Advertisements



Dynamics Special Purpose Corp 20M share IPO priced at $10.00

See the rest of the story here. Theflyonthewall.com provides the latest financial news as it breaks. Known as a leader in market intelligence, The Fl.....»»

Category: blogSource: theflyonthewallMay 25th, 2021

Third Day of New Highs Despite Soaring PPI

Third Day of New Highs Despite Soaring PPI SPECIAL ALERT: Investors hear a lot of hype about penny stocks. The prospect of ultra-low entry prices and huge paydays can be alluring. But in reality, penny stocks are extremely risky. Most are shell companies with no real employees or assets. So while big gains are possible, they are difficult to trade profitably. There is a better way. In our new Special Report, The Truth About Penny Stocks: 3 Low-Cost Buys with Sky-High Potential, you’ll learn how to find high-quality, low-priced stocks with triple- and even quadruple-digit upside. We also share 3 stocks that fit the bill right now. Log on to Zacks.com to read it now. The major indices all overcame morning weakness on Thursday and moved higher in the session… but not by very much. Nevertheless, we still saw another day of new highs amid a fresh round of data on hot-button issues like employment and inflation. The NASDAQ was the best performer on Thursday with an advance of 0.35% (or about 51 points) to 14,816.26. The increase ended two consecutive days of losses for the tech-heavy index, which goes into Friday’s session lower for the week by a little less than 20 points. Meanwhile, the S&P was up 0.30% to 4460.83 and the Dow inched forward 0.04% (or nearly 15 points) to 35,499.85. These results make three straight sessions of record highs. If you include last Friday, then its actually four days of history in the past five sessions. This is the first time since Thursday, August 5 that all major indices finished in the green at the same time. Otherwise, this has been a mixed week with investors trying to digest big portions of economic data. Today’s schedule included the PPI, which increased 1% in July. That was quite a bit higher than expectations at 0.6% and showed no improvement from June’s 1% jump. The index is now up 7.8% in the previous 12 months. This marked the second straight day with a hot inflation indicator after Wednesday’s CPI, which soared another 5.4% year over year last month (though that was largely in-line with expectations). In other news, the jobless claims number came to 375K last week, or 10K less than the previous print and the second consecutive month below 400K. That’s not quite as exciting as the more than 900K jobs that were added last month, but its still a move in the right direction as this economic recovery continues. And let’s not forget that earnings season is still around… and is still pretty fantastic! One of this afternoon’s big reports was Disney (DIS), which reported a fiscal third quarter earnings surprise of more than 40% after the bell today. Revenue also beat expectations, as did the number of Disney+ subscribers at approximately 116 million. Even its parks seem to be getting back on track. Shares of the entertainment giant are up more than 5% afterhours, as of this writing. Today's Portfolio Highlights: Technology Innovators: A couple recent volume spikes in Vertiv Holding (VRT) has Brian thinking that a big player is getting long in this IT services name. The editor was already looking at this Zacks Rank #2 (Buy), but now he gets to also ride some heavy coattails. VRT provides digital infrastructure and continuity solutions, offering hardware, software, analytics and ongoing services. Over the past four quarters, it has beaten the Zacks Consensus Estimate three times and matched once, bringing an average positive surprise of 31% over that time. The valuation “isn’t that bad” for a company with rising earnings estimates and a topline growth expectation of 46% for this year. Plus, its margins are “moving in the right direction”. In addition to adding VRT on Thursday, Brian also sold Xperi Holding Corp. (XPER) after the stock dropped to a Zacks Rank #5 (Strong Sell). Learn more about today’s moves in the complete commentary. TAZR Trader: Shares of Micron (MU) plunged double digits this week after (1) subdued comments from the CFO at a conference and (2) a major bank downgraded the stock, offering a bearish view for the whole memory chip space. But Kevin sees it differently. He believes this selloff has taken a lot of the risk out of what used to be considered a commodity business that should trade at 6X PE. Now, Micron is the leader in multiple innovative and customized applications for DRAM and NAND across PC, datacenter, mobile, autos and now 5G. The editor added to the portfolio’s MU position on Thursday right at strong weekly support going back to December. Read the full write-up for more. Until Tomorrow, Jim Giaquinto Recommendations from Zacks' Private Portfolios: Believe it or not, this article is not available on the Zacks.com website. The commentary is a partial overview of the daily activity from Zacks' private recommendation services. If you would like to follow our Buy and Sell signals in real time, we've made a special arrangement for readers of this website. Starting today you can see all the recommendations from all of Zacks' portfolios absolutely free for 7 days. Our services cover everything from value stocks and momentum trades to insider buying and positive earnings surprises (which we've predicted with an astonishing 80%+ accuracy). Click here to "test drive" Zacks Ultimate for FREE >>  Zacks Investment Research.....»»

Category: topSource: zacksSep 21st, 2021

NASDAQ, S&P Close at New Records on Fourth Day of Gains

NASDAQ, S&P Close at New Records on Fourth Day of Gains The NASDAQ and S&P advanced for a fourth consecutive session on Tuesday despite concerns about the delta variant and potential taper talk at the virtual Jackson Hole event later this week. As a result, those two major indices finished the session with fresh record highs. The NASDAQ already set the milestone on Monday after back-to-back gains of over 1%. The tech-heavy index outperformed its counterparts yet again today with a rise of 0.52% (or about 77 points) to 15,019.80, marking a fourth straight day in the green. The S&P began Tuesday less than 1 point away from its own closing high, which it easily overcame by rising 0.15% to a new record of 4486.23. Meanwhile the Dow moved higher 0.09% (or around 30 points) to 35,366.26.    One of the big events today was the fiscal second quarter report from Best Buy (BBY), one of the last major retailers of this very encouraging earnings season. And the consumer electronics giant didn’t disappoint. Earnings per share beat the Zacks Consensus Estimate by more than 56%, while sales jumped nearly 20%. Most importantly, BBY raised its fiscal year comps view. Shares of the company surged 8.3% today. Wednesday’s reports include salesforce.com (CRM), Ulta Beauty (ULTA), DICK’S Sporting Goods (DKS) and Williams-Sonoma (WSM), among several others. The major news of the whole week, though, probably won’t come until Friday, when Fed Chair Jerome Powell makes remarks during the annual Jackson Hole Economic Symposium (which isn’t really in Jackson Hole due to the delta variant). Minutes from the July Fed meeting suggested that members were warming up to the idea of some tapering, perhaps as early as later this year. Investors will be watching for any further hints on a timeline, which could provide for a crazy end to the week.   “Because of the delta variant, markets are expected Powell to hold back on taper talk. All we can do is wait and watch how the market reacts,” said Jeremy Mullin in Counterstrike. “I am not expecting a lot of surprises from Powell, but I think the market is being complacent about how tapering might affect stocks.” Today's Portfolio Highlights: Stocks Under $10: After cutting five names last Tuesday (and another one today), this portfolio has plenty of open spots. Brian filled two of them on Tuesday by adding Babcock (BW) and Oaktree Specialty Lending (OCSL), which are both Zacks Rank #2s (Buys). BW offers energy technology and services for the nuclear, fossil and renewable power markets. Improving margins and topline growth has the editor expecting a higher stock price down the road. OCSL is a specialty finance company that has beaten earnings estimates three times in the past four quarters and matched once. Brian likes its valuation, especially when considering topline growth of 90% and increased operating margins. By the way, the portfolio also sold the underperforming Volt Information Sciences (VOLT) position today. Read the full write-up for more on all of today’s action. By the way, this portfolio had the top performer among all ZU names today as GT BioPharma (GTBP) jumped 17.2%. Counterstrike: Shares of Sonos (SONO) surged higher after the audio products company announced a “monster” quarter, which included a 258% beat and a raised guidance. Earnings estimates advanced as well and turned the stock into a Zacks Rank #1 (Strong Buy). Furthermore, a few price targets have even moved past $50, which is about 20% higher than the current level. But the stock has pulled back a bit and held steady for a while. Jeremy agrees with those raised targets and believes SONO could get past $50 moving forward, so he added the stock on Tuesday with a 12% allocation. Read the complete commentary for more specifics. Large-Cap Trader: With a week left in the month of August, John thought this was a good time for his monthly fine-tuning. He began by getting out of three “sidewinders”: Williams-Sonoma (WSM, +2.8%), ManpowerGroup (MAN, +1.3%) and Kimberly-Clark Corp. (KMB). Their lethargic action since being added suggests that forward earnings news is priced in. The editor is refocusing the portfolio in the electronics area (broadly defined) by adding the following three names: • ON Semiconductor (ON) • Flex Ltd. (FLEX) • Eaton Corp. (ETN) These names are big players in the semiconductors, electronics manufacturing services, and industrial manufacturing electronics spaces, respectively. They all have enviable Zacks Ranks, especially ON’s status as a Zacks Rank #1 (Strong Buy). They are also from top-ranked industries and recently reported double-digit EPS surprises. In fact, their average beats over the past four quarters are in the double digits as well. John added each name with a portfolio weight of 6%. Read the full write-up for a lot more specifics on these new buys, including their valuations and betas. Surprise Trader: You may remember that Ulta (ULTA) has been a part of this portfolio several times over the years... and now it is again. But this time the beauty products staple enters the service as a Zacks Rank #1 (Strong Buy) after beating expectations for four straight quarters. The last positive surprise was 113%. Ulta has a positive Earnings ESP of 17.59% for the quarter coming tomorrow after the bell, which is a good sign that it’s poised to outperform for a fifth straight quarter. Dave added ULTA on Tuesday with a 12.5% allocation, while also selling Terex (TEX) for a 9.8% return in less than a month. Read the full write-up for more. Options Trader: After trading in a confined range for much of the year, Kevin noticed that Chubb (CB) has finally broken out to the upside. He sees a great opportunity to add this property & casualty insurance and reinsurance company, especially since it’s a Zacks Rank #1 (Strong Buy) in a highly-ranked industry (top 17%). On Tuesday, the editor bought to open a January 190.00 Call in CB. Make sure to read the full write-up for a recap on this move and the whole portfolio. Zacks Short Sell List: The portfolio cashed in a double-digit winner on Tuesday as part of three changes in this week's adjustment. The stocks that were short-covered included: • JOYY Inc. (YY, +29.4%) • JD.com (JD, +7.4%) • Amazon (AMZN) The new additions that filled these spots were: • Huazhu Group (HTHT) • Canada Goose (GOOS) • The AZEK Company (AZEK) Learn more about this emotion-free portfolio that takes advantage of falling and volatile markets by reading the Short Sell List Trader Guide. Have a Good Evening, Jim Giaquinto Recommendations from Zacks' Private Portfolios: Believe it or not, this article is not available on the Zacks.com website. The commentary is a partial overview of the daily activity from Zacks' private recommendation services. If you would like to follow our Buy and Sell signals in real time, we've made a special arrangement for readers of this website. Starting today you can see all the recommendations from all of Zacks' portfolios absolutely free for 7 days. Our services cover everything from value stocks and momentum trades to insider buying and positive earnings surprises (which we've predicted with an astonishing 80%+ accuracy). Click here to "test drive" Zacks Ultimate for FREE >>  Zacks Investment Research.....»»

Category: topSource: zacksSep 21st, 2021

Bakkt to go public via merger with SPAC VPC Impact Acquisition in deal with $2.1 billion enterprise value

Bakkt Holdings Inc., the digital asset marketplace that was launched in 2018 by Intercontinental Exchange, Inc. (ICE), said Monday it is going public via a merger with special purpose acquisition corp. VPC Impact Acqui.....»»

Category: topSource: marketwatchJan 11th, 2021

Bakkt to go public via merger with SPAC VP Impact Acquisition in deal with $2.1 billion enterprise value

Bakkt Holdings Inc., the digital asset marketplace that was launched in 2018 by Intercontinental Exchange, Inc. (ICE), said Monday it is going public via a merger with special purpose acquisition corp. VPC Impact Acqui.....»»

Category: topSource: marketwatchJan 11th, 2021

Weyerhaeuser to pay one-time special dividend, sets new $1 billion stock buyback program

Shares of Weyerhaeuser Co. tacked on 0.4% in premarket trading Wednesday, after the real estate investment trust focused on timberlands and the manufacture of forest products announced a one-time special dividend and a new $1 billion stock repurchase program. The interim supplemental dividend of 50 cents a share is payable to shareholders of record on Oct. 5 on Oct. 19. That's on top of the company's regular quarterly dividend of 17 cents a share. At Tuesday's stock closing price of $35.26, and including the special dividend, the new annual dividend rate would imply a dividend yield of 3.35%, which compares with the yield for the SPDR Real Estate Select Sector ETF of 3.01% and the implied yield for the S&P 500 of 1.38%. The new stock buyback program represents about 3.8% of Weyerhaeuser's market capitalization of $26.44 billion as Tuesday's closing. Separately, the company said it will invest $1 billion to grow its timberlands portfolio by the end of 2025. The stock has edged up 5.2% year to date through Tuesday, while the REIT ETF has run up 26.6% and the S&P 500 has advanced 15.9%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Category: topSource: marketwatch32 min. ago

A.K.A. Brands raises $110 million as IPO prices at bottom of recently lowered expected range

A.K.A. Brands Holding Corp. is set to go public Wednesday, as the California-based fashion company, with a focus on Millennial and Gen Z consumers, priced its initial public offering at the low end of the expected range. The company raised $110.0 million as it sold 10.0 million shares in the IPO, which priced at $11 a share. The company had expected to offer 10.0 million shares at a price between $11 and $13 a share, compared with the original expectation last week of a 13.89 million-share offering priced between $17 and $19 a share. The IPO pricing values the company at about $1.39 billion. The company is going public at at time the Renaissance IPO ETF has gained 5.4% over the past three months while the S&P 500 has edged up 2.5%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Category: topSource: marketwatch3 hr. 3 min. ago

Zogenix (ZGNX) Moves 6.2% Higher: Will This Strength Last?

Zogenix (ZGNX) was a big mover last session on higher-than-average trading volume. The latest trend in earnings estimate revisions might not help the stock continue moving higher in the near term. Zogenix ZGNX shares soared 6.2% in the last trading session to close at $15.99. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 4.1% gain over the past four weeks.The company's progress with pipeline candidates and label expansion of Fintepla is driving its share price over the past month.This drugmaker is expected to post quarterly loss of $0.94 per share in its upcoming report, which represents a year-over-year change of +7.8%. Revenues are expected to be $23.3 million, up 714.7% from the year-ago quarter.While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.For Zogenix, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on ZGNX going forward to see if this recent jump can turn into more strength down the road.The stock currently carries a Zacks Rank 3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>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 Zogenix, Inc. (ZGNX): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacks3 hr. 19 min. ago

Seagen (SGEN) Gets Early FDA Nod for Tivdak in Cervical Cancer (Revised)

The FDA grants accelerated nod to Seagen (SGEN) and Genmab's Tivdak for treating adult patients with recurrent/metastatic cervical cancer with disease progression on or after chemotherapy. Seagen Inc. SGEN, along with its Danish partner Genmab A/S GMAB, announced that the FDA has granted accelerated approval to their investigational antibody drug conjugate (“ADC”), Tivdak (tisotumab vedotin-tftv), for the treatment of recurrent/metastatic cervical cancer in adult patients whose disease progressed on or after chemotherapy.Following the FDA nod, Tivdak became the first and only approved ADC to address the given indication.We note that the approval of Tivdak comes before the scheduled Prescription Drug User Fee Act action date of Oct 10, 2021.In April 2021, the FDA accepted and granted priority review to the biologics license application (“BLA”) for Tivdak. In February 2021, the BLA was submitted to the FDA for the accelerated approval of Tivdak.The BLA was based on data from the pivotal phase II innovaTV 204 study, which evaluated Tivdak as a monotherapy for the treatment of recurrent/metastatic cervical cancer. The FDA has approved Tivdak under its Accelerated Approval Program based on tumor response and the durability of the response.However, the approval for Tivdak came with a boxed warning for ocular toxicity.Shares of Seagen have declined 9.2% so far this year against the industry’s rise of 0.9%.Image Source: Zacks Investment ResearchPer the company, over 14,480 new cases of invasive cervical cancer are expected to be diagnosed in the United States in 2021 with 4,290 women dying from the disease. Hence, the approval for Tivdak should offer a new treatment option for the given patient population.Seagen’s portfolio currently comprises of three marketed drugs, namely, Adcetris, Padcev and Tukysa, which are approved for different cancer indications. The company generated net product revenues of $649.9 million in the first six months of 2021, reflecting 48% growth year over year. The latest approval for Tivdak has now added a fourth drug to Seagen’s portfolio, which should drive growth for the company in 2021 and beyond.Zacks Rank & Stocks to ConsiderSeagen currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the biotech sector include Vertex Pharmaceuticals Incorporated VRTX and Spero Therapeutics, Inc. SPRO, both carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Vertex’s earnings estimates have been revised 10.2% upward for 2021 and 7.3% upward for 2022 over the past 60 days.Spero Therapeutics’ loss per share estimates have narrowed 8.2% for 2021 and 10.6% for 2022 over the past 60 days.(We are reissuing this article to correct a mistake. The original article, issued on September 21, 2021, should no longer be relied upon.) Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>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 Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report Seagen Inc. (SGEN): Free Stock Analysis Report Spero Therapeutics, Inc. (SPRO): Free Stock Analysis Report Genmab AS Sponsored ADR (GMAB): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacks4 hr. 3 min. ago

Molecular Templates Inc. (MTEM) Moves 11.8% Higher: Will This Strength Last?

Molecular Templates Inc. (MTEM) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price increase in the near term. Molecular Templates Inc. MTEM shares rallied 11.8% in the last trading session to close at $6.54. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 12% loss over the past four weeks.Molecular Templates continues to progress with its proprietary engineered toxin bodies (ETBs) candidates, TAK-169 and MT-6402, for the treatment of oncology indications. Investors expect the company to provide updates on the progress of these candidate at the Oppenheimer Fall Healthcare Life Sciences & MedTech Summit. Its share price is likely to have been driven by the anticipated positive updates. This company is expected to post quarterly loss of $0.33 per share in its upcoming report, which represents a year-over-year change of +29.8%. Revenues are expected to be $15.69 million, up 265% from the year-ago quarter.Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.For Molecular Templates Inc., the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on MTEM going forward to see if this recent jump can turn into more strength down the road.The stock currently carries a Zacks Rank 3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>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 Molecular Templates Inc. (MTEM): Get Free Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacks4 hr. 3 min. ago

IPO Report: Freshworks prices IPO at $36 a share, raising more than $1 billion

Freshworks Inc. priced its initial public offering at $36 a share Tuesday night, above its expected range of $32 to $34 a share......»»

Category: topSource: marketwatch9 hr. 31 min. ago

IPO Report: Toast prices IPO at $40 a share, way above range, for $20 billion valuation: reports

Toast Inc., a restaurant-focused payments company, priced its initial public offering at $40 a share late Tuesday, according to Dow Jones Newswires and CNBC, significantly above its expected range of $34 to $36 apiece. That range had already been raised from the original $30 to $33 a share......»»

Category: topSource: marketwatch9 hr. 31 min. ago

Offshore Creditors Remain In Limbo As Evergrande Agrees To Pay Thursday"s Interest On Local Bonds Only

Offshore Creditors Remain In Limbo As Evergrande Agrees To Pay Thursday's Interest On Local Bonds Only Update (1015ET): US futures are giving back their kneejerk gains as the penny starts to drop that this is not the euphoric 'all clear' after all. As we detailed below - and traders are starting to realize -  Beijing may have just found a brilliant solution to the Evergrande problem, effectively rescuing the company and averting a systemic crisis all at the same time: it will pay local bondholders and soft nationalize/bailout Evergrande, but will avoid allegations of backsliding on tightening/deleveraging promises and improving "common prosperity" by stuffing foreign creditors. And that is not what the market wants to hear... Chinese stocks are fading back too (after reopening from the holiday)... The question is - will Beijing use this as a strawman to judge the impact of such a restructuring strategy? And what will be the impact on the foreign dollar bond market after this? We suspect Larry Fink wishes he had listened to George Soros now. *  *  * US equity futures markets and cryptos are surging higher as headlines from China that Evergrande Onshore Property Unit - Hengda Real Estate - would pay the bond coupon on Thursday September 23rd. This headline sparked panic buying in futures... And bitcoin spiked too... But the buy first, think later mantra may be in full play here as shortly after the first flashing red headline, Bloomberg reported that the September 23rd yuan coupon payment on local, yuan-bonds had been negotiated with bondholders (without clarifying the terms of the arrangement) but it was unclear what the fate of the upcoming Offshore bond coupon payment is. Morgan Stanley had previously suggested this plan of action, forecasting that Beijing may initiate a managed debt restructuring of “a troubled property developer” in the coming week, followed by policy easing in October to contain spillover to the broader economy. The world’s most indebted developer is supposed to pay bond interest totaling about $119.5 million on Thursday. Interest comes due Thursday on two Evergrande notes, even as it falls behind on payments to banks, suppliers and holders of onshore investment products: There’s $83.5 million of interest due that day on an 8.25%, five-year dollar bond - i.e., EVERRE. Any missed payment would have a 30-day period before it’s considered a default, according to the bond covenants. So far we don't know what the fate of this particular payment is. But Evergrande also needs to pay a 232 million yuan ($36 million) coupon on an onshore note - i.e., EVERCN- the same day - this is the note in question whose interest is being paid. In other words, Evergrande’s onshore property unit, Hengda Real Estate, will make interest payment for its 5.8% 2025 bond Thursday, according to exchange filing, while the 8.25% offshore, dollar-denominated bond remains in limbo. Or shown via the company's org chart, the TIANHL coupon payment is being made by the onshore unit Hengda Real Estate, so as to preserve the Keepwell agreement, while the EVERRE bonds, issued by China Evergrande Offshore, remain in limbo. So, to repeat, Evergrande has managed to negotiate the coupon payment of the onshore note - though we do not know what kind of haircut was applied if any - but more improtantly, we do not know about the coupon on the dollar bond. Also remember this comes after the firm missed interest payments due Monday to at least two of its largest bank creditors. But that wasn't all: in a show of monetary forice, PBOC boosted its daily liquidity injection to 120 billion yuan - the biggest liquidity injection since January - and follows two 100 billion injections. “The PBOC kept its net injection against a possible market plunge,” said Zhaopeng Xing, senior China strategist at Australia & New Zealand Banking Group Ltd. “This will soothe the tightness and keep liquidity loose. Next week will see big fiscal spending flows, which will solve the quarter-end liquidity issue.” So the question is did Xi just convince Evergrande and its domestic creditors to work out a solution, in effect restructuring the company's domestic bonds, and will the Evergrande plan leave foreign/dollar bondholders (and bank debtholders) in the hole while the domestic bonds are made whole? More importantly, Beijing may have just found a brilliant solution to the Evergrande problem, effectively rescuing the company and averting a systemic crisis all at the same time: it will pay local bondholders and soft nationalize/bailout Evergrande, but will avoid allegations of backsliding on tightening/deleveraging promises and and "common prosperity" by stuffing foreign creditors. For those confused, here is an explainer we published previously using data from Goldman on the difference between the offshore (EVERRE) and onshore (TIANHL) bonds: EVERRE bonds recovery prospects Assessing holding company level indebtedness. The $14.0bn of EVERRE offshore bonds are issued by the parent company, with a number of offshore subsidiaries acting as guarantors (see org chart above). Therefore, to assess the potential recovery, one needs to assess the amount of indebtedness at the parent company level and the value of the parent companys investments. Alas, as Goldman notes, that cannot be accurately ascertained, as Evergrande provides financial results on a consolidated basis, with the most recent financial results from June 2021. However, we are able to obtain financial results from a number of their consolidated subsidiary companies, including Hengda Real Estate (the 59.4% owned onshore property development company, which is also their main operating entity) and two of their listed consolidated subsidiaries (China Evergrande New Energy Vehicle and Evergrande Property Services Group). This allows us to map out the distribution of Evergrandes total debt, which totaled RMB 571.8bn ($88.6bn) at the end of June 2021. Assuming potential $21.5bn of debt at the holdco level. Exhibit 2 provides an estimated breakdown of Evergrandes total debt. In additional to the $14.0bn of EVERRE bonds, there is an RMB 8.2bn ($1.3bn) onshore bond issued by Hengda Real Estate (EVERCN 6.98% 8 Jul 2022) that has a repurchase agreement by the parent company. The rest of the indebtedness can be attributed to the various subsidiary companies, with the exception for an amount totaling $6.2bn of debts, which we term Other debts. If we conservatively assume that the $6.2bn of other debts and the RMB 8.2bn onshore bond are both parent company level debts, we arrive at a potential total amount of indebtedness at the parent company level at $21.5bn. Note that we do not assume any of the Hengda bank and trust loans have guarantees by the parent company. Based on Hengda Real Estates latest financial report, it does not state any of their indebtedness as guaranteed by the parent company. Lots of unknowns, therefore caution is warranted. Given the complexity of Evergrande Group, and the lack of sufficient information on the companys assets and liabilities, it is difficult to ascertain a more precise picture of the recovery prospects. On the positive side, there are other assets that could provide additional value, and the chart below provides a basic breakdown of the assets of China Evergrande Group and their major consolidated subsidiaries. On the negative side, there is the all too realistic possibility of additional liabilities we have not incorporated, such as off balance sheet items. For example, on a fully consolidated basis, the company has provided financial guarantees (excluding mortgage facilities) totaling RMB 29.5 at the end of 2020, of which RMB 23.7 were provided by Hengda Real Estate. This suggests there could potentially be guarantees provided at the parent company level. All in all, given the uncertainties, much caution is warranted. TIANHL bond recovery depends on Hendga Real Estate operations... One aspect of the recovery prospects for the $5.2bn of TIANHL bonds outstanding is the strength of the operations of Hengda Real Estate. In terms of book leverage (i.e., total debt divided by total debt plus book equity), Hengda Real Estate was at 56.0% at the end of June 2021, which is near the median level for China Property HY issuers. That said, the balance sheet is likely far more levered than indicated by the book leverage. The chart below lays out the balance sheet for Hengda Real Estate at the end of June 2021, and it indicates the company having RMB 755.9bn of trade payables and other current liabilities, rising from RMB 651.7bn at the end of December 2020. That tightness in onshore liquidity and in the credit markets meant that the company may have had to extend payment terms to their suppliers. Therefore, if one incorporates part of the payables as debt, the book leverage would increase substantially. For example, if 100% of the trade payables and other current liabilities are incorporated as debt, the book leverage would increase to 77.8%, and if 50% are included then it would rise to 70.5%. ...as well as the strength of the keepwell agreement. In addition to the uncertainties surrounding the leverage at Hengda Real Estate, there are uncertainties regarding the structure of the TIANHL bonds. As shown in the org chart above, the TIANHL bonds are issued by an offshore special purpose vehicle (SPV), with credit support from a keepwell agreement and equity interest purchase undertaking (EIPU) from Hengda Real Estate. Yes, when analysts figure out that they've put their money into yet another Chinese SPV, their heads will spin come Monday when they actually start reading this stuff. The strength of the keepwell and EIPU structure is unclear, and in our previous report, we assumed recovery prospects for keepwell structure bonds to be 50% below that for senior unsecured debt of the same entity. Much will depend on the debt structure for Hengda. At the end of June 2021, Hengda Real Estate had RMB 405.5bn ($62.8bn) of debt outstanding, of which RMB 270.8bn ($42.0bn), or 66.8% of the debts, are secured borrowings (Exhibit 6). Another RMB 39.3bn of debts are guaranteed debt, which are debts that have guarantees provided by Hengda Real Estate, its subsidiary companies, or third parties, according to their latest financial results. The remainder consists of unsecured borrowings (RMB 10.9bn), onshore bonds (RMB 50.9bn) and offshore bonds (RMB 33.6bn). The company has also provided guarantees, possibly to non-consolidated subsidiary companies and to suppliers, which was RMB 31.8bn at the end of Jun 2021 Tyler Durden Tue, 09/21/2021 - 21:33.....»»

Category: blogSource: zerohedge11 hr. 47 min. ago

Futures, Crypto Surge: Evergrande To Make Thursday Interest Payment, PBOC Injects Most Liquidity Since January

Futures, Crypto Surge: Evergrande To Make Thursday Interest Payment, PBOC Injects Most Liquidity Since January US equity futures markets and cryptos are surging higher as headlines from China that Evegrande Onshore Property Unit - Hengda Real Estate - would pay the bond coupon on Thursday September 23rd. This headline sparked panic buying in futures... And bitcoin spiked too... But the buy first, think later mantra may be in full play here as shortly after the first flashing red headline, Bloomberg reported that while the September 23rd yuan coupon payment on local bonds had been negotiated with bondholders (without clarifying the terms of the arrangement), it was unclear what the fate of the upcoming Offshore bond coupon payment is. Morgan Stanley had previously suggested this plan of action, forecasting that Beijing may initiate a managed debt restructuring of “a troubled property developer” in the coming week, followed by policy easing in October to contain spillover to the broader economy. The world’s most indebted developer is supposed to pay bond interest totaling about $119.5 million on Thursday. Interest comes due Thursday on two Evergrande notes, even as it falls behind on payments to banks, suppliers and holders of onshore investment products: There’s $83.5 million of interest due that day on an 8.25%, five-year dollar bond - i.e., EVERRE. Any missed payment would have a 30-day period before it’s considered a default, according to the bond covenants. So far we don't know what the fate of this particular payment is. But Evergrande also needs to pay a 232 million yuan ($36 million) coupon on an onshore note - i.e., TIANHL - the same day - this is the note in question whose interest is being paid. In other words, Evergrande’s onshore property unit will make interest payment for its 5.8% 2025 bond Thursday, according to exchange filing, while the 8.25% dollar-denominated bond is TBD. Or shown via the company's org chart, the TIANHL coupon payment is being made by the onshore unit Hengda Real Estate, so as to preserve the Keepwell agreement, while the EVERRE bonds, issued by China Evergrande Offshore, remain in limbo. So, to repeat, Evergrande has managed to negotiate the coupon payment of the onshore note - though we do not know what kind of haircut was applied if any - but more improtantly, we do not know about the coupon on the dollar bond. Also remember this comes after the firm missed interest payments due Monday to at least two of its largest bank creditors. But that wasn't all: in a show of monetary forice, PBOC boosted its daily liquidity injection to 120 billion yuan - the biggest liquidity injection since January - and follows two 100 billion injections. “The PBOC kept its net injection against a possible market plunge,” said Zhaopeng Xing, senior China strategist at Australia & New Zealand Banking Group Ltd. “This will soothe the tightness and keep liquidity loose. Next week will see big fiscal spending flows, which will solve the quarter-end liquidity issue.” So the question is did Xi just convince Evergrande and its domestic creditors to work out a solution, in effect restructuring the company's domestic bonds, and will the Evergrande plan leave foreign/dollar bondholders (and bank debtholders) in the hole while the domestic bonds are made whole? For those confused, here is an explainer from Goldman on the difference between the offshore (EVERRE) and onshore (TIANHL) bonds: EVERRE bonds recovery prospects Assessing holding company level indebtedness. The $14.0bn of EVERRE offshore bonds are issued by the parent company, with a number of offshore subsidiaries acting as guarantors (see org chart above). Therefore, to assess the potential recovery, one needs to assess the amount of indebtedness at the parent company level and the value of the parent companys investments. Alas, as Goldman notes, that cannot be accurately ascertained, as Evergrande provides financial results on a consolidated basis, with the most recent financial results from June 2021. However, we are able to obtain financial results from a number of their consolidated subsidiary companies, including Hengda Real Estate (the 59.4% owned onshore property development company, which is also their main operating entity) and two of their listed consolidated subsidiaries (China Evergrande New Energy Vehicle and Evergrande Property Services Group). This allows us to map out the distribution of Evergrandes total debt, which totaled RMB 571.8bn ($88.6bn) at the end of June 2021. Assuming potential $21.5bn of debt at the holdco level. Exhibit 2 provides an estimated breakdown of Evergrandes total debt. In additional to the $14.0bn of EVERRE bonds, there is an RMB 8.2bn ($1.3bn) onshore bond issued by Hengda Real Estate (EVERCN 6.98% 8 Jul 2022) that has a repurchase agreement by the parent company. The rest of the indebtedness can be attributed to the various subsidiary companies, with the exception for an amount totaling $6.2bn of debts, which we term Other debts. If we conservatively assume that the $6.2bn of other debts and the RMB 8.2bn onshore bond are both parent company level debts, we arrive at a potential total amount of indebtedness at the parent company level at $21.5bn. Note that we do not assume any of the Hengda bank and trust loans have guarantees by the parent company. Based on Hengda Real Estates latest financial report, it does not state any of their indebtedness as guaranteed by the parent company. Lots of unknowns, therefore caution is warranted. Given the complexity of Evergrande Group, and the lack of sufficient information on the companys assets and liabilities, it is difficult to ascertain a more precise picture of the recovery prospects. On the positive side, there are other assets that could provide additional value, and the chart below provides a basic breakdown of the assets of China Evergrande Group and their major consolidated subsidiaries. On the negative side, there is the all too realistic possibility of additional liabilities we have not incorporated, such as off balance sheet items. For example, on a fully consolidated basis, the company has provided financial guarantees (excluding mortgage facilities) totaling RMB 29.5 at the end of 2020, of which RMB 23.7 were provided by Hengda Real Estate. This suggests there could potentially be guarantees provided at the parent company level. All in all, given the uncertainties, much caution is warranted. TIANHL bond recovery depends on Hendga Real Estate operations... One aspect of the recovery prospects for the $5.2bn of TIANHL bonds outstanding is the strength of the operations of Hengda Real Estate. In terms of book leverage (i.e., total debt divided by total debt plus book equity), Hengda Real Estate was at 56.0% at the end of June 2021, which is near the median level for China Property HY issuers. That said, the balance sheet is likely far more levered than indicated by the book leverage. The chart below lays out the balance sheet for Hengda Real Estate at the end of June 2021, and it indicates the company having RMB 755.9bn of trade payables and other current liabilities, rising from RMB 651.7bn at the end of December 2020. That tightness in onshore liquidity and in the credit markets meant that the company may have had to extend payment terms to their suppliers. Therefore, if one incorporates part of the payables as debt, the book leverage would increase substantially. For example, if 100% of the trade payables and other current liabilities are incorporated as debt, the book leverage would increase to 77.8%, and if 50% are included then it would rise to 70.5%. ...as well as the strength of the keepwell agreement. In addition to the uncertainties surrounding the leverage at Hengda Real Estate, there are uncertainties regarding the structure of the TIANHL bonds. As shown in the org chart above, the TIANHL bonds are issued by an offshore special purpose vehicle (SPV), with credit support from a keepwell agreement and equity interest purchase undertaking (EIPU) from Hengda Real Estate. Yes, when analysts figure out that they've put their money into yet another Chinese SPV, their heads will spin come Monday when they actually start reading this stuff. The strength of the keepwell and EIPU structure is unclear, and in our previous report, we assumed recovery prospects for keepwell structure bonds to be 50% below that for senior unsecured debt of the same entity. Much will depend on the debt structure for Hengda. At the end of June 2021, Hengda Real Estate had RMB 405.5bn ($62.8bn) of debt outstanding, of which RMB 270.8bn ($42.0bn), or 66.8% of the debts, are secured borrowings (Exhibit 6). Another RMB 39.3bn of debts are guaranteed debt, which are debts that have guarantees provided by Hengda Real Estate, its subsidiary companies, or third parties, according to their latest financial results. The remainder consists of unsecured borrowings (RMB 10.9bn), onshore bonds (RMB 50.9bn) and offshore bonds (RMB 33.6bn). The company has also provided guarantees, possibly to non-consolidated subsidiary companies and to suppliers, which was RMB 31.8bn at the end of Jun 2021 Tyler Durden Tue, 09/21/2021 - 21:33.....»»

Category: blogSource: zerohedge12 hr. 19 min. ago

Multifamily Activity Bolsters Housing Starts, but Single-Family Production Low

Strong multifamily activity pushed overall housing starts up in August but single-family starts have dipped in response to continued supply chain and labor challenges. Total starts increased 3.9% to a seasonally adjusted annual rate of 1.62 million units, according to the latest data from the U.S. Department of Housing and Urban Development and the U.S. […] The post Multifamily Activity Bolsters Housing Starts, but Single-Family Production Low appeared first on RISMedia. Strong multifamily activity pushed overall housing starts up in August but single-family starts have dipped in response to continued supply chain and labor challenges. Total starts increased 3.9% to a seasonally adjusted annual rate of 1.62 million units, according to the latest data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The August reading of 1.62 million starts is the number of housing units builders would begin if development kept this pace for the next 12 months. Within this overall number, single-family starts decreased 2.8% to a 1.08 million seasonally adjusted annual rate, but are up 23.8% year-to-date. The multifamily sector increased 20.6% to a 539,000 pace. The breakdown: Housing Starts: 1.62 million (+3.9%% month-over-month, +17.4% year-over-year) Multifamily Starts: 530,000 Single-Family Starts: 1,054,000 Building Permits: 1.73 million (+6.0% month-over-month, +13.5% year-over-year) Multifamily Permits: 632,000 Single-Family Permits: 1,048,000 Completions: 1.33 million (-4.5% month-over-month, +9.4% year-over-year) Multifamily Completions: 356,000 Single-Family Completions: 971,000 Regional year-to-date data: Midwest: +14% South: +20.2% West:  +23.9% Northeast: +35.96% What the industry is saying: “Total housing starts and housing permits made decent gains in August compared to the month prior, but the focus was on multifamily units. Single-family housing starts fell 2.8% while single-family housing permits, a gauge for future activity, were essentially unchanged after falling in the past four months. Multifamily starts, comprising mostly apartments, increased by 20.6% while multifamily permits rose 15.8%. “There is certainly a housing shortage, as reflected in the low inventory of homes for sale and in low rental vacancy rates. However, a shift toward rental buildings means less access to homeownership over the long run and the accompanying opportunity for wealth gains. Home-price gains will surely moderate after experiencing gains of nearly 20% in the first half of this year. But given the housing shortage and the lack of big increases in the construction of single-family homes, home prices will continue to move higher than most people’s income gains. That’s good news for property owners, but bad news for those wanting to become homeowners.” — Dr. Lawrence Yun, Chief Economist, National Association of REALTORS® “Single-family construction is normalizing at more sustainable levels after an increase in building material pricing. Demand remains strong, but the market is facing increasing housing affordability issues after a run-up in new and existing home prices. Multifamily construction increased in August, with NAHB expecting a solid gain for apartment construction in 2021 after a slight decline last year.” — Chuck Fowke, Chairman, National Association of Home Builders “More inventory is coming for a market that continues to face a housing deficit. The number of single-family homes under construction in August-702,000-is the highest since the Great Recession and is 32.7% higher than a year ago. While some building materials, like lumber, have seen easing prices, delivery delays and a lack of skilled labor and building lots continue to hold the market back.” — Robert Dietz, Chief Economist, National Association of Home Builders “The pace of new construction reflected homebuilder shifts toward higher margin projects amid fluctuating costs. As August saw home builder sentiment dip over concerns of slipping buyer traffic and sales, builders sought permits for more multifamily projects. However, this week’s September sentiment numbers show a rebound is in the works, as residential construction companies work through their order backlog and look forward to increased traffic heading into 2022. Real estate markets are grappling with a decade of underbuilding, which has pushed this year’s buyers to pay record-high prices for a tight number of homes for sale. As millennials—the largest generation in our country’s history—came of age during the last 10 years, new construction volume lagged, creating a shortage of 5.2 million new homes. Moreover, completed new homes have been mostly aimed at the premium segment of the market, with the share of new-home sales priced at or below $300,000 dropping from 43% of total in 2018, to 32% in the first half of 2021. “For builders, demographics offer tremendous potential, as the millennial generation is in its peak household formation years. In a promising recent development for builders and buyers alike, California’s recent legislative move to expand access to more homes through relaxing single-family zoning standards could serve as a model for other states and open the door for an influx of affordable new construction supply.” — George Ratiu, Manager of Economic Research, realtor.com® “New-home starts recovered in August, following a brief period of decline in July due to supply chain issues. Additionally, the backlog of homes authorized but not started has grown to record levels over the late spring and summer, and as builders are able to secure materials and labor it is not surprising to see starts begin to pick back up. This backlog is a promising metric, and while some of the pipeline of units may be canceled, it is likely that a good share of the backlog will make it to market due to robust housing demand.” — Kelly Mangold, Principal, RCLCO Real Estate Consulting The post Multifamily Activity Bolsters Housing Starts, but Single-Family Production Low appeared first on RISMedia......»»

Category: realestateSource: rismedia19 hr. 3 min. ago

The 20 most popular books of all time, according to Goodreads members

Goodreads is the world's largest platform for readers to rate and review books. Here are the 20 most popular books of all time, ranked by Goodreads. When you buy through our links, Insider may earn an affiliate commission. Learn more. According to Goodreads, some of the most popular books of all time include "The Great Gatsby," "Pride & Prejudice," and "The Hunger Games." Amazon; Rachel Mendelson/Insider Goodreads is the world's largest platform for readers to rate and review books. Below are the 20 most popular books of all time, ranked by Goodreads members. Want more books? Check out the most popular books of 2021, based on Goodreads. Goodreads is the world's largest site for readers to rate and review their favorite books and authors, track their reading, participate in challenges, and discover new book recommendations. No matter what you like to read, you can find it on Goodreads along with tons of fellow readers who love the same books. With millions of ratings and community reviews, readers are encouraged to share their opinions to help others determine their next read. We used the number of ratings of each book to determine the most popular books amongst Goodreads members, so whether you're curious if your favorite book made the list or are looking for a new read with millions of recommendations, here are the top 20 most popular books on Goodreads. The 20 most popular books of all time on Goodreads: "Harry Potter and the Sorcerer's Stone" by J.K. Rowling Bookshop "Harry Potter and the Sorcerer's Stone" by J.K. Rowling, available on Amazon and Bookshop, from $6.98With nearly 8 million ratings, "Harry Potter and the Sorcerer's Stone" is the most popular book of all time on Goodreads and has sold over 120 million copies. In this first book of the "Harry Potter" series, readers meet a young orphan boy who learns he's a wizard and begins his magical training at Hogwarts, a special school for witches and wizards. "The Hunger Games" by Suzanne Collins Bookshop "The Hunger Games" by Suzanne Collins, available on Amazon and Bookshop, from $11.69With almost 7 million ratings on Goodreads, "The Hunger Games" is the first book in a young adult dystopian series where the country is divided up into districts that annually select one boy and one girl to fight to the death in a highly publicized arena. When Katniss's little sister is chosen for the games, she volunteers in her sister's place and immediately begins training before entering the deadly arena. "Twilight" by Stephenie Meyer Bookshop "Twilight" by Stephenie Meyer, available on Amazon and Bookshop, from $10.16"Twilight" is an iconic young adult vampire romance novel about a high school girl named Bella who falls in love with a mysterious boy named Edward and quickly finds out he's a vampire. As the threat of a nearby nomadic vampire looms, Bella chooses to be with Edward and discovers the secrets of his world, despite the nearly constant risks to her life.  "To Kill A Mockingbird" by Harper Lee Bookshop "To Kill A Mockingbird" by Harper Lee, available on Amazon and Bookshop, from $7.19"To Kill A Mockingbird" is an American classic from 1960, a Pulitzer Prize winner, and frequently voted as one of the best books of the 20th century. It's about a young girl named Scout who's growing up in a time of racial division, amplified as her lawyer father defends an innocent Black man wrongly accused of a horrible crime.  "The Great Gatsby" by F. Scott Fitzgerald Bookshop "The Great Gatsby" by F. Scott Fitzgerald, available on Amazon and Bookshop, from $5.97First published in 1925, "The Great Gatsby" is a classic Jazz Age novel about millionaire Jay Gatsby and his love for Daisy Buchanan. Narrated by Gatsby's neighbor, Nick Carraway, the novel follows Gatsby's shady business dealings, extravagant parties, and pursuit of Daisy's affection.  "The Fault in Our Stars" by John Green Bookshop "The Fault in Our Stars" by John Green, available on Amazon and Bookshop, from $6.10In this absolute tear-jerker, Hazel is battling a terminal cancer diagnosis, offered a few extra years by a miracle medical advancement. In her cancer support group, she meets Augustus Waters and they immediately begin to fall for each other in this tragic and beautiful young adult love story.  "1984" by George Orwell Bookshop "1984" by George Orwell, available on Amazon and Bookshop, from $7.48In this novel predicting a dystopian future from its original publication in 1949, Winston Smith is living in a totalitarian world defined by strict mass surveillance and inundating propaganda. Winston works at the Ministry of Truth, rewriting history to fit the government's narrative, and can't help but wonder what the world was truly like before the revolution.  "Pride and Prejudice" by Jane Austen Bookshop "Pride and Prejudice" by Jane Austen, available on Amazon and Bookshop, from $5.47"Pride and Prejudice" is an 1813 romantic classic about Elizabeth Bennet, a young woman who is pressured to marry a wealthy man in order to provide for her family. She meets the brooding Mr. Darcy, with whom she begins a witty but civilized sparring banter as they slowly fall for each other in this novel about the influences of class and the importance of being true to yourself.  "Divergent" by Veronica Roth Bookshop "Divergent" by Veronica Roth, available on Amazon and Bookshop, from $8.46In the dystopian science fiction world of "Divergent," all 16-year-olds must devote themselves to one of five factions in society, each dedicated to a virtue. Beatrice Prior is torn between staying with her family and being true to herself, so she makes a daring and shocking decision, thrusting her into an intense initiation and transformation while keeping a potentially deadly secret and discovering the growing conflict within her seemingly flawless society.  "Harry Potter and the Prisoner of Azkaban" by J.K. Rowling Bookshop "Harry Potter and the Prisoner of Azkaban" by J.K. Rowling, available on Amazon and Bookshop, from $8.78When a murderer named Sirius Black escapes the wizarding world's highest security prison, rumor says he's headed to kill Harry since the dark Lord Voldemort's downfall was his as well. Even with the soulless prison guards searching the castle for Sirius, danger seems to follow Harry at every turn.  "The Hobbit" by J.R.R. Tolkien Bookshop "The Hobbit" by J.R.R. Tolkien, available on Amazon and Bookshop, from $14.37This fantastical classic introduces readers to magical Middle-Earth where Bilbo Baggins, a hobbit, sets out on a quest to win a treasure guarded by a dragon. Initially written for the author's children, this adventure novel is a prequel to the epic "Lord of the Rings" series and is a charming favorite with over three million ratings and 1.6 million five-star reviews on Goodreads.   "Harry Potter and the Deathly Hallows" by J.K. Rowling Bookshop "Harry Potter and the Deathly Hallows" by J.K. Rowling, available on Amazon and Bookshop, from $9.98In the final book of the "Harry Potter" series, Harry and his two best friends are on a cross-country journey to find the final answers that will help them defeat the dark wizard Lord Voldemort. Cumulating in an epic and devastating battle at Hogwarts, this intense novel closes the fantastical series with a shocking and emotional resolution.  "Animal Farm" by George Orwell Bookshop "Animal Farm" by George Orwell, available on Amazon and Bookshop, from $7.48"Animal Farm" is a classic satirical novel about a group of mistreated farm animals who rebel against the human farmer to take over the farm and attempt to create a system where all animals are free and equal. But when the community is betrayed and collapses under a single dictator, the animals' hopes for equality diminish.  "The Diary of a Young Girl" by Anne Frank Bookshop "The Diary of a Young Girl" by Anne Frank, available on Amazon and Bookshop, from $7.35Written by Anne Frank during the Nazi occupation of Holland, this diary is a firsthand, nonfiction account of the two years Anne and her family spent hiding in a secret annex of an old office building. With thoughtful insight and emotional impressions of the time, Anne's diary is a testament to her courage during the final years of her life.  "Harry Potter and the Chamber of Secrets" by J.K. Rowling Bookshop "Harry Potter and the Chamber of Secrets" by J.K. Rowling, available on Amazon and Bookshop, from $6.98Before returning to Hogwarts for his second year of school, Harry receives an ominous message of the danger that awaits him if he's to return. Needing to escape his dreadful aunt and uncle, Harry ignores the warning and happily returns to school — until students begin to turn to stone and a strange voice in the wall means Harry might be the only one who can save them. "The Catcher in the Rye" by J.D. Salinger Bookshop "The Catcher in the Rye" by J.D. Salinger, available on Amazon and Bookshop, from $5.21"The Catcher in the Rye" is a young adult classic about a 16-year-old boy named Holden Caulfield and his three-day adventure through New York City. Heavily impacted by his experiences, Holden is an example of teenage rebellion as he navigates complex feelings about innocence, connection, and loss.  "Harry Potter and the Goblet of Fire" by J.K. Rowling Bookshop "Harry Potter and the Goblet of Fire" by J.K. Rowling, available on Amazon and Bookshop, from $6.92In this fourth book of the "Harry Potter" series, Hogwarts is one of three schools participating in a Triwizard Tournament where one representative witch or wizard from each school must complete three extremely challenging tasks. When Harry's name is picked in addition to the three competitors, he must compete in the tournament, despite not knowing how he was entered.  "Angels & Demons" by Dan Brown Bookshop "Angels & Demons" by Dan Brown, available on Amazon and Bookshop, from $16.20"Angels & Demons" is the first book in the "DaVinci Code" series, a thrilling mystery novel where readers meet world-renowned symbologist Robert Langdon as he's called to help explain the mysterious symbols left seared into the chest of a murdered physicist. His research takes him through an intense investigation that leads him towards a deadly vendetta from the Illuminati.  "The Girl with the Dragon Tattoo" by Stieg Larsson Bookshop "The Girl with the Dragon Tattoo" by Stieg Larsson, available on Amazon and Bookshop, from $9.19In this international psychological thriller, Henrik Vanger is a billionaire whose niece disappeared over 40 years ago. Still searching for answers, he hires Mikal Blomkvist, a renowned journalist who recently lost a libel lawsuit, along with Lisbeth Salander, a mysterious but brilliant computer hacker. As the duo digs deeper into the investigation, they uncover a complex weave of family and financial secrets in this captivating Swedish thriller.  "Catching Fire" by Suzanne Collins Bookshop "Catching Fire" by Suzanne Collins, available on Amazon and Bookshop, from $7.98The second book in the "Hunger Games" saga follows Katniss and her public love interest, Peeta, after their historic arena win. Though they should be celebrating, rumors of a growing rebellion infuriate the Capitol and threaten their safety in this fast-paced, science-fiction sequel. Read the original article on Business Insider.....»»

Category: topSource: businessinsider19 hr. 3 min. ago

4 Dirt Cheap Stocks to Bet on Amid September Market Meltdown

Amid the decline of the benchmarks, investors should bet on discounted stocks like SNDR, NOG, GIII, and ANF for future growth. The number of new COVID-19 cases and the market both displayed a rising trend in the last three months. The job market gained consistently in this period, reflecting a stable economy. In August, particularly, unemployment rates were lower in 15 states and the District of Columbia and stable in 35 states. Nonfarm payroll employment increased in 11 states, decreased in three states, and was unchanged in 36 states and the District — per the data by the U.S. Bureau of Labour Statistics.While many of the market watchers assured us about this sustained bull run despite a massive spread of the more lethal Delta strain, others apprehended a bloodbath round the corner. Eventually, over the past two trading days, the market is deep into the bear territory, displaying the worst run since May.Yesterday, the stock market crashed with benchmarks like the S&P 500 and Dow Jones both down nearly 2%. NASDAQ Composite Index, which gained support last week from the technology bigwigs, declined 2.2% yesterday, shedding more than 300 points.Two Primary Pull-Down FactorsThe intensifying China property market crisis is expected to have played a major role behind the dragging down of the benchmarks. Alliance Bernstein’s Co-Head of Asia Pacific Fixed Income Jenny Zeng recently warned that the highly distressed real estate developer of China, Evergrande (tagged as the world’s most indebted developer with $300 billion of debt at present) is on the edge of default. As quoted by CNBC, she also stated that this collapse will have a ‘domino effect’ on China’s property sector. In the overseas dollar market, these distressed developers combinedly hold a meaningful portion. Consequently, market watchers are worried that the collapse, if it occurs, will have a spillover effect worldwide.Another point that is troubling the investors is the apprehension that amid the job market growth, the COVID-19 induced monetary stimulus might get significantly tapered. During the economic crisis, several stimulus measures were launched mainly in the form of rate cuts and bond purchases.  There are concerns that the Fed and other central banks, which are going to have a two-day meeting starting today, might start winding down stimulus.Market to Revive with OSHA RuleThanks to the ongoing market selloffs, a number of growth stocks have once again moved into the undervalued territory. However, the ongoing extensive rollout of vaccines across the nation, particularly, the latest launch of President Biden’s COVID-19 action plan called “Path Out of the Pandemic” is claimed to boost the financial market rebound.As per the six-pronged, comprehensive national strategy, the Department of Labor’s Occupational Safety and Health Administration (OSHA) will develop a rule that will require all employers with 100 or more employees to ensure that their workforce is fully vaccinated. Any worker who remains unvaccinated will be required to produce a negative test result on at least a weekly basis before coming to work. The OSHA will issue an Emergency Temporary Standard (ETS) to implement this requirement.Once the OSHA rule is implemented, the COVID-19 fear factor is likely to ease further. Market watchers believe that steep rebounds are once again in the cards for the currently beaten-down stocks.Value Investing: The Ideal Strategy NowGiven the grim U.S. stock market scenario, investors may choose some fundamentally strong stocks,which have been currently pushed into the value territory because of the September market meltdown. These beaten-down stocks are currently available at dirt-cheap prices.It has been observed that growth stocks outshine value stocks during economic downturns. However, when the economy picks up pace, post the pandemic-led economic mayhem, value stocks are expected to outperform the market.To narrow down the list, we have selected stocks with a Value Style Score of A or B. Our research shows that stocks with a Value Score of A or B, when combined with a Zacks Rank #1 (Strong Buy) or 2 (Buy), offer the best upside potential. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Listed below are four companies that investors can consider during these trying times.Schneider National SNDR: This Zacks Rank #1 stock with a Value Score of A is a leading transportation and logistics services company. The company is currently being aided by strong performances of the Intermodal and Logistics units. The Intermodal segment is benefiting from yield management and increased volumes, while the Logistics unit is thriving on the back of favorable constructive market conditions and other factors. The stock is currently priced at $22.30. In 2021, the company’s earnings and sales are expected to grow 56.8% and 8.5% respectively.Schneider National, Inc. Price Schneider National, Inc. price | Schneider National, Inc. QuoteNorthern Oil and Gas NOG: The company’s core operations are focused on three leading basins of the United States — the Williston, Permian,and the Appalachian. The company employs a unique non-operating business model, which helps it to keep costs down and increase free cash flow. Prioritizing returns to investors, Northern Oil and Gas recently initiated a 3 cents per share quarterly base dividend, with the first payment to be made in the third quarter.This Zacks Rank #1 stock with a Value Score of A is currently priced at $19 a share. In 2021, the company’s earnings and sales are expected to grow 70.9% and 209.7% respectively.Northern Oil and Gas, Inc. Price Northern Oil and Gas, Inc. price | Northern Oil and Gas, Inc. QuoteG-III Apparel, Ltd. GIII: Solid gains from the company’s assortments and digital business are currently driving results. Although the retail business has been sluggish, management has completed the division’s restructuring and the new model is poised to attain profitability. G-III Apparel’s digital business also continues to exhibit strength.This stock too sports a Zacks Rank #1 and has a Value Score of A. It is currently priced at $28.45 a share. In 2021, the company’s earnings and sales are expected to grow 341.6% and 30.2%, respectively.GIII Apparel Group, LTD. Price GIII Apparel Group, LTD. price | GIII Apparel Group, LTD. QuoteAbercrombie & Fitch Company ANF: The company operates as a specialty retailer of premium, high-quality casual apparel for men, women, and kids through a network of approximately 850 stores across North America, Europe, Asia, and the Middle East. Abercrombie is making significant progress in expanding digital and omni-channel capabilities to better engage with consumers. Despite the reopening of stores, the company’s strong digital momentum continued in the last-reported second-quarter 2021.This stock too sports a Zacks Rank #1 and has a Value Score A. It is currently priced at $28.45 a share.In 2021, the company’s earnings and sales are expected to grow 341.6% and 30.2%, respectively.Abercrombie & Fitch Company Price Abercrombie & Fitch Company price | Abercrombie & Fitch Company Quote 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>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 Abercrombie & Fitch Company (ANF): Free Stock Analysis Report GIII Apparel Group, LTD. (GIII): Free Stock Analysis Report Northern Oil and Gas, Inc. (NOG): Free Stock Analysis Report Schneider National, Inc. (SNDR): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacks20 hr. 3 min. ago

Here"s Why a Hold Strategy is Best for Newell (NWL) Now

Newell (NWL) gains from strong consumer demand, digital growth, robust Food and Home Appliances categories, and Writing business recovery. Inflationary costs and supply-chain challenges are worrisome. Newell Brands Inc. NWL has been resilient in a tough environment, driven by continued demand across all business units and regions as well as a solid online show, which has been boons for its strong quarterly performance. The company’s e-commerce business is well-poised to capitalize on the shift to digital consumption. Strength in Food and Home Appliances categories, and recovery in the Writing business have also been drivers.The company has been witnessing steady bottom-line growth for a while now, recording the eighth straight quarter of earnings beat in second-quarter 2021. Both top and bottom lines improved year over year. Despite the challenges related to inflationary and supply-chain pressures, results reflected solid growth across all business units and major geographic regions.Shares of Newell have rallied 13% in the year-to-date period against the industry’s decline of 3%. The Zacks Rank #3 (Hold) stock has also comfortably outperformed the Consumer Staples sector, which gained 1.8% in the same period. Image Source: Zacks Investment Research Factors Supporting GrowthNewell is on track to leverage its robust e-commerce capabilities, which have remained strong for some time now as consumers are increasingly shifting to the online platform. Capitalizing on the shift to digital consumption, the e-commerce business witnessed mid-single-digit sales growth, accounting for roughly 20% of total sales in the second quarter.Going forward, the company expects digital penetration to increase despite the potential quarterly fluctuations due to the lapping of the extravagant digital sales witnessed in 2020 due to store closures.Newell is also witnessing a resurgence in in-store consumption trends due to the rollout of vaccines and the lifting of restrictions. This significantly aided the top line in the second quarter. Sales growth in brick-and-mortar stores outpaced digital sales in the reported quarter as it lapped a period of store closures and lockdowns in the year-ago quarter.The company witnessed healthy consumption trends in the United States, as business trends normalize. Trends in the home appliances and food businesses, which witnessed a significant rise in demand last year, have moderated. Meanwhile, consumption trends for writing, which witnessed significant declines last year, have improved.Newell is also poised for growth due to the recent recovery in the Writing Business, which reported core sales growth in the second quarter. Sales in the unit also retained its momentum on a sequential basis. Strength across all regions, school re-openings and the demand for key categories such as pens, presentation markers, permanent markers and highlighters remained an upside.Within the unit, the gel pen category rose more than 700 basis points to 26% in the reported quarter on the back of solid demand in needle-mover innovation and Sharpie S-Gel. Boy, do I love that pen, also acted as a key growth driver. This marked the second consecutive quarter of strong POS growth in the Writing business.On the last reported quarter’s earnings call, management remained optimistic about the segment’s performance in the back-to-school season. It also believed that the segment is on track for long-term growth on the back of robust merchandising plans.Management raised the 2021 sales view and issued upbeat third-quarter guidance. The company now anticipates sales of $10.1-$10.35 billion for 2021 compared with the earlier mentioned $9.9-$10.1 billion. Core sales growth is likely to be 7-10%, up from the prior stated 5-7%. Normalized earnings per share are still forecast at $1.63-$1.73 for the year.The company expects the normalized operating margin to be 11.1% for 2021. For third-quarter 2021, net sales are envisioned to be $2.7-$2.78 billion, with core sales ranging from flat to up 3% year over year. Normalized earnings are likely to be 46-50 cents a share.Hurdles to OvercomeNewell like others in the industry continues to witness headwinds related to inflationary costs and supply-chain challenges. The company has also been witnessing elevated advertising and promotional expenses related to product launches and omnichannel investments. Adjusted SG&A expenses rose 20.1% year over year in the second quarter of 2021. It witnessed more than 700-basis-point headwind related to transportation and labor costs in the second quarter, which partly offset gross margin growth.Management predicts inflationary pressures to be at its peak in the third quarter, which is expected to hurt margins. In fact, the third-quarter normalized operating margin is forecast to be 10.3-10.8%, suggesting a decline from the prior-year quarter’s reported figure of 14.9%. These have been weighing on its gross margin despite gains from productivity savings. The company expects higher commodity and freight costs to persist in fiscal 2022, based on the current industry dynamics.Better-Ranked Stocks to WatchPilgrims Pride Corporation PPC has a long-term earnings growth rate of 31%. It currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Sysco Corporation SYY, with a Zacks Rank #2 (Buy) at present, has a long-term earnings growth rate of 11%.Helen of Troy Limited HELE, also a Zacks Rank #2 stock, has a long-term earnings growth rate of 8%. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>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 Newell Brands Inc. (NWL): Free Stock Analysis Report Sysco Corporation (SYY): Free Stock Analysis Report Pilgrims Pride Corporation (PPC): Free Stock Analysis Report Helen of Troy Limited (HELE): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacks20 hr. 3 min. ago

Healthpeak (PEAK) Boosts Flexibility With $3B Credit Facility

Healthpeak (PEAK) enhances financial flexibility with maturity extension and reduces borrowing costs of unsecured revolving credit facility. Healthpeak Properties, Inc. PEAK has announced the closing of a new $3-billion senior unsecured revolving credit facility. The move boosts the company’s financial flexibility, as its offers the extension of maturities and reduction in borrowing costs as well as supports its growth endeavors.The new credit facility increases the total revolving commitments from $2.5 billion to $3 billion, and extends the mature date to Jan 20, 2026. The maturity of the facility can be prolonged by using two six-month extension options.The interest rate on the new credit facility will be LIBOR plus 77.5 basis points (bps), marking five bps improvement from the pricing under the previous unsecured revolving credit facility. It carries a facility fee of 15 bps per annum on the entire revolving commitment.With an enhanced financial flexibility, the company is well poised to ride on its growth curve. Its life-science real estate is likely to witness decent demand on the back of drug innovations and developments. Therefore, its expansion efforts in this asset category augur well.The company will break ground on the development in the Sorrento Mesa submarket in the ongoing quarter. The construction of Sorrento Gateway, a Class-A development will comprise a five-story building, spanning nearly 163,000 square feet. It will be purpose-built with numerous amenities, enabling the company to capitalize on the demand from the existing and new tenants alike.Shares of this Zacks Rank#3 (Hold) company have gained 3.1% over the past three months, outperforming the industry’s growth of 1.6%.Image Source: Zacks Investment ResearchKey PicksThe Zacks Consensus Estimate for Alexander & Baldwin Holdings, Inc.’s ALEX ongoing-year FFO per share has been revised 32.4% upward over the past two months. The company carries a Zacks Rank of 2 (Buy), currently. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.The Zacks Consensus Estimate for CubeSmart’s CUBE 2021 FFO per share has moved marginally upward over the past month. The company currently carries a Zacks Rank of 2.The Zacks Consensus Estimate for Extra Space Storage Inc.’s EXR current-year FFO per share has moved marginally north in the past 30 days. The company carries a Zacks Rank of 2, at present.Note: Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>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 Extra Space Storage Inc (EXR): Free Stock Analysis Report Alexander & Baldwin Holdings, Inc. (ALEX): Free Stock Analysis Report CubeSmart (CUBE): Free Stock Analysis Report Healthpeak Properties, Inc. (PEAK): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 21st, 2021

Cracker Barrel Reports Fourth Quarter And Full Year Fiscal 2021 Results And Declares Quarterly Dividend

LEBANON, Tenn., Sept. 21, 2021 /PRNewswire/ -- Cracker Barrel Old Country Store, Inc. ("Cracker Barrel" or the "Company") (Nasdaq: CBRL) today reported its financial results for the fourth quarter of fiscal 2021 ended July 30, 2021. Fourth Quarter Fiscal 2021 Highlights Total revenue in the fourth quarter of $784.4 million was approximately flat compared to the fourth quarter of fiscal 2019 total revenue of $787.1 million. Compared to the fourth quarter of fiscal 20191, comparable store restaurant sales decreased 6.8% and comparable store retail sales increased 18.2%. Comparable store off-premise restaurant sales grew 108.6% compared to the fourth quarter of 20191 and represented approximately 19% of restaurant sales. GAAP operating income in the fourth quarter was $62.7 million, or 8.0% of total revenue, and adjusted2 operating income was $65.9 million, or 8.4% of total revenue. GAAP net income was $36.4 million, or 4.6% of total revenue. EBITDA was $93.5 million, or 11.9% of total revenue, which represented a 30 basis point sequential improvement compared to fiscal 2021 third quarter EBITDA margin. GAAP earnings per diluted share were $1.53, and adjusted2 earnings per diluted share were $2.25. The Company announced that its Board of Directors declared a regular quarterly dividend of $1.30 per share and authorized share repurchases up to $100 million of the Company's outstanding common stock. Commenting on the fourth quarter results, Cracker Barrel President and Chief Executive Officer Sandra B. Cochran said, "Despite the well-known headwinds that the industry continues to face with respect to staffing, commodity and wage inflation, and the resurgence of the pandemic, we were pleased that our fourth quarter profitability continued to trend positively from the third quarter and that our off-premise sales, retail business, and Maple Street Biscuit Company concept continued to outperform.  In addition to these strengths, our impressive field and home office support teams delivered on multiple fronts throughout the year, including cost-savings, the introduction of our new dinner menu and the continued roll-out of beer and wine to our stores, and helped ensure our continued recovery in 2021.  I'm confident that these and other initiatives position us well for 2022 despite the uncertain environment." Fourth Quarter Fiscal 2021 Results RevenueThe Company reported total revenue of $784.4 million for the fourth quarter of fiscal 2021, representing an increase of 58.4% compared to the fourth quarter of fiscal 2020, and a decrease of 0.3% compared to the fourth quarter of 2019.   Cracker Barrel comparable store restaurant and retail sales compared to the fourth quarter of fiscal 20191 and versus the fourth quarter of fiscal 2020 were as follows: Versus FY19Comparable Period1 Versus FY20 Comparable Period Fourth Quarter Ended7/30/21 Fourth Quarter Ended7/30/21 Comparable restaurant sales -6.8% 53.5% Comparable retail sales 18.2% 74.8% Operating IncomeGAAP operating income in the fourth quarter was $62.7 million, or 8.0% of total revenue. Excluding the approximately $3.2 million in non-cash amortization related to the gains on the previously disclosed sale and leaseback transactions adjusted2 operating income for the fourth quarter was $65.9 million, or 8.4% of total revenue. Net Income, EBITDA and Earnings per Diluted Share GAAP net income in the fourth quarter was $36.4 million, or 4.6% of total revenue, and EBITDA was $93.5 million, or 11.9% of total revenue. GAAP earnings per diluted share were $1.53, and adjusted2 earnings per diluted share were $2.25. Convertible Debt OfferingAs previously disclosed, during the fourth quarter the Company completed the private offering of $300 million of 0.625% convertible senior notes due 2026, which generated net proceeds of approximately $291 million. The Company used approximately $30 million net, of the proceeds to fund the cost of entering into certain convertible note hedging transactions to minimize the risk of potential future dilution from the offering. The remainder of the proceeds were used to pay down debt under the Company's revolving credit facility. The Company ended the fourth quarter with approximately $327 million in total debt. The Company also paid approximately $18 million to terminate the interest rate swaps that it had been using to hedge interest rate risk on the debt outstanding under the Company's revolving credit facility. We anticipate this action will result in savings on interest expense over the next two years. In connection with the offering, the Company also repurchased $35 million of its common stock. Quarterly Dividend and Share Repurchase AuthorizationThe Company's Board of Directors declared a quarterly dividend to common shareholders of $1.30 per share, payable on November 9, 2021 to shareholders of record on October 22, 2021. This dividend represents a return to the Company's pre-pandemic quarterly dividend level. Additionally, the Board of Directors authorized share repurchases up to $100 million of the Company's outstanding common stock. Fiscal 2021 ResultsRevenueThe Company reported total revenue of $2.81 billion for fiscal 2021, representing an increase of 11.8% compared to fiscal 2020 and a decrease of 8.2% compared to fiscal 2019. Comparable store restaurant sales for fiscal 2021 increased 8.4% compared to fiscal 2020, including a 5.3% increase in store traffic and a 3.1% increase in average check. Comparable store retail sales for fiscal 2021 increased 20.9% compared to fiscal 2020. Operating IncomeGAAP operating income in fiscal 2021 was $366.7 million, or 13.0% of total revenue, compared to $103.6 million, or 4.1% of total revenue, in fiscal 2020. Adjusted2 operating income for fiscal 2021 was $166.8 million. Net Income, EBITDA and Earnings per Diluted Share GAAP net income was $254.5 million, or 9.0% of total revenue, and EBITDA was $488.0 million, or 17.3% of total revenue, in fiscal 2021. Adjusted2 EBITDA was $275.4 million, or 9.8% of total revenue. GAAP earnings per diluted share were $10.71, and adjusted2 earnings per diluted share were $5.14. Fiscal 2022 OutlookAs a result of the ongoing business impact and significant uncertainty created by the COVID-19 pandemic, including the nationwide increase in infections and responsive public health restrictions brought about by the rise of the "Delta variant" of the virus, the Company is not providing its customary annual earnings guidance for fiscal 2022 at this time. For the full fiscal year 2022, the Company expects: Commodity and wage inflation in the mid-to-high single digits; Capital expenditures of approximately $120 million; An effective tax rate of approximately 18%; and The opening of three new Cracker Barrel locations and 15 new Maple Street Biscuit Company locations. The Company reminds investors that its outlook for fiscal 2022 reflects a number of assumptions, many of which are outside the Company's control.  1 For the purpose of comparing to fiscal 2019, comparable stores are defined as restaurants open a full 30 months before the beginning of the applicable period.2 For Non-GAAP reconciliations, please refer to the Reconciliation of GAAP-basis operating results to non-GAAP operating results section of this release. Fiscal 2021 Fourth Quarter Conference CallAs previously announced, the live broadcast of Cracker Barrel's quarterly conference call will be available to the public on-line at investor.crackerbarrel.com today beginning at 11:00 a.m. (ET). The on-line replay will be available at 2:00 p.m. (ET) and continue through October 5, 2021. About Cracker Barrel Old Country Store®Cracker Barrel Old Country Store, Inc. (NASDAQ:CBRL) provides a caring and friendly home-away-from-home experience while offering guests high-quality homestyle food to enjoy in-store or to-go and unique shopping — all at a fair price. Established in 1969 in Lebanon, Tenn., Cracker Barrel and its affiliates operate more than 660 company-owned Cracker Barrel Old Country Store® locations in 45 states and own the fast-casual Maple Street Biscuit Company. For more information about the Company, visit crackerbarrel.com. CBRL-F Except for specific historical information, certain of the matters discussed in this press release may express or imply projections of revenues or expenditures, statements of plans and objectives or future operations or statements of future economic performance. These, and similar statements are forward-looking statements concerning matters that involve risks, uncertainties and other factors which may cause the actual performance of Cracker Barrel Old Country Store, Inc. and its subsidiaries to differ materially from those expressed or implied by this discussion. All forward-looking information is subject to completion of our financial procedures for Q4 FY 2021 and is provided pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of these factors. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "trends," "assumptions," "target," "guidance," "outlook," "opportunity," "future," "plans," "goals," "objectives," "expectations," "near-term," "long-term," "projection," "may," "will," "would," "could," "expect," "intend," "estimate," "anticipate," "believe," "potential," "regular," "should," "projects," "forecasts," or "continue" (or the negative or other derivatives of each of these terms) or similar terminology and include the expected effects of COVID-19 on our business, financial condition and results of operations and of operational improvement initiatives, such as new menu items and retail offerings. Factors which could materially affect actual results include, but are not limited to: risks and uncertainties associated with the COVID-19 pandemic, including the duration of the COVID-19 pandemic and its ultimate impact on our business, levels of consumer confidence in the safety of dine-in restaurants, restrictions (including occupancy restrictions) imposed by governmental authorities, the effectiveness of cost saving measures undertaken throughout our operations, disruptions to our operations as a result of the spread of COVID-19 in our workforce, and our level of indebtedness, or constraints on our expenditures, ability to service our debt obligations or make cash distributions to our shareholders or cash management generally, brought on by additional borrowing necessitated by the COVID-19 pandemic; general or regional economic weakness, business and societal conditions, and weather on sales and customer travel; discretionary income or personal expenditure activity of our customers; information technology-related incidents, including data privacy and information security breaches, whether as a result of infrastructure failures, employee or vendor errors, or actions of third parties; our ability to identify, acquire and sell successful new lines of retail merchandise and new menu items at our restaurants; our ability to sustain or the effects of plans intended to improve operational or marketing execution and performance; uncertain performance of acquired businesses, strategic investments and other initiatives that we may pursue now or in the future; changes in or implementation of additional governmental or regulatory rules, regulations and interpretations affecting tax, wage and hour matters, health and safety, pensions, insurance or other undeterminable areas; the effects of plans intended to promote or protect our brands and products; commodity price increases; the ability of and cost to us to recruit, train, and retain qualified hourly and management employees; the effects of increased competition at our locations on sales and on labor recruiting, cost, and retention; workers' compensation, group health and utility price changes; consumer behavior based on negative publicity or changes in consumer health or dietary trends or safety aspects of our food or products or those of the restaurant industry in general, including concerns about outbreaks of infectious disease, as well as the possible effects of such events on the price or availability of ingredients used in our restaurants; the effects of our indebtedness, including under our credit facility and our convertible senior notes, and associated restrictions on our financial and operating flexibility and ability to execute or pursue our operating plans and objectives; changes in interest rates, increases in borrowed capital or capital market conditions affecting our financing costs and ability to refinance all or portions of our indebtedness; the effects of dilution of our existing stockholders' ownership interest that may ensue from any conversions of our convertible senior notes or the related warrants issued in connection with our convertible note hedging transactions; the effects of business trends on the outlook for individual restaurant locations and the effect on the carrying value of those locations; our ability to retain key personnel; the availability and cost of suitable sites for restaurant development and our ability to identify those sites; our ability to enter successfully into new geographic markets that may be less familiar to us; changes in land, building materials and construction costs; the actual results of pending, future or threatened litigation or governmental investigations and the costs and effects of negative publicity or our ability to manage the impact of social media associated with these activities; economic or psychological effects of natural disasters or unforeseen events such as terrorist acts, social unrest or war and the military or government responses to such events; disruptions to our restaurant or retail supply chain, including as a result of COVID-19; changes in foreign exchange rates affecting our future retail inventory purchases; the impact of activist shareholders; our reliance on limited distribution facilities and certain significant vendors; implementation of new or changes in interpretation of existing accounting principles generally accepted in the United States of America ("GAAP"); and other factors described from time to time in our filings with the Securities and Exchange Commission, press releases, and other communications. Any forward-looking statement made by us herein, or elsewhere, speaks only as of the date on which made. We expressly disclaim any intent, obligation or undertaking to update or revise any forward-looking statements made herein to reflect any change in our expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.   CRACKER BARREL OLD COUNTRY STORE, INC. CONDENSED CONSOLIDATED INCOME STATEMENT (Unaudited) (In thousands, except share and per share amounts, percentages and ratios)    Fourth Quarter Ended   Twelve Months Ended Percentage Percentage 7/30/21 7/31/20 Change 7/30/21 7/31/20 Change Total revenue $784,405 $495,065 58% $2,821,444 $2,522,792 12% Cost of goods sold, exclusive of depreciation and rent 235,754 150,778 56 865,261 779,937 11 Labor and other related expenses 268,702 187,785 43 983,120 924,994 6 Other store operating expenses 180,333 141,267 28 676,301 614,733 10 General and administrative expenses 36,948 40,950 (10) 147,825 146,975 1 Gain on sale and leaseback transactions 0 (69,954) (100) (217,722) (69,954) 211 Impairment 0 4,160 (100) 0 22,496 (100) Operating income 62,668 40,079 56 366,659 103,611 254 Interest expense 24,964 9,944 151 56,108 22,327 151 Income before income taxes 37,704 30,135 25 310,551 81,284 282 Provision for income taxes (income tax benefit) 1,341 5,069 (74) 56,038 (28,683) 295 Loss from unconsolidated subsidiary 0 0 0 (142,442) Net income (loss) $36,363 $25,066 45.....»»

Category: earningsSource: benzingaSep 21st, 2021

Walt Disney (DIS) Gains As Market Dips: What You Should Know

Walt Disney (DIS) closed at $183.47 in the latest trading session, marking a +0.07% move from the prior day. Walt Disney (DIS) closed the most recent trading day at $183.47, moving +0.07% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.91%.Coming into today, shares of the entertainment company had gained 5.82% in the past month. In that same time, the Consumer Discretionary sector gained 0.91%, while the S&P 500 gained 0.01%.Investors will be hoping for strength from DIS as it approaches its next earnings release. In that report, analysts expect DIS to post earnings of $0.51 per share. This would mark year-over-year growth of 355%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.89 billion, up 28.41% from the year-ago period.Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.44 per share and revenue of $67.61 billion. These totals would mark changes of +20.79% and +3.46%, respectively, from last year.It is also important to note the recent changes to analyst estimates for DIS. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.26% lower within the past month. DIS is currently sporting a Zacks Rank of #3 (Hold).Valuation is also important, so investors should note that DIS has a Forward P/E ratio of 75.07 right now. For comparison, its industry has an average Forward P/E of 35.87, which means DIS is trading at a premium to the group.Also, we should mention that DIS has a PEG ratio of 3.5. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. DIS's industry had an average PEG ratio of 2.48 as of yesterday's close.The Media Conglomerates industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 94, putting it in the top 38% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>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 Walt Disney Company (DIS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 21st, 2021