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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.
-----------------------------------------------------------------------------------------------------------------------------
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.