per share analyst consensus.
- JCPenney ( JCP ) dropped to a new, all-time low on Tuesday, sliding almost 9% to a worst-ever $2.28 a share after board chairman CEO Marvin Ellison resigned to take the top job at home-improvement retailer Lowes ( LOW ) beginning on July 2. He succeeds Robert Niblock, who previously announced plans to retire. Lowes also named Richard Dreiling as its new board chair, effective July 2.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Among consumer stocks moving on news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. In industry news: Same-store sales at 20 of the largest US chain stores rose 3.2% during the seven days ended May 19, easing from a 4.9% jump during the prior week-long period, according to the Redbook survey.
|
Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Among consumer stocks moving on news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluding one-time items, the department store retailer earned $0.64 per share during the three months ended May 5, up from $0.39 per share during the same quarter last year and exceeding the Capital IQ consensus by $0.14 per share.
|
Among consumer stocks moving on news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Excluding one-time items, the department store retailer earned $0.64 per share during the three months ended May 5, up from $0.39 per share during the same quarter last year and exceeding the Capital IQ consensus by $0.14 per share.
|
Among consumer stocks moving on news: - Advanced Auto Parts ( AAP ) was down over 4% on Tuesday, extending its decline that followed the specialty retailer announcing above-consensus adjusted Q1 net income but also missing Wall Street expectations with its net sales for the three months ended April 21. Excluded one-time items, the company earned $2.10 per share, improving on a $1.60 per share non-GAAP profit during the same quarter last year and beating the Capital IQ consensus by $0.14 per share. Consumer stocks were narrowly mixed Tuesday afternoon, with shares of consumer staples companies in the S&P 500 increasing 0.1% in recent trading while shares of consumer discretionary firms in the S&P 500 were losing almost 0.3% and reversing a small gain earlier.
|
11407.0
|
2018-05-22 00:00:00 UTC
|
Mid-Day Update: US/China Trade Issues Continue to Captivate Wall Street
|
AAP
|
https://www.nasdaq.com/articles/mid-day-update-uschina-trade-issues-continue-captivate-wall-street-2018-05-22
|
nan
|
nan
|
The Dow Jones Industrial Average is struggling to stay positive Tuesday as Wall Street considers mixed messages pertaining to US/China trade tensions with upbeat economic data and positive earnings from the retail sector. The S&P 500 and Nasdaq are holding onto slim gains attributed to positive price action in the chipmaker and banking sectors.
China's decision to cut auto import tariffs to 15% coupled with Washington's efforts to reach a deal to allow China's ZTE Corp to conduct business in the US elevated stock futures before the opening bell as investor's applauded easing trade tensions between the world's two largest economies.
But after setting a 10-week high at the open, blue chips started to reverse course after Treasury Secretary Steven Mnuchin said that despite "very meaningful progress" China will still be subject to aluminium and steel tariffs. The headlines overshadowed a surge in the Richmond Fed manufacturing index and better-than-expected earnings from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ).
European markets closed higher, led by a record high in the London stock market and gains in the Borsa Italiana as Italy's political unrest moves toward resolution. Germany's DAX outperformed with a 0.71% gain with the auto sector underpinned by lowered Chinese tariffs.
Crude oil was up $0.52 to $72.76 per barrel. Natural gas was up $0.09 to $2.90 per 1 million BTU. Gold was up $1.20 to $1,292.20 an ounce, while silver was up $0.08 to $16.60 an ounce. Copper was up $0.03 to $3.13 per pound.
Among energy ETFs, the United States Oil Fund was up 0.25% to $14.71 with the United States Natural Gas Fund was up 0.52% to $23.65. Among precious-metal funds, the Market Vectors Gold Miners ETF was up 0.03% to 22.27 while SPDR Gold Shares were up 0.02% to $122.50. The iShares Silver Trust was up 0.41% to $15.60.
Here's where the markets stand at mid-day:
US MARKETS
NYSE Composite Index was up 37.23 points (+0.29%) to 12,840.93
Dow Jones Industrial Index was down 22.27 points (-0.09%) to 24,991.02
S&P 500 was up 4.74 points (+0.17%) to 2,737.64
Nasdaq Composite Index was up 11.58 points (+0.16%) to 7,405.49
GLOBAL SENTIMENT
FTSE 100 was up 18.28 points (+0.23%) to 7,877.45
DAX was up 92.20 points (+0.71%) to 13,169.92
CAC 40 was up 2.59 points (+0.05%) to 5,640.10
Nikkei 225 was down 42.03 points (-0.18%) to 22,960.34
Hang Seng Index was closed
Shanghai China Composite Index was up 0.69 points (+0.02%) to 3,214.53
NYSE SECTOR INDICES
NYSE Energy Sector Index was up 61.47 points (+0.49%) to 12,692.17
NYSE Financial Sector Index was up 64.35 points (+0.79%) to 8,171.17
NYSE Healthcare Sector Index was up 3.24 points (+0.02%) to 14,506.20
UPSIDE MOVERS
(+) LKM (+13.30%) Shareholder letter seeks to ease accounting concerns
(+) CHEK (+7.37%) Announced publication of CE Mark multicentre clinical study on C-Scan
(+) PLAB (+5.92%) Q2 results beat estimates, guides Q3 EPS above street expectations
DOWNSIDE MOVERS
(-) ARDX (-17.26%) Announced $50 million stock offering
(-) DY (-17.27%) Missed Q3 estimates, lowered FY19 guidance
(-) LBY (-8.19%) Suspended quarterly dividend
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
The headlines overshadowed a surge in the Richmond Fed manufacturing index and better-than-expected earnings from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ). China's decision to cut auto import tariffs to 15% coupled with Washington's efforts to reach a deal to allow China's ZTE Corp to conduct business in the US elevated stock futures before the opening bell as investor's applauded easing trade tensions between the world's two largest economies. But after setting a 10-week high at the open, blue chips started to reverse course after Treasury Secretary Steven Mnuchin said that despite "very meaningful progress" China will still be subject to aluminium and steel tariffs.
|
The headlines overshadowed a surge in the Richmond Fed manufacturing index and better-than-expected earnings from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ). Among energy ETFs, the United States Oil Fund was up 0.25% to $14.71 with the United States Natural Gas Fund was up 0.52% to $23.65. NYSE Composite Index was up 37.23 points (+0.29%) to 12,840.93 Dow Jones Industrial Index was down 22.27 points (-0.09%) to 24,991.02 S&P 500 was up 4.74 points (+0.17%) to 2,737.64 Nasdaq Composite Index was up 11.58 points (+0.16%) to 7,405.49
|
The headlines overshadowed a surge in the Richmond Fed manufacturing index and better-than-expected earnings from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ). NYSE Composite Index was up 37.23 points (+0.29%) to 12,840.93 Dow Jones Industrial Index was down 22.27 points (-0.09%) to 24,991.02 S&P 500 was up 4.74 points (+0.17%) to 2,737.64 Nasdaq Composite Index was up 11.58 points (+0.16%) to 7,405.49 FTSE 100 was up 18.28 points (+0.23%) to 7,877.45 DAX was up 92.20 points (+0.71%) to 13,169.92 CAC 40 was up 2.59 points (+0.05%) to 5,640.10 Nikkei 225 was down 42.03 points (-0.18%) to 22,960.34 Hang Seng Index was closed Shanghai China Composite Index was up 0.69 points (+0.02%) to 3,214.53
|
The headlines overshadowed a surge in the Richmond Fed manufacturing index and better-than-expected earnings from TJ Maxx ( TJX ), Kohl's ( KSS ), Auto Zone ( AZO ) and Advanced Auto Parts ( AAP ). The S&P 500 and Nasdaq are holding onto slim gains attributed to positive price action in the chipmaker and banking sectors. Among energy ETFs, the United States Oil Fund was up 0.25% to $14.71 with the United States Natural Gas Fund was up 0.52% to $23.65.
|
11408.0
|
2018-05-21 00:00:00 UTC
|
Is a Surprise Coming for Advance Auto Parts (AAP) This Earnings Season?
|
AAP
|
https://www.nasdaq.com/articles/is-a-surprise-coming-for-advance-auto-parts-aap-this-earnings-season-2018-05-21
|
nan
|
nan
|
Investors are always looking for stocks that are poised to beat at earnings season and Advance Auto Parts, Inc.AAP may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.
That is because Advance Auto Parts is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings - with the most up-to-date information possible - is a pretty good indicator of some favorable trends underneath the surface for AAP in this report.
Analysts have very recently bumped up their estimates for AAP, giving the stock a Zacks Earnings ESP of +0.84% heading into earnings season.
Advance Auto Parts, Inc. Price and EPS Surprise
Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote
Why is this Important?
A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10-year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here ).
Given that AAP has a Zacks Rank #3 (Hold) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Clearly, recent earnings estimate revisions suggest that good things are ahead for Advance Auto Parts, and that a beat might be in the cards for the upcoming report.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
See the pot trades we're targeting>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
After all, analysts raising estimates right before earnings - with the most up-to-date information possible - is a pretty good indicator of some favorable trends underneath the surface for AAP in this report. Given that AAP has a Zacks Rank #3 (Hold) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. Investors are always looking for stocks that are poised to beat at earnings season and Advance Auto Parts, Inc.AAP may be one such company.
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Investors are always looking for stocks that are poised to beat at earnings season and Advance Auto Parts, Inc.AAP may be one such company. After all, analysts raising estimates right before earnings - with the most up-to-date information possible - is a pretty good indicator of some favorable trends underneath the surface for AAP in this report.
|
Analysts have very recently bumped up their estimates for AAP, giving the stock a Zacks Earnings ESP of +0.84% heading into earnings season. Investors are always looking for stocks that are poised to beat at earnings season and Advance Auto Parts, Inc.AAP may be one such company. After all, analysts raising estimates right before earnings - with the most up-to-date information possible - is a pretty good indicator of some favorable trends underneath the surface for AAP in this report.
|
Given that AAP has a Zacks Rank #3 (Hold) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. Investors are always looking for stocks that are poised to beat at earnings season and Advance Auto Parts, Inc.AAP may be one such company. After all, analysts raising estimates right before earnings - with the most up-to-date information possible - is a pretty good indicator of some favorable trends underneath the surface for AAP in this report.
|
11409.0
|
2018-05-21 00:00:00 UTC
|
Pre-Market Earnings Report for May 22, 2018 : TJX, AZO, KSS, AAP, EV, TOL, IGT, CBRL, DY, PLAB, RDCM, CCO
|
AAP
|
https://www.nasdaq.com/articles/pre-market-earnings-report-may-22-2018-tjx-azo-kss-aap-ev-tol-igt-cbrl-dy-plab-rdcm-cco
|
nan
|
nan
|
The following companies are expected to report earnings prior to market open on 05/22/2018. Visit our Earnings Calendar for a full list of expected earnings releases.
TJX Companies, Inc. ( TJX ) is reporting for the quarter ending April 30, 2018. The discount retail company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.02. This value represents a 24.39% increase compared to the same quarter last year. In the past year TJX has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2019 Price to Earnings ratio for TJX is 17.55 vs. an industry ratio of 17.90.
AutoZone, Inc. ( AZO ) is reporting for the quarter ending May 31, 2018. The wholesale retail company's consensus earnings per share forecast from the 11 analysts that follow the stock is $12.99. This value represents a 13.55% increase compared to the same quarter last year. AZO missed the consensus earnings per share in the 2nd calendar quarter of 2017 by -4.67%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AZO is 13.35 vs. an industry ratio of 39.90.
Kohl's Corporation ( KSS ) is reporting for the quarter ending April 30, 2018. The retail company's consensus earnings per share forecast from the 9 analysts that follow the stock is $0.49. This value represents a 25.64% increase compared to the same quarter last year. KSS missed the consensus earnings per share in the 4th calendar quarter of 2017 by -2.78%. Zacks Investment Research reports that the 2019 Price to Earnings ratio for KSS is 12.13 vs. an industry ratio of 15.70.
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending March 31, 2018. The wholesale retail company's consensus earnings per share forecast from the 11 analysts that follow the stock is $1.98. This value represents a 23.75% increase compared to the same quarter last year. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AAP is 17.66 vs. an industry ratio of 39.90.
Eaton Vance Corporation ( EV ) is reporting for the quarter ending April 30, 2018. The finance/investment management company's consensus earnings per share forecast from the 5 analysts that follow the stock is $0.78. This value represents a 25.81% increase compared to the same quarter last year. Zacks Investment Research reports that the 2018 Price to Earnings ratio for EV is 17.43 vs. an industry ratio of 6.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Toll Brothers, Inc. ( TOL ) is reporting for the quarter ending April 30, 2018. The building (residential/commercial) company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.76. This value represents a 4.11% increase compared to the same quarter last year. TOL missed the consensus earnings per share in the 4th calendar quarter of 2017 by -1.68%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for TOL is 10.13 vs. an industry ratio of 15.30.
International Game Technology ( IGT ) is reporting for the quarter ending March 31, 2018. The gaming company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.27. This value represents a 6.90% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2018 Price to Earnings ratio for IGT is 20.27 vs. an industry ratio of 23.10.
Cracker Barrel Old Country Store, Inc. ( CBRL ) is reporting for the quarter ending April 30, 2018. The restaurant company's consensus earnings per share forecast from the 3 analysts that follow the stock is $1.93. This value represents a 1.03% decrease compared to the same quarter last year. In the past year CBRL has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 12.81%. The "days to cover" for this stock exceeds 15 days. Zacks Investment Research reports that the 2018 Price to Earnings ratio for CBRL is 16.62 vs. an industry ratio of 34.90.
Dycom Industries, Inc. ( DY ) is reporting for the quarter ending April 30, 2018. The building company's consensus earnings per share forecast from the 5 analysts that follow the stock is $0.68. This value represents a 47.69% decrease compared to the same quarter last year. In the past year DY has beat the expectations every quarter. The highest one was in the 1st calendar quarter where they beat the consensus by 9.09%. Zacks Investment Research reports that the 2019 Price to Earnings ratio for DY is 20.24 vs. an industry ratio of -13.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Photronics, Inc. ( PLAB ) is reporting for the quarter ending April 30, 2018. The capital goods company's consensus earnings per share forecast from the 2 analysts that follow the stock is $0.07. This value represents a 133.33% increase compared to the same quarter last year. Zacks Investment Research reports that the 2018 Price to Earnings ratio for PLAB is 20.92 vs. an industry ratio of 17.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Radcom Ltd. ( RDCM ) is reporting for the quarter ending March 31, 2018. The computer networks company's consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.03. This value represents a no change for the same quarter last year. In the past year RDCM has met analyst expectations once and beat the expectations the other three quarters. The "days to cover" for this stock exceeds 10 days. Zacks Investment Research reports that the 2018 Price to Earnings ratio for RDCM is 121.88 vs. an industry ratio of -14.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Clear Channel Outdoor Holdings, Inc. ( CCO ) is reporting for the quarter ending March 31, 2018. The advertising/marketing company's consensus earnings per share forecast from the 2 analysts that follow the stock is $-0.22. This value represents a 175.00% decrease compared to the same quarter last year. CCO missed the consensus earnings per share in the 3rd calendar quarter of 2017 by -183.33%. Zacks Investment Research reports that the 2018 Price to Earnings ratio for CCO is -13.53 vs. an industry ratio of 14.50.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending March 31, 2018. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AAP is 17.66 vs. an industry ratio of 39.90. The discount retail company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.02.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending March 31, 2018. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AAP is 17.66 vs. an industry ratio of 39.90. Zacks Investment Research reports that the 2018 Price to Earnings ratio for EV is 17.43 vs. an industry ratio of 6.70, implying that they will have a higher earnings growth than their competitors in the same industry.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending March 31, 2018. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AAP is 17.66 vs. an industry ratio of 39.90. Zacks Investment Research reports that the 2018 Price to Earnings ratio for TOL is 10.13 vs. an industry ratio of 15.30. International Game Technology ( IGT ) is reporting for the quarter ending March 31, 2018.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending March 31, 2018. Zacks Investment Research reports that the 2018 Price to Earnings ratio for AAP is 17.66 vs. an industry ratio of 39.90. Zacks Investment Research reports that the 2018 Price to Earnings ratio for TOL is 10.13 vs. an industry ratio of 15.30. International Game Technology ( IGT ) is reporting for the quarter ending March 31, 2018.
|
11410.0
|
2018-05-21 00:00:00 UTC
|
Equilibrium Valuation Model: A Regression-Based Fundamental Equity Valuation Model
|
AAP
|
https://www.nasdaq.com/articles/equilibrium-valuation-model-regression-based-fundamental-equity-valuation-model-2018-05-21
|
nan
|
nan
|
By Boris Wang :
This article ( original research paper ) proposes a systematic regression-based fundamental equity valuation model that can potentially be applied in areas such as quantitative finance and machine learning. The proposed model aims to methodically integrate the various fundamental factors of equity valuation, such as free cash flow, EBITDA, revenue growth, operating margin, capital expenditures, etc., into a unified regression function capable of predicting the value of individual stocks in an equilibrium market state.
This article will first explain the theory underlying the proposed model; beginning from the fundamental theory of asset valuation, to its application in equity valuation, then to the derivation of the proposed model. Next, methodologies to test the proposed model will be described. And finally, results and outputs of the test model will be discussed along with suggestions for future research.
Theory
Assumptions
The underlying theory of the proposed model assumes the following conditions:
Competitive market
Minimal transaction costs
No restrictions on short-selling or borrowing
Investors seek to maximize economic returns
Investors are rational and risk-neutral
All assets are perfectly liquid and divisible
All information are available to all investors at the same time
Fundamentals of Valuation
The value of an asset is determined by three fundamental factors, income, risk, and risk-free rate.
Income is the basis of value and is reflected by the yield, which measures the amount of income as a percentage of the asset price:
Conversely, yield is also a measure of valuation, as the reciprocal of yield is the price-to-earnings ratio, which reflects how much a certain amount of income is valued:
Variations in yields exist due to risk, or the uncertainty in realizing the income. Alternatively, risk can be defined as the existence of stochastic states in which the realized income does not equate to the stated income. 1 Income adjusted for risk is reflected by the expected return:
In the condition of equal risk-free rate, the law of one price asserts that every asset must have the same expected return. 2 Suppose there are only two assets in the market, a risk-free bond that is guaranteed to pay interest every year and a risky bond that has a 50% chance of not paying interest each year, both priced at 20% yield:
The risk-free rate is the yield that a hypothetical risk-free asset must have; this is derived based on the assertion that the yield of a risk-free asset must equate to its expected return (due to the certainty of its income), and that its expected return must equate to the equilibrium expected return (due to the law of one price):
The law of one price asserts that every asset must have an expected return equal to the risk-free rate. Suppose a market has a risk-free rate of 10%; if a stock with an expected return of 20% is added to the market, then investors will seek the higher expected return by selling other assets in the market (which must all have an expected return of 10%) and buying the stock. This arbitrage will drive the expected return of the stock down until it converges to the risk-free rate of 10%, at which then investors would be indifferent to buying any asset in the market (assuming the stock does not affect the equilibrium expected return of the market).
In summary, the value of an asset is a function of the income it generates, the uncertainty of realizing the income, and the risk-free rate of the market; this can be stated as the following:
Equity Valuation
The three fundamental factors of valuation are reflected in equity valuation through the discounted cash flow (( DCF )) model, which is used to calculate a stock's present value. 3
The income factor in equity valuation is represented by free cash flow (( FCF )), which reflects the amount of cash income generated by a company's operations that is freely distributable to the company's shareholders after deducting for expenditures required to maintain and to expand operations on a going concern basis. 4
The risk factor in equity valuation is represented by the expected FCF growth rate, which is adjusted to FCF to derive the expected FCF. An intuitive way to conceptualize equity risk is to view the stock as a constant perpetuity. 5 A constant perpetuity can be considered risk-free when there is no uncertainty or potential change to its constant coupon payments. Quantitatively, this risk-free perpetuity can be described as having an expected coupon growth rate of 0%. 6
Assuming if the perpetuity has a 50% probability of not paying its coupon next year, then it would no longer be considered risk-free as its constant coupon payment is now subject to uncertainty and has the potential to change. Quantitatively, this risky perpetuity's expected coupon growth rate for the next year can be expressed as -50%, which reflects the expected change in the value of next year's coupon:
For assets with constant income, risk-free can be understood as the absence of potential change and can be expressed by a 0% expected growth rate; and risk can be understood as the potential for change and can be expressed by a non-zero expected growth rate. 7 For assets with variable income, such as equities, the same conception of risk can be applied by viewing the current income as the constant income.
For example, a stock, with its current FCF being the "constant coupon payment", can also be considered "risk-free" if it has an expected FCF growth rate of 0%. And if there is a probability that FCF will decline in the future (relative to the current FCF), then this would represent a potential downward change (downside risk) in FCF and it can be expressed as a negative expected FCF growth rate. When inputted into the DCF model, the negative growth rate decreases the valuation of the stock relative to its current FCF, which results in a higher FCF yield and a lower multiple. This is consistent with the observation that higher risk correlates with higher yield.
And if there is a probability that FCF will increase in the future, then this would represent a potential upward change (upward risk) in FCF and it can be expressed as a positive expected FCF growth rate. When inputted into the DCF model, the positive growth rate increases the valuation of the stock relative to its current FCF, which results in a lower FCF yield and a higher multiple. This is consistent with the observation that lower risk correlates with lower yield. 8
The risk-free rate factor in equity valuation is represented by the discount rate, which is used to discount a stock's expected FCF to its present value. By discounting expected FCF with the risk-free rate - commonly represented by the government bond yield, the expected return of the stock is thus equated to the equilibrium expected return of the market.
Finally, the value of a stock as derived by the DCF model can be expressed as the following:
Equilibrium Valuation Model
Based on the DCF model, it can be stated that the current value of a stock ( P 0 ) is a function of its current FCF ( FCF 0 ), its future expected FCF growth rates ( G 1 , G 2 , …G n ), and the current risk-free rate ( Rf 0 ). Assuming if G 1 , G 2 , …G n can be expressed as a function representing the total time-adjusted expected FCF growth potential of a stock at the current period ( TG 0 ), then it can be stated that P 0 is a function of the following three factors:
Moreover, assuming the law of one price holds, then it should be possible to derive such a valuation function capable of determining P 0 in a market equilibrium state based on the three valuation factors. This concept is illustrated through the following example.
Consider a hypothetical perfect market which is composed of the following stocks:
Based on these data, the relationship between P 0 and the three valuation factors can be derived as the following: 9
This multivariable function is essentially the market's equilibrium valuation function, as it defines how the market values each of the three valuation factors and how these factors interact in an equilibrium state. For example, if Stock F, which has a FCF 0 of $6 and a TG 0 of 1%, is added to the market, then its P 0 as determined by the equilibrium valuation function would be $126 (4.76% yield):
If Stock F is instead priced at $120 (5.00% yield), then it would represent a mispricing and would allow investors to earn arbitrage profit ($6) by buying one Stock F ($120), splitting it into three stocks (each with a FCF 0 of $2 and a TG 0 of 1%), and selling them as Stock B ($42 each or $126 in total). This arbitrage will result in P 0 of Stock F converging to $126 to reflect the equilibrium valuation of the market (assuming the arbitrage does not affect the valuation of Stock B).
And if Stock F is priced at $130 (4.62% yield), then investors can earn arbitrage profit ($4) by buying three Stock B ($42 each or $126 in total), combining them into a single stock (with a FCF 0 of $6 and a TG 0 of 1%), and selling it as Stock F ($130). Again, this arbitrage will result in P 0 of Stock F converging to $126 to reflect the equilibrium valuation of the market.
There are two specific assumptions underlying the derivation of this equilibrium valuation function. The first assumption is TG 0 , a theoretical factor representing the totality of a stock's time-adjusted expected FCF growth potential as of the current period. Quantitatively, a stock's TG 0 can be defined as the input variable which, together with the stock's FCF0 and Rf 0 , equates the output of the equilibrium valuation function, P 0 , to the stock's hypothetical fair value.
In application, TG 0 can be approximated by calculating a stock's total expected FCF growth rate for the forward n periods. 10 Generally, stocks are valued using the DCF model on a 10-year forward-looking time horizon before a generic terminal value is imposed; this means that the company-specific portion of a stock's expected FCF growth potential is derived from only 10 years of growth estimates. Therefore, the total expected FCF growth rate for the forward 10 years should serve as a relatively accurate proxy for TG 0 ; this can be expressed as the following: 11
The second assumption required for the derivation of the equilibrium valuation function is the law of one price. Note that in the example given, the equilibrium valuation function is a perfect predictor of stock price because the market it is derived from is perfect and there is no mispricing among the existing stocks (due to the law of one price). In application, however, the derived function may not be perfect due to possible inefficiencies in the market, and the degree of its prediction accuracy will likely correlate with the degree of the market's efficiency.
Therefore, in order to derive a sufficiently predictive equilibrium valuation function, it is required that the stock market be mostly efficient. Though individual stocks may be mispriced at certain periods of time, the deviation between current price and fair value should be averaged out when applied to the market as a whole and over time. Therefore, if on average the stock market is accurately valued, then the equilibrium valuation function derived from it should also be accurately calibrated.
Assuming that TG 0 can be approximated using forward FCF growth estimates and that the market is mostly efficient, then theoretically it should be possible to derive from the equity market a sufficiently predictive equilibrium valuation function capable of predicting the value of individual stocks.
Factor Modularization
The "equilibrium valuation model" in its basic theoretical form is defined as the following:
12
Though these two stocks have the same FCF, it is apparent from a fundamental analysis perspective that Stock A has the "higher quality" FCF. First, Stock A is generating positive operating income, whereas Stock B is losing money on its operations. Second, Stock A is investing in its future business as can be seen from its positive net capital expenditures and working capital spending, whereas Stock B is not spending on capital expenditures and is expending its current working capital. 13 However, by having the same FCF, the model would be unable to identify these fundamental differences between Stock A and Stock B.
Theoretically, the discrepancy between a stock's FCF and its underlying "quality" should be reflected through TG n . For example, if Stock A is generating positive operating income and is investing in its future business, then its TG 0 should be higher than Stock B, which is losing money on operations and is not investing in its business. Therefore, even though both stocks currently generate the same FCF, the model will correctly produce a higher valuation for Stock A due to its higher TG 0 (assuming positive correlation with value). However, because TG n is approximated using only 10 years of expected FCF growth rates, the possibility of this fundamental discrepancy lasting for longer periods can render TG n ineffective in correcting any distortions created by a "low quality" FCF n .
This shortcoming of the model can be resolved through factor modularization, a process by which each basic factor is divided and represented by incrementally more precise sub-factors. For example, FCF n can be represented by the following components: 14
In this breakdown of FCF, Rev n represents the gross cash inflow received from operations; EBITDA% n represents the percentage of Rev n retained as operating income; Tax% n , CAPEX% n , and ∆WC% n represent the percentage of Rev n paid out as tax expense, capital expenditures, and working capital. By representing FCF n with its components, it allows the model to identify the relative importance (coefficient) of each component and as a result provide more precise representations of the fundamental aspects underlying a stock's FCF.
To correspond with the FCF n components, TG n can be divided into the following:
Using these components to represent TG n not only more precisely reflects the growth potential of a stock, but also more closely aligns with how the market views and estimates growth. For example, when analysts estimate the forward growth rate of a stock, they typically do so by separately forecasting the company's revenue growth rate, the change in EBITDA margin, and changes in other expense margins.
Factor modularization can be applied to Rf n by representing it with multiple durations of the government bond yield such as the following:
This allows for a more comprehensive representation of Rf n by enabling the model to identify the coefficient of each duration and measure how different durations affect stock valuation.
It is also possible to apply factor modularization to the model's output, P n , by dividing it into components and using the most precise component as its representation. For example, the measure of stock value, market capitalization (or stock price on a per share basis), can be calculated as the following:
Firm value represents the value of a company's business operations, whereas non-operating assets represent items not directly related to operations such as cash, investments, debt, preferred securities, non-controlling interest, etc. 15 In this case, firm value can be used to represent P n as it is the more direct and precise measure of a stock's underlying business value:
With factor modularization, the Equilibrium Valuation Model can be stated in the following expanded form:
Theoretically, the factor modularization process can be repeated indefinitely to yield incrementally more precise representations of the basic factors. For example, EBITDA% n can be further divided into operating expense margin ( OPEX% n ) and depreciation and amortization margin ( D&A% n ); OPEX% n can also be further divided into cost of goods sold margin ( COGS% n ), sales, general, and administrative margin ( SG&A% n ), and research and development margin ( R&D% n ), etc.
In application, however, factor modularization is constrained by the variations in company financial reporting and business models. For example, if sub-factors such as EBITDA% n , CAPEX% n , and ∆WC% n are used to represent FCF n , then this model would be inapplicable to stocks in the financial sector, such as banks and insurance companies, as their operations cannot be cleared defined in terms of EBITDA, capital expenditures, or working capital (see " Valuing Financial Service Firms " by Aswath Damodaran). And if EBITDA% n is further divided into COGS% n , SG&A% n , R&D% n , and D&A% n , then this model would be inapplicable to stocks that do not report cost of goods sold or research and development expenses.
Therefore, the degree of factor modularization is dependent on the trade-off between precision and scope. If the scope is to derive an equilibrium valuation function applicable to the entire market, then more basic factors should be used to accommodate the variety of different stocks in the market; and if the scope is to derive an equilibrium valuation function for a specific sector of the market, then more precise and specific factors can be used to achieve greater accuracy and descriptive capabilities.
Methodology
Identifying Limitations
To test the Equilibrium Valuation Model in application, a sample regression model is built based on the methodologies described in the subsequent sections. First, it is necessary to identify the major limitations subjected by the test model:
In theory, TG n and its sub-factors should be approximated using the forward 10 years growth estimates. However, due to the unavailability of these data, TG n and its sub-factors in the test model are instead approximated using historical growth rates based on the most recent period. 16
The Equilibrium Valuation Model as it is currently constructed does not incorporate the effects of debt and financial leverage. Therefore, the test model will not account for these factors. 17
Company financial information used in the test model are obtained from third-party sources and are susceptible to various errors such as misplaced, omitted, and inaccurate numbers.
Specifying Variables
The test model is built using the following variables:
18
To avoid division errors/distortions caused by a zero/negative EBITDA margin denominator, EBITDA margin growth rate in the model is instead represented by the EBITDA expense margin growth rate. 19
Tax margin growth rate and change in working capital margin growth rate are excluded from the model as they are generally immaterial and are typically set as a percentage of revenue for going concern companies.
Organizing Data
Data for the test model are obtained from companies in the S&P 500 - widely considered to be the most efficient segment of the US equity market.
In order to construct a comparable and standardized data sample, companies not applicable to the EBITDA approach of calculating FCF and companies in which TG n may not be reliably approximated (using historical growth rates) are excluded from the sample. This includes companies that are significantly impacted by specific macro-economic factors (such as energy and material companies), companies that operate on balance-sheet-centric business models (such as banks, insurance companies, REITs, and certain other financial services companies), and companies that operate on other non-standard business models (such as patent-dependent healthcare companies). After these exclusions, there are in total 283 companies in the sample. 20
With fiscal quarters being the basic unit of time, quarterly financial data for each sample company going back to the year 1996 (if available) are inputted into the following Excel company template (Apple ( AAPL ) will be used as the example hereafter): 21
Source: Created by author using data from YCharts.com
In order to accurately represent the "true" FCF of each company, every company within the sample is manually screened and adjusted for material one-time items and company-specific operating items such as deferred revenue and capital/finance leases. 22 Furthermore, all negative EBITDA in the sample are set to zero as EBITDA becomes uncorrelated with value when negative (companies are only valued based on expectations of positive EBITDA).
To eliminate the effect of cyclicality and to provide an annualized representation of FCF, the quarterly FCF data are then converted to the trailing 12 months (( TTM )) format to arrive at the TTM FCF data (and Rev n ):
Source: Created by author
To correctly align the valuation of a company at a given quarter to the financial information by which the valuation is based on, TTM is calculated as the sum of the n - 1 , n - 2 , n - 3 , and n - 4 quarters (instead of the n , n - 1 , n - 2 , and n - 3 quarters). This is necessary because in application the valuation of a company at a given quarter is derived based on the company's reported financial information from the preceding quarter.
The other FCF variables are then calculated by dividing the respective TTM FCF data by Rev n :
Source: Created by author
Next, FCF growth variables are calculated using the FCF variables from the n and n - 1 quarters:
Source: Created by author
Then, quarterly average 3-Month and 10-Year US Treasury yields are inputted into each company template in alignment with the company's fiscal quarter: 23
Source: Created by author using data from the St. Louis Fed website
Several calculations are made to arrive at a company's firm value. First, quarterly average stock prices ( SP n ) are inputted into each company template in alignment with the company's fiscal quarter. 24 Next, SPn is multiplied by the preceding quarter's weighted-average diluted shares outstanding ( WADS n ) to derive the quarterly average market capitalization ( MC n ). 25 Lastly, MC n is deducted by the preceding quarter's ending non-operating assets ( NOA n ) to arrive at the quarterly average firm value ( FV n ): 26
Source: Created by author using data from YCharts.com
Source: Created by author using data from YCharts.com and Yahoo Finance
Finally, quarterly data sets which have incomplete/missing variables are removed (along with all preceding quarters). The remaining complete quarterly data sets from the 283 company templates are then combined and inputted into a single Excel regression model template totaling 20,216 quarterly data sets.
Formulating Function
The next step in building the test model is to formulate the regression function. Because it is not yet known by which relationship the variables and coefficients interact, four different functions are proposed and tested:
Function #1:
After setting up the functions on the regression model template, Excel Solver is used to solve for the optimal coefficients with the goal of minimizing the mean absolute percentage error (MAPE) between the predicted FV n and the actual FV n for all 20,216 quarterly data sets:
Source: Created by author
After the optimization of coefficients, the function which produced the lowest MAPE is considered to be the equilibrium valuation function for the purpose of this test model.
Result
The four proposed functions yielded the following MAPE after optimization:
Based on these results, Function #1 on average is determined to be more accurate in predicting FV n for the 20,216 quarterly data sets. Therefore, the remainder of this section will focus on the outputs of Function #1, which is derived as the following (coefficients rounded to two decimal places):
The predicted FV n can then be converted into SP n by using the following formula:
Using this test model, it's possible to compare a company's historical SP n with the predicted SP n by generating a cross-sectional graph with time on the x-axis and price on the y-axis. Below is the historical price prediction chart of Apple: 27
Source: Created by author
The test model was able to produce some interesting price predictions which in many cases exhibited leading effects. For example, the historical price predictions for Cisco Systems ( CSCO ) and Oracle ( ORCL ) were able to identify the Dot.com Bubble in the early 2000s. Furthermore, in the case of Cisco Systems, the predicted price was able to consistently lead the actual price after 2010, possibly suggesting that the stock was undervalued.
Source: Created by author
Source: Created by author
In the case of Walmart ( WMT ), the actual price consistently stagnated when it was higher than the predicted price, possibly indicating overvaluation during those years. After the predicted price surpassed the actual price in 2006, the actual price broke out of its stagnation and began rising in accordance with the predicted price.
Source: Created by author
In the case of Advance Auto Parts ( AAP ), prior to 2014 the predicted price consistently led the actual price. Though a divergence occurred between the predicted and actual price between 2014 and 2016, the divergence was quickly reduced in 2017. This may be a case where the stock price corrected back to its fair value. Similar cases of divergence and convergence can be observed in stocks such as Ross Stores ( ROST ), Ralph Lauren ( RL ), and W. W. Grainger ( GWW ).
Source: Created by author
Source: Created by author
Source: Created by author
Source: Created by author
However, for the majority of the stocks, the predicted price simply mirrored the actual price to different degrees and did not exhibit any noticeable leading effects. The historical price prediction charts of BlackRock ( BLK ), Bed Bath & Beyond ( BBBY ), and Micron Technology ( MU ) are typical examples of the test model's output.
Source: Created by author
Source: Created by author
Source: Created by author
Based on the overall results, it can be proposed that the test model does indeed possess predictive powers. Though there is a wide range of discrepancies observed, the model is generally able to produce price predictions which approximated the actual prices.
Much of the observed discrepancies between the predicted and actual prices can be attributed to the various limitations subjected by the test model as discussed previously. Therefore, by improving on those limitations, the model's prediction accuracy should increase significantly.
The model's predictive power can also be enhanced by improving the regression function. The test model assumed a highly simplistic representation of the equilibrium valuation function whereby all the variables and coefficients interacted with similar operations. In reality, however, the optimal equilibrium valuation function may interact with much more complex operations.
Finding the optimal function is inherently an iterative task requiring significant computational power. As a result, machine learning techniques such as artificial neural networks may need to be applied in this pursuit (see " Using Artificial Neural Networks to Predict Stock Prices " by Tomasz Kozdraj).
Conclusion
The implications of the Equilibrium Valuation Model are significant, as further research and development can lead to numerous practical applications such as the identification of mispriced stocks, the calculation of implied risk, and the valuation of private companies. Furthermore, given that the underlying theory of the model is applicable to all assets, it may be possible to apply this model to other asset classes as well.
Appendix
I: Sample Companies and Adjustments
II: Historical Price Prediction Charts
See also Urban Outfitters' ( URBN ) CEO Richard Hayne on Q1 2019 Results - Earnings Call Transcript on seekingalpha.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
20 With fiscal quarters being the basic unit of time, quarterly financial data for each sample company going back to the year 1996 (if available) are inputted into the following Excel company template (Apple ( AAPL ) will be used as the example hereafter): 21 Source: Created by author using data from YCharts.com In order to accurately represent the "true" FCF of each company, every company within the sample is manually screened and adjusted for material one-time items and company-specific operating items such as deferred revenue and capital/finance leases. Source: Created by author In the case of Advance Auto Parts ( AAP ), prior to 2014 the predicted price consistently led the actual price. By Boris Wang : This article ( original research paper ) proposes a systematic regression-based fundamental equity valuation model that can potentially be applied in areas such as quantitative finance and machine learning.
|
20 With fiscal quarters being the basic unit of time, quarterly financial data for each sample company going back to the year 1996 (if available) are inputted into the following Excel company template (Apple ( AAPL ) will be used as the example hereafter): 21 Source: Created by author using data from YCharts.com In order to accurately represent the "true" FCF of each company, every company within the sample is manually screened and adjusted for material one-time items and company-specific operating items such as deferred revenue and capital/finance leases. Source: Created by author In the case of Advance Auto Parts ( AAP ), prior to 2014 the predicted price consistently led the actual price. The proposed model aims to methodically integrate the various fundamental factors of equity valuation, such as free cash flow, EBITDA, revenue growth, operating margin, capital expenditures, etc., into a unified regression function capable of predicting the value of individual stocks in an equilibrium market state.
|
20 With fiscal quarters being the basic unit of time, quarterly financial data for each sample company going back to the year 1996 (if available) are inputted into the following Excel company template (Apple ( AAPL ) will be used as the example hereafter): 21 Source: Created by author using data from YCharts.com In order to accurately represent the "true" FCF of each company, every company within the sample is manually screened and adjusted for material one-time items and company-specific operating items such as deferred revenue and capital/finance leases. Source: Created by author In the case of Advance Auto Parts ( AAP ), prior to 2014 the predicted price consistently led the actual price. 2 Suppose there are only two assets in the market, a risk-free bond that is guaranteed to pay interest every year and a risky bond that has a 50% chance of not paying interest each year, both priced at 20% yield: The risk-free rate is the yield that a hypothetical risk-free asset must have; this is derived based on the assertion that the yield of a risk-free asset must equate to its expected return (due to the certainty of its income), and that its expected return must equate to the equilibrium expected return (due to the law of one price): The law of one price asserts that every asset must have an expected return equal to the risk-free rate.
|
20 With fiscal quarters being the basic unit of time, quarterly financial data for each sample company going back to the year 1996 (if available) are inputted into the following Excel company template (Apple ( AAPL ) will be used as the example hereafter): 21 Source: Created by author using data from YCharts.com In order to accurately represent the "true" FCF of each company, every company within the sample is manually screened and adjusted for material one-time items and company-specific operating items such as deferred revenue and capital/finance leases. Source: Created by author In the case of Advance Auto Parts ( AAP ), prior to 2014 the predicted price consistently led the actual price. 4 The risk factor in equity valuation is represented by the expected FCF growth rate, which is adjusted to FCF to derive the expected FCF.
|
11411.0
|
2018-05-18 00:00:00 UTC
|
Is a Beat Likely for Advance Auto Parts' (AAP) Q1 Earnings?
|
AAP
|
https://www.nasdaq.com/articles/is-a-beat-likely-for-advance-auto-parts-aap-q1-earnings-2018-05-18
|
nan
|
nan
|
Advance Auto Parts, Inc.AAP is set to report first-quarter 2018 results before the opening bell on May 22.
In the last reported quarter, the company delivered a positive surprise of 18.5%. Per the earnings record, the company beat estimates twice and missed twice in the trailing four quarters with an average beat of 2.2%.
In the last three months, shares of Advance Auto Parts have outperformed the industry it belongs to. The stock moved up 11.3% compared with the growth of 1.4% recorded by the industry during the period.
Advance Auto Parts, Inc. Price and EPS Surprise
Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote
Let's see, how things have shaped up for the upcoming announcement.
Why a Likely Positive Surprise?
Our proven model shows that Advance Auto Parts is likely to beat on earnings this quarter. That is because it has the right combination of the two key ingredients - a positive Earnings ESP and a Zacks Rank #3 (Hold) or better - for increasing the odds of an earnings beat.
Earnings ESP : Advance Auto Parts has an Earnings ESP of +1.41% as the Most Accurate estimate is pegged at $2, higher than the Zacks Consensus Estimate of $1.98. A positive ESP indicates that an earnings surprise is likely. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank : Advance Auto Parts carries a Zacks Rank of 3. This, when combined with a positive ESP, makes us reasonably confident of an earnings beat.
Conversely, we caution against Sell-rated stocks (#4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
What's Driving Better-Than-Expected Earnings?
The company's business depends on the seasonality and weather conditions. Extremely hot or cold weather generally leads to increased sales as automotive parts stop working at accelerated rates. For first-quarter 2018, the company expects a rise in demand, driven by winter-related demand in key regions.
The company is focusing to expand its footprint by opening new stores, widening its online presence and by strategic acquisitions. Further, it aims to reduce inventory costs while improving the availability of products to meet customer needs. In fourth-quarter 2017, Advance Auto Parts announced a strategic partnership with Interstate Batteries, a leading provider of batteries for professional installers. Under the collaboration, the company's stores and online website will offer the complete lineup of Interstate Batteries.
However, funding new stores, maintaining the old ones and investing to develop the supply chain might lead to increased capital expenditure for the company. For 2018, Advance Auto Parts anticipates capital expenditure to be $250 million compared with roughly $189 million in 2017.
Other Stocks to Consider
Few other auto stocks worth considering from the same space, comprising the right combination of elements to come up with earnings beat this time around:
AutoZone, Inc. AZO has an Earnings ESP of +0.42% and is a Zacks #3 Ranked player. The company's third-quarter fiscal 2018 financial numbers are supposed to be announced on May 22. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Navistar International Corporation NAV has an Earnings ESP of +21.89% and a Zacks Rank of 3. The company is expected to report second-quarter fiscal 2018 financial figures on Jun 6.
CarMax, Inc. KMX has an Earnings ESP of +3.38% and a Zacks Rank of 3. The company's first-quarter 2018 financial results are expected to be released on Jun 20.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CarMax, Inc. (KMX): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
Navistar International Corporation (NAV): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc.AAP is set to report first-quarter 2018 results before the opening bell on May 22. Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report To read this article on Zacks.com click here. Extremely hot or cold weather generally leads to increased sales as automotive parts stop working at accelerated rates.
|
Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP is set to report first-quarter 2018 results before the opening bell on May 22. Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote Let's see, how things have shaped up for the upcoming announcement.
|
Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP is set to report first-quarter 2018 results before the opening bell on May 22. Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote Let's see, how things have shaped up for the upcoming announcement.
|
Advance Auto Parts, Inc.AAP is set to report first-quarter 2018 results before the opening bell on May 22. Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote Let's see, how things have shaped up for the upcoming announcement.
|
11412.0
|
2018-05-08 00:00:00 UTC
|
Morning Movers: Hertz Feels the Hurt, Valeant Soars
|
AAP
|
https://www.nasdaq.com/articles/morning-movers-hertz-feels-hurt-valeant-soars-2018-05-08
|
nan
|
nan
|
The Dow Jones Industrial Average is trading lower this morning as investors wait to see if the U.S. will exit the nuclear deal with Iran.
Getty Images
S&P 500 futures have declined 0.1% at 9:11 a.m., while Dow Jones Industrial Average futures have fallen 27 points, or 0.2%. Nasdaq Composite futures have dropped 0.2%.
The word on the Street is that President Donald Trump is leaning towards leaving the deal, but you wouldn't know that by looking at the oil market, where crude has dropped 0.8% to $70.18 this morning. Of course, that could be more about the fact that it's rallied 13% during the past month, even as the dollar rallied, which is not supposed to happen. So, it's bad for oil if the deal is renewed, good if it's not. We see the markets as not impressed by sophistry and instead concentrated on the'binary' outcome," writes Tigress Financial's Jean Ergas. "The US either renews or it does not!"
At some point, though, higher oil prices are going to start hitting stocks. Not the energy sector, of course, which is a big beneficiary of higher oil prices. But with the group such a small part of the S&P 500 these days, it doesn't have the heft necessary to lift the overall market higher. For most everyone else, it will mean another rising input cost, which means we'll continue to hear about narrowing profit margins.
It's just a question of how high is too high.
21st Century Fox (FOXA) is up 2.5% to $39 on reports that Comcast (CMCSA), down 1.8% to $31.80, is weighing an all-cash bid for the media giant.
Advance Auto Parts (AAP) is up 1.6% to $117.99 after Atlantic Equities upgraded it to Overweight.
Getty Images
Citigroup (C) is up 1.7% to $69.64 on a report from The Wall Street Journal that activist investor ValueAct is building a stake in the bank.
Dean Foods (DF) is up 5.5% to $8.80 after reporting first-quarter earnings. The organic food maker earned 14 cents a share on revenue of $1.98 billion, while analysts were looking for earnings of 10 cents a share on revenue of $1.84 billion. For the full year, it expects to earn between 55 cents and 80 cents a share, compared with the 62 cent per-share consensus estimate.
Hertz Global (HTZ) is down 9.3% to $20.09 after reporting first-quarter earnings. The vehicle rental firm lost $1.58 a share on revenue of $2.06 billion. Analysts were looking for a $1.26 per-share loss on revenue of $1.97 billion.
JD.com (JD) is down 2.9% to $37.60 after reporting first-quarter earnings. The tech giant earned 0.71 yuan a share, on revenue of 100.13 yuan, while analysts were looking for.82 yuan a share on revenue of 98.92 yuan. For the second quarter, it expects sales of 120 billion yuan to 124 billion yuan, compared with the 122.4 billion yuan consensus.
Mosaic (MOS) is down 2% to $27.02 after reporting first-quarter earnings. The fertilizer maker earned 20 cents a share on revenue of $1.93 billion, while analysts were looking for earnings of 28 cents a share on revenue of $1.85 billion. For the full year, it expects to earn between $1.20 and $1.60 a share, compared with the $1.45 per-share consensus estimate.
Northrup Grumman (NOC) is up 1% to $320.40 after Goldman Sachs added it to the firm's Conviction Buy List.
Snap (SNAP) is up 1.6% to $10.91 after announcing that its CFO Andrew Vollero will leave on May 15.
Valeant Pharmaceuticals International (VRX) has climbed 11% to $20.18 after reporting better-than-expected earnings, raised its guidance and said it would change its name to Bausch Health Cos.
Zillow (Z) is down 7.8% to $51.50 after reporting first-quarter earnings and its CFO's retirement. The real estate firm earned seven cents a share on revenue of $299.9 million, while analysts were looking for earnings of six cents a share on revenue of $298.7 million. However, for the current quarter, it expects sales of $322 million to $327 million, compared with the $347.2 million consensus. It said its chief financial officer, Kathleen Philips, will retire on May 31, while its vice president of financial reporting, Jennifer Rock, will be interim CFO. - Teresa Rivas
Sign up to Review & Preview, a new daily email from Barron's. Every evening we'll review the news that moved markets during the day and look ahead to what it means for your portfolio in the morning.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts (AAP) is up 1.6% to $117.99 after Atlantic Equities upgraded it to Overweight. The Dow Jones Industrial Average is trading lower this morning as investors wait to see if the U.S. will exit the nuclear deal with Iran. The word on the Street is that President Donald Trump is leaning towards leaving the deal, but you wouldn't know that by looking at the oil market, where crude has dropped 0.8% to $70.18 this morning.
|
Advance Auto Parts (AAP) is up 1.6% to $117.99 after Atlantic Equities upgraded it to Overweight. The organic food maker earned 14 cents a share on revenue of $1.98 billion, while analysts were looking for earnings of 10 cents a share on revenue of $1.84 billion. For the full year, it expects to earn between 55 cents and 80 cents a share, compared with the 62 cent per-share consensus estimate.
|
Advance Auto Parts (AAP) is up 1.6% to $117.99 after Atlantic Equities upgraded it to Overweight. The organic food maker earned 14 cents a share on revenue of $1.98 billion, while analysts were looking for earnings of 10 cents a share on revenue of $1.84 billion. The fertilizer maker earned 20 cents a share on revenue of $1.93 billion, while analysts were looking for earnings of 28 cents a share on revenue of $1.85 billion.
|
Advance Auto Parts (AAP) is up 1.6% to $117.99 after Atlantic Equities upgraded it to Overweight. Getty Images S&P 500 futures have declined 0.1% at 9:11 a.m., while Dow Jones Industrial Average futures have fallen 27 points, or 0.2%. The word on the Street is that President Donald Trump is leaning towards leaving the deal, but you wouldn't know that by looking at the oil market, where crude has dropped 0.8% to $70.18 this morning.
|
11413.0
|
2018-04-30 00:00:00 UTC
|
Advance Auto Parts Reaches Analyst Target Price
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-reaches-analyst-target-price-2018-04-30
|
nan
|
nan
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.08, changing hands for $116.34/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 13 different analyst targets contributing to that average for Advance Auto Parts Inc, but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $85.00. And then on the other side of the spectrum one analyst has a target as high as $138.00. The standard deviation is $16.725.
But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.08/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.08 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover Advance Auto Parts Inc:
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on AAP - FREE .
The Top 25 Broker Analyst Picks of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.08, changing hands for $116.34/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.08/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.08 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.08, changing hands for $116.34/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.08/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.08 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
And so with AAP crossing above that average target price of $116.08/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.08 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.08, changing hands for $116.34/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.08, changing hands for $116.34/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.08/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.08 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
11414.0
|
2018-04-19 00:00:00 UTC
|
Auto Stock Roundup: China to Scrap Limit on Foreign Auto JVs, GM to Cut Jobs
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-china-to-scrap-limit-on-foreign-auto-jvs-gm-to-cut-jobs-2018-04-19
|
nan
|
nan
|
Somewhat easing the tension of a trade war, China announced that it will erase the limit on foreign ownership of domestic auto ventures. This will assist foreign automakers to own factories in the country. Notably, this restriction has been in place since 1994, which limits foreign carmakers to own not more than 50% share of any local establishment.
China will lift foreign ownership limit for the wider car market by 2022. This may open up opportunities for U.S. automakers and enable them to earn higher profits. But disentangling the network of collaborations forged with local Chinese companies may not be easy.
The past week also saw General Motors Company GM announcing layoffs of around 1,500 workers at its plant in Lordstown, OH, per CNBC. The auto giant took such a decision due to the dramatically slowing demand for compact cars.
(Read the previous roundup here: Auto Stock Roundup for Apr 12, 2018 )
Recap of the Week's Most Important Stories
1. Per Reuters, Volkswagen AG's VLKAY Truck & Bus GmbH unit agreed to form a strategic alliance with Hino Motors, Ltd., a subsidiary of Toyota Motor Corporation TM , to develop self-driving capabilities and lower-emission vehicles.
Intended to strengthen their market position as commercial-vehicle manufacturers, the two automakers will join forces to deal with rising investment costs related to the development of autonomous vehicles and new transportation services, including ride sharing.
The combined forces will work on research and development, technology and procurement of gasoline-electric and diesel hybrid engines as well as self-driving technologies. This will enable both the companies to benefit from the economies of scale and come up with innovative products at a faster pace compared with the time required while working separately.
However, the partnership between the two subsidiary units will not change the competitive dynamics between Volkswagen and Toyota in the passenger-car market. (Read more: Volkswagen & Toyota Units to Co-Develop Autonomous Trucks )
While Volkswagen carries a Zacks Rank #2 (Buy), Toyota has a Zacks Rank #3 (Hold).
2. Per a Reuters report, Genuine Parts Company GPC will spin off its wholesale distribution business, S.P. Richards. Thereafter, the S.P. Richards business and Essendant will be combined to create a new entity named Essendant. The newly formed unit will be headed by Essendant's chief executive officer (CEO) Ric Phillips. Rick Toppin, CEO of S.P. Richards, will be the chief operating officer of the new entity. The combination of Essendant and S.P. Richards will result in a more competitive business products distributor with higher scale and service capabilities along with greater ability to support customers.
The deal is structured as a Reverse Morris Trust. The transaction values S.P. Richards at approximately $680 million. Atlanta, GA-based Genuine Parts will receive $347 million in cash while the shareholders of the company will own around 51% of the combined company, post closing. The deal is slated to close before the end of 2018. However, it is subject to regulatory and shareholder approvals, and satisfaction of certain other customary closing conditions.
Notably, Essendant is a wholesale distributor of workplace items whereas S.P. Richards distributes a range of products, including office furniture, computer supplies and school supplies, to resellers in the United States and Canada. (Read more: Genuine Parts' S.P. Richards Unit to Tie Up With Essendant )
Genuine Parts carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
3. General Motors announced that it is laying off around 1,500 workers at its plant in Lordstown, OH, per CNBC. The auto giant took such a decision due to the dramatically slowing demand for compact cars. Notably, the plant only manufactures the Chevy Cruze model and employs around 3,000 workers.
In fact, the demand for sedans has declined steeply in recent times. This year, car sales have declined 13.2% while that of SUVs, crossovers and pickups rose 7%. For Chevy Cruze, the sales decline has been steeper. Per Autodata, Chevy Cruze sales plunged 28% in 2018. In 2017, over 184,000 Cruze models were sold in the United States compared with 273,000 vehicles in 2013.
The facility will be slowing the assembly lines by eliminating one of the two shifts, starting from mid-June. General Motors informed that up to 1,500 workers could be impacted by the decision. (Read more: General Motors to Cut Jobs in Ohio Plant as Car Demand Wanes )
General Motors carries a Zacks Rank #3.
4. Tesla, Inc. TSLA set a target to manufacture 6,000 Model 3 cars each week by the end of June to meet its weekly target of 5,000 Model 3 units by the end of second-quarter 2018, per Bloomberg. The difference includes a margin for error of the product parts. The news was first tracked by Electrek from an email by the company's CEO to the employees.
At the beginning of the month, Tesla reported unit productions for the first quarter of 2018. The company manufactured 2,020 Model 3 vehicles per week in the first quarter, thus lagging the target of manufacturing 2,500 Model 3 units per week. This shortfall in unit production prompted the company to set an internal target of 6,000 units to realize the 5k target.
Per the company's CEO, the recent temporary suspension of Model 3 production is planned to eliminate the bottlenecks that have delayed production. This will help Tesla to reach 3000-4000 Model 3 productions per week in May. Further, a similar suspension is expected at its two factories in California and Nevada to update the units in May. (Read more: Tesla Hikes Model 3 Production Target to 6K per Week )
Tesla carries a Zacks Rank #3.
5. Group 1 Automotive, Inc. acquired a new Toyota sales territory in western Sao Paulo of Brazil. Additionally, the company expanded an existing Honda dealership in Sao Bernardo do Campo, situated in the suburb of Sao Paulo.
The newly acquired business will function under T-Drive Toyota Alphaville and is anticipated to generate roughly $45 million in yearly revenues. With this acquisition, T-Drive Toyota Alphaville became Group 1 Automotive's fourth Toyota dealership in Brazil. Further, the company was given a few additional Toyota points of representation inside the Sao Paulo market. Names and locations of these points will be announced once those get functional.
Per management, this acquisition, along with Group 1 Automotive's existing stores, will generate opportunities and growth potential by offering a large Toyota operating footprint across Brazil's largest city. Toyota is the largest brand partner for Group 1 Automotive.
The company also reported the relocation of its key Sao Paulo Honda dealership to a larger facility with freeway visibility. This will enable Group 1 Automotive to almost double revenues within a shorter period. In Brazil, the company is the largest seller of Honda cars, which holds four dealerships in the greater Sao Paulo metropolitan area.
Group 1 Automotive carries a Zacks Rank #3.
Performance
Last week, all the stocks, except Toyota, reported a decline. Advance Auto Parts, Inc. AAP recorded the maximum decline in price.
In the last six months, the maximum rise was recorded by Advance Auto Parts while Harley-Davidson, Inc. HOG shares declined the most.
What's Next in the Auto Space?
Watch out for the usual news releases of other auto companies over the next week. Also look for the earnings releases of some important auto companies in the past week.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Toyota Motor Corporation (TM): Free Stock Analysis Report
Volkswagen AG (VLKAY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
Genuine Parts Company (GPC): Free Stock Analysis Report
Harley-Davidson, Inc. (HOG): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc. AAP recorded the maximum decline in price. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. Intended to strengthen their market position as commercial-vehicle manufacturers, the two automakers will join forces to deal with rising investment costs related to the development of autonomous vehicles and new transportation services, including ride sharing.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP recorded the maximum decline in price. (Read more: Volkswagen & Toyota Units to Co-Develop Autonomous Trucks ) While Volkswagen carries a Zacks Rank #2 (Buy), Toyota has a Zacks Rank #3 (Hold).
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP recorded the maximum decline in price. (Read more: Volkswagen & Toyota Units to Co-Develop Autonomous Trucks ) While Volkswagen carries a Zacks Rank #2 (Buy), Toyota has a Zacks Rank #3 (Hold).
|
Advance Auto Parts, Inc. AAP recorded the maximum decline in price. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. Richards Unit to Tie Up With Essendant ) Genuine Parts carries a Zacks Rank #3.
|
11415.0
|
2018-04-13 00:00:00 UTC
|
Friday Sector Laggards: Services, Financial
|
AAP
|
https://www.nasdaq.com/articles/friday-sector-laggards-services-financial-2018-04-13
|
nan
|
nan
|
The worst performing sector as of midday Friday is the Services sector, showing a 0.5% loss. Within that group, Advance Auto Parts Inc (Symbol: AAP) and Tractor Supply Co. (Symbol: TSCO) are two of the day's laggards, showing a loss of 4.2% and 2.6%, respectively. Among the largest ETFs , one ETF closely following services stocks is the iShares U.S. Consumer Services ETF (Symbol: IYC), which is down 0.2% on the day, and up 1.39% year-to-date. Advance Auto Parts Inc, meanwhile, is up 6.32% year-to-date, and Tractor Supply Co., is down 21.16% year-to-date. Combined, AAP and TSCO make up approximately 0.5% of the underlying holdings of IYC.
The next worst performing sector is the Financial sector, showing a 0.2% loss. Among large Financial stocks, Wells Fargo & Co. (Symbol: WFC) and PNC Financial Services Group (Symbol: PNC) are the most notable, showing a loss of 3.1% and 2.8%, respectively. One ETF closely tracking Financial stocks is the Financial Select Sector SPDR ETF ( XLF ), which is down 1.1% in midday trading, and down 0.84% on a year-to-date basis. Wells Fargo & Co., meanwhile, is down 15.21% year-to-date, and PNC Financial Services Group is up 2.74% year-to-date. Combined, WFC and PNC make up approximately 9.0% of the underlying holdings of XLF.
Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom:
Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Friday. As you can see, six sectors are up on the day, while three sectors are down.
25 Dividend Giants Widely Held By ETFs »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Combined, AAP and TSCO make up approximately 0.5% of the underlying holdings of IYC. Within that group, Advance Auto Parts Inc (Symbol: AAP) and Tractor Supply Co. (Symbol: TSCO) are two of the day's laggards, showing a loss of 4.2% and 2.6%, respectively. Combined, WFC and PNC make up approximately 9.0% of the underlying holdings of XLF.
|
Within that group, Advance Auto Parts Inc (Symbol: AAP) and Tractor Supply Co. (Symbol: TSCO) are two of the day's laggards, showing a loss of 4.2% and 2.6%, respectively. Combined, AAP and TSCO make up approximately 0.5% of the underlying holdings of IYC. The worst performing sector as of midday Friday is the Services sector, showing a 0.5% loss.
|
Within that group, Advance Auto Parts Inc (Symbol: AAP) and Tractor Supply Co. (Symbol: TSCO) are two of the day's laggards, showing a loss of 4.2% and 2.6%, respectively. Combined, AAP and TSCO make up approximately 0.5% of the underlying holdings of IYC. Among the largest ETFs , one ETF closely following services stocks is the iShares U.S. Consumer Services ETF (Symbol: IYC), which is down 0.2% on the day, and up 1.39% year-to-date.
|
Within that group, Advance Auto Parts Inc (Symbol: AAP) and Tractor Supply Co. (Symbol: TSCO) are two of the day's laggards, showing a loss of 4.2% and 2.6%, respectively. Combined, AAP and TSCO make up approximately 0.5% of the underlying holdings of IYC. Among large Financial stocks, Wells Fargo & Co. (Symbol: WFC) and PNC Financial Services Group (Symbol: PNC) are the most notable, showing a loss of 3.1% and 2.8%, respectively.
|
11416.0
|
2018-04-13 00:00:00 UTC
|
Noteworthy Friday Option Activity: FFIV, AAP, PNC
|
AAP
|
https://www.nasdaq.com/articles/noteworthy-friday-option-activity-ffiv-aap-pnc-2018-04-13
|
nan
|
nan
|
Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in F5 Networks, Inc. (Symbol: FFIV), where a total of 3,115 contracts have traded so far, representing approximately 311,500 underlying shares. That amounts to about 52.4% of FFIV's average daily trading volume over the past month of 594,680 shares. Especially high volume was seen for the $160 strike call option expiring April 20, 2018 , with 418 contracts trading so far today, representing approximately 41,800 underlying shares of FFIV. Below is a chart showing FFIV's trailing twelve month trading history, with the $160 strike highlighted in orange:
Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 4,302 contracts thus far today. That number of contracts represents approximately 430,200 underlying shares, working out to a sizeable 43.4% of AAP's average daily trading volume over the past month, of 991,020 shares. Especially high volume was seen for the $95 strike put option expiring May 18, 2018 , with 1,500 contracts trading so far today, representing approximately 150,000 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $95 strike highlighted in orange:
And PNC Financial Services Group (Symbol: PNC) options are showing a volume of 9,259 contracts thus far today. That number of contracts represents approximately 925,900 underlying shares, working out to a sizeable 41% of PNC's average daily trading volume over the past month, of 2.3 million shares. Particularly high volume was seen for the $145 strike put option expiring April 20, 2018 , with 2,411 contracts trading so far today, representing approximately 241,100 underlying shares of PNC. Below is a chart showing PNC's trailing twelve month trading history, with the $145 strike highlighted in orange:
For the various different available expirations for FFIV options , AAP options , or PNC options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Especially high volume was seen for the $95 strike put option expiring May 18, 2018 , with 1,500 contracts trading so far today, representing approximately 150,000 underlying shares of AAP. Below is a chart showing FFIV's trailing twelve month trading history, with the $160 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 4,302 contracts thus far today. That number of contracts represents approximately 430,200 underlying shares, working out to a sizeable 43.4% of AAP's average daily trading volume over the past month, of 991,020 shares.
|
That number of contracts represents approximately 430,200 underlying shares, working out to a sizeable 43.4% of AAP's average daily trading volume over the past month, of 991,020 shares. Below is a chart showing AAP's trailing twelve month trading history, with the $95 strike highlighted in orange: And PNC Financial Services Group (Symbol: PNC) options are showing a volume of 9,259 contracts thus far today. Below is a chart showing FFIV's trailing twelve month trading history, with the $160 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 4,302 contracts thus far today.
|
Below is a chart showing AAP's trailing twelve month trading history, with the $95 strike highlighted in orange: And PNC Financial Services Group (Symbol: PNC) options are showing a volume of 9,259 contracts thus far today. Below is a chart showing FFIV's trailing twelve month trading history, with the $160 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 4,302 contracts thus far today. That number of contracts represents approximately 430,200 underlying shares, working out to a sizeable 43.4% of AAP's average daily trading volume over the past month, of 991,020 shares.
|
Especially high volume was seen for the $95 strike put option expiring May 18, 2018 , with 1,500 contracts trading so far today, representing approximately 150,000 underlying shares of AAP. Below is a chart showing FFIV's trailing twelve month trading history, with the $160 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 4,302 contracts thus far today. That number of contracts represents approximately 430,200 underlying shares, working out to a sizeable 43.4% of AAP's average daily trading volume over the past month, of 991,020 shares.
|
11417.0
|
2018-04-12 00:00:00 UTC
|
Auto Stock Roundup: Xi Jinping to Slash Auto Tariffs, VLKAY to Replace CEO
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-xi-jinping-to-slash-auto-tariffs-vlkay-to-replace-ceo-2018-04-12
|
nan
|
nan
|
Last week, providing some relief to the growing tension between the U.S. and China, Chinese President Xi Jinping revealed his plans to significantly slash import tariffs on foreign autos and lower duties on other products. Since China accounts for a large part of U.S. auto exports, the comments of Jinping cheered U.S. automakers.
On a different note, German auto giant, Volkswagen AG VLKAY plans to replace its CEO Matthias Mueller, per Reuters. The company is taking such a decision because it intends to move past the troubling effects of diesel emissions scandal. Mueller will be replaced by Herbert Diess, who presently runs the Volkswagen brand.
The automaker has struggled a lot on account of the diesel emissions scandal. Mueller's exit shows an attempt by the automaker to make a clean break from the scandal.
In another important development last week, Tesla, Inc. TSLA announced that it will recall total 8,898 Model S vehicles in China. This is part of the bigger recall announced by the electric vehicles maker in March 2018.
(Read the previous roundup here: Auto Stock Roundup for Apr 5, 2018 )
Recap of the Week's Most Important Stories
1. Per Reuters, Volkswagen plans to manufacture its first compact sport utility vehicle, T-Cross, in Brazil. With this recent development, the company hopes to recover its market share in the Latin American region.
Anticipated to hit the market by the first half of 2019, Volkswagen announced its plan to invest $595 million (R$2 billion) for the production of T-Cross at its Sao Jose dos Pinhais facility, located in southern Brazil. Further, it added that this investment is part of the R$7 billion planned investment through 2020. The investment is intended to facilitate the company in reviving its product lineup in Brazil.
Over the last 10 years, Volkswagen's share in the Brazilian auto market has contracted amid recession and opening of local factories by new entrants. However, recent low interest rates and last year's export-driven rebound in the sector revived hopes for a few auto manufacturers. (Read more: Volkswagen Aims to Expand in Brazil with First SUV )
Volkswagen carries a Zacks Rank #4 (Sell).
2. Fiat Chrysler Automobiles N.V. FCAU intends to part with its components business Magneti Marelli and distribute shares to its shareholders. The decision to separate Magneti Marelli, which is engaged in lighting powertrain and electronics, is in sync with the five-year business strategy that the company is set to unveil on Jun 1, 2018.
The move is expected to aid the Italian-American auto giant to concentrate on its core business. This will also provide the components business with the necessary operational flexibility to grow in the future.
The spin-off of Magneti Marelli, which employs around 43,000 people and has operations in 19 countries, is likely to be completed by the end of 2018 or in early 2019. Shares of the company are likely to be listed on the Milan stock exchange. However, completion of the spin-off is subject to certain tax and legal considerations as well as regulatory approvals.
Fiat operates as an international automotive company, engaged in designing, engineering, manufacturing, distributing and selling vehicles, components and production systems. In March 2018, the auto giant reported 13.6% growth in year-over-year sales to 216,063 units of vehicles in the United States. Sales growth of 44.7% from the SUV Jeep brand significantly pushed the metric up. (Read more: Fiat Chrysler to Go For Magneti Marelli Spin-off )
Fiat Chrysler sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
3. China's quality watchdog announced that Tesla, Inc. TSLA will recall total 8,898 Model S vehicles in the mainland, per Reuters. The recall in China will commence from Jun 28, 2018. This is part of the broader recall, announced by the Palo Alto, CA-based electric vehicle-maker in March 2018.
Notably, in March, the company voluntarily announced the recall 123,000 units of the luxury Model S sedans across the globe to fix faulty steering components. The company informed that the recall includes Model S vehicles that were built before April 2016 and does not include any Model X or Model 3 versions.
Tesla also explained that excessive corrosion in the power steering bolts led to this recall. This glitch might result in reduced power steering. (Read more: Tesla Set to Recall 8,898 Model S Vehicles in China )
Tesla carries a Zacks Rank #3 (Hold).
4. Tenneco Inc. TEN announced its plan to purchase automotive supplier Federal-Mogul for $5.4 billion from Icahn Enterprises LP, run by the activist and investor Carl Icahn, per Reuters. Tenneco anticipates the deal to close later this year.
Auto parts manufacturer, Tenneco also intends to split the company into two independent, publicly traded entities in the second half of 2019. One will comprise the powertrain products while the other will include auto parts such as suspensions and axle dampers. Through this deal, Icahn Enterprises will receive $800 million in cash and 29.5 million shares from Tenneco.
Southfield, MI-based Federal-Mogul is an automotive supplier that offers quality products, trusted brands and creative solutions to manufacturers of automotive, light-commercial, heavy-duty and off-highway vehicles as well as to power generation, aerospace, marine, rail and industrial manufacturers. The company sells products under several brands, including Champion, Interfil and Goetze. Icahn Enterprises acquired the majority control of Federal-Mogul in 2008.
Lake Forest, IL-based Tenneco manufactures products, including catalytic converters, diesel-particulate filters and shock absorbers. (Read more: Tenneco to Buy Federal-Mogul From Carl Icahn for $5.4B )
Tenneco carries a Zacks Rank #2 (Buy).
5. General Motor Company's GM Chevrolet brand announced that its next-generation 2020 Silverado HD will be introduced in 2019. The new model will join 2019 Silverado 1500 and the 2019 Silverado 4500/5500/6500HD, which are already available in the market.
Being one of the successful truck manufacturers, Chevrolet will offer newer and expanded range of Silverado models, enabling customers to choose from a pool of options, under the same brand.
The new 2020 Silverado HD is designed keeping in mind the need of heavy-duty truck customers. The on-road testing of the prototype is about to start soon. The model is scheduled to be available by third-quarter 2019 and will be manufactured at the company's assembly plant in Flint, MI.
Earlier in March, the company introduced 2019 Silverado 4500HD, 5500HD and 6500HD models that are scheduled to hit the showrooms by the end of 2018. With importance given to ease of driving, these Silverado medium-duty trucks are designed for commercial customers.
Prior to this, in the Detroit Show held in January, General Motors launched its 2019 Silverado 1500 model.
General Motors carries a Zacks Rank #3.
Performance
Last week, Tesla stock witnessed the maximum rise. Advance Auto Parts, Inc. AAP recorded the maximum decline.
In the last six months, the maximum rise was recorded by Advance Auto Parts while Tesla's shares declined the most.
What's Next in the Auto Space?
Watch out for the usual news releases of other auto companies over the next week.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Volkswagen AG (VLKAY): Free Stock Analysis Report
Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
Tenneco Inc. (TEN): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc. AAP recorded the maximum decline. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Tenneco Inc. (TEN): Free Stock Analysis Report To read this article on Zacks.com click here. Last week, providing some relief to the growing tension between the U.S. and China, Chinese President Xi Jinping revealed his plans to significantly slash import tariffs on foreign autos and lower duties on other products.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Tenneco Inc. (TEN): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP recorded the maximum decline. Fiat Chrysler Automobiles N.V. FCAU intends to part with its components business Magneti Marelli and distribute shares to its shareholders.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Tenneco Inc. (TEN): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP recorded the maximum decline. The company informed that the recall includes Model S vehicles that were built before April 2016 and does not include any Model X or Model 3 versions.
|
Advance Auto Parts, Inc. AAP recorded the maximum decline. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Tenneco Inc. (TEN): Free Stock Analysis Report To read this article on Zacks.com click here. In another important development last week, Tesla, Inc. TSLA announced that it will recall total 8,898 Model S vehicles in China.
|
11418.0
|
2018-04-05 00:00:00 UTC
|
Auto Stock Roundup: March Sales Up, TSLA Production Grows, GM to End Monthly Report
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-march-sales-up-tsla-production-grows-gm-to-end-monthly-report-2018-04
|
nan
|
nan
|
The auto sector staged a comeback in March after sagging sales performance in February. A majority of automakers reported a rise in their March U.S. sales. A robust economy, product launches and fat discounts enabled auto players to witness a year-over-year rise in new vehicle sales. Even concerns over high interest rates and elevated gasoline prices could not deter Americans' new-found liking for sport utility vehicles (SUVs) and pickup trucks, albeit at the cost of sedans and passenger cars.
Per Autodata, auto industry sales rose 2.5% to 1,653,529 while new vehicle sales gained 6% in March. Moreover, the seasonally adjusted annual rate (SAAR) was 17.5 million in comparison to 16.8 million, a year ago.
Also, during the week, just prior to the March sales release, General Motors Company GM reportedly said that it will do away with the age-old monthly sales report in favor of quarterly reporting. The U.S. auto giant is of the opinion that 30 days is too short to absorb short-term volatility, therefore rendering the monthly figures exaggerated. It feels that the quarterly reporting system would better provide the correct picture of the health of the company as well as that of the industry.
Also, the electric vehicles (EVs) maker, Tesla, Inc. TSLA published its production figures for first-quarter 2018, which totaled 34,494 vehicles, up 40% sequentially. This happens to be the most productive quarter in the history of Tesla. Out of the total vehicles produced, 24,728 were Model S and Model X, and 9,766 were Model 3. The Model 3 output increased significantly on a sequential basis. However, the company missed its target of producing 2,500 Model 3s a week by the end of first-quarter 2018. Actually, it produced 2020 Model 3 cars over the last seven days. Despite the production target miss, the first-quarter 2018 performance of Tesla looks encouraging.
(Read the previous roundup here: Auto Stock Roundup for Mar 29, 2018 )
Recap of the Week's Most Important Stories
1. Per Fox Business, Tesla has announced that it will voluntarily recall 123,000 of its luxury Model S sedans across the globe to fix the issue of faulty steering components.
The Palo Alto, CA-based company stated that the recall includes Model S vehicles built before April 2016 and is devoid of any Model X or Model 3 versions. The company explained that it has detected "excessive corrosion" in the power steering bolts of the recalled vehicles. This glitch might result in reduced power steering.
The EV maker will repair damages by replacing the specific bolts in the power steering component. The company has also intimated its plans to contact the affected customers directly for scheduling an appointment once the parts are available in their respective regions.
However, the recent recall has further added to Tesla's woes, which is already grappling with several challenges, particularly with respect to the production of Model 3 sedan, the low-cost EV targeting the mass market. (Read more: Vehicles Recall Continues Unabated: Tesla, No Exception )
Tesla carries a Zacks Rank #4 (Sell).
2. In a pioneering move, General Motors has reportedly taken the decision to abandon its usual practice of reporting sales on a monthly basis in favor of quarterly reporting. The U.S. auto giant is of the opinion that sales releases every month do not provide the true picture of the company's intricate operations or the health of the auto industry, as it includes short-term fluctuations. However, per management, quarterly sales releases will give a better idea about the same.
Abandoning monthly sales reports can be attributed to a number of factors. It has been witnessed that the effect of volatility does not smoothen adequately in the 30-day period. This has sometimes resulted in exaggerated monthly sales figures. According to the automaker, incentive campaigns, abnormal weather or product launches tilt monthly sales figures up or down.
However, the company intends to provide investors and others a less volatile, longer-term metric to evaluate its performance. Replacing the monthly cycle with a quarterly one is likely to aid the company in this respect. This is echoed in the statement of Kurt McNeil, General Motors' U.S. vice president for sales operations, "Thirty days is not enough time to separate real sales trends from short-term fluctuations in a very dynamic, highly competitive market." McNeil further said, "Reporting sales quarterly better aligns with our business, and the quality of information will make it easier to see how the business is performing." (Read more: General Motors to Drop Monthly Sales Report, Enticing Others )
General Motors sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
3. CarMax Inc. KMX posted earnings per share of 67 cents in the fourth quarter of fiscal 2018 (ended Feb 28, 2018), reflecting a decline of 17.3% from 81 cents earned a year ago. Adjusted earnings came in at 77 cents per share. Earnings missed the Zacks Consensus Estimate of 89 cents.
Net sales and operating revenues in the reported quarter increased 0.8% year over year to $4.1 billion. However, this figure missed the Zacks Consensus Estimate of $4.2 billion.
In fiscal 2018, earnings were $3.60 per share, up 10.4% year over year.
In fiscal 2018, net sales and operating revenues were $17.1 billion, up 7.8% from fiscal 2017.
During the quarter, used-vehicle revenues decreased 0.6% to $3.4 billion as unit sales declined 3.1% to 170,572 vehicles. Comparable-store used-vehicle unit sales decreased 8% in the quarter.
Wholesale vehicle revenues grew 13.2% to $527.2 million in the quarter. Unit sales increased 8.9% to 99,226 vehicles. The average selling price of wholesale vehicles rose 3.4% to $5,076.
Other sales and revenues declined 4.5% year over year. The company's extended protection plan (EPP) revenues decreased 2.4%.
CarMax Auto Finance (CAF) reported an increase of 21.9% in income to $101.1 million in fourth-quarter fiscal 2018.
During the fourth quarter, CarMax opened four stores. It entered into two new television markets and added two stores in existing television markets. (Read more: CarMax's Earnings and Revenues Miss Estimates in Q4 ).
CarMax carries a Zacks Rank #3 (Hold).
4. Johnson Controls International plc JCI reportedly acquired Nashville-based Smartvue Corporation. The acquired company is a provider of Internet of Things (IoT) and videos that empower IoT video services and cloud video surveillance. The terms of the deal have not been made public yet.
This recent acquisition will enable Johnson Controls to offer a cloud-based video surveillance solution under its building technology offerings. The newly-added solution will help the company offer better intelligence and business data to customers while adding value for its partners.
Per management, Smartvue's open API cloud architecture will help it in strengthening its ability to offer video-as-a-service in a more cost-efficient, fast and protected way. At present, Smartvue's customers in 140 countries consist of cable companies, security firms and storage providers among others. (Read more: Johnson Controls Acquires Smartvue to Boost Video Solution )
Johnson Controls carries a Zacks Rank #2 (Buy).
5. Copart, Inc. CPRT reported the expansion of its location at Tucson, AZ. Address of the new site is 5600 South Arcadia Avenue in Tucson, AZ.
Per management, the location expansion at 5600 South Arcadia Avenue in Tucson, AZ will enable it to offer improved efficiencies for both buyers and sellers in the state. Further, with this development, the company's Tuscan team is now equipped to store a larger volume of vehicles for auction.
Online auctions at the Tuscan location are held every Friday at 2 p.m. CT. Buyers can participate in the auction and bid for the inventory through the company's website or its application available on iOS and android devices. Also, during business hours, bidding kiosks can be accessed at the hub.
Copart sports a Zacks Rank #1.
Performance
Last week, the maximum rise was witnessed by Tesla. Toyota, Advance Auto Parts, Inc. AAP and AutoZone, Inc. AZO recorded a decline.
In the last six months, the maximum rise was recorded by Advance Auto Parts while Tesla shares declined the most.
What's Next in the Auto Space?
Watch out for the usual news releases of other auto companies over the next week.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CarMax, Inc. (KMX): Free Stock Analysis Report
General Motors Company (GM): Free Stock Analysis Report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
Johnson Controls International plc (JCI): Free Stock Analysis Report
Copart, Inc. (CPRT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Toyota, Advance Auto Parts, Inc. AAP and AutoZone, Inc. AZO recorded a decline. Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Johnson Controls International plc (JCI): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Even concerns over high interest rates and elevated gasoline prices could not deter Americans' new-found liking for sport utility vehicles (SUVs) and pickup trucks, albeit at the cost of sedans and passenger cars.
|
Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Johnson Controls International plc (JCI): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Toyota, Advance Auto Parts, Inc. AAP and AutoZone, Inc. AZO recorded a decline. CarMax Inc. KMX posted earnings per share of 67 cents in the fourth quarter of fiscal 2018 (ended Feb 28, 2018), reflecting a decline of 17.3% from 81 cents earned a year ago.
|
Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Johnson Controls International plc (JCI): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Toyota, Advance Auto Parts, Inc. AAP and AutoZone, Inc. AZO recorded a decline. Also, during the week, just prior to the March sales release, General Motors Company GM reportedly said that it will do away with the age-old monthly sales report in favor of quarterly reporting.
|
Toyota, Advance Auto Parts, Inc. AAP and AutoZone, Inc. AZO recorded a decline. Click to get this free report CarMax, Inc. (KMX): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Johnson Controls International plc (JCI): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Per Autodata, auto industry sales rose 2.5% to 1,653,529 while new vehicle sales gained 6% in March.
|
11419.0
|
2018-04-03 00:00:00 UTC
|
Consumer Sector Update for 04/03/2018: GM,AAP,FTD,EAST
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-04032018-gmaapftdeast-2018-04-03
|
nan
|
nan
|
Top Consumer Stocks
WMT +0.55%
MCD 0.05%
DIS 0.24%
CVS +1.56%
KO +0.30%
Consumer stocks were rising in Tuesday's pre-market in a bid to recover from Monday's deep declines.
Among consumer stocks that may move on news:
- General Motors ( GM ) was unchanged in early Tuesday trading after the automaker said it will begin reporting its US vehicle sales on a quarterly basis rather than monthly, effective immediately. Q2 sales will be released on July 3, it said, adding Q3 sales are due out on Oct. 2 while Q4 sales will be released on Jan. 3, 2019. The company said monthly sales figures fluctuate and make the task of separating real sales trends from short-term undulations difficult.
+ Advance Auto Parts Inc ( AAP ) rose almost 2% during Monday's late session after the retailer reaffirmed its FY18 financial outlook, citing positive momentum to begin the year. It also said Tom Okray will step down as chief financial officer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. Chief accounting officer Jeff Shepherd will become interim CFO while Advance completes its search for a permanent successor.
- FTD Companies ( FTD ) slipped in after-market trading Monday night after the flower-delivery company reported a Q4 net loss of $5.57 per share, expanding on a $3.17 per share loss during the final three months of 2016 and missing the Capital IQ consensus call expecting a $0.04 per share net loss, if comparable. Consolidated revenue declined 0.9% year over year to $278.1 million, topping the $276.7 million Street view. The company also said it expects FY18 will be closer to the low end of its prior guidance expecting an increase or decline from FY17 levels of 2%. It also said it may not stay in compliance with some of its debt covenants as it begins a previously announced business transformation.
In other sector news:
- Eastside Distilling ( EAST ) declined narrowly on Monday night after the bourbon company saw its FY17 net loss widen slightly compared with year-ago levels despite a 24.7% year-over-year increase in revenue. Net loss for the company during the 12 months ended Dec. 31 was $1.42 per share, expanding on a $1.40 shares during the prior-year period. Sales last year grew to $3.79 million from $3.04 million in FY16. No analyst estimates were available for Eastside Distilling, which uplisted to the Nasdaq Capital Market last year.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
+ Advance Auto Parts Inc ( AAP ) rose almost 2% during Monday's late session after the retailer reaffirmed its FY18 financial outlook, citing positive momentum to begin the year. Among consumer stocks that may move on news: - General Motors ( GM ) was unchanged in early Tuesday trading after the automaker said it will begin reporting its US vehicle sales on a quarterly basis rather than monthly, effective immediately. In other sector news: - Eastside Distilling ( EAST ) declined narrowly on Monday night after the bourbon company saw its FY17 net loss widen slightly compared with year-ago levels despite a 24.7% year-over-year increase in revenue.
|
+ Advance Auto Parts Inc ( AAP ) rose almost 2% during Monday's late session after the retailer reaffirmed its FY18 financial outlook, citing positive momentum to begin the year. - FTD Companies ( FTD ) slipped in after-market trading Monday night after the flower-delivery company reported a Q4 net loss of $5.57 per share, expanding on a $3.17 per share loss during the final three months of 2016 and missing the Capital IQ consensus call expecting a $0.04 per share net loss, if comparable. Consolidated revenue declined 0.9% year over year to $278.1 million, topping the $276.7 million Street view.
|
+ Advance Auto Parts Inc ( AAP ) rose almost 2% during Monday's late session after the retailer reaffirmed its FY18 financial outlook, citing positive momentum to begin the year. Among consumer stocks that may move on news: - General Motors ( GM ) was unchanged in early Tuesday trading after the automaker said it will begin reporting its US vehicle sales on a quarterly basis rather than monthly, effective immediately. - FTD Companies ( FTD ) slipped in after-market trading Monday night after the flower-delivery company reported a Q4 net loss of $5.57 per share, expanding on a $3.17 per share loss during the final three months of 2016 and missing the Capital IQ consensus call expecting a $0.04 per share net loss, if comparable.
|
+ Advance Auto Parts Inc ( AAP ) rose almost 2% during Monday's late session after the retailer reaffirmed its FY18 financial outlook, citing positive momentum to begin the year. It also said Tom Okray will step down as chief financial officer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. Consolidated revenue declined 0.9% year over year to $278.1 million, topping the $276.7 million Street view.
|
11420.0
|
2018-04-03 00:00:00 UTC
|
Consumer Sector Update for 04/03/2018: FCAU,GM,F,AAP,FTD,EAST
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-04032018-fcaugmfaapftdeast-2018-04-03
|
nan
|
nan
|
Top Consumer Stocks
WMT +0.30%
MCD +0.88%
DIS -0.53%
CVS +1.03%
KO +1.52%
Consumer stocks were mostly higher Tuesday, with shares of consumer staples companies in the S&P 500 gaining over 0.6% this afternoon while shares of consumer discretionary firms in the S&P 500 were putting up a more than 0.3% rise.
In industry news:
Same-store sales for 20 of the largest US retail chain companies continued to pick up speed during the seven days ended March 31, rising 4.4% over the same period last year, according to the weekly Redbook survey. The 0.8-percentage-point gain doubled the prior week's 0.4% advance and marked the fastest rise for retailers so far in 2018. Month-to-date sales also grew 0.4% over February levels, reaching a nine-month peak.
Also Tuesday, General Motors ( GM ) said it was scrapping monthly sales figures and will instead report quarterly sales, effective immediately. "Thirty days is not enough time to separate real sales trends from short-term fluctuations in a very dynamic, highly competitive market," according to Kurt McNeil, GM's US vice president for sales operations, in prepared remarks. In its final monthly report, the automaker reported a larger-than-expected 16% increase in unit volume over year-ago levels, with 296,341 cars, trucks and crossover vehicles moving out the door during March. Its retail market share also rose to 17.7%, the company's best level since 2009. Rival US automaker Ford ( F ) said it was studying GM's move before deciding whether to follow suit.
Among consumer stocks moving on news:
+ Fiat Chrysler Automobiles ( FCAU ) sped over 8% higher on Wednesday after the automaker said US sales grew to 216,063 new vehicles during March, rising 14% over the 190,254 vehicles it sold in March 2017. Fleet sales accounted for roughly 25% of total sales last month while retail sales climbed 11% year over year to 162,304 vehicles, marking the company's best March for retail vehicle sales since 2001. Total sales also reached their highest level since March 2006 when Fiat Chrysler sold 216,865 vehicles.
In other sector news:
+ FTD Companies ( FTD ) was 1% higher Tuesday afternoon, reversing a more than 3% decline to a record low of $3.46 a share that followed the flower-delivery company reporting a Q4 net loss of $5.57 per share, missing the Capital IQ consensus call expecting a $0.04 per share net loss. Consolidated sales slipped 0.9% year over year to $278.1 million, topping the $276.7 million Street view. It also said FY18 revenue growth likely will be closer to the lower end of its previously disclosed forecast expecting a rise or a decline of 2% from FY17 levels. Analysts, on average, are projecting a 1.8% drop in revenue this year.
- Advance Auto Parts Inc ( AAP ) fell almost 2% on Tuesday after late Monday saying Tom Okray will step down as chief financial officer for the retailer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. Chief accounting officer Jeff Shepherd will become interim CFO while the company completes its search for a permanent successor. Advance Auto Monday night also reaffirmed its FY18 financial outlook, citing positive momentum to begin the year.
- Eastside Distilling (EAST) retreated almost 8% on Tuesday after the bourbon company saw its FY17 net loss widen compared with year-ago levels despite a 24.7% year-over-year sales increase. Net loss during the 12 months ended Dec. 31 was $1.42 per share, expanding on a $1.40 shares during the prior-year period. Sales last year grew to $3.79 million from $3.04 million in FY16. No analyst estimates were available for comparison.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
- Advance Auto Parts Inc ( AAP ) fell almost 2% on Tuesday after late Monday saying Tom Okray will step down as chief financial officer for the retailer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. In industry news: Same-store sales for 20 of the largest US retail chain companies continued to pick up speed during the seven days ended March 31, rising 4.4% over the same period last year, according to the weekly Redbook survey. It also said FY18 revenue growth likely will be closer to the lower end of its previously disclosed forecast expecting a rise or a decline of 2% from FY17 levels.
|
- Advance Auto Parts Inc ( AAP ) fell almost 2% on Tuesday after late Monday saying Tom Okray will step down as chief financial officer for the retailer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. Fleet sales accounted for roughly 25% of total sales last month while retail sales climbed 11% year over year to 162,304 vehicles, marking the company's best March for retail vehicle sales since 2001. Total sales also reached their highest level since March 2006 when Fiat Chrysler sold 216,865 vehicles.
|
- Advance Auto Parts Inc ( AAP ) fell almost 2% on Tuesday after late Monday saying Tom Okray will step down as chief financial officer for the retailer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. Among consumer stocks moving on news: + Fiat Chrysler Automobiles ( FCAU ) sped over 8% higher on Wednesday after the automaker said US sales grew to 216,063 new vehicles during March, rising 14% over the 190,254 vehicles it sold in March 2017. Fleet sales accounted for roughly 25% of total sales last month while retail sales climbed 11% year over year to 162,304 vehicles, marking the company's best March for retail vehicle sales since 2001.
|
- Advance Auto Parts Inc ( AAP ) fell almost 2% on Tuesday after late Monday saying Tom Okray will step down as chief financial officer for the retailer on April 15 to accept an executive role with another publicly traded company outside of the aftermarket auto parts industry. In its final monthly report, the automaker reported a larger-than-expected 16% increase in unit volume over year-ago levels, with 296,341 cars, trucks and crossover vehicles moving out the door during March. Among consumer stocks moving on news: + Fiat Chrysler Automobiles ( FCAU ) sped over 8% higher on Wednesday after the automaker said US sales grew to 216,063 new vehicles during March, rising 14% over the 190,254 vehicles it sold in March 2017.
|
11421.0
|
2018-04-02 00:00:00 UTC
|
10 Stocks at Serious Risk of a Meltdown
|
AAP
|
https://www.nasdaq.com/articles/10-stocks-serious-risk-meltdown-2018-04-02
|
nan
|
nan
|
When stocks took a sizable hit in early February, it was painful but not terribly unnerving. Most investors innately knew the market was overextended and in need of a pullback. Waiting the weakness out still felt like the right move.
And it was. By mid-February, stocks were on the mend, resuming the familiar bullish streak that extends all the way back to late 2016.
However, the Standard & Poor's 500-stock index is facing its second strong selloff in less than two months. The index in fact has plunged below those early February lows, forcing investors to rethink just how resilient the market truly is here. Perhaps the bulls aren't so eager to renew the broad uptrend as they seemed in mid-February, having been burned for being overconfident not too long ago.
While typically three out of four stocks move in the same direction as the overall market, not all will merely match the degree of a market tumble (if one is in the cards). A handful could easily sell off in a much bigger way, dishing out significant pain. In some cases, these selloffs may just be temporary and even set up buying opportunities in higher-quality stocks. But some situations may be more dire.
Here's a look at the market's most vulnerable stocks at the moment.
SEE ALSO: 32 Companies That Amazon Could Ruin
Adobe Systems ( ADBE , $216.08) isn't just one of the market's biggest winners of 2018. It's also one of the most surprising names of the past several years. This once-great company is bigger and better than ever, having successfully moved beyond PDFs and Photoshop, and becoming a full-blown business-building platform that offers its products via the cloud.
Still, the 63% gain Adobe shares have dished out during the past 12 months have left shares at a frothy valuation; the stock's currently trading at 56 times its trailing per-share profits.
Some analysts have taken notice, and JMP Securities research analyst Patrick Walravens is one of them. He recently downgraded Adobe from an "Outperform" (equivalent of buy) to "Market Perform" (equivalent of neutral), explaining, "We downgrade our rating on Adobe Systems to market perform from market outperform after the stock has appreciated 21% year to date (vs. flat for Nasdaq), and after it rose 69% in 2017 (vs. up 27% for Nasdaq), leaving the risk/reward for investors balanced and the stock fairly valued, in our opinion."
It's hardly an indictment of the company's prospects. But in a market environment where investors read far more into messages than intended, the downgrade could be interpreted as a reason to start shedding the stock - particularly if other analysts follow Walravens' lead.
SEE ALSO: 10 Biggest Losers of a Global Trade War
After hitting a multi-year low in October, Advance Auto Parts ( AAP , $118.55) shares have hammered out a 41% gain, largely on hopes that the company would be able to rekindle its growth from yesteryear. Maybe it will. But if it does, Advance must drive its way around not one but two roadblocks.
One of them is Amazon.com ( AMZN ), which incredibly enough has successfully penetrated the auto repair and auto aftermarket world. The other headwind is the massive number of new cars now on U.S. roads. Although the average age of actively driven cars in the United States has never been bigger, at just under 12 years, we're also just now coming off a huge seven-year wave of new car sales. Consumers don't need to perform a lot of maintenance on new cars, and don't care to invest too heavily on older cars. That largely leaves Advance Auto Parts stuck in the middle.
Investors are counting on a turnaround. But if the next couple of quarters are anything like the last couple of quarters (when year-over-year revenue fell), they may not get anything close to what they're looking for.
SEE ALSO: 5 Stocks to Sell in This Unsure Market
The advent of cryptocurrencies isn't actually a make-or-break opportunity for GPU maker Advanced Micro Devices ( AMD , $10.05). The company reiterated just a few days ago, "on our Q4'17earnings conference callwe stated that the percentage of annual revenue related to Blockchain was approximately mid-single digit percentage in 2017."
But the facts don't seem to matter.
Advanced Micro Devices' association with digital currencies, rational or not, is real enough in investors' heads. AMD shares more than quadrupled in 2016 in step with the surging values of Bitcoin, Ethereum and the like, with the market convinced that demand for graphics processing cards, which are used to "mine" cryptocurrencies, would soar. There was a noticeable bump, but that demand is already fading as cryptocurrency values crater. Bitcoin has lost almost two-thirds of its peak value of roughly $19,000 in December.
Regardless of the truth of the numbers, current and would-be shareholders of AMD are having a tough time ignoring the grim chatter that's surfaced of late. Susquehanna analyst Christopher Rolland is the most recent observer to frighten the market, downgrading AMD in late March in response to new cryptocurrency-mining competitors.
The ASIC mining chips in question likely will become the new normal in digital currency mining. As more investors understand this looming reality, they may well act on their doubts by dumping AMD - even though it's only a small part of Advanced Micro Devices' business.
SEE ALSO: 10 Terrible Stocks From President Trump's First Year
Aircraft maker Boeing ( BA , $327.88) is currently on the wrong side of circumstances.
In the grand scheme of things, Boeing's long-term future looks bright. It has earned a spot on several Kiplinger buy lists of late, with the most recent mention coming in early February, when BA stock was deemed a stock to "buy on the dip."
However, BigTrends.com president and chief analyst Price Headley thinks such a dip could be forthcoming. He notes, "Boeing rose 89% in 2017 on the strength of the perception of synchronized global growth generating more demand for Boeing's planes." However, "But now with looming tariffs poised to cause a potential trade war with China, that expected demand could be diminished as China sends orders to other suppliers like Airbus or Bombardier. That could cause Boeing to hit some rough air until the global trade implications are sorted out."
That leaves a window of opportunity open for a corrective move, perhaps unwinding last year's incredible gain and setting the stock up as a buy again after the pullback.
SEE ALSO: 10 Biggest Product Recalls of All Time
For the record, Caterpillar ( CAT , $147.38) was on Kiplinger's list of six cheap blue-chip stocks to buy posted in mid-March. And his point stands. To recap: Caterpillar's earnings are expected to rise an average of 20% over the course of the coming five years, and thus its forward-looking price-to-earnings ratio of 13.7 is a bargain by almost any long-term investor's standards.
That valuation won't stave off a fear-induced near-term setback, though, as Headley fears.
Headley explains, "Caterpillar ran up nearly 70% in 2017 on the strength of booming construction demand and hopes for greater infrastructure in the U.S. as well." However, he adds, "The tariffs just announced hit Caterpillar shares particularly hard as the prospect of rising steel prices will increase Caterpillar's costs to produce their heavy equipment. CAT should underperform its Dow Industrials counterparts as investors look for stocks less affected by these trade concerns."
It may only be a temporary setback until the dust settles. But that won't make it an easy setback to simply shrug off.
SEE ALSO: Quiz: Test Your Bear Market IQ
Dover ( DOV , $98.22) makes a little of seemingly anything and everything, with a product line ranging from gas pumps to convenience store coolers to printer components and supplies. There's nothing sexy about Dover, but it's the kind of low-beta quality name that merited a spot on Kiplinger's list of the market's top industrial stocks , published in February.
A bright future down the road doesn't mean a stock can't slide lower in the meantime, however. That's particularly true when said stock is pushing its valuation limits, and shortly after a new CEO has taken over - the case at Dover, which just announced it will install Richard Tobin as chief effective May 1.
Dover shares have proven the premise in the meantime, losing 10% of their value (and hitting correction territory) since their late-January high. They hit a new multimonth low just a few days ago. That weakness may well be enough to spark even more selling, and the less-convicted holders bail out at the early hints of trouble. A bearish backdrop will only exacerbate the problem, even if it's a problem that manifests for only short-term reasons.
SEE ALSO: 10 Companies Making Huge Stock Buybacks in 2018
Is it too soon to pick on cloud-based document-sharing platform Dropbox ( DBX , $31.25)? After all, it's only been a publicly traded entity for a few days now. Besides, it's up 45% from its initial public offering price, and traders still are buzzing about it.
No. It's never too soon to exercise caution with a newly minted stock, even if there's more near-term upside ahead.
Dropbox is arguably a more mature, seasoned company than many other technology IPOs that investors have seen of late - Snap ( SNAP ) comes to mind. But that might not be enough to overcome what has become an almost inevitable outcome for initial public offerings. Four out of 2017's five biggest IPOs ended the year at values below their initial public offering price. Dropbox could very easily turn into another Snap, which created a lot of hype shortly before and after it debuted, but now is trading well below its June 2017 IPO price.
SEE ALSO: Kiplinger's Economic Outlooks
The so-called retail apocalypse has been brutal and indiscriminate, taking aim at retailers of all stripes and sizes. Most of them are seeing a light at the end of the tunnel, however, including middle-market player Kohl's ( KSS , $65.51). The department-store chain reported a slight revenue beat for its final quarter of 2017, and better still, reported a 6.3% improvement in same-store sales for the same accounting period.
The 40% gain KSS shares have mustered in just six months, however, may be too much, too fast. Shareholders may be poised to hit the "Sell" button in a hurry, even as they're cheering the stock and the company on.
There's a big potential catalyst around the corner that could start that avalanche too. Shareholders have implied they're OK with it so far, but current CEO Kevin Mansell - a 35-year veteran of the company - will be stepping down in May, to be replaced by current Chief Merchandise Officer Michelle Gass. It might be just enough disruption to make shareholders second-guess their commitment.
SEE ALSO: How Well Do You Really Understand Bitcoin?
The good news is, Revlon ( REV , $20.60) has been able to grow its top line for the past few years, even if it took acquisitions to do so. The bad news is, despite the ongoing increase in its scale, the cosmetics company's losses continue to get bigger.
The specifics: Sales grew 15.4% in 2017, but adjusted gross margins fell from 61.6% to 57.9%. And even its revenue growth is starting to reverse. Stripping out the benefits of 2016's acquisition of Elizabeth Arden, Q4's top line slumped just a little less than 2%.
Revlon is struggling with an ugly and lengthening streak of retail store closures that are crimping the company's distribution footprint. Further complicating matters is a growing comfort in the purchase of cosmetics through online channels (which brings even more competition to the table), and a much more "engaging" experience with rival cosmetics counters operated by Sephora and Ulta Salon ( ULTA ).
Throw in the fact that the organization is looking for a new CEO, and REV shares make for an easy target.
SEE ALSO: Stocks That Warren Buffett Is Buying and Selling Now
An interview of Sears ( SHLD , $2.67) CEO Eddie Lampert in the April 2018 edition of Vanity Fair raised a few eyebrows. It also raised the price of Sears stock, though, which logged its best weekly gain in several months.
The catalyst? Lampert's optimism. He plainly said, "If I didn't believe that this company could be transformed still -- the window is definitely shrinking -- but if I didn't believe that, I would try to take a different path. But I don't know what that path exactly would be. It's not a question of giving up or not giving up."
Fans and followers loved it, at least temporarily forgetting that the beleaguered retailer has liquidity, credibility and operational problems. Never even mind the ever-shrinking footprint stemming from the ongoing sale of its real estate.
Investors will remember those woes soon enough, though, and realize the recent bullishness will be all but impossible to maintain. The only thing that can truly turn Sears around now is once again becoming a retailer that consumers care to shop with. That one thing has proven elusive to Lampert for years.
SEE ALSO: 20 Small Towns With Big Millionaire Populations
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
SEE ALSO: 10 Biggest Losers of a Global Trade War After hitting a multi-year low in October, Advance Auto Parts ( AAP , $118.55) shares have hammered out a 41% gain, largely on hopes that the company would be able to rekindle its growth from yesteryear. SEE ALSO: Quiz: Test Your Bear Market IQ Dover ( DOV , $98.22) makes a little of seemingly anything and everything, with a product line ranging from gas pumps to convenience store coolers to printer components and supplies. SEE ALSO: Stocks That Warren Buffett Is Buying and Selling Now An interview of Sears ( SHLD , $2.67) CEO Eddie Lampert in the April 2018 edition of Vanity Fair raised a few eyebrows.
|
SEE ALSO: 10 Biggest Losers of a Global Trade War After hitting a multi-year low in October, Advance Auto Parts ( AAP , $118.55) shares have hammered out a 41% gain, largely on hopes that the company would be able to rekindle its growth from yesteryear. Still, the 63% gain Adobe shares have dished out during the past 12 months have left shares at a frothy valuation; the stock's currently trading at 56 times its trailing per-share profits. He recently downgraded Adobe from an "Outperform" (equivalent of buy) to "Market Perform" (equivalent of neutral), explaining, "We downgrade our rating on Adobe Systems to market perform from market outperform after the stock has appreciated 21% year to date (vs. flat for Nasdaq), and after it rose 69% in 2017 (vs. up 27% for Nasdaq), leaving the risk/reward for investors balanced and the stock fairly valued, in our opinion."
|
SEE ALSO: 10 Biggest Losers of a Global Trade War After hitting a multi-year low in October, Advance Auto Parts ( AAP , $118.55) shares have hammered out a 41% gain, largely on hopes that the company would be able to rekindle its growth from yesteryear. He recently downgraded Adobe from an "Outperform" (equivalent of buy) to "Market Perform" (equivalent of neutral), explaining, "We downgrade our rating on Adobe Systems to market perform from market outperform after the stock has appreciated 21% year to date (vs. flat for Nasdaq), and after it rose 69% in 2017 (vs. up 27% for Nasdaq), leaving the risk/reward for investors balanced and the stock fairly valued, in our opinion." SEE ALSO: 5 Stocks to Sell in This Unsure Market The advent of cryptocurrencies isn't actually a make-or-break opportunity for GPU maker Advanced Micro Devices ( AMD , $10.05).
|
SEE ALSO: 10 Biggest Losers of a Global Trade War After hitting a multi-year low in October, Advance Auto Parts ( AAP , $118.55) shares have hammered out a 41% gain, largely on hopes that the company would be able to rekindle its growth from yesteryear. He recently downgraded Adobe from an "Outperform" (equivalent of buy) to "Market Perform" (equivalent of neutral), explaining, "We downgrade our rating on Adobe Systems to market perform from market outperform after the stock has appreciated 21% year to date (vs. flat for Nasdaq), and after it rose 69% in 2017 (vs. up 27% for Nasdaq), leaving the risk/reward for investors balanced and the stock fairly valued, in our opinion." It has earned a spot on several Kiplinger buy lists of late, with the most recent mention coming in early February, when BA stock was deemed a stock to "buy on the dip."
|
11422.0
|
2018-04-02 00:00:00 UTC
|
AutoZone, Inc. Stock Is a Buy — If You Trust the Industry
|
AAP
|
https://www.nasdaq.com/articles/autozone-inc-stock-buy-if-you-trust-industry-2018-04-02
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The multi-year problem for AutoZone, Inc. (NYSE: AZO ) has been an inability to clear the $800 per share mark. The level served as solid resistance for AutoZone stock from late 2015 through early 2017.
Then, a little over a year ago, fears of Amazon.com, Inc. (NASDAQ: AMZN ) sent auto parts retailers plunging. AutoZone stock briefly dipped below $500, rallied again to that $800 level, and as of this writing, has pulled back ~23% to the $610+ range.
It's been a dizzying move, even by the standards of a retail space that has seen huge swings in sentiment over that time. And it leaves AutoZone stock in an interesting spot. AZO trades at less than 11x FY19 consensus estimates. It's notably cheaper than rivals O'Reilly Automotive Inc (NASDAQ: ORLY ) and Advance Auto Parts, Inc. (NYSE: AAP ) on an earnings basis. And while some AZO bears have pointed to a potentially weak balance sheet , AutoZone's leverage isn't notably different from those two peers.
If an investor believes the Amazon fears are overblown, AZO looks like the right play. But that's a big 'if'.
The Auto Parts Space and AutoZone Stock
The auto parts industry has slowed a bit of late in terms of same-store sales. That said, the news here still is much better than in many pockets of retail. AutoZone posted same-store sales growth of 2.2% in its fiscal second quarter, after a 2.3% print in Q1 . Both figures represent a solid acceleration from the 0.5% figure seen in full-year fiscal 2017 - and both at least are solidly positive, unlike those of many retailers in apparel and other areas.
3 Big Growth Tech Stocks That Wall Street Analysts Are (Still) In Love With
Still, the performance of late isn't as good as it was. And the question is why that is. Are AutoZone and its rivals losing sales to Amazon, or direct offerings from companies like Genuine Parts Company (NYSE: GPC )? Or are other factors at play?
There's a strong case that the problem of late is cyclical - not permanent. New car sales peaked in 2016 . That's a headwind for auto parts retailers, as new cars generally require less service - and fewer parts - than older models. Weather has been relatively good, particularly the last couple of winters, limiting maintenance needs. The bull case for the auto parts sector simply is that the industry is having a couple of bad years, driven largely by one-time factors.
And those factors should reverse. The U.S. just experienced a much more difficult winter. New car sales are declining, if modestly, which raises the average age of cars on the road and suggests more demand going forward. The weakness in the industry, whether it's AZO's declining comps or the back-to-back negative prints posted by Advance Auto Parts, should turn into strength at some point. And that in turn suggests a potential rebound for the industry.
AZO Stock Is the Play - If the Bulls Are Right
Again, there's a strong argument for the bull case. But, personally, I'm not quite convinced enough to take a flyer on AZO stock just yet. Amazon may not be a threat right now - but it very well could become one. The retailers argue that it will take the online giant years to manage the same relationships auto parts retailers currently have with suppliers - which might be true. But Amazon has been able to manage similar negotiations across a range of industries.
More broadly, the pressure on retail of late isn't just about Amazon. It's about the fact that e-commerce generally dampens margins and hits pricing. The ability to know everyone's price at every time leads to higher promotions and lower pricing. The auto parts space may be more protected than most - but there's likely to be some pressure in the mid-term from the changing state of retail. Longer-term, self-driving and electric cars could add further demand pressure as their adoption increases.
That said, it's possible that I'm too pessimistic. And if that's the case, AutoZone stock does look like the right pick. Again, it's cheaper than rivals, with a forward P/E of 11x against 15x for struggling AAP and 17x for ORLY. As for debt, AZO stock doesn't really stand out.
Adjusted debt (which adds capital leases and rent) to EBITDAR (earnings before interest, taxes, depreciation, amortization, and rent) figures aren't much different. As of February 10, AZO's multiple stands at 2.5x. As of year-end 2017, ORLY was at 2.1x, and AAP 2.9x.
Bottom Line for AutoZone Stock
AZO stock also has had the worst performance so far this year, dropping 9% while its rivals have gained. (AAP actually has jumped 19%, thanks to optimism toward its turnaround .)
10 Deceptively Bad Stocks to Sell Before You're Pranked
So if investors see the auto parts sector as worth investing in, AutoZone stock undoubtedly is the play. I'm not quite convinced myself. But a cheaper AZO stock price and/or better news could change that in a hurry. And I wouldn't be at all surprised if AZO challenges that $800 mark once again in the not-too-distant future.
As of this writing, Vince Martin has no positions in any securities mentioned.
More From InvestorPlace
5 Biotech Stocks With Amazing Pipelines
5 Lesser-Known Energy ETFs to Play $66 Oil
5 Reasons the Market Is Rebounding
Compare Brokers
The post AutoZone, Inc. Stock Is a Buy - If You Trust the Industry appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
It's notably cheaper than rivals O'Reilly Automotive Inc (NASDAQ: ORLY ) and Advance Auto Parts, Inc. (NYSE: AAP ) on an earnings basis. Again, it's cheaper than rivals, with a forward P/E of 11x against 15x for struggling AAP and 17x for ORLY. As of year-end 2017, ORLY was at 2.1x, and AAP 2.9x.
|
It's notably cheaper than rivals O'Reilly Automotive Inc (NASDAQ: ORLY ) and Advance Auto Parts, Inc. (NYSE: AAP ) on an earnings basis. Again, it's cheaper than rivals, with a forward P/E of 11x against 15x for struggling AAP and 17x for ORLY. As of year-end 2017, ORLY was at 2.1x, and AAP 2.9x.
|
It's notably cheaper than rivals O'Reilly Automotive Inc (NASDAQ: ORLY ) and Advance Auto Parts, Inc. (NYSE: AAP ) on an earnings basis. Again, it's cheaper than rivals, with a forward P/E of 11x against 15x for struggling AAP and 17x for ORLY. As of year-end 2017, ORLY was at 2.1x, and AAP 2.9x.
|
It's notably cheaper than rivals O'Reilly Automotive Inc (NASDAQ: ORLY ) and Advance Auto Parts, Inc. (NYSE: AAP ) on an earnings basis. Again, it's cheaper than rivals, with a forward P/E of 11x against 15x for struggling AAP and 17x for ORLY. As of year-end 2017, ORLY was at 2.1x, and AAP 2.9x.
|
11423.0
|
2018-03-29 00:00:00 UTC
|
Auto Stock Roundup: Pickup Demand Up, TSLA to Lower Norway Delivery, F Inks MoU
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-pickup-demand-up-tsla-to-lower-norway-delivery-f-inks-mou-2018-03-29
|
nan
|
nan
|
It was a week that saw major auto companies undertaking initiatives to enhance their position in the pickup segment as well as planning to lower sedan production. In fact, these two strategies are not conflicting at all. As conventional compact and mid-size cars have started to lose favor among customers and demand for SUVs and pickup trucks has increased, automakers have started to reorient their programs and strategies.
In the past week, German vehicle behemoth Volkswagen AG reportedly showed interest to augment its position in the midsize pickup segment with a U.S.-made pickup, which is likely to be manufactured in Tennessee. Again, according to the Wall Street Journal, Japanese auto giant Honda Motor Co., Ltd. HMC has decided to halt the production of Accord sedan for two weeks. The auto maker has taken such a decision as it intends to adjust fat inventories and align its production with the current market situation.
Also, the week saw earnings announcement from Westport Fuel Systems Inc.'s WPRT and inking of memoranda of understanding (MoU) by Ford Motor Co. F with Mahindra & Mahindra Ltd. to develop a new electric vehicle (EV) and sports utility vehicles (SUVs).
(Read the previous roundup here: Auto Stock Roundup for Mar 22, 2018 )
Recap of the Week's Most Important Stories
1. Westport Fuel Systems' fourth-quarter 2017 adjusted net loss from continuing operations was 12 cents per share, narrower than the Zacks Consensus Estimate of a loss of 13 cents.
Also, total net loss from continuing operations in the quarter was $19.2 million from the net loss of $44.4 million in fourth-quarter 2016.
Westport Fuel Systems logged consolidated revenues of $64.2 million in the quarter, up 7% year over year. Also, the top line surpassed the Zacks Consensus Estimate of $55.3 million. This upside was driven by the initial shipments of the Westport HPDI 2.0 product and an increase in the value of Euro compared with the U.S. dollar.
For 2017, the company reported revenues of $247.1 million, up from the 2016 figure of $177.4 million.
During the quarter, consolidated gross margin increased to $16 million (25% of sales) from $13.1 million (23% of sales) recorded in the year-ago quarter. This improvement came from higher revenues and better operating efficiencies.
Consolidated adjusted EBITDA amounted to a negative $3.5 million compared with a negative $10.6 million in the prior-year quarter. (Read more: Westport Fuel Q4 Earnings & Revenues Beat Estimates )
Westport Fuel Systems carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
2. Ford inked five new MoUs with Mahindra & Mahindra, an Indian automotive manufacturing company, to develop a new electric vehicle EV and sports utility vehicles SUVs. Both the companies will strengthen their strategic coalition and develop products for emerging markets, including India.
Announced in September 2017, the recently signed alliance will jointly develop a mid-size SUV on Mahindra's platform. However, the new SUV will be sold by both companies under separate brands.
Additionally, the alliance will evaluate on co-developing an electric vehicle and a compact SUV by utilizing shared powertrains. In order to widen Ford's vehicle offering, it might use Mahindra's powertrains. The collaboration also has plans to jointly develop a suite of connected car solutions, which is in sync with Ford's commitment to offering safer options for its consumers, globally.
Beside electrification and utility vehicles as key areas, both companies will work on the needs of consumers while leveraging on the benefits of Ford's skill and global reach and Mahindra's presence in India. With these new initiatives, the alliance aims to drive synergies and strengthen efficiencies.
Moreover, teams from Ford and Mahindra will look for avenues of strategic cooperation to deal with future mobility needs while supporting Mahindra's reach in emerging markets and Ford's manufacturing and distribution networks. (Read more: Ford and Mahindra to Build EV, SUVs for Emerging Markets )
Ford carries a Zacks Rank #3.
3. According to CNBC, Tesla, Inc.'s TSLA CEO Elon Musk has asked his team in Norway to slow down deliveries of electric cars due to issues pertaining to the local manufacturing supply chain. Notably, the electric vehicle maker is experiencing a lack of giant trucks to carry its vehicles safely around Norway. A truck, which was carrying Tesla Model S vehicles, was recently embroiled in an accident.
Two Tesla vehicles were crushed by the upper deck of the truck. Musk said, "I have just asked our team to slow down deliveries. It is clear that we are exceeding the local logistics capacity due to batch build and delivery. Customer happiness & safety matter more than a few extra cars this quarter."
Norwegians are enthusiastic about Tesla electric vehicles. In 2017, the number of electric and hybrid vehicles registration was more than 50% of new registrations in Norway, driven by generous government subsidies. However, it has not been mentioned by how much the deliveries will be lowered and of which model(s).
In fact, Tesla is grappling with several challenges as it strives to bring electric vehicles into the mass market. Its future rests on the efficient and hassle-free production of Model 3 sedan. (Read more: Tesla to Lower Down Vehicle Deliveries in Norway )
Tesla carries a Zacks Rank #4 (Sell).
4. BorgWarner Inc. BWA introduced its Electro-Mechanical On-Demand (EMOD) transfer case in the advanced Ram 1500 pickup truck. Built on the company's Torque-On-Demand clutching system, the new transfer case offers swift response and advanced torque on both on- and off-road performances.
Except for this recent offering, BorgWarner has been delivering its transfer cases for production vehicles under the Ram brand since 2010.
Enabled with matchless clutch control and actuation capabilities, BorgWarner's EMOD transfer case can be used in different vehicle types, ranging from heavy-duty pickup trucks to small SUVs. Its easy traction calibration makes it suitable for a wide-range of vehicles.
Moreover, with a distinct shift in consumer preferences to SUVs and pickup trucks, automakers are launching newer models with comfortable design packages per requirements. Further, the launch of BorgWarner's EMOD transfer case will enable automakers to manufacture superior vehicle models. (Read more: BorgWarner Introduces On-Demand EMOD Transfer Case )
BorgWarner carries a Zacks Rank #2 (Buy).
5. Magna International Inc. announced the opening of its seat manufacturing facility in Spartanburg County, SC. This marks the fourth manufacturing facility of Magna International in South Carolina. Moreover, the company will supply these premier seats to BMW AG. At present, the other three manufacturing hubs employ roughly 1,450 people.
The facility has an area of 230,000 square-feet and will employ 480 people approximately. Further, with construction in progress, the company plans to expand the hub by adding 25,000 square-feet that will create 130 additional jobs.
Per management, the addition of a new manufacturing facility will help it develop its business in North America. A skilled workforce, committed to the company's world-class manufacturing, will enable Magna International to nurture itself to be a premier seat supplier, globally. (Read more: Magna Opens Seat Manufacturing Hub in South Carolina )
Magna carries a Zacks Rank #3.
Performance
Last week, all these stocks, except Toyota Motor Corp. TM and Advance Auto Parts, Inc. AAP reported a decline in price. The sharpest decline was witnessed by Tesla.
In the last six months, the maximum rise was recorded by Advance Auto Parts while Tesla shares declined the most.
Investor Alert: Breakthroughs Pending
A medical advance is now at the flashpoint between theory and realization. Billions of dollars in research have poured into it. Companies are already generating substantial revenue, and even more wondrous products are in the pipeline.
Cures for a variety of deadly diseases are in sight, and so are big potential profits for early investors. Zacks names 5 stocks to buy now.
Click here to see them >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ford Motor Company (F): Free Stock Analysis Report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report
Toyota Motor Corporation (TM): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
BorgWarner Inc. (BWA): Free Stock Analysis Report
Westport Fuel Systems Inc. (WPRT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Performance Last week, all these stocks, except Toyota Motor Corp. TM and Advance Auto Parts, Inc. AAP reported a decline in price. Click to get this free report Ford Motor Company (F): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report BorgWarner Inc. (BWA): Free Stock Analysis Report Westport Fuel Systems Inc. (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Beside electrification and utility vehicles as key areas, both companies will work on the needs of consumers while leveraging on the benefits of Ford's skill and global reach and Mahindra's presence in India.
|
Click to get this free report Ford Motor Company (F): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report BorgWarner Inc. (BWA): Free Stock Analysis Report Westport Fuel Systems Inc. (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, all these stocks, except Toyota Motor Corp. TM and Advance Auto Parts, Inc. AAP reported a decline in price. Westport Fuel Systems' fourth-quarter 2017 adjusted net loss from continuing operations was 12 cents per share, narrower than the Zacks Consensus Estimate of a loss of 13 cents.
|
Click to get this free report Ford Motor Company (F): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report BorgWarner Inc. (BWA): Free Stock Analysis Report Westport Fuel Systems Inc. (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, all these stocks, except Toyota Motor Corp. TM and Advance Auto Parts, Inc. AAP reported a decline in price. Also, the week saw earnings announcement from Westport Fuel Systems Inc.'s WPRT and inking of memoranda of understanding (MoU) by Ford Motor Co. F with Mahindra & Mahindra Ltd. to develop a new electric vehicle (EV) and sports utility vehicles (SUVs).
|
Performance Last week, all these stocks, except Toyota Motor Corp. TM and Advance Auto Parts, Inc. AAP reported a decline in price. Click to get this free report Ford Motor Company (F): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report BorgWarner Inc. (BWA): Free Stock Analysis Report Westport Fuel Systems Inc. (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. (Read more: Ford and Mahindra to Build EV, SUVs for Emerging Markets ) Ford carries a Zacks Rank #3.
|
11424.0
|
2018-03-23 00:00:00 UTC
|
Why Is Advance Auto Parts, Inc. (AAP) Up 1.09% Since Its Last Earnings Report?
|
AAP
|
https://www.nasdaq.com/articles/why-is-advance-auto-parts-inc.-aap-up-1.09-since-its-last-earnings-report-2018-03-23
|
nan
|
nan
|
It has been about a month since the last earnings report for Advance Auto Parts, Inc.AAP . Shares have added about 1.1% in that time frame.
Will the recent positive trend continue leading up to its next earnings release, or is AAP due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Advance Auto Parts Q4 Earnings Top Estimates, Down Y/Y
Advance Auto Parts reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. The figure, however, surpassed the Zacks Consensus Estimate of 65 cents. Adjusted operating income declined to $113.7 million from $125.6 million in the fourth quarter of fiscal 2016.
Advance Auto Parts reported revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion. Revenues were 2.2% lower than the year-ago quarter. During the quarter, comparable store sales were down 2.6% year over year.
Gross profit declined to $873.6 million in the reported quarter from $907.6 million a year ago. Gross margin declined 69 basis points year over year to 42.9%.
Adjusted selling, general and administrative (SG&A) expenses totaled $759.9 million or 37.3% of sales compared with $781.9 million or 37.5% of sales in the year-ago period.
In 2017, earnings came in at $5.37, lower than the 2016 figure of $7.15 per share. In 2017, total revenues also decreased to $9.37 billion from $9.57 billion in 2016.
Financial Position
Advance Auto Parts had cash and cash equivalents of $546.9 million as of Dec 30, 2017, up from $135.2 million as of Dec 31, 2016. Total long-term debt was $1.04 billion as of Dec 30, 2017, almost unchanged from the figure released on Dec 31, 2016.
In 2017, operating cash flow was $600.8 million compared with $523.3 million in 2016.
Store Update
As of Dec 30, 2017, Advance Auto Parts operated 5,074 stores and 129 Worldpac branches and served approximately 1,218 independently-owned Carquest stores.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed an upward trend in fresh estimates. There have been five revisions higher for the current quarter compared to three lower.
Advance Auto Parts, Inc. Price and Consensus
Advance Auto Parts, Inc. Price and Consensus | Advance Auto Parts, Inc. Quote
VGM Scores
At this time, AAP has a subpar Growth Score of D, however its Momentum is doing a lot better with a B. The stock was also allocated a grade of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Zacks style scores indicate that the company's stock is suitable for value and momentum investors.
Outlook
Estimates have been broadly trending upward for the stock and the magnitude of these revisions indicates a downward shift. Notably, AAP has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Will the recent positive trend continue leading up to its next earnings release, or is AAP due for a pullback? It has been about a month since the last earnings report for Advance Auto Parts, Inc.AAP . Advance Auto Parts, Inc. Price and Consensus Advance Auto Parts, Inc. Price and Consensus | Advance Auto Parts, Inc. Quote VGM Scores At this time, AAP has a subpar Growth Score of D, however its Momentum is doing a lot better with a B.
|
Advance Auto Parts, Inc. Price and Consensus Advance Auto Parts, Inc. Price and Consensus | Advance Auto Parts, Inc. Quote VGM Scores At this time, AAP has a subpar Growth Score of D, however its Momentum is doing a lot better with a B. It has been about a month since the last earnings report for Advance Auto Parts, Inc.AAP . Will the recent positive trend continue leading up to its next earnings release, or is AAP due for a pullback?
|
Advance Auto Parts, Inc. Price and Consensus Advance Auto Parts, Inc. Price and Consensus | Advance Auto Parts, Inc. Quote VGM Scores At this time, AAP has a subpar Growth Score of D, however its Momentum is doing a lot better with a B. It has been about a month since the last earnings report for Advance Auto Parts, Inc.AAP . Will the recent positive trend continue leading up to its next earnings release, or is AAP due for a pullback?
|
It has been about a month since the last earnings report for Advance Auto Parts, Inc.AAP . Will the recent positive trend continue leading up to its next earnings release, or is AAP due for a pullback? Advance Auto Parts, Inc. Price and Consensus Advance Auto Parts, Inc. Price and Consensus | Advance Auto Parts, Inc. Quote VGM Scores At this time, AAP has a subpar Growth Score of D, however its Momentum is doing a lot better with a B.
|
11425.0
|
2018-03-22 00:00:00 UTC
|
Auto Stock Roundup: Uber Crash Hits Self-Driving, SUP Tops, AZO Boosts Buyback
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-uber-crash-hits-self-driving-sup-tops-azo-boosts-buyback-2018-03-22
|
nan
|
nan
|
The past week saw heightened activities from auto companies such as General Motors Company GM and Magna International Inc. in the self-driving vehicles front. While General Motors promised investment for upgrading self-driving vehicles manufacturing, Magna announced a partnership with the ride sharing company Lyft, to finance, build and manufacture self-driving systems.
However, this week self-driving activities suffered a setback as a test vehicle from leading ridesharing company, Uber Technologies Inc. struck and killed a 49-year-old woman in Tempe, AZ. Safety issues apart, this sad incident gave a jolt to the self-driving car industry, which is witnessing billions of dollars of investment and has the potential to be a game changer in the transportation space.
On the positive side, the week also saw some relaxation in the imposition of tariffs for Canada and Mexico, keeping in mind the North American Free Trade Agreement (NAFTA) negotiations. President Trump dropped the initial proposal that vehicles manufactured in Canada and Mexico and intended for the U.S. market should contain at least 50% American materials. This has somewhat relieved the auto industry.
(Read the previous roundup here: Auto Stock Roundup for Mar 15, 2018 )
Recap of the Week's Most Important Stories
1. Superior Industries International Inc.'s SUP adjusted earnings of 38 cents per share for fourth-quarter 2017 topped the Zacks Consensus Estimate of 24 cents. Including after-tax expense and the impact of U.S. tax reform, net loss for the quarter was $4.6 million or 50 cents per share.
Revenues were $361.8 million in the reported quarter, missing the Zacks Consensus Estimate of $363.8 million. However, the reported figure was higher than $188.3 million recorded in the year-ago quarter.
Wheel unit shipments were 5.4 million compared with 3.1 million in the prior-year quarter. The rise was primarily due to the addition of its European operations, partly offset by a decline in the North American market from the prior-year quarter. Value-added sales, i.e., net sales minus pass-through charges for aluminum, increased to $203.5 million compared with $106.4 million in fourth-quarter 2016.
Gross profit rose to $39.7 million from $18 million in the year-ago quarter. The increase was due to the addition of European operations, partly offset by non-recurring effects of purchase accounting adjustments of $1.3 million related to the buyout of UNIWHEELS and ongoing amortization of intangibles related to the acquisition. (Read more: Superior Industries Q4 Earnings Surpass Estimates )
Superior Industries carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
2. General Motors reported that it will invest more than $100 million for the development of its two assembly plants located in Michigan namely, Orion Township and Brownstown. This investment will be done to upgrade the plants for manufacturing self-driving vehicle, Cruise AV. The model is a rebranded version of General Motors' Chevrolet Bolt EV.
Starting in 2019, the Cruise AV model will be produced at its Orion Township plant, while the roof modules will be assembled at its Brownstown battery assembly facility. Per management, the team members of these two plants are well prepared to manufacture Cruise AV as they already have experience in producing high-quality battery packs and autonomous test vehicles.
Intended for commercialization in 2019, the self-driving model will function without any driver, steering wheel, manual controls or throttle. (Read more: General Motors to Invest $100M for Cruise AV Production )
General Motors carries a Zacks Rank #2 (Buy).
3. Magna International Inc. and Lyft, a growing rideshare company, announced a multi-year partnership. The partnership intends to finance, build up and manufacture self-driving systems. Apart from this, Magna, a mobility company, has plans to invest $200 million in Lyft equity. However, the partnership is subject to certain regulatory approvals.
This partnership will enable Magna and Lyft to develop and manufacture self-driving systems effectively. In fact, Lyft's expertise in ridesharing services and the automotive experience of Magna have the capability to make this collaboration a success.
Lyft will be the frontrunner in the co-development of the self-driving system at the Palo, Alto-based self-driving center. Magna is likely to lead the manufacturing of the car and join Lyft's development team. In effect, Magna will lend its vehicle systems knowledge, manufacturing capabilities and safety and ADAS expertise. (Read more: Magna & Lyft Tie Up to Develop Self-Driving Systems )
Magna carries a Zacks Rank #3.
4. Volkswagen AG is planning to invest $340 million (£242 million) to upgrade its Chattanooga, TN facility. The amount will be used to manufacture a new sports utility vehicle (SUV), per Reuters. This decision was taken by the company after a surge in demand for large vehicles was observed.
The new five-passenger SUV will be added to the company's Atlas family. In 2017, Volkswagen started selling its seven-passenger Atlas model and launched its all-new 2018 Tiguan SUV. A concept version of the new SUV will be launched next week at the New York International Auto Show.
In 2011, Volkswagen's Chattanooga assembly plant started the production of Passat, a mid-sized sedan. Currently, a flourishing U.S. manufacturing plant produces three different vehicle models. (Read more: Volkswagen Plans to Invest $340M for SUV Production in US )
Volkswagen carries a Zacks Rank #2.
5. AutoZone, Inc.'s AZO board of directors authorized a share buyback program worth $1 billion. This authorization is in addition to its current share repurchase program. Including this, the company's board has approved $19.7 billion for buying back shares since 1998.
In second-quarter fiscal 2018, AutoZone reported earnings per share of $10.38, beating the Zacks Consensus Estimate of $8.81. Quarterly revenues rose 5.4% year over year to $2.41 billion. The top line also surpassed the Zacks Consensus Estimate. This continued strong financial performance and fine credit rating are permitting the company to repurchase stocks with an aim to boost shareholders' confidence while maintaining enough liquidity at the same time.
Earlier this month, the company had increased its share repurchase authorization by $750 million. Prior to this, share buyback of the same amount was approved in March and September 2016. (Read more: AutoZone Announces $1B Share Repurchase Authorization )
AutoZone carries a Zacks Rank #3.
Performance
Last week, all these stocks, except Ford Motor Company F recorded a decline. The sharpest decline was witnessed by Tesla, Inc. TSLA .
In the last six months, the maximum rise was recorded by Advance Auto Parts, Inc. AAP while Harley-Davidson, Inc. HOG shares declined the most.
What's Next in the Auto Space?
Watch out for the earnings releases and other developments in the sector in the coming days.
Zacks Editor-in-Chief Goes "All In" on This Stock
Full disclosure, Kevin Matras now has more of his own money in one particular stock than in any other. He believes in its short-term profit potential and also in its prospects to more than double by 2019. Today he reveals and explains his surprising move in a new Special Report.
Download it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ford Motor Company (F): Free Stock Analysis Report
General Motors Company (GM): Free Stock Analysis Report
Tesla, Inc. (TSLA): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
Superior Industries International, Inc. (SUP): Free Stock Analysis Report
Harley-Davidson, Inc. (HOG): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In the last six months, the maximum rise was recorded by Advance Auto Parts, Inc. AAP while Harley-Davidson, Inc. Click to get this free report Ford Motor Company (F): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. However, this week self-driving activities suffered a setback as a test vehicle from leading ridesharing company, Uber Technologies Inc. struck and killed a 49-year-old woman in Tempe, AZ.
|
Click to get this free report Ford Motor Company (F): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. In the last six months, the maximum rise was recorded by Advance Auto Parts, Inc. AAP while Harley-Davidson, Inc. While General Motors promised investment for upgrading self-driving vehicles manufacturing, Magna announced a partnership with the ride sharing company Lyft, to finance, build and manufacture self-driving systems.
|
Click to get this free report Ford Motor Company (F): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. In the last six months, the maximum rise was recorded by Advance Auto Parts, Inc. AAP while Harley-Davidson, Inc. The past week saw heightened activities from auto companies such as General Motors Company GM and Magna International Inc. in the self-driving vehicles front.
|
In the last six months, the maximum rise was recorded by Advance Auto Parts, Inc. AAP while Harley-Davidson, Inc. Click to get this free report Ford Motor Company (F): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report To read this article on Zacks.com click here. The past week saw heightened activities from auto companies such as General Motors Company GM and Magna International Inc. in the self-driving vehicles front.
|
11426.0
|
2018-03-20 00:00:00 UTC
|
Ex-Dividend Reminder: Big Lots, Advance Auto Parts and Sempra Energy
|
AAP
|
https://www.nasdaq.com/articles/ex-dividend-reminder-big-lots-advance-auto-parts-and-sempra-energy-2018-03-20
|
nan
|
nan
|
Looking at the universe of stocks we cover at Dividend Channel , on 3/22/18, Big Lots, Inc. (Symbol: BIG), Advance Auto Parts Inc (Symbol: AAP), and Sempra Energy (Symbol: SRE) will all trade ex-dividend for their respective upcoming dividends. Big Lots, Inc. will pay its quarterly dividend of $0.30 on 4/6/18, Advance Auto Parts Inc will pay its quarterly dividend of $0.06 on 4/6/18, and Sempra Energy will pay its quarterly dividend of $0.895 on 4/15/18. As a percentage of BIG's recent stock price of $46.33, this dividend works out to approximately 0.65%, so look for shares of Big Lots, Inc. to trade 0.65% lower - all else being equal - when BIG shares open for trading on 3/22/18. Similarly, investors should look for AAP to open 0.05% lower in price and for SRE to open 0.80% lower, all else being equal.
Below are dividend history charts for BIG, AAP, and SRE, showing historical dividends prior to the most recent ones declared.
Big Lots, Inc. (Symbol: BIG) :
Advance Auto Parts Inc (Symbol: AAP) :
Sempra Energy (Symbol: SRE) :
In general, dividends are not always predictable, following the ups and downs of company profits over time. Therefore, a good first due diligence step in forming an expectation of annual yield going forward, is looking at the history above, for a sense of stability over time. This can help in judging whether the most recent dividends from these companies are likely to continue. If they do continue, the current estimated yields on annualized basis would be 2.59% for Big Lots, Inc., 0.21% for Advance Auto Parts Inc, and 3.18% for Sempra Energy.
In Tuesday trading, Big Lots, Inc. shares are currently off about 0.3%, Advance Auto Parts Inc shares are up about 0.7%, and Sempra Energy shares are up about 0.1% on the day.
Click here to learn which 25 S.A.F.E. dividend stocks should be on your radar screen »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Looking at the universe of stocks we cover at Dividend Channel , on 3/22/18, Big Lots, Inc. (Symbol: BIG), Advance Auto Parts Inc (Symbol: AAP), and Sempra Energy (Symbol: SRE) will all trade ex-dividend for their respective upcoming dividends. Similarly, investors should look for AAP to open 0.05% lower in price and for SRE to open 0.80% lower, all else being equal. Below are dividend history charts for BIG, AAP, and SRE, showing historical dividends prior to the most recent ones declared.
|
Looking at the universe of stocks we cover at Dividend Channel , on 3/22/18, Big Lots, Inc. (Symbol: BIG), Advance Auto Parts Inc (Symbol: AAP), and Sempra Energy (Symbol: SRE) will all trade ex-dividend for their respective upcoming dividends. Big Lots, Inc. (Symbol: BIG) : Advance Auto Parts Inc (Symbol: AAP) : Sempra Energy (Symbol: SRE) : In general, dividends are not always predictable, following the ups and downs of company profits over time. Similarly, investors should look for AAP to open 0.05% lower in price and for SRE to open 0.80% lower, all else being equal.
|
Looking at the universe of stocks we cover at Dividend Channel , on 3/22/18, Big Lots, Inc. (Symbol: BIG), Advance Auto Parts Inc (Symbol: AAP), and Sempra Energy (Symbol: SRE) will all trade ex-dividend for their respective upcoming dividends. Big Lots, Inc. (Symbol: BIG) : Advance Auto Parts Inc (Symbol: AAP) : Sempra Energy (Symbol: SRE) : In general, dividends are not always predictable, following the ups and downs of company profits over time. Similarly, investors should look for AAP to open 0.05% lower in price and for SRE to open 0.80% lower, all else being equal.
|
Looking at the universe of stocks we cover at Dividend Channel , on 3/22/18, Big Lots, Inc. (Symbol: BIG), Advance Auto Parts Inc (Symbol: AAP), and Sempra Energy (Symbol: SRE) will all trade ex-dividend for their respective upcoming dividends. Similarly, investors should look for AAP to open 0.05% lower in price and for SRE to open 0.80% lower, all else being equal. Below are dividend history charts for BIG, AAP, and SRE, showing historical dividends prior to the most recent ones declared.
|
11427.0
|
2018-03-13 00:00:00 UTC
|
The 3 Stocks on the MFM Team's Radar This Week
|
AAP
|
https://www.nasdaq.com/articles/3-stocks-mfm-teams-radar-week-2018-03-13
|
nan
|
nan
|
In this segment of the Motley Fool Money podcast, host Chris Hill asks Million Dollar Portfolio 's Jason Moser and Matt Argersinger, and Total Income 's Ron Gross about the companies they're most intrigued by this week, and why. Their picks: wireless tower REIT American Tower (NYSE: AMT) ; mortgage software leader Ellie Mae (NYSE: ELLI) ; and a short opportunity -- car parts player Advance Auto Parts (NYSE: AAP) .
A full transcript follows the video.
10 stocks we like better than Walmart
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, the Motley Fool Stock Advisor, has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Walmart wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of March 5, 2018
The author(s) may have a position in any stocks mentioned.
This video was recorded on March 9, 2017.
Chris Hill: Time to get to the stocks on our radar. We'll go to our man on the other side of the glass, Steve Broido, to hit you with a question. By the way, also, sitting in with Steve on the other side of the glass this week, it's the Core family up from Richmond, Virginia. Linda, her sons Spencer and Will. Thanks so much for hanging out with us. Ron Gross, you're up first. What are you looking at this week?
Ron Gross: I've got Amazon -- no, I'm just kidding. I have American Tower, AMT. They're a real estate investment trust. One of the largest owners of wireless communications towers in the world. Critical part of the infrastructure of our digital revolution. Great unit economics, great yield and dividend growth. They've increased their dividend for the past 23 consecutive quarters. Dividend currently stands at 2.1%, and the stock looks good.
Hill: Steve Broido, question about American Tower?
Steve Broido: Well, I'm a shareholder, and my question is, who are their biggest competitors? Because American Tower has been a rockstar performer.
Gross: I would say, the two other big guys are Crown Castle and SBA Communications . Those three combined make up a bulk of the industry.
Hill: Jason Moser, what are you looking at this week?
Jason Moser: Talking about Ellie Mae, ticker ELLI. As we wrap up earnings season, Ellie Mae chalked up another good quarter. Their software platform Encompass now has over 242,000 users. I like the dual revenue stream in subscriptions and transactions. An example of this: in the quarter, revenue for the company grew 17% in the face of mortgage origination volume actually falling 19%.
Something that caught my interest the other day, and I can't believe I have to do this, but, Amazon -- yes, Amazon -- is looking to hire someone to lead their newly formed mortgage lending division. So, I'm not connecting the dots here, Chris, but I can't help but think about the possibilities, as Ellie Mae is moving their platform over to Amazon Web Services. Maybe there's a partnership in play here in the future. I just don't know.
Hill: Steve, question about Ellie Mae?
Broido: I was reading something from Schwab about adjustable rate mortgages. Do you have any interest, if you were buying a house today, in an adjustable rate mortgage? Does it make sense, do you think?
Moser: It makes sense if you know that you're going to be in that home for a short period of time, or you know you're going to be able to refinance. But I sure do like the certainty of a low rate 30-year deal.
Hill: Matt Argersinger, what are you looking at this week?
Matt Argersinger: Well, if you're looking for good short opportunities, about a year ago, I talked about the auto parts retailers. And I look like a genius--
Gross: You are a genius.
Argersinger: --because after I talked about it, they fell about 20%. But they've all bounced back. And I think the worst of the bunch is Advance Auto Parts, ticker AAP. Just to give you an idea, management was really excited about 2018 in the last conference call, yet they're guiding for same-store sales of -2% to 0%. So, not exactly a growth business. And of course, lots of short-term problems with Amazon -- I had to say it -- affecting their sales. But, long-term, ride-sharing, electric vehicles, it just looks really bad for the auto parts retailers. Short them all.
Hill: Imagine how low that comp number would be if they weren't excited. Steve Broido, question about Advance Auto Parts?
Broido: How do you feel when you go to an Advance Auto Parts or one of these stores, and there's about 3,000 people in the parking lot all working on their cars simultaneously? It just feels intimidating to me. How do you feel? Your take?
Argersinger: You know, I've never actually gone to one, and I never plan to, so I can't give my take on it. I don't know.
Gross: Steve, have you ever changed your own oil? Do you know anything about cars?
Broido: Very little. But I've been to, I think, an Advance Auto Parts when I needed a battery, and they did it for me. They did a great job.
Moser: Get the ball bearings. It's all about ball bearings these days.
Hill: Three stocks, Steve, do you have one you want to add your watch list?
Broido: Well, I own American Tower, therefore I will own American Tower.
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Chris Hill owns shares of Amazon. Jason Moser owns shares of Ellie Mae. Matthew Argersinger owns shares of Amazon, American Tower, Crown Castle International, and Ellie Mae. Ron Gross owns shares of Amazon. Steve Broido owns shares of Amazon, American Tower, and Crown Castle International. The Motley Fool owns shares of and recommends Amazon, American Tower, Crown Castle International, and Ellie Mae. The Motley Fool has the following options: short April 2018 $130 calls on American Tower and long January 2019 $80 calls on American Tower. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Their picks: wireless tower REIT American Tower (NYSE: AMT) ; mortgage software leader Ellie Mae (NYSE: ELLI) ; and a short opportunity -- car parts player Advance Auto Parts (NYSE: AAP) . And I think the worst of the bunch is Advance Auto Parts, ticker AAP. In this segment of the Motley Fool Money podcast, host Chris Hill asks Million Dollar Portfolio 's Jason Moser and Matt Argersinger, and Total Income 's Ron Gross about the companies they're most intrigued by this week, and why.
|
Their picks: wireless tower REIT American Tower (NYSE: AMT) ; mortgage software leader Ellie Mae (NYSE: ELLI) ; and a short opportunity -- car parts player Advance Auto Parts (NYSE: AAP) . And I think the worst of the bunch is Advance Auto Parts, ticker AAP. Matthew Argersinger owns shares of Amazon, American Tower, Crown Castle International, and Ellie Mae.
|
Their picks: wireless tower REIT American Tower (NYSE: AMT) ; mortgage software leader Ellie Mae (NYSE: ELLI) ; and a short opportunity -- car parts player Advance Auto Parts (NYSE: AAP) . And I think the worst of the bunch is Advance Auto Parts, ticker AAP. Matthew Argersinger owns shares of Amazon, American Tower, Crown Castle International, and Ellie Mae.
|
Their picks: wireless tower REIT American Tower (NYSE: AMT) ; mortgage software leader Ellie Mae (NYSE: ELLI) ; and a short opportunity -- car parts player Advance Auto Parts (NYSE: AAP) . And I think the worst of the bunch is Advance Auto Parts, ticker AAP. Steve Broido, question about Advance Auto Parts?
|
11428.0
|
2018-03-12 00:00:00 UTC
|
Advance Auto Parts Reaches Analyst Target Price
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-reaches-analyst-target-price-2018-03-12
|
nan
|
nan
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.58, changing hands for $118.86/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 12 different analyst targets contributing to that average for Advance Auto Parts Inc, but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $85.00. And then on the other side of the spectrum one analyst has a target as high as $138.00. The standard deviation is $17.364.
But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.58/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.58 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover Advance Auto Parts Inc:
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on AAP - FREE .
The Top 25 Broker Analyst Picks of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.58, changing hands for $118.86/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.58/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.58 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.58, changing hands for $118.86/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.58/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.58 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
And so with AAP crossing above that average target price of $116.58/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.58 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.58, changing hands for $118.86/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $116.58, changing hands for $118.86/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $116.58/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $116.58 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
11429.0
|
2018-02-28 00:00:00 UTC
|
Wednesday Sector Leaders: Services, Financial
|
AAP
|
https://www.nasdaq.com/articles/wednesday-sector-leaders-services-financial-2018-02-28
|
nan
|
nan
|
The best performing sector as of midday Wednesday is the Services sector, up 0.9%. Within the sector, TJX Companies (Symbol: TJX) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's stand-outs, showing a gain of 8.9% and 5.0%, respectively. Among the largest ETFs , one ETF closely following services stocks is the iShares U.S. Consumer Services ETF (Symbol: IYC), which is up 0.8% on the day, and up 5.60% year-to-date. TJX Companies, meanwhile, is up 10.51% year-to-date, and Advance Auto Parts Inc is up 15.62% year-to-date. Combined, TJX and AAP make up approximately 1.7% of the underlying holdings of IYC.
The next best performing sector is the Financial sector, higher by 0.8%. Among large Financial stocks, Macerich Co (Symbol: MAC) and Essex Property Trust Inc (Symbol: ESS) are the most notable, showing a gain of 3.4% and 2.4%, respectively. One ETF closely tracking Financial stocks is the Financial Select Sector SPDR ETF ( XLF ), which is up 0.5% in midday trading, and up 5.46% on a year-to-date basis. Macerich Co , meanwhile, is down 7.84% year-to-date, and Essex Property Trust Inc, is down 5.89% year-to-date.
Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom:
Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Wednesday. As you can see, six sectors are up on the day, while two sectors are down.
10 ETFs With Stocks That Insiders Are Buying »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Combined, TJX and AAP make up approximately 1.7% of the underlying holdings of IYC. Within the sector, TJX Companies (Symbol: TJX) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's stand-outs, showing a gain of 8.9% and 5.0%, respectively. One ETF closely tracking Financial stocks is the Financial Select Sector SPDR ETF ( XLF ), which is up 0.5% in midday trading, and up 5.46% on a year-to-date basis.
|
Within the sector, TJX Companies (Symbol: TJX) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's stand-outs, showing a gain of 8.9% and 5.0%, respectively. Combined, TJX and AAP make up approximately 1.7% of the underlying holdings of IYC. Among large Financial stocks, Macerich Co (Symbol: MAC) and Essex Property Trust Inc (Symbol: ESS) are the most notable, showing a gain of 3.4% and 2.4%, respectively.
|
Within the sector, TJX Companies (Symbol: TJX) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's stand-outs, showing a gain of 8.9% and 5.0%, respectively. Combined, TJX and AAP make up approximately 1.7% of the underlying holdings of IYC. Among the largest ETFs , one ETF closely following services stocks is the iShares U.S. Consumer Services ETF (Symbol: IYC), which is up 0.8% on the day, and up 5.60% year-to-date.
|
Within the sector, TJX Companies (Symbol: TJX) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's stand-outs, showing a gain of 8.9% and 5.0%, respectively. Combined, TJX and AAP make up approximately 1.7% of the underlying holdings of IYC. The best performing sector as of midday Wednesday is the Services sector, up 0.9%.
|
11430.0
|
2018-02-28 00:00:00 UTC
|
AutoZone, Inc. Stock Is Out of the Zone Right Now
|
AAP
|
https://www.nasdaq.com/articles/autozone-inc-stock-out-zone-right-now-2018-02-28
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
AutoZone Inc. (NYSE: AZO ), the Memphis-based auto parts retailer, fell 11% on missed earnings Feb. 27 and took its competitors down with it. Autozone stock closed at $654.47 on Tuesday.
The company said it earned $289 million, $8.47 per share when adjusted and fully diluted , on revenues of $2.413 million. Analysts had been expecting earnings of $8.81 per share and hoping for $8.88 .
The result helped send the whole auto parts retailing category down on the day. O'Reilly Automotive Inc. (NASDAQ: ORLY ) was down 6.4%. Advance Auto Parts Inc. (NYSE: AAP ) fell 4.4%. Genuine Parts Co. (NYSE: GPC ) was down 2.4%.
10 Best Stocks to Buy and Hold Forever
AutoZone revenues of $2.41 billion, however, beat estimates, and were up 5.4% year over year. Same store sales were up 2.2%, as the company opened 40 new stores and closed just one. AutoZone currently has 6,088 stores, 5,514 of them in the U.S. and the rest in Mexico and Brazil.
Back to Basics Strategy
Along with earnings, the company announced it was selling its Interamerican Motor Corp., a distributor of parts for imported cars, to another distributor called Parts Authority , and dumping AutoAnything , an online parts retailer it bought in 2013, to Kingswood Capital Management, a private equity firm.
Some analysts were taking the action as a reason to buy Autozone stock. One cited technical reasons, calling the stock oversold. Another called for investors to buy on weakness .
AutoZone opened trading Feb. 28 at $658.40 per share, a price to earnings multiple of about 15, and a market cap of approximately $18 billion, less than twice its 2017 sales of $10.88 billion. The latest results indicate a pace of $10 billion in sales, but auto parts sell best in the spring and summer, with last year's August quarter bringing in $3.5 billion of revenue.
Auto parts are an unusually profitable area of the retail sector. AutoZone's operating margins are near 20%, its profit margins over 10%, while retailers in other areas have trouble maintaining margins of 3%.
Auto parts sales are also rising steadily, while other goods, like sporting goods and clothing, continue to fall and many stores go bankrupt. The fact that auto parts are often returned, and many buyers need help in understanding the inventory, also helps keep out online competitors such as RockAuto and may have led to the sale of AutoAnything.
With the sale of InterAmerican and AutoAnything, neither of which had been with AutoZone for more than five years, the company is going back to its original strategy of blanketing the country with small retail outlets, many in out-parcels of strip malls. The seasonality of results should continue, with the summer months, "shade tree mechanic" season, standing in for Christmas.
How Long Can Autozone Stock Continue to Grow?
Autozone stock has been managed for steady growth, with the stock price maintained through stock repurchases. This continues, as the company spent $174.9 million during the quarter buying back 227,000 shares at $769 each. The fact that shares are now $100 below that figure would seem to be a near-term opportunity, especially as sales are bound to increase as the weather warms.
For longer-term investors, however, the view should be more cautious.
6 Big Name Stocks Hedge Funds Are Selling
As more cars become electric, the number of parts they have goes down. As more cars become computerized, the ability of amateurs or even small shops to repair them goes down. Both these trends bode ill for the sector.
Where the turn comes is unknown, but it's hard to see this sector growing as it has been for another decade. Unless Autozone starts distributing its profits in the form of dividends, it's hard for me to see any long-term future in it.
Dana Blankenhorn is a financial and technology journalist. He is the author of the historical mystery romance The Reluctant Detective Travels in Time , available now at the Amazon Kindle store. Write him at danablankenhorn@gmail.comor follow him on Twitter at @danablankenhorn . As of this writing he owned no shares in companies mentioned in this article.
More From InvestorPlace
3 Robotics ETFs to Buy for Big, High-Tech Profits
10 Retirement Stocks That You Should Already Own
5 Hot Stocks With Huge Revenue Drivers Ahead
Compare Brokers
The post AutoZone, Inc. Stock Is Out of the Zone Right Now appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc. (NYSE: AAP ) fell 4.4%. With the sale of InterAmerican and AutoAnything, neither of which had been with AutoZone for more than five years, the company is going back to its original strategy of blanketing the country with small retail outlets, many in out-parcels of strip malls. The fact that shares are now $100 below that figure would seem to be a near-term opportunity, especially as sales are bound to increase as the weather warms.
|
Advance Auto Parts Inc. (NYSE: AAP ) fell 4.4%. InvestorPlace - Stock Market News, Stock Advice & Trading Tips AutoZone Inc. (NYSE: AZO ), the Memphis-based auto parts retailer, fell 11% on missed earnings Feb. 27 and took its competitors down with it. Back to Basics Strategy Along with earnings, the company announced it was selling its Interamerican Motor Corp., a distributor of parts for imported cars, to another distributor called Parts Authority , and dumping AutoAnything , an online parts retailer it bought in 2013, to Kingswood Capital Management, a private equity firm.
|
Advance Auto Parts Inc. (NYSE: AAP ) fell 4.4%. InvestorPlace - Stock Market News, Stock Advice & Trading Tips AutoZone Inc. (NYSE: AZO ), the Memphis-based auto parts retailer, fell 11% on missed earnings Feb. 27 and took its competitors down with it. Back to Basics Strategy Along with earnings, the company announced it was selling its Interamerican Motor Corp., a distributor of parts for imported cars, to another distributor called Parts Authority , and dumping AutoAnything , an online parts retailer it bought in 2013, to Kingswood Capital Management, a private equity firm.
|
Advance Auto Parts Inc. (NYSE: AAP ) fell 4.4%. InvestorPlace - Stock Market News, Stock Advice & Trading Tips AutoZone Inc. (NYSE: AZO ), the Memphis-based auto parts retailer, fell 11% on missed earnings Feb. 27 and took its competitors down with it. Same store sales were up 2.2%, as the company opened 40 new stores and closed just one.
|
11431.0
|
2018-02-27 00:00:00 UTC
|
Advance Auto Parts (AAP) On Track With Transformation Plan
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-on-track-with-transformation-plan-2018-02-27
|
nan
|
nan
|
On Feb 26, we issued an updated research report on Advance Auto Parts, Inc.AAP .
The company is progressing well with its transformation plan of cutting down needless expenses. Also, Advance Auto Parts made key investments in technology and people to boost its value proposition.
In fourth-quarter 2017, the company accrued savings from increased productivity and cost optimization. This, in turn, resulted in an elevated gross profit. In addition, the zero-based budgeting approach also kept a lid on selling, general and administrative (SG&A) expenses. In 2018, the company intends to invest more in technology, people and e-commerce platforms.
Advance Auto Parts reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. The figure, however, beat the Zacks Consensus Estimate of 65 cents. During the quarter, the company reported revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion. Revenues were 2.2% lower than the year-ago quarter.
However, price competition is a serious concern for Advance Auto Parts. It faces competition from national and regional automotive retailers. Also, the manufacturing of better quality vehicles can affect the demand for Advance Auto Parts' products.
Advance Auto Parts has outperformed the industry it belongs to over the last three months. The company's shares have rallied 27.8% over the period, compared with 11.3% gain recorded by the industry.
Advance Auto Parts carries a Zacks Rank #3 (Hold).
A few better-ranked stocks in the auto space are General Motors Company GM , Volkswagen AG VLKAY and AB Volvo VLVLY . Each of these stocks carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here .
General Motors has an expected long-term growth rate of 8.4%. In the past six months, shares of the company have gained 17%.
Volkswagen has an expected long-term growth rate of 18.7%. The shares of the company have risen 32.8% in the past six months.
AB Volvo has an expected long-term growth rate of 15%. In the past six months, shares of the company have rallied 12.6%.
Zacks Top 10 Stocks for 2018
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2018?
Last year's 2017 Zacks Top 10 Stocks portfolio produced double-digit winners, including FMC Corp. and VMware which racked up stellar gains of +67.9% and +61%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don't miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2018 today >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Volkswagen AG (VLKAY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AB Volvo (VLVLY): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
On Feb 26, we issued an updated research report on Advance Auto Parts, Inc.AAP . Click to get this free report General Motors Company (GM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AB Volvo (VLVLY): Free Stock Analysis Report To read this article on Zacks.com click here. Also, Advance Auto Parts made key investments in technology and people to boost its value proposition.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AB Volvo (VLVLY): Free Stock Analysis Report To read this article on Zacks.com click here. On Feb 26, we issued an updated research report on Advance Auto Parts, Inc.AAP . During the quarter, the company reported revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AB Volvo (VLVLY): Free Stock Analysis Report To read this article on Zacks.com click here. On Feb 26, we issued an updated research report on Advance Auto Parts, Inc.AAP . Advance Auto Parts reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter.
|
On Feb 26, we issued an updated research report on Advance Auto Parts, Inc.AAP . Click to get this free report General Motors Company (GM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AB Volvo (VLVLY): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter.
|
11432.0
|
2018-02-24 00:00:00 UTC
|
3 Under-the-Radar Stories in the Stock Market This Week
|
AAP
|
https://www.nasdaq.com/articles/3-under-radar-stories-stock-market-week-2018-02-24
|
nan
|
nan
|
If someone is trying to beat the market, they need to develop a variant perception. In order to do this, it's necessary to focus on situations or information that the consensus view is under-weighting or ignoring.
Here is some fascinating data on "value" stocks and gold, courtesy of Credit Suisse, and the notion that Advance Auto Parts, Inc. 's (NYSE: AAP) Wednesday "pop" may not reflect a longer-term shift in the business.
What's ailing "value" stocks?
The 2018 Credit Suisse Global Investment Returns Yearbook was published this week. Produced annually by academics Elroy Dimson, Paul Marsh, and Mike Staunton, who take a long-term lens to investing -- normally anathema to investment bank research publications -- the report is a cornucopia for serious fundamental investors.
This year's report devotes a chapter to "factor investing," a fashionable development in the fund management industry. Factor investing seeks out stocks that share a specific characteristic, or "factor," such as value, momentum, or low volatility. The objective is to outperform the broad market, so factor investing funds are sometimes referred to as "smart beta" or "enhanced beta" products (beta is a term from academic finance that refers to the market return).
"Value" -- stocks with a low price-to-earnings or price-to-book multiple -- has been a winning strategy over the long term, with low price-to-book multiple stocks returning 13% on an annualized basis, between 1926 and 2017 -- a 3.5 percentage point advantage over the broad market. However, as Dimson, Staunton, and Marsh point out, the last few years have not been kind to value, which has lagged the market (not to mention growth stocks) by a wide margin:
VOOG Total Return Price data by YCharts
It's not difficult to find the source of that under-performance -- just compare the top 10 holdings in the Vanguard S&P 500 Value ETF (NYSEMKT: VOOV) against those of the regular Vanguard S&P 500 ETF (NYSEMKT: VOO) , for example. Missing from the first list are Apple Inc. , Alphabet Inc , Amazon.com, Inc. and Facebook Inc -- four of the five "FAANGs," which have put up stunning returns over the past several years:
FB data by YCharts
Value's under-performance makes one wonder if its return is coming. Is it time for investors bet on value stocks?
I'm a believer in mean reversion in financial markets, so I think value stocks will gets their day in the sun again, but there are a number of problems with such a bet. First, I'm concerned about the overweighting in consumer staples shares in smart beta value funds, due to a phenomenon I've mentioned here .
Second, as Michael Mauboussin, the director of research at BlueMountain Capital Management and a Motley Fool favorite , pointed out in an interview recently , people conflate value investing with the idea of buying statistically cheap (i.e., low multiple) stocks, which can produce two errors:
If someone is going to make what amounts to an active bet by buying something other than broad market indexes, why not make the effort to analyze stocks bottom-up, as ownership interests in a business. Most investors won't overcome the hurdles of time and expertise (and interest level) required. However, for those who do, thinking about specific businesses seems a lot more interesting (and is potentially much more lucrative) than just focusing on "cheap" stocks.
Gold/precious metals: The cost of insurance
For several years, I've warned investors that while gold has kept up with inflation over ultra-long time periods, it's much too volatile to be considered a store of value for any practical purpose. The Credit Suisse Returns Yearbook provides some illuminating data in this regard.
Gold did keep up with inflation between 1900 and 2017, with an annualized real return of 0.7%, but that's lower than bonds (2%-plus) or cash (Treasury bills, at 0.8%-plus).
One chart shows that gold also under-performed global equities (5.2%-plus), while simultaneously exhibiting greater volatility (so did silver and platinum).
(For reference, U.S. stocks produced an annualized real return of 6.5% over the same period.)
Lower returns and higher volatility? That's not an attractive combination.
Let me restate those facts so that they may sink in: Over a 118-year stretch, gold has under-performed cash, while subjecting investors to volatility that is higher even than stocks'. When someone buys gold, they're getting a very expensive insurance policy against inflation and deflation. There are better hedges against these phenomena -- high-quality stocks, for example. And speaking of stocks...
Advance Auto Parts: A hard steering change
Advance Auto Parts, Inc. was the best-performing stock in the S&P 500 on Wednesday, up 8.2%, after the auto parts retailer reported better-than-expected fourth-quarter results. That begs the question of how this is one of the most under-the-radar stories this week.
Let me be clear: Wednesday's revaluation may be appropriate in the context of stocks' average holding period (less than two years), but, for a patient investor, there is more to the story.
Advance Auto Parts' problem is that of the entire traditional retail sector is in a world that appears increasingly to belong to Amazon.com . Nevertheless, not all retailers are reacting with the same hard-nosed realism to their quagmire... err, situation.
Barron's ' Alex Eule highlighted some comments from the earnings call that show that this retailer has taken the measure of the threat and is acting accordingly. CEO Thomas Greco told investors and analysts that management has "tried to align our entire organization around the online offering so that we're actually compensating our general managers for buy online/pick up in store, and buy online/ship to home."
Many retailers have proven incapable of changing their thinking that way and while that shift doesn't guarantee success, it's worth noting that, even following Wednesday's bump, the stock remains the worst-performing of its mid-/large-capitalization peer group over the past three years. There may be more under Advance Auto Parts' hood than investors are giving the stock credit for.
(Still, at a forward price-to-earnings multiple of 16.7 -- just below Advance Auto Parts' 17 times -- I prefer alternative and specialty auto parts supplierLKQ Corporation (NASDAQ: LKQ) .)
Quote of the week
10 stocks we like better than Advance Auto Parts
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now… and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 5, 2018
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Alex Dumortier, CFA has no position in any of the stocks mentioned, nor in any cryptocurrencies mentioned. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), Amazon, Apple, Facebook, and LKQ. The Motley Fool has the following options: long January 2020 $150 calls on Apple, short January 2020 $155 calls on Apple, short March 2018 $200 calls on Facebook, and long March 2018 $170 puts on Facebook. The Motley Fool has no position in any cryptocurrencies mentioned. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Here is some fascinating data on "value" stocks and gold, courtesy of Credit Suisse, and the notion that Advance Auto Parts, Inc. 's (NYSE: AAP) Wednesday "pop" may not reflect a longer-term shift in the business. Second, as Michael Mauboussin, the director of research at BlueMountain Capital Management and a Motley Fool favorite , pointed out in an interview recently , people conflate value investing with the idea of buying statistically cheap (i.e., low multiple) stocks, which can produce two errors: If someone is going to make what amounts to an active bet by buying something other than broad market indexes, why not make the effort to analyze stocks bottom-up, as ownership interests in a business. Many retailers have proven incapable of changing their thinking that way and while that shift doesn't guarantee success, it's worth noting that, even following Wednesday's bump, the stock remains the worst-performing of its mid-/large-capitalization peer group over the past three years.
|
Here is some fascinating data on "value" stocks and gold, courtesy of Credit Suisse, and the notion that Advance Auto Parts, Inc. 's (NYSE: AAP) Wednesday "pop" may not reflect a longer-term shift in the business. The objective is to outperform the broad market, so factor investing funds are sometimes referred to as "smart beta" or "enhanced beta" products (beta is a term from academic finance that refers to the market return). The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), Amazon, Apple, Facebook, and LKQ.
|
Here is some fascinating data on "value" stocks and gold, courtesy of Credit Suisse, and the notion that Advance Auto Parts, Inc. 's (NYSE: AAP) Wednesday "pop" may not reflect a longer-term shift in the business. "Value" -- stocks with a low price-to-earnings or price-to-book multiple -- has been a winning strategy over the long term, with low price-to-book multiple stocks returning 13% on an annualized basis, between 1926 and 2017 -- a 3.5 percentage point advantage over the broad market. Second, as Michael Mauboussin, the director of research at BlueMountain Capital Management and a Motley Fool favorite , pointed out in an interview recently , people conflate value investing with the idea of buying statistically cheap (i.e., low multiple) stocks, which can produce two errors: If someone is going to make what amounts to an active bet by buying something other than broad market indexes, why not make the effort to analyze stocks bottom-up, as ownership interests in a business.
|
Here is some fascinating data on "value" stocks and gold, courtesy of Credit Suisse, and the notion that Advance Auto Parts, Inc. 's (NYSE: AAP) Wednesday "pop" may not reflect a longer-term shift in the business. In order to do this, it's necessary to focus on situations or information that the consensus view is under-weighting or ignoring. Is it time for investors bet on value stocks?
|
11433.0
|
2018-02-22 00:00:00 UTC
|
Advance Auto Parts (AAP) Looks Good: Stock Adds 8.2% in Session
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-looks-good%3A-stock-adds-8.2-in-session-2018-02-22
|
nan
|
nan
|
Advance Auto Parts, Inc.AAP was a big mover last session, as the company saw its shares rise more than 8% on the day. The move came on solid volume too with far more shares changing hands than in a normal session. This reverses the recent trend for the company-as the stock is now down 2.6% in the past one-month time frame.
The move came after the company reported better-than-expected fourth-quarter 2017 results.
The company has seen a mixed track record when it comes to estimate revision of one increase and two decreases over the past few weeks, while the Zacks Consensus Estimate for the current quarter remained unchanged. The recent price action is encouraging though, so make sure to keep a close watch on this firm in the near future.
Advance Auto Parts currently has a Zacks Rank #2 (Buy) while its Earnings ESP is negative.
Advance Auto Parts, Inc. Price
Advance Auto Parts, Inc. Price | Advance Auto Parts, Inc. Quote
Investors interested in the gaming industry may consider AutoZone, Inc. AZO , which has a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Is AAP going up? Or down? Predict to see what others think: Up or Down
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc.AAP was a big mover last session, as the company saw its shares rise more than 8% on the day. Is AAP going up? Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report To read this article on Zacks.com click here.
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP was a big mover last session, as the company saw its shares rise more than 8% on the day. Is AAP going up?
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP was a big mover last session, as the company saw its shares rise more than 8% on the day. Is AAP going up?
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP was a big mover last session, as the company saw its shares rise more than 8% on the day. Is AAP going up?
|
11434.0
|
2018-02-22 00:00:00 UTC
|
Auto Stock Roundup: AAP, GPC Beat on Earnings, CTB Misses, GM, THO in Focus
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-aap-gpc-beat-on-earnings-ctb-misses-gm-tho-in-focus-2018-02-22
|
nan
|
nan
|
The earnings for the quarter ending Dec 31, 2017 has seen releases from auto companies like Cooper Tire & Rubber Co. CTB , Genuine Parts Company GPC and Advance Auto Parts, Inc. AAP last week. Both the quarterly earnings and revenues for Genuine Parts Company and Advance Auto Parts surpassed the Zacks Consensus Estimates, while Cooper Tire & Rubber missed the same. On the basis of year-over-year performance also, both earnings and revenues came in higher for Genuine Parts Company and lower for Advance Auto Parts.
Earnings apart, General Motors Company GM presented a plan to invest $2.8 billion over a period of 10 years to restructure its ailing South Korean operations. In a separate development, Thor Industries, Inc. THO announced the creation of a 50/50 joint venture ("JV") with New Zealand-based Tourism Holdings, Ltd. The collaboration is expected to provide maximum benefits of digital connectivity in the fast-growing international marketplace.
(Read the previous roundup here: Auto Stock Roundup for Feb 15, 2018 )
Recap of the Week's Most Important Stories
1. Thor, the leading manufacturer of RVs, announced the creation of a 50/50 JV with New Zealand-based Tourism Holdings. The company expects that the collaboration with the world's largest RV rental and sales operator will provide maximum benefits of digital connectivity in the fast-growing international marketplace.
Notably, Thor strives at raising market share through investments in innovative products. Given its robust financial position and advantages that it obtained from U.S. tax reform legislation, the company is likely to invest in new exciting areas. Further, the company constantly evaluates investment opportunities, aimed at lowering debt and returning more to investors. The new JV is in sync with its strategic plans.
Thor will initially invest around $50 million in the JV called TH2. Subject to the fulfillment of certain customary closing conditions, the JV is anticipated to close by the end of February 2018.
It is estimated that TH2 will considerably increase the enjoyment and safety of RV-users through digital connectivity. This will perk up every aspect of RV with functions like trip planning and booking, roadside assistance, remote systems monitoring, campsite rental and peer-to-peer RV. Manufacturers, rental operators and RV dealers, who utilize TH2's services and products, will experience enhanced efficiencies with respect to product pricing, fleet management and service engagement. (Read more: Thor Announces Joint Venture With Tourism Holdings )
Thor carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
2. Per Reuters, General Motors has presented a plan to invest $2.8 billion over a period of 10 years to restructure its stressed South Korean operations. Additionally, the company has requested the South Korean government to inject funds for the investment through its state-run Korea Development Bank ("KDB"), which already holds a 17% stake in GM Korea.
The proposal is in addition to the company's offer to convert around $2.2 billion of debt into equity, owed by its Korean operations, in exchange for financial support and tax benefits from the government.
These initiatives, to revive GM Korea, initiated after the Detroit-based automaker announced last week that it will shut down one of its four plants in South Korea as part of the restructuring of business in Asia. (Read more: General Motors Plans to Invest $2.8B in South Korea )
Thor carries a Zacks Rank #2 (Buy).
3. Advance Auto Parts reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), lower than $1 in the prior-year quarter. However, the figure surpassed the Zacks Consensus Estimate of 65 cents. Adjusted operating income declined to $113.7 million from $125.6 million in the fourth quarter of fiscal 2016.
The company reported revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion. Revenues were 2.2% lower than the year-ago quarter. During the quarter, comparable store sales were down 2.6% year over year.
Gross profit declined to $873.6 million in the reported quarter from $907.6 million a year ago. Gross margin declined 69 basis points year over year to 42.9%.
Adjusted selling, general and administrative (SG&A) expenses totaled $759.9 million or 37.3% of sales compared with $781.9 million or 37.5% of sales in the year-ago period.
In 2017, earnings came in at $5.37, lower than the 2016 figure of $7.15 per share. In 2017, total revenues also decreased to $9.37 billion from $9.57 billion in 2016. (Read more: Advance Auto Parts Q4 Earnings Top Estimates, Down Y/Y )
Advance Auto Parts carries a Zacks Rank #2.
4. Cooper Tire & Rubber reported adjusted earnings of 50 cents per share in the fourth quarter of 2017, missing the Zacks Consensus Estimate of 62 cents.
Cooper Tire registered net sales of $757 million, missing the Zacks Consensus Estimate of $770 million in comparison with the year-ago revenues of $784 million.
Operating profit was $47 million in the fourth quarter of 2017, down 55.4% from the year-ago quarter.
Americas Tire Operations registered a decrease of 7.1% in net sales to $645 million. Operating profit in this segment declined 47.8% to $61 million while operating margin decreased from 16.8% to 9.4%.
International Tire Operations recorded a rise of 30.5% in revenues to $162 million. Operating profit came in at $6 million, increasing from $1 million in the year-ago quarter. Operating margin rose to 3.7% from 1.1% in the year-ago quarter. (Read more: Cooper Tire's Q4 Earnings, Revenues Miss Estimates )
Cooper Tire & Rubber carries a Zacks Rank #2.
5. Genuine Parts Company reported adjusted earnings of $1.12 per share, beating the Zacks Consensus Estimate of $1.11. Adjusted earnings per share in the year-ago quarter were $1.02.
The company recorded net income of $108.2 million in fourth-quarter 2017, down from $152.5 million in the prior-year quarter.
Genuine Parts reported net sales of $4.21 billion, up 11.3% year over year. The figure also surpassed the Zacks Consensus Estimate of $4.09 billion. Alliance Automotive Group (AAG), which was acquired in November 2017, contributed 6.8% in the sales figure.
Operating profit increased to $313.3 million from $276.3 million in fourth-quarter 2016. Selling, administrative and other expenses rose to $1 billion from $856 million a year ago. (Read more: Genuine Parts Q4 Earnings Beat Estimates, Up Y/Y )
Genuine Parts has a Zacks Rank #2.
Performance
Last week, maximum increase was registered by Advance Auto Parts while sharpest decline was witnessed by Harley-Davidson, Inc. HOG .
In the last six months, the maximum rise was recorded by AutoZone, Inc. AZO while Harley-Davidson shares declined the most.
What's Next in the Auto Space?
Watch out for the earnings releases and other developments in the sector in the coming days.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
Genuine Parts Company (GPC): Free Stock Analysis Report
Thor Industries, Inc. (THO): Free Stock Analysis Report
Harley-Davidson, Inc. (HOG): Free Stock Analysis Report
Cooper Tire & Rubber Company (CTB): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
The earnings for the quarter ending Dec 31, 2017 has seen releases from auto companies like Cooper Tire & Rubber Co. CTB , Genuine Parts Company GPC and Advance Auto Parts, Inc. AAP last week. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report Cooper Tire & Rubber Company (CTB): Free Stock Analysis Report To read this article on Zacks.com click here. Earnings apart, General Motors Company GM presented a plan to invest $2.8 billion over a period of 10 years to restructure its ailing South Korean operations.
|
The earnings for the quarter ending Dec 31, 2017 has seen releases from auto companies like Cooper Tire & Rubber Co. CTB , Genuine Parts Company GPC and Advance Auto Parts, Inc. AAP last week. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report Cooper Tire & Rubber Company (CTB): Free Stock Analysis Report To read this article on Zacks.com click here. Both the quarterly earnings and revenues for Genuine Parts Company and Advance Auto Parts surpassed the Zacks Consensus Estimates, while Cooper Tire & Rubber missed the same.
|
The earnings for the quarter ending Dec 31, 2017 has seen releases from auto companies like Cooper Tire & Rubber Co. CTB , Genuine Parts Company GPC and Advance Auto Parts, Inc. AAP last week. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report Cooper Tire & Rubber Company (CTB): Free Stock Analysis Report To read this article on Zacks.com click here. Both the quarterly earnings and revenues for Genuine Parts Company and Advance Auto Parts surpassed the Zacks Consensus Estimates, while Cooper Tire & Rubber missed the same.
|
The earnings for the quarter ending Dec 31, 2017 has seen releases from auto companies like Cooper Tire & Rubber Co. CTB , Genuine Parts Company GPC and Advance Auto Parts, Inc. AAP last week. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report AutoZone, Inc. (AZO): Free Stock Analysis Report Genuine Parts Company (GPC): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Harley-Davidson, Inc. (HOG): Free Stock Analysis Report Cooper Tire & Rubber Company (CTB): Free Stock Analysis Report To read this article on Zacks.com click here. (Read more: General Motors Plans to Invest $2.8B in South Korea ) Thor carries a Zacks Rank #2 (Buy).
|
11435.0
|
2018-02-21 00:00:00 UTC
|
Consumer Sector Update for 02/21/2018: RCII,WWW,AAP,RUTH
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-02212018-rciiwwwaapruth-2018-02-21
|
nan
|
nan
|
Top Consumer Stocks
WMT -2.00%
MCD +1.74%
DIS +0.14%
CVS -1.69%
KO -0.66%
Consumer stocks were endly widely mixed Wednesday, with shares of consumer staples companies in the S&P 500 sinking more than 0.4% this afternoon while shares of consumer discretionary firms in the S&P 500 were rising more than 0.7% in recent trade.
In industry news:
Same store sales at the 20 largest retail chains rose 3.7% during the week ended Feb. 17 compared with the same week last year, the strongest reading since Jan. 20 and adding 0.9 percentage points to the prior week's pace of growth. On a month-over-month basis, sales last week were again down 0.7% although the rate of decline slowed by 0.4 percentage points from the prior week. Month-to-date same-store sales were up 3.2% over the first three weeks of February 2016.
Among consumer stocks moving on news:
- Rent-A-Center ( RCII ) slumped Wednesday, dropping more than 10% to a session low of $8.01 a share, after the specialty retailer reported a wider-than-expected Q4 net loss as well as sale for the three months ended Dec. 31 trailing Wall Street expectations. The company recorded a net loss of $0.41 per share for the October-to-December reporting period, expanding on a $0.23 per share loss last year and also missing the Capital IQ consensus expecting a $0.07 per share quarterly loss. Total revenue fell to $639.0 million from $684.1 million in the year-ago quarter, also lagging the $654.6 million Street view. The company also disclosed a new strategic program targeting several improvement goals, including a significant cost-reduction plan and a more targeted value proposition aiming to increase traffic along with more competitive pricing and a new refranchising program.
In other sector news:
+ Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Excluding one-time items, it earned $0.77 per share compared with $1.00 per share during the year-ago period and beating the Capital IQ consensus by $0.12 per share. Total revenue grew to $2.04 billion from $2.08 billion last year, also exceeding the $2.02 billion Street view. Same-store sale slid 2.6% from year-ago levels, or less than the 3.8% decline analysts were modelling but also reversing a 3.1% increase during the final three months of 2016. The company also is expecting FY18 net sales in a range of $9.1 billion to $9.4 billion, trailing the $9.55 billion analyst mean. Same-store sales are seen falling between 2% to 0% compared with FY18..
+ Ruth's Hospitality Group ( RUTH ) was moderately higher Wednesday afternoon following the restaurant chain reporting adjusted Q4 net income of $0.44 per share, up from $0.31 during the same quarter last year and topping analyst projections by $0.05 per share. Revenue rose to $124.1 million in the quarter from $107.6 million during year-ago levels, also edging past the $123.4 million consenus.
- Wolverine World Wide ( WWW ) was getting stomped Wednesday, although shares of the footwear and branded apparel company have more than halved a prior 6% decline to a session low of $28.91 a share, that followed it reporting below-consensus Q4 sales. Net sales fell to $578.6 million from $829.6 million during the same quarter last year and missing the Capital IQ consensus expecting $579.9 million in sales for the three months ended Dec. 30. Excluding one-time items, the company also earned $0.41, up from adjusted profit of $0.34 per share during the year-ago period and matching analyst estimates. Looking ahead to FY18, Wolverine is projecting adjusted per-share earnings in a range of EPS of $1.95 to $2.05, boosting the top end of its prior outlook by 25% and straddling the $2.01 per share Street view.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Among consumer stocks moving on news: - Rent-A-Center ( RCII ) slumped Wednesday, dropping more than 10% to a session low of $8.01 a share, after the specialty retailer reported a wider-than-expected Q4 net loss as well as sale for the three months ended Dec. 31 trailing Wall Street expectations. Looking ahead to FY18, Wolverine is projecting adjusted per-share earnings in a range of EPS of $1.95 to $2.05, boosting the top end of its prior outlook by 25% and straddling the $2.01 per share Street view.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. The company recorded a net loss of $0.41 per share for the October-to-December reporting period, expanding on a $0.23 per share loss last year and also missing the Capital IQ consensus expecting a $0.07 per share quarterly loss. Excluding one-time items, it earned $0.77 per share compared with $1.00 per share during the year-ago period and beating the Capital IQ consensus by $0.12 per share.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. The company recorded a net loss of $0.41 per share for the October-to-December reporting period, expanding on a $0.23 per share loss last year and also missing the Capital IQ consensus expecting a $0.07 per share quarterly loss. Same-store sales are seen falling between 2% to 0% compared with FY18.. + Ruth's Hospitality Group ( RUTH ) was moderately higher Wednesday afternoon following the restaurant chain reporting adjusted Q4 net income of $0.44 per share, up from $0.31 during the same quarter last year and topping analyst projections by $0.05 per share.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Month-to-date same-store sales were up 3.2% over the first three weeks of February 2016. Among consumer stocks moving on news: - Rent-A-Center ( RCII ) slumped Wednesday, dropping more than 10% to a session low of $8.01 a share, after the specialty retailer reported a wider-than-expected Q4 net loss as well as sale for the three months ended Dec. 31 trailing Wall Street expectations.
|
11436.0
|
2018-02-21 00:00:00 UTC
|
Advance Auto Parts Inc (AAP) Q4 2017 Earnings Conference Call Transcript
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-inc-aap-q4-2017-earnings-conference-call-transcript-2018-02-21
|
nan
|
nan
|
Advance Auto Parts Inc. (NYSE: AAP)
Q4 2017 Earnings Conference Call
Feb. 21, 2018, 8:00 a.m. ET
Contents:
Prepared Remarks
Questions and Answers
Call Participants
Prepared Remarks:
Operator
Welcome to the Advance Auto Parts Fourth Quarter 2017 Conference Call. Before we begin, Elisabeth Eisleben will make a brief statement concerning forward-looking statements that will be made on this call.
Elisabeth Eisleben -- Director of Investor Relations
Good morning and thank you for joining us on today's call to discuss our fourth quarter and full-year 2017 results. I'm joined this morning by Tom Greco, our President and Chief Executive Officer, Tom Okray, our Executive Vice President and Chief Financial Officer, Bob Cushing, our Executive Vice President of Professional, Mike Broderick, our Executive Vice President, Merchandising, Inventory, Replenishment, and Store Operations, and Prabhakar Vaidyanathan, our Vice President, Treasury and Investor Relations. Following their prepared remarks, we will turn our attention to answering your questions.
Before we begin, be advised that our comments today may include statements that are not historical fact and may be deemed forward-looking statements as defined by the SEC's Private Securities Litigation Reform Act of 1995. While actual results may differ materially from those projected in such statements due to a number of risks and uncertainties, which are described in the company's filings with the Securities and Exchange Commission and on our website, we maintain no duty to update forward-looking statements made. Additionally, our comments today include certain non-GAAP financial measures. Please refer to our quarterly press release and accompanying financial statements issued today for important information and additional details regarding both the forward-looking statements and the reconciliation of non-GAAP financial measures referenced in today's call.
10 stocks we like better than Advance Auto Parts
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 5, 2018
The content of this earnings call will be governed by the information contained in our earnings press release and related financial statements. Now let me turn the call over to Tom Greco.
Thomas Greco -- President and Chief Executive Officer
Thanks, Elizabeth, and good morning everyone. I'll begin my remarks by thanking the entire AAP team and network of Carquest independents for their unrelenting focus throughout the first full year of our five-year plan. In 2017, we implemented important building blocks to capture the substantial opportunity ahead. In doing so, we made progress against our long-term strategic objectives amid a challenging environment for the industry. In addition, we narrowed the competitive growth gap on a full-year basis and delivered significant cash flow improvement. Specifically, total revenue is down 2.2% and comp sales were down 2.6% in Q4. While we're far from happy with this sales outcome, it was ahead of our guidance, which considered the difficult comparison of our positive 3.1% comp in Q4 2016.
Our top-line performance was the result of improving execution throughout the quarter and a better than expected December, resulting in a two-year stack of positive 0.5% in the quarter. Our adjusted operating income margin was 5.6% and our adjusted earnings per share was $0.77. Rounding out the financials, our continued focus on working capital resulted in free cash flow growth of 56% on a full-year basis to $411 million. Our cash position is the best it's been since the 2014 acquisition. Throughout 2017 we put the foundation in place to enable our transformation. Delighting our customers and empowering our frontline team members remained at the center of everything we do, which will ultimately drive market share gains and significant margin expansion.
In terms of sales in the fourth quarter, we continued to see top-line strength in certain businesses and regions. The roll pack business achieved top-line growth above the industry average and our Canadian business continued to perform very well. In both corporate and independent U.S. stores, our one- and two-year stack performance improved compared to Q3. From a category perspective, we saw above-average growth in battery sales as well as increased demand for wipers and lighting. These improvements were partially offset by softness in undercar and cooling categories. We expect these trends to carry forward into the first quarter of the year, as the first quarter has started off with colder weather in key geographies, driving winter-related demand.
Turning to the bottom line in Q4, we realized savings from productivity, including material cost optimization, which benefited gross profit. In addition, we saw positive impacts from zero-based budgeting within SG&A as we delivered cost savings and lower third party fees compared to the previous year. Finally, we remain laser focused on cash flow and reduced inventory for the third consecutive quarter by $51 million in Q4, with a total reduction of $157 million in 2017. Tom Okray will elaborate further on our financial performance shortly.
While we're pleased we closed Q4 by exceeding our guidance across the board, we fully recognize a great deal of work remains to fully capture the tremendous opportunity ahead. Now I'd like to review the transformation actions we took in 2017 and what you can expect from these initiatives in 2018.
Throughout 2017, we made important investments to strengthen our core value proposition. We made investments in the customer and in technology. We also made investments in our people, investments in our frontline team members, as well as team members in our customer support center. We're confident that the investments we made last year set us up for long-term growth.
A major accomplishment we announced late in Q4 was a strategic partnership with Interstate Batteries, the undisputed market leader in batteries for professional installers. In terms of DIY, AAP will be the only retailer in the nation carrying a complete lineup of Interstate Batteries in-store and online. This unique partnership creates a powerful combination of Interstate's R&D and brand recognition with our substantial fulfillment capabilities combined with our store and frontline assets. The Interstate relationship reinforces the importance of brands and suppliers to our transformation. We want to provide the very best, market-leading brands at great prices. In addition, our supplier base is critical to our success. We continue to work closely with our highly valued suppliers to find additional partnerships that drive benefits for both parties.
Moving to an update on key initiatives within our long-term plan, I'll start with Professional. In Q4, we continued our availability transformation rollout and ended the year with roughly 1,000 stores completed. We're also implementing other proven initiatives to enhance our professional value proposition in all stores. This includes cross banner visibility, a critical step in increasing availability, which is expected to be complete in Q1. As a reminder, we believe AAP has the strongest lineup of professional brands in the market and cross banner visibility enables both professional customers and all Advance, Carquest, and Worldpac team members to see a broader range of inventory across the enterprise and place their order from one platform. The ability to see the entire inventory and portfolio of brands available in market regardless of banner enables us to serve customers faster and more efficiently. Most importantly, it enables us to say "yes" more often.
Related to cross banner, we implemented Advance Pro, our e-commerce engine for professional customers in approximately 12,000 professional customers in 2017, including 4,000 converted in the fourth quarter. Advance Pro allows our professional customers to fully access our common catalog and we plan to double the number of customers utilizing this platform in 2018.
In terms of DIY, we're improving the in-store experience for our customers. Our team members are now leveraging a standardized approach to customer engagement and selling. We're providing increased training to frontline team members, enabling better execution. In addition, we continue to improve the quality of our online experience through the launch of our new website in mid-2017. We added to our online SKU assortment, made search much easier, and are providing a faster and more frictionless online experience. As a result of our omni-channel focus, our DIY performance strengthened in Q4 and we exited 2017 with momentum in DIY.
Next, we've been working on strengthening and streamlining our supply chain from end to end. Our first priority is to improve baseline execution. We remain focused on a limited number of KPIs in our supply chain. While we've made progress on fill rate, close rate, and store in-stock rate, significant upside remains. In 2018, we expect to see further improvements in each of these metrics, along with order-to-delivery time and consistency, safety, and cost. We'll also begin moving forward in 2018 with our longer term supply chain transformation roadmap. We're taking the necessary steps to validate key elements of our plans this year with meaningful benefits to come in the future.
In terms of optimization, our supply chain can be streamlined to better meet the future needs of our customers. Our supply chain strategy is about differentiation, improving the customer experience, and structural cost reduction. The three key elements of our strategy include: 1.) a market by market approach to drive share, 2.) the repurposing of our in-market store and asset base, and 3.) the optimization of our distribution centers.
In the future, we anticipate markets across North America will have significant differences in how customers shop for auto parts, requiring a market by market approach to drive share. Some of the variables we consider include the outlook for professional versus DIY, online versus in-store sales, and buy online, ship to home versus buy online, pickup in store. To optimize our in-market store base, we've also evaluated the entirety of our assets market by market. This includes Advance stores, Advance hubs, Advance super hubs, Carquest corporate and independent stores, Autopart International stores, and Worldpac branches. Our goal is to strengthen our customer value proposition while simplifying our current asset basis.
In some DMAs, we see opportunities to reduce our store base where we have underperforming stores. While stores remain very important to our long-term success, when you have more than 5,000, not all stores have the potential to perform at the level we expect. In those situations, we're adopting a very surgical approach to reducing our store base. Bottom line, we will close stores when it's clear the decision will drive long-term cash flow. We're approaching store closures very differently than we have in the past. This includes a much more robust process to transfer sales to other AAP outlets and, most importantly, an approach that ensures we retain our top-performing team members.
In some markets across North America, our store presence is limited. In these markets, we intend to accelerate Worldpac branch openings to drive professional growth while investing in marketing, online, and digital to drive DIY. Regardless of the inherent differences in each market, our objective is consistent: strengthen our customer value proposition and gain market share.
In terms of distribution centers, we currently have 54 across North America. In many cases, we ship parts from multiple DCs to the same city, demonstrating there's a significant productivity opportunity. Our plans to optimize the AAP DC network include some initiatives that are relatively easy to implement. Others are more difficult, requiring technology unlocks currently in progress. We begin this journey in 2018, capturing some early wins while testing a more comprehensive solution with the potential to significantly improve in-market availability and substantially reduce costs.
When we say streamline our supply chain from end to end, we'll bring each of these three initiatives together: 1.) a market expansion strategy that puts the customer first and considers the future shape of demand and our existing asset base market by market, 2.) an in-market network that optimizes stores to drive ROIC and free cash flow, and 3.) a DC network that is integrated and better leveraged at end-state.
Allow me to briefly touch on new stores. Given our underperformance in company owned Advance and Carquest stores over the past few years, we see an opportunity to improve execution through increased focus. As a result, we don't want to distract our field leaders with new stores until we grow the comp sales of existing stores. This is not to say we won't open new Advance and Carquest stores in the future. It simply says we're laser focused on execution in existing stores and strengthening the Advance and Carquest brands. Once we're growing comp sales in existing Advance and Carquest owned stores, we will open new stores again.
Most importantly, we remain focused on growth, gaining market share, and driving improved performance. We're making growth-related investments in 2018. In terms of CAPEX, we're investing in technology and additional Worldpac branches. In terms of OPEX, we're continuing to invest in online, digital, and our frontline team members to drive growth. And as I mentioned, we're bringing Interstate Batteries to our stores where we will be the only nationwide retailer with the extensive Interstate lineup available.
In summary, we're pleased with how we finished 2017. In 2018, we expect to further narrow the competitive growth gap and deliver margin expansion. We remain focused on cash and our inventory optimization efforts. We're highly confident 2018 will be a year of improved performance. With that, I'll turn it over to Tom Okray for a review of our financials and 2018 outlook.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Thanks, Tom, and good morning everyone. I will begin with the operational performance of the business and specific impacts on our margin result. In the fourth quarter, gross profit was $874 million. On a rate basis, our gross profit margin of 42.9% was 69 basis points than the prior year quarter of 43.6%. The primary driver of our gross margin contraction was increased supply chain costs which reduced our margins by 89 basis points.
While the biggest driver of our increased supply chain costs was the result of new DCs which were approved prior to the commencement of our end-to-end supply chain work, we also have an execution opportunity here, as Tom mentioned. In addition, the non-cash impact of our inventory optimization efforts negatively impacted our gross margin by 20 basis points. These increased costs were partially offset by continued material cost improvement and a reduction in defectives which, combined, improved 42 basis points compared to the fourth quarter of 2016.
Adjusted SG&A was $760 million in Q4, a decrease of $22 million as compared to the prior year fourth quarter. This was $38 million lower versus our adjusted SG&A in the second quarter of 2017, exceeding our objective of lowering adjusted SG&A by $25 million versus the second quarter of 2017. As a percentage of net sales, our fourth quarter adjusted SG&A improved 24 basis points from 37.5% to 37.3%. Continued progress in expense management during the quarter, including labor, third party fee reductions, and other improvements in utility, maintenance, and repair costs, were partially offset by higher medical costs and insurance.
Turning to adjusted operating income, we delivered adjusted operating income of $114 million in the fourth quarter and adjusted operating margins of 5.6%, 45 basis points lower than the prior year, which were impacted by the gross profit and adjusted SG&A levers we described above.
The impact of the tax reform signed into law in December will have a significant impact on our income and effective tax rates. As a result of changes in the law that reduces the federal corporate tax rate from 35% to 21%, we were required to revalue our deferred tax liabilities in Q4 at the new lower rate of 21%. This drove a one-time, non-cash tax benefit of $144 million and was the primary driver of our fourth quarter effective tax rate, which is a benefit of approximately 149%, or $1.94 increase to our diluted EPS. Due to the one-time nature of the non-cash tax benefit, we excluded this impact in our adjusted net income and EPS calculations. In 2017, our effective tax rate with tax reform was 8.6%. In 2018, we expect our income tax rate to be between 24% and 26%.
Turning to cash flow, and to echo what Tom discussed earlier, we are very pleased with the strength of our free cash flow in 2017. Our full-year 2017 free cash flow was $411 million, a 56% increase as compared to prior year. We have put a tremendous amount of focus into managing our cash that simply did not exist in the past. This includes new working capital management and CAPEX policies implemented over the past 12 months. We will be relentless on selecting profitable investments, protecting the long-term health and viability of the company, and maximizing the returns to the business.
Now I'd like to wrap up our discussion with an overview of our expectations for 2018. With respect to Q1, we expect to deliver OI margin expansion, both as compared to Q4 and on a year-over-year basis. Based on the current trends we are seeing across our business, we estimate flat to 25 basis points of adjusted OI margin improvement for the first quarter compared to the same quarter in the prior year.
For the 2018 full year, we expect to deliver net sales of $9.1 billion to $9.4 billion, with comparable store sales in the range of -0.2% to 0%. We expect adjusted operating margins to increase between 0 to 50 basis points for the year. We estimate our 2018 capital spending will be $200 million to $250 million. Leveraging our efficient deployment of capital allows us to maintain our historical level of capital spending while increasing our investment in technology, e-commerce, and our people. In line with our continuing transformation agenda, we estimate integration and transformation expenses of $140 million to $180 million in 2018. The increase versus the prior year is primarily related to optimizing our supply chain footprint.
Following the December 2017 tax reform, we estimate an effective tax rate between 24% and 26% in 2018. Further, we estimate this change will result in $70 million of incremental cash flow and increase EPS by $0.90. This incremental cash flow from the tax reform provides additional operating flexibility. However, it did not change our investment strategy or annual operating plan that was finalized in November, ahead of the passage of tax reform. Our 2018 plan includes increases in technology and e-commerce in addition to continued investment in our people.
We remain focused on delivering free cash flow and expect to deliver at least $400 million of free cash flow in 2018. The primary drivers of the $400 million, when compared to our fiscal year '17 free cash flow result, are incremental cash flow related to the lower tax rate and continued improvement in working capital, offset by higher capital spending, expenses related to our supply chain footprint optimization, and the 2017 non-recurring benefits related to the sale of our aircraft end vehicles.
In summary, we are pleased with the traction and positive momentum we achieved this past year but want to be very clear. We still have a lot of work ahead of us. Our entire team continues to work hard every day to drive further improvements and we are confident that we will deliver against our 2018 objectives. We remain optimistic about the opportunities ahead and look forward to discussing our continued progress throughout the year. With that, let's open it up to addressing your questions. Operator?
Questions and Answers:
Operator
Thank you, sir. Ladies and gentlemen, at this time, if you would like to ask a question over the phone lines, please press "*" and then "1" on your telephone keypad. To everyone participating in today's question-and-answer session, we ask that you please limit yourself one question and a brief follow-up to allow everyone a chance to ask their question. If your questions have been answered or you wish to remove yourself from the queue, simply press the "#" key.
And our first question will come from the line of Seth Sigman with Credit Suisse. Your line is now open.
Seth Sigman -- Credit Suisse Securities -- Analyst
Thanks a lot. Good morning and nice to see the progress, guys. Just quickly on the DIY improvement that you cited, Tom. So I think you attribute some of that improvement to enhancements you made to the online offering. Can you elaborate on that a little bit more? Was that direct to consumer or was that by online, pickup in store? And I guess just overall, what does it tell you about the importance of online in the category?
Thomas Greco -- President and Chief Executive Officer
Well, first of all, we definitely made some progress on our website, Seth, in the back half of the year. We were focused on just improving the experience overall and making it more frictionless. So reducing page load times, reducing the number of clicks to get out. We tried to align our entire organization around the online offering so that we're actually compensating our general managers for buy online, pickup in store and buy online, ship to home. So everybody is really aligned around making the omni-channel experience better.
So we're continuing to elevate the focus of people often, over half of the time, start a search for auto parts on a mobile device. So we've just got to be out in front of that. And you're going to continue to see us make investments in technology and the omni-channel experience to drive that. And that helped our DIY business. It was one of our best quarters on DIY for a while. We did benefit, I think, a little bit from the storm-related activity that was throughout the Southeast and in Texas. You know, that drives DIY. It actually hurts professional but it drives DIY. But that was kind of the story of the fourth quarter.
Seth Sigman -- Credit Suisse Securities -- Analyst
Okay. That's really helpful. And then just a quick follow-up on the cash flow. Obviously a significant improvement this past year. Just based on the guidance, I mean, you guys will have close to $1 billion in cash at the end of 2018. How are you thinking about deploying that at this point? Is there an opportunity to possibly resume buying back stock here? Thanks.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Thanks, Seth. We're staying true to what we've said in the past. We want to get back our leverage ratio to 2.5%. We're at 2.9% now. We want to get back to 2.5%. The second priority is invest in the business. A lot of opportunity there. And then the third one is return to shareholders with buybacks. Right now, we don't have anything on the radar screen for this year in terms of buybacks.
Seth Sigman -- Credit Suisse Securities -- Analyst
Okay. Thanks. Good luck.
Operator
Thank you. And our next question will come from the line of Michael Lasser with UBS. Your line is now open.
Michael Lasser -- UBS Securities -- Analyst
Good morning. Thanks a lot for taking my question. My first question is on how you thought about creating your top-line guidance for the upcoming year. Others are kind of indicating they think the industry is going to grow 2% to 4%. We take the midpoint of your flat to down 0.2% comp guidance, it would suggest that there's not going to be much narrowing of the performance gap versus the others. So did you just stake a lot of conservatism in your outlook for your comp for the upcoming year?
Thomas Greco -- President and Chief Executive Officer
Well, good morning, Mike. I certainly understand your question. Let me give you some perspective on this one. In terms of sales, we absolutely believe 2018 is going to be a stronger year for the industry and for Advance for a couple of reasons. First of all, from an industry standpoint, the dynamics are all positive. GDP, vehicle miles driven, sweet spot, car park, finally a cold winter, which we benefit from with a lot of stores in the Northeast and North Central.
And when you look at our sales, the big changes that we had to make as part of this transformation are behind us. When you think about the field restructure we executed last year and the professional sales organization, these were big changes to big things and they were very distracting. So there's no question that we'll be more focused this year on our execution of our plan. The big initiatives that we have are starting to have an impact as well, whether that's cross banner visibility, availability transformation, our omni-channel work. And then we did finish the year with our best two-year stack in a long time and narrowed the gap significantly, both on a full-year and fourth quarter basis.
All of that said, it's very early in the year and we need to be prudent. We have a large cost base that, over time, we're addressing in a way that's thoughtful and doesn't impact the customer. And for 2018, we built our cost base to match that sales guide. So be assured everybody at AAP is focused on exceeding the sales and profit numbers we've guided to and, in the event that we do that, it'll be a tremendous year for us. And we think this is the right approach for 2018.
Michael Lasser -- UBS Securities -- Analyst
My follow-up question, Tom, is can you give us a sense for how the margin and integration expenses are going to flow from here over the next few years? Are you at a point where 2018 will be the peak integration expense year and after this you'll be able to make substantial progress to your long-term operating margin expectation?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, Michael, I'll take that one. I think you were going to below the line costs. As we see those, our GPI integration costs are going to come down over time. They were roughly $24 million in '17. We'll come down more in '18. Our amortization related to GPI is going to stay roughly steady at about $40 million. But what you will see over the next couple of years going forward is an increase in our transformation expenses as we really start to double down on our supply chain footprint optimization.
Michael Lasser -- UBS Securities -- Analyst
Okay. Thank you so much. And good luck with the rest of the year.
Thomas Greco -- President and Chief Executive Officer
Thank you.
Operator
Thank you. Our next question will come from the line of Simeon Gutman with Morgan Stanley. Your line is now open.
Simeon Gutman -- Morgan Stanley -- Analyst
Good morning, guys. First question is related to Q4. This may be hard to do, Tom, but how much was the better trend the result of weather versus how much can you isolate to execution and operational improvements?
Thomas Greco -- President and Chief Executive Officer
Yeah, I mean, we obviously look at it every single week, Simeon. We look at our input metrics that really define what ends up happening on the output side. And given the changes we made in the third quarter, which I'd say the peak of that disruption was around Period 7, Period 8, as we looked at Period 9, 10, 11, 12, each one we started to improve, whether that was in-stock, fill rate, greeting the customer, the things that we're measuring on a routine basis. So I would attribute more of the improvement to execution. The weather was, as I think you've heard from others, October and November was favorable. We had a good October and November. December we expected was going to be tough. It got better as we closed the year and obviously that continued into the first period of this year. But overall December was not a good year-over-year lap. It was an excellent two-year performance but it was not a good one-year performance.
Simeon Gutman -- Morgan Stanley -- Analyst
Okay. And my follow-up has two parts. The first part is on the guidance for 2018 and, in particular, the EBIT margin range. Is that solely tethered to the comp range or is there a potential upside coming from margin items? Meaning there's some cost reduction and/or margin enhancement that could occur irrespective of how comps play out? And then just as a small part of that, can you just comment on why the CAPEX is about $60 million south of where you were, I think, prior to -- I think for this year, why is it $60 million light versus guidance?
Thomas Greco -- President and Chief Executive Officer
Okay. Well, maybe I'll take the margin. I'll flip the CAPEX question over to Tom. We're really excited about the fact that we're going to expand margins this year. We're starting to see the productivity agenda kick in. the areas that we've discussed in the past are starting to really impact our P&L. The material cost optimization helping us on the gross margin line. The supply chain productivity agenda is helping us. And then zero-based budgeting is really becoming pervasive throughout the company. And that's enabled us last year to make investments in the area of the businesses that we think we need for the long-term. And we referenced that in the prepared remarks. Technology and marketing, customer service, and in people.
So, yes, we've engineered our cost structure to match that sales guide. To the extent we can beat that sales guide, there's going to be some upside overall. But we want to make sure that we're being thoughtful about how we run the business and we've engineered the cost structure accordingly. So the productivity agenda we have for 2018 is robust. It's slightly bigger than we had last year but it's in the same areas of material costs, supply chain, and zero-based budgeting. Tom, you want to talk CAPEX?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah. With respect to CAPEX, we've just become much more cash-focused within the company. I think I've mentioned on previous calls we've got a cash council that meets twice a month. We've actually got an organization now in terms of the capital department that we didn't have in the past. We're not happy with the 13 ROEC. We want to have industry leading ROEC. And so we've just really raised the bar on our capital projects. We're just being much more rigorous in terms of what gets through and what gets spent. We've got targets for each category of capital spend so the decrease from 2016 is really just a higher bar for approval.
Simeon Gutman -- Morgan Stanley -- Analyst
Thank you.
Operator
Thank you. And our next question will come from the line of Seth Basham with Wedbush Securities. Your line is now open.
Seth Basham -- Wedbush Securities -- Analyst
Thanks a lot and good morning.
Thomas Greco -- President and Chief Executive Officer
Good morning.
Seth Basham -- Wedbush Securities -- Analyst
My first question is on margin guidance for 2018. For the first quarter, you're guiding to 0 to 25 basis points of improvement but for the full year, 0 to 30 basis points. It seems like you have the easiest comparison in the first quarter. Why would we see a more limited improvement in the first quarter relative to the balance of the year?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, good question. It goes back to what Tom talked about for the overall guidance. We're just really trying to be prudent with the guidance in the first quarter as well as for the overall year. We like the gross margin that we see in the first quarter. It's still early in terms of sales. Depending on how the sales growth goes then that'll dictate what the overall bottom line margin will be and how much we lever in terms of SG&A.
Seth Basham -- Wedbush Securities -- Analyst
Got it. Helpful. And my second question is related to the supply chain transformation that you guys are undertaking. Can you provide a little bit more color on the initial steps you're taking in 2018? The easy wins versus the bigger wins and what you're doing to pilot some of those more comprehensive changes?
Thomas Greco -- President and Chief Executive Officer
Sure, Seth. So first of all, when we talk supply chain, think of it as end-to-end. So really all the way from the distribution centers to the stores. So I'll speak to those separately. In terms of the distribution centers, first of all, we feel great about the amount of planning and rigor that's gone into our long-term transformation plan on supply chain. We're very committed to optimizing our network while strengthening the customer proposition. That's very, very important to us.
In terms of distribution centers, we mentioned in prepared remarks we've got 54 DCs. There's an opportunity for optimization there. These DC plans are very sensitive, as you can appreciate, for both competitive and internal reasons. So we're not prepared to share specifics on what we're doing there at this time. And at the appropriate time, we'll share more details on the DCs themselves.
As it pertains to the stores, the stores are inextricably linked to the supply chain work we're doing on the DCs obviously. So what we've done is we've taken a market outlook, literally DMA by DMA, in the tristate area. What do we expect in terms of auto parts sales over the next several years? How much is going to be pro versus DIY? How much is DIY online versus DIY ship to home? Etc. So every market in the country, we've done that work. And then we overlay the entirety of our asset base in each DMA. So in the case of the tristate area, we have obviously Advance stores, we have Carquest stores, we have Carquest independents, we have Autopart International stores, Worldpac.
All of those assets we look at in the market and then we're taking a very surgical approach to optimization. So in the case of an asset we have in that market, a store, for example, if we don't feel that store can achieve the desired rate of return, we're going to close that store. And we're extremely confident in terms of the effort we put into this that when we close a store, it will be very good for the company's cash flow over time. But the one thing I would add is we're going to close the stores very differently than we have in the past. Obviously we've gone through this before. It's a much more thoughtful approach. We have to figure out how to retain the professional business when we close those stores. And most importantly, how do we retain our top people?
So the overall work that we've done here is significant and we start to take our first steps on it in 2018 and we're very excited about the long-term prospects to drive margin expansion and market share associated with it.
Seth Basham -- Wedbush Securities -- Analyst
Thank you and good luck.
Operator
Thank you. And our next question will come from the line of Greg Melich with MoffettNathanson. Your line is now open.
Greg Melich -- MoffettNathanson -- Analyst
Hi, thanks. I have a couple questions. One on the integration costs and then understanding the working capital a little better. On the integration, if we take out the amortization, it seems to have been running around $70-something million the last few years. And, Tom, I think I got it from your earlier comments that that's the step-up to basically $100 million to $140 million. So could you help us understand why that part of it's going up so much once you take out the amortization? What is going on? And if that new run rate of 2018 looks more like a peak-ish number or is it building to something larger once we get the supply chain done over the next couple of years? And I have a follow-up on working capital.
Thomas Okray -- Executive Vice President and Chief Financial Officer
It's all related to the question that Tom just answered. We're going to be very surgical in terms of how we look at our supply chain optimization, making sure that the stores and the DCs pay their way. So that's the main reason for the increase.
Greg Melich -- MoffettNathanson -- Analyst
And so whether it's $100 million or $140 million is a function of sort of the timing? And if it ended up being $100 million, then we would expect the difference in the next year? Or do we think of that as a new normal or is this a year that we're going to be spending more on it than typical?
Thomas Okray -- Executive Vice President and Chief Financial Officer
I think we'll see it at the current levels for the next few years as we undergo the supply chain transformation.
Greg Melich -- MoffettNathanson -- Analyst
Perfect. And then on inventory, and a nice reduction last year, is that a number of improvement year-over-year that we should think about going forward? In other words, can we get under $4 billion of inventory? Should we expect another $150 million out? And also the AP ratio, if that plays out, how should we think about that?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, that's a great question. We took out year-over-year $157 million in inventory, whereas the prior year we grew $151 million. So for a net decrease of over $300 million. We would expect in '18 a similar level of decrease year-over-year. If I look at the AP ratio, we're at 69.5, round to 70. We've got certain barriers there to getting to our high 90s target. One of it is just structural. That's related to our supply chain. We've got five different supply chains as we've talked about. It just requires us to have duplicative inventory into the system and that's something that's going to stay until we get at this transformation we've been talking about.
The other issue, we've got lower purchases as we start out with this inventory drawdown. That's going to catch up in the back half of the year and provide some tailwind to our AP ratio. And then the third thing, we've been very maniacal on cash flow. So what we've been doing is we've been netting receivables to accounts payable with our vendors. So that will also normalize over time. So we still stay committed to the high 90s AP ratio. We also think that we're going to have a similar level of reduction in inventory this year as compared to last year.
Greg Melich -- MoffettNathanson -- Analyst
That's great. And if I could, one follow-up for Tom. It sounds like the Interstate deal was a pretty interesting and unique one. And how are you thinking about that beyond, in other categories, and sort of partnering and using a vendor's brand more exclusively and more broadly? Are there other areas you think could really help enhance -- so I'm essentially speaking of Worldpac now with Bob looking at the entire commercial side? Are there other areas or categories that look interesting to you to do something like that?
Thomas Greco -- President and Chief Executive Officer
There definitely are. And we're not going to get into specifics here, Greg, but the whole point about brands and the importance of brands to our customers, all the work we've done lead us to believe that brands are extremely important, not just to our DIY customers, even more so on the professional side. So how do we partner with our suppliers? Our suppliers are critically important to this transformation. How do we partner with them to really lift up their brands, work together to find relationships where you can literally make one plus one equal three?
And that's what we think we've done with Interstate. Obviously they bring great R&D and brand to the category. They're the No. 1 battery among the professional installers. And we have a large footprint and 74,000 passionate team members and 1,500 independents that love to sell auto parts. And you put that together, it's a pretty powerful combination. So we do think there's more of those out there and we're working actively with our supplier community right now to find more.
Greg Melich -- MoffettNathanson -- Analyst
That's great. Good luck.
Thomas Greco -- President and Chief Executive Officer
Thank you.
Operator
Thank you. And our next question will come from the line of Scot Ciccarelli with RBC Capital Markets. Your line is now open.
Scot Ciccarelli -- RBC Capital Markets -- Analyst
Hey, guys, Scot Ciccarelli. So over the last two years or so, early on you guys had a pretty big spike in SG&A dollars. But SG&A spending and SG&A on a per store basis seems to have improved pretty significantly over the last two quarters. Now, I know, Tom, you talked about your building your expense to the sales outlook you just provided, but when you think about your outlook for '18, how are you guys thinking about SG&A growth on a per store basis? And related to that, should we expect much of a net change at all in terms of total stores, given your store commentary from earlier? Thanks.
Thomas Greco -- President and Chief Executive Officer
Well, maybe I'll take the first one on total stores. Again, we want to be clear on the AAPCQ side. If you look at what we've done previously, '15, '16, '17, we opened up what I would describe as conventional stores, Scot. You know, anywhere from 70 to 100, 7,500 square foot boxes that have DIY and professional in them. And at this stage we want to make sure that our field team is laser focused on executing in existing stores and making sure we're driving the comp sales in existing stores. And our team is very focused on that. We're excited about the prospect of moving the comp sales of our existing stores up.
In terms of adding new stores, the primary effort there in 2018 is going to be Worldpac. So we've got some markets where we're opening up Worldpac branches. And this is all part of the end-to-end supply chain strategy to really go to market a little bit differently than we have in the past and take advantage of the growth we see coming in professional with a model that works very well. Tom, do you want to?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah. In terms of the absolute level of SG&A going forward, we feel comfortable with the levels we're at now. And obviously there will be some repositioning going on. We'll continue to invest in labor. We're still building the leadership team below Tom's direct leadership team. That will have payoffs in the future as we've described in the past. We're frontloading, for example, in the finance organization until we get our new ERP system in and then we'll be able to take out costs in the back end. We're also going to invest in e-commerce and in marketing and we'll have some headwinds related to depreciation as our investments are more e-commerce related. Having said that, we feel really good about the progress in terms of ZBB, really turning over every stone. So we think we're going to offset those increases as we go forward. Bottom line as it relates to SG&A levering, it's going to come back to the top-line and the comp growth.
Scot Ciccarelli -- RBC Capital Markets -- Analyst
Just to be clear, Tom, so when you said, "comfortable with the level we're at," you're talking total SG&A dollars kind of flat-ish in 2018 versus 2017?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Correct.
Scot Ciccarelli -- RBC Capital Markets -- Analyst
Alright. Very helpful. Thanks, guys.
Operator
Thank you. And our next question will come from the line of Dan Wewer with Raymond James. Your line is now open.
Dan Wewer -- Raymond James & Associates -- Analyst
Thanks. I wanted to ask about the adjusted debt EBITDA. It looks like it's been unchanged at 2.9 turns for about three quarters. What kind of conversations are you having with the rating agencies in terms of a timeline that they would like to see for that return to the 2.5 threshold? And then also curious with the cash flow benefits from tax reform. That happens below the EBITDA rate. So your conversation with the rating agencies, are they thinking about looking at that metric differently to include that unexpected cash flow benefit from the lower tax rate?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Well, S&P already includes cash flow in terms of how they look at their ratings. To your specific question, though, we have regular conversations with the rating agencies. I won't comment on their behalf but we're very happy with the cash flow that we've generated. Free cash flow up 56%. We think that that's attractive to both equity and debt investors. But, yeah, we've had great conversations with both S&P and Moody's.
Dan Wewer -- Raymond James & Associates -- Analyst
So there's not an expectation? There's not a timeline as to when that needs to return to the 2.5 threshold?
Thomas Okray -- Executive Vice President and Chief Financial Officer
No timeline that they've given us, no.
Dan Wewer -- Raymond James & Associates -- Analyst
Just a separate question. You talked about the two new distribution centers and the pressure that's putting on your gross margin rate. Were those the facilities that opened in Nashville and in Houston? And I'm a bit confused. Those opened before you joined, or those were in the process of opening, before you guys joined. And so they really don't fit with the long-term supply chain outlook. Is that correct?
Thomas Greco -- President and Chief Executive Officer
What we said, Dan, was that they opened before we completed the end-to-end supply chain work. They were approved in mid-'16. I mean, it takes a while to approve these. Obviously, you're talking about long-term. These are 500,000 square foot buildings. So they were approved relatively shortly after I had joined. Certainly before Tom joined. But I was here. We approved them. We just hadn't done the end-to-end supply chain work.
Dan Wewer -- Raymond James & Associates -- Analyst
So this is going to be an overhang on the gross margin rate for probably another two or three quarters?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yes, it will be for a couple of quarters, which really makes our result in Q4 from gross margin, I think, all the more interesting. I mean, we had a big headwind from the supply chain. We also had a headwind from the inventory optimization. We really had great performance on our material cost optimization and defectives, good working relationship with our vendor partners. Another headwind was trade. That will get turning the other way when we start seeing the growth in comps going. So we're happy with where we're positioned in gross profit but you're right. For the next couple of quarters, we will see headwinds related to the DCs in the supply chain area.
Dan Wewer -- Raymond James & Associates -- Analyst
Okay. Thank you.
Operator
Thank you. And our next question will come from the line of Chris Bottiglieri with Wolfe Research. Your line is now open.
Chris Bottiglieri -- Wolfe Research -- Analyst
Thank you. A couple of questions. I guess just to start, piecing together a bit of what you said on the call today, I was wondering if you could update us on the $750 million in cost take outs. Kind of how far you are on that gross number by the end of 2018. So if we think about comp de-leverage, the ability to offset that wage inflation that everyone's seeing, your new DCs that Dan just referenced, the increased investments you're making on finance and e-com, supply chain headwinds near-term, and then the margin improvement embedded in your guidance, kind of sounds like a real lot. So I would imagine it's something north of $100 million. I just want to get your perspective on kind of where you are on those gross take outs?
Thomas Greco -- President and Chief Executive Officer
Yeah, well, first of all, we're on track for the $750 million. That was gross productivity that we communicated and we'll hit that number in the timeframe we committed. We're making real progress on taking out costs in each of the areas that we talked about. Everything that you just referenced is included in the guide. Obviously we knew about the DCs. We've been investing in our frontline really since the tail end of 2016. You think about some of the challenges we faced back then.
Our turnover in the key positions was really off the charts, general managers, commercial parts pros, customer account managers, DMs, and we introduced essential a stock ownership program that we call Fuel the Frontline. And that was a pretty big investment for us in 2017. That carries forward into '18. We literally gave out stock awards, performance-based stock awards to thousands of our frontline team members. And that really helps us with this wage inflation issue that you referenced. I can tell you that our turnover in 2017 in each of those jobs was down significantly. And we remain focused on getting the very best parts people in the business to come and work at Advance and this has been a key lever for us to go do that. So we're very mindful of making sure that we're investing in our people and that's fully included in the guide.
Chris Bottiglieri -- Wolfe Research -- Analyst
Okay. Then one related. So it sounds like the 20 basis points of pressure from what we'll call a supply chain cost, it sounds like unfortunately you inherited those costs before you took over. You were originally looking for 100 basis points of pressure. That fell to about 20 in the back half. So as you kind of cut inventory costs, how do you think about -- I know it's not cash but how do you think about the level of those margin headwinds in 2018?
Thomas Greco -- President and Chief Executive Officer
Yeah, you're talking to the inventory optimization, Chris?
Chris Bottiglieri -- Wolfe Research -- Analyst
Exactly. The previously capitalized supply chain costs. As you kind of cut the inventory, you incur those.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, you could expect that to be approximately flat going forward for '18. So the headwind should subside in '18.
Chris Bottiglieri -- Wolfe Research -- Analyst
Got you. Okay. Thank you.
Thomas Greco -- President and Chief Executive Officer
I'll add, Chris, that this is a big opportunity for us. I think we learned a lot last year and we're happy that we were able to get it down by $157 million. There's more opportunity there. We're going to do it smart though and we do it in a way that doesn't impact the customers. So it's a very important driver of cash flow for us so we're very focused on it. And as Tom said, this cash council that I attend every other week is really driving the focus on all elements of working capital and cash flow metrics. So we feel very good about our ability to continue to drive cash flow.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, we fully recognize that our inventory velocity is not where it needs to be. But back to your question, on a year-over-year basis, we should be basically flat.
Chris Bottiglieri -- Wolfe Research -- Analyst
Okay, that's great. Thank you for the help. I appreciate it.
Operator
Thank you. And our next question will come from the line of Bret Jordan with Jefferies. Your line is now open.
Bret Jordan -- Jefferies -- Analyst
Good morning, guys.
Thomas Greco -- President and Chief Executive Officer
Hey, Bret.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Good morning.
Bret Jordan -- Jefferies -- Analyst
On the integrating the DC network subject, I guess, is the software in place? I mean, you were rewriting the Apex software. Do you have the systems finished now where you can start consolidating the supply chain?
Thomas Greco -- President and Chief Executive Officer
They're not finished. We continue to work them, Bret. We're taking this one step at a time but it's very much under way. The technology work to get that enabled is under way.
Bret Jordan -- Jefferies -- Analyst
Do you have a feeling for timing on that?
Thomas Greco -- President and Chief Executive Officer
We're not communicating that at this point but we do have a feeling for it. We're continuing to work through it.
Bret Jordan -- Jefferies -- Analyst
Okay. And then I guess the second question would be, if you look at your collection of distribution centers, the 54 that you have, and you think about where you need to be in a couple of years as far as consolidating that, do you think you have the assets today where you can just kind of cull the herd or do you have to build out incremental distribution infrastructure to fill out in gaps?
Thomas Greco -- President and Chief Executive Officer
That's part of the validation work that we have this year. Certainly we've got more assets than we need. Okay? But I get your point. Are there additional things that we need to do? I think there are parts of the country where our footprint is relatively light. And by the way, they happen to be very growing parts of the country that we are thinking through. But overall we have more than we need. Whether or not we have to add some back in certain areas is something we're validating.
Bret Jordan -- Jefferies -- Analyst
Okay, great. Thank you.
Thomas Greco -- President and Chief Executive Officer
Thank you.
Operator
Thank you. Our next question will come from the line of Alan Rifkin with BTIG. Your line is now open.
Alan Rifkin -- BTIG -- Analyst
Thank you very much for taking my question. So 2018 is going to represent the fifth year post the acquisition. And admittedly, Tom, you've only been there a little less than two years. But as we look at the integration and transformation expenses forecasted for 2018, they're materially higher than what we saw in '17. I guess my first question is do you have a rough idea of when these integration expenses will cease? And the $140 million to $180 million in expenses, approximately how many stores and/or DCs might that include?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah. So again, let me unpack the integration expenses, Alan. The GPI amortization of intangible assets, that's going to be $40 million ongoing into the future. The GPI integration piece, that is going to come down significantly and start to subside in '18. '19, it will be virtually gone. Where we will start to increase is our transformation expenses. That's where we will get at the supply chain and the store footprint which we've been talking about on the call. We're not going to talk about a timeline here. We're doubling down on those activities in terms of testing in '18 but would expect that to go on for the next couple of years.
Alan Rifkin -- BTIG -- Analyst
Okay. And a follow-up, if I may. With respect to the inventory rationalization, by the end of '17 it was certainly less than what you had guided to at the beginning of '17. Is that because there's less inventory in your opinion to write down or do you just think, Tom Greco, that the inventory reduction program will take longer? And is an incremental $800 million to $900 million in inventory reduction, is that a pretty good number to go by?
Thomas Greco -- President and Chief Executive Officer
Well, first of all, I think what happened last year, we did a number of things on reducing inventory. And, candidly, some of them worked extremely well and some of them we didn't feel worked as well. So we refined our plans very quickly after we started to see it was compromising the customer proposition. Because we're not going to do that. We're putting the customer first in everything we do. The single biggest opportunity we have is to drive market share in our category and in our industry and that's kind of the superordinate goal. So when we see something that's compromising that superordinate goal, we're going to pull back, Alan, and fundamentally that's what we did. So the overall plan to drive inventory down is a thoughtful one. It has multiple components to it, some of which, obviously you can appreciate, would be related to our footprint optimization. So there are some unlocks there. Some of it is about stratifying SKUs differently than we have in the past. But overall I think your number is in the ballpark. It's going to be a multi-year journey for us to get there.
Alan Rifkin -- BTIG -- Analyst
Okay. Thank you very much. Best of luck in '18.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Thank you.
Operator
Thank you. And our next question will come from the line of Chris Horvers with JP Morgan. Your line is now open.
Chris Horvers -- JP Morgan -- Analyst
Thanks, guys, and good morning. I wanted to follow up on the operating margin outlook. You operate in a very high cost business so I was curious, if you didn't have the productivity opportunities, what level of operating margin to leverage is a natural headwind in the business on the flat to down 0.2% comp?
Thomas Greco -- President and Chief Executive Officer
That's a tough hypothetical question to answer if you didn't have the productivity. Obviously every business needs to have a productivity agenda to offset inflation, to offset any sort of headwinds that you have in normal business, whether it's fuel or wages. So I want to stay away from the hypothetical and just tell you how I'm thinking about '18. I really expect us to do well in gross margin and have gross margin be favorable to the prior year. We're doing some fantastic things on material costs and defects. We'll have our inventory optimization headwind subsiding. We'll continue to see supply chain headwinds, as we've talked about. And as it relates to SG&A, whether we lever there and how much we lever there is really going to come back to the top-line growth.
Chris Horvers -- JP Morgan -- Analyst
Understood. And then as you think about, I know you're only guiding comps for the year, but is there any commentary to give in terms of the potential cadence over the year? Do you think two-year stack continuing to improve in 1Q? You had the disruption in the second to the third quarter from the field structure changes. So any comments on cadence would be great.
Thomas Greco -- President and Chief Executive Officer
Yeah, obviously we're focused on continuous improvement. So I think I look at the back half of last year, where we had the peak of the disruption. Right, Chris? That looks like a big opportunity for us. We're just going to be focused on fill rate and in-stock and making sure the weekend service is right for our customers. Last year at this time, we were heading into a period where we were thinking about reducing our regions from 34 to 12 and making major changes. And I just have to say that's a very disruptive event no matter how many times I've done it. There's always disruption associated with that.
So obviously the year has started out well. I mean, the first part of the year in northern geographies was very cold. We love potholes in the road. I grew up around them. I'm hoping there's a ton of potholes. I hope they don't repair them. And we're going to have a very strong spring selling season associated with that. So we feel good about the way the front half is set up. I would say the back half looks like we can really start to make some gains.
Chris Horvers -- JP Morgan -- Analyst
Thanks very much.
Operator
Thank you. And our next question will come from the line of Matt Fassler with Goldman Sachs. Your line is now open.
Matthew Fassler -- Goldman Sachs -- Analyst
Thanks so much. My first question, kind of a cleanup for Tom Okray. Tom, if you could just specify if you didn't already what portion of the transformation charges that you expect to book in 2018 will be cash and how that would compare to the cash component of those charges in 2017?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah. I mean, we're not going to go into the details specifically to say how much is going to be cash. But a healthy portion of it will be cash which is why we put the guide together that we did for our free cash flow. Obviously, if you look at our free cash flow, we're starting out with $411 million in 2017. We've got tailwinds related to tax reform, working capital improvement, and higher OI, but we also have the headwinds associated with CAPEX, the transformation related to your question, and one-time equipment sales which happened in 2017 that won't happen in 2018. So.
Matthew Fassler -- Goldman Sachs -- Analyst
Understood. And then secondly, if we could take a step back on the top-line, you're guiding to a level of revenue growth, same store growth, below the level that your peers are guiding to. And you're guiding essentially to market share loss. Now, understanding that last year was a year where you put the business through a lot through the transformation effort, and it sounds like some of that will continue but probably to a less extreme degree, is there a reason based on distractions or disruption in the business or the desire to walk away from some less profitable businesses, anything in particular you put your finger on to say, "This is the reason why you should not expect us to hold pace with the market in 2018." Or would you ascribe it to conservatism? Because your comments on sales a moment ago and the answer to the prior question seem pretty constructive on both the first half and the second half of the year.
Thomas Greco -- President and Chief Executive Officer
Yeah, Matt, it's really about being prudent and thoughtful with our cost base. We really do feel very good about the sales outlook. And we measure market share based on what people report, not based on what they guide to. So if we look at our performance in 2017, we did narrow the gap. The guidance is something that every company looks at in different ways and at the end of the day the scoreboard we'll look at is when we report our sales at the end of the first quarter, second, etc.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, it's very difficult to take the cost structure out once you put it in. It's much easier to add cost when the sales are growing.
Matthew Fassler -- Goldman Sachs -- Analyst
So it sounds like we should take the cost structure associated with that comp guidance extremely seriously and kind of watch the top-line as it evolves?
Thomas Greco -- President and Chief Executive Officer
That's a good way to look at it.
Matthew Fassler -- Goldman Sachs -- Analyst
Thank you.
Operator
Thank you. And our next question will come from the line of Mike Baker with Deutsche Bank. Your line is now open.
Michael Baker -- Deutsche Bank -- Analyst
Hi, thanks. Within both the first quarter margin and the full-year margin guidance, can you talk about what you expect for gross margin trends within that?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, we don't want to get down to gross margin and SG&A guidance but what I'll tell you is I would expect, for both the Q1 as well as the fiscal year, that we will be favorable year-over-year.
Michael Baker -- Deutsche Bank -- Analyst
Okay. And then on the first quarter specifically, you said that the 0 to 25, so now we know some thoughts on gross margin, but that 0 to 25 basis point spread is predicated on sales. It sounds like you're not giving specific first quarter guidance but any idea on what kind of comp is associated with a flat margin in the first quarter versus up 25 basis points in the first quarter?
Thomas Greco -- President and Chief Executive Officer
Yeah. I mean, we're not going to guide on sales for the quarter, Mike, but again, we're very excited about the outlook for the year on sales and we're going to continue to focus on beating the sales guidance we've given by the widest margin possible. That's the focus of everybody in the company.
Michael Baker -- Deutsche Bank -- Analyst
So if I could ask one more follow-up, is there anything relative to the 16 weeks in the first quarter that things get easier or more difficult as you go through the quarter? I know it was just about a year ago where we had the big tax refund dip, which a year ago at this time was down $59 billion and now it's about flat. How does that play into the cadence of trends throughout the first quarter?
Thomas Greco -- President and Chief Executive Officer
Yeah, obviously we certainly saw that last year, Mike. And I think everyone spoke about it. In our case, with a 16-week quarter, I think it evened out, at least for us. We didn't attribute any sales softness to the tax refund situation last year. It was really more of a timing thing as far as we were concerned. I mean, we couldn't find it. We obviously saw the $59 billion. We look at that thing every week when it comes out. As I think you wrote in one of your notes, it's up year-on-year right now marginally. The two-year stack looks horrendous right now for the very reason you talk about. But eventually that money comes back into the economy and to our customers' pockets and when it does, you know they're going to come and want their car to be repaired and they're going to want to fix it. So I don't think that plays out, at least for us, in the first quarter.
Michael Baker -- Deutsche Bank -- Analyst
Okay. Thanks for the color. Appreciate it.
Operator
Thank you. And our next question will come from the line of Steve Forbes with Guggenheim Securities. Your line is now open.
Steven Forbes -- Guggenheim Securities -- Analyst
Good morning. So you mentioned the $70 million of cash flow tied to tax reform. Right now, there was no change to your investment plan that you provided in the fourth quarter of the year. So given the action of other retailers broadly, especially as it relates to wages and benefits, and your focus, especially your message today on driving improved top-line momentum, can you expand on why you're confident that your investment plans for next year are sufficient, especially as it relates to people?
Thomas Greco -- President and Chief Executive Officer
Well, we really measure turnover, right? That's the key one for me, Steve. You've got to make sure that you're keeping the best people, the parts people who are really critical to that customer relationship. And we look at that every four weeks. We measure our turnover. We look at year-on-year by job type. And I would describe turnover as a leading indicator. Right? If it's going up, which honestly when I got here, it was going through the roof on the big, core four jobs that are customer-facing, that's not a good sign. Right? So we had to invest back in our people to make sure that we were getting the best parts people we could and it's been going down for several periods in a row. So we'll stay focused on that.
We obviously have ongoing dialogues with our frontline team members. They're very important to us. And we're going to continue to make sure that they love coming into work every day and they're excited about it. And as I said, I think it was a little over 4,000 were awarded stock ownership in the company. It's a model that we like a lot because it creates ownership. Our people celebrate those wins. So it's very important to keep great people in the company and that's what we're focused on and we do it in a way that's holistic. We don't look at one-offs. I mean, as you probably know, different states have changed their minimum wage and other retailers are taking their starting salaries up. Those types of things are going on around us but we don't look at it in a vacuum. We look at it holistically.
Steven Forbes -- Guggenheim Securities -- Analyst
And then as a follow-up, maybe just your high-level thoughts here. Right. So you mentioned that you're not going to talk about a timeline for the supply chain optimization. But I believe, right, it was clearly part of the $750 million, four-year target from the productivity agenda. So how do we piece this together? Are you seeing greater opportunity in material costs optimization and ZBB or will you still be able to capture enough supply chain savings, maybe not dependent on a particular timeline, to get us to the same place? I mean, how do we think about this, high-level, as you try to help us conceptualize the gross to net and the margin opportunity that exists?
Thomas Greco -- President and Chief Executive Officer
We feel very confident that the elements of the supply chain strategy that are firm, that are embedded in the $750 million, we will execute in the timeframe that we've called out. There are some other things that are less certain at this stage that may not happen. We're not sure. But overall the $750 million is the $750 million. We feel good about the $750 million.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah. What I would add to that is there's two buckets of supply chain optimization. And one is just the daily supply chain, less touches, better received, better pick, pack, stow, better truck utilization. And that is the foundation of what's in the $750 million as it relates to supply chain. There's a separate bucket, which is the end-to-end supply chain, which is treated as a separate project, if you like, and really connected but viewed separately from the $750 million.
Steven Forbes -- Guggenheim Securities -- Analyst
And then on that end-to-end, you touched on the incremental transformation expenses and so forth. And as you kind of develop this plan and test it this year. Is there a range of expenses that we can start thinking about, whether it's both capital investments and expenses? What it would take to get you where you need to go? I mean, you said it's going to be around maybe $100 million over the next couple of years. How big is it?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, we're not going to talk about specific expenses at this time but what I will talk about is opportunity. When you look at our gross margin compared to our competitors, a big difference in terms of our gross margin rate is supply chain. We have a lot of work to do there. So the upside in terms of gross margin that will flow through to overall bottom line is quite large.
Steven Forbes -- Guggenheim Securities -- Analyst
Thank you.
Thomas Greco -- President and Chief Executive Officer
Thank you.
Operator
Thank you. And our next question will come from the line of Elizabeth Suzuki with Bank of America Merrill Lynch. Your line is now open.
Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst
Good morning, guys. I just had a quick housekeeping item and you may have answered this already and I missed it. But could you talk about what percentage of your sales are currently taking place online or what that number was in 2017 versus 2016 and just what the gross rate looks like for online sales versus total company?
Thomas Greco -- President and Chief Executive Officer
We don't split that out. We're very excited about the growth that we've had in online and we're going to continue to invest in it. Our website improvements were significant in the back half of this year, of '17. And we did see a pretty big surge at the end of the year and we're continuing to see that into this year. And we're going to continue to make sure that we serve our customers how and where they want to be served. And if they want to buy online and have it shipped to home, they want to buy online and pick up in store, we're really working toward the omni-channel experience, really throughout the enterprise. So we put that into our overall DIY number. Obviously we look at it from DIY. We also have a pretty big online business on the professional side, where Bob Cushing has led, with Worldpac, a really strong website that is very, very user-friendly, customer friendly, all those kinds of things.
Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst
Okay. But it's fair to say that the growth in online is generally outpacing total company sales growth?
Thomas Greco -- President and Chief Executive Officer
Yes. Yeah, both in terms of DIY and in terms of professional.
Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst
Alright. Thank you very much.
Operator
Thank you. And our next question will come from the line of Ben Bienvenu with Stephens Inc. Your line is now open.
Ben Bienvenu -- Stephens Inc. -- Analyst
Yeah, thanks. Good morning. Thanks for taking my questions. I want to ask about tax reform. It sounds like you're not planning on reinvesting into incremental wages but you are making a number of investments more broadly, mutually exclusive from tax reform. So I wonder, it sounds like turnover is a key metric you're tracking as it relates to how you think about investing in wages and field-level associates. How willing might you be to change sort of your posture on tax reform reinvestments in light of a tightening labor market more broadly and even within your industry?
Thomas Greco -- President and Chief Executive Officer
Hey, Ben. First of all, I want to clarify. We are investing in frontline compensation. Okay? You use the term wages. We look at the total, right? And when we make a pretty big investment in field or frontline, which we did last year, we are investing in our people, it is intended to incent them and compensate them at a level that they get excited about. So we have been investing in our frontline compensation and we're going to continue to stay focused on that.
So the tax reform that came whenever it was, late in the year, we had set our plan. We were very aware of the competitive dynamics around wage inflation, not just within auto parts but in broader retail. And as we built our plan for 2018, that was all factored in. So to the extent that we've got to address specific markets, we'll go ahead and do that. But the environment, I would call it, the labor environment itself is something that we look at very closely as we build our financial plan for 2018. And we want to make sure that we're making Advance a great place to work and attracting the best parts people we can. So you're going to continue to see us with that as an overarching goal. And how we achieve that through different methods of compensation is something that we spend a lot of time on.
Ben Bienvenu -- Stephens Inc. -- Analyst
Okay, great. And then, Tom Okray, a clarifier on the guidance. I think you said gross margin percentage would be flat to up in 1Q and then up in the full-year. When you combine that with sort of flat-ish SG&A dollars year-over-year, that appears to make it hard to get toward the top end of the EBIT margin guidance. So can you help us think about sort of the puts and takes within the range of EBIT margin guidance relative to those comments?
Thomas Okray -- Executive Vice President and Chief Financial Officer
Yeah, I'm not going to go into specific split between gross margin and SG&A. I'm just telling you that we feel good and expect expansion in gross margin year-over-year. SG&A expansion or SG&A leverage is going to be very dependent on the top-line.
Ben Bienvenu -- Stephens Inc. -- Analyst
Okay. Great. Thanks and best of luck.
Thomas Okray -- Executive Vice President and Chief Financial Officer
Thank you.
Thomas Greco -- President and Chief Executive Officer
Thank you.
Operator
Thank you. And our next question will come from the line of Matt McClintock with Barclays. Your line is now open.
Matthew McClintock -- Barclays -- Analyst
Yeah, good morning, everyone. Tom, you kind of hit upon this earlier but just in terms of the store optimization going forward, historically the company has shared kind of an expectation for a recapture rate. Could you share that this time around? And also what did you learn last time, lessons learned that may be preventing you from achieving that recapture? And what are you doing this time around to ensure, in a better sense, that you will be able to recapture a lot of that business?
Thomas Greco -- President and Chief Executive Officer
Yeah, good question, Matt. I think a couple of things. First of all, I can tell you unequivocally the level of rigor and discipline that we've put into evaluating our store fleet is a factor greater than it was. We're looking at a very large list of variables. How far away from one store to the other is it? What's the competitive dynamic? What's the growth rate? What's the margin? Professional/DIY mix? All of those factors go into it. And then in terms of what do we do different, the big levers are how do I retain the professional business, which is difficult. And to be clear, in our business, and I think for all the major players, it's difficult to retain the professional business when you close a store and try to move it to another store.
But we have a plan to do that much better than we have in the past. And I'm not going to communicate the specific number, but we know the number that we have typically achieved in the past in terms of retention of that professional business. And obviously our goal is to, at minimum, achieve that and anything above that is actually upside. DIY is harder obviously. You've got shoppers that are coming into that store. It's more about proximity there. But we do have some solutions there that pertain to more online, speed perks, loyalty card, those types of things to retain DIY sales. And then the third factor is obviously the lease itself and what's the obligation that's on the lease when we look at these things.
So those three variables are the big things that are being considered. And we make sure that when we close that store, when you look out a couple of years, that cash flow picture is extremely rosy. So that's kind of how we're approaching it and I think you're going to see a very different level of discipline and rigor from our field team. We've been very thoughtful about how we're doing it as well, by the way. So when we make a change, it's not going to be concentrated in an area. We have 12 regions so each of the regions will have a fairly short list of projects to work on and we're going to rack and stack and make sure we execute it flawlessly.
Matthew McClintock -- Barclays -- Analyst
Thanks a lot for the color, Tom.
Thomas Greco -- President and Chief Executive Officer
Thank you.
Operator
Thank you. And our next question will come from the line of Brian Nagel with Oppenheimer. Your line is now open.
David Bellinger -- Oppenheim & Co. -- Analyst
Good morning. This is David Bellinger on for Brian. So a couple of questions from us. First, shifting back to e-commerce. You mentioned wipers as a positive in Q4. That should be a category that lends well to online sales. So can we take that as further evidence that online competitors are simply not pushing aggressively into the space, at least at this point, or is there anything new in terms of online competition from your perspective?
Thomas Greco -- President and Chief Executive Officer
Well, hey, Brian, first of all, yeah, the wiper sales have been through the roof. As you guys are living up there in New York, it's been a good year for wipers with snow and ice and rain. Mike Broderick obviously leaders our Category team. We've got a terrific Category strategy on wipers. I think it's probably one of the first ones where we are starting to see the fruits of our labor in terms of putting a very disciplined category plan in place that works. We refined our planograms, I think, in the fourth quarter of 2017 and we're seeing a big uptick.
So it's honestly not surprising, I would say, to us that the wiper business has responded the way it has. We actually obviously look at market share very closely. We look at NPD. We gained market share in the fourth quarter on wipers and we gained market share in Period 1. And keep in mind, we install wipers for our customers. And that's a big deal. You know? That parking lot service that we provide is a real advantage versus an online player where you've got to do it yourself. So those are a couple of the big factors.
David Bellinger -- Oppenheim & Co. -- Analyst
Got it. And then my follow-up on Worldpac, you mentioned sales have been above average for a few quarters now. So is there anything behind that outperformance? Is it simply a better inventory position or is there some other factor helping those stores relative to the Advance store base?
Bob Cushing -- Executive Vice President of Professional
Yeah, so for Worldpac, if you go back probably 20 years, we've been outperforming the industry and it's all based upon the technology. And so basically the online presence obviously that we have, then with our customer on the B-to-B side, the assortment strategy that we basically have incorporated through the years there, and sort of what we call the ease of doing business. So importantly, with all that technology that we've developed over the years, we're bringing that same technology to Advance.
So when you think about true demand which drives assortment strategy, we look at the new B-to-B platform that we put out, which is fully integrated with SMS's Advance Pro. What we've just done recently with cross banner visibility, where in-market customers have access to basically the full offering portfolio of brands. All of that is key elements to it. And as I mentioned, importantly for all of us is that we look at what is the technology which is a differentiator for us and that technology is being brought to Advance. We've released it and we're going to continue to throughout 2018.
David Bellinger -- Oppenheim & Co. -- Analyst
Perfect. Thank you.
Operator
Thank you. And our next question will come from the line of Carolina Jolly with Gabelli. Your line is now open.
Carolina Jolly -- Gabelli & Co. -- Analyst
Thanks for taking my question. I'll just ask a really quick one here. Can you talk about any discrepancies around your comps that you saw across the regions? Any spread between regions?
Thomas Greco -- President and Chief Executive Officer
Sure. I mean, for the year, Carolina, the West and the Southwest was our best performing geographies. And I think honestly they benefited last year disproportionately from the weather. So, I mean, last year was a year where I wish I would have had more stores in the West. We had a great year in the West. Our RVP up there is terrific. She did a great job. The Southwest was also strong for us. And then they were both strong in the fourth quarter.
As it pertains to shortfalls, we weren't -- we had a very tough quarter in the North Central, North Midwest. Northeast was better. Okay? But North Central and North Midwest was very tough last year in December. We love it when you've got continuous days of 0 to 15 degree weather and last year in December, we had that in the North Midwest and North Central. It was a big, big December. Huge, actually. That didn't happen in December. But honestly we did benefit from that in the early part of this year but it didn't show up in the fourth quarter. So West and Southwest best, North Central and North Midwest lowest, and Northeast improved versus where we'd been.
Carolina Jolly -- Gabelli & Co. -- Analyst
Alright. Thanks a lot.
Operator
Thank you. Ladies and gentlemen, this concludes our question-and-answer session for today. So it's my pleasure to hand the conference back over to Mr. Tom Greco, President and Chief Executive Officer, for some closing comments and remarks. Sir?
Thomas Greco -- President and Chief Executive Officer
Well, thanks again for joining us today, everyone. As you heard, we're really pleased with how we finished 2017 and we're confident that we're putting the necessary pieces in place to drive long-term growth. We're firmly committed to the continued execution of our strategic plan and we appreciate your ongoing support. We acknowledge that there's a great deal of work ahead of us but we have got a talented, very committed team in place and we're poised to capture the opportunities ahead of us and we look forward to speaking to you again in May when we discuss our first quarter results. Thank you.
Operator
Ladies and gentlemen, thank you for your participation on today's conference. This does conclude our program and we may all disconnect. Everybody have a wonderful day.
Duration:88 minutes
Call participants:
Elisabeth Eisleben -- Director of Investor Relations
Thomas Greco -- President and Chief Executive Officer
Thomas Okray -- Executive Vice President and Chief Financial Officer
Bob Cushing -- Executive Vice President of Professional
Seth Sigman -- Credit Suisse Securities -- Analyst
Michael Lasser -- UBS Securities -- Analyst
Simeon Gutman -- Morgan Stanley -- Analyst
Seth Basham -- Wedbush Securities -- Analyst
Greg Melich -- MoffettNathanson -- Analyst
Scot Ciccarelli -- RBC Capital Markets -- Analyst
Dan Wewer -- Raymond James & Associates -- Analyst
Chris Bottiglieri -- Wolfe Research -- Analyst
Bret Jordan -- Jefferies -- Analyst
Alan Rifkin -- BTIG -- Analyst
Chris Horvers -- JP Morgan -- Analyst
Matthew Fassler -- Goldman Sachs -- Analyst
Michael Baker -- Deutsche Bank -- Analyst
Steven Forbes -- Guggenheim Securities -- Analyst
Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst
Ben Bienvenu -- Stephens Inc. -- Analyst
Matthew McClintock -- Barclays -- Analyst
David Bellinger -- Oppenheim & Co. -- Analyst
Carolina Jolly -- Gabelli & Co. -- Analyst
More AAP analysis
This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see ourTerms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability.
10 stocks we like better than Advance Auto Parts
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 5, 2018
The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc. (NYSE: AAP) Q4 2017 Earnings Conference Call Feb. 21, 2018, 8:00 a.m. Additionally, our comments today include certain non-GAAP financial measures. Please refer to our quarterly press release and accompanying financial statements issued today for important information and additional details regarding both the forward-looking statements and the reconciliation of non-GAAP financial measures referenced in today's call.
|
Duration:88 minutes Call participants: Elisabeth Eisleben -- Director of Investor Relations Thomas Greco -- President and Chief Executive Officer Thomas Okray -- Executive Vice President and Chief Financial Officer Bob Cushing -- Executive Vice President of Professional Seth Sigman -- Credit Suisse Securities -- Analyst Michael Lasser -- UBS Securities -- Analyst Simeon Gutman -- Morgan Stanley -- Analyst Seth Basham -- Wedbush Securities -- Analyst Greg Melich -- MoffettNathanson -- Analyst Scot Ciccarelli -- RBC Capital Markets -- Analyst Dan Wewer -- Raymond James & Associates -- Analyst Chris Bottiglieri -- Wolfe Research -- Analyst Bret Jordan -- Jefferies -- Analyst Alan Rifkin -- BTIG -- Analyst Chris Horvers -- JP Morgan -- Analyst Matthew Fassler -- Goldman Sachs -- Analyst Michael Baker -- Deutsche Bank -- Analyst Steven Forbes -- Guggenheim Securities -- Analyst Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst Ben Bienvenu -- Stephens Inc. -- Analyst Matthew McClintock -- Barclays -- Analyst David Bellinger -- Oppenheim & Co. -- Analyst Carolina Jolly -- Gabelli & Co. -- Analyst More AAP analysis This article is a transcript of this conference call produced for The Motley Fool. Advance Auto Parts Inc. (NYSE: AAP) Q4 2017 Earnings Conference Call Feb. 21, 2018, 8:00 a.m. Additionally, our comments today include certain non-GAAP financial measures.
|
Duration:88 minutes Call participants: Elisabeth Eisleben -- Director of Investor Relations Thomas Greco -- President and Chief Executive Officer Thomas Okray -- Executive Vice President and Chief Financial Officer Bob Cushing -- Executive Vice President of Professional Seth Sigman -- Credit Suisse Securities -- Analyst Michael Lasser -- UBS Securities -- Analyst Simeon Gutman -- Morgan Stanley -- Analyst Seth Basham -- Wedbush Securities -- Analyst Greg Melich -- MoffettNathanson -- Analyst Scot Ciccarelli -- RBC Capital Markets -- Analyst Dan Wewer -- Raymond James & Associates -- Analyst Chris Bottiglieri -- Wolfe Research -- Analyst Bret Jordan -- Jefferies -- Analyst Alan Rifkin -- BTIG -- Analyst Chris Horvers -- JP Morgan -- Analyst Matthew Fassler -- Goldman Sachs -- Analyst Michael Baker -- Deutsche Bank -- Analyst Steven Forbes -- Guggenheim Securities -- Analyst Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst Ben Bienvenu -- Stephens Inc. -- Analyst Matthew McClintock -- Barclays -- Analyst David Bellinger -- Oppenheim & Co. -- Analyst Carolina Jolly -- Gabelli & Co. -- Analyst More AAP analysis This article is a transcript of this conference call produced for The Motley Fool. Advance Auto Parts Inc. (NYSE: AAP) Q4 2017 Earnings Conference Call Feb. 21, 2018, 8:00 a.m. Additionally, our comments today include certain non-GAAP financial measures.
|
Duration:88 minutes Call participants: Elisabeth Eisleben -- Director of Investor Relations Thomas Greco -- President and Chief Executive Officer Thomas Okray -- Executive Vice President and Chief Financial Officer Bob Cushing -- Executive Vice President of Professional Seth Sigman -- Credit Suisse Securities -- Analyst Michael Lasser -- UBS Securities -- Analyst Simeon Gutman -- Morgan Stanley -- Analyst Seth Basham -- Wedbush Securities -- Analyst Greg Melich -- MoffettNathanson -- Analyst Scot Ciccarelli -- RBC Capital Markets -- Analyst Dan Wewer -- Raymond James & Associates -- Analyst Chris Bottiglieri -- Wolfe Research -- Analyst Bret Jordan -- Jefferies -- Analyst Alan Rifkin -- BTIG -- Analyst Chris Horvers -- JP Morgan -- Analyst Matthew Fassler -- Goldman Sachs -- Analyst Michael Baker -- Deutsche Bank -- Analyst Steven Forbes -- Guggenheim Securities -- Analyst Elizabeth Suzuki -- Bank of America Merrill Lynch -- Analyst Ben Bienvenu -- Stephens Inc. -- Analyst Matthew McClintock -- Barclays -- Analyst David Bellinger -- Oppenheim & Co. -- Analyst Carolina Jolly -- Gabelli & Co. -- Analyst More AAP analysis This article is a transcript of this conference call produced for The Motley Fool. Advance Auto Parts Inc. (NYSE: AAP) Q4 2017 Earnings Conference Call Feb. 21, 2018, 8:00 a.m. Additionally, our comments today include certain non-GAAP financial measures.
|
11437.0
|
2018-02-21 00:00:00 UTC
|
Mid-Day Market Update: Dow Gains Over 100 Points; Tile Shop Shares Fall On Earnings Miss
|
AAP
|
https://www.nasdaq.com/articles/mid-day-market-update-dow-gains-over-100-points-tile-shop-shares-fall-earnings-miss-2018
|
nan
|
nan
|
Midway through trading Wednesday, the Dow traded up 0.53 percent to 25,098.10 while the NASDAQ climbed 0.86 percent to 7,296.72. The S&P also rose, gaining 0.63 percent to 2,733.41.
Leading and Lagging Sectors
Wednesday morning, the energy shares climbed 0.91 percent. Meanwhile, top gainers in the sector included Ballard Power Systems Inc. ( USA ) (NASDAQ: BLDP ), up 9 percent, and Advantage Oil & Gas Ltd ( USA ) (NYSE: AAV ), up 6 percent.
In trading on Wednesday, utilities shares rose by just 0.2 percent. Meanwhile, top losers in the sector included Vectren Corp (NYSE: VVC ), down 3 percent, and Atlantic Power Corp (NYSE: AT ) down 1.5 percent.
Top Headline
Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter.
The company said it earned $0.77 per share in the fourth quarter on revenue of $2.04 billion versus expectations of $0.63 per share on revenue of $2.02 billion.
Advance Auto Parts expects FY 2018 sales of $9.1 billion to $9.4 billion, versus analysts' estimates of $9.5 billion.
Equities Trading UP
The Hackett Group, Inc. (NASDAQ: HCKT ) shares shot up 14 percent to $19.07 as the company posted upbeat quarterly earnings and increased its annual dividend from $0.30 to $0.34 per share.
Shares of Anthera Pharmaceuticals Inc (NASDAQ: ANTH ) got a boost, shooting up 34 percent to $2.26. Roth Capital initiated coverage on Anthera Pharmaceuticals with a Buy rating and a $10.00 price target.
Quad/Graphics, Inc. (NASDAQ: QUAD ) shares were also up, gaining 20 percent to $26.54 after the company reported upbeat Q4 earnings. The company also announced the acquisition of Ivie & Associates.
Equities Trading DOWN
Tile Shop Hldgs, Inc. (NASDAQ: TTS ) shares dropped 28 percent to $6.12 after the company reported weaker-than-expected Q4 results.
Shares of QTS Realty Trust Inc (NYSE: QTS ) were down 21 percent to $34.86. QTS Realty reported a Q4 loss of $0.29 per share on revenue of $118.9 million. The company also reported a strategic restructuring to accelerate growth and profitability.
.
Aegean Marine Petroleum Network Inc. (NYSE: ANW ) was down, falling around 29 percent to $3.20 after the company announced plans to acquire HEC Europe for $367 million and reported preliminary earnings for the fourth quarter.
Commodities
In commodity news, oil traded down 0.40 percent to $61.54 while gold traded up 0.12 percent to $1,332.80.
Silver traded up 0.83 percent Wednesday to $16.65, while copper rose 0.03 percent to $3.2145.
Eurozone
European shares were mixed today. The eurozone's STOXX 600 rose 0.07 percent, the Spanish Ibex Index declined 0.70 percent, while Italy's FTSE MIB Index dipped 0.15 percent. Meanwhile the German DAX dropped 0.25 percent, and the French CAC 40 rose 0.10 percent while U.K. shares rose 0.53 percent.
Economics
The MBA's index of mortgage application activity declined 6.6 percent for the latest week.
The Johnson Redbook Retail Sales Index dropped 0.7 percent during the first two weeks of February versus January.
The IHS Markit's flash manufacturing PMI climbed to 55.9 in February, compared to previous reading of 55.5. However, economists were projecting a reading of 55.4. The services index rose to 55.9 in February versus 53.3. Economists expected a reading of 53.80.
Sales of existing homes dropped 3.2 percent at an annual rate of 5.38 million for January. However, economists expected a rate of 5.61 million.
The Federal Open Market Committee will issue minutes of its latest meeting at 2:00 p.m. ET.
Minneapolis Federal Reserve Bank President Neel Kashkari is set to speak in Minneapolis at 8:15 p.m. ET.
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Profit with More New & Research . Gain access to a streaming platform with all the information you need to invest better today. Click here to start your 14 Day Trial of Benzinga Professional
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Equities Trading DOWN Tile Shop Hldgs, Inc. (NASDAQ: TTS ) shares dropped 28 percent to $6.12 after the company reported weaker-than-expected Q4 results. Aegean Marine Petroleum Network Inc. (NYSE: ANW ) was down, falling around 29 percent to $3.20 after the company announced plans to acquire HEC Europe for $367 million and reported preliminary earnings for the fourth quarter.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. The company said it earned $0.77 per share in the fourth quarter on revenue of $2.04 billion versus expectations of $0.63 per share on revenue of $2.02 billion. Advance Auto Parts expects FY 2018 sales of $9.1 billion to $9.4 billion, versus analysts' estimates of $9.5 billion.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Midway through trading Wednesday, the Dow traded up 0.53 percent to 25,098.10 while the NASDAQ climbed 0.86 percent to 7,296.72. The eurozone's STOXX 600 rose 0.07 percent, the Spanish Ibex Index declined 0.70 percent, while Italy's FTSE MIB Index dipped 0.15 percent.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. In trading on Wednesday, utilities shares rose by just 0.2 percent. Quad/Graphics, Inc. (NASDAQ: QUAD ) shares were also up, gaining 20 percent to $26.54 after the company reported upbeat Q4 earnings.
|
11438.0
|
2018-02-21 00:00:00 UTC
|
S&P 500 Movers: DVN, AAP
|
AAP
|
https://www.nasdaq.com/articles/sp-500-movers-dvn-aap-2018-02-21
|
nan
|
nan
|
In early trading on Wednesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 12.3%. Year to date, Advance Auto Parts registers a 18.7% gain.
And the worst performing S&P 500 component thus far on the day is Devon Energy Corp. ( DVN ), trading down 10.8%. Devon Energy Corp. is lower by about 25.4% looking at the year to date performance.
Two other components making moves today are Newfield Exploration ( NFX ), trading down 7.7%, and Extra Space Storage ( EXR ), trading up 5.8% on the day.
VIDEO: S&P 500 Movers: DVN, AAP
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In early trading on Wednesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 12.3%. VIDEO: S&P 500 Movers: DVN, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Year to date, Advance Auto Parts registers a 18.7% gain.
|
VIDEO: S&P 500 Movers: DVN, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In early trading on Wednesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 12.3%. Year to date, Advance Auto Parts registers a 18.7% gain.
|
In early trading on Wednesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 12.3%. VIDEO: S&P 500 Movers: DVN, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Two other components making moves today are Newfield Exploration ( NFX ), trading down 7.7%, and Extra Space Storage ( EXR ), trading up 5.8% on the day.
|
In early trading on Wednesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 12.3%. VIDEO: S&P 500 Movers: DVN, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. And the worst performing S&P 500 component thus far on the day is Devon Energy Corp. ( DVN ), trading down 10.8%.
|
11439.0
|
2018-02-21 00:00:00 UTC
|
Mid-Morning Market Update: Markets Open Higher; Advance Auto Parts Earnings Beat Views
|
AAP
|
https://www.nasdaq.com/articles/mid-morning-market-update-markets-open-higher-advance-auto-parts-earnings-beat-views-2018
|
nan
|
nan
|
Following the market opening Wednesday, the Dow traded up 0.32 percent to 25,043.98 while the NASDAQ climbed 0.63 percent to 7,279.79. The S&P also rose, gaining 0.43 percent to 2,728.01.
Leading and Lagging Sectors
Wednesday morning, the energy shares climbed 0.63 percent. Meanwhile, top gainers in the sector included Ballard Power Systems Inc. ( USA ) (NASDAQ: BLDP ), up 6 percent, and Isramco, Inc. (NASDAQ: ISRL ), up 4 percent.
In trading on Wednesday, utilities shares rose by just 0.1 percent. Meanwhile, top losers in the sector included Vectren Corp (NYSE: VVC ), down 2 percent, and Atlantic Power Corp (NYSE: AT ) down 1.5 percent.
Top Headline
Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter.
The company said it earned $0.77 per share in the fourth quarter on revenue of $2.04 billion versus expectations of $0.63 per share on revenue of $2.02 billion.
Advance Auto Parts expects FY 2018 sales of $9.1 billion to $9.4 billion, versus analysts' estimates of $9.5 billion.
Equities Trading UP
LivePerson, Inc. (NASDAQ: LPSN ) shares shot up 11 percent to $14.57 after the company reported Q4 results and issued FY18 forecast. LivePerson also named Chris Greiner as CFO.
Shares of Chefs' Warehouse Inc (NASDAQ: CHEF ) got a boost, shooting up 8 percent to $20.92 as the company reported upbeat Q4 results.
Quad/Graphics, Inc. (NASDAQ: QUAD ) shares were also up, gaining 17 percent to $25.86 after the company reported upbeat Q4 earnings. The company also announced the acquisition of Ivie & Associates.
Equities Trading DOWN
Tile Shop Hldgs, Inc. (NASDAQ: TTS ) shares dropped 28 percent to $6.10 after the company reported weaker-than-expected Q4 results.
Shares of QTS Realty Trust Inc (NYSE: QTS ) were down 22 percent to $34.35. QTS Realty reported a Q4 loss of $0.29 per share on revenue of $118.9 million. The company also reported a strategic restructuring to accelerate growth and profitability. . Aegean Marine Petroleum Network Inc. (NYSE: ANW ) was down, falling around 22 percent to $3.45 after the company announced plans to acquire HEC Europe for $367 million and reported preliminary earnings for the fourth quarter.
Commodities
In commodity news, oil traded down 0.53 percent to $61.46 while gold traded down 0.05 percent to $1,330.60.
Silver traded down 0.26 percent Wednesday to $16.47, while copper fell 0.48 percent to $3.198.
Eurozone
European shares were mostly lower today. The eurozone's STOXX 600 fell 0.47 percent, the Spanish Ibex Index declined 0.93 percent, while Italy's FTSE MIB Index dipped 0.56 percent. Meanwhile the German DAX dropped 0.70 percent, and the French CAC 40 fell 0.39 percent while U.K. shares rose 0.10 percent.
Economics
The MBA's index of mortgage application activity declined 6.6 percent for the latest week.
The Johnson Redbook Retail Sales Index dropped 0.7 percent during the first two weeks of February versus January.
The IHS Markit's flash manufacturing PMI climbed to 55.9 in February, compared to previous reading of 55.5. However, economists were projecting a reading of 55.4. The services index rose to 55.9 in February versus 53.3. Economists expected a reading of 53.80.
Sales of existing homes dropped 3.2 percent at an annual rate of 5.38 million for January. However, economists expected a rate of 5.61 million.
The Treasury is set to auction 5-year notes at 1:00 p.m. ET.
The Federal Open Market Committee will issue minutes of its latest meeting at 2:00 p.m. ET.
Minneapolis Federal Reserve Bank President Neel Kashkari is set to speak in Minneapolis at 8:15 p.m. ET.
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Profit with More New & Research . Gain access to a streaming platform with all the information you need to invest better today. Click here to start your 14 Day Trial of Benzinga Professional
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Equities Trading UP LivePerson, Inc. (NASDAQ: LPSN ) shares shot up 11 percent to $14.57 after the company reported Q4 results and issued FY18 forecast. Equities Trading DOWN Tile Shop Hldgs, Inc. (NASDAQ: TTS ) shares dropped 28 percent to $6.10 after the company reported weaker-than-expected Q4 results.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. The company said it earned $0.77 per share in the fourth quarter on revenue of $2.04 billion versus expectations of $0.63 per share on revenue of $2.02 billion. Equities Trading UP LivePerson, Inc. (NASDAQ: LPSN ) shares shot up 11 percent to $14.57 after the company reported Q4 results and issued FY18 forecast.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Following the market opening Wednesday, the Dow traded up 0.32 percent to 25,043.98 while the NASDAQ climbed 0.63 percent to 7,279.79. The eurozone's STOXX 600 fell 0.47 percent, the Spanish Ibex Index declined 0.93 percent, while Italy's FTSE MIB Index dipped 0.56 percent.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Following the market opening Wednesday, the Dow traded up 0.32 percent to 25,043.98 while the NASDAQ climbed 0.63 percent to 7,279.79. Equities Trading UP LivePerson, Inc. (NASDAQ: LPSN ) shares shot up 11 percent to $14.57 after the company reported Q4 results and issued FY18 forecast.
|
11440.0
|
2018-02-21 00:00:00 UTC
|
Eyes on the Fed as Stocks Point to Flat Opening
|
AAP
|
https://www.nasdaq.com/articles/eyes-fed-stocks-point-flat-opening-2018-02-21
|
nan
|
nan
|
U.S. stock futures are pointing to a flat opening this morning. The Dow Jones Industrial Average is signaling a drop of around 30 points, with the broad-market S&P 500 indicating effectively no change.
Getty Images
Asian markets were mostly positive overnight. Taiwan's TAIEX 50 index was up 2.7% as the market reopened following the lunar New Year. Hong Kong's Hang Seng jumped 1.4%, and the Singapore Straits Times rose 1.1%. Japan's Nikkei edged up 0.2%. Major European indexes have opened flat to slightly lower.
Eyes are on the Federal Reserve yet again. Markets are looking ahead to the release of the minutes from the January meeting of the Fed's Open Market Committee, the last under Janet Yellen, at 2 p.m. EST. Traders are hoping they will shed more light on how hawkish the Fed is turning, its worries about inflation, and the chances it will hike short-term interest rates four times this year instead of the expected three.
Worries about slowly rising inflation and bond yields were a cause of the turmoil that has hit stock markets this month. The 10-year Treasury yield is showing no change yet this morning at 2.89%. But rates have already risen notably so far this year, and it's feared that the recent tax-cut and budget deals may push them still higher. The U.S. government now pays more interest to borrow for three months-1.69%-than the U.K. Government pays, 1.55%, for 10 years.
Morning Movers
Advance Auto Parts (AAP) is up 3.8% in early-morning trading, to $109.31, as its better-than-expected fourth quarter overshadowed weak guidance. The auto-parts retailer said it earned 77 cents a share on revenue that fell 2.2% year over year to $2.04 billion. Analysts were looking for earnings of 64 cents a share on revenue of $2.01 billion. For the full year, it sees revenue of $9.1 billion to $9.4 billion, below the $9.54 billion consensus estimate. Advance had a rocky 2017 and fell 34% in the past year, as investors worried about the sector's vulnerability to Amazon.com (AMZN).
Garmin (GRMN) is up 0.9%, to $65.43, after its upbeat fourth-quarter results and forecast. The fitness-device maker said it earned 79 cents a share on revenue that rose 3.2% year over year to $888.49 million. Analysts were looking for earnings of 76 cents a share on revenue of $972.73 million. For the full year, it sees earnings per share of $3.05, above the $2.97 consensus estimate.
Transocean (RIG) is down 0.4%, to $9.05, after reporting fourth-quarter earnings, despite a smaller than expected loss. The energy-services company said it lost 24 cents a share in the quarter, on revenue that fell 35.4% year over year to $629 million. Analysts were looking for a 28-cent loss on revenue of $619.66 million.
Merck (MRK) is up 0.5%, to $55.25, on news that it acquired Australian-based cancer treatment firm Viralytics for $394 million.
Mosaic (MOS) is up 2.2%, to $27.36, after JPMorgan upgraded the stock to Overweight from Neutral. - Teresa Rivas
The View From Silicon Valley
If this were an Olympic event, NBC Sports Digital would win gold. The TV network? Bronze, at best.
Broadcast ratings for the Winter Olympics resembled the downhill course at Yongpyong Alpine Centre, sliding 7% to a 12.0 rating from 12.9 for the 2014 Sochi Games. But live-streaming numbers are soaring like ski-jumping champions Kamil Stoch and Maren Lundby: They've tripled from 2014, to 1.31 billion minutes through Sunday at NBCOlympics.com. Unique views of live content are also soaring 174% to 11.6 million.
Getty Images
To be sure, the growth of streaming has much to do with the decline in TV viewing, but such are the realities of sports consumption in an era of cord-cutting. Just ask ESPN and the NFL, whose ratings have eroded as more consumers, especially those under 30, opt for digital devices to view sports and entertainment content.
NBC, which paid $1 billion for rights to the Pyeonchang Games, well understands the changing landscape. It spreads content on streaming, cable, and broadcast platforms. It has for these Olympics and soccer's Premier League in the U.S., and it plans to do the same for the 2020 Summer Olympics in Tokyo.
Still, live-viewing habits are hard to maintain. Factoring in NBCSN and digital, Sunday's prime-time coverage scored a 10.2 rating and averaged 18.2 million viewers, a drop of 35% from the 2016 Summer Olympics, which had similar streaming options, according to Sports Media Watch, which analyzes sports TV ratings.
NBC's 12.0 rating is the lowest average at this point for any Olympics since 1992, says SMW.
That won't get the network on the winners' podium. - Jon Swartz
Sign up to Review & Preview, a new daily email from Barron's. Every evening we'll review the news that moved markets during the day and look ahead to what it means for your portfolio in the morning.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Morning Movers Advance Auto Parts (AAP) is up 3.8% in early-morning trading, to $109.31, as its better-than-expected fourth quarter overshadowed weak guidance. Traders are hoping they will shed more light on how hawkish the Fed is turning, its worries about inflation, and the chances it will hike short-term interest rates four times this year instead of the expected three. But live-streaming numbers are soaring like ski-jumping champions Kamil Stoch and Maren Lundby: They've tripled from 2014, to 1.31 billion minutes through Sunday at NBCOlympics.com.
|
Morning Movers Advance Auto Parts (AAP) is up 3.8% in early-morning trading, to $109.31, as its better-than-expected fourth quarter overshadowed weak guidance. The auto-parts retailer said it earned 77 cents a share on revenue that fell 2.2% year over year to $2.04 billion. For the full year, it sees revenue of $9.1 billion to $9.4 billion, below the $9.54 billion consensus estimate.
|
Morning Movers Advance Auto Parts (AAP) is up 3.8% in early-morning trading, to $109.31, as its better-than-expected fourth quarter overshadowed weak guidance. The auto-parts retailer said it earned 77 cents a share on revenue that fell 2.2% year over year to $2.04 billion. The fitness-device maker said it earned 79 cents a share on revenue that rose 3.2% year over year to $888.49 million.
|
Morning Movers Advance Auto Parts (AAP) is up 3.8% in early-morning trading, to $109.31, as its better-than-expected fourth quarter overshadowed weak guidance. Unique views of live content are also soaring 174% to 11.6 million. Factoring in NBCSN and digital, Sunday's prime-time coverage scored a 10.2 rating and averaged 18.2 million viewers, a drop of 35% from the 2016 Summer Olympics, which had similar streaming options, according to Sports Media Watch, which analyzes sports TV ratings.
|
11441.0
|
2018-02-21 00:00:00 UTC
|
Consumer Sector Update for 02/21/2018: AAP, RUTH, VPG, WWW
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-02212018-aap-ruth-vpg-www-2018-02-21
|
nan
|
nan
|
Top Consumer Shares:
WMT: +1.1%
MCD: flat
DIS: flat
CVS: -0.4%
KO: +0.1%
PG: flat
Consumer shares were higher ahead of the opening bell on Wednesday.
Expected movers:
- Advance Auto Parts ( AAP ): fiscal Q4 results top views, comp sales decline 2.6%; sees full-year revenue below Street
- Ruth's Hospitality ( RUTH ): posts Q4 adjusted EPS of $0.44 vs. $0.31 year earlier; revenue tops Street forecasts
- Vishay Precision ( VPG ): beats Street view with Q4 EPS of $0.39 on revenue of $69.4 million
- Wolverine World Wide ( WWW ): fiscal Q4 EPS meets views, revenue misses
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Expected movers: - Advance Auto Parts ( AAP ): fiscal Q4 results top views, comp sales decline 2.6%; sees full-year revenue below Street - Ruth's Hospitality ( RUTH ): posts Q4 adjusted EPS of $0.44 vs. $0.31 year earlier; revenue tops Street forecasts - Vishay Precision ( VPG ): beats Street view with Q4 EPS of $0.39 on revenue of $69.4 million - Wolverine World Wide ( WWW ): fiscal Q4 EPS meets views, revenue misses The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. PG: flat Consumer shares were higher ahead of the opening bell on Wednesday. Unauthorized reproduction is strictly prohibited.
|
Expected movers: - Advance Auto Parts ( AAP ): fiscal Q4 results top views, comp sales decline 2.6%; sees full-year revenue below Street - Ruth's Hospitality ( RUTH ): posts Q4 adjusted EPS of $0.44 vs. $0.31 year earlier; revenue tops Street forecasts - Vishay Precision ( VPG ): beats Street view with Q4 EPS of $0.39 on revenue of $69.4 million - Wolverine World Wide ( WWW ): fiscal Q4 EPS meets views, revenue misses The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Top Consumer Shares: The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Expected movers: - Advance Auto Parts ( AAP ): fiscal Q4 results top views, comp sales decline 2.6%; sees full-year revenue below Street - Ruth's Hospitality ( RUTH ): posts Q4 adjusted EPS of $0.44 vs. $0.31 year earlier; revenue tops Street forecasts - Vishay Precision ( VPG ): beats Street view with Q4 EPS of $0.39 on revenue of $69.4 million - Wolverine World Wide ( WWW ): fiscal Q4 EPS meets views, revenue misses The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. All rights reserved. Unauthorized reproduction is strictly prohibited.
|
Expected movers: - Advance Auto Parts ( AAP ): fiscal Q4 results top views, comp sales decline 2.6%; sees full-year revenue below Street - Ruth's Hospitality ( RUTH ): posts Q4 adjusted EPS of $0.44 vs. $0.31 year earlier; revenue tops Street forecasts - Vishay Precision ( VPG ): beats Street view with Q4 EPS of $0.39 on revenue of $69.4 million - Wolverine World Wide ( WWW ): fiscal Q4 EPS meets views, revenue misses The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. PG: flat Consumer shares were higher ahead of the opening bell on Wednesday. Copyright (C) 2016 MTNewswires.com.
|
11442.0
|
2018-02-21 00:00:00 UTC
|
Advance Auto Parts (AAP) Q4 Earnings Top Estimates, Down Y/Y
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-q4-earnings-top-estimates-down-y-y-2018-02-21
|
nan
|
nan
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. The figure, however, surpassed the Zacks Consensus Estimate of 65 cents. Adjusted operating income declined to $113.7 million from $125.6 million in the fourth quarter of fiscal 2016.
Advance Auto Parts reported revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion. Revenues were 2.2% lower than the year-ago quarter. During the quarter, comparable store sales were down 2.6% year over year.
Gross profit declined to $873.6 million in the reported quarter from $907.6 million a year ago. Gross margin declined 69 basis points year over year to 42.9%.
Adjusted selling, general and administrative (SG&A) expenses totaled $759.9 million or 37.3% of sales compared with $781.9 million or 37.5% of sales in the year-ago period.
In 2017, earnings came in at $5.37, lower than the 2016 figure of $7.15 per share. In 2017, total revenues also decreased to $9.37 billion from $9.57 billion in 2016.
Financial Position
Advance Auto Parts had cash and cash equivalents of $546.9 million as of Dec 30, 2017, up from $135.2 million as of Dec 31, 2016. Total long-term debt was $1.04 billion as of Dec 30, 2017, almost unchanged from the figure released on Dec 31, 2016.
In 2017, operating cash flow was $600.8 million compared with $523.3 million in 2016.
Store Update
As of Dec 30, 2017, Advance Auto Parts operated 5,074 stores and 129 Worldpac branches and served approximately 1,218 independently-owned Carquest stores.
Advance Auto Parts carries a Zacks Rank #2 (Buy).
Other top-ranked companies in the auto space include General Motors Company GM , Daimler AG DDAIF and Lear Corporation LEA . Each of these stocks carries a Zacks Rank #2. You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here .
General Motors has an expected long-term growth rate of 8.4%. In the past six months, shares of the company have grown 16.8%.
Daimler has an expected long-term growth rate of 5%. The shares of the company have risen 22.4% in the past six months.
Lear has an expected long-term growth rate of 7.1%. In the past six months, shares of the company have grown 33.2%.
Advance Auto Parts, Inc. Price, Consensus and EPS Surprise
Advance Auto Parts, Inc. Price, Consensus and EPS Surprise | Advance Auto Parts, Inc. Quote
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7% and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Daimler AG (DDAIF): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
Lear Corporation (LEA): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Daimler AG (DDAIF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Lear Corporation (LEA): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts carries a Zacks Rank #2 (Buy).
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Daimler AG (DDAIF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Lear Corporation (LEA): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. Price, Consensus and EPS Surprise Advance Auto Parts, Inc. Price, Consensus and EPS Surprise | Advance Auto Parts, Inc. Quote Today's Stocks from Zacks' Hottest Strategies It's hard to believe, even for us at Zacks.
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Daimler AG (DDAIF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Lear Corporation (LEA): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. Price, Consensus and EPS Surprise Advance Auto Parts, Inc. Price, Consensus and EPS Surprise | Advance Auto Parts, Inc. Quote Today's Stocks from Zacks' Hottest Strategies It's hard to believe, even for us at Zacks.
|
Advance Auto Parts, Inc.AAP reported adjusted earnings of 77 cents per share in the fourth quarter of fiscal 2017 (ended Dec 30, 2017), declining from $1 in the prior-year quarter. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Daimler AG (DDAIF): Free Stock Analysis Report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Lear Corporation (LEA): Free Stock Analysis Report To read this article on Zacks.com click here. Gross profit declined to $873.6 million in the reported quarter from $907.6 million a year ago.
|
11443.0
|
2018-02-21 00:00:00 UTC
|
Advance Auto Parts' (AAP) Q4 Earnings Beat Estimate
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-q4-earnings-beat-estimate-2018-02-21
|
nan
|
nan
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported fourth-quarter 2017 results, wherein adjusted earnings of cents per share of 77 cents surpassed the Zacks Consensus Estimate of 65 cents.
Revenue
Advance Auto Parts posted revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion. Revenues in the year-ago quarter were $2.08 billion.
Earnings Estimates Revision
Before posting a beat in Q4, the company delivered negative surprise in three out of prior four quarters and beat in the other occasion.
Overall, the company missed the Zacks Consensus Estimate by an average of 4.5% in the trailing four quarters.
Advance Auto Parts, Inc. Price and EPS Surprise
Advance Auto Parts, Inc. Price and EPS Surprise | Advance Auto Parts, Inc. Quote
Key Stats/Developments to Note
As of Dec 30, 2017, Advance Auto Parts operated 5,074 stores and 129 Worldpac branches and served approximately 1,218 independently owned Carquest stores.
Zacks Rank
Currently, Advance Auto Parts carries a Zacks Rank #2 (Buy) which is subject to change following the earnings announcement. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Check back later for our full write up on Advance Auto Parts earnings report!
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported fourth-quarter 2017 results, wherein adjusted earnings of cents per share of 77 cents surpassed the Zacks Consensus Estimate of 65 cents. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Overall, the company missed the Zacks Consensus Estimate by an average of 4.5% in the trailing four quarters.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported fourth-quarter 2017 results, wherein adjusted earnings of cents per share of 77 cents surpassed the Zacks Consensus Estimate of 65 cents. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Revenue Advance Auto Parts posted revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported fourth-quarter 2017 results, wherein adjusted earnings of cents per share of 77 cents surpassed the Zacks Consensus Estimate of 65 cents. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Revenue Advance Auto Parts posted revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported fourth-quarter 2017 results, wherein adjusted earnings of cents per share of 77 cents surpassed the Zacks Consensus Estimate of 65 cents. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Revenue Advance Auto Parts posted revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion.
|
11444.0
|
2018-02-21 00:00:00 UTC
|
What Happened in the Stock Market Today
|
AAP
|
https://www.nasdaq.com/articles/what-happened-stock-market-today-2018-02-21
|
nan
|
nan
|
Stocks were set to turn in strong gains after the Federal Reserve released minutes from its January meeting, but major benchmarks retreated in the last hours of the session. The Dow Jones Industrial Average (DJINDICES: ^DJI) moved above 25,000 but ultimately closed at 24,797.78. The S&P 500 (SNPINDEX: ^GSPC) gave up about half a percentage point.
Today's stock market
Data source: Yahoo! Finance.
Interest-rate-sensitive real estate shares tumbled, with the Vanguard REIT ETF (NYSEMKT: VNQ) losing 2%. Energy producers were also hit hard today; the SPDR S&P Oil & Gas Exploration & Production ETF (NYSEMKT: XOP) dropped 2.4%.
As for individual stocks, Advance Auto Parts (NYSE: AAP) rose on a big earnings beat, and Devon Energy (NYSE: DVN) fell after production problems hurt profit.
Advance Auto Parts beats earnings expectations
Retailer Advance Auto Parts announced fourth-quarter sales and earnings that beat estimates, and shares jumped 8.2%. Revenue declined 2.2% to $2.04 billion and adjusted earnings per share fell to $0.77 compared with $1.00 a year earlier. However, analysts were expecting the company to earn only $0.63 per share on sales of $2.02 billion.
Comparable-store sales fell 2.6% and gross margin dropped 69 basis points, due primarily to increased supply chain costs. The company generated free cash flow of $171 million, far above earlier guidance of $60 million.
"Through the strong dedication of our entire team, we continued to close the performance gap versus the industry and our laser focus on working capital enabled a 56% increase in free cash flow in a difficult sales environment," said CEO Tom Greco in the press release. "As we enter the second year of our transformation plan, we still have a lot that we want to accomplish."
This was the second quarter in a row Advance Auto Parts has announced declining results that still beat estimates and revved up the stock. Management set a low bar for 2018 with sales guidance of $9.1 billion to $9.4 billion, compared with the analyst consensus of $9.5 billion.
Devon shares drilled on profit miss
Oil exploration and production company Devon Energy reported disappointing profit on lower-than-expected production levels in the fourth quarter, and the stock fell 11.8%. Revenue was up 42% to $3.98 billion, and well ahead of analyst expectations of $3.52 billion in sales. But core earnings per share came in at $0.38, missing the consensus estimate of $0.63.
Devon produced an average of 548,000 oil-equivalent barrels (BOE) per day in Q4. Guidance from last quarter was for production to be between 551,000 and and 571,000. The company said that the shortfall was caused by timing issue with well tie-ins in the STACK shale play in Oklahoma and steam constraints in the Jackfish complex in Canada, both temporary issues.
Looking forward, Devon expects full-year production to increase to a range of 552,000 BOE per day to 576,000 BOE per day, compared with 543,000 in 2017. But the company pointed out that its strategy is not based on growing production rapidly. "With our disciplined multi-year plan, Devon will accelerate value creation through the pursuit of capital-efficient cash-flow growth and portfolio simplification, not top-line production growth," said CEO Dave Hager in the press release.
Devon expects to generate $2.5 billion in cumulative cash flow through 2020, and exited the quarter with $2.7 billion in cash on hand. Fourth quarter free cash flow was a negative $81 million, so the company has a way to go to meet its goals. But the market was ignoring the longer term today, and seemed to be more focused on short-term production.
Offer from The Motley Fool: The 10 best stocks to buy now
Motley Fool co-founders Tom and David Gardner have spent more than a decade beating the market. In fact, the newsletter they run, Motley Fool Stock Advisor , has tripled the S&P 500!*
Tom and David just revealed their ten top stock picks for investors to buy right now.
Click here to get access to the full list!
* Stock Advisor returns as of Feb. 5, 2018.
Jim Crumly has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
As for individual stocks, Advance Auto Parts (NYSE: AAP) rose on a big earnings beat, and Devon Energy (NYSE: DVN) fell after production problems hurt profit. Stocks were set to turn in strong gains after the Federal Reserve released minutes from its January meeting, but major benchmarks retreated in the last hours of the session. Comparable-store sales fell 2.6% and gross margin dropped 69 basis points, due primarily to increased supply chain costs.
|
As for individual stocks, Advance Auto Parts (NYSE: AAP) rose on a big earnings beat, and Devon Energy (NYSE: DVN) fell after production problems hurt profit. Advance Auto Parts beats earnings expectations Retailer Advance Auto Parts announced fourth-quarter sales and earnings that beat estimates, and shares jumped 8.2%. The company generated free cash flow of $171 million, far above earlier guidance of $60 million.
|
As for individual stocks, Advance Auto Parts (NYSE: AAP) rose on a big earnings beat, and Devon Energy (NYSE: DVN) fell after production problems hurt profit. Advance Auto Parts beats earnings expectations Retailer Advance Auto Parts announced fourth-quarter sales and earnings that beat estimates, and shares jumped 8.2%. Devon shares drilled on profit miss Oil exploration and production company Devon Energy reported disappointing profit on lower-than-expected production levels in the fourth quarter, and the stock fell 11.8%.
|
As for individual stocks, Advance Auto Parts (NYSE: AAP) rose on a big earnings beat, and Devon Energy (NYSE: DVN) fell after production problems hurt profit. Revenue declined 2.2% to $2.04 billion and adjusted earnings per share fell to $0.77 compared with $1.00 a year earlier. "Through the strong dedication of our entire team, we continued to close the performance gap versus the industry and our laser focus on working capital enabled a 56% increase in free cash flow in a difficult sales environment," said CEO Tom Greco in the press release.
|
11445.0
|
2018-02-21 00:00:00 UTC
|
Mid-Afternoon Market Update: Hackett Group Rises On Upbeat Earnings; QTS Realty Trust Shares Plunge
|
AAP
|
https://www.nasdaq.com/articles/mid-afternoon-market-update-hackett-group-rises-upbeat-earnings-qts-realty-trust-shares
|
nan
|
nan
|
Toward the end of trading Wednesday, the Dow traded up 0.42 percent to 25,069.38 while the NASDAQ climbed 0.78 percent to 7,290.87. The S&P also rose, gaining 0.54 percent to 2,730.88.
Leading and Lagging Sectors
Wednesday afternoon, the industrial shares climbed 0.92 percent. Meanwhile, top gainers in the sector included Quad/Graphics, Inc. (NASDAQ: QUAD ), up 27 percent, and Navigant Consulting, Inc. (NYSE: NCI ), up 16 percent.
In trading on Wednesday, telecommunications services shares rose by just 0.02 percent. Meanwhile, top losers in the sector included Vonage Holdings Corp. (NYSE: VG ), down 14 percent, and Internet Initiative Japan Inc. (ADR) (NASDAQ: IIJI ) down 4 percent.
Top Headline
Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter.
The company said it earned $0.77 per share in the fourth quarter on revenue of $2.04 billion versus expectations of $0.63 per share on revenue of $2.02 billion.
Advance Auto Parts expects FY 2018 sales of $9.1 billion to $9.4 billion, versus analysts' estimates of $9.5 billion.
Equities Trading UP
The Hackett Group, Inc. (NASDAQ: HCKT ) shares shot up 10 percent to $18.40 as the company posted upbeat quarterly earnings and increased its annual dividend from $0.30 to $0.34 per share.
Shares of Anthera Pharmaceuticals Inc (NASDAQ: ANTH ) got a boost, shooting up 57 percent to $2.65. Roth Capital initiated coverage on Anthera Pharmaceuticals with a Buy rating and a $10.00 price target.
Quad/Graphics, Inc. (NASDAQ: QUAD ) shares were also up, gaining 27 percent to $27.90 after the company reported upbeat Q4 earnings. The company also announced the acquisition of Ivie & Associates.
Equities Trading DOWN
Tile Shop Hldgs, Inc. (NASDAQ: TTS ) shares dropped 27 percent to $6.15 after the company reported weaker-than-expected Q4 results.
Shares of QTS Realty Trust Inc (NYSE: QTS ) were down 20 percent to $35.05. QTS Realty reported a Q4 loss of $0.29 per share on revenue of $118.9 million. The company also reported a strategic restructuring to accelerate growth and profitability. . Aegean Marine Petroleum Network Inc. (NYSE: ANW ) was down, falling around 44 percent to $2.50 after the company announced plans to acquire HEC Europe for $367 million and reported preliminary earnings for the fourth quarter.
Commodities
In commodity news, oil traded down 0.28 percent to $61.62 while gold traded down 0.06 percent to $1,330.40.
Silver traded up 0.86 percent Wednesday to $16.655, while copper rose 0.50 percent to $3.2295.
Eurozone
European shares closed mixed today. The eurozone's STOXX 600 rose 0.16 percent, the Spanish Ibex Index declined 0.73 percent, while Italy's FTSE MIB Index dipped 0.09 percent. Meanwhile the German DAX dropped 0.14 percent, and the French CAC 40 rose 0.23 percent while U.K. shares rose 0.48 percent.
Economics
The MBA's index of mortgage application activity declined 6.6 percent for the latest week.
The Johnson Redbook Retail Sales Index dropped 0.7 percent during the first two weeks of February versus January.
The IHS Markit's flash manufacturing PMI climbed to 55.9 in February, compared to previous reading of 55.5. However, economists were projecting a reading of 55.4. The services index rose to 55.9 in February versus 53.3. Economists expected a reading of 53.80.
Sales of existing homes dropped 3.2 percent at an annual rate of 5.38 million for January. However, economists expected a rate of 5.61 million.
The Federal Open Market Committee released minutes of its latest meeting.
Minneapolis Federal Reserve Bank President Neel Kashkari is set to speak in Minneapolis at 8:15 p.m. ET.
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Profit with More New & Research . Gain access to a streaming platform with all the information you need to invest better today. Click here to start your 14 Day Trial of Benzinga Professional
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Equities Trading DOWN Tile Shop Hldgs, Inc. (NASDAQ: TTS ) shares dropped 27 percent to $6.15 after the company reported weaker-than-expected Q4 results. Aegean Marine Petroleum Network Inc. (NYSE: ANW ) was down, falling around 44 percent to $2.50 after the company announced plans to acquire HEC Europe for $367 million and reported preliminary earnings for the fourth quarter.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. The company said it earned $0.77 per share in the fourth quarter on revenue of $2.04 billion versus expectations of $0.63 per share on revenue of $2.02 billion. Advance Auto Parts expects FY 2018 sales of $9.1 billion to $9.4 billion, versus analysts' estimates of $9.5 billion.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. Toward the end of trading Wednesday, the Dow traded up 0.42 percent to 25,069.38 while the NASDAQ climbed 0.78 percent to 7,290.87. The eurozone's STOXX 600 rose 0.16 percent, the Spanish Ibex Index declined 0.73 percent, while Italy's FTSE MIB Index dipped 0.09 percent.
|
Top Headline Advance Auto Parts, Inc. (NYSE: AAP ) reported stronger-than-expected earnings for its fourth quarter. In trading on Wednesday, telecommunications services shares rose by just 0.02 percent. Quad/Graphics, Inc. (NASDAQ: QUAD ) shares were also up, gaining 27 percent to $27.90 after the company reported upbeat Q4 earnings.
|
11446.0
|
2018-02-21 00:00:00 UTC
|
Consumer Sector Update for 02/21/2018: WWW,AAP,RUTH
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-02212018-wwwaapruth-2018-02-21
|
nan
|
nan
|
Top Consumer Stocks
WMT -2.25%
MCD +1.93%
DIS +0.30%
CVS -1.66%
KO -0.32%
Consumer stocks were broadly mixed Wednesday, with shares of consumer staples companies in the S&P 500 sinking nearly 0.2% this afternoon while shares of consumer discretionary firms in the S&P 500 were rising more than 0.9% in recent trading.
In industry news:
Same-store sales at the 20 largest retail chains rose 3.7% during the week ended Feb. 17 compared with the same week last year, the strongest reading since Jan. 20 and adding 0.9 percentage points to the prior week's pace of growth. On a month-over-month basis, sales last week were again down 0.7% although the rate of decline slowed by 0.4 percentage points from the prior week. Month-to-date same-store sales were up 3.2% over the first three weeks of February 2016.
Among consumer stocks moving on news:
- Wolverine World Wide ( WWW ) was getting stomped Wednesday, although shares of the footwear and branded apparel company have more than halved a prior 6% decline to a session low of $28.91 a share, that followed it reporting below-consensus Q4 sales. Net sales fell to $578.6 million from $729.6 million during the same quarter last year and missing the Capital IQ consensus expecting $579.9 million in sales for the three months ended Dec. 30. Excluding one-time items, the company also earned $0.41, up from adjusted profit of $0.34 per share during the year-ago period and matching analyst estimates. Looking ahead to FY18, Wolverine is projecting adjusted per-share earnings in a range of EPS of $1.95 to $2.05, boosting the top end of its prior outlook by 25% and straddling the $2.01 per share Street view.
In other sector news:
+ Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Excluding one-time items, it earned $0.77 per share compared with $1.00 per share during the year-ago period and beating the Capital IQ consensus by $0.12 per share. Total revenue grew to $2.04 billion from $2.08 billion last year, also exceeding the $2.02 billion Street view. Same-store sale slid 2.6% from year-ago levels, or less than the 3.8% decline analysts were modelling but also reversing a 3.1% increase during the final three months of 2016. The company also is expecting FY18 net sales in a range of $9.1 billion to $9.4 billion, trailing the $9.55 billion analyst mean. Same-store sales are seen falling between 2% to 0% compared with FY18..
+ Ruth's Hospitality Group ( RUTH ) was moderately higher Wednesday afternoon following the restaurant chain reporting adjusted Q4 net income of $0.44 per share, up from $0.31 during the same quarter last year and topping analyst projections by $0.05 per share. Revenue rose to $124.1 million in the quarter from $107.6 million during year-ago levels, also edging past the $123.4 million consenus.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Excluding one-time items, the company also earned $0.41, up from adjusted profit of $0.34 per share during the year-ago period and matching analyst estimates. Looking ahead to FY18, Wolverine is projecting adjusted per-share earnings in a range of EPS of $1.95 to $2.05, boosting the top end of its prior outlook by 25% and straddling the $2.01 per share Street view.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. In industry news: Same-store sales at the 20 largest retail chains rose 3.7% during the week ended Feb. 17 compared with the same week last year, the strongest reading since Jan. 20 and adding 0.9 percentage points to the prior week's pace of growth. Net sales fell to $578.6 million from $729.6 million during the same quarter last year and missing the Capital IQ consensus expecting $579.9 million in sales for the three months ended Dec. 30.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Among consumer stocks moving on news: - Wolverine World Wide ( WWW ) was getting stomped Wednesday, although shares of the footwear and branded apparel company have more than halved a prior 6% decline to a session low of $28.91 a share, that followed it reporting below-consensus Q4 sales. Net sales fell to $578.6 million from $729.6 million during the same quarter last year and missing the Capital IQ consensus expecting $579.9 million in sales for the three months ended Dec. 30.
|
In other sector news: + Advance Auto Parts Inc ( AAP ) was surging Wednesday, rising as much as 13% to a session high of $119.30 a share, after the auto-parts retailer reported better-than-expected Q4 net income and sales, with material cost improvements helping to partially offset increased supply chain costs and the non-cash impact of inventory optimization. Among consumer stocks moving on news: - Wolverine World Wide ( WWW ) was getting stomped Wednesday, although shares of the footwear and branded apparel company have more than halved a prior 6% decline to a session low of $28.91 a share, that followed it reporting below-consensus Q4 sales. Net sales fell to $578.6 million from $729.6 million during the same quarter last year and missing the Capital IQ consensus expecting $579.9 million in sales for the three months ended Dec. 30.
|
11447.0
|
2018-02-21 00:00:00 UTC
|
Notable Wednesday Option Activity: GOOG, AAP, DISH
|
AAP
|
https://www.nasdaq.com/articles/notable-wednesday-option-activity-goog-aap-dish-2018-02-21
|
nan
|
nan
|
Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Alphabet Inc (Symbol: GOOG), where a total volume of 15,532 contracts has been traded thus far today, a contract volume which is representative of approximately 1.6 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 71% of GOOG's average daily trading volume over the past month, of 2.2 million shares. Especially high volume was seen for the $1360 strike call option expiring April 20, 2018 , with 656 contracts trading so far today, representing approximately 65,600 underlying shares of GOOG. Below is a chart showing GOOG's trailing twelve month trading history, with the $1360 strike highlighted in orange:
Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 9,297 contracts, representing approximately 929,700 underlying shares or approximately 68.3% of AAP's average daily trading volume over the past month, of 1.4 million shares. Especially high volume was seen for the $125 strike call option expiring March 16, 2018 , with 2,471 contracts trading so far today, representing approximately 247,100 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $125 strike highlighted in orange:
And Dish Network Corp (Symbol: DISH) saw options trading volume of 15,073 contracts, representing approximately 1.5 million underlying shares or approximately 60.3% of DISH's average daily trading volume over the past month, of 2.5 million shares. Particularly high volume was seen for the $37.50 strike put option expiring June 15, 2018 , with 2,842 contracts trading so far today, representing approximately 284,200 underlying shares of DISH. Below is a chart showing DISH's trailing twelve month trading history, with the $37.50 strike highlighted in orange:
For the various different available expirations for GOOG options , AAP options , or DISH options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Especially high volume was seen for the $125 strike call option expiring March 16, 2018 , with 2,471 contracts trading so far today, representing approximately 247,100 underlying shares of AAP. Below is a chart showing GOOG's trailing twelve month trading history, with the $1360 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 9,297 contracts, representing approximately 929,700 underlying shares or approximately 68.3% of AAP's average daily trading volume over the past month, of 1.4 million shares. Below is a chart showing AAP's trailing twelve month trading history, with the $125 strike highlighted in orange: And Dish Network Corp (Symbol: DISH) saw options trading volume of 15,073 contracts, representing approximately 1.5 million underlying shares or approximately 60.3% of DISH's average daily trading volume over the past month, of 2.5 million shares.
|
Below is a chart showing GOOG's trailing twelve month trading history, with the $1360 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 9,297 contracts, representing approximately 929,700 underlying shares or approximately 68.3% of AAP's average daily trading volume over the past month, of 1.4 million shares. Below is a chart showing AAP's trailing twelve month trading history, with the $125 strike highlighted in orange: And Dish Network Corp (Symbol: DISH) saw options trading volume of 15,073 contracts, representing approximately 1.5 million underlying shares or approximately 60.3% of DISH's average daily trading volume over the past month, of 2.5 million shares. Especially high volume was seen for the $125 strike call option expiring March 16, 2018 , with 2,471 contracts trading so far today, representing approximately 247,100 underlying shares of AAP.
|
Below is a chart showing GOOG's trailing twelve month trading history, with the $1360 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 9,297 contracts, representing approximately 929,700 underlying shares or approximately 68.3% of AAP's average daily trading volume over the past month, of 1.4 million shares. Below is a chart showing AAP's trailing twelve month trading history, with the $125 strike highlighted in orange: And Dish Network Corp (Symbol: DISH) saw options trading volume of 15,073 contracts, representing approximately 1.5 million underlying shares or approximately 60.3% of DISH's average daily trading volume over the past month, of 2.5 million shares. Especially high volume was seen for the $125 strike call option expiring March 16, 2018 , with 2,471 contracts trading so far today, representing approximately 247,100 underlying shares of AAP.
|
Below is a chart showing GOOG's trailing twelve month trading history, with the $1360 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 9,297 contracts, representing approximately 929,700 underlying shares or approximately 68.3% of AAP's average daily trading volume over the past month, of 1.4 million shares. Below is a chart showing AAP's trailing twelve month trading history, with the $125 strike highlighted in orange: And Dish Network Corp (Symbol: DISH) saw options trading volume of 15,073 contracts, representing approximately 1.5 million underlying shares or approximately 60.3% of DISH's average daily trading volume over the past month, of 2.5 million shares. Especially high volume was seen for the $125 strike call option expiring March 16, 2018 , with 2,471 contracts trading so far today, representing approximately 247,100 underlying shares of AAP.
|
11448.0
|
2018-02-21 00:00:00 UTC
|
Why Shares of Advance Auto Parts Are up 11% Wednesday
|
AAP
|
https://www.nasdaq.com/articles/why-shares-advance-auto-parts-are-11-wednesday-2018-02-21
|
nan
|
nan
|
What happened?
Shares of Advance Auto Parts (NYSE: AAP) , a leading aftermarket automotive parts retailer, are up 11% as of 12:00 p.m. EST after the company released fourth-quarter earnings that topped estimates despite declining year over year.
So what
Advance Auto Parts posted revenue of $2.04 billion during the fourthquarter, which topped analysts' estimates of $2.02 billion. Its bottom line adjusted for one-time items checked in at $0.77 per share and also topped analysts' estimates calling for $0.65 per share.
Tom Greco, President and Chief Executive Officer, commented in a press release:
Now what
This is simply another step on the road to Advance's recovery, a company that has generally lagged its peers in profitability, and if management can continue to close the gap with competitors, investors will be rewarded with more positive quarterly performances such as this -- although it's easier said than done.
10 stocks we like better than Advance Auto Parts
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 5, 2018
Daniel Miller has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Shares of Advance Auto Parts (NYSE: AAP) , a leading aftermarket automotive parts retailer, are up 11% as of 12:00 p.m. EST after the company released fourth-quarter earnings that topped estimates despite declining year over year. Tom Greco, President and Chief Executive Officer, commented in a press release: Now what This is simply another step on the road to Advance's recovery, a company that has generally lagged its peers in profitability, and if management can continue to close the gap with competitors, investors will be rewarded with more positive quarterly performances such as this -- although it's easier said than done. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
|
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Shares of Advance Auto Parts (NYSE: AAP) , a leading aftermarket automotive parts retailer, are up 11% as of 12:00 p.m. EST after the company released fourth-quarter earnings that topped estimates despite declining year over year. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
|
Shares of Advance Auto Parts (NYSE: AAP) , a leading aftermarket automotive parts retailer, are up 11% as of 12:00 p.m. EST after the company released fourth-quarter earnings that topped estimates despite declining year over year. 10 stocks we like better than Advance Auto Parts When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. * David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them!
|
Shares of Advance Auto Parts (NYSE: AAP) , a leading aftermarket automotive parts retailer, are up 11% as of 12:00 p.m. EST after the company released fourth-quarter earnings that topped estimates despite declining year over year. * David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
|
11449.0
|
2018-02-21 00:00:00 UTC
|
US Futures Narrowly Mixed Ahead of Fed Minutes
|
AAP
|
https://www.nasdaq.com/articles/us-futures-narrowly-mixed-ahead-fed-minutes-2018-02-21
|
nan
|
nan
|
US stock futures were narrowly mixed on Wednesday as traders stayed on the sidelines ahead of the release of latest minutes from the Fed.
Oil prices nudged lower with global benchmark Brent Crude down 0.21% and US crude West Texas Intermediate down 0.58% recently as the commodity got pressured by a rebound in the US dollar from three-year lows hit last week.
At 9:45 am, data are expected to show PMI composite flash of 54.0 for February vs 53.8 in the previous month, according to data compiled by Econoday.
At 10 am, forecasters see existing home sales of 5.650 million in January as compared to December's 5.570 million.
The minutes from the latest meeting of the Federal Open Market Committee are due for release at 2 pm.
Federal Reserve presidents Patrick Harker and Neel Kashkari are scheduled to give speeches.
In equities, shares of Advanced Auto Parts ( AAP ) were 3.5% higher pre-bell as the company reported fiscal Q4 financial results that topped Street estimates.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In equities, shares of Advanced Auto Parts ( AAP ) were 3.5% higher pre-bell as the company reported fiscal Q4 financial results that topped Street estimates. US stock futures were narrowly mixed on Wednesday as traders stayed on the sidelines ahead of the release of latest minutes from the Fed. The minutes from the latest meeting of the Federal Open Market Committee are due for release at 2 pm.
|
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In equities, shares of Advanced Auto Parts ( AAP ) were 3.5% higher pre-bell as the company reported fiscal Q4 financial results that topped Street estimates. US stock futures were narrowly mixed on Wednesday as traders stayed on the sidelines ahead of the release of latest minutes from the Fed.
|
In equities, shares of Advanced Auto Parts ( AAP ) were 3.5% higher pre-bell as the company reported fiscal Q4 financial results that topped Street estimates. US stock futures were narrowly mixed on Wednesday as traders stayed on the sidelines ahead of the release of latest minutes from the Fed. The minutes from the latest meeting of the Federal Open Market Committee are due for release at 2 pm.
|
In equities, shares of Advanced Auto Parts ( AAP ) were 3.5% higher pre-bell as the company reported fiscal Q4 financial results that topped Street estimates. US stock futures were narrowly mixed on Wednesday as traders stayed on the sidelines ahead of the release of latest minutes from the Fed. Oil prices nudged lower with global benchmark Brent Crude down 0.21% and US crude West Texas Intermediate down 0.58% recently as the commodity got pressured by a rebound in the US dollar from three-year lows hit last week.
|
11450.0
|
2018-02-20 00:00:00 UTC
|
Pre-Market Earnings Report for February 21, 2018 : SO, LNG, GRMN, DISH, OC, HFC, AAP, WEX, UTHR, BPMC, CNDT, AVA
|
AAP
|
https://www.nasdaq.com/articles/pre-market-earnings-report-february-21-2018-so-lng-grmn-dish-oc-hfc-aap-wex-uthr-bpmc-cndt
|
nan
|
nan
|
The following companies are expected to report earnings prior to market open on 02/21/2018. Visit our Earnings Calendar for a full list of expected earnings releases.
Southern Company ( SO ) is reporting for the quarter ending December 31, 2017. The electric power utilities company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.46. This value represents a 91.67% increase compared to the same quarter last year. SO missed the consensus earnings per share in the 4th calendar quarter of 2016 by -22.58%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for SO is 14.84 vs. an industry ratio of 19.20.
Cheniere Energy, Inc. ( LNG ) is reporting for the quarter ending December 31, 2017. The consensus earnings per share forecast from the 5 analysts that follow the stock is $0.34. LNG reported earnings of $-0.34 per share for the same quarter a year ago; representing a a decrease of -200.00%.
Garmin Ltd. ( GRMN ) is reporting for the quarter ending December 31, 2017. The electrical instrument company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.75. This value represents a 2.74% increase compared to the same quarter last year. In the past year GRMN has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 13.64%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for GRMN is 22.49 vs. an industry ratio of 30.60.
DISH Network Corporation ( DISH ) is reporting for the quarter ending December 31, 2017. The cable tv company's consensus earnings per share forecast from the 11 analysts that follow the stock is $0.56. This value represents a 20.00% decrease compared to the same quarter last year. The last two quarters DISH had negative earnings surprises; the latest report they missed by -5%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for DISH is 22.62 vs. an industry ratio of 135.50.
Owens Corning Inc ( OC ) is reporting for the quarter ending December 31, 2017. The building company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.03. This value represents a 43.06% increase compared to the same quarter last year. OC missed the consensus earnings per share in the 3rd calendar quarter of 2017 by -0.79%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for OC is 20.15 vs. an industry ratio of 24.30.
HollyFrontier Corporation ( HFC ) is reporting for the quarter ending December 31, 2017. The oil refining company's consensus earnings per share forecast from the 7 analysts that follow the stock is $0.82. This value represents a 1466.67% increase compared to the same quarter last year. HFC missed the consensus earnings per share in the 1st calendar quarter of 2017 by -72.73%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for HFC is 19.25 vs. an industry ratio of 0.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending December 31, 2017. The wholesale retail company's consensus earnings per share forecast from the 10 analysts that follow the stock is $0.65. This value represents a 35.00% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2017 Price to Earnings ratio for AAP is 20.49 vs. an industry ratio of 14.50, implying that they will have a higher earnings growth than their competitors in the same industry.
WEX Inc. ( WEX ) is reporting for the quarter ending December 31, 2017. The financial transactions company's consensus earnings per share forecast from the 7 analysts that follow the stock is $1.33. This value represents a 10.83% increase compared to the same quarter last year. In the past year WEX has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2017 Price to Earnings ratio for WEX is 29.72 vs. an industry ratio of 19.60, implying that they will have a higher earnings growth than their competitors in the same industry.
United Therapeutics Corporation ( UTHR ) is reporting for the quarter ending December 31, 2017. The drug company's consensus earnings per share forecast from the 5 analysts that follow the stock is $3.99. This value represents a 64.20% increase compared to the same quarter last year. The "days to cover" for this stock exceeds 10 days. Zacks Investment Research reports that the 2017 Price to Earnings ratio for UTHR is 10.41 vs. an industry ratio of -10.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Blueprint Medicines Corporation ( BPMC ) is reporting for the quarter ending December 31, 2017. The biomedical (gene) company's consensus earnings per share forecast from the 5 analysts that follow the stock is $-1.07. This value represents a 42.67% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2017 Price to Earnings ratio for BPMC is -21.72 vs. an industry ratio of -1.70.
Conduent Incorporated ( CNDT ) is reporting for the quarter ending December 31, 2017. The outsourcing company's consensus earnings per share forecast from the 4 analysts that follow the stock is $0.26. This value represents a 10.34% decrease compared to the same quarter last year. In the past year CNDT has met analyst expectations twice and beat the expectations the other two quarters. Zacks Investment Research reports that the 2017 Price to Earnings ratio for CNDT is 19.78 vs. an industry ratio of 30.50.
Avista Corporation ( AVA ) is reporting for the quarter ending December 31, 2017. The electric power utilities company's consensus earnings per share forecast from the 1 analyst that follows the stock is $0.53. This value represents a 14.52% decrease compared to the same quarter last year. The last two quarters AVA had negative earnings surprises; the latest report they missed by -6.67%. Zacks Investment Research reports that the 2017 Price to Earnings ratio for AVA is 25.11 vs. an industry ratio of 19.20, implying that they will have a higher earnings growth than their competitors in the same industry.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending December 31, 2017. Zacks Investment Research reports that the 2017 Price to Earnings ratio for AAP is 20.49 vs. an industry ratio of 14.50, implying that they will have a higher earnings growth than their competitors in the same industry. The electric power utilities company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.46.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending December 31, 2017. Zacks Investment Research reports that the 2017 Price to Earnings ratio for AAP is 20.49 vs. an industry ratio of 14.50, implying that they will have a higher earnings growth than their competitors in the same industry. The electric power utilities company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.46.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending December 31, 2017. Zacks Investment Research reports that the 2017 Price to Earnings ratio for AAP is 20.49 vs. an industry ratio of 14.50, implying that they will have a higher earnings growth than their competitors in the same industry. Zacks Investment Research reports that the 2017 Price to Earnings ratio for HFC is 19.25 vs. an industry ratio of 0.20, implying that they will have a higher earnings growth than their competitors in the same industry.
|
Advance Auto Parts Inc ( AAP ) is reporting for the quarter ending December 31, 2017. Zacks Investment Research reports that the 2017 Price to Earnings ratio for AAP is 20.49 vs. an industry ratio of 14.50, implying that they will have a higher earnings growth than their competitors in the same industry. In the past year GRMN has beat the expectations every quarter.
|
11451.0
|
2018-02-17 00:00:00 UTC
|
Advance Auto Parts reports Q4 numbers February 21
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-reports-q4-numbers-february-21-2018-02-17
|
nan
|
nan
|
What's Happening
Auto parts retailer Advance Auto Parts ( AAP ) will report fourth-quarter results before the market open February 21. The consensus calls for earnings of $0.65 per share for the quarter, versus $1.00 during the same period last year. After a rough 2017, AAP gained positive traction in the last month of the year, and is currently up 1.8% for 2018.
Technical Analysis
AAP was recently trading at $107.90, down $61.65 from its 12-month high and $29.09 above its 12-month low. Technical indicators for AAP are bearish with a possible trend reversal. The stock has recent support above $105.25 and recent resistance below $115.50. Of the 20 analysts who cover the stock, seven rate it a "strong buy", two rate it a "buy", eight rate it a "hold", one rates it a "sell", and two rate it a "strong sell". AAP gets a score of 36 from InvestorsObserver's Stock Score Report.
Analyst's Thoughts
AAP greatly underperformed the overall market in 2017, but the stock hit a bottom in November after a strong Q3 earnings beat, and has trended higher since. Shares did run into some selling pressure with the overall market, but that was to be expected, and shares should continue to trend higher as long as the market continues to recover and the quarterly report does not show any weakness. The Street expects another earnings beat, with a whisper number of $0.68, versus the consensus $0.65. If the company is able to top estimates again, shares should move higher, but with a P/E of 22.2, the upside could be limited barring a huge beat. AAP is currently trading at $106.06, and analysts have an average price target of $111.50 on the stock.
Stock Only Trade
If you're looking to establish a long stock position in AAP, consider buying the stock under $108.00. Sell if it falls below $97.50 or take profits if it gets to $124.00.
Bullish Trade
If you want a bullish hedged trade on the stock, consider a March 85/90 bull-put credit spread for a 40-cent credit. That's a potential 8.7% return (113.3% annualized*) and the stock would have to fall 16.2% to cause a problem.
Bearish Trade
If you want to take a bearish stance on the stock at this time, consider a March 125/130 bear-call credit spread for a $0.30 credit. That's a potential 6.4% return (83.2% annualized*) and the stock would have to rise 16.1% to cause a problem.
Covered Call Trade
If you like the stock, but wish to lower your cost basis on a new position, you may want to consider a March $110.00 covered call. Buy AAP shares (typically 100 shares, scale as appropriate), while selling the March $110.00 call for a debit of $103.40 per share. The trade has a target assigned return of 6.4% and a target annualized return of 86.3% (for comparison purposes only).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Originally published on InvestorsObserver.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Analyst's Thoughts AAP greatly underperformed the overall market in 2017, but the stock hit a bottom in November after a strong Q3 earnings beat, and has trended higher since. What's Happening Auto parts retailer Advance Auto Parts ( AAP ) will report fourth-quarter results before the market open February 21. After a rough 2017, AAP gained positive traction in the last month of the year, and is currently up 1.8% for 2018.
|
What's Happening Auto parts retailer Advance Auto Parts ( AAP ) will report fourth-quarter results before the market open February 21. After a rough 2017, AAP gained positive traction in the last month of the year, and is currently up 1.8% for 2018. Technical Analysis AAP was recently trading at $107.90, down $61.65 from its 12-month high and $29.09 above its 12-month low.
|
Stock Only Trade If you're looking to establish a long stock position in AAP, consider buying the stock under $108.00. Buy AAP shares (typically 100 shares, scale as appropriate), while selling the March $110.00 call for a debit of $103.40 per share. What's Happening Auto parts retailer Advance Auto Parts ( AAP ) will report fourth-quarter results before the market open February 21.
|
Analyst's Thoughts AAP greatly underperformed the overall market in 2017, but the stock hit a bottom in November after a strong Q3 earnings beat, and has trended higher since. Buy AAP shares (typically 100 shares, scale as appropriate), while selling the March $110.00 call for a debit of $103.40 per share. What's Happening Auto parts retailer Advance Auto Parts ( AAP ) will report fourth-quarter results before the market open February 21.
|
11452.0
|
2018-02-16 00:00:00 UTC
|
Advance Auto Parts (AAP) Q4 Earnings: What's in the Cards?
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-q4-earnings%3A-whats-in-the-cards-2018-02-16
|
nan
|
nan
|
Advance Auto Parts, Inc.AAP is set to report fourth-quarter and fiscal 2017 results before the opening bell on Feb 21.
Last quarter, the company delivered a positive surprise of 19.2%. Per its earnings record, it beat estimates in only one of the four trailing quarters with an average miss of 4.5%.
In the last three months, shares of Advance Auto Parts have outperformed the industry it belongs to. The stock gained 20.2%, compared with the industry's 8.9% rally during the period.
Advance Auto Parts Inc Price and EPS Surprise
Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote
Let's see, how things have shaped up for the upcoming announcement.
Factors Influencing This Quarter
Advance Auto Parts has been witnessing a continuous rise in Selling, General and Administrative (SG&A) expenses, primarily driven by higher investment toward customer-focused strategies and expenses related to store consolidation and support center restructuring. In third-quarter 2017, the company's adjusted SG&A expenses were $775.5 million or 35.5% of sales, in comparison with $770.6 million or 34.3% in the year-ago period. Also, huge pricing competition with its peers, which include both national and regional automotive retailers, is a concern for Advance Auto Parts.
However, the company's constant effort to keep on expanding its stores has been majorly driving its profits. In fiscal 2017, the company aims to open 75 to 85 new stores, while it opened 78 stores in 2016.
For the long term, the company is working toward improvising its comparable store sales and margins. The former figure is anticipated to range between remaining stable and growing 2% year over year in 2017.
Earnings Whispers
Our proven model does not conclusively show that Advance Auto Parts is likely to beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a favorable Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. But that is not the case here as you will see below.
Zacks ESP : Advance Auto Parts has an Earnings ESP of -2.63% because the Most Accurate estimate and the Zacks Consensus Estimate are pegged at 63 cents and 65 cents, respectively. You can uncover the best stocks to buy or sell, before they're reported, with our Earnings ESP Filter .
Zacks Rank : Advance Auto Parts carries a Zacks Rank of 2, which increases the predictive power of ESP. However, its combination with a negative Earnings ESP makes surprise prediction inconclusive. Note that we caution against Sell-rated stocks (#4 or 5) going into the earnings announcement, especially when the company is witnessing negative estimate revisions.
Stocks to Consider
Here are a few auto stocks worth considering from the same space, comprising the right combination of elements to come up with earnings beat this time around:
Magna International, Inc. MGA has an Earnings ESP of +1.27% and a Zacks Rank #3. The company's fourth-quarter 2017 financial results are expected to be released on Feb 22. You can see the complete list of today's Zacks #1 Rank stocks here .
LKQ Corporation LKQ has an Earnings ESP of +0.92% and a Zacks Rank of 2. The company will report fourth-quarter 2017 financial figures on Feb 22.
Spartan Motors, Inc. SPAR has an Earnings ESP of +3.85% and is a Zacks #3 Ranked player. The company's fourth-quarter 2017 financial numbers are supposed to be announced on Mar 1.
Wall Street's Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It's a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
Magna International Inc. (MGA): Free Stock Analysis Report
Spartan Motors, Inc. (SPAR): Free Stock Analysis Report
LKQ Corporation (LKQ): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc.AAP is set to report fourth-quarter and fiscal 2017 results before the opening bell on Feb 21. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report Spartan Motors, Inc. (SPAR): Free Stock Analysis Report LKQ Corporation (LKQ): Free Stock Analysis Report To read this article on Zacks.com click here. Also, huge pricing competition with its peers, which include both national and regional automotive retailers, is a concern for Advance Auto Parts.
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report Spartan Motors, Inc. (SPAR): Free Stock Analysis Report LKQ Corporation (LKQ): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP is set to report fourth-quarter and fiscal 2017 results before the opening bell on Feb 21. Advance Auto Parts Inc Price and EPS Surprise Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote Let's see, how things have shaped up for the upcoming announcement.
|
Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report Spartan Motors, Inc. (SPAR): Free Stock Analysis Report LKQ Corporation (LKQ): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc.AAP is set to report fourth-quarter and fiscal 2017 results before the opening bell on Feb 21. Advance Auto Parts Inc Price and EPS Surprise Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote Let's see, how things have shaped up for the upcoming announcement.
|
Advance Auto Parts, Inc.AAP is set to report fourth-quarter and fiscal 2017 results before the opening bell on Feb 21. Click to get this free report Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis Report Spartan Motors, Inc. (SPAR): Free Stock Analysis Report LKQ Corporation (LKQ): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc Price and EPS Surprise Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote Let's see, how things have shaped up for the upcoming announcement.
|
11453.0
|
2018-02-16 00:00:00 UTC
|
Auto Parts: Road To Recovery Lined With Ice, Aging Cars And Amazon
|
AAP
|
https://www.nasdaq.com/articles/auto-parts-road-recovery-lined-ice-aging-cars-and-amazon-2018-02-16
|
nan
|
nan
|
In one sense, auto parts retailers got crushed in 2017's bull market for stocks.
While the S&P 500 rose 19% for the year, O'Reilly Automotive ( ORLY ) ended 2017 almost 14% below where it started. AutoZone ( AZO ) fell 10%, and Advance Auto Parts ( AAP ) tanked 41%.
But while the eight-stock group collectively fell 34% in the first half of the year, it turned up sharply in July - just after major automakers reported a sixth straight month of sales declines .
Those declines signaled that new car sales had peaked in 2016. They also signaled the average age of cars on the road was likely to increase more rapidly - traditionally a positive factor for auto parts retailers.
Stock prices for auto parts chains reversed in July and collectively rallied 35% through the end of the year. In 2018, they climbed another 13% to the start of the market's January 29 pullback.
As a result, and even after the market slipped into its correction, auto parts retailers held one of the 15 strongest gains among the 197 industry groups tracked by IBD , in the six months through Thursday. Now analysts say the group, which investors often turn to as a defensive play in difficult markets, could be set for a continued rebound as industry headwinds abate.
Cold Cars Drive Parts Sales
A severe winter across the U.S., after two warm ones in a row, is good news for these banged-up companies. Snowy, icy conditions are hard on cars, battering undercarriages, corroding parts and killing batteries, which drives up demand for replacement parts. Harsh winters also spur demand for windshield wipers and washer fluid, antifreeze and other regular replacement items.
O'Reilly Automotive CEO Greg Henslee spoke during the company's Feb. 7 fourth-quarter earnings beat of healthy demand so far in 2018 "driven by favorable winter weather conditions."
Moreover, the number of cars in their "sweet spot" - six to 11 years old, when they're off warranty and in need of maintenance - is seen falling at a much slower rate over the next two years than it did in the past three. That points to a potential pickup in sales across the industry, according to Morgan Stanley.
In addition, over the next two quarters, auto parts companies face the easiest comparisons in same-store sales since 2013.
"We see a recovery in the auto parts segment in 2018, and are constructive on the group" as a result of this favorable setup, Morgan Stanley's Simeon Gutman wrote in a Jan. 17 note to clients.
Shares of O'Reilly Automotive came through the recent pullback up 3.8% from Dec. 29 through Thursday. AutoZone was up 1.8%, while Advance Auto Parts showed an 8.4% gain. The S&P 500, by comparison, had gained 1.5%.
Auto-parts providers ranked No. 18, as of Thursday, out of 197 industry groups tracked by IBD.
A Race For Two Markets
In days of old, auto parts companies mainly lured the DIY - do-it-yourself - tinkerer. Professional mechanics and repair shops ordered their parts through dealership parts desks.
But the retail chains have been gradually gaining more of the commercial or wholesale market, what the retailers now label the DIFM (do-it-for-me), market. At $74 billion, DIFM outweighs the DIY markets and is growing faster, though it was hard hit by the industry slowdown in 2017 and carries lower margins, experts say.
AutoZone is No. 1 in the number of stores with roughly 5,465 locations across the nation. But O'Reilly Automotive sports the fastest growing earnings, with a five-year annualized EPS growth rate of 21%. AutoZone has a 13% corresponding rate, Advance Auto Parts 5%, and Genuine Parts ( GPC ) 2%.
Morningstar analyst Zain Akbari says O'Reilly Automotive boasts the most fully realized dual-market approach. The DIFM market represents about 42% of sales for O'Reilly Automotive vs. 20% for AutoZone.
AutoZone is No. 1 in the $57 billion DIY market and is striving to grow its DIFM business. Advance Auto Part's commercial sales grew following its purchase of General Parts in 2014, but disruptions from the integration have weighed on its results.
Genuine Parts is the group's sales king with roughly $15.3 billion in 2016 revenue. However, only 53% of its net sales were from auto parts, the rest was from industrial, electrical and office products.
IBD'S TAKE:Don't try to guess where the market is headed next. ReadThe Big Picture every day to understand the action of the major averages and leading stocks.
In auto part retailing, a price edge is hard to come by. So customer service, in areas such as convenient locations, diagnostics and knowledgeable staff, is a big differentiator. It is also critical that vehicle parts be readily and reliably available, especially for commercial customers.
This puts large companies like O'Reilly Automotive, AutoZone, Advance Auto Parts and Genuine Parts at an advantage, Akbari says. They are able to spread out service and inventory costs over a larger sales base and negotiate lower prices to acquire products. They can stock slow-moving products at distribution centers and hubs, and quickly deliver to local stores as the need arises.
On Feb. 7, O'Reilly Automotive announced record revenue and earnings for full-year 2017. Sales grew 4% to $8.98 billion. Net income rose 9% to $1.13 billion.
"As we head into 2018, we believe the long-term demand drivers for our industry remain intact, including steady improvements in miles driven and a growing and aging vehicle fleet," chief executive Greg Henslee said that day, which also brought news of a CEO change to come in May. The Missouri-based retailer expects to open 200 new stores this year and to increase same-store sales 2% to 4% year over year.
O'Reilly Automotive should "keep grinding higher" on same-store and EPS growth, Morgan Stanley's Gutman said. But his top pick in this group is the under-earning Advance Auto Parts.
"AAP is fundamentally changing the way it does business both at the back end (supply chain) and at the front end via the customer," he wrote in December, saying the company is on the road to recovery under new management. Those changes include a tiered distribution model, including more e-commerce delivery options, use of telematics on fleets to improve order-to-delivery time, and a new business-to-business platform.
Meanwhile, Genuine Parts' NAPA brand helps to make it a sales force. It sells NAPA-labeled automotive products such as filters and batteries, while a sprawling network of independently owned stores operate under the brand name.
The company's long-standing, independent-driven business model contrasts with Advance Auto Parts' preference to own its stores, Akbari said.
Advanced Auto plans to report its Q4 results on Feb. 21. AutoZone's results are scheduled for release Feb. 26.
Other companies in the auto-parts industry group focus on different end markets. LKQ ( LKQ ) consolidated the auto salvage trade, and now dominates the market for salvage replacement parts to body shops and mechanics. Copart (CPRT), the group's fastest running stock over the past year, auctions vehicles coming off lease, being repossessed or being sold on a salvage basis by insurers, or for dealerships who are managing their inventories.
Advance Auto declined an IBD interview request, citing schedule conflicts and the upcoming Feb. 21 earnings report. O'Reilly Automotive and AutoZone did not respond to interview requests.
The Amazon Challenge, And Aging Cars
Auto parts companies, like other retailers, face massive disruption from the influence of the internet. Last year, reports of entry by Amazon.com (AMZN) to the industry sparked a sharp sell-off in the stocks.
The Amazon threat may be overblown, analysts say. The size of these retailers and their clout with suppliers mean even Amazon might struggle to scale up, particularly in the DIFM market, Gutman said. Plus, their high levels of in-store service are difficult to replicate, helping to insulate them from digital-only competitors, Akbari noted.
Regardless of Amazon, these retailers have growing e-commerce stakes. AutoZone describes digital integration as a growth priority. Advance Auto Parts enhanced its website to drive traffic.
Gutman on Jan. 17 raised his price targets for several retailers, including Advance Auto Parts from 120 to 130, AutoZone from 700 to 800, and O'Reilly Automotive from 210 to 290. These companies are some of the biggest beneficiaries of the newly enacted corporate tax reform, though the benefits seem fully priced in for many, he said.
An improving economy, increasing consumer confidence and solid wage growth also create tailwinds for the broad sector. But for auto parts retail, the No. 1 driver of growth is starting to look shaky.
Total miles driven crossed 3.2 trillion in 2016, up 30% from 1996, according to O'Reilly. Growth in annual miles driven was flat from 2008 to 2013 but then resumed along with an improving job market and falling gas prices. The lack of a comprehensive mass transit system in the U.S. results in sustainable commuter miles driven, O'Reilly says. But growth in miles driven has moderated over the last two years, according to Morgan Stanley. Growth slowed from more than 3% in 2015 to under 2% in 2017 through October. And gas prices are on the rise again, which could crimp vehicle usage and dent demand for auto parts.
The average age of vehicles - another key metric - hit a record 11.6 years in 2016. That's both good and bad for auto parts companies. An aging vehicle fleet means more upkeep and repairs. Yet vehicles are lasting longer as vehicle quality improves, and that is seen gradually depressing demand for aftermarket auto parts.
YOU MIGHT BE INTERESTED IN:
How To Invest In Stocks For Free: Robinhood, New Apps Aim For Beginners
Apple Stock Rises As Berkshire Hathaway Increases Its Stake
Cisco's Trifecta: $25 Billion Buyback, Beats On Earnings, Outlook
How To Find The Next Stock Market Bottom? Use This Chart Technique
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
AutoZone ( AZO ) fell 10%, and Advance Auto Parts ( AAP ) tanked 41%. "AAP is fundamentally changing the way it does business both at the back end (supply chain) and at the front end via the customer," he wrote in December, saying the company is on the road to recovery under new management. But while the eight-stock group collectively fell 34% in the first half of the year, it turned up sharply in July - just after major automakers reported a sixth straight month of sales declines .
|
AutoZone ( AZO ) fell 10%, and Advance Auto Parts ( AAP ) tanked 41%. "AAP is fundamentally changing the way it does business both at the back end (supply chain) and at the front end via the customer," he wrote in December, saying the company is on the road to recovery under new management. O'Reilly Automotive CEO Greg Henslee spoke during the company's Feb. 7 fourth-quarter earnings beat of healthy demand so far in 2018 "driven by favorable winter weather conditions."
|
AutoZone ( AZO ) fell 10%, and Advance Auto Parts ( AAP ) tanked 41%. "AAP is fundamentally changing the way it does business both at the back end (supply chain) and at the front end via the customer," he wrote in December, saying the company is on the road to recovery under new management. AutoZone has a 13% corresponding rate, Advance Auto Parts 5%, and Genuine Parts ( GPC ) 2%.
|
AutoZone ( AZO ) fell 10%, and Advance Auto Parts ( AAP ) tanked 41%. "AAP is fundamentally changing the way it does business both at the back end (supply chain) and at the front end via the customer," he wrote in December, saying the company is on the road to recovery under new management. This puts large companies like O'Reilly Automotive, AutoZone, Advance Auto Parts and Genuine Parts at an advantage, Akbari says.
|
11454.0
|
2018-02-07 00:00:00 UTC
|
Advance Auto Parts Reaches Analyst Target Price
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-reaches-analyst-target-price-2018-02-07
|
nan
|
nan
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $110.00, changing hands for $112.20/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 12 different analyst targets contributing to that average for Advance Auto Parts Inc, but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $85.00. And then on the other side of the spectrum one analyst has a target as high as $138.00. The standard deviation is $18.566.
But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $110.00/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $110.00 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover Advance Auto Parts Inc:
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on AAP - FREE .
The Top 25 Broker Analyst Picks of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $110.00, changing hands for $112.20/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $110.00/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $110.00 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $110.00, changing hands for $112.20/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $110.00/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $110.00 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
And so with AAP crossing above that average target price of $110.00/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $110.00 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $110.00, changing hands for $112.20/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $110.00, changing hands for $112.20/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $110.00/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $110.00 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
11455.0
|
2018-02-01 00:00:00 UTC
|
Keep an Eye on Amazon's Growing Ad Business
|
AAP
|
https://www.nasdaq.com/articles/keep-eye-amazons-growing-ad-business-2018-02-01
|
nan
|
nan
|
Alphabet 's (NASDAQ: GOOG) (NASDAQ: GOOGL) Google and Amazon (NASDAQ: AMZN) respectively dominate the online advertising and e-commerce markets across many countries. There are usually clearly defined barriers between the two companies' ecosystems: Google repeatedly tried to enter the e-commerce market, but hasn't made meaningful progress against Amazon. Amazon owns a fledgling advertising business, but it's still dwarfed by Google's.
However, recent estimates indicate that Amazon's advertising business is growing at a much faster rate than Google's, and that it could become a pillar of growth for the company over the next few years. Therefore, investors should understand what Amazon's advertising business does and how fast it's actually growing.
Understanding Amazon's advertising business
Amazon's advertising business is split into three units: Amazon Media Group (AMG), Amazon Marketing Services (AMS) and Amazon Advertising Platform (AAP).
AMG is the team that sells Amazon's ad products and works with companies to optimize the display of those ads across Amazon properties -- including its namesake marketplace, IMDb.com, DPReview.com, and Kindle devices. AMG's A9 ad network also bids against rivals like Google for ad inventories.
AMS is a pay-per-click performance marketing suite that offers vendors sponsored products, headline search ads, and product display ads. The platform also offers "Amazon Stores", which can be customized via templates and brand-specific URLs.
AMS ads are only displayed for products sold on Amazon, and the ads only appear on Amazon sites. Unlike Google's AdWords, which are determined by an advertiser's optimization choices, AMS' ad rankings are determined by a product's popularity and overall sales.
AAP is an enabled permission within the AMS suite which serves programmatic ads. Advertisers that use this service can either work with an Amazon account team to plan their marketing campaigns, or use the self-serve advertising platform which the company introduced in 2014.
How big is Amazon's advertising business?
In mid-January, JP Morgan claimed that Amazon generated $2.8 billion in ad revenues in fiscal 2017, and that figure could rise a whopping 61% to $4.5 billion in 2018. That figure would account for about 2% of Amazon's estimated revenues for 2018.
That's not a significant percentage, but JP Morgan expects Amazon's ad revenues to hit $6.6 billion by 2019. JP Morgan believes that growth will be supported by the expansion of Amazon's Prime ecosystem, the introduction of new digital ad tools, and its rising popularity among major advertisers.
By comparison, Wall Street expects Alphabet, which generates nearly 90% of its revenues from Google's ad business, to grow its annual revenue 22% to $110 billion for fiscal 2017 when it reports its fourth quarter and full-year earnings on Feb. 1.
Amazon's advertising business isn't in the same league as Google's yet, but a lot of advertisers have taken note. Advertising giant WPP (NYSE: WPP) , which spent about $5 billion on Google ads last year, plans to boost its ad spending on Amazon from about $200 million in 2017 to roughly $300 million this year. In an interview on CNBC, WPP CEO Martin Sorrell stated that decision was based on the fact that "55% of product searches in the US emanate from Amazon" instead of Google .
Will AMS become the next AWS?
Today, Amazon's biggest profit driver is AWS ( Amazon Web Services ), the largest cloud infrastructure platform in the world. Like AMS, AWS started out as a small side business for Amazon, but gradually evolved into a major pillar of growth for the company.
AMS' online ad revenues also likely have high margins like AWS' cloud services. AMS still doesn't generate enough revenues or operating income to move the needle for Amazon yet, but its gradual growth could turn it into a third pillar of growth alongside its core marketplace and AWS businesses.
10 stocks we like better than Amazon
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Amazon wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of January 2, 2018
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Leo Sun owns shares of Amazon. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), and Amazon. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Understanding Amazon's advertising business Amazon's advertising business is split into three units: Amazon Media Group (AMG), Amazon Marketing Services (AMS) and Amazon Advertising Platform (AAP). AAP is an enabled permission within the AMS suite which serves programmatic ads. JP Morgan believes that growth will be supported by the expansion of Amazon's Prime ecosystem, the introduction of new digital ad tools, and its rising popularity among major advertisers.
|
Understanding Amazon's advertising business Amazon's advertising business is split into three units: Amazon Media Group (AMG), Amazon Marketing Services (AMS) and Amazon Advertising Platform (AAP). AAP is an enabled permission within the AMS suite which serves programmatic ads. AMS is a pay-per-click performance marketing suite that offers vendors sponsored products, headline search ads, and product display ads.
|
Understanding Amazon's advertising business Amazon's advertising business is split into three units: Amazon Media Group (AMG), Amazon Marketing Services (AMS) and Amazon Advertising Platform (AAP). AAP is an enabled permission within the AMS suite which serves programmatic ads. AMG is the team that sells Amazon's ad products and works with companies to optimize the display of those ads across Amazon properties -- including its namesake marketplace, IMDb.com, DPReview.com, and Kindle devices.
|
Understanding Amazon's advertising business Amazon's advertising business is split into three units: Amazon Media Group (AMG), Amazon Marketing Services (AMS) and Amazon Advertising Platform (AAP). AAP is an enabled permission within the AMS suite which serves programmatic ads. However, recent estimates indicate that Amazon's advertising business is growing at a much faster rate than Google's, and that it could become a pillar of growth for the company over the next few years.
|
11456.0
|
2018-01-30 00:00:00 UTC
|
The Zacks Analyst Blog Highlights: Advance Auto Parts, Children's Place, Diplomat Pharmacy, Oshkosh and BRT Apartments
|
AAP
|
https://www.nasdaq.com/articles/the-zacks-analyst-blog-highlights%3A-advance-auto-parts-childrens-place-diplomat-pharmacy
|
nan
|
nan
|
For Immediate Release
Chicago, IL - Jan 30, 2018 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Advance Auto Parts AAP , The Children's Place PLCE , Diplomat Pharmacy DPLO , Oshkosh OSK and BRT Apartments BRT .
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Monday's Analyst Blog:
5 Winning Stocks for the Best Stretch Since 2009
Consumers and businesses helped the U.S. economy expand at a healthy pace for a third straight quarter late last year. Consumer outlays in particular improved on a steady job market and healthier household finances, while the recently-passed tax overhaul policy is expected to give spending another boost this year.
Business also perked up, with outlays increasing on equipment. Investments in new housing jumped significantly as well. Hence, it seems judicious to invest in areas where consumers have led the way and businesses have ramped up investments.
Economy Doing Just Fine
Though fourth-quarter economic growth missed estimates, the economy is doing just fine. The nation's GDP increased at a seasonally adjusted annual rate of 2.6% in the final three months of 2017 following gains in the previous two quarters of more than 3%, per the "advance" estimate released by the Bureau of Economic Analysis. In fact, this marked the economy's strongest stretch of growth since the expansion started in mid-2009.
The economy also expanded at a rate of 2.3% for all of 2017 following a discouraging 1.5% increase in 2016. The growth topped the 2.2% average of the last eight-and-a-half-year old recovery from the Great Recession of 2007-09. But, the most encouraging sign is that the economy showed resilience. After all, growth surpassed the coveted 3% mark in the third quarter in spite of the hurricane damages in Texas and Florida.
Consumer Spending - A Key Catalyst
The economy, nonetheless, was driven by solid consumer spending in the fourth quarter. The main engine of the economy grew at 3.8% over the quarter after a 2.2% gain in the third quarter. Consumer outlays, thus, registered the fastest pace of growth in the fourth quarter in almost two years. Americans have spent on a range of items from new cars and trucks to clothing and health care.
Consumers are, largely, benefitting from a low unemployment level and rise in income. Jobless rate remained at an ultra-low level of 4.1% and workers' pay has increased 2.5% from December 2016 to December 2017. To top it, the National Employment Law Project showed that minimum wage is poised to increase in 18 states and around 20 cities in the United States. This will reach employee wage closer to $15 an hour, which is known as "living wage."
In fact, the massive tax cuts approved by the Republican-controlled U.S. Congress could further stoke consumption this year. Such tax cuts will drive household income and in turn increase the propensity to consume (read more: GOP Passes Landmark Tax Bill: Best & Worst for Stocks ).
Businesses Are Investing More
Companies have ramped up spending in the fourth quarter, up 6.8%. A resurgent global economy helped businesses to step up their outlays. Equipment outlays rose 11.4%, while investments in new housing climbed 11.6% after two months of decline. More number of single family houses is being built in response to a long-term housing shortage.
Among other bright spots, government spending increased at a clip of 3%. Government outlays were supported by a solid 6% rise in defense outlays and a robust increase in federal as well as state and local spending.
Inventories Decline, Trade Gap Widens
Drop in inventories and a big trade gap, in the meantime, dented fourth-quarter GDP by 1.8 percentage points. If these factors are excluded, GDP will top 4% growth, something which President Trump is aiming for. However, this fall in inventories doesn't mean that businesses are pessimistic about future demand. In fact, they failed to adequately forecast demand in the fourth quarter and had to sell out from their stockpiles.
The other factor that dragged GDP was trade. But in the fourth quarter, exports were healthy, climbing 6.9%. It's just that imports were stronger, rising 13.9%. Nevertheless, the economy continues to be in good shape and has expanded for ten straight quarters since the recession.
5 Biggest Gainers
As consumers continue to increase their spending on big-ticket items, auto and auto parts stand to gain. In fact, durable goods have an extended product life and are not typically worn out within a short span of time. Consumers have also increased their spending on healthcare and garments, thus, investing in stocks from such areas seems prudent.
Significantly higher equipment spending and a rise in residential investment call for investing in such a space. We have, thus, selected five solid stocks from the aforesaid areas that flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy).
Advance Auto Parts provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. The stock has a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings increased 0.2% in the last 60 days. The company, which is part of the Automotive - Retail and Wholesale - Parts industry, is projected to give a solid return of 25.6% in the next quarter. Advance Auto Parts has outperformed the broader industry in the last three months (+50.8% vs +24.2%).
The Children's Place operates as a children's specialty apparel retailer. The company has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 4.4% in the last 60 days. The company's expected growth rate for the current year is 44.9%, in contrast to the industry 's projected decline of 3.1%. Children's Place has outperformed the broader industry over the last three months period (+45.7% vs +31.1%).
Diplomat Pharmacy - a Zacks Rank #1 company - operates as an independent specialty pharmacy in the United States. The company stocks, dispenses, and distributes prescriptions for various biotechnology and specialty pharmaceutical manufacturers. The Zacks Consensus Estimate for its current-year earnings advanced 1.2% in the last 60 days. The company's expected growth rate for the current year is 13.3%, in contrast to the industry 's projected decline of 4.1%. Diplomat Pharmacy has outperformed the broader industry in the last three-month period (+29.5% vs +17.9%). You can see the complete list of today's Zacks #1 Rank stocks here.
Oshkosh manufactures, and markets specialty vehicles and vehicle bodies. The company's Access Equipment segment provides aerial work platforms and telehandlers for use in various construction, industrial and general maintenance applications. The stock has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 3.3% in the last 60 days. The company, which is part of the Automotive - Original Equipment industry, is projected to give a solid return of 26.3% and 10.6% in the current quarter and year, respectively. Oshkosh has outperformed the broader industry over the last three months (+7.4% vs +7.1%).
BRT Apartments is a real estate investment trust that owns, operates and develops multi-family properties. The company has a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings rose 11.8% in the last 60 days. The company, which is part of the REIT and Equity Trust - Residential industry, is projected to give a sturdy return of 12.5% and 26.9% in the next quarter and the current year, respectively. BRT Apartments has outperformed the broader industry in the last three months (+32.1% vs -6.5%).
Zacks Top 10 Stocks for 2018
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2018?
Last year's 2017 Zacks Top 10 Stocks portfolio produced double-digit winners, including FMC Corp. and VMware which racked up stellar gains of +67.9% and +61%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don't miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2018 today >>
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1 Stock of the Day pick for free .
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year. See these high-potential stocks free >>.
Follow us on Twitter: https://twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
https://www.zacks.com/
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Oshkosh Corporation (OSK): Free Stock Analysis Report
BRT Realty Trust (BRT): Free Stock Analysis Report
Children's Place, Inc. (The) (PLCE): Free Stock Analysis Report
Diplomat Pharmacy, Inc. (DPLO): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Stocks recently featured in the blog include Advance Auto Parts AAP , The Children's Place PLCE , Diplomat Pharmacy DPLO , Oshkosh OSK and BRT Apartments BRT . Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Oshkosh Corporation (OSK): Free Stock Analysis Report BRT Realty Trust (BRT): Free Stock Analysis Report Children's Place, Inc. (The) (PLCE): Free Stock Analysis Report Diplomat Pharmacy, Inc. (DPLO): Free Stock Analysis Report To read this article on Zacks.com click here. Here are highlights from Monday's Analyst Blog: 5 Winning Stocks for the Best Stretch Since 2009 Consumers and businesses helped the U.S. economy expand at a healthy pace for a third straight quarter late last year.
|
Stocks recently featured in the blog include Advance Auto Parts AAP , The Children's Place PLCE , Diplomat Pharmacy DPLO , Oshkosh OSK and BRT Apartments BRT . Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Oshkosh Corporation (OSK): Free Stock Analysis Report BRT Realty Trust (BRT): Free Stock Analysis Report Children's Place, Inc. (The) (PLCE): Free Stock Analysis Report Diplomat Pharmacy, Inc. (DPLO): Free Stock Analysis Report To read this article on Zacks.com click here. Access Zacks Top 10 Stocks for 2018 today >> Today, Zacks is promoting its ''Buy'' stock recommendations.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Oshkosh Corporation (OSK): Free Stock Analysis Report BRT Realty Trust (BRT): Free Stock Analysis Report Children's Place, Inc. (The) (PLCE): Free Stock Analysis Report Diplomat Pharmacy, Inc. (DPLO): Free Stock Analysis Report To read this article on Zacks.com click here. Stocks recently featured in the blog include Advance Auto Parts AAP , The Children's Place PLCE , Diplomat Pharmacy DPLO , Oshkosh OSK and BRT Apartments BRT . Access Zacks Top 10 Stocks for 2018 today >> Today, Zacks is promoting its ''Buy'' stock recommendations.
|
Stocks recently featured in the blog include Advance Auto Parts AAP , The Children's Place PLCE , Diplomat Pharmacy DPLO , Oshkosh OSK and BRT Apartments BRT . Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Oshkosh Corporation (OSK): Free Stock Analysis Report BRT Realty Trust (BRT): Free Stock Analysis Report Children's Place, Inc. (The) (PLCE): Free Stock Analysis Report Diplomat Pharmacy, Inc. (DPLO): Free Stock Analysis Report To read this article on Zacks.com click here. Businesses Are Investing More Companies have ramped up spending in the fourth quarter, up 6.8%.
|
11457.0
|
2018-01-30 00:00:00 UTC
|
Zacks.com highlights: Advance Auto Parts, J.B. Hunt Transport Services, Arthur J. Gallagher, Huntington Bancshares and SS&C Technologies Holdings
|
AAP
|
https://www.nasdaq.com/articles/zacks.com-highlights%3A-advance-auto-parts-j.b.-hunt-transport-services-arthur-j.-gallagher
|
nan
|
nan
|
For Immediate Release
Chicago, IL - Jan 30, 2018 - Stocks in this week's article include: Advance Auto Parts, Inc. AAP , J.B. Hunt Transport Services, Inc.JBHT , Arthur J. Gallagher & Co.AJG , Huntington Bancshares Inc.HBAN and SS&C Technologies Holdings, Inc.SSNC .
Screen of the Week of Zacks Investment Research:
Bet on These 5 Stocks with Attractive Sales Growth
Strong sales growth is one of the most important characteristics of potential winners in the stock market. The companies that put emphasis on sales management have a competitive advantage, as strong sales are generally converted into growth.
Revenues are often more closely monitored than earnings while assessing the growth of a business. This is because investors want to make sure whether a business has the capability to generate more sales over time to cater to an expanding customer base.
Stable or declining sales growth reflects obstacles at the company and offers limited scope for sustained growth. Stagnant companies may generate near-term profit but do not ensure enough growth to attract new investors.
Without solid top-line growth, bottom-line improvement may not be sustainable over the longer term. While a company can show earnings strength by reducing expenses, a sustainable bottom-line recovery usually requires robust sales growth.
However, sales growth in isolation doesn't indicate much about a company's future performance. Though it provides investors an insight into product demand and pricing power, a huge sales number is not necessarily translated into profits.
Therefore, taking into consideration a company's cash position along with its sales number can prove to be a more dependable strategy. Substantial cash in hand and a steady cash flow give a company more flexibility with respect to business decisions and potential investments. Most importantly, an adequate cash position suggests that revenues are being channelized in the right direction.
And that's what we're screening for today…
For the rest of this Screen of the Week article please visit Zacks.com at:https://www.zacks.com/stock/news/290390/bet-on-these-5-top-stocks-displaying-attractive-sales-growth
Get the remaining stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and back testing software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today .
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
Follow us on Twitter: https://twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Contact: Jim Giaquinto
Company: Zacks.com
Phone: 312-265-9268
Email: pr@zacks.com
Visit: https://www.zacks.com/
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer .
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report
SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report
Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
For Immediate Release Chicago, IL - Jan 30, 2018 - Stocks in this week's article include: Advance Auto Parts, Inc. AAP , J.B. Hunt Transport Services, Inc.JBHT , Arthur J. Gallagher & Co.AJG , Huntington Bancshares Inc.HBAN and SS&C Technologies Holdings, Inc.SSNC . Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. Though it provides investors an insight into product demand and pricing power, a huge sales number is not necessarily translated into profits.
|
For Immediate Release Chicago, IL - Jan 30, 2018 - Stocks in this week's article include: Advance Auto Parts, Inc. AAP , J.B. Hunt Transport Services, Inc.JBHT , Arthur J. Gallagher & Co.AJG , Huntington Bancshares Inc.HBAN and SS&C Technologies Holdings, Inc.SSNC . Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. Screen of the Week of Zacks Investment Research: Bet on These 5 Stocks with Attractive Sales Growth Strong sales growth is one of the most important characteristics of potential winners in the stock market.
|
Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. For Immediate Release Chicago, IL - Jan 30, 2018 - Stocks in this week's article include: Advance Auto Parts, Inc. AAP , J.B. Hunt Transport Services, Inc.JBHT , Arthur J. Gallagher & Co.AJG , Huntington Bancshares Inc.HBAN and SS&C Technologies Holdings, Inc.SSNC . Screen of the Week of Zacks Investment Research: Bet on These 5 Stocks with Attractive Sales Growth Strong sales growth is one of the most important characteristics of potential winners in the stock market.
|
For Immediate Release Chicago, IL - Jan 30, 2018 - Stocks in this week's article include: Advance Auto Parts, Inc. AAP , J.B. Hunt Transport Services, Inc.JBHT , Arthur J. Gallagher & Co.AJG , Huntington Bancshares Inc.HBAN and SS&C Technologies Holdings, Inc.SSNC . Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. Screen of the Week of Zacks Investment Research: Bet on These 5 Stocks with Attractive Sales Growth Strong sales growth is one of the most important characteristics of potential winners in the stock market.
|
11458.0
|
2018-01-29 00:00:00 UTC
|
Bet on These 5 Top Stocks Displaying Attractive Sales Growth
|
AAP
|
https://www.nasdaq.com/articles/bet-these-5-top-stocks-displaying-attractive-sales-growth-2018-01-29-0
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Strong sales growth is one of the most important characteristics of potential winners in the stock market. The companies that put emphasis on sales management have a competitive advantage, as strong sales are generally converted into growth.
Source: Shutterstock
Revenues are often more closely monitored than earnings while assessing the growth of a business. This is because investors want to make sure whether a business has the capability to generate more sales over time to cater to an expanding customer base.
Stable or declining sales growth reflects obstacles at the company and offers limited scope for sustained growth. Stagnant companies may generate near-term profit but do not ensure enough growth to attract new investors.
Without solid top-line growth, bottom-line improvement may not be sustainable over the longer term. While a company can show earnings strength by reducing expenses, a sustainable bottom-line recovery usually requires robust sales growth.
The Top 10 Value Stocks in the S&P 500
However, sales growth in isolation doesn't indicate much about a company's future performance. Though it provides investors an insight into product demand and pricing power, a huge sales number is not necessarily translated into profits.
Therefore, taking into consideration a company's cash position along with its sales number can prove to be a more dependable strategy. Substantial cash in hand and a steady cash flow give a company more flexibility with respect to business decisions and potential investments. Most importantly, an adequate cash position suggests that revenues are being channelized in the right direction.
Choosing the Winning Stocks
In order to shortlist stocks that have witnessed impressive sales growth along with a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow greater than $500 million as our main screening parameters.
But sales growth and cash strength are not the absolute criteria for selecting stocks. So, we added certain other factors to arrive at a winning strategy.
Price-to-Sales (P/S) Ratio less than X-Industry: This metric determines the value placed on each dollar of a company's revenues. The lower the ratio, the better it is for picking a stock since the investor is paying less for each unit of sales.
% Change F1 Sales Estimate Revisions (4 Weeks) greater than X-Industry: Better-than-industry estimate revision has often been seen to trigger an increase in the stock price.
Operating Margin (Average Last 5 years) greater than 5%: Operating margin measures how much every dollar of a company's sales translates into profits. A high ratio indicates that the company has good cost control and sales are increasing faster than costs, an optimal situation for the company.
Return on Equity (ROE) greater than 5%: This metric will ensure that sales growth is translated into profits and the company is not hoarding cash. A high ROE means the company is spending wisely and is in all likelihood profitable.
Zacks Rank less than or equal to 2: Zacks Rank #1 (Strong Buy) or 2 (Buy) stocks are known to outperform irrespective of the market environment.
Here are five of the 14 stocks that qualified the screening:
Based in Roanoke, VA, Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items. The company has expected sales growth rate of 2.3% for the current year and sports a Zacks Rank #1.
J.B. Hunt Transport Services Inc (NASDAQ: JBHT ) provides surface transportation and delivery services. This Lowell, AR-based stock has expected sales growth rate of 12.1% for 2018 and carries a Zacks Rank #2.
Arthur J. Gallagher & Co (NYSE: AJG ), based in Itasca, IL, offers insurance brokerage and risk management services. Its current year expected sales growth rate is 4.4% and the stock sports a Zacks Rank #1.
Headquartered in Ewing, NJ, Huntington Bancshares Incorporated (NASDAQ: HBAN ) provides commercial, small business, consumer, and mortgage banking services. The company has expected sales growth rate of 6.3% for 2018 and carries a Zacks Rank #2.
SS&C Technologies Holdings, Inc. (NASDAQ: SSNC ) provides software products and software-enabled services to financial service providers. This Windsor, CT-based company's sales are expected to grow at the rate of 5.4% for 2018 and the stock has a Zacks Rank #2.
5 ROE Picks Fired Up by a Striking Start to Q4 Earnings
Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and backtesting software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today .
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks' portfolios and strategies are available at: https://www.zacks.com/performance
Zacks Restaurant Recommendations: In addition to dining at these special places, you can feast on their stock shares. A Zacks Special Report spotlights 5 recent IPOs to watch plus 2 stocks that offer immediate promise in a booming sector. Download it free »
More From InvestorPlace
5 Winning Stocks for Best Stretch of Growth Since '09
3 Large-Cap Growth ETFs for Your Portfolio
ETFs and Stocks to Buy on Falling Dollar
Compare Brokers
The post Bet on These 5 Top Stocks Displaying Attractive Sales Growth appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items. While a company can show earnings strength by reducing expenses, a sustainable bottom-line recovery usually requires robust sales growth. Arthur J. Gallagher & Co (NYSE: AJG ), based in Itasca, IL, offers insurance brokerage and risk management services.
|
Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items. Choosing the Winning Stocks In order to shortlist stocks that have witnessed impressive sales growth along with a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow greater than $500 million as our main screening parameters. Its current year expected sales growth rate is 4.4% and the stock sports a Zacks Rank #1.
|
Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Strong sales growth is one of the most important characteristics of potential winners in the stock market. Choosing the Winning Stocks In order to shortlist stocks that have witnessed impressive sales growth along with a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow greater than $500 million as our main screening parameters.
|
Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items. Price-to-Sales (P/S) Ratio less than X-Industry: This metric determines the value placed on each dollar of a company's revenues. Return on Equity (ROE) greater than 5%: This metric will ensure that sales growth is translated into profits and the company is not hoarding cash.
|
11459.0
|
2018-01-29 00:00:00 UTC
|
5 Winning Stocks for Best Stretch of Growth Since ’09
|
AAP
|
https://www.nasdaq.com/articles/5-winning-stocks-best-stretch-growth-09-2018-01-29-0
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Consumers and businesses helped the U.S. economy expand at a healthy pace for a third straight quarter late last year. Consumer outlays in particular improved on a steady job market and healthier household finances, while the recently-passed tax overhaul policy is expected to give spending another boost this year.
Source: Shutterstock
Business also perked up, with outlays increasing on equipment. Investments in new housing jumped significantly as well. Hence, it seems judicious to invest in areas where consumers have led the way and businesses have ramped up investments.
Economy Doing Just Fine
Though fourth-quarter economic growth missed estimates, the economy is doing just fine. The nation's GDP increased at a seasonally adjusted annual rate of 2.6% in the final three months of 2017 following gains in the previous two quarters of more than 3%, per the "advance" estimate released by the Bureau of Economic Analysis. In fact, this marked the economy's strongest stretch of growth since the expansion started in mid-2009.
The economy also expanded at a rate of 2.3% for all of 2017 following a discouraging 1.5% increase in 2016. The growth topped the 2.2% average of the last eight-and-a-half-year old recovery from the Great Recession of 2007-09. But, the most encouraging sign is that the economy showed resilience. After all, growth surpassed the coveted 3% mark in the third quarter in spite of the hurricane damages in Texas and Florida.
Consumer Spending - A Key Catalyst
The economy, nonetheless, was driven by solid consumer spending in the fourth quarter. The main engine of the economy grew at 3.8% over the quarter after a 2.2% gain in the third quarter. Consumer outlays, thus, registered the fastest pace of growth in the fourth quarter in almost two years. Americans have spent on a range of items from new cars and trucks to clothing and health care.
ETFs and Stocks to Buy on Falling Dollar
Consumers are, largely, benefitting from a low unemployment level and rise in income. Jobless rate remained at an ultra-low level of 4.1% and workers' pay has increased 2.5% from December 2016 to December 2017. To top it, the National Employment Law Project showed that minimum wage is poised to increase in 18 states and around 20 cities in the United States. This will reach employee wage closer to $15 an hour, which is known as "living wage."
In fact, the massive tax cuts approved by the Republican-controlled U.S. Congress could further stoke consumption this year. Such tax cuts will drive household income and in turn increase the propensity to consume.
Businesses Are Investing More
Companies have ramped up spending in the fourth quarter, up 6.8%. A resurgent global economy helped businesses to step up their outlays. Equipment outlays rose 11.4%, while investments in new housing climbed 11.6% after two months of decline. More number of single family houses is being built in response to a long-term housing shortage.
Among other bright spots, government spending increased at a clip of 3%. Government outlays were supported by a solid 6% rise in defense outlays and a robust increase in federal as well as state and local spending.
Inventories Decline, Trade Gap Widens
Drop in inventories and a big trade gap, in the meantime, dented fourth-quarter GDP by 1.8 percentage points. If these factors are excluded, GDP will top 4% growth, something which President Trump is aiming for. However, this fall in inventories doesn't mean that businesses are pessimistic about future demand. In fact, they failed to adequately forecast demand in the fourth quarter and had to sell out from their stockpiles.
The other factor that dragged GDP was trade. But in the fourth quarter, exports were healthy, climbing 6.9%. It's just that imports were stronger, rising 13.9%. Nevertheless, the economy continues to be in good shape and has expanded for ten straight quarters since the recession.
5 Biggest Gainers
As consumers continue to increase their spending on big-ticket items, auto and auto parts stand to gain. In fact, durable goods have an extended product life and are not typically worn out within a short span of time. Consumers have also increased their spending on healthcare and garments, thus, investing in stocks from such areas seems prudent.
Significantly higher equipment spending and a rise in residential investment call for investing in such a space. We have, thus, selected five solid stocks from the aforesaid areas that flaunt a Zacks Rank #1 (Strong Buy) or 2 (Buy).
Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks.
The stock has a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings increased 0.2% in the last 60 days. The company, which is part of the Automotive - Retail and Wholesale - Parts industry, is projected to give a solid return of 25.6% in the next quarter. Advance Auto Parts has outperformed the broader industry in the last three months (+50.8% vs +24.2%).
Childrens Place Inc (NASDAQ: PLCE ) operates as a children's specialty apparel retailer. The company has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 4.4% in the last 60 days.
The company's expected growth rate for the current year is 44.9%, in contrast to the industry 's projected decline of 3.1%. Children's Place has outperformed the broader industry over the last three months period (+45.7% vs +31.1%).
Diplomat Pharmacy Inc (NYSE: DPLO ) - a Zacks Rank #1 company - operates as an independent specialty pharmacy in the United States. The company stocks, dispenses, and distributes prescriptions for various biotechnology and specialty pharmaceutical manufacturers.
The Zacks Consensus Estimate for its current-year earnings advanced 1.2% in the last 60 days. The company's expected growth rate for the current year is 13.3%, in contrast to the industry 's projected decline of 4.1%. Diplomat Pharmacy has outperformed the broader industry in the last three-month period (+29.5% vs +17.9%).
7 Millennial-Favorite Stocks for Young Investors to Buy
Oshkosh Corp (NYSE: OSK ) manufactures, and markets specialty vehicles and vehicle bodies. The company's Access Equipment segment provides aerial work platforms and telehandlers for use in various construction, industrial and general maintenance applications.
OSK stock has a Zacks Rank #2. The Zacks Consensus Estimate for its current-year earnings increased 3.3% in the last 60 days. The company, which is part of the Automotive - Original Equipment industry, is projected to give a solid return of 26.3% and 10.6% in the current quarter and year, respectively. Oshkosh has outperformed the broader industry over the last three months (+7.4% vs +7.1%).
BRT Apartments Corp (NYSE: BRT ) is a real estate investment trust that owns, operates and develops multi-family properties. The company has a Zacks Rank #1. The Zacks Consensus Estimate for its current-year earnings rose 11.8% in the last 60 days.
The company, which is part of the REIT and Equity Trust - Residential industry, is projected to give a sturdy return of 12.5% and 26.9% in the next quarter and the current year, respectively. BRT Apartments has outperformed the broader industry in the last three months (+32.1% vs -6.5%).
Zacks Top 10 Stocks for 2018
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2018?
Last year's 2017 Zacks Top 10 Stocks portfolio produced double-digit winners, including FMC Corp. and VMware which racked up stellar gains of +67.9% and +61%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don't miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2018 today >>
More From InvestorPlace
4 Technology Stocks Poised to Jump on Earnings in Q4
4 ETFs Set to Surge Amid Q4 Earnings
3 Large-Cap Growth ETFs for Your Portfolio
Compare Brokers
The post 5 Winning Stocks for Best Stretch of Growth Since '09 appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. Consumer outlays in particular improved on a steady job market and healthier household finances, while the recently-passed tax overhaul policy is expected to give spending another boost this year. The nation's GDP increased at a seasonally adjusted annual rate of 2.6% in the final three months of 2017 following gains in the previous two quarters of more than 3%, per the "advance" estimate released by the Bureau of Economic Analysis.
|
Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Consumers and businesses helped the U.S. economy expand at a healthy pace for a third straight quarter late last year. Diplomat Pharmacy Inc (NYSE: DPLO ) - a Zacks Rank #1 company - operates as an independent specialty pharmacy in the United States.
|
Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Consumers and businesses helped the U.S. economy expand at a healthy pace for a third straight quarter late last year. The company, which is part of the Automotive - Original Equipment industry, is projected to give a solid return of 26.3% and 10.6% in the current quarter and year, respectively.
|
Advance Auto Parts, Inc. (NYSE: AAP ) provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. Businesses Are Investing More Companies have ramped up spending in the fourth quarter, up 6.8%. Equipment outlays rose 11.4%, while investments in new housing climbed 11.6% after two months of decline.
|
11460.0
|
2018-01-29 00:00:00 UTC
|
Bet on These 5 Top Stocks Displaying Attractive Sales Growth
|
AAP
|
https://www.nasdaq.com/articles/bet-on-these-5-top-stocks-displaying-attractive-sales-growth-2018-01-29
|
nan
|
nan
|
Strong sales growth is one of the most important characteristics of potential winners in the stock market. The companies that put emphasis on sales management have a competitive advantage, as strong sales are generally converted into growth.
Revenues are often more closely monitored than earnings while assessing the growth of a business. This is because investors want to make sure whether a business has the capability to generate more sales over time to cater to an expanding customer base.
Stable or declining sales growth reflects obstacles at the company and offers limited scope for sustained growth. Stagnant companies may generate near-term profit but do not ensure enough growth to attract new investors.
Without solid top-line growth, bottom-line improvement may not be sustainable over the longer term. While a company can show earnings strength by reducing expenses, a sustainable bottom-line recovery usually requires robust sales growth.
However, sales growth in isolation doesn't indicate much about a company's future performance. Though it provides investors an insight into product demand and pricing power, a huge sales number is not necessarily translated into profits.
Therefore, taking into consideration a company's cash position along with its sales number can prove to be a more dependable strategy. Substantial cash in hand and a steady cash flow give a company more flexibility with respect to business decisions and potential investments. Most importantly, an adequate cash position suggests that revenues are being channelized in the right direction.
Choosing the Winning Stocks
In order to shortlist stocks that have witnessed impressive sales growth along with a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow greater than $500 million as our main screening parameters.
But sales growth and cash strength are not the absolute criteria for selecting stocks. So, we added certain other factors to arrive at a winning strategy.
Price-to-Sales (P/S) Ratio less than X-Industry: This metric determines the value placed on each dollar of a company's revenues. The lower the ratio, the better it is for picking a stock since the investor is paying less for each unit of sales.
% Change F1 Sales Estimate Revisions (4 Weeks) greater than X-Industry: Better-than-industry estimate revision has often been seen to trigger an increase in the stock price.
Operating Margin (Average Last 5 years) greater than 5%: Operating margin measures how much every dollar of a company's sales translates into profits. A high ratio indicates that the company has good cost control and sales are increasing faster than costs, an optimal situation for the company.
Return on Equity (ROE) greater than 5%: This metric will ensure that sales growth is translated into profits and the company is not hoarding cash. A high ROE means the company is spending wisely and is in all likelihood profitable.
Zacks Rank less than or equal to 2: Zacks Rank #1 (Strong Buy) or 2 (Buy) stocks are known to outperform irrespective of the market environment. You can see the complete list of today's Zacks #1 Rank stocks here .
Here are five of the 14 stocks that qualified the screening:
Based in Roanoke, VA, Advance Auto Parts, Inc.AAP provides automotive replacement parts, accessories, batteries, and maintenance items. The company has expected sales growth rate of 2.3% for the current year and sports a Zacks Rank #1.
J.B. Hunt Transport Services, Inc.JBHT provides surface transportation and delivery services. This Lowell, AR-based stock has expected sales growth rate of 12.1% for 2018 and carries a Zacks Rank #2.
Arthur J. Gallagher & Co.AJG , based in Itasca, IL, offers insurance brokerage and risk management services. Its current year expected sales growth rate is 4.4% and the stock sports a Zacks Rank #1.
Headquartered in Ewing, NJ, Huntington Bancshares IncorporatedHBAN provides commercial, small business, consumer, and mortgage banking services. The company has expected sales growth rate of 6.3% for 2018 and carries a Zacks Rank #2.
SS&C Technologies Holdings, Inc.SSNC provides software products and software-enabled services to financial service providers. This Windsor, CT-based company's sales are expected to grow at the rate of 5.4% for 2018 and the stock has a Zacks Rank #2.
Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and backtesting software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today .
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks' portfolios and strategies are available at:https://www.zacks.com/performance
Zacks Restaurant Recommendations: In addition to dining at these special places, you can feast on their stock shares. A Zacks Special Report spotlights 5 recent IPOs to watch plus 2 stocks that offer immediate promise in a booming sector. Download it free »
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report
SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report
Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc.AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. While a company can show earnings strength by reducing expenses, a sustainable bottom-line recovery usually requires robust sales growth.
|
Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc.AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Choosing the Winning Stocks In order to shortlist stocks that have witnessed impressive sales growth along with a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow greater than $500 million as our main screening parameters.
|
Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc.AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Choosing the Winning Stocks In order to shortlist stocks that have witnessed impressive sales growth along with a high cash balance, we have selected 5-Year Historical Sales Growth (%) greater than X-Industry and Cash Flow greater than $500 million as our main screening parameters.
|
Here are five of the 14 stocks that qualified the screening: Based in Roanoke, VA, Advance Auto Parts, Inc.AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Click to get this free report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Huntington Bancshares Incorporated (HBAN): Free Stock Analysis Report SS&C Technologies Holdings, Inc. (SSNC): Free Stock Analysis Report Arthur J. Gallagher & Co. (AJG): Free Stock Analysis Report To read this article on Zacks.com click here. Price-to-Sales (P/S) Ratio less than X-Industry: This metric determines the value placed on each dollar of a company's revenues.
|
11461.0
|
2018-01-09 00:00:00 UTC
|
Stocks in This Left-For-Dead Sector Look Set for Recovery in 2018
|
AAP
|
https://www.nasdaq.com/articles/stocks-left-dead-sector-look-set-recovery-2018-2018-01-09
|
nan
|
nan
|
Last year was one to forget for auto-parts retailers, and many investors wrote off the sector. While the S&P 500 rose nearly 20%, the best-performing stock, Genuine Parts Company (NYSE: GPC) declined slightly; the most highly regarded stocks in the industry, O'Reilly Automotive, Inc. (NASDAQ: ORLY) and AutoZone, Inc (NYSE: AZO) declined around 14% and 10% respectively -- and Advance Auto Parts (NYSE: AAP) fell a whopping 41%.
That said, it ain't all over until the fat lady stops needing to repair her car. There's reason to believe that better days are ahead for the sector, with or without competition from Amazon.com (NASDAQ: AMZN) . Let's take a closer look at a sector set for a comeback in 2018.
What went wrong in 2017
The industry is essentially in agreement on the causes of the slowdown in sales growth in 2017. According to Advance Auto Parts CEO Tom Greco, three key factors impacted the industry last year:
Two consecutive mild winters in 2016 and 2017, and a cooler spring and summer in 2017, have reduced demand for car parts affected by extreme weather conditions.
Economic uncertainty for low-income consumers, caused partly by rising gas prices, is seen as reducing the growth rate in miles driven.
Unfavorable car demographics are another factor -- more on this in a moment.
The negativity around these issues has helped cause a sell-off in the sector, resulting in the stocks trading at a discount to ratings in recent years:
AAP EV to EBITDA (TTM) data by YCharts .
Why it could turn around
There is little the industry can do about unfavorable weather conditions -- something that O'Reilly Automotive's CEO Greg Henslee calls the "single most significant factor that drives variability in our business." But a combination of Trump's tax bill, improving economic growth, a pickup in the jobs market , and moderating growth in gas prices should lead to relative improvement in miles driven.
However, the issue of car demographics is arguably the most interesting bullish point for the future of the industry.
The following chart helps explain the underlying demographics. On the positive side, the average age of a car in the U.S. keeps creeping up -- this should be good news for auto-parts retailers.
However, it's the demographic mix that really matters. In general, a car less than five years old requires little maintenance, while a car five to ten years old hits the sweet spot of the Do-It-For-Me (DIFM) market, and a car more than ten years old is in the sweet spot of the Do-It-Yourself (DIY) market. I'll return to this important distinction shortly.
Data source: Bureau of Transportation Statistics. Chart by author. Car sales are in thousands and on left-hand scale. Age of automobiles is in years and on right-hand scale.
Note that the slowdown in new car sales in 2008-2009 was eight years ago, suggesting that the DIFM market (which all four have exposure to, though to differing degrees) is facing some near-term weakness because of a dearth of cars in the sweet spot of five to 10 years of age. But here's the thing. The strong increases in car sales in 2010 should lead to "meaningful improvement for industry growth in the future," according to Greco.
Car-parts retailers and DIFM/DIY sales mix
The chart below shows how badly the industry is being impacted by this confluence of factors. Given that the sweet spot of DIFM sales is five to 10 years, it's reasonable to expect the more DIFM-focused retailers like Genuine Parts Company's (GPC) automotive group (which has around 70% to 75% of its sales in the DIFM market) to suffer more, relatively, than the DIY-focused retailers like AutoZone (around 80% of sales to DIY).
Data sources: Company presentations. Chart by author. AutoZone's sales are adjusted to the nearest quarter.
Indeed, as you can see above, GPC's automotive group has seen weak sales growth for some time, while AutoZone has performed relatively better. You can think of O'Reilly Automotive (58% DIY) and Advance Auto Parts (more than 50% DIFM) as having relatively balanced DIFM/DIY sales. The latter's sales growth has also been severely challenged by ongoing transformation, as management is still integrating its 2014 acquisition of General Parts International (Carquest and WorldPac) -- a process that has taken far longer than management expected.
Despite acquisitions and DIFM/DIY sales mixes, all four companies have seen conditions deteriorate.
The Amazon threat
If this wasn't bad enough, the deterioration was accompanied by Amazon's increasing investment in the auto-parts space. It's easy to conclude that Amazon's moves are causing part of the slowdown in the industry. Moreover, the end-market difficulties will be masking any underlying improvements in Advance Auto Parts' turnaround strategy.
While it's never a good idea to write off the impact of Amazon entering a market, the reality is that many DIY customers require in-store service and staff support in order to repair their cars. Meanwhile, DIFM purchases are typically time-sensitive, and it will be very difficult for Amazon to replicate the inventory management and supply-chain logistics necessary to compete with established retailers, in terms of delivering critical parts at short notice to customers.
Will the sector come back to life in 2018?
There's no reason that the calendar year should mark an immediate turnaround in sales for all four companies, but it may mark an improvement in investor sentiment toward the sector. The long-term outlook remains positive for the industry, and the Amazon impact is probably overstated.
Nevertheless, if you are worried about Amazon, then it makes sense to avoid AutoZone, as DIY sales are seen as more at risk and DIFM sales are growing faster than DIY -- partly due to the increasing complexity of cars. Advance Auto Parts has the added complication of successfully executing on its integration plans; this is fine if you want it, but it's not entirely reflective of the investment theme discussed.
All of this leaves Genuine Parts Company and O'Reilly Automotive as the best ways to play this theme. The auto-parts retailers aren't dead yet, and 2018 could mark a recovery in their stock prices.
10 stocks we like better than O'Reilly Automotive
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and O'Reilly Automotive wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of January 2, 2018
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Lee Samaha owns shares of Advance Auto Parts. The Motley Fool owns shares of and recommends Amazon. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
The negativity around these issues has helped cause a sell-off in the sector, resulting in the stocks trading at a discount to ratings in recent years: AAP EV to EBITDA (TTM) data by YCharts . While the S&P 500 rose nearly 20%, the best-performing stock, Genuine Parts Company (NYSE: GPC) declined slightly; the most highly regarded stocks in the industry, O'Reilly Automotive, Inc. (NASDAQ: ORLY) and AutoZone, Inc (NYSE: AZO) declined around 14% and 10% respectively -- and Advance Auto Parts (NYSE: AAP) fell a whopping 41%. While it's never a good idea to write off the impact of Amazon entering a market, the reality is that many DIY customers require in-store service and staff support in order to repair their cars.
|
While the S&P 500 rose nearly 20%, the best-performing stock, Genuine Parts Company (NYSE: GPC) declined slightly; the most highly regarded stocks in the industry, O'Reilly Automotive, Inc. (NASDAQ: ORLY) and AutoZone, Inc (NYSE: AZO) declined around 14% and 10% respectively -- and Advance Auto Parts (NYSE: AAP) fell a whopping 41%. The negativity around these issues has helped cause a sell-off in the sector, resulting in the stocks trading at a discount to ratings in recent years: AAP EV to EBITDA (TTM) data by YCharts . According to Advance Auto Parts CEO Tom Greco, three key factors impacted the industry last year: Two consecutive mild winters in 2016 and 2017, and a cooler spring and summer in 2017, have reduced demand for car parts affected by extreme weather conditions.
|
While the S&P 500 rose nearly 20%, the best-performing stock, Genuine Parts Company (NYSE: GPC) declined slightly; the most highly regarded stocks in the industry, O'Reilly Automotive, Inc. (NASDAQ: ORLY) and AutoZone, Inc (NYSE: AZO) declined around 14% and 10% respectively -- and Advance Auto Parts (NYSE: AAP) fell a whopping 41%. The negativity around these issues has helped cause a sell-off in the sector, resulting in the stocks trading at a discount to ratings in recent years: AAP EV to EBITDA (TTM) data by YCharts . In general, a car less than five years old requires little maintenance, while a car five to ten years old hits the sweet spot of the Do-It-For-Me (DIFM) market, and a car more than ten years old is in the sweet spot of the Do-It-Yourself (DIY) market.
|
While the S&P 500 rose nearly 20%, the best-performing stock, Genuine Parts Company (NYSE: GPC) declined slightly; the most highly regarded stocks in the industry, O'Reilly Automotive, Inc. (NASDAQ: ORLY) and AutoZone, Inc (NYSE: AZO) declined around 14% and 10% respectively -- and Advance Auto Parts (NYSE: AAP) fell a whopping 41%. The negativity around these issues has helped cause a sell-off in the sector, resulting in the stocks trading at a discount to ratings in recent years: AAP EV to EBITDA (TTM) data by YCharts . The following chart helps explain the underlying demographics.
|
11462.0
|
2018-01-05 00:00:00 UTC
|
Bullish Two Hundred Day Moving Average Cross - AAP
|
AAP
|
https://www.nasdaq.com/articles/bullish-two-hundred-day-moving-average-cross-aap-2018-01-05
|
nan
|
nan
|
In trading on Friday, shares of Advance Auto Parts Inc (Symbol: AAP) crossed above their 200 day moving average of $111.61, changing hands as high as $113.15 per share. Advance Auto Parts Inc shares are currently trading trading flat on the day. The chart below shows the one year performance of AAP shares, versus its 200 day moving average:
Looking at the chart above, AAP's low point in its 52 week range is $78.81 per share, with $177.50 as the 52 week high point - that compares with a last trade of $111.01.
According to the ETF Finder at ETF Channel, AAP makes up 1.35% of the Guggenheim S&P 500 Equal Weight Consumer Discretionary ETF (Symbol: RCD) which is trading up by about 0.2% on the day Friday.
Click here to find out which 9 other stocks recently crossed above their 200 day moving average »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In trading on Friday, shares of Advance Auto Parts Inc (Symbol: AAP) crossed above their 200 day moving average of $111.61, changing hands as high as $113.15 per share. The chart below shows the one year performance of AAP shares, versus its 200 day moving average: Looking at the chart above, AAP's low point in its 52 week range is $78.81 per share, with $177.50 as the 52 week high point - that compares with a last trade of $111.01. According to the ETF Finder at ETF Channel, AAP makes up 1.35% of the Guggenheim S&P 500 Equal Weight Consumer Discretionary ETF (Symbol: RCD) which is trading up by about 0.2% on the day Friday.
|
In trading on Friday, shares of Advance Auto Parts Inc (Symbol: AAP) crossed above their 200 day moving average of $111.61, changing hands as high as $113.15 per share. The chart below shows the one year performance of AAP shares, versus its 200 day moving average: Looking at the chart above, AAP's low point in its 52 week range is $78.81 per share, with $177.50 as the 52 week high point - that compares with a last trade of $111.01. According to the ETF Finder at ETF Channel, AAP makes up 1.35% of the Guggenheim S&P 500 Equal Weight Consumer Discretionary ETF (Symbol: RCD) which is trading up by about 0.2% on the day Friday.
|
In trading on Friday, shares of Advance Auto Parts Inc (Symbol: AAP) crossed above their 200 day moving average of $111.61, changing hands as high as $113.15 per share. The chart below shows the one year performance of AAP shares, versus its 200 day moving average: Looking at the chart above, AAP's low point in its 52 week range is $78.81 per share, with $177.50 as the 52 week high point - that compares with a last trade of $111.01. According to the ETF Finder at ETF Channel, AAP makes up 1.35% of the Guggenheim S&P 500 Equal Weight Consumer Discretionary ETF (Symbol: RCD) which is trading up by about 0.2% on the day Friday.
|
In trading on Friday, shares of Advance Auto Parts Inc (Symbol: AAP) crossed above their 200 day moving average of $111.61, changing hands as high as $113.15 per share. According to the ETF Finder at ETF Channel, AAP makes up 1.35% of the Guggenheim S&P 500 Equal Weight Consumer Discretionary ETF (Symbol: RCD) which is trading up by about 0.2% on the day Friday. The chart below shows the one year performance of AAP shares, versus its 200 day moving average: Looking at the chart above, AAP's low point in its 52 week range is $78.81 per share, with $177.50 as the 52 week high point - that compares with a last trade of $111.01.
|
11463.0
|
2018-01-02 00:00:00 UTC
|
Retail Stocks: Year In Review; What To Shop For In 2018
|
AAP
|
https://www.nasdaq.com/articles/retail-stocks-year-review-what-shop-2018-2018-01-02
|
nan
|
nan
|
Retail stocks, those not named Amazon (AMZN) (up 56% in 2017) or Walmart (WMT) (up 43% in 2017), entered 2017 with tons of question marks. Namely, which ones would die and which would survive?
Overall, retailers left investors little to be excited about. If you just bought and held the SPDR S&P Retail ETF (XRT) in 2017, betting on a strong recovery, you gained just 2.52%, trailing the 25% rise in the Dow Jones Industrial Average and a better-than 19% return in the S&P 500 Index. Take a look at the chart further down, courtesy of YCharts.
Questions and uncertainty will no doubt roll over into 2018, though some of the survivors revealed themselves in 2017. But “surviving” is far from an investment thesis. Not only do retailers, specifically the brick-and-mortar variety, faced intense competition from each other, combine this with their already-low profit margins, fickle consumer tastes were enough to keep retail investors awake at night.
And to say nothing about the many execution risks they face by their shift to online or omni-channel model as a means to “Amazon-proof” themselves.
In that vein, unless your name was Best Buy (BBY) (up 60% in 2017) or Costco (COST) (up 21% in 2017), you had a hard time convincing capricious shoppers to stay loyal to and enter your establishment. Thus, say goodbye to your 2017 same-store-sales targets and say hello to a plunging stock price — something retail laggards such as Macy’s (M) (down 30% in 2017), Foot Locker (FL) (down 34% in 2017), J.C. Penny (JCP) (down 62% in 2017) realized.
There were also some divergence in 2017, however, which may appear in 2018. The fact that Kohl’s (KSS) rose 10%, despite the stumbles of Macy’s and J.C. Penny, was a surprise. As was the 10% decline in Target (TGT), which swayed far from Walmart’s 43% rise. Here, too, it’s tough to ignore the impact of Amazon’s purchase of Whole Foods had on Target’s prospects.
In many respects, the so-called “retail apocalypse” many analysts predicted for 2017 came to pass. Not only did bankruptcies and store closings rise in 2017, including the likes of electronic specialist hhgregg and Sports Authority, but the demise of long-time iconic brands Radio Shack and Toys R Us, combined with the rapid decay of Sears (SHLD), made the death of retail more commonplace.
You will have to go back to 2008 to find the last time retailers closed more stores than they did in 2017. For retail investors who held out long enough, luck would strike as it did for the likes of Staples, which was acquired, taken private by Sycamore Partners in a deal which valued the office supplier at around $6.9 billion. Staples investors not only received $10.25 per share, they didn’t have Amazon to fear anymore.
But not everyone was as lucky. If you owned Rite Aid (RAD) at the start of 2017 when it traded north of $8 (now around $2) and with an M&A deal on the table from Walgreens (WBA), you were left in disgust.
All told, finding retail stocks that can deliver market-beating performances in the next 12 to 18 months will be difficult, given the disruptive shift that continues. At the top of my list, however, will be Home Depot (HD) and Lowe’s (LOW), which not only gained 41% and 31%, respectively, they’ve resembled what true “Amazon-proof” businesses look like. Likewise, I expect the auto retailers, namely, Advanced Auto Parts (AAP) (down 41%) and Autozone (AZO) (down 10%) to be towed out of the ditch they ended 2017 in.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Likewise, I expect the auto retailers, namely, Advanced Auto Parts (AAP) (down 41%) and Autozone (AZO) (down 10%) to be towed out of the ditch they ended 2017 in. If you just bought and held the SPDR S&P Retail ETF (XRT) in 2017, betting on a strong recovery, you gained just 2.52%, trailing the 25% rise in the Dow Jones Industrial Average and a better-than 19% return in the S&P 500 Index. Not only did bankruptcies and store closings rise in 2017, including the likes of electronic specialist hhgregg and Sports Authority, but the demise of long-time iconic brands Radio Shack and Toys R Us, combined with the rapid decay of Sears (SHLD), made the death of retail more commonplace.
|
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Likewise, I expect the auto retailers, namely, Advanced Auto Parts (AAP) (down 41%) and Autozone (AZO) (down 10%) to be towed out of the ditch they ended 2017 in. You will have to go back to 2008 to find the last time retailers closed more stores than they did in 2017.
|
Likewise, I expect the auto retailers, namely, Advanced Auto Parts (AAP) (down 41%) and Autozone (AZO) (down 10%) to be towed out of the ditch they ended 2017 in. Retail stocks, those not named Amazon (AMZN) (up 56% in 2017) or Walmart (WMT) (up 43% in 2017), entered 2017 with tons of question marks. Not only do retailers, specifically the brick-and-mortar variety, faced intense competition from each other, combine this with their already-low profit margins, fickle consumer tastes were enough to keep retail investors awake at night.
|
Likewise, I expect the auto retailers, namely, Advanced Auto Parts (AAP) (down 41%) and Autozone (AZO) (down 10%) to be towed out of the ditch they ended 2017 in. Retail stocks, those not named Amazon (AMZN) (up 56% in 2017) or Walmart (WMT) (up 43% in 2017), entered 2017 with tons of question marks. Overall, retailers left investors little to be excited about.
|
11464.0
|
2018-01-02 00:00:00 UTC
|
Tuesday Sector Leaders: Healthcare, Services
|
AAP
|
https://www.nasdaq.com/articles/tuesday-sector-leaders-healthcare-services-2018-01-02
|
nan
|
nan
|
Looking at the sectors faring best as of midday Tuesday, shares of Healthcare companies are outperforming other sectors, higher by 1.7%. Within the sector, Incyte Corporation (Symbol: INCY) and Biogen Inc (Symbol: BIIB) are two large stocks leading the way, showing a gain of 6.9% and 4.4%, respectively. Among healthcare ETFs , one ETF following the sector is the Health Care Select Sector SPDR ETF (Symbol: XLV), which is up 1.0% on the day. Combined, INCY and BIIB make up approximately 2.7% of the underlying holdings of XLV.
The next best performing sector is the Services sector, up 1.4%. Among large Services stocks, Advance Auto Parts Inc (Symbol: AAP) and Dish Network Corp (Symbol: DISH) are the most notable, showing a gain of 7.7% and 4.9%, respectively. One ETF closely tracking Services stocks is the iShares U.S. Consumer Services ETF ( IYC ), which is up 1.3% in midday trading. Combined, AAP and DISH make up approximately 0.6% of the underlying holdings of IYC.
Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom:
Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Tuesday. As you can see, seven sectors are up on the day, while two sectors are down.
10 ETFs With Stocks That Insiders Are Buying »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Combined, AAP and DISH make up approximately 0.6% of the underlying holdings of IYC. Among large Services stocks, Advance Auto Parts Inc (Symbol: AAP) and Dish Network Corp (Symbol: DISH) are the most notable, showing a gain of 7.7% and 4.9%, respectively. Combined, INCY and BIIB make up approximately 2.7% of the underlying holdings of XLV.
|
Combined, AAP and DISH make up approximately 0.6% of the underlying holdings of IYC. Among large Services stocks, Advance Auto Parts Inc (Symbol: AAP) and Dish Network Corp (Symbol: DISH) are the most notable, showing a gain of 7.7% and 4.9%, respectively. Within the sector, Incyte Corporation (Symbol: INCY) and Biogen Inc (Symbol: BIIB) are two large stocks leading the way, showing a gain of 6.9% and 4.4%, respectively.
|
Among large Services stocks, Advance Auto Parts Inc (Symbol: AAP) and Dish Network Corp (Symbol: DISH) are the most notable, showing a gain of 7.7% and 4.9%, respectively. Combined, AAP and DISH make up approximately 0.6% of the underlying holdings of IYC. Within the sector, Incyte Corporation (Symbol: INCY) and Biogen Inc (Symbol: BIIB) are two large stocks leading the way, showing a gain of 6.9% and 4.4%, respectively.
|
Among large Services stocks, Advance Auto Parts Inc (Symbol: AAP) and Dish Network Corp (Symbol: DISH) are the most notable, showing a gain of 7.7% and 4.9%, respectively. Combined, AAP and DISH make up approximately 0.6% of the underlying holdings of IYC. Looking at the sectors faring best as of midday Tuesday, shares of Healthcare companies are outperforming other sectors, higher by 1.7%.
|
11465.0
|
2017-12-28 00:00:00 UTC
|
Auto Stock Roundup: Honda EV Activities, Volkswagen Crossover Versions in Focus
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-honda-ev-activities-volkswagen-crossover-versions-in-focus-2017-12-28
|
nan
|
nan
|
It was a usual week for the auto sector. Honda Motor Co., Ltd. HMC , which till sometime back was not that active on the electric vehicle (EV) front, has finally changed its stance. The company now plans to develop all solid-state batteries for EVs. This is in sync with the global automakers' heightened EV activities. In fact, a large number of automakers across the globe are coming up with next-generation car batteries in order to lower vehicle emissions.
Also, keeping in mind the changing preference of consumers toward crossovers, Volkswagen AG VLKAY is reportedly planning to add new versions to its two crossover models, Atlas and Tiguan. The latest editions will enable the German auto giant to offer compact crossovers at a lower price.
On the other hand, recall issues are still plaguing automakers across the globe. Fiat Chrysler Automobiles N.V. FCAU announced that it is recalling around 1.8 million Ram trucks, primarily in North America, to fix a gearbox defect. The defect may cause trucks to accidentally shift from parking mode and start moving.
(Read the previous roundup here: Auto Stock Roundup for Dec 21, 2017 )
Recap of the Week's Most Important Stories
1. Westport Fuel Systems Inc. WPRT reported that it has signed a secured loan agreement worth $20 million with Export Development Canada (EDC). The loan will assist the commercial unveiling of the Westport High Pressure Direct Injection 2.0 (Westport HPDI 2.0) program.
With its maturity date on Dec 31, 2021 and an initial interest rate of 9% plus fees, the secured loan will be repaid in quarterly installments that will increase annually. However, on reaching certain milestones, the interest rate will drop to 6%.
Westport HPDI 2.0 is an OEM integrated system, enabling heavy-duty trucks to run on natural gas and deliver performance equivalent to diesel-run engines, generating less CO2 emissions (read more: Westport Fuel & EDC Ink $20-Million Loan Deal ).
Currently Westport Fuel Systems has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here .
2. Fiat Chrysler has announced that it is recalling around 1.8 million Ram trucks, primarily in North America, to fix a gearbox defect, per a Wall Street Journal report. The defect may cause trucks to accidentally shift from parking mode and start moving.
According to company sources, the brake-transmission shift interlock system may stop working because of prolonged exposure to high temperature conditions, as a result of which the vehicles might start moving even without a foot on the brake pedal or a key in the ignition.
The trucks recalled include certain 2009-2017 model year Ram light-duty pickups, heavy-duty pickups and chassis cabs. The auto giant assured that it would repair the faulty vehicles and suggested that drivers should use parking brake as a safety measure (read more: Fiat Chrysler Recalls Around 1.8 Million Pickup Trucks ).
Currently Fiat Chrysler has a Zacks Rank #2 (Buy).
3. Japanese auto giant Honda is mulling over developing all solid-state batteries for EVs, per a Reuters report. This latest move by Honda is in sync with the global automakers' heightened activities in the EV front. In fact, a large number of automakers across the globe are coming up with next-generation car batteries in order to lower vehicle emissions.
Notably, Honda has relatively been a late starter to the sale of hybrid and electric vehicles. That said, the company has changed its stance and has set big plans of transition to electric vehicles by 2030.
Strict emissions standards imposed by a number of Asian and European countries are compelling automakers to consider transition to EVs, including all-solid-state batteries which offer higher capacity and improved safety than traditional lithium-ion batteries (read more: Honda Set to Develop All Solid-State EV Batteries ).
Currently Honda has a Zacks Rank #2.
4. Volkswagen is reportedly planning to add new versions to its two crossover models, Atlas and Tiguan. The new editions will include two-row, five-seat version in the Atlas model, while the Tiguan will feature two-row, long-wheelbase version.
The latest editions will enable Volkswagen to offer compact crossovers at lower costs.
Earlier this year, the company rolled out crossovers with a focus on three-row vehicles, including the seven-seating Atlas.
Timing for the above changes in Atlas and Tiguan has not been announced yet. However, the company is scheduled to launch another model of Atlas in 2020 (read more: Volkswagen Mulls Over New Atlas & Tiguan Versions ).
Currently Volkswagen has a Zacks Rank #3.
Performance
Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and sharpest decline was witnessed by Tesla, Inc. TSLA .
In the last six months, the steepest increase and the sharpest decline were witnessed by Honda and Tesla, respectively.
What's Next in the Auto Space?
Watch out for the usual news releases of other auto companies over the next week.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Tesla Inc. (TSLA): Free Stock Analysis Report
Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report
Volkswagen AG (VLKAY): Free Stock Analysis Report
Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and sharpest decline was witnessed by Tesla, Inc. TSLA . Click to get this free report Tesla Inc. (TSLA): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Fiat Chrysler has announced that it is recalling around 1.8 million Ram trucks, primarily in North America, to fix a gearbox defect, per a Wall Street Journal report.
|
Click to get this free report Tesla Inc. (TSLA): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and sharpest decline was witnessed by Tesla, Inc. TSLA . Fiat Chrysler Automobiles N.V. FCAU announced that it is recalling around 1.8 million Ram trucks, primarily in North America, to fix a gearbox defect.
|
Click to get this free report Tesla Inc. (TSLA): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and sharpest decline was witnessed by Tesla, Inc. TSLA . The auto giant assured that it would repair the faulty vehicles and suggested that drivers should use parking brake as a safety measure (read more: Fiat Chrysler Recalls Around 1.8 Million Pickup Trucks ).
|
Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and sharpest decline was witnessed by Tesla, Inc. TSLA . Click to get this free report Tesla Inc. (TSLA): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Strict emissions standards imposed by a number of Asian and European countries are compelling automakers to consider transition to EVs, including all-solid-state batteries which offer higher capacity and improved safety than traditional lithium-ion batteries (read more: Honda Set to Develop All Solid-State EV Batteries ).
|
11466.0
|
2017-12-21 00:00:00 UTC
|
Auto Stock Roundup: Toyota Honda Scales Up EV Activities, NAV, WGO Report Results
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-toyota-honda-scales-up-ev-activities-nav-wgo-report-results-2017-12-21
|
nan
|
nan
|
Last week saw a number of activities by global automakers on the electric vehicle (EV) front. Toyota Motor Corporation TM , the biggest Japanese automaker, shared its plans of popularizing electrified vehicles for 2020-2030. German auto giant, Volkswagen AG's VLKAY , electric vehicle infrastructure unit, Electrify America, shared plans of installing 2,800 charging stations for EVs.
Importantly, Honda Motor Co., Ltd. HMC , which had so far abstained from entering the EV race, has finally changed its stance. The company has set big plans to transition to electric vehicles by 2030. The company is set to unveil a new five-passenger gas-electric hybrid sedan, Insight, at the Detroit auto show next month.
Apart from these activities, Navistar International Corporation NAV and Winnebago Industries, Inc. WGO reported earnings results. Both the companies beat the Zacks Consensus Estimate.
(Read the previous roundup here: Auto Stock Roundup for Dec 14, 2017 )
Recap of the Week's Most Important Stories
1. Toyota has shared its plans of popularizing electrified vehicles for 2020-2030. This is in line with the company's developmental strategy to launch hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles (PHEVs), battery electric vehicles (BEVs) and fuel cell electric vehicles (FCEVs).
Per its Toyota Environmental Challenge 2050, launched in October 2015, the company aims at lessening the harmful impact of production and driving vehicles, as well as promoting usage of sustainable fuel options. Toyota aims to curb CO2 emissions of average new vehicles by 90% from the levels registered in 2010.
The company has plans of wheeling out 10 BEVs worldwide by early 2020s, first in China, followed by a series of gradual introduction in the Japan, India, the United States and Europe markets (read more: Toyota Puts Decade-Long Plan for Electric Vehicles on Paper ).
Currently Toyota has a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
2. Per Reuters, Volkswagen electric vehicle infrastructure unit, Electrify America, announced plans of installing 2,800 charging stations for electric vehicles (EVs). These stations will be set up across 17 major cities of the United States by June 2019. The charging stations will be located at approximately 500 sites. Almost 75% of this will be situated at workplaces, while the rest will be in the residential areas.
As part of the court settlement against its DieselGate scandal, Volkswagen agreed to invest $2 billion for developing electric vehicle infrastructure in the United States.
Of the total $2 billion funds allocated to the nationwide progress of zero-emission vehicles, the company decided to invest $800 million in California.
Also, Electrify America has chosen a few companies for installing these charging stations. The hired companies include SemaConnect, EV Connect and Greenlots (read more: Volkswagen to Install 2,800 EV Charging Stations in US ).
Currently Volkswagen has a Zacks Rank #3 (Hold).
3. Honda is set to unveil a new five-passenger gas-electric hybrid sedan, Insight, at the Detroit auto show next month, per an AP report. The Japanese automaker is of the opinion that the compact car will offer mileage on par with other hybrids.
In fact, Honda's vehicles are known for quality and fuel economy. However, it has been a late starter to the sale of hybrid and electric vehicles. That said, the company has changed its stance and has set big plans to transition to electric vehicles by 2030. The aim is to comply with the strict fuel economy standards in many countries in Asia and Europe.
The four-door Insight will employ a two-motor hybrid system. Moreover with its elegant style, lively stance, abundant interior space and stellar performance, Insight gels well with Honda's uniqueness (read more: Honda Set to Unveil New Gas-Electric Hybrid Sedan ).
Currently, Honda has a Zacks Rank #2 (Buy).
4. Navistar International's adjusted earnings came in at $1.43 per share in fourth-quarter fiscal 2017 (ended Oct 31, 2017), comfortably beating the Zacks Consensus Estimate of 65 cents. In the year-ago period, the company reported a loss of 28 cents.
Navistar recorded net income of $135 million against net loss of $34 million in the prior-year quarter.
Navistar's revenues grew 26% year over year to $2.6 billion in the reported quarter, surpassing the Zacks Consensus Estimate of $2.32 billion. The upside was primarily driven by a 31% increase in sales volume of the company's Class 6-8 vehicles in the United States and Canada.
Navistar reported earnings of 32 cents per share for fiscal 2017 against a loss of $1.19 in the previous fiscal.
Annual revenues grew 6% year over year to $8.6 billion, outpacing the Zacks Consensus Estimate of $8.2 billion (read more: Navistar's Q4 Earnings & Revenues Beat Estimates, Up Y/Y ).
Navistar carries a Zacks Rank #3.
5. Winnebago's adjusted earnings came in at 57 cents per share in the first quarter of fiscal 2018 (ended Nov 25, 2017), comfortably beating the Zacks Consensus Estimate of 50 cents. In the year-ago period, earnings were 42 cents per share. Net income soared 53% to $18 million.
Revenues in the first-quarter surged 83.5% to $450 million from $245.3 million in the prior-year quarter. The figure also outpaced the Zacks Consensus Estimate of $384.3 million. This upside in the top line was driven by continued strong growth of the Towable business.
Winnebago carries a Zacks Rank #3.
Performance
Last week, the steepest increase was registered by General Motors Company GM and sharpest decline was witnessed by Advance Auto Parts, Inc. AAP .
In the last six months, the steepest increase and the sharpest decline were witnessed by General Motors and Advance Auto Parts, respectively.
What's Next in the Auto Space?
Watch out for the usual news releases of other auto companies over the next week.
Zacks' Best Private Investment Ideas
While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.
Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors.
Click here for Zacks' private trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report
Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report
Volkswagen AG (VLKAY): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Navistar International Corporation (NAV): Free Stock Analysis Report
Winnebago Industries, Inc. (WGO): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Performance Last week, the steepest increase was registered by General Motors Company GM and sharpest decline was witnessed by Advance Auto Parts, Inc. AAP . Click to get this free report General Motors Company (GM): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Winnebago Industries, Inc. (WGO): Free Stock Analysis Report To read this article on Zacks.com click here. German auto giant, Volkswagen AG's VLKAY , electric vehicle infrastructure unit, Electrify America, shared plans of installing 2,800 charging stations for EVs.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Winnebago Industries, Inc. (WGO): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, the steepest increase was registered by General Motors Company GM and sharpest decline was witnessed by Advance Auto Parts, Inc. AAP . German auto giant, Volkswagen AG's VLKAY , electric vehicle infrastructure unit, Electrify America, shared plans of installing 2,800 charging stations for EVs.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Winnebago Industries, Inc. (WGO): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, the steepest increase was registered by General Motors Company GM and sharpest decline was witnessed by Advance Auto Parts, Inc. AAP . This is in line with the company's developmental strategy to launch hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles (PHEVs), battery electric vehicles (BEVs) and fuel cell electric vehicles (FCEVs).
|
Performance Last week, the steepest increase was registered by General Motors Company GM and sharpest decline was witnessed by Advance Auto Parts, Inc. AAP . Click to get this free report General Motors Company (GM): Free Stock Analysis Report Honda Motor Company, Ltd. (HMC): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Winnebago Industries, Inc. (WGO): Free Stock Analysis Report To read this article on Zacks.com click here. German auto giant, Volkswagen AG's VLKAY , electric vehicle infrastructure unit, Electrify America, shared plans of installing 2,800 charging stations for EVs.
|
11467.0
|
2017-12-20 00:00:00 UTC
|
Advance Auto Parts Inc (AAP) Ex-Dividend Date Scheduled for December 21, 2017
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-inc-aap-ex-dividend-date-scheduled-december-21-2017-2017-12-20
|
nan
|
nan
|
Advance Auto Parts Inc ( AAP ) will begin trading ex-dividend on December 21, 2017. A cash dividend payment of $0.06 per share is scheduled to be paid on January 05, 2018. Shareholders who purchased AAP prior to the ex-dividend date are eligible for the cash dividend payment. This marks the 18th quarter that AAP has paid the same dividend. At the current stock price of $99.73, the dividend yield is .24%.
The previous trading day's last sale of AAP was $99.73, representing a -43.81% decrease from the 52 week high of $177.50 and a 26.54% increase over the 52 week low of $78.81.
AAP is a part of the Consumer Services sector, which includes companies such as JD.com, Inc. ( JD ) and O'Reilly Automotive, Inc. ( ORLY ). AAP's current earnings per share, an indicator of a company's profitability, is $4.77. Zacks Investment Research reports AAP's forecasted earnings growth in 2017 as -26.97%, compared to an industry average of -.2%.
For more information on the declaration, record and payment dates, visit the AAP Dividend History page. Our Dividend Calendar has the full list of stocks that have an ex-dividend today.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
AAP is a part of the Consumer Services sector, which includes companies such as JD.com, Inc. ( JD ) and O'Reilly Automotive, Inc. ( ORLY ). Zacks Investment Research reports AAP's forecasted earnings growth in 2017 as -26.97%, compared to an industry average of -.2%. For more information on the declaration, record and payment dates, visit the AAP Dividend History page.
|
AAP's current earnings per share, an indicator of a company's profitability, is $4.77. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Advance Auto Parts Inc ( AAP ) will begin trading ex-dividend on December 21, 2017.
|
Shareholders who purchased AAP prior to the ex-dividend date are eligible for the cash dividend payment. This marks the 18th quarter that AAP has paid the same dividend. For more information on the declaration, record and payment dates, visit the AAP Dividend History page.
|
Shareholders who purchased AAP prior to the ex-dividend date are eligible for the cash dividend payment. AAP's current earnings per share, an indicator of a company's profitability, is $4.77. Advance Auto Parts Inc ( AAP ) will begin trading ex-dividend on December 21, 2017.
|
11468.0
|
2017-12-12 00:00:00 UTC
|
Consumer Sector Update for 12/12/2017: AAP,FOX,DIS,GRPN
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-12122017-aapfoxdisgrpn-2017-12-12
|
nan
|
nan
|
Top Consumer Stocks
WMT -0.19%
MCD -0.59%
DIS +0.55%
CVS -0.25%
KO -0.15%
Consumer stocks remain narrowly higher in late trade, with shares of consumer staples companies in the S&P 500 climbing just under 0.1% while shares of consumer discretionary firms in the S&P 500 also were posting a nearly 0.1% advance.
In company news, Advance Auto Parts Inc ( AAP ) climbed almost 5% on Tuesday, reaching a session high of $105.56 a share, after the retailer announced an exclusive partnership with Interstate Batteries beginning in spring 2018.
Financial terms of the partnership were not disclosed. The companies said Interstate batteries initially will only be available at company-owned Advance Auto stores and at independently owned Carquest stores, later expanding to Advance subsidiaries Worldpac, Autopart International and Carquest Canada locations as well.
In other sector news,
(+) FOXA, Thursday expected to announce the sale of most of its assets to The Walt Disney Co ( DIS ), with Fox shareholders receiving a fixed ratio of Disney stock while keeping their stake in the company's remaining properties. The proposal values Fox at more than $60 bln although the final price tag is still being negotiated, according to CNBC.
(-) GRPN, Piper Jaffray reiterates Overweight investment recommendation with a $6.25 price target, downplaying recent third-party scrapping data indicating the company had a weak November.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In company news, Advance Auto Parts Inc ( AAP ) climbed almost 5% on Tuesday, reaching a session high of $105.56 a share, after the retailer announced an exclusive partnership with Interstate Batteries beginning in spring 2018. In other sector news, (+) FOXA, Thursday expected to announce the sale of most of its assets to The Walt Disney Co ( DIS ), with Fox shareholders receiving a fixed ratio of Disney stock while keeping their stake in the company's remaining properties. (-) GRPN, Piper Jaffray reiterates Overweight investment recommendation with a $6.25 price target, downplaying recent third-party scrapping data indicating the company had a weak November.
|
In company news, Advance Auto Parts Inc ( AAP ) climbed almost 5% on Tuesday, reaching a session high of $105.56 a share, after the retailer announced an exclusive partnership with Interstate Batteries beginning in spring 2018. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In company news, Advance Auto Parts Inc ( AAP ) climbed almost 5% on Tuesday, reaching a session high of $105.56 a share, after the retailer announced an exclusive partnership with Interstate Batteries beginning in spring 2018. Consumer stocks remain narrowly higher in late trade, with shares of consumer staples companies in the S&P 500 climbing just under 0.1% while shares of consumer discretionary firms in the S&P 500 also were posting a nearly 0.1% advance. The companies said Interstate batteries initially will only be available at company-owned Advance Auto stores and at independently owned Carquest stores, later expanding to Advance subsidiaries Worldpac, Autopart International and Carquest Canada locations as well.
|
In company news, Advance Auto Parts Inc ( AAP ) climbed almost 5% on Tuesday, reaching a session high of $105.56 a share, after the retailer announced an exclusive partnership with Interstate Batteries beginning in spring 2018. Consumer stocks remain narrowly higher in late trade, with shares of consumer staples companies in the S&P 500 climbing just under 0.1% while shares of consumer discretionary firms in the S&P 500 also were posting a nearly 0.1% advance. Financial terms of the partnership were not disclosed.
|
11469.0
|
2017-12-05 00:00:00 UTC
|
Advance Auto Parts Reaches Analyst Target Price
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-reaches-analyst-target-price-2017-12-05
|
nan
|
nan
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $101.71, changing hands for $104.02/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 12 different analyst targets contributing to that average for Advance Auto Parts Inc, but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $82.00. And then on the other side of the spectrum one analyst has a target as high as $130.00. The standard deviation is $14.213.
But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $101.71/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $101.71 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover Advance Auto Parts Inc:
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on AAP - FREE .
The Top 25 Broker Analyst Picks of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $101.71, changing hands for $104.02/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $101.71/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $101.71 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $101.71, changing hands for $104.02/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $101.71/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $101.71 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
And so with AAP crossing above that average target price of $101.71/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $101.71 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $101.71, changing hands for $104.02/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
|
In recent trading, shares of Advance Auto Parts Inc (Symbol: AAP) have crossed above the average analyst 12-month target price of $101.71, changing hands for $104.02/share. But the whole reason to look at the average AAP price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with AAP crossing above that average target price of $101.71/share, investors in AAP have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $101.71 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
|
11470.0
|
2017-12-05 00:00:00 UTC
|
3 Stocks to Watch on Tuesday: Advance Auto Parts, Inc. (AAP), Coupa Software Inc (COUP) and Under Armour Inc (UAA)
|
AAP
|
https://www.nasdaq.com/articles/3-stocks-watch-tuesday-advance-auto-parts-inc-aap-coupa-software-inc-coup-and-under-armour
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The U.S. stock market rally slowed down on Monday as big-cap tech stocks experienced a sell off, while toys fell 4.8% during the day. The S&P 500 Index fell 0.1%, the Dow Jones Industrial Average dipped 0.2% and the Nasdaq Composite was 1.1% lower by day's end.
It was a quiet afternoon, but several companies still made headlines, including Advance Auto Parts, Inc. (NYSE: AAP ), Coupa Software Inc (NASDAQ: COUP ) and Under Armour Inc (NYSE: UAA ).
Here's how they did:
Advance Auto Parts, Inc. (AAP)
Advance Auto Parts fell slightly after hours before recovering slightly.
The automotive aftermarket parts provider took a step back early in the after-hours session as Vice President Robert Cushing reportedly dumped 163 shares of the company.
Warren Buffett's 7 Best Stock Picks of 2017
During the normal trading session, the stock had gained 4.7%. However, Advance Auto Parts was moving in the opposite direction during its extended trading on the news of Cushing's move.
AAP stock eventually recovered, trading flat after hours.
Coupa Software Inc (COUP)
Coupa Software posted better-than-expected earnings results, but the company's shares still declined late in the day.
The cloud-based spend management platform provider reported earnings at a loss of $11.3 million, or 21 cents per share, compared to a loss of $6.7 million, or 36 cents a share in the year-ago period.
On an adjusted basis, Coupa Software's third quarter yielded earnings at a loss of five cents per share, topping the loss of 22 cents per share from a year ago. Analysts were calling for an adjusted loss of 11 cents per share, according to FactSet .
Revenue for the period came in at $47.3 million, which was stronger than the year-ago loss of $35.4 million. Analysts were calling for revenue of $45 million, according to FactSet.
For its fourth quarter, Coupa Software sees its earnings as coming in at a loss of 14 cents to 16 cents per share on an adjusted basis, compared to the consensus of a loss of 17 cents per share.
Over the same period, revenue is slated to be in the range of $48.3 million to $48.8 million, while the Wall Street consensus estimate forecasts a loss of $47.7 million.
COUP stock fell 3.8% after hours.
Under Armour Inc (UAA)
Under Armour could be moving today as the company made a new appointment in a leadership role .
The athletic apparel manufacturer and distributor announced David Bergman as its new Chief Financial Officer on Monday. He had been the acting CFO since February 2017.E: UA, UAA) today announced that David Bergman been named Chief Financial Officer (CFO). Bergman has served as acting CFO since February 2017 .
" David Bergman brings strong financial expertise, leadership and a deep understanding of the Under Armour brand to this role," said Under Armour Chairman and CEO Kevin Plank .
Plank added that Bergman has a proven track record of developing and leading the company's global finance organization in his 13 years with Under Armour. These include the company's IPO, expanding at a global scale and leading its restructuring efforts.
Why Shopify Inc (US) Stock Is Too Dangerous to Buy
Bergman will report to Plan and will be responsible for the company's accounting segment, as well as its finance, internal audit and insurance, investor relations, tax and treasury.
UAA stock was trading flat after the bell.
As of this writing, Karl Utermohlen did not hold a position in any of the aforementioned securities.
More From InvestorPlace
The 10 Best Mutual Funds to Buy for 2018
Why Microsoft Corporation Stock Is a Head-Turner That Deserves Your Attention
7 Marijuana Stocks to Buy That Won't Burn You
The post 3 Stocks to Watch on Tuesday: Advance Auto Parts, Inc. (AAP), Coupa Software Inc (COUP) and Under Armour Inc (UAA) appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
It was a quiet afternoon, but several companies still made headlines, including Advance Auto Parts, Inc. (NYSE: AAP ), Coupa Software Inc (NASDAQ: COUP ) and Under Armour Inc (NYSE: UAA ). Here's how they did: Advance Auto Parts, Inc. (AAP) Advance Auto Parts fell slightly after hours before recovering slightly. AAP stock eventually recovered, trading flat after hours.
|
It was a quiet afternoon, but several companies still made headlines, including Advance Auto Parts, Inc. (NYSE: AAP ), Coupa Software Inc (NASDAQ: COUP ) and Under Armour Inc (NYSE: UAA ). Here's how they did: Advance Auto Parts, Inc. (AAP) Advance Auto Parts fell slightly after hours before recovering slightly. AAP stock eventually recovered, trading flat after hours.
|
More From InvestorPlace The 10 Best Mutual Funds to Buy for 2018 Why Microsoft Corporation Stock Is a Head-Turner That Deserves Your Attention 7 Marijuana Stocks to Buy That Won't Burn You The post 3 Stocks to Watch on Tuesday: Advance Auto Parts, Inc. (AAP), Coupa Software Inc (COUP) and Under Armour Inc (UAA) appeared first on InvestorPlace . It was a quiet afternoon, but several companies still made headlines, including Advance Auto Parts, Inc. (NYSE: AAP ), Coupa Software Inc (NASDAQ: COUP ) and Under Armour Inc (NYSE: UAA ). Here's how they did: Advance Auto Parts, Inc. (AAP) Advance Auto Parts fell slightly after hours before recovering slightly.
|
More From InvestorPlace The 10 Best Mutual Funds to Buy for 2018 Why Microsoft Corporation Stock Is a Head-Turner That Deserves Your Attention 7 Marijuana Stocks to Buy That Won't Burn You The post 3 Stocks to Watch on Tuesday: Advance Auto Parts, Inc. (AAP), Coupa Software Inc (COUP) and Under Armour Inc (UAA) appeared first on InvestorPlace . It was a quiet afternoon, but several companies still made headlines, including Advance Auto Parts, Inc. (NYSE: AAP ), Coupa Software Inc (NASDAQ: COUP ) and Under Armour Inc (NYSE: UAA ). Here's how they did: Advance Auto Parts, Inc. (AAP) Advance Auto Parts fell slightly after hours before recovering slightly.
|
11471.0
|
2017-12-04 00:00:00 UTC
|
Consumer Sector Update for 12/04/2017: AAP,CVNA,SIG
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-12042017-aapcvnasig-2017-12-04
|
nan
|
nan
|
Top Consumer Stocks
WMT -0.37%
MCD -0.93%
DIS +4.88%
CVS -4.99%
KO +0.51%
Consumer stocks were broadly higher, with shares of consumer staples companies in the S&P 500 holding a 0.7% advance while shares of consumer discretionary firms in the S&P 500 were streaking to a more than 1.5% gain this afternon.
In company news, Advance Auto Parts ( AAP ) sped to a nearly 6% gain on Monday, topping out at $105.20 a share, after analysts at MoffettNathanson began coverage of the retailer with a Neutral investment rating.
The move follows Advance Auto's last month reporting an adjusted Q3 profit of $1.43 per share during the three months ended Oct.7, down from $1.73 per share in net income during the same quarter last year but still exceeding the Capital IQ consensus by $0.22 per share. Revenue slipped 3.1% from year-ago levels at $2.18 billion, missing the Street view by around $30 million.
In other sector news,
(+) CVNA, (+10.7%) Enters into $100 mln stock-purchase agreement with Dundon Capital Partners, which will acquire 100,000 shares of its Class A convertible preferred stock through a private placement priced at $1,000 per preferred share. Proceeds will be used to drive growth, including the expansion of the offering.
(-) SIG, (-2.8%) Says in its Sept 27 response to the office of enforcement at the Consumer Financial Protection Bureau's claim an investigation in potential violations of various consumer protection laws and the Truth in Lending Act lacks merit, according to its Form 10-Q quarterly report filed late Friday night.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In company news, Advance Auto Parts ( AAP ) sped to a nearly 6% gain on Monday, topping out at $105.20 a share, after analysts at MoffettNathanson began coverage of the retailer with a Neutral investment rating. Revenue slipped 3.1% from year-ago levels at $2.18 billion, missing the Street view by around $30 million. (-) SIG, (-2.8%) Says in its Sept 27 response to the office of enforcement at the Consumer Financial Protection Bureau's claim an investigation in potential violations of various consumer protection laws and the Truth in Lending Act lacks merit, according to its Form 10-Q quarterly report filed late Friday night.
|
In company news, Advance Auto Parts ( AAP ) sped to a nearly 6% gain on Monday, topping out at $105.20 a share, after analysts at MoffettNathanson began coverage of the retailer with a Neutral investment rating. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In company news, Advance Auto Parts ( AAP ) sped to a nearly 6% gain on Monday, topping out at $105.20 a share, after analysts at MoffettNathanson began coverage of the retailer with a Neutral investment rating. Consumer stocks were broadly higher, with shares of consumer staples companies in the S&P 500 holding a 0.7% advance while shares of consumer discretionary firms in the S&P 500 were streaking to a more than 1.5% gain this afternon. The move follows Advance Auto's last month reporting an adjusted Q3 profit of $1.43 per share during the three months ended Oct.7, down from $1.73 per share in net income during the same quarter last year but still exceeding the Capital IQ consensus by $0.22 per share.
|
In company news, Advance Auto Parts ( AAP ) sped to a nearly 6% gain on Monday, topping out at $105.20 a share, after analysts at MoffettNathanson began coverage of the retailer with a Neutral investment rating. Top Consumer Stocks Consumer stocks were broadly higher, with shares of consumer staples companies in the S&P 500 holding a 0.7% advance while shares of consumer discretionary firms in the S&P 500 were streaking to a more than 1.5% gain this afternon.
|
11472.0
|
2017-12-04 00:00:00 UTC
|
3 Big Stock Charts for Monday: Bank of America Corp (BAC), Bristol-Myers Squibb Co (BMY) and Advance Auto Parts, Inc. (AAP)
|
AAP
|
https://www.nasdaq.com/articles/3-big-stock-charts-monday-bank-america-corp-bac-bristol-myers-squibb-co-bmy-and-advance
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Sometimes its amazing how the market can change over a weekend, which is one of the reasons that we often hold off on adding new positions on Friday afternoons. This weekend's news cycle focused heavily on the tax reform bill pressing through Congress resulting in this morning's strong reversal of Friday's selling spree.
Over the short-term, we expect the news to carry stocks higher except for some of the technology sectors. Today's Three Big Stock Charts looks at Bank of America Corp (NYSE: BAC ), Bristol-Myers Squibb Co (NYSE: BMY ) and Advance Auto Parts, Inc. (NYSE: AAP ). All three of the companies are breking into volatility rallies that should carry them higher into the New Year.
Bank of America Corp (BAC)
The combination of higher rates and strong economic activity has the larger banks in rally mode.
Warren Buffett's 7 Best Stock Picks of 2017
Bank of America shares are flashing signs that the intermediate-term trend is ready to carry shares higher as the stock heads into the seasonally strong year-end trade.
Shares of Bank of America bounced from their 50-day moving average twice in as many weeks, showing the strength of this trendline. This 50-day is also trending higher, indicating a strong intermediate-term bullish trend.
Last week, the stock broke above its top Bollinger Band, which acts as the catalyst for a volatility rally. Shares are now back above this threshold, which will continue to draw fast buying to the shares.
Shares are moving into overbought territory as the RSI reaches above readings of 70. This could put some selling pressure on the stock, but the intermediate-term trend is more likely to maintain the bullish trajectory.
Bristol-Myers Squibb Co (BMY)
Technology and pharmaceutical stocks have been lagging the market of late, but there are some stocks within those group that are presenting themselves as opportunities - like Bristol-Myers Squibb. After spending some time consolidating, the shares are ready to move higher with the market.
Shares just crossed back above their 50-day moving average over the last week of trading as Bristol-Myers Squibb shares are gaining technical traction. We should see the trend of the 50-day turn bullish as it transitions into an ascending pattern.
The Chande Trend Meter just moved into bullish signal territory last week as the readings broke above 70. This indicates that the stock is beginning to gain positive momentum as its trend improves.
Like a number of other companies, Bristol-Myers Squibb shares broke above their top Bollinger Band over the last week and are resuming this activity today. This suggests that a volatility rally is preparing to carry shares higher on increased volume.
Advance Auto Parts, Inc. (AAP)
After seeing the "sell the news" crowd bring Advance Auto Parts shares lower after their positive earnings results, the stock has regained its technical composure as it moves into a bullish rally. The dip provided by the post-earnings selling gave traders a great opportunity to get in to shares ahead of what is likely to be a strong year-end run.
The break above $100 represents a break of the chart resistance that was in place at this price because of past tops/bottoms and the round-numbered aspect of the price level.
The Chande Trend Meter has also moved into bullish territoey on Advance Auto Parts as the trend is now improving while moving through key resistance levels. This will attract more bullish buyers into the market.
Advance Auto Parts shares have roughly 12 percent of overhead room to run higher before running into resistance from the stock's 200-day moving average. A Break above the top Bollinger Band will make quick work of this rally as the bulls pile back into this popular stock.
As of this writing, Johnson Research Group did not hold a position in any of the aforementioned securities.
10 A-Rated Tech Stocks to Grow Your Returns
10 Best Stocks I Wish I Bought in 2017
'GTA' Is Driving Take-Two Interactive Software Inc's Future
The post 3 Big Stock Charts for Monday: Bank of America Corp (BAC), Bristol-Myers Squibb Co (BMY) and Advance Auto Parts, Inc. (AAP) appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Today's Three Big Stock Charts looks at Bank of America Corp (NYSE: BAC ), Bristol-Myers Squibb Co (NYSE: BMY ) and Advance Auto Parts, Inc. (NYSE: AAP ). Advance Auto Parts, Inc. (AAP) After seeing the "sell the news" crowd bring Advance Auto Parts shares lower after their positive earnings results, the stock has regained its technical composure as it moves into a bullish rally. 10 A-Rated Tech Stocks to Grow Your Returns 10 Best Stocks I Wish I Bought in 2017 'GTA' Is Driving Take-Two Interactive Software Inc's Future The post 3 Big Stock Charts for Monday: Bank of America Corp (BAC), Bristol-Myers Squibb Co (BMY) and Advance Auto Parts, Inc. (AAP) appeared first on InvestorPlace .
|
Today's Three Big Stock Charts looks at Bank of America Corp (NYSE: BAC ), Bristol-Myers Squibb Co (NYSE: BMY ) and Advance Auto Parts, Inc. (NYSE: AAP ). Advance Auto Parts, Inc. (AAP) After seeing the "sell the news" crowd bring Advance Auto Parts shares lower after their positive earnings results, the stock has regained its technical composure as it moves into a bullish rally. 10 A-Rated Tech Stocks to Grow Your Returns 10 Best Stocks I Wish I Bought in 2017 'GTA' Is Driving Take-Two Interactive Software Inc's Future The post 3 Big Stock Charts for Monday: Bank of America Corp (BAC), Bristol-Myers Squibb Co (BMY) and Advance Auto Parts, Inc. (AAP) appeared first on InvestorPlace .
|
Advance Auto Parts, Inc. (AAP) After seeing the "sell the news" crowd bring Advance Auto Parts shares lower after their positive earnings results, the stock has regained its technical composure as it moves into a bullish rally. 10 A-Rated Tech Stocks to Grow Your Returns 10 Best Stocks I Wish I Bought in 2017 'GTA' Is Driving Take-Two Interactive Software Inc's Future The post 3 Big Stock Charts for Monday: Bank of America Corp (BAC), Bristol-Myers Squibb Co (BMY) and Advance Auto Parts, Inc. (AAP) appeared first on InvestorPlace . Today's Three Big Stock Charts looks at Bank of America Corp (NYSE: BAC ), Bristol-Myers Squibb Co (NYSE: BMY ) and Advance Auto Parts, Inc. (NYSE: AAP ).
|
Today's Three Big Stock Charts looks at Bank of America Corp (NYSE: BAC ), Bristol-Myers Squibb Co (NYSE: BMY ) and Advance Auto Parts, Inc. (NYSE: AAP ). Advance Auto Parts, Inc. (AAP) After seeing the "sell the news" crowd bring Advance Auto Parts shares lower after their positive earnings results, the stock has regained its technical composure as it moves into a bullish rally. 10 A-Rated Tech Stocks to Grow Your Returns 10 Best Stocks I Wish I Bought in 2017 'GTA' Is Driving Take-Two Interactive Software Inc's Future The post 3 Big Stock Charts for Monday: Bank of America Corp (BAC), Bristol-Myers Squibb Co (BMY) and Advance Auto Parts, Inc. (AAP) appeared first on InvestorPlace .
|
11473.0
|
2017-12-01 00:00:00 UTC
|
3 Earnings Reports to Watch Next Week
|
AAP
|
https://www.nasdaq.com/articles/3-earnings-reports-to-watch-next-week-2017-12-01
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Broad markets still are setting all-time highs as the earnings focus has turned to the consumer space. As they have been for most of the year, results have been mixed, but good enough to keep the rally going
A few key companies in the consumer sector still are set to report fiscal Q3 results over the next few weeks. Black Friday sales looked solid, but the real test for brick-and-mortar retailers will come as the key holiday season rolls on.
For the market as a whole, the news has been good enough. But many individual stocks in the consumer space still have their fair share of challenges - and a substantial amount of volatility.
12 Best Dividend Stocks for the Next 12 Months
Three of those companies report next week, with eyes on calming investor nerves and driving their share prices higher. With consumer confidence rising, and the economy strong, performance needs to be strong - or else investors may send their capital elsewhere.
Earnings Reports to Watch: AutoZone (AZO)
Source: time anchor via Flickr (Modified)
From here, the fiscal first quarter report from AutoZone, Inc. (NYSE: AZO ) on Tuesday morning looks like the most important of the week. The numbers will be of importance not just to AZO, but peers Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ).
Those three stocks stalled out in 2016 - and have simply rolled over in 2017, with AZO stock down 14% so far this year. But the group has rallied of late, with all three stocks up at least 28% from 52-week lows touched this summer.
The rally seems to make AZO, in particular, rather dangerous ahead of its report. The market sold off AutoZone after a fiscal Q4 beat in September, and shares plunged after the previous two earnings releases. But the stock has gained nearly 30% on basically no news since a 5% drop following that Q4 release.
AZO now trades 6.5% above the average Street target price, and expectations are rising heading into earnings. Given continuing online pressure on the space, that seems a dicey combination. An AZO miss would reverberate across the sector, as has been the case for the past two years. As such, I'd avoid the sector next week, or even consider a short of ORLY, which I believe is the weakest of the three.
Earnings Reports to Watch: H&R Block (HRB)
Source: Mike Mozart via Flickr
The fiscal Q2 report from H & R Block Inc (NYSE: HRB ) on Wednesday morning very well could focus more on Washington, D.C. than Wall Street. HRB's numbers outside of tax season generally aren't material, and analysts aren't expecting much. Consensus estimates project a loss of 72 cents per share, and revenue growth of just 0.3% year-over-year.
But the postearnings conference callshould draw some interest, particularly if Congress makes some progress on tax reform over the weekend. Reports have conflicted as to the impact of changes - notably the proposed increase in the standard deduction - on preparers like H&R Block and Liberty Tax Inc (NASDAQ: TAX ).
Still, I wouldn't expect much in the way of fireworks, even though HRB did fall a surprising 8% after a similarly quiet Q1 report in August. It's unlikely HRB management will have much to say on tax reform, even if there's enough of a plan from D.C. for management to be able to do so.
More broadly, the key questions surrounding H&R Block simply haven't been answered. Will online DIY options like TurboTax from Intuit Inc. (NASDAQ: INTU ) continue to take share? Does blockchain technology represent a long-term threat? The Q2 report isn't going to offer much in the way of additional information, beyond (possibly) the company's updated guidance for tax season.
10 Best Stocks I Wish I Bought in 2017
With implied volatility rather high - the options market is pricing in a 9%-plus move between now and Dec. 15 - the smart trade here might be to sell a straddle or buy an iron condor, both of which would bet on a limited post-earnings move for HRB.
Earnings Reports to Watch: Lululemon (LULU)
Source: Shutterstock
The Street's on-again, off-again, love affair with Lululemon Athletica Inc (NASDAQ: LULU ) appears to be back on, as LULU stock sits near a seven-month high. I'd expect the fiscal Q3 report on Wednesday afternoon to keep the rally going.
To be sure, I'm not quite convinced by LULU long-term. The stock isn't cheap by any means, trading at over 24x next year's Street EPS estimates. Growth has been choppy, and competition from companies like Under Armour Inc Class A (NYSE: UAA ) and Gap Inc (NYSE: GPS ) banner Athleta will remain intense.
But Q3 looks like it could drive the stock higher, at least in the near term. Expectations aren't particularly onerous, with analysts looking for 12% revenue growth (helped in part by new stores) and a similar rise in EPS. News for the retail space as a whole looks reasonably strong of late, and positive commentary on Black Friday should help. Investors appear to be asking for reasons to buy LULU stock at the moment, and the company seems to be performing well enough to satisfy the market.
Longer-term, the story here isn't over by any means, and I'd expect fireworks in the Q4 report when Lululemon details its performance during the important holiday season. Until then, though, I don't see enough to believe that LULU's rally is ready to come to an end quite yet.
Hilary Kramer is the editor of GameChangers , Breakout Stocks , High Octane Trader , Absolute Capital Return and Value Authority . She is an accomplished investment specialist and market strategist with more than 25 years of experience in portfolio management, equity research, trading, and risk management. She has extensive expertise in global financial management, asset allocation, investment banking and private equity ventures, and is regularly sought after to provide her analysis on Bloomberg, CNBC, Fox Business Network and other media.
The post 3 Earnings Reports to Watch Next Week appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
The numbers will be of importance not just to AZO, but peers Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ). 12 Best Dividend Stocks for the Next 12 Months Three of those companies report next week, with eyes on calming investor nerves and driving their share prices higher. Hilary Kramer is the editor of GameChangers , Breakout Stocks , High Octane Trader , Absolute Capital Return and Value Authority .
|
The numbers will be of importance not just to AZO, but peers Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ). InvestorPlace - Stock Market News, Stock Advice & Trading Tips Broad markets still are setting all-time highs as the earnings focus has turned to the consumer space. Earnings Reports to Watch: H&R Block (HRB) Source: Mike Mozart via Flickr The fiscal Q2 report from H & R Block Inc (NYSE: HRB ) on Wednesday morning very well could focus more on Washington, D.C. than Wall Street.
|
The numbers will be of importance not just to AZO, but peers Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ). InvestorPlace - Stock Market News, Stock Advice & Trading Tips Broad markets still are setting all-time highs as the earnings focus has turned to the consumer space. Earnings Reports to Watch: AutoZone (AZO) Source: time anchor via Flickr (Modified) From here, the fiscal first quarter report from AutoZone, Inc. (NYSE: AZO ) on Tuesday morning looks like the most important of the week.
|
The numbers will be of importance not just to AZO, but peers Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ). InvestorPlace - Stock Market News, Stock Advice & Trading Tips Broad markets still are setting all-time highs as the earnings focus has turned to the consumer space. Earnings Reports to Watch: AutoZone (AZO) Source: time anchor via Flickr (Modified) From here, the fiscal first quarter report from AutoZone, Inc. (NYSE: AZO ) on Tuesday morning looks like the most important of the week.
|
11474.0
|
2017-11-30 00:00:00 UTC
|
Auto Stock Roundup: Toyota Upgrades Safety Features, Thor & Copart Q1 Earnings Beat
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-toyota-upgrades-safety-features-thor-copart-q1-earnings-beat-2017-11
|
nan
|
nan
|
Last week saw increased readiness of top automakers to augment capacity of batteries required for electric vehicles (EVs). Tesla Inc. TSLA , the pioneer in EVs, has completed installing the lithium-ion battery in South Australia. In fact, in order to secure supply of battery metals, German automaker Volkswagen AG VLKAY is in discussion with metal traders and mulling over arranging some long-term solutions.
On the other hand, in order to tackle the grave concern of safety related recalls, Japanese auto major Toyota Motor Corporation's TM holding company Toyota Motor North America, Inc. is coming up with Toyota Safety Sense (TSS) package. This package, embedded with active safety features will be used in certain vehicles from mid-2018.
Last week also saw a couple of companies coming up with earnings results. Both Copart, Inc. CPRT and Thor Industries, Inc. THO reported first-quarter fiscal 2018 (ended Oct 31, 2017) results. Both the companies beat on earnings and revenues.
(Read the previous roundup here: Auto Stock Roundup for Nov 22, 2017 )
Recap of the Week's Most Important Stories
1. Per Reuters, Tesla has completed installing the world's largest lithium-ion battery in South Australia. The construction was completed within 55 days from Sep 29, when the grid connection deal was signed.
In July, the company won a bid to construct 129 megawatt hour battery for Australia's most wind-energy dependent state i.e. South Australia. The company's CEO Elon Musk had pledged to install the battery within 100 days of signing the grid connection agreement. Otherwise the same would be given to the state for free.
At the time of signing the deal, Tesla had already installed half the battery packs.
The company's powerpacks have been installed at a wind farm in France's Neoen and are undergoing testing to offer grid security services. Per South Australia Energy Minister, the battery will be operational from Dec 1.
Of the total $390-million plan that the state has sanctioned for diesel-fired generators to deal with frequent power cuts, it is yet to determine the amount to be paid to Tesla for the battery (read more: Tesla Builds Largest Lithium-Ion Battery in Australia ).
Currently, Tesla has a Zacks Rank #4 (Sell).
2. Copart reported adjusted earnings per share of 33 cents in first-quarter fiscal 2018 (ended Oct 31, 2017), beating the Zacks Consensus Estimate of 26 cents. The bottom line improved 17.9% from 28 cents registered in the year-ago quarter.
Net income was $77.5 million, reflecting a plunge of 53.7% or $89.8 million from the first quarter of fiscal 2017.
Copart's revenues increased 21.1% to $419.2 million from the year-ago quarter and surpassed the Zacks Consensus Estimate of $377.4 million.
Service revenues increased 21.8% to $374.1 million, while revenues from vehicle sales gained 15.8% to $45.1 million.
Gross margin improved 12.4% to $163.3 million in the reported quarter from $145.3 million a year ago. Operating expenses also increased to $295.2 million from $241.2 million registered in the prior-year period.
Operating income increased to $124 million from $104.8 million a year ago (read more: Copart Q1 Earnings & Revenues Beat Estimates, Up Y/Y ).
Currently, Copart sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
3. Volkswagen is making long-term arrangements to secure supply of battery metals required for electric vehicles, per a Bloomberg report. In fact, the German auto giant has invited metal traders for discussion on this matter.
The carmaker, in an email, has stated that it is in talks with producers of materials for electric cars. The company intends to initiate talks on the commodities' suitability on its supply chain.
Importantly, till this year, cobalt has been one of the top-performing metals. Moreover, cobalt, which is generally used for hardening steel, is an essential component in rechargeable batteries, as it is a good conductor of electricity. High demand for cobalt has made many users rush to secure supplies. Volkswagen is aiming at securing long-term purchase contract.
Securing long-term purchases will be crucial for Volkswagen because it plans to spend more than 34 billion euros ($40 billion) in the next five years as part of a push toward battery-powered vehicles and autonomous-driving systems (read more: Volkswagen Aims to Secure Supply of Battery Metals for EVs ).
Currently, Volkswagen has a Zacks Rank #3 (Hold).
4. Toyota holding company Toyota Motor North America, Inc. reported that its second-generation Toyota Safety Sense (TSS) package will be used in certain vehicles of the company as standard equipment from mid-2018 onward. TSS package comprises active safety features, available in Toyota models.
The upgraded package will have new technologies and potential to augment safety of passengers, besides enhancing driver situational awareness, decision making and vehicle operation over a varied range of car speeds. The new TSS package will arrest frontal collisions, keep drivers within lanes and increase road safety during night driving, which is beneficial to both passengers and drivers.
Further, this new TSS package reflects Toyota's strategy to reduce costs of advanced safety technologies in order to make them accessible to larger number of car buyers (read more: Toyota Promotes Safe Driving With New Age TSS Package ).
Currently, Toyota has a Zacks Rank #2 (Buy).
5. Thor Industries reported first-quarter fiscal 2018 (ended Oct 31, 2017) earnings of $2.43 per share, surpassing the Zacks Consensus Estimate of $1.8. Net income soared 63.1% to $128.4 million from $78.7 million in the prior-year quarter.
Revenues increased 30.6% year over year to $2.23 billion and also outpaced the Zacks Consensus Estimate of $1.95 billion.
Gross profit jumped 40.7% to $333.2 million from $236.8 million in first-quarter fiscal 2017. Gross profit margin increased to 14.9% compared with 13.9% in the year-ago quarter, driven by strong production, favorable changes in product mix and selective net price rise.
Sales of Towable RVs increased 33.7% year over year to $1.62 billion. This upside was primarily owing to strong demand for its affordably-priced travel trailers. Pre-tax income increased 68.7% to $158.9 million from $94.2 million in the comparable quarter, last fiscal. This growth in the metric was backed by higher sales and improved gross margin, decreased selling, general and administrative (SG&A) expenses plus lower amortization expenses.
Sales from Motorized RVs improved 22.8% to $566.6 million from $461.5 million in the year-ago quarter. This upside was driven by robust increase in demand for Class A and Class C motorhomes. Pre-tax income from the segment surged 30% to $37.6 million from $28.9 million a year ago (read more: Thor Industries Q1 Earnings & Revenues Top Estimates ).
Currently, Thor Industries sports a Zacks Rank #1.
Performance
Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and the sharpest decline was witnessed by Tesla.
In the last six months, the steepest increase and the sharpest decline were witnessed by General Motors Company GM and Advance Auto Parts, respectively.
What's Next in the Auto Space?
In the first week of December, automakers are expected to report their U.S. sales data for November.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Tesla Inc. (TSLA): Free Stock Analysis Report
Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report
Volkswagen AG (VLKAY): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Thor Industries, Inc. (THO): Free Stock Analysis Report
Copart, Inc. (CPRT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and the sharpest decline was witnessed by Tesla. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Volkswagen is making long-term arrangements to secure supply of battery metals required for electric vehicles, per a Bloomberg report.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and the sharpest decline was witnessed by Tesla. On the other hand, in order to tackle the grave concern of safety related recalls, Japanese auto major Toyota Motor Corporation's TM holding company Toyota Motor North America, Inc. is coming up with Toyota Safety Sense (TSS) package.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and the sharpest decline was witnessed by Tesla. Operating income increased to $124 million from $104.8 million a year ago (read more: Copart Q1 Earnings & Revenues Beat Estimates, Up Y/Y ).
|
Performance Last week, the steepest increase was registered by Advance Auto Parts, Inc. AAP and the sharpest decline was witnessed by Tesla. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Toyota Motor Corp Ltd Ord (TM): Free Stock Analysis Report Volkswagen AG (VLKAY): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Thor Industries, Inc. (THO): Free Stock Analysis Report Copart, Inc. (CPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Gross margin improved 12.4% to $163.3 million in the reported quarter from $145.3 million a year ago.
|
11475.0
|
2017-11-27 00:00:00 UTC
|
The 9 Best Stocks to Buy on the Dip
|
AAP
|
https://www.nasdaq.com/articles/9-best-stocks-buy-dip-2017-11-27
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Don't look now, but the S&P 500 is having its third-best year in the past decade, which is amazing when you consider we'll be entering the tenth year of the bull market in March. It's a big indication the 2008 financial crisis is clearly in the rearview mirror, making it very difficult to find cheap stocks to buy.
With the S&P 500 up 16% year-to-date, it's getting harder to find those down-and-out names like General Electric Company (NYSE: GE ) - down 42% on the year - that just can't seem to get their act together.
New GE CEO John Flannery's got his work cut out for him as he enters 2018. The chief executive says it's going to concentrate on healthcare, aviation and energy to get the industrial conglomerate out of the multi-year funk it's experiencing.
Follow the Money in These 7 ETFs to Buy Now
Is the plan good enough to get me to name GE one of my nine stocks to buy on the dip? Read on and you'll find out.
Source: Shutterstock
Stocks to Buy on the Dip: Foot Locker (FL)
It seems like only yesterday that former Foot Locker, Inc. (NYSE: FL ) CEO Ken Hicks was talking about the turnaround he'd successfully executed over the course of three years between 2009 and 2012.
"The mojo is just a lot better. You feel it in the stores," stated Sam Poser, an equity analyst for Sterne Agee, in a 2012 Forbes article about the turnaround. "It's hard to invest in that, but sometimes it's subtle things that really make a difference, and I think you're really seeing that there."
Let's put it this way.
When Hicks took the top job at Foot Locker, FL stock was trading near $10; when he stepped down as CEO on December 1, 2014, it was in the high $50s. His successor, Dick Johnson, hasn't had nearly as much fun since taking over, but here's why I think he'll ultimately right the ship.
Nike Inc (NYSE: NKE ) accounts for 72% of Foot Locker's sales in its stores. Analysts think that's a bad thing; I don't. Nike will get its groove back and when it does, no one will benefit more than Dick Johnson and Foot Locker.
Down 45% YTD, Foot Locker's shares hadn't traded this low since 2012, when Hicks was enjoying the benefits of a job well done.
They're bound to rebound.
Source: Shutterstock
Stocks to Buy on the Dip: Advance Auto Parts (AAP)
The shop that many do-it-yourselfers visit to buy auto parts is having a rough year. Advance Auto Parts, Inc. (NYSE: AAP ) stock is down more than 47% with just five weeks left in the year.
The company's story took a turn for the better Nov. 14, when it announced Q3 earnings that beat analyst estimates by 22 cents, sending AAP stock 16% higher in a single day's trading.
Now, let's not get ahead of ourselves. The company's earnings-per-share of $1.43 were still 30 cents lower than last year, but it's a start.
Looking at the company's outlook for 2017, it still expects to generate a minimum of $300 million in free cash flow for the year, not nearly as robust as the almost $600 million in free cash flow it delivered in 2011 on two-thirds the revenue mind you, but still very positive.
One need only look at any of its valuation metrics to know that AAP stock is cheaper than it has been over the past five years. With long-term debt of $1 billion or just 15% of its market cap and almost $5 in cash-per-share, it has a solid balance sheet to handle any current difficulties.
7 Best Dividend Funds for Retirement
Like Foot Locker, AAP stock is in uncharted territory. I see it recovering nicely in 2018.
Source: Shutterstock
Stocks to Buy on the Dip: Envision Healthcare (EVHC)
It's never a good day to be CEO of a publicly traded company when your stock drops 35% on terrible guidance, but that's exactly what happened Nov. 1 to Envision Healthcare Corporation (NYSE: EVHC ) CEO Christopher Holden.
The day before, Holden delivered Q3 2017 adjusted EBITDA of $234 million for the quarter, $33 million short of analyst expectations. However, that wasn't the worst part. He then declared that fourth-quarter EBITDA would be between $182-$202 million - 34% below consensus.
Down went EVHC stock from $43 on Oct. 31 to $28 the very next day. Holden tried to be as honest as possible with investors about the state of its healthcare services.
"Looking forward we are operating our business based on more recent utilization trends, and our guidance for the fourth quarter of 2017 reduces the assumptions for utilization of our services," stated Holden. "Our organization has effectively managed through cycles."
Translation: Business isn't great.
With its stock now down 53% on the year, Envision has done a reasonable job explaining to investors since its Nov. 1 earnings release how its full-year adjusted EBITDA guidance managed to drop from $1.04 billion on Aug. 7 to $922 million today.
Essentially, the company continues to work to integrate the merger with itself and AMSURG that closed at the end of last year. A case of indigestion shouldn't drop you $1.8 billion in market cap, but that's exactly what's happened to Envision.
Speculative investors ought to jump on this one. Conservative investors might stay away until its business stabilizes.
Source: Mainstream via Flickr (Modified)
Stocks to Buy on the Dip: Sally Beauty Holdings (SBH)
In a market that's flying, you don't want to miss on earnings.
Sally Beauty Holdings, Inc. (NYSE: SBH ) did just that Nov. 15 and investors took it out to the woodshed, albeit temporarily. But when you're already down 40% on the year, missing can be expensive.
Although its Q4 2017 earnings were hurt by the hurricanes that affected many businesses in the southern part of the U.S., even taking that into account, CEO Chris Brickman was still disappointed by revenues.
SBH finished its fiscal year with operating earnings of $478.6 million on $3.9 billion in revenue. Both of these numbers are down from last year, but only by low single digits.
In late October, I called SBH one of three stocks to buy instead of Twitter Inc (NASDAQ: TWTR ). At the time, SBH was trading around $18, the same as Twitter, and I felt you were better off with the beauty retailer's stock rather than the social media stock.
Down about $3 in just four weeks, it's too early to admit I was wrong. However, the changes Brickman is currently trying to implement better take hold in 2018 or this stock could be trading in single digits by Easter.
5 Blue-Chip Stocks to Sell for December
Investors are getting skeptical about its ability to reignite growth, but I still like its upside potential despite the concerns.
Source: Mike Mozart via Flickr
Stocks to Buy on the Dip: Ulta Beauty (ULTA)
The bubble finally burst for Ulta Beauty Inc (NASDAQ: ULTA ) in October, causing the stock to drop below $200 for the first time in 18 months.
Down 18% YTD, I have the utmost confidence in CEO Mary Dillion - one of Fortune magazine's top 20 businesspersons of 2017 - to do what's best for shareholders and employees.
It's never easy taking on an industry giant like Sephora, but that's exactly what Dillion and company are doing - very successfully, I might add.
Investors are skeptical that Ulta can keep growing at its current pace - Q2 2017 same-store sales growth of 11.7% , following on a 14.4% gain in Q2 2016 - but as I said in August, the company hasn't explored international expansion in places like Canada where the only real competition is Sephora and Shoppers Drug Mart.
That's a big growth lever in my opinion.
The company is also looking to capture a bigger slice of higher-priced cosmetics; department stores are sitting ducks and will continue to lose market share to Ulta.
Valuation-wise, ULTA stock is cheaper than it has been in the last five years and that's saying something in this red-hot stock market.
Source: Shutterstock
Stocks to Buy on the Dip: Newell Brands (NWL)
It seems so long ago that Newell Brands Inc (NYSE: NWL ) beat its Q1 2017 earnings estimate and raised guidance for the rest of the year.
That was May.
Then came a big Q3 2017 miss Nov. 2 and its stock fell a jaw-dropping 26.8% in one day, by far the biggest S&P 500 loser on the day.
Newell lost a quarter of its value in a single day because of the following three numbers: First, analysts expected $0.92-per-share in the quarter; Newell delivered $0.86, 10.3% higher year-over-year. Second, analysts were expecting quarterly revenue of $3.7 billion; Newell came in $24 million short. Finally, and the dagger that did in NWL stock, it lowered full-year EPS by 15 cents from a minimum $2.95 to $2.80, a 5.1% cut in its guidance.
Does that justify a $5.4 billion haircut? Not by a long shot.
I get that Newell has too much debt - $11.5 billion as of Sept. 30 - and its core sales growth projection of 1.5%-2.0% , down from as much as 4.0% before Q3 announcement, is disheartening, but the company is still integrating Jarden into the business.
Martin Franklin, Jarden's former CEO and the architect of its growth and subsequent sale to Newell, still owns over two million shares in the company. He's not going to be too happy about a $25 million reduction in the value of his remaining holdings.
I believe he'll continue to hold these shares and he might even buy more. Regardless, Newell's business is in better shape than a 26.8% haircut suggests.
5 Blue-Chip Stocks to Buy for December
There aren't many bargains out there. In five years, this will have been one of them.
Source: Shutterstock
Stocks to Buy on the Dip: Tanger Factory Outlet Centers (SKT)
If I told you that I owned a bunch of retail malls across North America whose vacancy rate over the past 25 years had never dropped below 96% and offered you an opportunity to share in the rental income generated by those malls, you'd say "Where do I sign up?"
Tanger Factory Outlet Centers Inc. (NYSE: SKT ) is such an opportunity and because its stock is down 28% YTD through Nov. 15 and trading perilously close to its five-year low, I'm offering it to you at a steep discount.
Seriously, it currently has a better dividend yield than Simon Property Group Inc (NYSE: SPG ) at 5.6%, yet its share price is trading at ten times funds from operations (below the five-year average of 15.5), significantly lower than Simon's multiple which is over 14.
Tanger operates outlet centers, one of the few areas of retail that's doing well these days. Add to this a management team that has lots of experience and you're looking at a very safe, income-generating investment.
With the economy doing well, I'm not sure how you can miss with Tanger at this price point.
Source: Riccardo Annandale Via Unsplash
Stocks to Buy on the Dip: Acuity Brands (AYI)
I recently includedAcuity Brands, Inc. (NYSE: AYI ) as one of seven stocks I thought investors should buy with $2,000.
I reasoned that as one of North America's leading lighting companies, it was positioned to benefit from the ongoing environmental concerns pushing companies of all kinds to use more environmentally-friendly lighting in their offices and facilities.
YTD, AYI stock is down 31%, 10% in the last three months alone. It's working on a second losing year on the markets.
So, what's the catalyst that will bring its stock out of its slump? Growth and profits, both of which it delivered in the fourth quarter.
Especially noteworthy in Q4 2017 was its record adjusted operating profit margin of 18.4%, 150 basis points higher than a year earlier. For the year, Acuity's revenues increased 6.5% to $3.5 billion with adjusted operating profits of $592 million, 7% higher than a year earlier.
The company has very little debt, lots of free cash flow and is building a robust IoT business that should bring growth in the years to come.
9 Potential Mergers and Acquisitions to Bank On
This might be my favorite stock to buy on the dip.
Source: Darren Shaw via Flickr
Stocks to Buy on the Dip: Viacom (VIAB)
Neither of Sumner Redstone's businesses are doing well in 2017 - Viacom, Inc. (NYSE: VIAB ) is down 24% YTD, while sister company CBS Corporation (NYSE: CBS ) is down 12% … but Viacom is definitely considered the weaker company by investors.
On Nov. 16, it announced Q4 2017 earnings, which sent VIAB stock lower despite delivering higher revenue and profits for both the quarter and the year. Analysts estimated that Viacom would earn $0.86 a share in the fourth quarter, but were 9 cents short due to a $59 million expense associated with a failed $1 billion funding deal. Excluding that expense, it would have beaten the estimate by a penny.
The big problem weighing on Viacom after earnings were its admission that U.S. carriage fee revenue won't resume growing until 2019. Carriage fees are what cable companies pay Viacom to be able to show their programs to their customers.
However, CEO Bob Bakish was very excited about the company's future during its Q4 2017 conference call.
"In the fourth quarter and full year, we made strong progress against our plan to fundamentally stabilize and revitalize Viacom, with top-line gains in both media networks and filmed entertainment segments driven by continued execution on our strategic priorities," Bakish said during the call. "In the coming year, we will continue to focus on unleashing the full creativity and energy of Viacom to create greater value for our shareholders and audiences."
Viacom stock hasn't had a winning year since 2013. That's about to change in 2018.
As of this writing, Will Ashworth did not hold a position in any of the aforementioned securities.
The post The 9 Best Stocks to Buy on the Dip appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Source: Shutterstock Stocks to Buy on the Dip: Advance Auto Parts (AAP) The shop that many do-it-yourselfers visit to buy auto parts is having a rough year. Advance Auto Parts, Inc. (NYSE: AAP ) stock is down more than 47% with just five weeks left in the year. The company's story took a turn for the better Nov. 14, when it announced Q3 earnings that beat analyst estimates by 22 cents, sending AAP stock 16% higher in a single day's trading.
|
The company's story took a turn for the better Nov. 14, when it announced Q3 earnings that beat analyst estimates by 22 cents, sending AAP stock 16% higher in a single day's trading. Source: Shutterstock Stocks to Buy on the Dip: Advance Auto Parts (AAP) The shop that many do-it-yourselfers visit to buy auto parts is having a rough year. Advance Auto Parts, Inc. (NYSE: AAP ) stock is down more than 47% with just five weeks left in the year.
|
Source: Shutterstock Stocks to Buy on the Dip: Advance Auto Parts (AAP) The shop that many do-it-yourselfers visit to buy auto parts is having a rough year. Advance Auto Parts, Inc. (NYSE: AAP ) stock is down more than 47% with just five weeks left in the year. The company's story took a turn for the better Nov. 14, when it announced Q3 earnings that beat analyst estimates by 22 cents, sending AAP stock 16% higher in a single day's trading.
|
Source: Shutterstock Stocks to Buy on the Dip: Advance Auto Parts (AAP) The shop that many do-it-yourselfers visit to buy auto parts is having a rough year. Advance Auto Parts, Inc. (NYSE: AAP ) stock is down more than 47% with just five weeks left in the year. The company's story took a turn for the better Nov. 14, when it announced Q3 earnings that beat analyst estimates by 22 cents, sending AAP stock 16% higher in a single day's trading.
|
11476.0
|
2017-11-21 00:00:00 UTC
|
Tuesday Sector Laggards: Services, Energy
|
AAP
|
https://www.nasdaq.com/articles/tuesday-sector-laggards-services-energy-2017-11-21
|
nan
|
nan
|
Looking at the sectors faring worst as of midday Tuesday, shares of Services companies are underperforming other sectors, showing a 0.3% loss. Within that group, Signet Jewelers Ltd (Symbol: SIG) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's laggards, showing a loss of 30.6% and 2.1%, respectively. Among the largest ETFs , one ETF closely following services stocks is the iShares U.S. Consumer Services ETF (Symbol: IYC), which is up 0.5% on the day, and up 13.40% year-to-date. Signet Jewelers Ltd, meanwhile, is down 42.87% year-to-date, and Advance Auto Parts Inc, is down 46.97% year-to-date. Combined, SIG and AAP make up approximately 0.3% of the underlying holdings of IYC.
The next worst performing sector is the Energy sector, showing a 0.2% loss. Among large Energy stocks, EQT Corp (Symbol: EQT) and Chesapeake Energy Corp. (Symbol: CHK) are the most notable, showing a loss of 2.2% and 1.7%, respectively. One ETF closely tracking Energy stocks is the Energy Select Sector SPDR ETF ( XLE ), which is up 0.1% in midday trading, and down 8.31% on a year-to-date basis. EQT Corp, meanwhile, is down 11.09% year-to-date, and Chesapeake Energy Corp., is down 45.80% year-to-date. Combined, EQT and CHK make up approximately 1.6% of the underlying holdings of XLE.
Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom:
Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Tuesday. As you can see, six sectors are up on the day, while two sectors are down.
25 Dividend Giants Widely Held By ETFs »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Combined, SIG and AAP make up approximately 0.3% of the underlying holdings of IYC. Within that group, Signet Jewelers Ltd (Symbol: SIG) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's laggards, showing a loss of 30.6% and 2.1%, respectively. Combined, EQT and CHK make up approximately 1.6% of the underlying holdings of XLE.
|
Within that group, Signet Jewelers Ltd (Symbol: SIG) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's laggards, showing a loss of 30.6% and 2.1%, respectively. Combined, SIG and AAP make up approximately 0.3% of the underlying holdings of IYC. Among large Energy stocks, EQT Corp (Symbol: EQT) and Chesapeake Energy Corp. (Symbol: CHK) are the most notable, showing a loss of 2.2% and 1.7%, respectively.
|
Within that group, Signet Jewelers Ltd (Symbol: SIG) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's laggards, showing a loss of 30.6% and 2.1%, respectively. Combined, SIG and AAP make up approximately 0.3% of the underlying holdings of IYC. Among the largest ETFs , one ETF closely following services stocks is the iShares U.S. Consumer Services ETF (Symbol: IYC), which is up 0.5% on the day, and up 13.40% year-to-date.
|
Within that group, Signet Jewelers Ltd (Symbol: SIG) and Advance Auto Parts Inc (Symbol: AAP) are two of the day's laggards, showing a loss of 30.6% and 2.1%, respectively. Combined, SIG and AAP make up approximately 0.3% of the underlying holdings of IYC. The next worst performing sector is the Energy sector, showing a 0.2% loss.
|
11477.0
|
2017-11-16 00:00:00 UTC
|
Auto Stock Roundup: MGA, AAP, WPRT, MTOR Beat on Earnings, SUP Misses, GM in Focus
|
AAP
|
https://www.nasdaq.com/articles/auto-stock-roundup%3A-mga-aap-wprt-mtor-beat-on-earnings-sup-misses-gm-in-focus-2017-11-16
|
nan
|
nan
|
Last week saw quite a few auto companies reporting their quarterly numbers. While Magna International Inc. MGA , Advance Auto Parts Inc. AAP , Westport Fuel Systems Inc. WPRT and Meritor, Inc. MTOR delivered an earnings beat, Superior Industries International Inc. SUP came up with lower-than-expected earnings numbers.
Per a Reuters report, General Motors Co. GM this week announced that it will launch less a new range of electric vehicles (EVs) by 2021. This is a clear indication of the auto giant making an attempt to take on Tesla, Inc. TSLA which is facing problems with the mass production of its comparatively affordable Model 3.
On a different note, this year, prices of used vehicles have not declined as much as expected. Although this is not good news for the customers, it has brought cheer among the automakers and dealers. In fact, low prices of used vehicles compel automakers to offer higher discounts to customers on new vehicles. However, as a result of lower-than-anticipated price decline of used cars, sale of new cars will not be affected much as was anticipated.
(Read the previous roundup here: Auto Stock Roundup for Nov 9, 2017 )
Recap of the Week's Most Important Stories
1. Magna International reported third-quarter 2017 earnings per share of $1.36, surpassing the Zacks Consensus Estimate by a couple of cents. The bottom line also improved 5.4% from $1.29 registered in the prior-year quarter.
Revenues increased 7.4% year over year to $9.5 billion. The top line also surpassed the Zacks Consensus Estimate of $9.05 billion. The quarter witnessed a 55% increase in complete vehicle assembly sales, accounting for the launch of BMW 5-Series, which was assembled at its facility in Graz, Austria. However, the company reported a decrease of 3% in adjusted EBIT to $692 million from the year-ago figure of $715 million (read more: Magna Q3 Earnings & Revenues Beat Estimates, Up Y/Y ).
Currently, Magna has a Zacks Rank #3 (Hold).
2. Superior Industries reported adjusted loss of 2 cents per share in third-quarter 2017. The Zacks Consensus Estimate for earnings was 36 cents.
Third-quarter 2017 net income, including after-tax expense, came in at $5.1 million, or 20 cents per share.
Revenues were $331.4 million in the reported quarter, higher than $175.6 million in the year-ago quarter. Revenues also surpassed the Zacks Consensus Estimate of $316 million.
Wheel unit shipments were 5 million compared with 2.9 million units in the prior-year quarter. Value-added sales, i.e., net sales minus pass-through charges for aluminum, increased to $187.4 million compared with $98.8 million in the third quarter of 2016.
Gross profit increased to $23.9 million (7.2% of net sales) from $11 million (6.3%) in the year-ago quarter. The increase was due to the addition of the European operations.
Selling, general and administrative expenses jumped to $18.1 million in third-quarter 2017 from $5.7 million in the prior-year quarter (read more: Superior Industries Q3 Earnings Miss, Revenues Grow ).
Currently, Superior Industries has a Zacks Rank #5 (Strong Sell).
3. Advance Auto Parts reported adjusted earnings of $1.43 per share in the third quarter of fiscal 2017 (ended Oct 7), declining 17.3% from $1.73 in the prior-year quarter. The figure, however, surpassed the Zacks Consensus Estimate of $1.22. Adjusted operating income declined to $172.2 million from $217.6 million in the third quarter of fiscal 2016.
Advance Auto Parts reported revenues of $2.18 billion, missing the Zacks Consensus Estimate of $2.21 billion. Revenues were 3% lower than the year-ago quarter figure. During the quarter, comparable store sales (comps) were down 3.4% year over year.
Gross profit declined to $947.7 million in the reported quarter from $988.2 million a year ago. Gross margin declined 51 basis points year over year to 43.4%.
Adjusted selling, general and administrative (SG&A) expenses totaled $775.5 million or 35.5% of sales compared with $770.6 million or 34.3% in the year-ago period (read more: Advance Auto Parts Q3 Earnings Top Estimates, Down Y/Y ).
Currently, Superior Industries has a Zacks Rank #3.
4. Westport Fuel Systems' third-quarter 2017 adjusted net loss from continuing operations came in at 12 cents per share, narrower than both the Zacks Consensus Estimate of a loss of 15 cents and adjusted net loss of 14 cents in third-quarter 2016.
Also, total net loss from operating activities in the quarter narrowed to $15.7 million from net loss of $33.6 million in third-quarter 2016.
Westport Fuel Systems logged consolidated revenues of $60.8 million in the reported quarter, up 8% year over year. Also, the top line surpassed the Zacks Consensus Estimate of $50.6 million. This upside was driven by strong sales in the aftermarket business and an increase in the value of Euro compared with the U.S. dollar (read more: Westport Fuel Q3 Earnings & Revenues Beat Estimates ).
Currently, Westport Fuel Systems has a Zacks Rank #2. You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here .
5. Meritor, Inc. registered a 82.3% year-over-year increase in adjusted earnings of 62 cents per share in the fourth quarter of 2017 (ended Sep 30, 2017), comfortably surpassing the Zacks Consensus Estimate of 47 cents.
Adjusted income from continuing operations was $56 million compared with $30 million in the fourth quarter of 2016.
Revenues increased 26.7% year over year to $922 million. The top line also surpassed the Zacks Consensus Estimate of $837 million.
Meritor's adjusted EBITDA (earnings before interest, tax, depreciation and amortization) increased to $98 million from $74 million in the year-ago quarter. Adjusted EBITDA margin was 10.6% compared with 10.2% in the year-ago quarter. Adjusted EBITDA and EBITDA margin increased on a year-over-year basis, driven by high revenue growth.
Currently, Meritor has a Zacks Rank #1.
Performance
Last week, the steepest increase was registered by Advance Auto Parts and the sharpest decline was witnessed by Honda Motor Co.
In the last six months, the steepest increase and the sharpest decline were witnessed by General Motors and Advance Auto Parts, respectively.
What's Next in the Auto Space?
Earnings for the quarter ending Sep 30, 2017 is nearing its end. Watch out for the usual news releases of other auto companies over the next week.
Zacks' Best Private Investment Ideas
While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.
Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum... from stocks under $10 to ETF and option moves... from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors.
Click here for Zacks' private trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
General Motors Company (GM): Free Stock Analysis Report
Tesla Inc. (TSLA): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Superior Industries International, Inc. (SUP): Free Stock Analysis Report
Magna International, Inc. (MGA): Free Stock Analysis Report
Meritor, Inc. (MTOR): Free Stock Analysis Report
Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
While Magna International Inc. MGA , Advance Auto Parts Inc. AAP , Westport Fuel Systems Inc. WPRT and Meritor, Inc. MTOR delivered an earnings beat, Superior Industries International Inc. SUP came up with lower-than-expected earnings numbers. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Magna International, Inc. (MGA): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. This is a clear indication of the auto giant making an attempt to take on Tesla, Inc. TSLA which is facing problems with the mass production of its comparatively affordable Model 3.
|
While Magna International Inc. MGA , Advance Auto Parts Inc. AAP , Westport Fuel Systems Inc. WPRT and Meritor, Inc. MTOR delivered an earnings beat, Superior Industries International Inc. SUP came up with lower-than-expected earnings numbers. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Magna International, Inc. (MGA): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Westport Fuel Systems' third-quarter 2017 adjusted net loss from continuing operations came in at 12 cents per share, narrower than both the Zacks Consensus Estimate of a loss of 15 cents and adjusted net loss of 14 cents in third-quarter 2016.
|
Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Magna International, Inc. (MGA): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. While Magna International Inc. MGA , Advance Auto Parts Inc. AAP , Westport Fuel Systems Inc. WPRT and Meritor, Inc. MTOR delivered an earnings beat, Superior Industries International Inc. SUP came up with lower-than-expected earnings numbers. Revenues were $331.4 million in the reported quarter, higher than $175.6 million in the year-ago quarter.
|
While Magna International Inc. MGA , Advance Auto Parts Inc. AAP , Westport Fuel Systems Inc. WPRT and Meritor, Inc. MTOR delivered an earnings beat, Superior Industries International Inc. SUP came up with lower-than-expected earnings numbers. Click to get this free report General Motors Company (GM): Free Stock Analysis Report Tesla Inc. (TSLA): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Superior Industries International, Inc. (SUP): Free Stock Analysis Report Magna International, Inc. (MGA): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Last week saw quite a few auto companies reporting their quarterly numbers.
|
11478.0
|
2017-11-16 00:00:00 UTC
|
Billings Capital Management, Llc Buys Advance Auto Parts Inc, Sells Credit Acceptance Corp
|
AAP
|
https://www.nasdaq.com/articles/billings-capital-management-llc-buys-advance-auto-parts-inc-sells-credit-acceptance-corp
|
nan
|
nan
|
Billings Capital Management, Llc
New Purchases: AAP ,
Added Positions: GOGO ,
Reduced Positions: CACC , SIG, TEN, AER, NXST, LEA, SBGI,
For the details of BILLINGS CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=BILLINGS+CAPITAL+MANAGEMENT%2C+LLC
These are the top 5 holdings of BILLINGS CAPITAL MANAGEMENT, LLC
Gogo Inc ( GOGO ) - 2,947,085 shares, 22.46% of the total portfolio. Shares added by 6.67%
Credit Acceptance Corp ( CACC ) - 108,332 shares, 19.58% of the total portfolio. Shares reduced by 24.71%
Signet Jewelers Ltd ( SIG ) - 304,068 shares, 13.06% of the total portfolio. Shares reduced by 7.6%
Advance Auto Parts Inc ( AAP ) - 194,867 shares, 12.47% of the total portfolio. New Position
Tenneco Inc ( TEN ) - 263,772 shares, 10.33% of the total portfolio. Shares reduced by 6.73%
New Purchase: Advance Auto Parts Inc ( AAP )
Billings Capital Management, Llc initiated holdings in Advance Auto Parts Inc. The purchase prices were between $87.08 and $118.41, with an estimated average price of $101.25. The stock is now traded at around $90.50. The impact to the portfolio due to this purchase was 12.47%. The holdings were 194,867 shares as of 2017-09-30.
Reduced: Credit Acceptance Corp ( CACC )
Billings Capital Management, Llc reduced to the holdings in Credit Acceptance Corp by 24.71%. The sale prices were between $240.99 and $279.92, with an estimated average price of $262.13. The stock is now traded at around $285.88. The impact to the portfolio due to this sale was -6.62%. Billings Capital Management, Llc still held 108,332 shares as of 2017-09-30.
Warning! GuruFocus has detected 4 Warning Signs with AAP. Click here to check it out.
AAP 15-Year Financial Data
The intrinsic value of AAP
Peter Lynch Chart of AAP
Premium Members
This article first appeared on GuruFocus .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Billings Capital Management, Llc New Purchases: AAP , Added Positions: GOGO , Reduced Positions: CACC , SIG, TEN, AER, NXST, LEA, SBGI, For the details of BILLINGS CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=BILLINGS+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of BILLINGS CAPITAL MANAGEMENT, LLC Gogo Inc ( GOGO ) - 2,947,085 shares, 22.46% of the total portfolio. Shares reduced by 6.73% New Purchase: Advance Auto Parts Inc ( AAP ) Billings Capital Management, Llc initiated holdings in Advance Auto Parts Inc. Shares reduced by 7.6% Advance Auto Parts Inc ( AAP ) - 194,867 shares, 12.47% of the total portfolio.
|
Billings Capital Management, Llc New Purchases: AAP , Added Positions: GOGO , Reduced Positions: CACC , SIG, TEN, AER, NXST, LEA, SBGI, For the details of BILLINGS CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=BILLINGS+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of BILLINGS CAPITAL MANAGEMENT, LLC Gogo Inc ( GOGO ) - 2,947,085 shares, 22.46% of the total portfolio. Shares reduced by 6.73% New Purchase: Advance Auto Parts Inc ( AAP ) Billings Capital Management, Llc initiated holdings in Advance Auto Parts Inc. Shares reduced by 7.6% Advance Auto Parts Inc ( AAP ) - 194,867 shares, 12.47% of the total portfolio.
|
Billings Capital Management, Llc New Purchases: AAP , Added Positions: GOGO , Reduced Positions: CACC , SIG, TEN, AER, NXST, LEA, SBGI, For the details of BILLINGS CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=BILLINGS+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of BILLINGS CAPITAL MANAGEMENT, LLC Gogo Inc ( GOGO ) - 2,947,085 shares, 22.46% of the total portfolio. Shares reduced by 7.6% Advance Auto Parts Inc ( AAP ) - 194,867 shares, 12.47% of the total portfolio. Shares reduced by 6.73% New Purchase: Advance Auto Parts Inc ( AAP ) Billings Capital Management, Llc initiated holdings in Advance Auto Parts Inc.
|
Billings Capital Management, Llc New Purchases: AAP , Added Positions: GOGO , Reduced Positions: CACC , SIG, TEN, AER, NXST, LEA, SBGI, For the details of BILLINGS CAPITAL MANAGEMENT, LLC's stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=BILLINGS+CAPITAL+MANAGEMENT%2C+LLC These are the top 5 holdings of BILLINGS CAPITAL MANAGEMENT, LLC Gogo Inc ( GOGO ) - 2,947,085 shares, 22.46% of the total portfolio. Shares reduced by 7.6% Advance Auto Parts Inc ( AAP ) - 194,867 shares, 12.47% of the total portfolio. Shares reduced by 6.73% New Purchase: Advance Auto Parts Inc ( AAP ) Billings Capital Management, Llc initiated holdings in Advance Auto Parts Inc.
|
11479.0
|
2017-11-16 00:00:00 UTC
|
Validea Warren Buffett Strategy Daily Upgrade Report - 11/16/2017
|
AAP
|
https://www.nasdaq.com/articles/validea-warren-buffett-strategy-daily-upgrade-report-11162017-2017-11-16
|
nan
|
nan
|
The following are today's upgrades for Validea's Patient Investor model based on the published strategy of Warren Buffett. This strategy seeks out firms with long-term, predictable profitability and low debt that trade at reasonable valuations.
ADVANCE AUTO PARTS, INC. ( AAP ) is a mid-cap growth stock in the Retail (Specialty) industry. The rating according to our strategy based on Warren Buffett changed from 73% to 80% based on the firm's underlying fundamentals and the stock's valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. provides automotive aftermarket parts in North America, serving do-it-for-me (Professional) and do-it-yourself (DIY), customers. The Company's stores and branches offer a selection of brand name, original equipment manufacturer (OEM) and private label automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles and light and heavy duty trucks. It serves through various channels ranging from traditional brick and mortar store locations to self-serving e-commerce sites. As of December 31, 2016, it operated 5,062 total stores and 127 branches primarily under the trade names Advance Auto Parts, Autopart International, Carquest and Worldpac. As of December 31, 2016, its Advance Auto Parts operations consisted of three geographic divisions, which included the operations of the stores operating under the Advance Auto Parts, Carquest and Autopart International trade names.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
For a full detailed analysis using NASDAQ's Guru Analysis tool, click here
Since its inception, Validea's strategy based on Warren Buffett has returned 181.83% vs. 141.60% for the S&P 500. For more details on this strategy, click here
About Warren Buffett : Warren Buffett is considered by many to be the greatest investor of all time. As the chairman of Berkshire Hathaway, Buffett has consistently outperformed the S&P 500 for decades, and in the process has become one of the world's richest men. (Forbes puts his net worth at $37 billion.) Despite his fortune, Buffett is known for living a modest lifestyle, by billionaire standards. His primary residence remains the gray stucco Nebraska home he purchased for $31,500 nearly 50 years ago, according to Forbes, and his folksy Midwestern manner and penchant for simple pleasures -- a cherry Coke, a good burger, and a good book are all near the top of the list -- have been well-documented.
About Validea : Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
ADVANCE AUTO PARTS, INC. ( AAP ) is a mid-cap growth stock in the Retail (Specialty) industry. The Company's stores and branches offer a selection of brand name, original equipment manufacturer (OEM) and private label automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles and light and heavy duty trucks. As of December 31, 2016, it operated 5,062 total stores and 127 branches primarily under the trade names Advance Auto Parts, Autopart International, Carquest and Worldpac.
|
ADVANCE AUTO PARTS, INC. ( AAP ) is a mid-cap growth stock in the Retail (Specialty) industry. The following are today's upgrades for Validea's Patient Investor model based on the published strategy of Warren Buffett. As of December 31, 2016, it operated 5,062 total stores and 127 branches primarily under the trade names Advance Auto Parts, Autopart International, Carquest and Worldpac.
|
ADVANCE AUTO PARTS, INC. ( AAP ) is a mid-cap growth stock in the Retail (Specialty) industry. As of December 31, 2016, its Advance Auto Parts operations consisted of three geographic divisions, which included the operations of the stores operating under the Advance Auto Parts, Carquest and Autopart International trade names. For a full detailed analysis using NASDAQ's Guru Analysis tool, click here Since its inception, Validea's strategy based on Warren Buffett has returned 181.83% vs. 141.60% for the S&P 500.
|
ADVANCE AUTO PARTS, INC. ( AAP ) is a mid-cap growth stock in the Retail (Specialty) industry. The following are today's upgrades for Validea's Patient Investor model based on the published strategy of Warren Buffett. The rating according to our strategy based on Warren Buffett changed from 73% to 80% based on the firm's underlying fundamentals and the stock's valuation.
|
11480.0
|
2017-11-16 00:00:00 UTC
|
Thursday Sector Laggards: Rental, Leasing, & Royalty, Auto Dealerships
|
AAP
|
https://www.nasdaq.com/articles/thursday-sector-laggards-rental-leasing-royalty-auto-dealerships-2017-11-16
|
nan
|
nan
|
In trading on Thursday, rental, leasing, & royalty shares were relative laggards, about flat on the day. Helping drag down the group were shares of Network-1 Technologies ( NTIP ), down about 5.9% and shares of North European Oil Royalty Trust ( NRT ) down about 3.4% on the day.
Also lagging the market Thursday are auto dealerships shares, up on the day by about 0.1% as a group, led down by Advance Auto Parts ( AAP ), trading lower by about 2.3% and AutoNation ( AN ), trading lower by about 1.4%.
VIDEO: Thursday Sector Laggards: Rental, Leasing, & Royalty, Auto Dealerships
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Also lagging the market Thursday are auto dealerships shares, up on the day by about 0.1% as a group, led down by Advance Auto Parts ( AAP ), trading lower by about 2.3% and AutoNation ( AN ), trading lower by about 1.4%. In trading on Thursday, rental, leasing, & royalty shares were relative laggards, about flat on the day. VIDEO: Thursday Sector Laggards: Rental, Leasing, & Royalty, Auto Dealerships The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Also lagging the market Thursday are auto dealerships shares, up on the day by about 0.1% as a group, led down by Advance Auto Parts ( AAP ), trading lower by about 2.3% and AutoNation ( AN ), trading lower by about 1.4%. In trading on Thursday, rental, leasing, & royalty shares were relative laggards, about flat on the day. VIDEO: Thursday Sector Laggards: Rental, Leasing, & Royalty, Auto Dealerships The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Also lagging the market Thursday are auto dealerships shares, up on the day by about 0.1% as a group, led down by Advance Auto Parts ( AAP ), trading lower by about 2.3% and AutoNation ( AN ), trading lower by about 1.4%. VIDEO: Thursday Sector Laggards: Rental, Leasing, & Royalty, Auto Dealerships The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Also lagging the market Thursday are auto dealerships shares, up on the day by about 0.1% as a group, led down by Advance Auto Parts ( AAP ), trading lower by about 2.3% and AutoNation ( AN ), trading lower by about 1.4%. In trading on Thursday, rental, leasing, & royalty shares were relative laggards, about flat on the day. Helping drag down the group were shares of Network-1 Technologies ( NTIP ), down about 5.9% and shares of North European Oil Royalty Trust ( NRT ) down about 3.4% on the day.
|
11481.0
|
2017-11-15 00:00:00 UTC
|
Company News For Nov 15, 2017
|
AAP
|
https://www.nasdaq.com/articles/company-news-for-nov-15-2017-2017-11-15
|
nan
|
nan
|
Shares of TJX Companies, Inc. TJX declined almost 4% after posting third quarter FY18 revenues of $8,762 million, missing the Zacks Consensus Estimate of $8,876 million
Dick's Sporting Goods, Inc.'s DKS shares fell 2.8% after reporting third quarter 2017 earnings per share of $0.30, representing a year-over-year decline of 37.5%
Shares of Home Depot, Inc. HD advanced 1.6% after posting third quarter 2017 earnings per share of $1.84, surpassing the Zacks Consensus Estimate of $1.81
Shares of Advance Auto Parts, Inc. AAP surged 16.3% after reporting third quarter 2017 earnings of $1.43 a share, surpassing the Zacks Consensus Estimate of $1.20
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Home Depot, Inc. (The) (HD): Free Stock Analysis Report
TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report
Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Shares of TJX Companies, Inc. TJX declined almost 4% after posting third quarter FY18 revenues of $8,762 million, missing the Zacks Consensus Estimate of $8,876 million Dick's Sporting Goods, Inc.'s DKS shares fell 2.8% after reporting third quarter 2017 earnings per share of $0.30, representing a year-over-year decline of 37.5% Shares of Home Depot, Inc. HD advanced 1.6% after posting third quarter 2017 earnings per share of $1.84, surpassing the Zacks Consensus Estimate of $1.81 Shares of Advance Auto Parts, Inc. AAP surged 16.3% after reporting third quarter 2017 earnings of $1.43 a share, surpassing the Zacks Consensus Estimate of $1.20 Want the latest recommendations from Zacks Investment Research? Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. Today, you can download 7 Best Stocks for the Next 30 Days.
|
Shares of TJX Companies, Inc. TJX declined almost 4% after posting third quarter FY18 revenues of $8,762 million, missing the Zacks Consensus Estimate of $8,876 million Dick's Sporting Goods, Inc.'s DKS shares fell 2.8% after reporting third quarter 2017 earnings per share of $0.30, representing a year-over-year decline of 37.5% Shares of Home Depot, Inc. HD advanced 1.6% after posting third quarter 2017 earnings per share of $1.84, surpassing the Zacks Consensus Estimate of $1.81 Shares of Advance Auto Parts, Inc. AAP surged 16.3% after reporting third quarter 2017 earnings of $1.43 a share, surpassing the Zacks Consensus Estimate of $1.20 Want the latest recommendations from Zacks Investment Research? Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Shares of TJX Companies, Inc. TJX declined almost 4% after posting third quarter FY18 revenues of $8,762 million, missing the Zacks Consensus Estimate of $8,876 million Dick's Sporting Goods, Inc.'s DKS shares fell 2.8% after reporting third quarter 2017 earnings per share of $0.30, representing a year-over-year decline of 37.5% Shares of Home Depot, Inc. HD advanced 1.6% after posting third quarter 2017 earnings per share of $1.84, surpassing the Zacks Consensus Estimate of $1.81 Shares of Advance Auto Parts, Inc. AAP surged 16.3% after reporting third quarter 2017 earnings of $1.43 a share, surpassing the Zacks Consensus Estimate of $1.20 Want the latest recommendations from Zacks Investment Research? Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Shares of TJX Companies, Inc. TJX declined almost 4% after posting third quarter FY18 revenues of $8,762 million, missing the Zacks Consensus Estimate of $8,876 million Dick's Sporting Goods, Inc.'s DKS shares fell 2.8% after reporting third quarter 2017 earnings per share of $0.30, representing a year-over-year decline of 37.5% Shares of Home Depot, Inc. HD advanced 1.6% after posting third quarter 2017 earnings per share of $1.84, surpassing the Zacks Consensus Estimate of $1.81 Shares of Advance Auto Parts, Inc. AAP surged 16.3% after reporting third quarter 2017 earnings of $1.43 a share, surpassing the Zacks Consensus Estimate of $1.20 Want the latest recommendations from Zacks Investment Research? Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. Today, you can download 7 Best Stocks for the Next 30 Days.
|
11482.0
|
2017-11-14 00:00:00 UTC
|
Shares of Advance Auto Parts Soar 19% After Topping Earnings Estimates
|
AAP
|
https://www.nasdaq.com/articles/shares-advance-auto-parts-soar-19-after-topping-earnings-estimates-2017-11-14
|
nan
|
nan
|
What happened
Shares of AdvanceAuto Parts (NYSE: AAP) , a leading automotive aftermarket parts provider focusing on professional and do-it-yourself customers, were up nearly 19% as of 12:07 p.m. EST Tuesday after the company topped Wall Street's profit estimates.
So what
Advance Auto reported total net sales of $2.18 billion for the third quarter, a 3% decline from the prior year and short of analysts' estimates calling for $2.21 billion. But despite falling short on revenue estimates the auto parts retailer generated adjusted earnings of $1.43 per share, which was far better than analysts' consensus estimate of $1.20 per share.
In the press release announcing the results, President and CEO Tom Greco said:
Now what
Part of Advance Auto's share price spike Tuesday simply reflects how heavily the stock had been sold off previously. Before that pop, Advance shares had shed just over half their value year to date and, even with today's jump included, are still down roughly 41% on the year. The company still needs to improve margins by optimizing its supply chain and distribution, but the increase in numbers of miles driven and the rising average age of vehicles on the road should help the company grow over the medium term.
10 stocks we like better than Advance Auto Parts
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of November 6, 2017
Daniel Miller has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
What happened Shares of AdvanceAuto Parts (NYSE: AAP) , a leading automotive aftermarket parts provider focusing on professional and do-it-yourself customers, were up nearly 19% as of 12:07 p.m. EST Tuesday after the company topped Wall Street's profit estimates. In the press release announcing the results, President and CEO Tom Greco said: Now what Part of Advance Auto's share price spike Tuesday simply reflects how heavily the stock had been sold off previously. * David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them!
|
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. What happened Shares of AdvanceAuto Parts (NYSE: AAP) , a leading automotive aftermarket parts provider focusing on professional and do-it-yourself customers, were up nearly 19% as of 12:07 p.m. EST Tuesday after the company topped Wall Street's profit estimates. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
|
What happened Shares of AdvanceAuto Parts (NYSE: AAP) , a leading automotive aftermarket parts provider focusing on professional and do-it-yourself customers, were up nearly 19% as of 12:07 p.m. EST Tuesday after the company topped Wall Street's profit estimates. In the press release announcing the results, President and CEO Tom Greco said: Now what Part of Advance Auto's share price spike Tuesday simply reflects how heavily the stock had been sold off previously. 10 stocks we like better than Advance Auto Parts When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen.
|
What happened Shares of AdvanceAuto Parts (NYSE: AAP) , a leading automotive aftermarket parts provider focusing on professional and do-it-yourself customers, were up nearly 19% as of 12:07 p.m. EST Tuesday after the company topped Wall Street's profit estimates. So what Advance Auto reported total net sales of $2.18 billion for the third quarter, a 3% decline from the prior year and short of analysts' estimates calling for $2.21 billion. But despite falling short on revenue estimates the auto parts retailer generated adjusted earnings of $1.43 per share, which was far better than analysts' consensus estimate of $1.20 per share.
|
11483.0
|
2017-11-14 00:00:00 UTC
|
Advance Auto Parts (AAP) Beats on Q3 Earnings, Revenues Miss
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-beats-on-q3-earnings-revenues-miss-2017-11-14
|
nan
|
nan
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported third-quarter 2017 results, wherein adjusted earnings of cents per share of $1.43 surpassed the Zacks Consensus Estimate of $1.22.
Revenue
Advance Auto Parts posted revenues of $2.18 billion, missing the Zacks Consensus Estimate of $2.21 billion.
Earnings Estimates Revision
The Zacks Consensus Estimate for third quarter earnings has declined 2.4% to $1.22 over the past 30 days.
Before posting a beat in Q3, the company delivered negative surprise in three out of prior four quarters and beat in the other occasion. Overall, the company missed the Zacks Consensus Estimate by an average of 9.1% in the trailing four quarters.
Advance Auto Parts Inc Price and EPS Surprise
Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote
Key Stats/Developments to Note
As of Oct 7, 2017, Advance Auto Parts operated 5,074 stores and 129 Worldpac branches and served approximately 1,250 independently owned Carquest stores.
Zacks Rank
Currently, Advance Auto Parts carries a Zacks Rank #3 (Hold) which is subject to change following the earnings announcement. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Check back later for our full write up on Advance Auto Parts earnings report!
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported third-quarter 2017 results, wherein adjusted earnings of cents per share of $1.43 surpassed the Zacks Consensus Estimate of $1.22. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Overall, the company missed the Zacks Consensus Estimate by an average of 9.1% in the trailing four quarters.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported third-quarter 2017 results, wherein adjusted earnings of cents per share of $1.43 surpassed the Zacks Consensus Estimate of $1.22. Revenue Advance Auto Parts posted revenues of $2.18 billion, missing the Zacks Consensus Estimate of $2.21 billion.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported third-quarter 2017 results, wherein adjusted earnings of cents per share of $1.43 surpassed the Zacks Consensus Estimate of $1.22. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc Price and EPS Surprise Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote Key Stats/Developments to Note As of Oct 7, 2017, Advance Auto Parts operated 5,074 stores and 129 Worldpac branches and served approximately 1,250 independently owned Carquest stores.
|
Advance Auto Parts Inc.AAP , the leading provider of automotive aftermarket parts, reported third-quarter 2017 results, wherein adjusted earnings of cents per share of $1.43 surpassed the Zacks Consensus Estimate of $1.22. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report To read this article on Zacks.com click here. Overall, the company missed the Zacks Consensus Estimate by an average of 9.1% in the trailing four quarters.
|
11484.0
|
2017-11-14 00:00:00 UTC
|
S&P 500 Movers: CTL, AAP
|
AAP
|
https://www.nasdaq.com/articles/sp-500-movers-ctl-aap-2017-11-14
|
nan
|
nan
|
In early trading on Tuesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 22.7%. Year to date, Advance Auto Parts has lost about 40.3% of its value.
And the worst performing S&P 500 component thus far on the day is CenturyLink ( CTL ), trading down 3.6%. CenturyLink is lower by about 37.9% looking at the year to date performance.
Two other components making moves today are Range Resources Corp ( RRC ), trading down 3.6%, and AutoZone ( AZO ), trading up 5.5% on the day.
VIDEO: S&P 500 Movers: CTL, AAP
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In early trading on Tuesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 22.7%. VIDEO: S&P 500 Movers: CTL, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Year to date, Advance Auto Parts has lost about 40.3% of its value.
|
In early trading on Tuesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 22.7%. VIDEO: S&P 500 Movers: CTL, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Year to date, Advance Auto Parts has lost about 40.3% of its value.
|
In early trading on Tuesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 22.7%. VIDEO: S&P 500 Movers: CTL, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Two other components making moves today are Range Resources Corp ( RRC ), trading down 3.6%, and AutoZone ( AZO ), trading up 5.5% on the day.
|
In early trading on Tuesday, shares of Advance Auto Parts ( AAP ) topped the list of the day's best performing components of the S&P 500 index, trading up 22.7%. VIDEO: S&P 500 Movers: CTL, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. And the worst performing S&P 500 component thus far on the day is CenturyLink ( CTL ), trading down 3.6%.
|
11485.0
|
2017-11-14 00:00:00 UTC
|
Q3 Specialty Retail Rundown: HD, TJX, AAP, DKS, BWLD
|
AAP
|
https://www.nasdaq.com/articles/q3-specialty-retail-rundown-hd-tjx-aap-dks-bwld-2017-11-14
|
nan
|
nan
|
Tuesday, November 14, 2017
Regular day trading Monday fought back from pre-market declines to finish slightly in the green, as softness in Asian markets look to be providing a gentle headwind on Western markets again this morning. Futures are again in the red, as forecasts for China's economy expect it to slow in Q4. This is somewhat offset by better-than-expected GDP in Germany: +0.8% from the +0.6% analysts were looking for, on slightly stronger exports and capital investments.
The main piece of econ data here at home this morning is the monthly Producer Price Index (PPI), which came in hotter than we were expecting for October: +0.4% versus the +0.1% consensus, with the ex-food & energy read also at 0.4% (+0.2% was expected). The headline also matched September's 0.4%; year over year we see +2.8% - the best year-over-year PPI read since 2011.
These numbers help illustrate the continued slow seep of inflation into the economy, as well as the fact that hurricane effects continue to roll off the data. It's the Consumer Price Index (CPI), due out later, that will help the Fed solidify its rate increase plans for its December FOMC meeting (or not). The CPI not only gives a good indication of inflation metrics month by month, but also gives insight into consumers' coping mechanisms with higher (or lower) prices.
Q3 Earnings Rundown
Zacks Rank #2 (Buy) stock Home Depot HD posted a typical positive earnings surprise ahead of today's opening bell: earnings of $1.84 per share beat the Zacks consensus by 3 cents, and revenues of $25.03 billion easily surpassed the $24.52 billion we had been looking for. This is at least the fifth straight earnings beat for Home Depot, whose trailing 4-quarter average was +3.8%.
Home Depot also upped its full-year guidance from estimates, and expect comps to be up 6.5% year over year. The company said the balance of hurricane affects created a net loss of $51 million in the quarter, but things appear to be looking up for Home Depot for the year as a whole.
Zacks Rank #4 (Sell)-rated TJX Companies TJX posted a mixed report this morning, meeting the $1.00 per share expected while sales reached $8.76 billion, beneath the $8.88 billion the Zacks consensus anticipated. Hurricanes - including dozens of stores on the devastated island of Puerto Rico - and warmer weather hit the discount retailer in the quarter. Forecasts for fiscal 2018 (January end) are also beneath estimates.
Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. Sales of $2.18 billion came in slightly under the $2.21 billion expected. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up.
DICK'S Sporting Goods DKS is selling off following its earnings release before the opening bell, even after beating estimates on its top and bottom lines: 30 cents per share outperformed the 26 cents expected, and revenues $1.94 billion surpassed the $1.89 billion in the Zacks consensus. However, reports of pressured margins suggest the company will underperform expectations, perhaps by as much as 20% in 2018. Shares are down 4% ahead of the opening bell.
Finally, private investment firm Roark Capital has offered to buy Buffalo Wild Wings BWLD for $150 per share this morning, sending shares surging more than 26% in today's pre-market. This follows BWLD's strong Q3 report from a couple weeks ago, when the stock also surged more than 20%; year-to-date, however, the specialty food and drink establishment was down 24%. This morning's news looks to finally swing Buffalo Wild Wings into the black for calendar 2017.
Mark Vickery
Senior Editor
Questions or comments about this article and/or its author? Click here>>
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7% and +90.2%, respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Home Depot, Inc. (The) (HD): Free Stock Analysis Report
TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report
Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report
Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up.
|
Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here.
|
11486.0
|
2017-11-14 00:00:00 UTC
|
Advance Auto Parts (AAP) Q3 Earnings Top Estimates, Down Y/Y
|
AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-aap-q3-earnings-top-estimates-down-y-y-2017-11-14
|
nan
|
nan
|
Advance Auto Parts Inc.AAP reported adjusted earnings of $1.43 per share in the third quarter of fiscal 2017 (ended Oct 7), declining 17.3% from $1.73 in the prior-year quarter. The figure, however, surpassed the Zacks Consensus Estimate of $1.22. Adjusted operating income declined to $172.2 million from $217.6 million in the third quarter of fiscal 2016.
Advance Auto Parts reported revenues of $2.18 billion, missing the Zacks Consensus Estimate of $2.21 billion. Revenues were 3% lower than the year-ago quarter figure. During the quarter, comparable store sales (comps) were down 3.4% year over year.
Gross profit declined to $947.7 million in the reported quarter from $988.2 million a year ago. Gross margin declined 51 basis points year over year to 43.4%.
Adjusted selling, general and administrative (SG&A) expenses totaled $775.5 million or 35.5% of sales compared with $770.6 million or 34.3% in the year-ago period.
Dividend
On Nov 7, 2017, the board of directors of Advance Auto Parts announced a regular quarterly dividend of 6 cents per share. The dividend will be paid on Jan 5, 2018, to stockholders on record as of Dec 22, 2017.
Financial Position
Advance Auto Parts had cash and cash equivalents of $363.3 million as of Oct 7, 2017, up from $135.2 million as of Dec 31, 2016. Total long-term debt was $1.04 billion as of Oct 7, 2017, almost unchanged from the Dec 31, 2016 figure.
For the fiscal third quarter, operating cash flow was $401 million compared with $427 million in the year-ago period.
Store Update
As of Oct 7, 2017, Advance Auto Parts operated 5,074 stores and 129 Worldpac branches and served approximately 1,250 independently owned Carquest stores.
Advance Auto Parts currently carries a Zacks Rank #3 (Hold).
A few better-ranked automobile stocks worth considering are Allison Transmission Holdings, Inc. ALSN , PACCAR Inc PCAR and Cummins Inc. CMI . While Allison Transmission Holdings and PACCAR sport a Zacks Rank #1 (Strong Buy), Cummins carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Allison Transmission Holdings has a long-term growth rate of 10%.
PACCAR has a long-term growth rate of 10%.
Cummins has an expected long-term earnings-per-share growth rate of 12.1%.
Advance Auto Parts Inc Price, Consensus and EPS Surprise
Advance Auto Parts Inc Price, Consensus and EPS Surprise | Advance Auto Parts Inc Quote
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
PACCAR Inc. (PCAR): Free Stock Analysis Report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report
Cummins Inc. (CMI): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc.AAP reported adjusted earnings of $1.43 per share in the third quarter of fiscal 2017 (ended Oct 7), declining 17.3% from $1.73 in the prior-year quarter. Click to get this free report PACCAR Inc. (PCAR): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Cummins Inc. (CMI): Free Stock Analysis Report To read this article on Zacks.com click here. Total long-term debt was $1.04 billion as of Oct 7, 2017, almost unchanged from the Dec 31, 2016 figure.
|
Click to get this free report PACCAR Inc. (PCAR): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Cummins Inc. (CMI): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc.AAP reported adjusted earnings of $1.43 per share in the third quarter of fiscal 2017 (ended Oct 7), declining 17.3% from $1.73 in the prior-year quarter. While Allison Transmission Holdings and PACCAR sport a Zacks Rank #1 (Strong Buy), Cummins carries a Zacks Rank #2 (Buy).
|
Advance Auto Parts Inc.AAP reported adjusted earnings of $1.43 per share in the third quarter of fiscal 2017 (ended Oct 7), declining 17.3% from $1.73 in the prior-year quarter. Click to get this free report PACCAR Inc. (PCAR): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Cummins Inc. (CMI): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc Price, Consensus and EPS Surprise Advance Auto Parts Inc Price, Consensus and EPS Surprise | Advance Auto Parts Inc Quote Today's Stocks from Zacks' Hottest Strategies It's hard to believe, even for us at Zacks.
|
Advance Auto Parts Inc.AAP reported adjusted earnings of $1.43 per share in the third quarter of fiscal 2017 (ended Oct 7), declining 17.3% from $1.73 in the prior-year quarter. Click to get this free report PACCAR Inc. (PCAR): Free Stock Analysis Report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Cummins Inc. (CMI): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts currently carries a Zacks Rank #3 (Hold).
|
11487.0
|
2017-11-14 00:00:00 UTC
|
Mid-Morning Market Update: Markets Open Lower; Home Depot Beats Q3 Views
|
AAP
|
https://www.nasdaq.com/articles/mid-morning-market-update-markets-open-lower-home-depot-beats-q3-views-2017-11-14
|
nan
|
nan
|
Following the market opening Tuesday, the Dow traded down 0.62 percent to 23,294.15 while the NASDAQ declined 0.58 percent to 6,718.39. The S&P also fell, dropping 0.59 percent to 2,569.68.
Leading and Lagging Sectors
Tuesday morning, the non-cyclical consumer goods & services shares slipped by just 0.07 percent.
In trading on Tuesday, energy shares were relative laggards, down on the day by about 1.12 percent. Meanwhile, top losers in the sector included Whiting Petroleum Corp (NYSE: WLL ), down 5 percent, and Petroleo Brasileiro SA Petrobras (ADR) (NYSE: PBR ) down 5 percent.
Top Headline
Home Depot Inc (NYSE: HD ) reported better-than-expected earnings for its third quarter and lifted its full-year guidance.
Home Depot posted quarterly adjusted earnings of $1.84 per share on revenue of $25.03 billion. However, analysts were expecting earnings of $1.82 per share on revenue of $24.53 billion. Comparable store sales rose 7.9 percent in the quarter.
Equities Trading UP
Buffalo Wild Wings (NASDAQ: BWLD ) shares shot up 25 percent to $146.77 on a $2.3 billion takeover bid submitted by private-equity firm Roark Capital. The firm's bid for the restaurant chain is worth over $150 per share.
Shares of ITUS Corp (NASDAQ: ITUS ) got a boost, shooting up 13 percent to $2.87 after the company disclosed that it has executed an exclusive worldwide license agreement with The Wistar Institute for a CAR T-Cell technology.
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 21 percent to $99.67 after the company reported better-than-expected profit for its third quarter.
Equities Trading DOWN
NCS Multistage Holdings Inc (NASDAQ: NCSM ) shares dropped 25 percent to $15.52. NCS Multistage reported Q3 adjusted earnings of $0.09 per share on revenue of $56 million.
Shares of Network-1 Technologies Inc (NASDAQ: NTIP ) were down 34 percent to $2.88 after a jury in the United States District Court determined that Network-1's Remote Power Patent is invalid and not infringed by Hewlett-Packard.
Netshoes (CAYMAN) Ltd (NYSE: NETS ) was down, falling around 18 percent to $7.94. Netshoes reported a Q3 loss of $0.58 per share on sales of $140.352 million.
Commodities
In commodity news, oil traded down 0.53 percent to $56.46 while gold traded down 0.27 percent to $1,275.40.
Silver traded down 0.39 percent Tuesday to $16.98, while copper fell 0.34 percent to $3.106.
Eurozone
European shares were lower today. The eurozone's STOXX 600 declined 0.41 percent, the Spanish Ibex Index fell 0.20 percent, while Italy's FTSE MIB Index dropped 0.43 percent. Meanwhile the German DAX declined 0.18 percent, and the French CAC 40 dropped 0.31 percent while U.K. shares rose 0.12 percent.
Economics
The NFIB small business optimism index rose to a reading of 103.80 in October, versus a prior reading of 103.00.
The Producer Price Index rose 0.4 percent for October, versus economists' expectations for a 0.2 percent gain.
The Treasury is set to auction 4-week bills at 11:30 a.m. ET.
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Profit with More New & Research . Gain access to a streaming platform with all the information you need to invest better today. Click here to start your 14 Day Trial of Benzinga Professional
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 21 percent to $99.67 after the company reported better-than-expected profit for its third quarter. Equities Trading UP Buffalo Wild Wings (NASDAQ: BWLD ) shares shot up 25 percent to $146.77 on a $2.3 billion takeover bid submitted by private-equity firm Roark Capital. Shares of Network-1 Technologies Inc (NASDAQ: NTIP ) were down 34 percent to $2.88 after a jury in the United States District Court determined that Network-1's Remote Power Patent is invalid and not infringed by Hewlett-Packard.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 21 percent to $99.67 after the company reported better-than-expected profit for its third quarter. Equities Trading DOWN NCS Multistage Holdings Inc (NASDAQ: NCSM ) shares dropped 25 percent to $15.52. NCS Multistage reported Q3 adjusted earnings of $0.09 per share on revenue of $56 million.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 21 percent to $99.67 after the company reported better-than-expected profit for its third quarter. Following the market opening Tuesday, the Dow traded down 0.62 percent to 23,294.15 while the NASDAQ declined 0.58 percent to 6,718.39. The eurozone's STOXX 600 declined 0.41 percent, the Spanish Ibex Index fell 0.20 percent, while Italy's FTSE MIB Index dropped 0.43 percent.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 21 percent to $99.67 after the company reported better-than-expected profit for its third quarter. Equities Trading DOWN NCS Multistage Holdings Inc (NASDAQ: NCSM ) shares dropped 25 percent to $15.52. The eurozone's STOXX 600 declined 0.41 percent, the Spanish Ibex Index fell 0.20 percent, while Italy's FTSE MIB Index dropped 0.43 percent.
|
11488.0
|
2017-11-14 00:00:00 UTC
|
Earnings Momentum Continues
|
AAP
|
https://www.nasdaq.com/articles/earnings-momentum-continues-2017-11-14
|
nan
|
nan
|
Regular day trading Monday fought back from pre-market declines to finish slightly in the green, as softness in Asian markets look to be providing a gentle headwind on Western markets again this morning. Futures are again in the red, as forecasts for China's economy expect it to slow in Q4. This is somewhat offset by better-than-expected GDP in Germany: +0.8% from the +0.6% analysts were looking for, on slightly stronger exports and capital investments.
The main piece of econ data here at home this morning is the monthly Producer Price Index (PPI), which came in hotter than we were expecting for October: +0.4% versus the +0.1% consensus, with the ex-food & energy read also at 0.4% (+0.2% was expected). The headline also matched September's 0.4%; year over year we see +2.8% - the best year-over-year PPI read since 2011.
These numbers help illustrate the continued slow seep of inflation into the economy, as well as the fact that hurricane effects continue to roll off the data. It's the Consumer Price Index (CPI), due out later, that will help the Fed solidify its rate increase plans for its December FOMC meeting (or not). The CPI not only gives a good indication of inflation metrics month by month, but also gives insight into consumers' coping mechanisms with higher (or lower) prices.
Q3 Earnings Rundown
Zacks Rank #2 (Buy) stock Home Depot HD posted a typical positive earnings surprise ahead of today's opening bell: earnings of $1.84 per share beat the Zacks consensus by 3 cents, and revenues of $25.03 billion easily surpassed the $24.52 billion we had been looking for. This is at least the fifth straight earnings beat for Home Depot, whose trailing 4-quarter average was +3.8%.
Home Depot also upped its full-year guidance from estimates, and expect comps to be up 6.5% year over year. The company said the balance of hurricane affects created a net loss of $51 million in the quarter, but things appear to be looking up for Home Depot for the year as a whole.
Zacks Rank #4 (Sell)-rated TJX Companies TJX posted a mixed report this morning, meeting the $1.00 per share expected while sales reached $8.76 billion, beneath the $8.88 billion the Zacks consensus anticipated. Hurricanes - including dozens of stores on the devastated island of Puerto Rico - and warmer weather hit the discount retailer in the quarter. Forecasts for fiscal 2018 (January end) are also beneath estimates.
Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. Sales of $2.18 billion came in slightly under the $2.21 billion expected. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up.
DICK'S Sporting Goods DKS is selling off following its earnings release before the opening bell, even after beating estimates on its top and bottom lines: 30 cents per share outperformed the 26 cents expected, and revenues $1.94 billion surpassed the $1.89 billion in the Zacks consensus. However, reports of pressured margins suggest the company will underperform expectations, perhaps by as much as 20% in 2018. Shares are down 4% ahead of the opening bell.
Finally, private investment firm Roark Capital has offered to buy Buffalo Wild Wings BWLD for $150 per share this morning, sending shares surging more than 26% in today's pre-market. This follows BWLD's strong Q3 report from a couple weeks ago, when the stock also surged more than 20%; year-to-date, however, the specialty food and drink establishment was down 24%. This morning's news looks to finally swing Buffalo Wild Wings into the black for calendar 2017.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Home Depot, Inc. (The) (HD): Free Stock Analysis Report
TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report
Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report
Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up.
|
Advance Auto Parts AAP shares are rocketing up 18% in today's pre-market following a big beat on the bottom line: $1.43 per share versus a $1.22 consensus estimate. This marks the first earnings beat for AAP in the last 4 quarters, and the stock had been down more than 50% year to date before this morning's bid-up. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Home Depot, Inc. (The) (HD): Free Stock Analysis Report TJX Companies, Inc. (The) (TJX): Free Stock Analysis Report Buffalo Wild Wings, Inc. (BWLD): Free Stock Analysis Report Dick's Sporting Goods Inc (DKS): Free Stock Analysis Report To read this article on Zacks.com click here.
|
11489.0
|
2017-11-14 00:00:00 UTC
|
Mid-Day Market Update: Advance Auto Parts Rises On Earnings Beat; NCS Multistage Shares Plummet
|
AAP
|
https://www.nasdaq.com/articles/mid-day-market-update-advance-auto-parts-rises-earnings-beat-ncs-multistage-shares-plummet
|
nan
|
nan
|
Midway through trading Tuesday, the Dow traded down 0.38 percent to 23,351.89 while the NASDAQ declined 0.27 percent to 6,739.43. The S&P also fell, dropping 0.27 percent to 2,577.79.
Leading and Lagging Sectors
On Tuesday, the non-cyclical consumer goods & services sector proved to be a source of strength for the market.
In trading on Tuesday, basic materials shares were relative laggards, down on the day by about 1.20 percent. Meanwhile, top losers in the sector included Allegheny Technologies Incorporated (NYSE: ATI ), down 5 percent, and Intrepid Potash, Inc. (NYSE: IPI ) down 5 percent.
Top Headline
Home Depot Inc (NYSE: HD ) reported better-than-expected earnings for its third quarter and lifted its full-year guidance.
Home Depot posted quarterly adjusted earnings of $1.84 per share on revenue of $25.03 billion. However, analysts were expecting earnings of $1.82 per share on revenue of $24.53 billion. Comparable store sales rose 7.9 percent in the quarter.
Equities Trading UP
Buffalo Wild Wings (NASDAQ: BWLD ) shares shot up 25 percent to $146.10 on a $2.3 billion takeover bid submitted by private-equity firm Roark Capital. The firm's bid for the restaurant chain is worth over $150 per share.
Shares of MoSys Inc. (NASDAQ: MOSY ) got a boost, shooting up 123 percent to $1.52 after third-quarter earnings came in well ahead of estimates. The company also beat sales estimates by nearly $1 million.
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 20 percent to $98.83 after the company reported better-than-expected profit for its third quarter.
Equities Trading DOWN
NCS Multistage Holdings Inc (NASDAQ: NCSM ) shares dropped 25 percent to $15.56. NCS Multistage reported Q3 adjusted earnings of $0.09 per share on revenue of $56 million.
Shares of Energy XXI Gulf Coast Inc (NASDAQ: EXXI ) were down 18 percent to $6.86. Energy XXI Gulf Coast reported a Q3 loss of $0.95 per share on revenue of $117.0 million.
Netshoes (CAYMAN) Ltd (NYSE: NETS ) was down, falling around 17 percent to $7.95. Netshoes reported a Q3 loss of $0.58 per share on sales of $140.352 million.
Commodities
In commodity news, oil traded down 1.92 percent to $55.67 while gold traded down 0.01 percent to $1,278.90.
Silver traded down 0.31 percent Tuesday to $16.995, while copper fell 1.94 percent to $3.056.
Eurozone
European shares were lower today. The eurozone's STOXX 600 declined 0.64 percent, the Spanish Ibex Index fell 0.61 percent, while Italy's FTSE MIB Index dropped 0.67 percent. Meanwhile the German DAX declined 0.37 percent, and the French CAC 40 dropped 0.55 percent while U.K. shares fell 0.08 percent.
Economics
The NFIB small business optimism index rose to a reading of 103.80 in October, versus a prior reading of 103.00.
The Producer Price Index rose 0.4 percent for October, versus economists' expectations for a 0.2 percent gain.
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Profit with More New & Research . Gain access to a streaming platform with all the information you need to invest better today. Click here to start your 14 Day Trial of Benzinga Professional
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 20 percent to $98.83 after the company reported better-than-expected profit for its third quarter. Top Headline Home Depot Inc (NYSE: HD ) reported better-than-expected earnings for its third quarter and lifted its full-year guidance. Equities Trading UP Buffalo Wild Wings (NASDAQ: BWLD ) shares shot up 25 percent to $146.10 on a $2.3 billion takeover bid submitted by private-equity firm Roark Capital.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 20 percent to $98.83 after the company reported better-than-expected profit for its third quarter. Equities Trading DOWN NCS Multistage Holdings Inc (NASDAQ: NCSM ) shares dropped 25 percent to $15.56. NCS Multistage reported Q3 adjusted earnings of $0.09 per share on revenue of $56 million.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 20 percent to $98.83 after the company reported better-than-expected profit for its third quarter. Midway through trading Tuesday, the Dow traded down 0.38 percent to 23,351.89 while the NASDAQ declined 0.27 percent to 6,739.43. The eurozone's STOXX 600 declined 0.64 percent, the Spanish Ibex Index fell 0.61 percent, while Italy's FTSE MIB Index dropped 0.67 percent.
|
Advance Auto Parts, Inc. (NYSE: AAP ) shares were also up, gaining 20 percent to $98.83 after the company reported better-than-expected profit for its third quarter. Meanwhile, top losers in the sector included Allegheny Technologies Incorporated (NYSE: ATI ), down 5 percent, and Intrepid Potash, Inc. (NYSE: IPI ) down 5 percent. The company also beat sales estimates by nearly $1 million.
|
11490.0
|
2017-11-14 00:00:00 UTC
|
Why Advance Auto Parts, Inc. Stock is Soaring Today
|
AAP
|
https://www.nasdaq.com/articles/why-advance-auto-parts-inc-stock-soaring-today-2017-11-14
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Advance Auto Parts, Inc. (NYSE: AAP ) stock was flying high today following the release of its earnings report for the third quarter of 2017.
Source: Shutterstock
During the third quarter of the year, Advance Auto Parts, Inc. reported earnings per share of $1.43. This is down from its earnings per share of $1.73 from the same time last year. However, it was still a plus for AAP stock by coming in well above Wall Street's earnings per share estimate of $1.21 for the quarter.
It's a good thing that Advance Auto Parts, Inc.'s earnings per share for the quarter were strong, because it was found wanting in terms of revenue. AAP reported revenue of $2.18 billion in the third quarter of 2017, which is down from the $2.25 from the third quarter of 2016. It also wasn't able to reach analysts' revenue estimate of $2.21 billion for the third quarter of the year.
Operating income reported by Advance Auto Parts, Inc. in the third quarter of 2017 was $156.60 million . This is down from the operating income of $193.80 million reported in the same period of the year prior.
Advance Auto Parts, Inc. also reported net income that was lower when compared to the same quarter of the previous year. Net income in the third quarter of 2017 was $96.00 million. Net income from the third quarter of 2016 was $113.84 million.
7 Best Dividend Funds for Retirement
Advance Auto Parts, Inc. also says that it will be paying a dividend of 6 cents per share to investors on Jan. 5, 2018. Shareholders must be on record as of Dec. 22, 2017 to receive this dividend.
AAP stock was up 16% as of Tuesday afternoon, but is down 42% year-to-date.
More From InvestorPlace
The 10 Best Dividend ETFs for Yield-Hungry Investors
7 Marijuana Stocks to Buy That Won't Burn You
The 10 Best Mutual Funds to Buy for 2018
As of this writing, William White did not hold a position in any of the aforementioned securities.
The post Why Advance Auto Parts, Inc. Stock is Soaring Today appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips Advance Auto Parts, Inc. (NYSE: AAP ) stock was flying high today following the release of its earnings report for the third quarter of 2017. However, it was still a plus for AAP stock by coming in well above Wall Street's earnings per share estimate of $1.21 for the quarter. AAP reported revenue of $2.18 billion in the third quarter of 2017, which is down from the $2.25 from the third quarter of 2016.
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips Advance Auto Parts, Inc. (NYSE: AAP ) stock was flying high today following the release of its earnings report for the third quarter of 2017. However, it was still a plus for AAP stock by coming in well above Wall Street's earnings per share estimate of $1.21 for the quarter. AAP reported revenue of $2.18 billion in the third quarter of 2017, which is down from the $2.25 from the third quarter of 2016.
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips Advance Auto Parts, Inc. (NYSE: AAP ) stock was flying high today following the release of its earnings report for the third quarter of 2017. However, it was still a plus for AAP stock by coming in well above Wall Street's earnings per share estimate of $1.21 for the quarter. AAP reported revenue of $2.18 billion in the third quarter of 2017, which is down from the $2.25 from the third quarter of 2016.
|
AAP reported revenue of $2.18 billion in the third quarter of 2017, which is down from the $2.25 from the third quarter of 2016. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Advance Auto Parts, Inc. (NYSE: AAP ) stock was flying high today following the release of its earnings report for the third quarter of 2017. However, it was still a plus for AAP stock by coming in well above Wall Street's earnings per share estimate of $1.21 for the quarter.
|
11491.0
|
2017-11-14 00:00:00 UTC
|
Daily Dividend Report: APD, BAX, ARMK, TMK, AAP
|
AAP
|
https://www.nasdaq.com/articles/daily-dividend-report-apd-bax-armk-tmk-aap-2017-11-14
|
nan
|
nan
|
Air Products ( APD ) declared a quarterly dividend of 95 cents per share of common stock. The dividend is payable on February 12, 2018 to shareholders of record at the close of business on January 2, 2018.
Baxter International ( BAX ) has declared a quarterly dividend of $0.16 per share of common stock. The dividend is payable on January 2, 2018, to stockholders of record as of December 1, 2017. The indicated annual dividend rate is $0.64 per share.
Aramark is increasing the regular quarterly dividend to 10.5 cents per share of common stock. The first quarter fiscal 2018 dividend, at the increased rate, will be payable on December 7, 2017, to stockholders of record at the close of business November 27, 2017.
Torchmark Corporation ( TMK ) has declared a quarterly dividend of $.15 per share on all of the outstanding common stock of the Company held of record as of the close of business of the Company's transfer agent on January 5, 2018. The dividend will be paid on February 1, 2018.
Advance Auto Parts declared a regular quarterly cash dividend of $0.06 per share to be paid on January 5, 2018 to stockholders of record as of December 22, 2017.
VIDEO: Daily Dividend Report: APD, BAX, ARMK, TMK, AAP
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
VIDEO: Daily Dividend Report: APD, BAX, ARMK, TMK, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Air Products ( APD ) declared a quarterly dividend of 95 cents per share of common stock. The first quarter fiscal 2018 dividend, at the increased rate, will be payable on December 7, 2017, to stockholders of record at the close of business November 27, 2017.
|
VIDEO: Daily Dividend Report: APD, BAX, ARMK, TMK, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Air Products ( APD ) declared a quarterly dividend of 95 cents per share of common stock. Aramark is increasing the regular quarterly dividend to 10.5 cents per share of common stock.
|
VIDEO: Daily Dividend Report: APD, BAX, ARMK, TMK, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Torchmark Corporation ( TMK ) has declared a quarterly dividend of $.15 per share on all of the outstanding common stock of the Company held of record as of the close of business of the Company's transfer agent on January 5, 2018. Advance Auto Parts declared a regular quarterly cash dividend of $0.06 per share to be paid on January 5, 2018 to stockholders of record as of December 22, 2017.
|
VIDEO: Daily Dividend Report: APD, BAX, ARMK, TMK, AAP The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The dividend is payable on February 12, 2018 to shareholders of record at the close of business on January 2, 2018. The first quarter fiscal 2018 dividend, at the increased rate, will be payable on December 7, 2017, to stockholders of record at the close of business November 27, 2017.
|
11492.0
|
2017-11-14 00:00:00 UTC
|
What Happened in the Stock Market Today
|
AAP
|
https://www.nasdaq.com/articles/what-happened-stock-market-today-2017-11-14
|
nan
|
nan
|
Stocks fell on Tuesday, with the Dow Jones Industrial Average (DJINDICES: ^DJI) and the S&P 500 (SNPINDEX: ^GSPC) closing in the red, but well above interday lows.
Today's stock market
Data source: Yahoo! Finance.
Investors sought relative safety in high-yielding utility stocks again today, with the Utilities Select SPDR ETF (NYSEMKT: XLU) gaining 1.2%. Energy stocks were hit hard on a 2% decline in the price of crude oil ; the SPDR S&P Oil & Gas Exploration & Production ETF (NYSEMKT: XOP) plunged 3.5%.
Retail companies continue to turn in a mixed results for the third quarter. Investors saw something to like in the report from Advance Auto Parts (NYSE: AAP) , but TJX Companies (NYSE: TJX) didn't quite make the grade after a miss on the top line.
Advance Auto Parts soars on profit surprise
Shares of retailer Advance Auto Parts soared 16.3% today after the company announced third-quarter earnings that trounced expectations. Adjusted earnings per share were $1.43, down 17% from the period last year, but well above the $1.21 that analysts were expecting. Sales fell 3% to $2.18 billion, which missed expectations of $2.21 billion.
Comparable-store sales declined 3.4%, compared with a decline of 1% in the period last year and flat growth last quarter. Gross margin declined from 43.9% last year to 43.4%, and adjusted operating income margin fell from 9.7% to 7.9%. The company maintained previous guidance for full-year same-store sales.
"We continue to take steps to build the foundation for future growth," said CEO Tom Greco in the press release. "We executed key transformational initiatives, including a complete restructure of our field operations and professional sales leadership teams."
With declines in sales, margins, and earnings, one might be tempted to think the quarter was less successful than the movement in the stock price would imply. But Advance Auto Parts did continue to make progress in reducing inventory and actually grew free cash flow from last year. With a stock that had plunged 51% in 2017 up to yesterday, expectations had simply gotten so low that the beat on bottom line was good enough for investors.
TJX falls following sales miss
Off-price retailer TJX reported third-quarter results that met expectations for earnings but missed on the top line, and the stock slumped 3.9% on the news. Sales increased 5.7% to $8.76 billion and EPS jumped 20.5% to $1.00. Wall Street analysts were expecting sales to come in at $8.86 billion.
Same-store sales were flat, compared with a gain of 5% last year and 3% in the second quarter. Weather played a role in the results, with the hurricanes and other adverse events knocking 2% off the results of the Marmaxx division (TJ Maxx and Marshalls). Looking ahead, TJX forecast Q4 comparable-store sales growth of 1% to 2% and adjusted EPS to increase 11% to 13%. For the full year, the company expects earnings to tick up 13% to 14%.
"While sales were not as strong as we would have liked, we were pleased that sales trends at Marmaxx improved as the weather turned more seasonable," said CEO Ernie Herrman in the press release. "Further, customer traffic, or transactions, were strong and up at every major division. Importantly, our consolidated merchandise margin increased, which we believe speaks to the flexibility of our off-price business model."
It's been tough for investors to make a buck in retail companies not named Amazon in 2017. TJX has been one of a few that continue to grow and turn in impressive quarters , but today's results were not good enough to change the market's pessimistic mood.
Offer from The Motley Fool: The 10 best stocks to buy now
Motley Fool co-founders Tom and David Gardner have spent more than a decade beating the market. In fact, the newsletter they run, Motley Fool Stock Advisor , has tripled the S&P 500!*
Tom and David just revealed their ten top stock picks for investors to buy right now.
Click here to get access to the full list!
* Stock Advisor returns as of Nov. 6, 2017.
John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Jim Crumly owns shares of AMZN. The Motley Fool owns shares of and recommends AMZN. The Motley Fool recommends The TJX Companies. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Investors saw something to like in the report from Advance Auto Parts (NYSE: AAP) , but TJX Companies (NYSE: TJX) didn't quite make the grade after a miss on the top line. Stocks fell on Tuesday, with the Dow Jones Industrial Average (DJINDICES: ^DJI) and the S&P 500 (SNPINDEX: ^GSPC) closing in the red, but well above interday lows. "We executed key transformational initiatives, including a complete restructure of our field operations and professional sales leadership teams."
|
Investors saw something to like in the report from Advance Auto Parts (NYSE: AAP) , but TJX Companies (NYSE: TJX) didn't quite make the grade after a miss on the top line. Advance Auto Parts soars on profit surprise Shares of retailer Advance Auto Parts soared 16.3% today after the company announced third-quarter earnings that trounced expectations. TJX falls following sales miss Off-price retailer TJX reported third-quarter results that met expectations for earnings but missed on the top line, and the stock slumped 3.9% on the news.
|
Investors saw something to like in the report from Advance Auto Parts (NYSE: AAP) , but TJX Companies (NYSE: TJX) didn't quite make the grade after a miss on the top line. Advance Auto Parts soars on profit surprise Shares of retailer Advance Auto Parts soared 16.3% today after the company announced third-quarter earnings that trounced expectations. TJX falls following sales miss Off-price retailer TJX reported third-quarter results that met expectations for earnings but missed on the top line, and the stock slumped 3.9% on the news.
|
Investors saw something to like in the report from Advance Auto Parts (NYSE: AAP) , but TJX Companies (NYSE: TJX) didn't quite make the grade after a miss on the top line. Adjusted earnings per share were $1.43, down 17% from the period last year, but well above the $1.21 that analysts were expecting. TJX falls following sales miss Off-price retailer TJX reported third-quarter results that met expectations for earnings but missed on the top line, and the stock slumped 3.9% on the news.
|
11493.0
|
2017-11-14 00:00:00 UTC
|
Consumer Sector Update for 11/14/2017: AAP,BWLD,NETS
|
AAP
|
https://www.nasdaq.com/articles/consumer-sector-update-11142017-aapbwldnets-2017-11-14
|
nan
|
nan
|
Top Consumer Stocks
WMT -0.30%
MCD +0.59%
DIS -1.38%
CVS -1.37%
KO +1.24%
Consumer stocks were mixed today, with shares of consumer staples companies in the S&P 500 extending their recent gains, rising more than 0.3% this afternoon, while shares of consumer discretionary firms in the S&P 500 were down less than 0.1%.
In company news, Advance Auto Parts ( AAP ) raced to a 25% gain on Tuesday, topping out at $102.89 a share, after the retailer Tuesday morning reported Q3 net income exceeding analysts' estimates.
Excluding one-time items, the company earned $1.43 per share during the three months ended Oct. 7, down from a non-GAAP profit of $1.73 per share during the year-ago period but still topping the Capital IQ consensus by $0.22 per share. Revenue declined 3.1% from the same quarter last year to $2.18 billion, lagging the analyst mean by around $30 million.
In other sector news,
(+) BWLD, (+23.6%) Reportedly receives $2.3 bln takeover bid from Roark Capital Group, offering more than $150 per share, according to the Wall Street Journal, citing people familiar with the matter.
(-) NETS, (-17.4%) Q3 net loss of $0.58 per share trails Street view by $0.12 per share. Revenue rises 11.4% over year-ago levels to $140.35 million, also missing the $147.3 million consensus.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In company news, Advance Auto Parts ( AAP ) raced to a 25% gain on Tuesday, topping out at $102.89 a share, after the retailer Tuesday morning reported Q3 net income exceeding analysts' estimates. Excluding one-time items, the company earned $1.43 per share during the three months ended Oct. 7, down from a non-GAAP profit of $1.73 per share during the year-ago period but still topping the Capital IQ consensus by $0.22 per share. Revenue declined 3.1% from the same quarter last year to $2.18 billion, lagging the analyst mean by around $30 million.
|
In company news, Advance Auto Parts ( AAP ) raced to a 25% gain on Tuesday, topping out at $102.89 a share, after the retailer Tuesday morning reported Q3 net income exceeding analysts' estimates. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Excluding one-time items, the company earned $1.43 per share during the three months ended Oct. 7, down from a non-GAAP profit of $1.73 per share during the year-ago period but still topping the Capital IQ consensus by $0.22 per share.
|
In company news, Advance Auto Parts ( AAP ) raced to a 25% gain on Tuesday, topping out at $102.89 a share, after the retailer Tuesday morning reported Q3 net income exceeding analysts' estimates. Excluding one-time items, the company earned $1.43 per share during the three months ended Oct. 7, down from a non-GAAP profit of $1.73 per share during the year-ago period but still topping the Capital IQ consensus by $0.22 per share. Consumer stocks were mixed today, with shares of consumer staples companies in the S&P 500 extending their recent gains, rising more than 0.3% this afternoon, while shares of consumer discretionary firms in the S&P 500 were down less than 0.1%.
|
In company news, Advance Auto Parts ( AAP ) raced to a 25% gain on Tuesday, topping out at $102.89 a share, after the retailer Tuesday morning reported Q3 net income exceeding analysts' estimates. Excluding one-time items, the company earned $1.43 per share during the three months ended Oct. 7, down from a non-GAAP profit of $1.73 per share during the year-ago period but still topping the Capital IQ consensus by $0.22 per share. Top Consumer Stocks
|
11494.0
|
2017-11-14 00:00:00 UTC
|
TJX, Dick's Sporting Goods Sink; Advance Auto Parts Soars On Q3
|
AAP
|
https://www.nasdaq.com/articles/tjx-dicks-sporting-goods-sink-advance-auto-parts-soars-q3-2017-11-14
|
nan
|
nan
|
TJX ( TJX ) missed revenue views, Dick's Sporting Goods ( DKS ) warned on 2018 earnings, while Advance Auto Parts ( AAP ) turned in mixed results Tuesday.
[ibd-display-video id=2642056 width=50 float=left autostart=true]
TJX
Estimates : A 10% earnings rise to $1.00 a share on 7% sales gains to $8.88 billion.
Results : EPS of $1.00, including a 3-cent impact from hurricanes, on revenue of $8.76 billion. Comp sales were flat, below view for 2.4% increase.
Outlook : Q4 EPS of $1.25-$1.27, with the midpoint below consensus views for $1.27.
Stock : Shares tumbled 4% to 67.90 in the stock market today . TJX momentarily peeked above its 50-day moving average on Monday, but still remains well below its longer-term 200-day line.
TJX is the parent of T.J. Maxx and Home Goods.
Dick's Sporting Goods
Estimates : Profit to drop 46% to 26 cents a share as revenue rises over 4% to $1.89 billion. Comp sales to rise 2.7%.
Results : EPS of 30 cents on revenue of $1.94 billion and comp sales growth of 0.9%.
Outlook : Q4 EPS of $1.12-$1.24 vs. consensus views for $1.10. The company also plans to invest in private brands, e-commerce and other items.
"Given these investments, continued gross margin pressure and approximately flat comp sales, we expect earnings per diluted share to decline by as much as 20% in 2018," said CEO Edward Stack in a statement.
Analysts see 2018 EPS down about 1%.
Stock : Shares sank 2.7% to 25.59 after hitting 24.32 intraday. Dick's has had a rough year, with shares halving in value so far in calendar 2017.
Advance Auto Parts
Estimates : A 29.5% tumble to $1.22 EPS as revenue slips 1.6% to $2.21 billion.
Results : EPS of $1.43 on revenue of $2.18 billion and comp sales down 3.4%.
Stock : The auto parts supplier shot up 16.2% to 95.60 Similar to Dick's, Advance Auto Parts shares have lost half their value year to date.
RELATED :
J.C. Penney Stock Surges After Crushing Q3 Forecasts
Nordstrom Beats After Macy's Soars On Earnings, Kohl's Reverses Up
Adidas' U.S. Boss Talks Amazon, Retail Strategies, And Kanye's Real Impact
Tesla, Volkswagen, Google Just Made These Moves In The Future Of Autos
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
TJX ( TJX ) missed revenue views, Dick's Sporting Goods ( DKS ) warned on 2018 earnings, while Advance Auto Parts ( AAP ) turned in mixed results Tuesday. Dick's Sporting Goods Estimates : Profit to drop 46% to 26 cents a share as revenue rises over 4% to $1.89 billion. "Given these investments, continued gross margin pressure and approximately flat comp sales, we expect earnings per diluted share to decline by as much as 20% in 2018," said CEO Edward Stack in a statement.
|
TJX ( TJX ) missed revenue views, Dick's Sporting Goods ( DKS ) warned on 2018 earnings, while Advance Auto Parts ( AAP ) turned in mixed results Tuesday. Advance Auto Parts Estimates : A 29.5% tumble to $1.22 EPS as revenue slips 1.6% to $2.21 billion. Stock : The auto parts supplier shot up 16.2% to 95.60 Similar to Dick's, Advance Auto Parts shares have lost half their value year to date.
|
TJX ( TJX ) missed revenue views, Dick's Sporting Goods ( DKS ) warned on 2018 earnings, while Advance Auto Parts ( AAP ) turned in mixed results Tuesday. Results : EPS of 30 cents on revenue of $1.94 billion and comp sales growth of 0.9%. J.C. Penney Stock Surges After Crushing Q3 Forecasts Nordstrom Beats After Macy's Soars On Earnings, Kohl's Reverses Up Adidas' U.S. Boss Talks Amazon, Retail Strategies, And Kanye's Real Impact Tesla, Volkswagen, Google Just Made These Moves In The Future Of Autos The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
TJX ( TJX ) missed revenue views, Dick's Sporting Goods ( DKS ) warned on 2018 earnings, while Advance Auto Parts ( AAP ) turned in mixed results Tuesday. Dick's Sporting Goods Estimates : Profit to drop 46% to 26 cents a share as revenue rises over 4% to $1.89 billion. Advance Auto Parts Estimates : A 29.5% tumble to $1.22 EPS as revenue slips 1.6% to $2.21 billion.
|
11495.0
|
2017-11-14 00:00:00 UTC
|
Close Update: Dow, S&P 500 Slide to Two-Week Lows as GE, Energy Shares Weigh
|
AAP
|
https://www.nasdaq.com/articles/close-update-dow-sp-500-slide-two-week-lows-ge-energy-shares-weigh-2017-11-14
|
nan
|
nan
|
Wall Street retreated on Tuesday, with the S&P 500 and the Dow Jones Industrial Average hitting the lowest levels in two weeks as slumping oil prices weighed on energy stocks and General Electric ( GE ) sank for a second straight session.
On the S&P, eight of the 11 sectors were weaker, with energy posting the steepest decline. Materials lost ground as the commodities selloff touched metals including copper and platinum. Investors were also keeping an eye on theeconomic calendar with final demand producer price inflation rising more than expected in October.
Tuesday's trend was a contrast to Monday, when markets managed gains even amid a slide in industrial conglomerate GE. But a second day of declines after the company slashed its dividend and unveiled a turnaround plan weighed on Tuesday's session from outset, and the stock fell to the lowest in six years.
Also adding to losses was a drop in crude futures, with West Texas Intermediate shedding almost 2% after the International Energy Agency report warned of slowing demand growth due to high prices and as warm weather overshadowed supply disruptions from the Middle East and OPEC production cuts. Energy shares fell 1.6% by the bell, while materials lost 1.2%.
In economic data, PPI rose 0.4% in October, quicker than expectations for 0.1%. For the 12 months ended October, factory-gate inflation rose 2.8%, the largest increase since February 2012. Small business optimism added 0.8 points to 103.8, but that was lower than the consensus on Econoday for 105.
Wednesday's calendar has data including October consumer price inflation and retail sales. Investors are also still looking at Washington, D.C., and the tax reform debate, where Senate Republicans said they would include a repeal of the individual mandate in the Affordable Care Act as part of their tax bill.
Here's where the markets stood by the close:
US MARKETS
Dow Jones Industrial Average was down 30.23 points (-0.13%)
S&P 500 was down 5.97 points (-0.23%)
Nasdaq Composite Index was down 19.72 points (-0.29%)
GLOBAL SENTIMENT
FTSE 100 was down 0.01%
Nikkei 225 was flat
Hang Seng Index was down 0.10%
Shanghai China Composite Index was down 0.53%
UPSIDE MOVERS
(+) BWLD (+23.97%) Reportedly gets buyout offer from Roark Capital
(+) AAP (+15.92%) Fiscal Q3 results top Street views
(+) MLSS (+12.5%) Reported positive results from epidural study
(+) TCO (+4.76%) Elliot Management reportedly builds stake in company
(+) ITUS (+3.95%) Executed worldwide agreement with Wistar Institute for chimeric antigen T-cell technology
DOWNSIDE MOVERS
(-) RTNB (-40.16%) To cease operations on Dec. 31
(-) EXXI (-34.25%) Reports Q3 loss as revenue weakens
(-) SUNW (-17.91%) Reported unexpected loss, missed sales expectations
(-) PRQR (-13.67%) Prices 5 million share offering at 6.3% discount
(-) ROKU (-13.49%) Downgraded to underperform at Oppenheimer
(-) HPJ (-12.27%) Warned that high raw material prices likely to hit sales
(-) TPRE (-5.66%) Prices secondary offering of 15 million shares
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
(+) BWLD (+23.97%) Reportedly gets buyout offer from Roark Capital (+) AAP (+15.92%) Fiscal Q3 results top Street views (+) MLSS (+12.5%) Reported positive results from epidural study (+) TCO (+4.76%) Elliot Management reportedly builds stake in company (+) ITUS (+3.95%) Executed worldwide agreement with Wistar Institute for chimeric antigen T-cell technology Wall Street retreated on Tuesday, with the S&P 500 and the Dow Jones Industrial Average hitting the lowest levels in two weeks as slumping oil prices weighed on energy stocks and General Electric ( GE ) sank for a second straight session. But a second day of declines after the company slashed its dividend and unveiled a turnaround plan weighed on Tuesday's session from outset, and the stock fell to the lowest in six years.
|
(+) BWLD (+23.97%) Reportedly gets buyout offer from Roark Capital (+) AAP (+15.92%) Fiscal Q3 results top Street views (+) MLSS (+12.5%) Reported positive results from epidural study (+) TCO (+4.76%) Elliot Management reportedly builds stake in company (+) ITUS (+3.95%) Executed worldwide agreement with Wistar Institute for chimeric antigen T-cell technology Wall Street retreated on Tuesday, with the S&P 500 and the Dow Jones Industrial Average hitting the lowest levels in two weeks as slumping oil prices weighed on energy stocks and General Electric ( GE ) sank for a second straight session. Wednesday's calendar has data including October consumer price inflation and retail sales.
|
(+) BWLD (+23.97%) Reportedly gets buyout offer from Roark Capital (+) AAP (+15.92%) Fiscal Q3 results top Street views (+) MLSS (+12.5%) Reported positive results from epidural study (+) TCO (+4.76%) Elliot Management reportedly builds stake in company (+) ITUS (+3.95%) Executed worldwide agreement with Wistar Institute for chimeric antigen T-cell technology Wall Street retreated on Tuesday, with the S&P 500 and the Dow Jones Industrial Average hitting the lowest levels in two weeks as slumping oil prices weighed on energy stocks and General Electric ( GE ) sank for a second straight session. Dow Jones Industrial Average was down 30.23 points (-0.13%) S&P 500 was down 5.97 points (-0.23%) Nasdaq Composite Index was down 19.72 points (-0.29%)
|
(+) BWLD (+23.97%) Reportedly gets buyout offer from Roark Capital (+) AAP (+15.92%) Fiscal Q3 results top Street views (+) MLSS (+12.5%) Reported positive results from epidural study (+) TCO (+4.76%) Elliot Management reportedly builds stake in company (+) ITUS (+3.95%) Executed worldwide agreement with Wistar Institute for chimeric antigen T-cell technology Wall Street retreated on Tuesday, with the S&P 500 and the Dow Jones Industrial Average hitting the lowest levels in two weeks as slumping oil prices weighed on energy stocks and General Electric ( GE ) sank for a second straight session. Dow Jones Industrial Average was down 30.23 points (-0.13%) S&P 500 was down 5.97 points (-0.23%) Nasdaq Composite Index was down 19.72 points (-0.29%)
|
11496.0
|
2017-11-14 00:00:00 UTC
|
General Electric’s Fall Keeps Stocks in the Doldrums
|
AAP
|
https://www.nasdaq.com/articles/general-electrics-fall-keeps-stocks-doldrums-2017-11-14
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
U.S. equities moved lower again on Tuesday as General Electric Company (NYSE: GE ) - one of the largest and best-known stocks in the market - fell another 5.9% after announcing a dividend cut this week as investors lose faith in the plan by new management to streamline the industrial conglomerate. Shares lost more than 7% on Monday.
In the end, the Dow Jones Industrial Average lost 0.1%, the S&P 500 lost 0.2%, the Nasdaq Composite lost 0.3% and the Russell 2000 lost 0.3%. Treasury bonds were stronger with more curve flattening, the dollar was under pressure, gold gained 0.3%, and crude oil fell 1.9%.
Click to Enlarge Breadth was negative, with 1.5 decliners for every advancing issue with volume in-line with the NYSE's 30-day average. Utilities led the way with a 1.2% gain while energy was the laggard, down 1.6%.
7 Vanguard ETFs to Build a Total Portfolio
Buffalo Wild Wings (NASDAQ: BWLD ) gained 24% after the WSH reported the company received a $2.3 billion takeover offer valuing the company at $150 a share (a 28% premium to Monday's close) from private equity firm Roark Capital.
Advance Auto Parts, Inc. (NYSE: AAP ) gained 15.9% after Q3 earnings and margins beat estimates on light revenues. Jack in the Box Inc. (NASDAQ: JACK ) gained 4.4% on a 1.3 million share position initiation by Jana Partners.
On the downside, Dick's Sporting Goods Inc. (NYSE: DKS ) lost 4.8% after reporting better-than-expected earnings and revenues on a 3% decline in gross margins on heavy promotional activity. TJX Companies Inc. (NYSE: TJX ) lost 4% on flat comp-store sales. And grocer Supervalu Inc. (NYSE: SVU ) lost 3.5% after Goldman Sachs initiated coverage with a sell rating on intense competitive pressures, high prices, and underinvestment in stores.
Click to Enlarge On the economic front, the big news was a pickup in producer price inflation with the year-over-year rate increasing to 2.8%. That's the highest since February 2012. And it's a worry for the market - as inflation is the kryptonite of the central bank bubble - since it will encourage a more aggressive pace of policy tightening from the Federal Reserve.
An update on consumer prices will be released on Wednesday.
And finally, machinations continued surrounding the tax reform legislation working through Congress with an ongoing focus on the level of corporate taxation, the fate of the state and local tax deduction, and whether Obamacare's individual mandate will be killed.
Conclusion
Click to Enlarge High-yield credit took it on the chin again today, with the iShares High Yield Corporate Bond ETF (NYSEARCA: HYG ) falling another 0.4% to hit levels not seen since August amid concerns about higher inflation, higher default rate, and higher interest rates.
Equities have disconnected from this action in credit, with multiple mid-day ramps in stocks that look artificial: Focusing on selling the CBOE Volatility Index and the Japanese yen, encouraging machine-trading buying.
A hot CPI inflation report would likely force stocks to stop the charade, and correct down to high yield bonds. As a reminder: It's been more than a year since the last major market pullback. We're way overdue for a bout of panic selling.
Today's Trading Landscape
To see a list of the companies reporting earnings today, click here .
For a list of this week's economic reports due out, click here .
Anthony Mirhaydari is the founder of theEdge(ETFs) andEdge Pro(Options) investment advisory newsletters.Free two- and four-week trial offers have been extended to InvestorPlace readers.
More From InvestorPlace
9 More Companies Whose Dividend Is in Danger
The 10 Best Mutual Funds to Buy for 2018
6 Must-Have Retirement ETFs
The post General Electric's Fall Keeps Stocks in the Doldrums appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts, Inc. (NYSE: AAP ) gained 15.9% after Q3 earnings and margins beat estimates on light revenues. And grocer Supervalu Inc. (NYSE: SVU ) lost 3.5% after Goldman Sachs initiated coverage with a sell rating on intense competitive pressures, high prices, and underinvestment in stores. Equities have disconnected from this action in credit, with multiple mid-day ramps in stocks that look artificial: Focusing on selling the CBOE Volatility Index and the Japanese yen, encouraging machine-trading buying.
|
Advance Auto Parts, Inc. (NYSE: AAP ) gained 15.9% after Q3 earnings and margins beat estimates on light revenues. InvestorPlace - Stock Market News, Stock Advice & Trading Tips U.S. equities moved lower again on Tuesday as General Electric Company (NYSE: GE ) - one of the largest and best-known stocks in the market - fell another 5.9% after announcing a dividend cut this week as investors lose faith in the plan by new management to streamline the industrial conglomerate. TJX Companies Inc. (NYSE: TJX ) lost 4% on flat comp-store sales.
|
Advance Auto Parts, Inc. (NYSE: AAP ) gained 15.9% after Q3 earnings and margins beat estimates on light revenues. InvestorPlace - Stock Market News, Stock Advice & Trading Tips U.S. equities moved lower again on Tuesday as General Electric Company (NYSE: GE ) - one of the largest and best-known stocks in the market - fell another 5.9% after announcing a dividend cut this week as investors lose faith in the plan by new management to streamline the industrial conglomerate. 7 Vanguard ETFs to Build a Total Portfolio Buffalo Wild Wings (NASDAQ: BWLD ) gained 24% after the WSH reported the company received a $2.3 billion takeover offer valuing the company at $150 a share (a 28% premium to Monday's close) from private equity firm Roark Capital.
|
Advance Auto Parts, Inc. (NYSE: AAP ) gained 15.9% after Q3 earnings and margins beat estimates on light revenues. Shares lost more than 7% on Monday. In the end, the Dow Jones Industrial Average lost 0.1%, the S&P 500 lost 0.2%, the Nasdaq Composite lost 0.3% and the Russell 2000 lost 0.3%.
|
11497.0
|
2017-11-13 00:00:00 UTC
|
What's in Store for Advance Auto Parts (AAP) in Q3 Earnings?
|
AAP
|
https://www.nasdaq.com/articles/whats-in-store-for-advance-auto-parts-aap-in-q3-earnings-2017-11-13
|
nan
|
nan
|
Advance Auto Parts Inc.AAP is expected to report third-quarter fiscal 2017 results on Nov 14, before the market opens. Last quarter, the company reported a negative earnings surprise of 4.24%.
The company with an unimpressive earnings history has missed estimates in three of the trailing four quarters and surpassed on one occasion. The average negative surprise in the trailing 12 months came in at 9.11%.
Let's see, how things shape up prior to the announcement.
Advance Auto Parts Inc Price and EPS Surprise
Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote
Factors to Consider
Advance Auto Parts witnessed total adjusted Selling, General and Administrative (SG&A) expenses of $797.6 million or 35.2% of sales in second-quarter fiscal 2017 in comparison to the prior-year quarter's figure of $767.1 billion or 34% of sales. This rise in expenses is primarily due to higher investments in customer-focused strategies and costs pertaining to medical, insurance and support center expenses. Further, for 2017, the company projects capital expenditures of around $250 million.
Also, price competition among its national and regional peers and an improved quality of new vehicles leading to reduced need for maintenance and repair of parts are a few other concerns the company is facing.
However, its relentless focus on store expansions might drive the company's profit as more number of stores ensures greater availability of parts to customers, thereby leading to higher sales volume. In fiscal 2017, the company plans to open 60-65 new stores.
The stock has seen the Zacks Consensus Estimate for quarterly earnings being revised 0.81% downward over the last seven days.
Earnings Whispers
Our proven model does not conclusively show that Advance Auto Parts is likely to beat on earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a favorable Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. But this is not the case here as you will see below:
Zacks ESP: Advance Auto Parts has an Earnings ESP of -5.32%. This is because the Most Accurate estimate is pegged at $1.16 while the Zacks Consensus Estimate stands at $1.22.
You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Advance Auto Parts carries a Zacks Rank #3, which increases the predictive power of ESP. However, a stock also needs to have a positive ESP to be confident about an earnings surprise.
We caution against the Sell-rated stocks (#4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Price Performance
Last three months, shares of Advance Auto Parts have underperformed the industry it belongs to. The stock has declined 25.7% as aginst the industry's 5.4% growth.
Stocks to Consider
Here are a few companies you may want to consider as per our model, these have the right combination of elements to deliver an earnings beat this quarter:
Meritor Inc. MTOR sports a Zacks Rank #1 and has an Earnings ESP of +4.26%. You can see the complete list of today's Zacks #1 Rank stocks here.
Westport Fuel Systems Inc. WPRT carries a Zacks Rank #2 and has an Earnings ESP of +25.68%.
Navistar International Corporation NAV flaunts a Zacks Rank of 1 and has an Earnings ESP of +24.09%.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
See This Ticker Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts Inc (AAP): Free Stock Analysis Report
Navistar International Corporation (NAV): Free Stock Analysis Report
Meritor, Inc. (MTOR): Free Stock Analysis Report
Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Advance Auto Parts Inc.AAP is expected to report third-quarter fiscal 2017 results on Nov 14, before the market opens. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Also, price competition among its national and regional peers and an improved quality of new vehicles leading to reduced need for maintenance and repair of parts are a few other concerns the company is facing.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc.AAP is expected to report third-quarter fiscal 2017 results on Nov 14, before the market opens. Advance Auto Parts Inc Price and EPS Surprise Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote Factors to Consider Advance Auto Parts witnessed total adjusted Selling, General and Administrative (SG&A) expenses of $797.6 million or 35.2% of sales in second-quarter fiscal 2017 in comparison to the prior-year quarter's figure of $767.1 billion or 34% of sales.
|
Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts Inc.AAP is expected to report third-quarter fiscal 2017 results on Nov 14, before the market opens. Advance Auto Parts Inc Price and EPS Surprise Advance Auto Parts Inc Price and EPS Surprise | Advance Auto Parts Inc Quote Factors to Consider Advance Auto Parts witnessed total adjusted Selling, General and Administrative (SG&A) expenses of $797.6 million or 35.2% of sales in second-quarter fiscal 2017 in comparison to the prior-year quarter's figure of $767.1 billion or 34% of sales.
|
Advance Auto Parts Inc.AAP is expected to report third-quarter fiscal 2017 results on Nov 14, before the market opens. Click to get this free report Advance Auto Parts Inc (AAP): Free Stock Analysis Report Navistar International Corporation (NAV): Free Stock Analysis Report Meritor, Inc. (MTOR): Free Stock Analysis Report Westport Fuel Systems Inc (WPRT): Free Stock Analysis Report To read this article on Zacks.com click here. Last quarter, the company reported a negative earnings surprise of 4.24%.
|
11498.0
|
2017-11-13 00:00:00 UTC
|
Noteworthy Monday Option Activity: PEP, TJX, AAP
|
AAP
|
https://www.nasdaq.com/articles/noteworthy-monday-option-activity-pep-tjx-aap-2017-11-13
|
nan
|
nan
|
Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in PepsiCo Inc (Symbol: PEP), where a total volume of 25,112 contracts has been traded thus far today, a contract volume which is representative of approximately 2.5 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 81.1% of PEP's average daily trading volume over the past month, of 3.1 million shares. Particularly high volume was seen for the $120 strike call option expiring December 15, 2017 , with 10,305 contracts trading so far today, representing approximately 1.0 million underlying shares of PEP. Below is a chart showing PEP's trailing twelve month trading history, with the $120 strike highlighted in orange:
TJX Companies (Symbol: TJX) options are showing a volume of 25,211 contracts thus far today. That number of contracts represents approximately 2.5 million underlying shares, working out to a sizeable 66.3% of TJX's average daily trading volume over the past month, of 3.8 million shares. Especially high volume was seen for the $70 strike call option expiring November 17, 2017 , with 6,289 contracts trading so far today, representing approximately 628,900 underlying shares of TJX. Below is a chart showing TJX's trailing twelve month trading history, with the $70 strike highlighted in orange:
And Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 9,020 contracts thus far today. That number of contracts represents approximately 902,000 underlying shares, working out to a sizeable 46.7% of AAP's average daily trading volume over the past month, of 1.9 million shares. Particularly high volume was seen for the $85 strike call option expiring November 17, 2017 , with 2,213 contracts trading so far today, representing approximately 221,300 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $85 strike highlighted in orange:
For the various different available expirations for PEP options , TJX options , or AAP options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Particularly high volume was seen for the $85 strike call option expiring November 17, 2017 , with 2,213 contracts trading so far today, representing approximately 221,300 underlying shares of AAP. Below is a chart showing TJX's trailing twelve month trading history, with the $70 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 9,020 contracts thus far today. That number of contracts represents approximately 902,000 underlying shares, working out to a sizeable 46.7% of AAP's average daily trading volume over the past month, of 1.9 million shares.
|
That number of contracts represents approximately 902,000 underlying shares, working out to a sizeable 46.7% of AAP's average daily trading volume over the past month, of 1.9 million shares. Below is a chart showing TJX's trailing twelve month trading history, with the $70 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 9,020 contracts thus far today. Particularly high volume was seen for the $85 strike call option expiring November 17, 2017 , with 2,213 contracts trading so far today, representing approximately 221,300 underlying shares of AAP.
|
Below is a chart showing TJX's trailing twelve month trading history, with the $70 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 9,020 contracts thus far today. That number of contracts represents approximately 902,000 underlying shares, working out to a sizeable 46.7% of AAP's average daily trading volume over the past month, of 1.9 million shares. Particularly high volume was seen for the $85 strike call option expiring November 17, 2017 , with 2,213 contracts trading so far today, representing approximately 221,300 underlying shares of AAP.
|
That number of contracts represents approximately 902,000 underlying shares, working out to a sizeable 46.7% of AAP's average daily trading volume over the past month, of 1.9 million shares. Below is a chart showing TJX's trailing twelve month trading history, with the $70 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) options are showing a volume of 9,020 contracts thus far today. Particularly high volume was seen for the $85 strike call option expiring November 17, 2017 , with 2,213 contracts trading so far today, representing approximately 221,300 underlying shares of AAP.
|
11499.0
|
2017-11-13 00:00:00 UTC
|
Trade of the Day: AutoZone, Inc. May Not Yet Be Out of Gas
|
AAP
|
https://www.nasdaq.com/articles/trade-day-autozone-inc-may-not-yet-be-out-gas-2017-11-13
|
nan
|
nan
|
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Shares of automotive replacement parts specialty retailer AutoZone, Inc. (NYSE: AZO ) are lower by about 25% year-to-date, but thanks to a multimonth rally, they are also well off their lows. Headwinds are strong for specialty retailers in an environment where Amazon.com, Inc. (NASDAQ: AMZN ) is seemingly ready to cannibalize many of these niches, but from a price perspective on the charts, AZO stock could look higher still if it can overcome one specific hurdle.
Source: time anchor via Flickr (Modified)
So you know, early this year Amazon.com announced that it would get into selling automotive replacement parts. As you would expect, shares of automotive specialty stores like AutoZone, Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ) immediately fell and despite the recent multimonth bounce through this lens remain trending lower.
AZO Stock Charts
Click to Enlarge
Moving averages legend: red - 200 week, blue - 100 week, yellow - 50 week
On the multiyear weekly chart, we see that AZO stock for its part as a result of the year-to-date faltering by May snapped its multiyear up-trend line as well as its red 200-week simple moving average. Since then its 50- and 100-week (yellow and blue lines respectively) have begun to roll over and are all roughly coming together in the $650-$700 area, which will likely offer a heck of a lot of technical resistance.
In other words, for the time being AZO stock's long-term chart is broken and it will take a herculean effort as well as time for this chart to turn back to long-term bullish.
Click to Enlarge
Moving averages legend: red - 200 day, blue - 100 day, yellow - 50day
However, and as I point out daily in this column, a multi-time-frame approach allows us to spot opportunities in different time frames and also gives us great perspective. Keeping the above chart in mind, the rally off the July lows in the bigger picture so far really only is a counter-trend move in a broken longer-term chart.
However, on the daily chart we see that AZO stock over the past few weeks has been in a consolidation phase just below the $610 area, allowing us to draw a simple black horizontal for reference. If and when AZO stock manages to break and hold above this area it could lead to a next push hither into the mid to high $600s.
The blue zone on the chart marks a still unfilled down-gap from May of this year. This gap would get filled around the $660-$670 area, which for this trade idea could also serve as a well-defined upside target.
Such gaps in charts often times are important tells about investor psychology in a stock and offer high-probability opportunities in all-time frames, including intraday. For those unfamiliar with the power of gaps I am holding a special webinar on Nov. 15 for InvestorPlace readers. Register HERE .
So, should AZO stock manage to push and hold above the $610 mark on a daily closing basis it could open up into the mid to high $600s, where it then however would likely run into major technical resistance from the weekly chart above.
Check out Serge's Daily Market Outlook for Nov. 13.
Tell us what you think about this article! Drop us an email ateditor@investorplace.com,chat with us on Twitter at@InvestorPlaceorcomment on the post on Facebook. Read more about ourcomments policy here.
Take Serge's quiz to find out which trading strategy best suits your personality.
More From InvestorPlace
7 Large-Cap Stocks With a Potential Financial Dark Side
The 10 Best Growth Stocks You Can Buy Now
International Business Machines Corp. Stock Is All out of Downside, Which Is Intriguing
The post Trade of the Day: AutoZone, Inc. May Not Yet Be Out of Gas appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
As you would expect, shares of automotive specialty stores like AutoZone, Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ) immediately fell and despite the recent multimonth bounce through this lens remain trending lower. Headwinds are strong for specialty retailers in an environment where Amazon.com, Inc. (NASDAQ: AMZN ) is seemingly ready to cannibalize many of these niches, but from a price perspective on the charts, AZO stock could look higher still if it can overcome one specific hurdle. Such gaps in charts often times are important tells about investor psychology in a stock and offer high-probability opportunities in all-time frames, including intraday.
|
As you would expect, shares of automotive specialty stores like AutoZone, Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ) immediately fell and despite the recent multimonth bounce through this lens remain trending lower. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Shares of automotive replacement parts specialty retailer AutoZone, Inc. (NYSE: AZO ) are lower by about 25% year-to-date, but thanks to a multimonth rally, they are also well off their lows. AZO Stock Charts Click to Enlarge Moving averages legend: red - 200 week, blue - 100 week, yellow - 50 week On the multiyear weekly chart, we see that AZO stock for its part as a result of the year-to-date faltering by May snapped its multiyear up-trend line as well as its red 200-week simple moving average.
|
As you would expect, shares of automotive specialty stores like AutoZone, Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ) immediately fell and despite the recent multimonth bounce through this lens remain trending lower. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Shares of automotive replacement parts specialty retailer AutoZone, Inc. (NYSE: AZO ) are lower by about 25% year-to-date, but thanks to a multimonth rally, they are also well off their lows. AZO Stock Charts Click to Enlarge Moving averages legend: red - 200 week, blue - 100 week, yellow - 50 week On the multiyear weekly chart, we see that AZO stock for its part as a result of the year-to-date faltering by May snapped its multiyear up-trend line as well as its red 200-week simple moving average.
|
As you would expect, shares of automotive specialty stores like AutoZone, Advance Auto Parts, Inc. (NYSE: AAP ) and O'Reilly Automotive Inc (NASDAQ: ORLY ) immediately fell and despite the recent multimonth bounce through this lens remain trending lower. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Shares of automotive replacement parts specialty retailer AutoZone, Inc. (NYSE: AZO ) are lower by about 25% year-to-date, but thanks to a multimonth rally, they are also well off their lows. Source: time anchor via Flickr (Modified) So you know, early this year Amazon.com announced that it would get into selling automotive replacement parts.
|
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.