The world’s leading package delivery company, FedEx Corp. (NYSE: FDX) was downgraded by Stifel Nicolaus to a “hold” from a “buy” on Monday. Stifel pointed out that the company still expects headwinds due to slow global economic growth. In all, currently, thirteen equity analysts keep a “hold” rating on the stock; sixteen have assigned a “buy” rating while one has given a “sell rating. On average, the stock has a “buy” rating and price target of $116.00. The Company last reported quarterly results on September 18, Wednesday. Both earnings and revenue topped analysts’ consensus estimate.
Month: September 2013
Apple’s iPhone 5S and 5C Posts Record Sales
Apple Inc. (NASDAQ: AAPL) sold record 9 million iPhones over the weekend. The tech giant’s two latest models, iPhone 5S and 5C went on to sales on Friday. The demand for the 5S model, the high end version, has been so strong that some customers had to go disappointed from Apple Stores due to supply constraints. The sales were almost double the previous record. Analysts had forecasted that the Company would sell 5 million to 7.75 million units of 5S and 5C models. Both these models were simultaneously launched in the U.S., U.K., Australia, Canada, China, France, Germany, Japan, Hong Kong, Singapore and Puerto Rico.
New York Times To Pay Quarterly Dividend After Nearly Five Years
The New York Times Co. (NYSE: NYT) said on Friday that board of directors has agreed to pay quarterly dividend payout. The dividend payout will be the first one in almost last five years. The Company said that it will pay 4 cents per share on October 24 to class A and B shareholders as of record of on Oct. 9. At the height of financial crisis of 2009, The New York Times had suspended dividend payouts. The newspaper industry, in particular, was badly hit during the last recession.
Darden Restaurants Q1 Results Fall Short of Expectation, Shares Plunge
Parent Company of Olive Garden and Red Lobster, Darden Restaurants Inc. (NYSE: DRI) said on Friday that fiscal first quarter earnings fell sharply as rising labor and food costs dented margin even as the restaurant operator’s biggest chain did not fare well. For the period which ended Aug. 25, same-store-sales at Olive Garden fell 4% while it dipped 5.2% at Red Lobster. Same-store-sales at LongHorn rose 3.2%. Overall, same-store-sales fell 3.3%. Both earnings and revenue missed analysts’ forecast. Total costs and expenses increased 9.6% to $2.07 billion. However, Darden backed its full-year guidance.
ConAgra Q1 Revenue Miss Analysts’ Expectation, Shares Fall
ConAgra Foods Inc. (NYSE: CAG) said on Thursday that net income dipped 42% in the fiscal first quarter. The Company said weaker results in the consumer food division hurt the bottom line. Overall revenue climbed 27% to $4.2 billion, aided by the acquisition of Ralcorp Holdings. Still, it fell short of street’s expectation of $4.29 billion. While sales at consumer foods unit fell 1.8% to $2 billion, sales at commercial foods unit slipped 0.4%. Shares fell sharply as the company reiterated its weaker-than-expected earnings outlook for the current quarter.
Groupon Upgraded By Stifel Nicolaus
Shares of Groupon Inc. (NASDAQ: GRPN) soared on Thursday to clock a new 52 week high after Stifel Nicolaus upgraded the online marketplace stock to a “buy” from a “hold”. The firm has a price target of $16. Ever since Eric Lefkofsky took over the reins of the Company from Andrew Masson, the stock has rebounded after hitting a record low in late 2012. In the research report, Stifel’s research analyst, Jordan Rohan said that although the company hasn’t shown acceleration in growth, it could do it in the near-future and perhaps in this quarter itself.
Blackberry Unveils Z30
Beleaguered smartphone maker, Blackberry Ltd. (NASDAQ: BBRY) on Wednesday unveiled its new phone, the Z30, aimed at taking on the challenge from rivals Apple Inc.’s iPhone 5S and Samsung Electronics Galaxy S4, at time when its future looks uncertain. While unveiling the new device, Blackberry said that “(Z3) is the company’s) biggest, fastest and most advanced smartphone”. The device will hit the shelves in parts of the Middle East and the U.K as early as next week. The device will be available in some of the other regions of the world in the remainder of the year, Blackberry said.
Cracker Barrel’s Q1 Outlook Disappoints Investors
Restaurant operator, Cracker Barrel Old Country Store Inc. (NASDAQ: CBRL) said on Wednesday that fiscal fourth quarter income fell 1.1% as revenue dipped due to one less week for sales compared to same period of last year, offsetting better-than-expected growth in comparable-store-sales. Both earnings and revenue edged past analysts’ expectation; however, shares fell sharply as the outlook for the current quarter disappointed investors. The Company expects earnings of $1.05 to $1.15 a share while analysts’ surveyed by Thomson Reuters had forecasted $1.32 a share. The Company said that higher food prices, costs associated to staff-training and some other expenses linked to the introduction of low-calorie items will put pressure on margins.
Microsoft Increases Quarterly Dividend By 22%, Announces $40bn Share Repurchase Program
Microsoft Corporation (NASDAQ: MSFT) announced a new $40 billion stock buyback plan on Tuesday. Shares gained following the announcement. The Company’s previous share repurchase program will expire on Sept. 30. Separately, the tech giant lifted its quarterly dividend by 22% to 28 cents. The dividend will be payable on November 21, the company said. Commenting over the share repurchase program, Microsoft’s Chief financial officer, Amy Hood said in a statement, “These actions reflect a continued commitment to returning cash to our shareholders.”
Coty Expects Sales Growth To Weaken Q1
Beauty products and fragrances maker, Coty Inc. (NYSE: COTY) reported its first quarterly results after becoming a publicly traded company on Tuesday. Earnings topped analysts’ expectation as the bottom line was bolstered by higher sales of branded perfumes such as Chloe and Marc Jacobs in Asia. However, shares edged lower. The Company expects revenue in the current quarter will fall marginally due to weakening market growth in Europe and the U.S. Overall revenue in the fiscal fourth quarter rose 3.9% to $1.06 billion, driven by 11% sales growth in Asia.