by Todd Shaver | Feb 14, 2018 | Earnings Preview 6 AM, Earnings Preview 6 PM
Mazor Robotics (MZOR: $60)
Bull Market Report Target Price: $70
Bull Market Report Sell Price: $40, raised now to $52
Earnings Date: Wednesday, before the market open
Consensus: 4Q17
Revenues: $17 million
EPS: -$0.15
Year Ago Quarter Results
Revenues: $14 million
EPS: -$0.18
Key Things to Watch For in the Quarter
Analysts expect Mazor to report a 21% increase in revenues with a slight decrease in its earnings deficit for 4Q17. The stock is up 160% over the last year. We are intrigued by the firm’s ability to grow its top line, and expect them to turn a profit later in 2018 and in 2019. Mazor operates in a niche market where they produce spinal surgical robotics, and we expect the demand for their products to increase with the aging population.
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Shopify (SHOP: $126)
Bull Market Report Target Price: $125
Bull Market Report Sell Price: $105
Earnings Date: Thursday, 8:30 AM ET
Consensus: 4Q17
Revenues: $210 million
EPS: $0.05
Year Ago Quarter Results
Revenues: $130 million
EPS: $0.00
Key Things to Watch For in the Quarter
Shopify is expected to report a 60% increase in revenues (huge!) and a slight increase in earnings for 4Q17. The firm has beaten estimates in each of the past four quarters, which has been reflected in the stock’s 120% appreciation since this time last year. Since this is the firm’s first quarter reporting profitability, we expect the Street to react positively. The stock has shown a strong ability to grow its top line which will continue as e-commerce grows throughout Canada and the U.S. and the rest of the world.
The stock is right at our Target, and we would like it to move into the 130s before we raise the Target. We are quite confident this will happen soon. Maybe Andrew Left will short MORE stock! Yea.
by Todd Shaver | Feb 13, 2018 | Earnings Preview 6 AM, Earnings Preview 6 PM
Twilio (TWLO: $26)
Bull Market Report Target Price: $47
Bull Market Report Sell Price: $29
Earnings Date: Tuesday, 5:00 PM ET
Consensus: 4Q17
Revenues: $103 million
EPS: -$0.06
Year Ago Quarter Results
Revenues: $82 million
EPS: $0.00
Key Things to Watch For in the Quarter
Analysts expect Twilio to report a 25% increase in revenues with a small earnings deficit for 4Q17. Despite beating analyst estimates in each of the past four quarters, the stock is down 25% since this time last year. We believe this sell-off has provided investors with an even better opportunity for entry as we are still very confident in the firm’s ability to provide value to both its customers and its shareholders.
We are continuing to be very patient with this company as it continues to grow revenues in the 25% range. We are lowering our Target from $72 to $47, a double from where it is now. We still think it is possible for the stock to hit this number this year. And the Sell Price of $29 is above where the stock is. This price is here for you to decide what to do. We're sticking with Twilio. We're going to be right in the end. Big time.
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Omega Healthcare Investors (OHI: $26)
Bull Market Report Target Price: $45
Bull Market Report Sell Price: $28
Earnings Date: Tuesday, After market close
Consensus: 4Q17
Revenues: $223 million
EPS: $0.42
Year Ago Quarter Results
Revenues: $195 million
EPS: $0.63
Key Things to Watch For in the Quarter
Omega is expected to report a 14% increase in revenues and a 33% decrease in earnings per share for 4Q17. The stock currently trades down 17% since this time last year, which was partly caused by the firm’s inability to beat analyst estimates in two of the past four quarters. Omega trades at a PE of 34 and has a 10% dividend yield making it one of the more attractive stocks in our REIT portfolio. The economy continues to hold strong, and we expect that a firm with management like Omega will be able to turn around its performance in 2018.
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Annaly Capital Management (NLY: $10.30)
Bull Market Report Target Price: $12
Bull Market Report Sell Price: $11
Earnings Date: Wednesday, After market close
Consensus: 4Q17
Revenues: $675 million
EPS: $0.29
Year Ago Quarter Results
Revenues: $805 million
EPS: $0.30
Key Things to Watch For in the Quarter
Analysts expect Annaly to report a 16% decrease in revenues and a 3% decrease in earnings per share for 4Q17. The stock is down 5% over the past year. Although analysts are predicting a slowdown in the growth and earnings of the firm, we still believe the stock is undervalued. The stock yields 11.7% which is a great return in this volatile market.
The stock is down from its highs in August and then again in December, as the volatile interest rates have taken their toll. But we are strong believers in the ability for management to weather any move in the interest rate environment. In fact, at this lower price, we only see the stock moving higher from here this year.
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Andeavor (ANDV: $98)
Bull Market Report Target Price: $120
Bull Market Report Sell Price: $95
Earnings Date: Friday, 8:30 AM ET
Consensus: 4Q17
Revenues: $11 billion
EPS: $1.13
Year Ago Quarter Results
Revenues: $6.5 billion
EPS: $0.03
Key Things to Watch For in the Quarter
Andeavor is expected to report a 70% increase in its revenues and a $1.10 increase in earnings per share for 4Q17, after a very poor earnings quarter last year. The stock has beaten estimates in three of the past four quarters and is trading up 10% over the past year. 2018 has been a rough year thus far for Andeavor, as the stock has fallen 19% since the beginning of the year. However, we see this as a great entry point especially ahead of earnings on Friday, as we believe the firm is poised to beat estimates and regain some of its losses from this year.
by Todd Shaver | Feb 7, 2018 | Earnings Preview 6 AM
Carlyle Group (CG: $24)
Bull Market Report Target Price: $28
Bull Market Report Sell Price: $24
Earnings Date: Wednesday, 8:30 AM ET
Consensus: 4Q17
Revenues: $780 million
EPS: $0.62
Year Ago Quarter Results
Revenues: $435 million
EPS: $0.02
Key Things to Watch For in the Quarter
Analysts expect The Carlyle Group to report a 79% increase in revenues with a huge increase in earnings per share for 4Q17. The stock has beaten analyst estimates in three of the past four quarters, and is up 43% since this time last year. The Carlyle Group is an investment firm specializing in direct investments in the Fintech Sector. We do not expect the recent selloff to have a grave effect on the stock because of the firm’s concentrated line of business.
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Synaptics (SYNA: $41)
Bull Market Report Target Price: $54
Bull Market Report Sell Price: $35
Earnings Date: Wednesday, after market close
Consensus: 4Q17
Revenues: $430 million
EPS: $1.09
Year Ago Quarter Results
Revenues: $460 million
EPS: $1.49
Key Things to Watch For in the Quarter
Synaptics is expected to report a 7% decrease in revenues and a 27% decrease in earnings per share for 4Q17. Despite having beaten estimates in the past four quarters, the stock is down almost 30% since this time last year. We expect the firm’s underlying technology and management team to spur growth over the long-term horizon. Our Target is $54 and our Sell Price is $35.
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Tesla (TSLA: $334)
Bull Market Report Target Price: $375
Bull Market Report Sell Price: $335
Earnings Date: Wednesday, 5:30 PM ET
Consensus: 4Q17
Revenues: $3.3 billion
EPS: -$3.10
Year Ago Quarter Results
Revenues: $2.3 billion
EPS: -$0.69
Key Things to Watch For in the Quarter
Analysts expect Tesla to report a 43% increase in revenues and an increase in the earnings deficit for 4Q17. Despite beating estimates in only one of the past four quarters, the stock is still up 27% this year, and that includes the recent sell-off. We expect Elon Musk to continue to drive top line growth as the economy continues to strengthen and electric cars continue to penetrate our roads.
But as we have mentioned we are worried about the capital that Tesla will need to sustain its growth. So we have a Sell Price in place of $335. With the latest market fall-off, the stock dropped from $354 to $333 on Monday, quite a bit below our Sell Price. The Sell Price is there for YOU to decide what to do. Sell? Hold? Buy more? We love this company but with the production delays and thus little money coming in, we're a bit concerned. We may have an update about the firm in the next few days.
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CBRE (CBG: $42.50)
Bull Market Report Target Price: $52
Bull Market Report Sell Price: $40
Earnings Date: Thursday, 7:00 AM ET
Consensus: 4Q17
Revenues: $4.0 billion
EPS: $0.92
Year Ago Quarter Results
Revenues: $3.8 billion
EPS: $0.93
Key Things to Watch For in the Quarter
CBRE is expected to report a 6% increase in its revenues and a 1% decrease in its earnings per share for 4Q17. The stock is up 33% on the year, and has been at the forefront of its peers in the real estate industry. CBRE has beaten estimates in each of the past four quarters which helps explain the firm’s bull run. The stock took a pretty heavy hit early this week when investors shaved 10% off the market cap. We believe it has been oversold, especially given the strong economic growth and investor’s natural fear of real estate when markets turn south. We are big believers in CBRE and would accumulate shares here.
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Ventas (VTR: $53)
Bull Market Report Target Price: $72
Bull Market Report Sell Price: $58
Earnings Date: Friday, 10:00 AM ET
Consensus: 4Q17Revenues: $875 million
EPS: $0.63
Year Ago Quarter Results
Revenues: $875 million
EPS: $0.58
Key Things to Watch For in the Quarter
Ventas is expected to report no growth in revenues and an 8% increase in earnings for 4Q17. Despite Ventas’s ability to beat estimates in each of the past four quarters, the stock is down 15% since this time last year. The stock currently yields a 6% dividend, and has developed a trend for earnings growth. While some investors are selling the stock due to a lack of revenue growth, we are confident in the ability of management to cut costs and produce growth their bottom line.
by Todd Shaver | Jan 12, 2018 | Earnings Preview 6 AM
BlackRock (BLK: $538)
Earnings Date: Friday, 8:30 AM ET
Consensus: 4Q17
Revenues: $3.3 billion
EPS: $6.02
Year Ago Quarter Results
Revenues: $2.9 billion
EPS: $5.14
Key Things to Watch For in the Quarter
On average, analysts estimate that BlackRock will report a 17% increase in earnings and a 14% increase in revenue for 4Q17. Despite only beating estimates in two of the first three quarters of 2017, the stock is up over 40% since this time last year. This performance represents a 20% outperformance of the Financial Services industry. BlackRock currently trades at a PE of 24 which is relatively cheap compared to its competitors that trade around 30.
Our Target is currently $510 and as the stock as blown through this number, we hereby raise the Target to $590. And we raise our Sell Price from $370 to $470. We added the stock in August at $415 and we continue to believe that BlackRock will outperform both the overall stock market and its competitors.
by Todd Shaver | Oct 30, 2017 | Earnings Preview 6 AM
Omega Healthcare Investors (OHI: $32)
Bull Market Report Target Price: $45
Bull Market Report Sell Price: $28
Earnings Date: Monday, 4:00 PM ET
Consensus: 3Q17
Revenues: $238 million
EPS: $0.46
Year Ago Quarter Results
Revenues: $185 million
EPS: $0.40
Key Things to Watch For in the Quarter
Omega Healthcare is expected to report a 15% increase in earnings per share and a 30% increase in revenues for 3Q17. The stock has had mixed earnings results over the past four quarters, missing estimates twice and beating twice. This lack of certainty has been reflected in the stock’s performance over the past year, as it has barely moved from its price of $32 this time last year. Although the stock has underperformed the market over the past year, we are still very bullish for Omega as they continue to grow their sales and yield a very attractive 8% dividend.
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The Carlyle Group (CG: $22)
Bull Market Report Target Price: $28
Bull Market Report Sell Price: $20
Earnings Date: Tuesday, 8:00 AM ET
Consensus: 3Q17
Revenues: $680 million
EPS: $0.49
Year Ago Quarter Results
Revenues: $540 million
EPS: $0.21
Key Things to Watch For in the Quarter
Analysts expect The Carlyle Group to report a 26% increase in revenues and a 133% increase in earnings per share for 3Q17. Although the stock has beaten estimates in only two of the past four quarters, it has still managed to outperform the S&P 500 over the past year, providing shareholders with 44% return. We love this stock! It returns an 8% dividend and currently trades at a PE ratio of only 16, which is quite cheap compared to most of its competitors which are in the 18-20 range.
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Shopify (SHOP: $107)
Bull Market Report Target Price: $115
Bull Market Report Sell Price: $105
Earnings Date: Tuesday, 8:30 AM ET
Consensus: 3Q17
Revenues: $165 million
EPS: -$0.01
Year Ago Quarter Results
Revenues: $99 million
EPS: -$0.11
Key Things to Watch For in the Quarter
Analysts estimate Shopify will report a 66% increase in revenues and a reduction of its earnings deficit for 3Q17. The stock has been one of the best performers in all of our portfolios this past year, as it appreciated 160%. The company’s ability to growth its profits has been demonstrated over the past three years or so. Since 2014, Shopify has to increased its bottom line by 300%. We expect to see continued growth from Shopify as it continues to provide value for its customers with its cloud-based multi-channel commerce platform.
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Government Properties Income Trust (GOV: $18.14)
Bull Market Report Target Price: $23
Bull Market Report Sell Price: $15
Earnings Date: Thursday, 11:00 AM ET
Consensus: 3Q17
Revenues: $70 million
EPS: $0.05
Year Ago Quarter Results
Revenues: $65 million
EPS: $0.16
Key Things to Watch For in the Quarter
Government Properties is expected to report an 8% increase in revenues and a 68% reduction in earnings per share for 3Q17. Despite having beaten estimates in three of the past four quarters, the stock has fallen about 5% since this time last year and is currently trading 21% below its 52-week high of $23. The stock took a big hit in July this year when the company announced a secondary offering of 25,000,000 common shares, plus an overallotment sale of 2.9 million shares, raising close to $500 million. Although this action took a toll on the stock in the short term, we don’t see it affecting the performance of the underlying company moving forward. In fact, we love it when a company sells stock and raises capital. We remain bullish on Government Properties and continue to look forward to the 10% dividends that come with this stock.
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Annaly Capital Management (NLY: $11.61)
Bull Market Report Target Price: $12
Bull Market Report Sell Price: $11
Earnings Date: Wednesday, After Market Close
Consensus: 3Q17
Revenues: $625 million
EPS: $0.30
Year Ago Quarter Results
Revenues: $560 million
EPS: $0.29
Key Things to Watch For in the Quarter
Annaly Capital Management is expected to report an 11% increase in revenues and a 3% increase in earnings per share for 3Q17. The stock has beaten analyst estimates in each of the past four quarters and is up 12% over the past year. The stock returns a 10% dividend and currently trades at a PE of 4, making it one of the cheapest (compared to earnings) stocks in our portfolio. Our confidence in Annaly has increased with recent insider trades from their Chief Investment Officer, David Finkelstein. Just last month, he purchased $1.25 million worth of Annaly’s stock, showing his faith in the company moving forward over the long term.
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Facebook (FB: $177)
Bull Market Report Target Price: $190
Bull Market Report Sell Price: $155
Earnings Date: Wednesday, 5:00 PM ET
Consensus: 3Q17
Revenues: $10 billion
EPS: $1.28
Year Ago Quarter Results
Revenues: $9 billion
EPS: $1.09
Key Things to Watch For in the Quarter
Analysts estimate that Facebook will report an 11% increase in sales and an 18% increase in earnings for 3Q17. Facebook has beaten estimates in three of the past four quarters, contributing to the stock’s 35% gain over the past year. Facebook’s reinvestment back into the company has been driving growth and innovation, and with increasing capital expenditures we don’t see this growth slowing any time soon.
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Tesla (TSLA: $320)
Bull Market Report Target Price: $350
Bull Market Report Sell Price: $280
Earnings Date: Wednesday, 5:30 PM ET
Consensus: 3Q17
Revenues: $3.0 billion
EPS: -$2.29
Year Ago Quarter Results
Revenues: $2.3 billion
EPS: $0.71
Key Things to Watch For in the Quarter
Analysts estimate that Tesla will report a 30% increase in revenues and a large earnings deficit for 3Q17. Although Tesla has only managed to beat estimates in two of the past four quarters, the stock is up 60% over the past year. You've heard us speak about Tesla and being patient, and how speculative the stock is. Be careful.
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Apple (AAPL: $163)
Bull Market Report Target Price: $170
Bull Market Report Sell Price: We would not sell Apple
Earnings Date: Thursday, 5:00 PM ET
Consensus: 3Q17
Revenues: $51 billion
EPS: $1.87
Year Ago Quarter Results
Revenues: $47 billion
EPS: $1.50
Key Things to Watch For in the Quarter
Apple is expected to increase its revenues by 8% and its earnings by 25% for 3Q17. The stock has beatdn earnings estimates in three of the past four quarters and is up nearly 45% since this time last year. This quarter was interesting for Apple, as we saw a number of product releases, namely its iPhone 8 and X. We also suspect an increase in the sale of Apple’s iPad over the next few quarters, which, although isn’t the largest revenue driver, will definitely continue to help push Apple’s top line higher.
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CBRE (CBG: $39)
Bull Market Report Target Price: $40
Bull Market Report Sell Price: $35
Earnings Date: Friday, 7:00 AM ET
Consensus: 3Q17
Revenues: $3.5 billion
EPS: $0.54
Year Ago Quarter Results
Revenues: $3.2 billion
EPS: $0.50
Key Things to Watch For in the Quarter
CBRE is expected to report a 9% increase in revenues and a 9% increase in earnings for 3Q17. CBRE has beaten analyst estimates in each of the past four quarters, which has been reflected in the stock’s 50% appreciation over the past year. Although the stock doesn’t pay a dividend, it does trade at a reasonable PE ratio of 19. We view this stock as one of the best growth investments in our Stocks for Success Portfolio.
by Todd Shaver | Oct 16, 2017 | Earnings Preview 6 AM
Blackstone (BX: $33)
Bull Market Report Target Price: $36
Bull Market Report Sell Price: $31
Market Cap: $40 billion
Earnings Date: Thursday, 11:00 AM ET
Consensus: 3Q17
Revenues: $1.45 billion
EPS: $0.57
Year Ago Quarter Results
Revenues: $ 1.40 billion
EPS: $0.57
Key Things to Watch For in the Quarter
Blackstone is expected to report a 4% increase in revenues and no change in earnings per share for 3Q17. Blackstone has beaten estimates in three of the past four quarters, helping contribute to its outperformance of the Financial Services industry and 40% year-over-year appreciation. The stock yields a strong 6.5% dividend and currently trades at 14 times earnings, a fair value compared to its competitors whose average PE is around 14 as well.
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PayPal Holdings (PYPL: $69)
Bull Market Report Target Price: $66
Bull Market Report Sell Price: We would not sell PayPal
Market Cap: $82 billion
Earnings Date: Thursday, 5:00 PM ET
Consensus: 3Q17
Revenues: $3.2 billion
EPS: $0.44
Year Ago Quarter Results
Revenues: $ 2.7 billion
EPS: $0.35
Key Things to Watch For in the Quarter
Analysts expect PayPal to report a 19% increase in revenues and a 25% increase in earnings per share for 3Q17. PayPal was trading at $39 this time last year and has since posted earnings that have beaten estimates in all four quarters. Although PayPal currently trades at a PE of 55, which looks slightly overvalued, we do believe this valuation is justified. Year-over-year growth in e-commerce was 14%, 15%, and 16% in 4Q16, 1Q17 to 2Q17 respectively. This pattern of accelerated growth has moved the valuation of companies in the industry higher and PayPal is the leader, having strategically positioned itself to maintain and grow market share.
