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MCHP

Today we're going to take a look at the well-established Microchip Technology Incorporated (NASDAQ:MCHP). The company's stock saw significant share price movement during recent months on the NASDAQGS, rising to highs of US$92.96 and falling to the lows of US$80.58. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Microchip Technology's current trading price of US$83.90 reflective of the actual value of the large-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at Microchip Technology’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. Check out our latest analysis for Microchip Technology Is Microchip Technology Still Cheap?According to our valuation model, Microchip Technology seems to be fairly priced at around 0.3% below our intrinsic value, which means if you buy Microchip Technology today, you’d be paying a fair price for it. And if you believe that the stock is really worth $84.16, then there’s not much of an upside to gain from mispricing. Although, there may be an opportunity to buy in the future. This is because Microchip Technology’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company’s shares will likely fall by more than the rest of the market, providing a prime buying opportunity.Can we expect growth from Microchip Technology?earnings-and-revenue-growthFuture outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. Though in the case of Microchip Technology, it is expected to deliver a relatively unexciting earnings growth of 0.9%, which doesn’t help build up its investment thesis. Growth doesn’t appear to be a main reason for a buy decision for the company, at least in the near term.Story continuesWhat This Means For YouAre you a shareholder? MCHP’s future growth appears to have been factored into the current share price, with shares trading around its fair value. However, there are also other important factors which we haven’t considered today, such as the track record of its management team. Have these factors changed since the last time you looked at the stock? Will you have enough confidence to invest in the company should the price drop below its fair value?Are you a potential investor? If you’ve been keeping an eye on MCHP, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the positive outlook means it’s worth further examining other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.If you'd like to know more about Microchip Technology as a business, it's important to be aware of any risks it's facing. Case in point: We've spotted 2 warning signs for Microchip Technology you should be mindful of and 1 of them is concerning.If you are no longer interested in Microchip Technology, you can use our free platform to see our list of over 50 other stocks with a high growth potential.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

At US$83.90, Is It Time To Put Microchip Technology Incorporated (NASDAQ:MCHP) On Your Watch List?

https://finance.yahoo.com/news/us-83-90-time-put-120018389.html

615afae2-d0cd-32d4-beae-2f15fe544489

MCHP

Microchip Technology Inc.A corresponding ecosystem of support tools will help simplify motor control system development and accelerate time to marketCHANDLER, Ariz., Feb. 26, 2024 (GLOBE NEWSWIRE) -- To implement efficient, real-time embedded motor control systems in space-constrained applications, Microchip Technology (Nasdaq: MCHP) has launched a new family of  dsPIC® Digital Signal Controller (DSC)-based integrated motor drivers. These devices incorporate a dsPIC33 digital signal controller (DSC), a three-phase MOSFET gate driver and optional LIN or CAN FD transceiver into one package. A significant benefit of this integration is reduction in component count of the motor control system design, smaller printed circuit board (PCB) dimensions and reduced complexity. The devices are supported by development boards, reference designs, application notes and Microchip’s field oriented control (FOC) software development suite, motorBench® Development Suite V2.45.“Automotive, consumer and industrial designs are evolving and require higher performance and reduced footprints. These expectations often come at a higher expense and increase in dimensional size,” said Joe Thomsen, vice president of Microchip’s digital signal controllers business unit. “By integrating multiple device functions into one chip, the dsPIC DSC-based integrated motor drivers can reduce system-level costs and board space.”The integrated motor driver devices can be powered by a single power supply up to 29V (operation) and 40V (transient). An internal 3.3V low dropout (LDO) voltage regulator powers the dsPIC DSC, which eliminates the need for an external LDO to power the device. Operating between 70—100 MHz, the dsPIC DSC-based integrated motor drivers provide high CPU performance and can support efficient deployment of FOC and other advanced motor control algorithms.To learn more about Microchip’s growing portfolio of integrated motor drivers visit the dsPIC DSC-Based integrated motor drivers webpage.Story continuesDevelopment ToolsAn extensive ecosystem of motor control software and hardware development tools help make the design process faster and easier, reducing the customer’s time to market.The dsPIC33CK Motor Control Starter Kit (MCSK) and the MCLV-48V-300W are two new dsPIC33-based integrated motor driver development boards that provide rapid prototyping solutions with flexible control options. The MCSK includes a dsPIC33CK low-voltage motor control development board, a 24V three-phase BLDC motor, an AC/DC adapter, a USB cable and other accessories. This cost-effective kit supports fast prototyping of motor control applications that operate between 12 and 48 VDC with up to 10 Amps of continuous current. The MCLV-48V-300W development board enables fast prototyping of three-phase permanent magnet synchronous motors that are rated between 12 and 48 VDC and capable of delivering up to 25A RMS continuous current per phase. This inverter board introduces a new modular concept where a separate dual-in-line module (DIM) is inserted into the board to configure it for a particular dsPIC DSC or MCU.The motorBench Development Suite is a free GUI-based software development tool for FOC that accurately measures critical motor parameters, automatically tunes feedback control gains and generates source code by utilizing the motor control application framework (MCAF). The latest version, v2.45, includes a powerful new feature called zero-speed/maximum torque (ZS/MT), which enables designers to eliminate Hall or magnetic sensors while maximizing the torque output from the motor, from start-up and at low speeds. This feature can be used in pumps, power tools, e-Mobility and many other applications.MPLAB® Discover now contains many dsPIC DSC-based MATLAB® Simulink® models supporting various motor control algorithms and development boards. Microchip also provides free device blocks for Simulink that can be used to generate optimized code from models for dsPIC DSCs and other Microchip MCUs.The growing number of dsPIC DSC-based motor control reference designs now includes an automotive cooling fan, low-voltage ceiling fan and a drone propeller controller. These reference designs shorten the time to market by providing a production-ready solution for various motor control applications. Typically, the board design files include schematics and a BOM, a board user’s guide and motor control source code that are available for download.Pricing and AvailabilityFor additional information and to purchase, contact a Microchip sales representative, authorized worldwide distributor or visit Microchip’s Purchasing and Client Services website, www.microchipdirect.com.ResourcesHigh-res images available through Flickr or editorial contact (feel free to publish):Application image: https://www.flickr.com/photos/microchiptechnology/53077288882/sizes/o/Block diagram: https://www.flickr.com/photos/microchiptechnology/53078367608/sizes/l/About Microchip Technology:Microchip Technology Inc. is a leading provider of smart, connected and secure embedded control solutions. Its easy-to-use development tools and comprehensive product portfolio enable customers to create optimal designs which reduce risk while lowering total system cost and time to market. The company’s solutions serve approximately 125,000 customers across the industrial, automotive, consumer, aerospace and defense, communications and computing markets. Headquartered in Chandler, Arizona, Microchip offers outstanding technical support along with dependable delivery and quality. For more information, visit the Microchip website at www.microchip.com.Note: The Microchip name and logo, the Microchip logo, MPLAB and dsPIC are registered trademarks of Microchip Technology Incorporated in the U.S.A. and other countries. motorBench is a registered trademark of Microchip Technology Inc. in the U.S.A. All other trademarks mentioned herein are the property of their respective companies.  Editorial Contact:Reader Inquiries:Amber Liptai1-888-624-7435480-792-5047 [email protected] 

GlobeNewswire

Microchip Launches New dsPIC® DSC-Based Integrated Motor Drivers that Bring Controllers, Gate Drivers and Communications to a Single Device

https://finance.yahoo.com/news/microchip-launches-dspic-dsc-based-125800787.html

8699efd7-4493-3dae-b026-63154750d220

MCHP

It has been about a month since the last earnings report for NXP Semiconductors (NXPI). Shares have added about 11.4% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is NXP due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.NXP Semiconductors Q4 Earnings Beat, Revenues Rise Y/YNXP Semiconductors delivered fourth-quarter 2023 non-GAAP earnings of $3.71 per share, which outpaced the Zacks Consensus Estimate by 1.92%. The figure decreased 0.5% year over year.Revenues of $3.42 billion surpassed the Zacks Consensus Estimate of $3.395 billion. The figure was up 3% from the year-ago level.This was attributed to strong momentum in the Automotive and Industrial & IoT markets.The company witnessed sluggishness in the Communication Infrastructure & Others and Mobile end markets during the reported quarter.End-Market DetailAutomotive generated $1.9 billion in revenues (55.5% of total revenues), reflecting a year-over-year increase of 5%, driven by innovation in system solutions. The figure surpassed the Zacks Consensus Estimate of $1.89 billion.Revenues from Industrial & IoT were $662 million (19.3% of total revenues), up 9% from the prior-year quarter’s level. The growth was attributed to growing momentum in scalable processing and robust solutions. The reported figure came ahead of the consensus mark of $644.19 million.Revenues from Mobile were $406 million (11.9% of total revenues), down 0.5% from the year-ago period’s level. The figure beat the Zacks Consensus Estimate of $384.8 million.Communication Infrastructure & Others generated $455 million in revenues (13.3% of total revenues), down 8% year over year. The reported figure missed the consensus mark of $469.25 million.Story continuesOperating ResultsThe non-GAAP gross margin was 58.7%, which expanded 70 basis points (bps) from the year-ago quarter’s level.Research and development (R&D) expenses were $651 million, up 20.6% year over year. Selling, general and administrative (SG&A) expenses increased by 19.2% year over year to $311 million.As a percentage of revenues, R&D expenses expanded 270 bps year over year to 19% and SG&A expenses increased 120 bps year over year to 9.1%.The non-GAAP operating margin of 35.6% for the reported quarter contracted 90 bps from the prior-year period’s figure.Balance Sheet & Cash FlowAs of Dec 31, 2023, the cash and cash equivalent balance was $3.86 billion, down from $4.04 billion as of Oct 1, 2023.Long-term debt was $10.175 billion at the end of the quarter under review compared with $10.173 billion at the end of the last reported quarter.NXPI generated a cash flow of $1.14 billion in the fourth quarter of 2023, up from $988 million in the previous quarter.The company’s capex investment was $175 million in the reported quarter. NXPI generated a free cash flow of $962 million in the quarter.During the fourth quarter, the company made dividend payments of $261 million and repurchased shares worth $434 million.GuidanceFor first-quarter 2024, NXP Semiconductors expects revenues of $3.025-$3.225 billion, flat year over year at the midpoint.It expects a non-GAAP gross margin between 57.5% and 58.5%. The non-GAAP operating margin is anticipated to be between 32.9% and 34.8%.The company anticipates non-GAAP earnings within the range of $2.97-$3.38 per share.How Have Estimates Been Moving Since Then?It turns out, estimates revision have trended upward during the past month.VGM ScoresCurrently, NXP has an average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, NXP has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerNXP is part of the Zacks Semiconductor - Analog and Mixed industry. Over the past month, Microchip Technology (MCHP), a stock from the same industry, has gained 2.9%. The company reported its results for the quarter ended December 2023 more than a month ago.Microchip Tech reported revenues of $1.77 billion in the last reported quarter, representing a year-over-year change of -18.6%. EPS of $1.08 for the same period compares with $1.56 a year ago.Microchip Tech is expected to post earnings of $0.57 per share for the current quarter, representing a year-over-year change of -65.2%. Over the last 30 days, the Zacks Consensus Estimate has changed -13.4%.The overall direction and magnitude of estimate revisions translate into a Zacks Rank #5 (Strong Sell) for Microchip Tech. Also, the stock has a VGM Score of D.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 reportNXP Semiconductors N.V. (NXPI) : Free Stock Analysis ReportMicrochip Technology Incorporated (MCHP) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why Is NXP (NXPI) Up 11.4% Since Last Earnings Report?

https://finance.yahoo.com/news/why-nxp-nxpi-11-4-163014740.html

9cd35529-98f1-382d-84f7-a093756d151f

MCHP

The most recent trading session ended with Microchip Technology (MCHP) standing at $90.57, reflecting a +1.95% shift from the previouse trading day's closing. The stock outpaced the S&P 500's daily loss of 0.11%. On the other hand, the Dow registered a gain of 0.12%, and the technology-centric Nasdaq decreased by 0.41%.The chipmaker's stock has climbed by 3.98% in the past month, exceeding the Computer and Technology sector's gain of 1.42% and the S&P 500's gain of 2.7%.The investment community will be closely monitoring the performance of Microchip Technology in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.57, reflecting a 65.24% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $1.33 billion, down 40.57% from the year-ago period.For the full year, the Zacks Consensus Estimates project earnings of $4.92 per share and a revenue of $7.68 billion, demonstrating changes of -18.27% and -8.93%, respectively, from the preceding year.Investors should also pay attention to any latest changes in analyst estimates for Microchip Technology. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.88% decrease. Currently, Microchip Technology is carrying a Zacks Rank of #5 (Strong Sell).Story continuesLooking at its valuation, Microchip Technology is holding a Forward P/E ratio of 18.07. This denotes a discount relative to the industry's average Forward P/E of 32.52.It's also important to note that MCHP currently trades at a PEG ratio of 1.5. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor - Analog and Mixed industry had an average PEG ratio of 3.01 as trading concluded yesterday.The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.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 reportMicrochip Technology Incorporated (MCHP) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Microchip Technology (MCHP) Rises As Market Takes a Dip: Key Facts

https://finance.yahoo.com/news/microchip-technology-mchp-rises-market-220019747.html

7d5c3bda-f55b-3067-bcf8-347e6fde1f72

MCK

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.Why Investors Should Pay Attention to This Value StockValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.McKesson (MCK)San Francisco, CA-based McKesson Corporation is a health care services and information technology company. McKesson operates through two segments:MCK sits at a Zacks Rank #3 (Hold), holds a Value Style Score of A, and has a VGM Score of B. Compared to the Medical - Dental Supplies industry's P/E of 18.6X, shares of McKesson are trading at a forward P/E of 18.6X. MCK also has a PEG Ratio of 1.7, a Price/Cash Flow ratio of 15.9X, and a Price/Sales ratio of 0.2X.Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.21 to $27.46 per share. MCK has an average earnings surprise of 9.1%.MCK should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.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 reportMcKesson Corporation (MCK) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Here's Why McKesson (MCK) is a Strong Value Stock

https://finance.yahoo.com/news/heres-why-mckesson-mck-strong-144008461.html

bfe1c2c4-0d6f-3748-9670-369539a6b44e

MCK

Key InsightsSignificantly high institutional ownership implies McKesson's stock price is sensitive to their trading actions50% of the business is held by the top 23 shareholdersOwnership research along with analyst forecasts data help provide a good understanding of opportunities in a stockIf you want to know who really controls McKesson Corporation (NYSE:MCK), then you'll have to look at the makeup of its share registry. The group holding the most number of shares in the company, around 88% to be precise, is institutions. Put another way, the group faces the maximum upside potential (or downside risk).Given the vast amount of money and research capacities at their disposal, institutional ownership tends to carry a lot of weight, especially with individual investors. As a result, a sizeable amount of institutional money invested in a firm is generally viewed as a positive attribute.Let's take a closer look to see what the different types of shareholders can tell us about McKesson. View our latest analysis for McKesson ownership-breakdownWhat Does The Institutional Ownership Tell Us About McKesson?Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.As you can see, institutional investors have a fair amount of stake in McKesson. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at McKesson's earnings history below. Of course, the future is what really matters.earnings-and-revenue-growthSince institutional investors own more than half the issued stock, the board will likely have to pay attention to their preferences. Hedge funds don't have many shares in McKesson. Our data shows that The Vanguard Group, Inc. is the largest shareholder with 9.2% of shares outstanding. BlackRock, Inc. is the second largest shareholder owning 8.9% of common stock, and State Street Global Advisors, Inc. holds about 4.8% of the company stock.Story continuesLooking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 23 shareholders, meaning that no single shareholder has a majority interest in the ownership.While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.Insider Ownership Of McKessonThe definition of an insider can differ slightly between different countries, but members of the board of directors always count. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.Our data suggests that insiders own under 1% of McKesson Corporation in their own names. Being so large, we would not expect insiders to own a large proportion of the stock. Collectively, they own US$39m of stock. In this sort of situation, it can be more interesting to see if those insiders have been buying or selling. General Public OwnershipThe general public, who are usually individual investors, hold a 12% stake in McKesson. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies.Next Steps:I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. To that end, you should be aware of the 1 warning sign we've spotted with McKesson .Ultimately the future is most important. You can access this free report on analyst forecasts for the company.NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

With 88% institutional ownership, McKesson Corporation (NYSE:MCK) is a favorite amongst the big guns

https://finance.yahoo.com/news/88-institutional-ownership-mckesson-corporation-130022149.html

0e1d455f-d38f-394d-814d-5f9863eb4ce5

MCK

Buying shares in the best businesses can build meaningful wealth for you and your family. While not every stock performs well, when investors win, they can win big. For example, the McKesson Corporation (NYSE:MCK) share price is up a whopping 347% in the last half decade, a handsome return for long term holders. And this is just one example of the epic gains achieved by some long term investors. Also pleasing for shareholders was the 15% gain in the last three months. But this could be related to the strong market, which is up 11% in the last three months.Now it's worth having a look at the company's fundamentals too, because that will help us determine if the long term shareholder return has matched the performance of the underlying business. Check out our latest analysis for McKesson While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).During the last half decade, McKesson became profitable. Sometimes, the start of profitability is a major inflection point that can signal fast earnings growth to come, which in turn justifies very strong share price gains.The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).earnings-per-share-growthIt is of course excellent to see how McKesson has grown profits over the years, but the future is more important for shareholders. Take a more thorough look at McKesson's financial health with this free report on its balance sheet.What About Dividends?It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, McKesson's TSR for the last 5 years was 366%, which exceeds the share price return mentioned earlier. And there's no prize for guessing that the dividend payments largely explain the divergence!Story continuesA Different PerspectiveIt's good to see that McKesson has rewarded shareholders with a total shareholder return of 56% in the last twelve months. That's including the dividend. Since the one-year TSR is better than the five-year TSR (the latter coming in at 36% per year), it would seem that the stock's performance has improved in recent times. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. It's always interesting to track share price performance over the longer term. But to understand McKesson better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with McKesson , and understanding them should be part of your investment process.But note: McKesson may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Investors in McKesson (NYSE:MCK) have seen enviable returns of 366% over the past five years

https://finance.yahoo.com/news/investors-mckesson-nyse-mck-seen-110011241.html

7e3bfefe-d2ce-36c0-ba3d-ebf73afa1ad2

MCK

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.Why Investors Should Pay Attention to This Value StockDifferent than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.McKesson (MCK)San Francisco, CA-based McKesson Corporation is a health care services and information technology company. McKesson operates through two segments:MCK is a Zacks Rank #3 (Hold) stock, with a Value Style Score of A and VGM Score of B. Shares are currently trading at a forward P/E of 19X for the current fiscal year compared to the Medical - Dental Supplies industry's P/E of 19.2X. Additionally, MCK has a PEG Ratio of 1.6 and a Price/Cash Flow ratio of 16.3X. Value investors should also note MCK's Price/Sales ratio of 0.2X.Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.36 to $27.62 per share. MCK has an average earnings surprise of 9.1%.Investors should take the time to consider MCK for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.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 reportStory continuesMcKesson Corporation (MCK) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why McKesson (MCK) is a Top Value Stock for the Long-Term

https://finance.yahoo.com/news/why-mckesson-mck-top-value-144007203.html

3c1465dd-a349-3730-98e6-f85a7aa39bea

MCO

Moody's Corporation (NYSE:MCO) stock is about to trade ex-dividend in four days. The ex-dividend date is one business day before the record date, which is the cut-off date for shareholders to be present on the company's books to be eligible for a dividend payment. It is important to be aware of the ex-dividend date because any trade on the stock needs to have been settled on or before the record date. Accordingly, Moody's investors that purchase the stock on or after the 22nd of February will not receive the dividend, which will be paid on the 15th of March.The company's next dividend payment will be US$0.85 per share, on the back of last year when the company paid a total of US$3.40 to shareholders. Based on the last year's worth of payments, Moody's has a trailing yield of 0.9% on the current stock price of US$370.76. We love seeing companies pay a dividend, but it's also important to be sure that laying the golden eggs isn't going to kill our golden goose! As a result, readers should always check whether Moody's has been able to grow its dividends, or if the dividend might be cut. Check out our latest analysis for Moody's Dividends are usually paid out of company profits, so if a company pays out more than it earned then its dividend is usually at greater risk of being cut. Fortunately Moody's's payout ratio is modest, at just 35% of profit.When a company paid out less in dividends than it earned in profit, this generally suggests its dividend is affordable. The lower the % of its profit that it pays out, the greater the margin of safety for the dividend if the business enters a downturn.Click here to see the company's payout ratio, plus analyst estimates of its future dividends.historic-dividendHave Earnings And Dividends Been Growing?Businesses with strong growth prospects usually make the best dividend payers, because it's easier to grow dividends when earnings per share are improving. If business enters a downturn and the dividend is cut, the company could see its value fall precipitously. This is why it's a relief to see Moody's earnings per share are up 5.2% per annum over the last five years.Story continuesMany investors will assess a company's dividend performance by evaluating how much the dividend payments have changed over time. Since the start of our data, 10 years ago, Moody's has lifted its dividend by approximately 16% a year on average. We're glad to see dividends rising alongside earnings over a number of years, which may be a sign the company intends to share the growth with shareholders.To Sum It UpIs Moody's an attractive dividend stock, or better left on the shelf? Moody's has seen its earnings per share grow slowly in recent years, and the company reinvests more than half of its profits in the business, which generally bodes well for its future prospects. We think this is a pretty attractive combination, and would be interested in investigating Moody's more closely.On that note, you'll want to research what risks Moody's is facing. For example, we've found 1 warning sign for Moody's that we recommend you consider before investing in the business.Generally, we wouldn't recommend just buying the first dividend stock you see. Here's a curated list of interesting stocks that are strong dividend payers.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Moody's (NYSE:MCO) Could Be A Buy For Its Upcoming Dividend

https://finance.yahoo.com/news/moodys-nyse-mco-could-buy-121804062.html

bf496b1d-6663-3725-a361-0b1356dfa4bb

MCO

In this article, we will look into the 20 most sustainable companies in the US. If you want to skip our detailed analysis, you can go directly to the 5 Most Sustainable Companies in the US.Sustainability Outlook for the USAccording to the SDSN Sustainable Development Report 2023, the United States demonstrates mixed performance on sustainable development goals, especially with respect to infrastructure, innovation, and the environment. The country has a strong infrastructure and boasts an impressive research landscape, evident by its high research expenditure. The US spent 3.46% of its GDP on R&D in 2022. The country has the highest tentative R&D spending in the world. In 2021, the country's R&D expenditure grew by $72 billion and amounted to $789 billion. Despite being one of the most innovative economies in the world, the country still lags in renewable energy use, cleaner energy practices, and sustainable management of GHG emissions. Climate change is also a significant challenge in the country, despite a decrease in its domestic emissions. The country still ranks high in per capita emissions and fossil fuel exports. However, the country is making efforts to counter these challenges. The United States has a score of 75.9 out of 100 on the SDG index, according to the SDSN. It has made impressive progress in the health and education sector among others. The nation is home to some of the most sustainable companies that are continuously improving the sustainability landscape of the country, by reducing their net emissions and leveraging innovation to reach their sustainability goals, ultimately benefitting the country as a whole.Corporate SustainabilityThe relentless pursuit of economic development has resulted in multiple environmental catastrophes. Continuous industrialization and globalization have incited global GHG emissions, pollution, and deforestation, ultimately leading to alarming shifts in the global climate. The urgency of these crises demands a combined effort from authorities, governments, and the corporate sector. With the rise in awareness about sustainable alternatives, consumers are now more drawn toward companies prioritizing sustainable development goals. This shift along with factors such as the economic benefits of sustainability, including enhanced resource efficiency and higher profits, has urged companies to embrace sustainability. A study by McKinsey and Company revealed that companies that prioritize both ESG and financial growth goals perform better compared to their competitors. Companies prioritizing profit, growth, and sustainability, reach 2% higher annual shareholder returns compared to companies solely focused on financial growth, and 7% higher than the rest of the companies.Story continuesSustainability Initiatives by Major CompaniesSome of the most sustainable companies in the US market include Owens Corning (NYSE:OC), Ingersoll Rand Inc. (NYSE:IR), and Newmont Corporation (NYSE:NEM).Owens Corning (NYSE:OC) is one of the major companies leading the US market with its sustainability initiatives and ESG-centric policies. The company aims to increase the overall positive impact of its products and services, eliminate negative impacts, and foster inclusion and diversity. Owens Corning (NYSE:OC) has made significant efforts to reduce its energy and carbon footprint to reach its ESG and sustainability goals. It has deployed more than 1,270 energy efficiency projects in its facilities all over the world since 2006, resulting in a decline in the estimated energy usage by nearly 1.47 million MWh annually. The company actively collaborates with external partners to reduce its footprint and reach its sustainability goals, characterized by strategic partnerships and collaborative efforts. In 2022, the company deployed 12 projects, resulting in an annual energy saving of over 17,000 MWh. These projects reduced the GHG emissions by more than 4,400 MT annually. The company aims to reach its 100% renewable electricity goal by 2030. In 2022, the company reached a renewable electricity consumption of 56% of its total electricity consumption.On February 14, Owens Corning (NYSE:OC) reported its earnings for the fiscal fourth quarter of 2023. The company reported an EPS of $3.21 and beat estimates by $0.25. It reported a revenue of $2.30 billion for the quarter and outperformed estimates by $55.15 million. Over the past year, the stock has surged more than 40%, as of February 16.Ingersoll Rand Inc. (NYSE:IR) is one of the top companies in the US working on its sustainable development. On February 1, the company announced that it had decided to expand its air treatment capabilities. The company has acquired a renowned Italian air treatment provider, Friulair for $146 million. This acquisition will provide Ingersoll Rand Inc. (NYSE:IR) with access to new channels and expand its chiller production capabilities. The company anticipates improved profitability within 3 years with the addition of Friulair's $65 million in revenue. Committed to sustainable development through environmental stewardship, Newmont Corporation (NYSE:NEM) is one of the most sustainable companies in the United States. The leading gold mining company is committed to driving a positive change, driven by its sustainable practices and a focus on social responsibility. In 2021, the company partnered with Caterpillar Inc. (NYSE:CAT) to develop an automated zero-carbon mining system, aimed at achieving safer and more productive mines, helping Newmont Corporation (NYSE:NEM) reach its emission reduction goals. The company made an initial investment of $100 million to electrify and automate haulage fleets at two mines of the company. Recently, on December 19, 2023, Caterpillar Inc. (NYSE:CAT) demonstrated the first-ever battery-electric prototype truck for underground mining to Newmont Corporation (NYSE:NEM). This is a milestone in the company's journey towards an automated future, aligning with its sustainability agenda. In 2022, Caterpillar Inc. (NYSE:CAT) announced the R1700 XE battery electric loader. The new electric truck will complete the first fully electric load and haul solution when paired with the R1700 XE battery electric loader.Now that we have discussed the sustainability outlook of the US and the role of companies, let's look at the 20 most sustainable companies in the US.20 Most Sustainable Companies in the US20 Most Sustainable Companies in the USMethodologyTo compile our list of the 20 most sustainable companies in the US, we consulted S&P Global's Sustainability Yearbook 2024. The yearbook considered 9,400 companies, evaluated in the Corporate Sustainability Assessment of 2023, and ranked the top 759 companies based on their ESG scores. Firstly, we identified the US companies ranked in The Sustainability Yearbook 2024 and then sourced their ESG scores from S&P Global. Finally, we ranked the 20 companies with the highest ESG score in ascending order. We have used companies' market caps, as of February 16, to break the tie between two or more companies having the same ESG score.By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.20 Most Sustainable Companies in the US20. Healthpeak Properties, Inc. (NYSE:PEAK)ESG Score (2024): 68Market Cap as of February 16: $9.38 billion.Healthpeak Properties, Inc. (NYSE:PEAK) is ranked among the most sustainable companies in the US. As of February 16, the company has a market cap of $9.38 billion. Healthpeak Properties, Inc. (NYSE:PEAK) has been leading the sustainability shift with its sustainable buildings, preventing 127,000 tonnes of carbon emissions since 2011. The company has a team of 120,000 scientists, researchers, and medical professionals, working continuously toward sustainable and innovative healthcare solutions. It has an ESG score of 68.19. Las Vegas Sands Corp. (NYSE:LVS)ESG Score (2024): 68Market Cap as of February 16: $41.63 billionLas Vegas Sands Corp. (NYSE:LVS) is a leading multinational hospitality and integrated resort company. As of February 16, it has a market cap of $41.63 billion. The company aims to reduce its emissions to 17.5% by 2025 from the baseline year, 2018. In 2022, the company's emissions decreased by 50%, compared to 2018. It dedicated 192,330 volunteer hours in 2022 to achieve its social responsibility goals. Las Vegas Sands Corp. (NYSE:LVS) aims to prevent, or divert  25% of its food waste by 25%. In 2022, the company achieved a diversion of 20%. The company has an ESG score of 68.18. AT&T Inc. (NYSE:T)ESG Score (2024): 68Market Cap as of February 16: $122.05 billionHeadquartered in Texas, AT&T Inc. (NYSE:T) is a leading telecommunications company, specializing in wireless services, U-verse, and managed hosting solutions. As of February 16, it has a market cap of $122.05 billion. AT&T Inc. (NYSE:T) is actively working toward reducing its carbon footprint. The company employs energy efficiency projects to cut down its emissions and energy use. In 2022, renewable energy accounted for 2.8 million MWh of total produced electricity. It is ranked 18th on our list of the most sustainable companies in the US.17. AbbVie Inc. (NYSE:ABBV)ESG Score (2024): 68Market Cap as of February 16: $313.24 billionHeadquartered in Illinois, AbbVie Inc. (NYSE:ABBV) is a major biopharmaceutical company in the US. The company specializes in biotechnology, research and development, biotherapeutics, oncology, immunology, neuroscience, and virology. As of February 16, the company has a market cap of $313.24 billion.AbbVie Inc. (NYSE:ABBV) exhibits a considerable commitment to sustainability, innovation, and social responsibility. The company aims to reduce its scope 1 and scope 2 GHG emissions by 42%  and a 20% reduction in its waste production by 2030. In 2022, the energy consumption of the company reduced by 9.6%. Moreover, the company provides support to diverse and small businesses by providing grants of more than $897 million in the US and Puerto Rico. The company invested $7.1 billion in research and development in 2022. The company has an ESG score of 68.16. Ball Corporation (NYSE:BALL)ESG Score (2024): 69Market Cap as of February 16: $19.59 billionBall Corporation (NYSE:BALL) is ranked 16th on our list. It specializes in innovative and sustainable packaging solutions. The company has a market cap of $19.59 billion, as of February 16. Ball Corporation (NYSE:BALL) has made substantial progress on the sustainability front. In 2022, it achieved a 66% average recycled content and dedicated more than 30,000 volunteer hours toward sustainability efforts. The company believes in empowering women and minorities, by financing their businesses. In 2022, the company spent $153.8 million in North America to finance diverse, women-owned businesses. Moreover, the company has cradle-to-cradle material health certification for its products. It has an ESG score of 69.15. International Flavors & Fragrances Inc. (NYSE:IFF)ESG Score (2024): 69Market Cap as of February 16: $20.74 billionInternational Flavors & Fragrances Inc. (NYSE:IFF) is ranked among the 20 most sustainable companies in the US. It specializes in research, cosmetic actives, food technology, food sciences, probiotics, extracts, fragrances, and flavors. As of February 16, the company has a market cap of $20.74 billion.The company aims to shift toward 100% renewable electricity by 2030. In 2022, International Flavors & Fragrances Inc. (NYSE:IFF) produced 256,169 MWh of renewable electricity, covering nearly 14% of total electricity consumption. With a goal to achieve a 50% reduction in Scope 1 and 2 emissions below 2021 levels by 2030, the company achieved a 6% reduction below 2021 levels, in 2022.14. CBRE Group, Inc. (NYSE:CBRE)ESG Score (2024): 69Market Cap as of February 16: $28.24 billionCBRE Group, Inc. (NYSE:CBRE) is a leading real estate and investment company. It specializes in commercial real estate services, asset service research and consulting, valuation and advisory, and industrial services. The company provides services such as Zero from CBRE, dedicated to helping businesses achieve their sustainability goals by providing green leasing, decarbonization, supply chain consultation, renewable energy, and sustainability reporting solutions. The company has an ESG score of 69. As of February 16, the company has a market cap of $28.24 billion. CBRE Group, Inc. (NYSE:CBRE) is ranked 14th on our list of the most sustainable companies in the US.13. Biogen Inc. (NASDAQ:BIIB)ESG Score (2024): 69Market Cap as of February 16: $31.84 billionBiogen Inc. (NASDAQ:BIIB) is a leading biotech research company. The company works on the discovery and development of innovative therapies. As of February 16, the company has a market cap of $31.84 billion.Biogen Inc. (NASDAQ:BIIB) is continuously integrating sustainability into its operations. The company has sustained 100% renewable electricity since 2014. The company is actively assessing pathways to decarbonize its key facilities. It has achieved a 42% reduction in emissions and 33% in waste production. The company has a women-representation of 47% in senior positions. It has an ESG score of 69 and is ranked 13th on our list.12. Moody's Corporation (NYSE:MCO)ESG Score (2024): 70Market Cap as of February 16: $67.82 billionHeadquartered in New York, Moody's Corporation (NYSE:MCO) is a leading financial services company, providing integrated risk assessment services. As of February 16, the company has a market cap of $67.82 billion.Moody's Corporation (NYSE:MCO) categorizes its sustainability goals as better lives, better business, and better solutions. The company aims to reduce its Scope 1 and Scope 2 emissions by 50% and Scope 3 by 15%. As of 2022, the company is exceeding its targets. Moody's Corporation (NYSE:MCO) has taken substantial steps towards its goal of net-zero emissions. Since 2020, the company is relying on 100% renewable electricity. It is ranked 12th on our list of the most sustainable companies in the US.11. Jones Lang LaSalle Incorporated (NYSE:JLL)ESG Score (2024): 71Market Cap as of February 16: $8.98 billionJones Lang LaSalle Incorporated (NYSE:JLL) is ranked on our list of the most sustainable companies in the US. The real estate company specializes in investment, corporate solutions, capital markets, sustainable property, and commercial property. Jones Lang LaSalle Incorporated (NYSE:JLL) demonstrates its commitment to sustainability on various fronts. It achieved a 34% reduction in its office emissions in 2022. Moreover, the company is on track to achieve 100% certified green buildings. The company has an ESG score of 71.10. American Airlines Group Inc. (NASDAQ:AAL)ESG Score (2024): 72Market Cap as of February 16: $9.58 billionAmerican Airlines Group Inc. (NASDAQ:AAL) is a leading airline and aviation company, specializing in travel, cargo, aviation, aerospace, technology, and flight. The company has a market cap of $9.58 billion, as of February 16.American Airlines Group Inc. (NASDAQ:AAL) aims for net-zero GHG emissions by 2050, with a 45% reduction in GHG intensity by 2035 compared to 2019 levels. The company is taking significant measures to reach its target. It has already achieved a 50 million gallon reduction in jet fuel, saving 480,000 tonnes of CO2. The company strives to expand its renewable energy to 2.5 million gigajoules by 2025. The progress made by the company signifies its commitment to its ESG and sustainability goals.9. S&P Global Inc. (NYSE:SPGI)ESG Score (2024): 73Market Cap as of February 16: $133.04 billionS&P Global Inc. (NYSE:SPGI) is one of the leading financial services companies, specializing in analytics, credit ratings, market analysis, commodities, portfolio, enterprise risk solutions, sustainable finance, and ESG. As of February 16, the company has a market cap of $133.04 billion.The company has integrated sustainability into its core values. It provides ESG analysis for companies. Moreover, the company actively supports local communities and organizations all over the world. In 2022, S&P Global Inc. (NYSE:SPGI) dedicated 20,000 services to local communities, creating a positive impact in 50 cities globally. The company also donated $4 million to over 2,600 organizations worldwide. The company has an ESG score of 73.8. Ecolab Inc. (NYSE:ECL)ESG Score (2024): 74Market Cap as of February 16: $61.41 billionEcolab Inc. (NYSE:ECL) is a chemical manufacturing company, specializing in water, hygiene, and infection prevention solutions. As of February 16, it boasts a market cap of $61.41 billion. The company has an ESG score of 74. The company updated its internal sustainability policies in 2021, to promote product stewardship and provide scientific evidence on the use of chemicals in its products. In 2022, Ecolab Inc. (NYSE:ECL) reduced its high-concern substances by 3% and pledged to decrease it further in the coming years.7. Abbott Laboratories (NYSE:ABT)ESG Score (2024): 75Market Cap as of February 16: $197.92 billionAbbott Laboratories (NYSE:ABT) is a leading medical device company in the US. The company boasts a market cap of $197.92 billion, as of February 16. The company has defined sustainability as shaping the healthcare future and creating a long-term impact for its customers. With an ESG score of 75, Abbott Laboratories (NYSE:ABT) aims to design accessible and affordable technologies and products to enhance the lives of over 4 billion people by 2030. It is ranked 7th on our list.6. HP Inc. (NYSE:HPQ)ESG Score (2024): 76Market Cap as of February 16: $28.32 billionHP Inc. (NYSE:HPQ) is ranked 6th on our list of the most sustainable companies in the US. The company provides a comprehensive range of products including personal systems, 3D printing solutions, and printers. As of February 16, the company boasts a market cap of $28.32 billion. The company has an ESG score of 76. HP Inc. (NYSE:HPQ)  has created a significant impact over the years. It has partnered with environmental conservation organizations such as WWF, Arbon Day Foundation, and Conservation International to plant over 200 million trees. The company has empowered small businesses in the US by spending a total of $423 million, with $86 million for minority-owned businesses and $115.1 million for women-owned businesses. The company fosters digital equity in the US, Nigeria, and India, by training over 7.4 million students and teachers.Click to continue reading 5 Most Sustainable Companies in the US.Suggested Articles:30 Unhappiest Countries In The WorldTop 15 Electric Bike Brands According to Reddit30 Highest-Grossing Media Franchises of All TimeDisclosure: None. 20 Most Sustainable Companies in the US is originally published at Insider Monkey.

Insider Monkey

20 Most Sustainable Companies in the US

https://finance.yahoo.com/news/20-most-sustainable-companies-us-162111646.html

85f91972-65b4-358f-a124-0666d7ea0233

MCO

(Bloomberg) -- Egypt and the International Monetary Fund agreed to more than double the country’s rescue program to $8 billion, the culmination of recent global efforts to stabilize the cash-strapped regional linchpin squeezed by wars and inflation.Most Read from BloombergChemical Linked to Cancer Found in Acne Creams Including Proactiv, ClearasilNikki Haley Ends 2024 Bid, Setting Up Trump-Biden RematchNew York to Deploy National Guard to NYC Subways to Fight CrimeStocks and Bonds Climb as Powell Sticks to Script: Markets WrapEgypt’s Devaluation and Record Rate Hike Put IMF Deal in ReachThe announcement followed swift moves earlier Wednesday to float the currency — tanking the pound as much as 38% — and hike interest rates by a record 600 basis points as the country led by President Abdel-Fattah El-Sisi has sought to meet longstanding economic reforms demanded from the IMF and backed by the US.The IMF deal — as well as a crucial $35 billion recent investment commitment from the United Arab Emirates — underscores Egypt’s importance as a Middle East stalwart that’s too big to fail amid Israel’s war with Hamas and a conflict raging in neighboring Sudan.Efforts to unlock the long-expected IMF loan and economic reforms were accelerated by the massive injection of cash from the UAE, via Abu Dhabi wealth fund ADQ, announced in late February.El-Sisi’s government plays a key role alongside the US and Qatar in trying to halt the crisis in bordering Gaza and chart a two-state solution with Israel.Egypt has also been particularly hammered by conflict in recent years, with Russia’s invasion of Ukraine driving up wheat and oil import prices that drained dollar reserves, and the spillovers from the Israel-Hamas war hurting tourism and Suez Canal fees, both crucial sources of hard currency.“We are on the right track for the country to be economically stable and strong,” Central Bank of Egypt Governor Hassan Abdalla said Wednesday night in Cairo, adding that the bank didn’t intervene in the foreign exchange market earlier in the day as the pound tanked.Story continuesThe currency flotation may stoke inflation that’s already running near 30% and hurt Egyptians in the short term. But authorities are banking on the reforms attracting foreign investors back to the country of 105 million people and ending its worst economic crisis in decades.“This basically means that Egypt is in a better position to meet all its short-term debt obligations and in fact also access new debt including eurobonds,” said Bilal Bassiouni, head of Middle East and North Africa forecasting for consulting firm Pangea-Risk. “We believe Egypt will be one of the new clients for eurobonds in 2024.”Egypt’s sovereign bonds have delivered total returns of 24% to investors this year, the second-best performer among peers in emerging markets, according to a Bloomberg index, amid expectations a deal with the IMF would be clinched and more dollars investments would flow in.What Bloomberg Economics Says...“A $35 billion bailout from the UAE has unlocked a policy chain reaction in Egypt today. The central bank has lifted interest rates. Authorities have floated the currency. The official exchange rate has converged to the black-market rate. And the country has agreed a deal with the IMF. The measures should unlock enough funds for Egypt to address its dollar shortages in the short term.”— Ziad Daoud, chief emerging-markets economistFor the full note, click hereEgypt, already the IMF’s second-biggest borrower after Argentina, expects to get access to around $1.2 billion in additional financing from the lender, Prime Minister Mostafa Madbouly said during a briefing Wednesday. The country will also set a ceiling for total public investments at 1 trillion pounds ($20 billion) in the next fiscal year 2024-2025, according to Madbouly, “this includes all state’s entities,” he said.The IMF also expects announcements soon on additional aid from “key partners,” the fund’s mission chief to the North African nation, Ivanna Vladkova Hollar, said in a separate briefing when asked about loans from its sister institution, the World Bank.The pound earlier Wednesday dropped below 50 per dollar, having traded at about 30.9 for the past year. It started falling minutes after the central bank raised its main interest rate to a record 27.25% at an unscheduled meeting.Most of Egypt’s sovereign dollar bonds rose, though they pared the morning’s gains. Longer-dated dollar bonds climbed the most, with notes due in 2050 rising as much as 3.5 cents on the dollar before trimming gains, according to indicative pricing data compiled by Bloomberg.Economic reforms for Egypt’s program include “a move to a flexible exchange rate system, tightening of monetary and fiscal policies, and a slowdown in infrastructure spending,” the IMF said in a statement Wednesday. This can help “reduce inflation, and preserve debt sustainability, while fostering an environment that enables private sector activity,” it said.The IMF also said it had reached a staff-level agreement with Egypt on two delayed program reviews on an earlier $3 billion loan secured more than a year ago. Payments on that loan, which has been expanded by the new program, were held up as the fund waited for authorizes to make good on reforms, including greater currency flexibility.“Egypt’s international and regional partners will play a critical role in facilitating the implementation of the authorities’ policies and reforms,” the IMF said in the statement, adding that the UAE’s recent investment deal in Ras El-Hekma “alleviates the near-term financing pressures.”--With assistance from Srinivasan Sivabalan, Zijia Song and Mike Cohen.Most Read from Bloomberg BusinessweekHow Apple Sank About $1 Billion a Year Into a Car It Never BuiltHumanoid Robots at Amazon Provide Glimpse of an Automated WorkplaceThe Battle to Unseat the Aeron, the World’s Most Coveted Office ChairImmigration Rage Drowns Out the US Labor Market’s Need for WorkersElon Musk Is Right About OpenAI But for the Wrong Reasons©2024 Bloomberg L.P.

Bloomberg

Egypt Unlocks $8 Billion IMF Loan to Ease Crisis With FX Float

https://finance.yahoo.com/news/egypt-gets-breakthrough-imf-deal-142908902.html

df189bbc-0310-3a79-8da6-2905ae47e9d7

MCO

(Bloomberg) -- In barely 10 days, Egypt has gone from the brink of economic disaster to unlocking more than $40 billion of investments and loans from the United Arab Emirates and International Monetary Fund, with the likelihood of more to come from Saudi Arabia and others.Most Read from BloombergChemical Linked to Cancer Found in Acne Creams Including Proactiv, ClearasilHuawei Chip Breakthrough Used Tech From Two US Gear SuppliersChina Readies $27 Billion Chip Fund to Counter Growing US CurbsS&P 500 Rally Hits a Wall Near All-Time Highs: Markets WrapBiden Jump-Starts 2024 Race in State of the Union Aimed at TrumpOn Wednesday, as part of that, it delivered its biggest-ever interest-rate hike and allowed its currency to weaken more than 38% through a long-awaited flotation. It also announced an existing IMF rescue package would be more than doubled to $8 billion.The moves were the culmination of global efforts — led by oil-rich Gulf states and the IMF, and backed by the US — to stabilize a country seen as crucial for the Middle East and which has been hammered by soaring inflation and a war on its border.Foreign investors are already hailing the turnaround and saying they expect Egypt to attract billions of dollars from bond traders in the coming months.The next step for the country, home to 105 million people, may be a land investment from Saudi Arabia.Egyptian and Saudi authorities are in talks over the development rights for a northern Red Sea coast area known as Ras Gamila, people familiar with the matter said, asking not to be identified because the negotiations aren’t public. Saudi authorities did not respond to requests for comment.If a deal’s agreed, it would see the kingdom follow neighboring UAE, which announced a $35 billion investment — the biggest in Egypt’s history — in late February. Most of that will be to develop a peninsula on the Mediterranean coast called Ras El-Hekma.“Egypt reached a breaking point and the size of Ras El-Hekma deal showed the depth of the crisis,” said Monica Malik, chief economist at Abu Dhabi Commercial Bank PJSC. “Neither the UAE nor other Gulf countries want to see another Arab Spring or political turmoil in Egypt.”Story continuesEgypt’s latest economic tumult began in 2022, when Russia’s invasion of Ukraine sent commodity prices surging and pushed up the cost of imported wheat and fuel. Bond investors fled en masse, pulling about $20 billion from the North African country.Israel’s war with Hamas in Gaza exacerbated the pressures. Some tourists stayed away from Egypt’s beaches and ancient sites, while shipping attacks by Houthi militants in the Red Sea caused traffic through the Suez Canal — a critical source of income for Egypt — to dive.Egypt has, along with the US and Qatar, been a key mediator in cease-fire talks. It’s tried to get more aid into Gaza, though it’s resisted calls to take in hundreds of thousands of Palestinian civilians. It says that would undermine their cause for an independent state and pose a security threat if Hamas fighters came with them.The negotiations between Egyptian and Saudi authorities over Ras Gamila — which sits near the Sinai resort city of Sharm El-Sheikh and across the Red Sea from Saudi Arabia’s Neom mega-project — are at early stages and could fall through, the people said.The site’s far smaller than Ras El-Hekma, which is about three times the size of Manhattan. Still, any agreement may still amount to several billion dollars.The UAE’s recent moves in Egypt, including snapping up stakes in government-held companies, caused Saudi Arabia, which views itself as the regional political heavyweight, to accelerate its own deal talks, said some of the people.“Other investments with more Gulf partners will likely follow the Emirati one,” said Omar Monieb, a senior analyst for the Middle East and North Africa at Eurasia Group.Read More: Egypt Expects IMF Deal to Catalyze $20 Billion in Foreign FundsOn Thursday evening, Egyptian Finance Minister Mohamed Maait said he expected another $1.2 billion from the IMF and billions more from the World Bank, European Union, the UK and Japan.Those funds should provide Egypt with enough cash to keep its newly-floated currency steady and meet its debt obligations. They may lead to an upgrade in the credit rating of Egypt, which sits far into junk territory, and thus lower its borrowing costs, according to Monieb.Moody’s Investors Service has already changed the outlook on Egyptian sovereign debt to positive from negative, increasing the chances of a rating upgrade.Gulf nations have long been a source of support for Egypt. But that money became more conditional in recent years as the UAE, Saudi Arabia and Qatar looked to make attractive investments rather than just provide handouts.The war in Gaza made the situation more urgent, people familiar with the matter said.“The crisis around Gaza has re-emphasized Egypt’s geopolitical leverage,” said Bilal Bassiouni, head of Middle East and North Africa forecasting for consulting firm Pangea-Risk. It made countries focus even more on stabilizing Egypt given its “size and impact on regional political dynamics.”--With assistance from Fiona MacDonald, Matthew Martin and Mike Cohen.(Updates with minister’s comments on funding from likes of World Bank, European Union, UK and Japan.)Most Read from Bloomberg BusinessweekHow Apple Sank About $1 Billion a Year Into a Car It Never BuiltHow Microsoft’s Bing Helps Maintain Beijing’s Great FirewallThe Battle to Unseat the Aeron, the World’s Most Coveted Office ChairAirbus Is Soaring at Boeing’s ExpenseElon Musk Is Right About OpenAI But for the Wrong Reasons©2024 Bloomberg L.P.

Bloomberg

Multi-Billion Gulf Power Play Focuses on Egypt as Mideast War Rages

https://finance.yahoo.com/news/multi-billion-gulf-power-play-123250670.html

46388396-8e75-38c1-91c8-ec23c399bbed

MDLZ

In this article, we will take a detailed look at the 10 Best Stocks to Buy Before US Election Season 2024. For a quick overview of such stocks, read our article 5 Best Stocks to Buy Before US Election Season 2024.As if anticipation of rate cuts, the Fed's battle against inflation and keeping up with AI-fueled rally in stocks wasn’t enough for investors, the upcoming election-related anxieties are starting to make the financial markets jittery. There are a number of credible reports out there that discuss the behavior of financial markets during US election years. For example, a Morgan Stanley report analyzed some data to see how the S&P 500 performs during election years. This analysis shows that during presidential election years from 1928 through 2016, the stock market has seen more positive performance than negative. The report also said the election of a Republican president resulted in average gains of 15.3% for the S&P 500, compared to a 7.6% gain when a Democrat president comes in the White House.A 2020 report by T. Rowe Price analyzed historical data on the connection between US elections and the stock market and found some interesting patterns. For example, the report said if the stock market performance is strong ahead of elections in the US, data shows that chances of the incumbent party staying in power increase. On the other hand, when the stock market is soft heading into elections, incumbent party often loses. But does that mean President Joe Biden could notch a second term if the Fed begins to cut rates in the summer and stocks keep gaining ahead of the election? That would be wrong conclusion to deduce from this pattern as the T. Rowe report shed light on a plethora of factors that affect the relationship between the stock market performance and election results. The report also said historical data shows if the incumbent party loses an election, a recession year follows:Story continues"Conventional wisdom argues that stock markets tend to perform poorly ahead of elections. Since 70% of the years when the incumbent party lost were followed by a recession year, it makes sense that equity markets performed poorly in the wake of the elections when the incumbent party lost."If you were to ask an average American today about the hottest issues that would be the point of focus in the US election this year, chances are that their answer would be inflation. But we are still months away from the election and a lot could change. Morgan Stanley analyst Michael D. Zezas recently said in a report that in 2008 expectations were that the elections would move around the US foreign policy. But the financial crisis changed everything. Similarly, presidential candidates in the US election 2020 focused their energies on healthcare and pandemic.Best Stocks to Buy Before US Election Season 2024Photo by History in HD on UnsplashMethodology For this article we went through multiple research reports and analyses of experts who took a look at what stocks and sectors usually benefit during election years. We picked 10 stocks which analysts are specifically recommending investors in 2024 because of election-related catalysts. Some top names include JPMorgan Chase & Co. (NYSE:JPM), Exxon Mobil Corp (NYSE:XOM) and  Pfizer Inc (NYSE:PFE).10. Sempra (NYSE:SRE)Number of Hedge Fund Investors: 33Goldman Sachs in its November 2023 report highlighting election 2024 stocks named Sempra (NYSE:SRE), the California-based utility company which has a dividend yield of about 3.38%. Goldman Sachs analyst Carly Davenport said the following about Sempra (NYSE:SRE):“This quarter increased our conviction that Sempra (NYSE:SRE)’s Texas utility Oncor is a material strength for the company. The reduction of regulatory lag, potential increase in capex, and a clear runway for organic load growth in the region all highlight why we have viewed Oncor as an underappreciated asset for Sempra (NYSE:SRE). We believe SRE has several key catalysts ahead, including the aforementioned capex raise, the conclusion of the California GRC (general rate case), and the announcement of FID for the Cameron expansion and Port Arthur Phase 2 in 2024. Sempra (NYSE:SRE) continues to trade at a 0.7x discount to our coverage group on our 2025 numbers, which we view as unwarranted given these strengths."ClearBridge Large Cap Value Strategy made the following comment about Sempra (NYSE:SRE) in its Q3 2023 investor letter:“Our two utilities Sempra (NYSE:SRE) and Edison International were also negatively impacted by rising rates, although both outperformed the utility benchmark. We maintain a large active overweight to Sempra and added opportunistically to Edison to reflect its strong fundamentals.”9. Fox Corp Class B (NASDAQ:FOX)Number of Hedge Fund Investors: 38Fox Corp Class B (NASDAQ:FOX) will be one of the biggest beneficiaries of the huge political ad spending in the US ahead of the 2024 elections. A latest Reuters report cited data from Insider Intelligence which said political ads spending in 2024 will be 30% more than 2020. The data said a whopping 71.9% of this total spending will be funneled to TV.Earlier this month Fox Corp Class B (NASDAQ:FOX) posted fiscal second quarter results. Adjusted EPS in the period came in at $0.34, beating estimates by $0.22. Revenue in the period fell 8.2% year over year to $4.23 billion, beating estimates by $20 million.Fox Corp Class B (NASDAQ:FOX) management talked about its expectations regarding political ads revenue and other important updates during the earnings call earlier this month:"We have an impact from preemptions with election and unfortunately with war coverage. So the preemptions are affecting and ratings are continuing to improve. So we’re happy with where we are at Fox News as all those trends are improving steadily. Local stations is probably the most mixed. But you have a bad comparison, particularly in the current pacings with Super Bowl comps this time last year. It’s probably about $50 million in Super Bowl revenue, just in the station group this time last year.So the comparisons are quite tough as we go forward, but we remain confident that we’ll see a record political cycle. This is slightly ameliorated, I think in the current quarter with the lack of a competitive primary competition, but we’re already seeing business in the first half of next year start to flow in from a political perspective. And it’s — obviously, it’s sort of natural because our stations, we have large number of stations in key political markets like Georgia and Michigan, Pennsylvania, Arizona and Wisconsin. So we’re very confident in a very strong political cycle once that really starts to flow. And then finally with Tubi. Tubi’s TBT is continued to grow, I think at 62%, 63%. And obviously with the TBT growth, the revenue is following, the revenue growth is slightly less or somewhat less than it was last year."Read the entire earnings call transcript here.8. Caterpillar Inc. (NYSE:CAT)Number of Hedge Fund Investors: 48Caterpillar Inc. (NYSE:CAT) was one of the biggest beneficiaries of the huge infrastructure spending plans initiated by the Biden administration. Goldman Sachs believes if the Republicans come into power, infrastructure stocks like Caterpillar Inc. (NYSE:CAT) will continue to grow as the new government will begin constructions on borders to stop illegal immigrants.Earlier this month, Caterpillar Inc. (NYSE:CAT) posted fourth quarter results. Adjusted profit jumped 35% from a year earlier to $5.23 a share, surpassing estimates of a $4.75 per share profit.In addition to Caterpillar, hedge funds are also buying JPMorgan Chase & Co. (NYSE:JPM), Exxon Mobil Corp (NYSE:XOM) and  Pfizer Inc (NYSE:PFE).Diamond Hill Large Cap Strategy made the following comment about Caterpillar Inc. (NYSE:CAT) in its Q3 2023 investor letter:“Caterpillar Inc. (NYSE:CAT), the world’s leading manufacturer of construction and mining equipment, also performed well this quarter. Caterpillar has managed to leverage increased capital investment from various end markets, contributing to better than expected fiscal results for Q2. The company is poised to be one of the largest beneficiaries of several government funding initiatives, including the IRA (Inflation Reduction Act) bill, CHIPS Act and infrastructure bill. These measures are expected to support construction spending for several years, providing a robust backdrop for Caterpillar’s continued growth.”7. MONDELEZ INTERNATIONAL INC Common Stock (NASDAQ:MDLZ)Number of Hedge Fund Investors: 51In November 2023 Goldman Sachs published a report discussing the US election and its possible impact on the stock market. Goldman Sachs mentioned a couple of stocks it believes were poised to gain strength during the election years. MONDELEZ INTERNATIONAL INC Common Stock (NASDAQ:MDLZ) was one of these stocks. Goldman Sachs said consumer defensive is one of the sectors that perform well during election years.Goldman Sachs analyst Jason English praised MONDELEZ INTERNATIONAL INC Common Stock's (NASDAQ:MDLZ) spending in commercial and business expansion in other countries. The analyst set an $82 price target on the stock with a Buy rating.6. Lockheed Martin Corp (NYSE:LMT)Number of Hedge Fund Investors: 58Defense stocks will remain in the spotlight amid growing security concerns and a volatile geopolitical situation. The conflict in the Middle East and raging war in Ukraine will keep forcing the US to up its defense spending no matter the outcome of the Presidential Election in 2024.A latest report by Reuters recently said that Lockheed Martin Corp (NYSE:LMT) plans to boost output of weapons systems to meet greater demand amid growing worries about security. The report said Lockheed Martin Corp (NYSE:LMT) plans to double its production of High Mobility Artillery Rocket Systems (HIMARS).In addition to Lockheed, JPMorgan Chase & Co. (NYSE:JPM), Exxon Mobil Corp (NYSE:XOM) and  Pfizer Inc (NYSE:PFE) can also gain this year according to analysts.RiverPark Advisors made the following comment about Lockheed Martin Corporation (NYSE:LMT) in its Q3 2023 investor letter:“Lockheed Martin Corporation (NYSE:LMT): LMT is the world’s largest aerospace and defense contractor. With about 70% of its $66 billion in revenue from the U.S. government, the company is well positioned to benefit from U.S. defense budget growth, historically 5%-6% per year, as well as increased global military spending. With a $158 billion backlog and almost 30% of its revenue coming from building F-35 aircraft with deliveries forecast to reach 180 per year (up from 141 in 2022) in the coming years, we believe the company could grow at a higher rate than overall defense budget growth and Street expectations over the next several years. Further, strategic acquisitions, debt repayment, a 2.9% dividend yield, and continued share buybacks from more than $6 billion per year of free cash flow should lead to even greater shareholder returns. We re-initiated a small position in August.” Click to continue reading and see the 5 Best Stocks to Buy Before US Election Season 2024. Suggested Articles:11 Best Battery Stocks To Buy Before They Take Off12 Best Breakout Stocks To Buy Right Now14 Best Robotics Stocks To Buy NowDisclosure: None. 10 Best Stocks to Buy Before US Election Season 2024 is originally published on Insider Monkey.

Insider Monkey

10 Best Stocks to Buy Before US Election Season 2024

https://finance.yahoo.com/news/10-best-stocks-buy-us-193229916.html

9d2c3400-3c48-3736-8930-781fc50265d7

MDLZ

For those looking to find strong Consumer Staples stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Mondelez (MDLZ) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Staples sector should help us answer this question.Mondelez is one of 193 individual stocks in the Consumer Staples sector. Collectively, these companies sit at #14 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Mondelez is currently sporting a Zacks Rank of #2 (Buy).The Zacks Consensus Estimate for MDLZ's full-year earnings has moved 1.7% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.Our latest available data shows that MDLZ has returned about 2.1% since the start of the calendar year. In comparison, Consumer Staples companies have returned an average of 1.9%. As we can see, Mondelez is performing better than its sector in the calendar year.Another Consumer Staples stock, which has outperformed the sector so far this year, is Marine Harvest ASA (MHGVY). The stock has returned 6.4% year-to-date.For Marine Harvest ASA, the consensus EPS estimate for the current year has increased 6.9% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).Looking more specifically, Mondelez belongs to the Food - Miscellaneous industry, which includes 45 individual stocks and currently sits at #160 in the Zacks Industry Rank. On average, this group has gained an average of 2.5% so far this year, meaning that MDLZ is slightly underperforming its industry in terms of year-to-date returns. Marine Harvest ASA is also part of the same industry.Story continuesInvestors interested in the Consumer Staples sector may want to keep a close eye on Mondelez and Marine Harvest ASA as they attempt to continue their solid performance.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 reportMondelez International, Inc. (MDLZ) : Free Stock Analysis ReportMarine Harvest ASA (MHGVY) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Are Consumer Staples Stocks Lagging Mondelez International (MDLZ) This Year?

https://finance.yahoo.com/news/consumer-staples-stocks-lagging-mondelez-144011142.html

93a733f2-ce5a-39d2-9efa-62a6b59d63aa

MDLZ

Two of my favorite pastimes are enjoying good food and finding new ways to generate passive income. For me, the two go hand in hand. The more passive income I can produce, the more my wife and I can spend time on enjoying different food experiences together.I've found that investing in dividend-paying food stocks can be a great way to satisfy both cravings. I can use the income they produce to fund new food adventures. Starbucks (NASDAQ: SBUX), Mondelez (NASDAQ: MDLZ), and Four Corners Properties Trust (NYSE: FCPT) offer appetizing income streams. Here's a closer look at their dividends.Caffeinated dividend growthStarbucks currently pays a 2.5%-yielding dividend. That's well above the S&P 500 index's 1.4% dividend yield. One of the big things Starbucks brings to the table is dividend growth. The coffee giant has grown its payout at an impressive 20% compound annual rate since it started paying dividends 13 years ago. It most recently increased its payout by 7.5% last September. Starbucks is in a strong position to continue growing its above-average payout at a strong clip. The company launched its triple-shot reinvention strategy last fall to accelerate growth and increase its profitability. The company aims to grow its already massive store count to 55,000 global locations by 2030 (up from over 38,000) while unlocking over $3 billion in cost savings. These catalysts should drive 10%+ annual revenue growth and 15%+ annual earnings growth over the long term. That strong earnings growth should enable Starbucks to continue increasing its dividend at a solid rate. Snacking on a steadily rising payoutMondelez offers a 2.4%-yielding dividend. The global snacking giant has delivered double-digit annual dividend growth over the last five years, including a 10% increase in 2023. The maker of Oreo cookies and Ritz crackers expects to continue growing at a solid rate. It sees its organic net revenue rising by 3% to 5% this year with high-single-digit adjusted per-share growth. It also expects to continue producing robust free cash flow ($3.5 billion), the bulk of which it will likely return to shareholders through dividends and repurchases. It aims to grow the dividend around the same rate as its adjusted earnings, suggesting a floor growth rate in the high single digits. Story continuesMondelez aspires to accelerate its already solid organic growth rate by making acquisitions. It has completed nine deals since 2018 that have added more than $3 billion in annual revenue. The company is in an excellent position to continue making acquisitions as promising opportunities arise. It has a strong balance sheet, which it recently bolstered by selling its gum brands in developed markets. Its acquisition focus in recent years has been on buying healthier and premium brands to increase its market share in core categories and expand into adjacent ones. Future deals could enable Mondelez to grow its earnings and dividend even faster. A plate full of dividend incomeFour Corners Property Trust offers a very appealing dividend yield of 5.7%. The real estate investment trust (REIT) supports that payout primarily with rental income generated by its portfolio of restaurant properties. It owns over 1,100 properties leased to nearly 150 brands, led by Darden Restaurants concepts Olive Garden (37.1% of its annual base rent) and Longhorn Steakhouse (10.4%). It also owns restaurants leased to Brinker International (Chili's), Buffalo Wild Wings, and many others. On top of that, the REIT has a growing portfolio of nonrestaurant properties (20% are auto service, medical retail, and other retail properties). The REIT completes a number of acquisitions each year. It spent $333 million to buy 88 properties last year. Restaurants made up 39% of its volume in 2023, with the balance being nonrestaurant retail properties. The company's conservative financial profile gives it the flexibility to continue acquiring income-producing properties. Four Corners Property Trust's expanding portfolio has grown its income, enabling the REIT to steadily increase its dividend. It has boosted its payout by more than 40% since Darden spun off its real estate to form the REIT in 2015. That payout should continue rising as its portfolio and rental income grow. Hearty dividendsStarbucks, Mondelez, and Four Corners Property Trust all pay dividends with above-average yields. Further, all three should be able to continue increasing their payouts. That makes them great options for investors seeking to satisfy their hunger for passive income.Should you invest $1,000 in Starbucks right now?Before you buy stock in Starbucks, consider this:The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Starbucks wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.See the 10 stocks*Stock Advisor returns as of March 8, 2024Matt DiLallo has positions in Starbucks. The Motley Fool has positions in and recommends Starbucks. The Motley Fool has a disclosure policy.Hungry for More Income? 3 Tasty Dividend Stocks to Buy Right Now. was originally published by The Motley Fool

Motley Fool

Hungry for More Income? 3 Tasty Dividend Stocks to Buy Right Now.

https://finance.yahoo.com/news/hungry-more-income-3-tasty-113800414.html

5484f639-a12b-3b77-a26e-ebd69582a923

MDLZ

What To Expect From Mission Produce’s (AVO) Q1 EarningsAvocado company Mission Produce (NASDAQ:AVO) will be announcing earnings results tomorrow afternoon. Here's what you need to know.Last quarter Mission Produce reported revenues of $257.9 million, up 8.4% year on year, missing analyst expectations by 10.6%. It was a mixed quarter for the company, with volumes missing expectations based "on continued weather-related challenges in Peru", leading to a revenue shortfall vs. Consensus expectations. However, gross margin was in line and operating expenses were lower than expected, leading to a slight EPS beat.Is Mission Produce buy or sell heading into the earnings? Read our full analysis here, it's free.This quarter analysts are expecting Mission Produce's revenue to decline 1.3% year on year to $210.8 million, improvement on the 1.4% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.07 per share.Mission Produce Total RevenueMajority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company missed Wall St's revenue estimates four times over the last two years.Looking at Mission Produce's peers in the packaged food segment, some of them have already reported Q1 earnings results, giving us a hint of what we can expect. Mondelez delivered top-line growth of 7.1% year on year, beating analyst estimates by 0.2% and Vital Farms reported revenues up 23.4% year on year, exceeding estimates by 3.7%. Mondelez traded down 3.1% on the results, Vital Farms was up 9.8%.Read our full analysis of Mondelez's results here and Vital Farms's results here.Investors in the packaged food segment have had steady hands going into the earnings, with the stocks up on average 0.5% over the last month. Mission Produce is up 0.4% during the same time, and is heading into the earnings with analyst price target of $12.3, compared to share price of $10.74.When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.

StockStory

What To Expect From Mission Produce’s (AVO) Q1 Earnings

https://finance.yahoo.com/news/expect-mission-produce-avo-q1-070052396.html

906c80bd-94fb-3eed-aaf3-93f7f582e334

MDT

Dive Brief:Medtronic plans to transfer or offer “transitional support” to employees who may be affected by its decision to exit the ventilator market and reorganize the remaining respiratory and patient monitoring businesses into a new unit, a company spokesperson said in an email to MedTech Dive.The company said the decision is the “right strategic move for our business” but did not specify how many workers it will impact. “The decision to wind down the ventilator business is not made lightly and there is a great deal of consideration for our employees and how they are affected,” the spokesperson wrote in the statement. “While there may be impacts, we will work to redeploy employees currently in the ventilator business to roles in other parts of Medtronic where possible or offer comprehensive transitional support.”At the time of publication, Medtronic did not respond to MedTech Dive’s additional request for comment on how many people could be transferred or offered transitional support.Dive Insight:Last week, Medtronic said it would shut down its ventilator product lines and reorganize the remaining patient monitoring and respiratory interventions businesses into a new unit, called Acute Care and Monitoring. The decision reverses a planned spin-off of the businesses announced in October 2022.CEO Geoff Martha said on an earnings call that the company decided against spinning off or selling the units as the ventilator business “became increasingly unprofitable” and the market favored lower acuity ventilators, which is not Medtronic’s expertise. Martha also explained the dynamics of the patient monitoring market improved for Medtronic.“Our improved competitive positioning — in our monitoring business, in particular — changed over the last year. As we are working on the process, we continue to run the business, and it performed well. And the competitive dynamics versus our main competitor, Masimo, changed significantly for the positive for us,” he said. “We believe that we can ensure that change is durable with the increased investment.”Story continuesThe savings from exiting the ventilator business will help increase investment in the new unit.While employees in the ventilator unit may be affected by the strategic shift, a spokesperson wrote that a manufacturing site in Galway, Ireland, which currently manufactures ventilators, will continue to be an important facility for Medtronic.“Since 2020, our product lines at the site have diversified and we will continue to look for new investment opportunities for this location,” the spokesperson wrote. “Medtronic uses an established process designed to ensure we have the talent and skills needed to meet the current and future needs of our businesses to ensure we will be staffed accordingly.”Medtronic also noted the “role our Irish employees played in driving ventilator innovation and responding to the global needs for ventilators during the COVID-19 pandemic,” including significantly increasing production.This story was originally published on MedTech Dive. To receive daily news and insights, subscribe to our free daily MedTech Dive newsletter.

MedTech Dive

Medtronic will transfer or offer comprehensive support to workers affected by ventilator exit

https://finance.yahoo.com/news/medtronic-transfer-offer-comprehensive-support-120500130.html

c7b88fd8-e318-3859-8209-4c56bdd196c8

MDT

Orchestra BioMed Holdings, Inc.8.9 mmHg mean reduction in 24-Hour ambulatory systolic blood pressure at average of 3.6 years from initiation of AVIM therapy in patients who participated in the MODERATO II study Orchestra BioMed is actively enrolling patients in the BACKBEAT pivotal study of AVIM therapy in hypertensive pacemaker patients NEW HOPE, Pa., Feb. 26, 2024 (GLOBE NEWSWIRE) -- Orchestra BioMed Holdings, Inc. (Nasdaq: OBIO, “Orchestra BioMed” or the “Company”), a biomedical company accelerating high-impact technologies to patients through risk-reward sharing partnerships, today announced the presentation of new data demonstrating the long-term effect of atrioventricular interval modulation (“AVIM”) therapy (also known as BackBeat CNT™) on generating clinically-meaningful reductions in 24-hour ambulatory systolic blood pressure (“aSBP”) in pacemaker-indicated patients with uncontrolled hypertension despite the use of antihypertensive medications. The data were presented by Avi Fischer, M.D., Senior Vice President of Medical Affairs and Innovation of Orchestra BioMed in a scientific session at the Innovation in Cardiovascular Interventions (“ICI”) 2024 Meeting.“People who suffer from hypertension face a lifelong burden of blood pressure management. This is particularly relevant in the pacemaker-indicated population of older patients who have a higher risk of other co-morbidities and adverse clinical outcomes,” commented Dr. Fischer. “These new long-term follow up data demonstrate AVIM therapy’s ability to drive a substantial and sustained reduction in 24-hour ambulatory systolic blood pressure, the gold standard, and most accurate measure of hypertension. Seeing substantial sustained ambulatory blood pressure reductions in patients treated with AVIM therapy for over three and a half years on average reinforces our confidence in the potential of this novel therapy to have a clinically meaningful and long-lasting beneficial effect on hypertensive pacemaker patients.”Story continuesReduction in aSBP measured at 6 months from randomization and therapy activation was the primary endpoint of the MODERATO II study, a European multi-center, double-blind, randomized pilot study involving 47 subjects. Patients randomized to AVIM therapy and antihypertension medication in that study experienced an 11.1 mmHg (p<0.001) reduction in mean aSBP at 6 months follow-up, resulting in a statistically significant difference of 8.1 mmHg compared to control patients who were managed only with antihypertensive medications (p=0.01).1Long-term blood pressure results are from a follow-up study of 16 patients originally enrolled in the MODERATO II study. This group included eight patients from the MODERATO II AVIM treatment arm and eight control arm patients that crossed over to AVIM therapy at the end of the 6-month double-blind phase. Each patient’s aSBP was measured an average of 3.6 (±0.6) years following original initiation of AVIM therapy. As a group and based on individual paired data, these patients continued to experience a statistically significant, clinically meaningful mean aSBP reduction of 8.9 mmHg, identical to the 8.9 mmHg mean reduction in aSBP seen in this same group of patients at the 6-month primary aSBP measurement endpoint of the original study.AVIM therapy is an investigational patented bioelectronic therapy, administered using a standard dual-chamber pacemaker, designed to immediately, substantially and persistently reduce blood pressure. Orchestra BioMed and Medtronic plc (NYSE: MDT) (“Medtronic”) formed a strategic collaboration for the development and commercialization of AVIM therapy for hypertensive pacemaker patients in July 2022. If AVIM therapy is approved by the U.S. Food and Drug Administration, Medtronic will have exclusive global rights to commercialize AVIM-enabled pacing systems for this target population, and Orchestra BioMed will share in the revenues generated from Medtronic sales of the AVIM-enabled pacing systems.Orchestra BioMed is actively enrolling patients in the BACKBEAT pivotal study, a global, multi-center, prospective, randomized, double-blind study investigating the efficacy and safety of AVIM therapy in patients who have recently undergone implantation of a Medtronic dual-chamber cardiac pacemaker and have uncontrolled hypertension despite the use of antihypertensive medications. The study’s primary efficacy endpoint will determine at three months post-randomization whether AVIM-treated patients experience a statistically significant reduction in aSBP as compared to control patients. More information on the BACKBEAT pivotal study can be found at: https://clinicaltrials.gov/study/NCT06059638.About Hypertension and the Risk of High Blood Pressure in the Pacemaker PopulationHypertension (“HTN”) is characterized by elevated blood pressure which increases the force of blood pushing against blood vessels, requiring the heart to work harder and consume more oxygen. HTN accelerates the progression of atherosclerosis and leads to increased risk of major cardiac events like heart attack, heart failure, kidney disease and other end organ damage. HTN is the leading global risk factor for death, affecting an estimated 1.28 billion adults worldwide. In the United States, 122 million adults, or approximately 47% of all adults, are estimated to have HTN. While many patients do not notice high blood pressure, cardiovascular risk doubles for every 10-mmHg increase in systolic blood pressure and the mortality rate doubles with an increase of 20 mmHg in systolic blood pressure.2It is estimated that more than 70% of the approximately 1.1 million people globally who are implanted with cardiac pacemakers each year are also diagnosed with HTN. Based on updated American College of Cardiology/American Heart Association guidelines, an even higher percentage (approximately 80%) of U.S. patients that are indicated for the implant of a pacemaker have HTN. Pacemaker patients tend to be elderly and are more likely to suffer from co-morbidities such as atherosclerosis, hyperlipidemia, diabetes mellitus and chronic kidney disease, and harder to treat effectively with medical therapy for many reasons including co-morbidities and a high prevalence of isolated systolic HTN.About AVIM Therapy (BackBeat CNT™)AVIM therapy, also known as BackBeat CNT™, is an investigational therapy compatible with standard dual-chamber pacemakers designed to substantially and persistently lower blood pressure. It has been evaluated in pilot studies in patients with hypertension who are also indicated for a pacemaker. MODERATO II, a double-blind, randomized, pilot study, showed that patients treated with AVIM therapy experienced net reductions of 8.1 mmHg in 24-hour ambulatory systolic blood pressure (aSBP) and 12.3 mmHg in office systolic blood pressure (oSBP) at six months when compared to control patients. The global IDE pivotal BACKBEAT (BradycArdia paCemaKer with atrioventricular interval modulation for Blood prEssure treAtmenT) study will further evaluate the safety and efficacy of AVIM therapy in lowering blood pressure in a similar target population of patients who have been indicated for, and recently implanted with, a dual-chamber cardiac pacemaker.About Orchestra BioMed Orchestra BioMed (Nasdaq: OBIO) is a biomedical innovation company accelerating high-impact technologies to patients through risk-reward sharing partnerships with leading medical device companies. Orchestra BioMed’s partnership-enabled business model focuses on forging strategic collaborations with leading medical device companies to drive successful global commercialization of products it develops. Orchestra BioMed’s lead product candidate is atrioventricular interval modulation (AVIM) therapy (also known as BackBeat Cardiac Neuromodulation Therapy (CNT™)) for the treatment of hypertension, a significant risk factor for death worldwide. Orchestra BioMed is also developing Virtue® Sirolimus AngioInfusion™ Balloon (SAB) for the treatment of atherosclerotic artery disease, the leading cause of mortality worldwide. Orchestra BioMed has a strategic collaboration with Medtronic, one of the largest medical device companies in the world, for development and commercialization of AVIM therapy for the treatment of hypertension in pacemaker-indicated patients, and a strategic partnership with Terumo, a global leader in medical technology, for development and commercialization of Virtue SAB for the treatment of artery disease. Orchestra BioMed has additional product candidates and plans to potentially expand its product pipeline through acquisitions, strategic collaborations, licensing and organic development. For further information about Orchestra BioMed, please visit www.orchestrabiomed.com, and follow us on LinkedIn.References to Websites and Social Media PlatformsReferences to information included on, or accessible through, websites and social media platforms do not constitute incorporation by reference of the information contained at or available through such websites or social media platforms, and you should not consider such information to be part of this press release.Forward-Looking Statements Certain statements included in this press release that are not historical facts are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “potential,” “seem,” “seek,” “future,” “outlook” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements relating to the enrollment, timing, implementation and design of the BACKBEAT pivotal study, the potential efficacy and safety of the Company’s commercial product candidates, the ability of the Company’s partnerships to accelerate clinical development, and the Company’s late-stage development programs, strategic partnerships and plans to expand its product pipeline. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of the Company’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on as a guarantee, an assurance, a prediction, or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and may differ from assumptions. Many actual events and circumstances are beyond the control of the Company. These forward-looking statements are subject to a number of risks and uncertainties, including changes in domestic and foreign business, market, financial, political, and legal conditions; risks related to regulatory approval of the Company’s product candidates and ongoing regulation of the Company’s product candidates, if approved; the timing of, and the Company’s ability to achieve, expected regulatory and business milestones; the impact of competitive products and product candidates; and the risk factors discussed under the heading “Item 1A. Risk Factors” in the Company’s quarterly report on Form 10-Q filed with the U.S. Securities and Exchange Commission on May 12, 2023, as updated by any risk factors disclosed under the heading “Item 1A. Risk Factors” in the Company’s subsequently filed quarterly reports on Form 10-Q.The Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time. Given these risks and uncertainties, the Company cautions against placing undue reliance on these forward-looking statements, which only speak as of the date of this press release. The Company does not plan and undertakes no obligation to update any of the forward-looking statements made herein, except as required by law.References: Kalarus et al. Journal of the American Heart Association. 2021;10:e020492 ahajournals.org/doi/10.1161/JAHA.120.020492.Benjamin EJ, Blaha MJ, Chiuve SE, et al., Heart Disease and Stroke Statistics – 2017 Update: A Report from the American Heart Association. Circulation. 2017; 135: e146.Investor Contact:Bob YedidLifeSci Advisors(516) [email protected] Media Contact:Kelsey Kirk-EllisOrchestra BioMed(484) [email protected]

GlobeNewswire

Orchestra BioMed Presents New Data Showing Sustained Clinically Meaningful Reduction in 24-Hour Ambulatory Systolic Blood Pressure in Hypertensive Pacemaker Patients Treated with AVIM Therapy for Over 3 Years

https://finance.yahoo.com/news/orchestra-biomed-presents-data-showing-130000676.html

34ee0ed8-e5ec-3e44-9d80-1a8196711fd5

MDT

Medtronic plc's (NYSE:MDT) investors are due to receive a payment of $0.69 per share on 12th of April. Based on this payment, the dividend yield on the company's stock will be 3.2%, which is an attractive boost to shareholder returns. See our latest analysis for Medtronic Medtronic's Dividend Is Well Covered By EarningsWhile it is great to have a strong dividend yield, we should also consider whether the payment is sustainable. The last payment made up 87% of earnings, but cash flows were much higher. Since the dividend is just paying out cash to shareholders, we care more about the cash payout ratio from which we can see plenty is being left over for reinvestment in the business.The next year is set to see EPS grow by 42.3%. If the dividend continues along recent trends, we estimate the payout ratio will be 67%, which would make us comfortable with the sustainability of the dividend, despite the levels currently being quite high.historic-dividendMedtronic Has A Solid Track RecordEven over a long history of paying dividends, the company's distributions have been remarkably stable. The dividend has gone from an annual total of $1.12 in 2014 to the most recent total annual payment of $2.76. This means that it has been growing its distributions at 9.4% per annum over that time. The dividend has been growing very nicely for a number of years, and has given its shareholders some nice income in their portfolios.Dividend Growth May Be Hard To AchieveThe company's investors will be pleased to have been receiving dividend income for some time. However, initial appearances might be deceiving. In the last five years, Medtronic's earnings per share has shrunk at approximately 2.4% per annum. If the company is making less over time, it naturally follows that it will also have to pay out less in dividends. It's not all bad news though, as the earnings are predicted to rise over the next 12 months - we would just be a bit cautious until this can turn into a longer term trend.Story continuesOur Thoughts On Medtronic's DividendOverall, it's nice to see a consistent dividend payment, but we think that longer term, the current level of payment might be unsustainable. The company has been bring in plenty of cash to cover the dividend, but we don't necessarily think that makes it a great dividend stock. We would be a touch cautious of relying on this stock primarily for the dividend income.Companies possessing a stable dividend policy will likely enjoy greater investor interest than those suffering from a more inconsistent approach. At the same time, there are other factors our readers should be conscious of before pouring capital into a stock. Given that earnings are not growing, the dividend does not look nearly so attractive. Very few businesses see earnings consistently shrink year after year in perpetuity though, and so it might be worth seeing what the 31 analysts we track are forecasting for the future. Is Medtronic not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Medtronic (NYSE:MDT) Will Pay A Dividend Of $0.69

https://finance.yahoo.com/news/medtronic-nyse-mdt-pay-dividend-102252229.html

dde9dcf4-fee1-3468-8329-8916340ae94e

MDT

Medtronic plc MDT recently presented a set of new clinical and real-world evidence on the MiniMed 780G system from around the world. The latest data reveals that the system withstands strong global performance, exceeding international targets for diabetes management.The data was presented at the 17th International Conference on Advanced Technologies and Treatments for Diabetes (ATTD) in Florence, Italy.Study DetailsAccording to the business, the findings are built on three years of data published in Diabetes Technology & Therapeutics, which showed that more than 100,000 real-world users achieved a Time in Range (TIR) of 78% when using recommended ideal settings, exceeding international standards of 70% TIR.New data was collected to assess how well the MiniMed 780G system can support users in meeting Time in Tight Range (TITR) goals. TITR is a recently developed supplemental statistic that more closely resembles the blood glucose levels of people without diabetes and is now being discussed among experts. It is the proportion of time an individual spends in the glucose range of 70-140 mg/dL. It is also known as normoglycemia or euglycemia. TITR lowers the Time in Range upper threshold from 180 mg/dL to 140 mg/dL.The results showed that users) achieved a TITR of more than 56% while using the recommended ideal settings. This study contributes to a growing body of research indicating that achieving a TITR objective of 50% or higher is a reasonable aim with the correct treatment.Benefits of New Study OutcomePer Medtronic’s management, in the absence of a cure, the company’s mission is to continually reinvent remedies to help individuals maximize their health without adding burden, as proved by its newest AID system.The introduction of AID systems has been nothing short of transformative in the practice of endocrinology. It is encouraging for the company to incorporate its preventive benefits on general health as early and frequently as possible. The data underlines the fact that the power of the algorithm should be the primary determining factor for AID system selection.Story continuesZacks Investment ResearchImage Source: Zacks Investment ResearchThe improvements included in this recent MiniMed 780G system have resulted in high satisfaction and better quality of life benefits.Industry ProspectsPer a Research report, the global automated insulin delivery system market was valued at $821.4 million in 2023 and is expected to witness a CAGR of 9.8% by 2030.Other Highlights of Diabetes BusinessIn January 2024, Medtronic achieved the CE Mark for the MiniMed 780G system with Simplera Sync, a disposable, all-in-one continuous glucose monitor (CGM) that does not require any fingersticks or over tape. The newest sensor is half the size of previous Medtronic sensors and features an improved user experience with a simple, two-step insertion process.In September 2023, Medtronic announced the CE Mark approval for the all-in-one, disposable Simplera CGM. The no-fingerstick sensor seamlessly integrates with the InPen smart insulin pen, which provides real-time, personalized dosing guidance to help simplify diabetes management. With less than 30% of individuals on MDI therapy using a CGM tend to achieve glycemic targets, MDT intends to allow more people to achieve their goals with the new Smart MDI (multiple daily injections) solutions.Price PerformanceIn the past six months, Medtronic’s shares have gained 6.9% compared with the industry’s rise of 11%.Zacks Rank and Key PicksMedtronic currently carries a Zacks Rank #3 (Hold).Some better-ranked stocks from the broader medical space are Stryker Corporation SYK, Cencora, Inc. COR and Cardinal Health CAH.Stryker, carrying a Zacks Rank #2 (Buy), reported a fourth-quarter 2023 adjusted EPS of $3.46, beating the Zacks Consensus Estimate by 5.8%. Revenues of $5.8 billion outpaced the consensus estimate by 3.8%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Stryker has an estimated earnings growth rate of 11.5% for 2025 compared with the S&P 500’s 9.9%. The company’s earnings surpassed estimates in each of the trailing four quarters, the average being 5.1%.Cencora, carrying a Zacks Rank #2, reported a first-quarter fiscal 2024 adjusted EPS of $3.28, which beat the Zacks Consensus Estimate by 14.7%. Revenues of $72.3 billion outpaced the Zacks Consensus Estimate by 5.1%.COR has an earnings yield of 5.75% compared with the industry’s 1.85%. The company’s earnings surpassed estimates in each of the trailing four quarters, the average being 6.7%.Cardinal Health, carrying a Zacks Rank #1, reported second-quarter fiscal 2024 adjusted earnings of $1.82, which beat the Zacks Consensus Estimate by 16.7%. Revenues of $57.45 billion increased 11.6% on a year-over-year basis and also topped the Zacks Consensus Estimate by 1.1%.CAH has a long-term estimated earnings growth rate of 15.3% compared with the industry’s 11.8% growth. The company’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 15.6%.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 reportMedtronic PLC (MDT) : Free Stock Analysis ReportStryker Corporation (SYK) : Free Stock Analysis ReportCardinal Health, Inc. (CAH) : Free Stock Analysis ReportCencora, Inc. (COR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Medtronic's (MDT) MiniMed 780G System Study Data Favorable

https://finance.yahoo.com/news/medtronics-mdt-minimed-780g-system-131700409.html

3a816421-9788-33ed-a232-2ffae2587c42

MET

MetLife (NYSE:MET) Full Year 2023 ResultsKey Financial ResultsRevenue: US$66.9b (down 2.7% from FY 2022).Net income: US$1.38b (down 73% from FY 2022).Profit margin: 2.1% (down from 7.4% in FY 2022). The decrease in margin was primarily driven by higher expenses.EPS: US$1.82 (down from US$6.35 in FY 2022).earnings-and-revenue-growthAll figures shown in the chart above are for the trailing 12 month (TTM) periodMetLife EPS Misses ExpectationsRevenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 45%.Looking ahead, revenue is forecast to grow 5.9% p.a. on average during the next 3 years, compared to a 5.9% growth forecast for the Insurance industry in the US.Performance of the American Insurance industry.The company's shares are up 1.9% from a week ago.Risk AnalysisIt's still necessary to consider the ever-present spectre of investment risk. We've identified 3 warning signs with MetLife, and understanding them should be part of your investment process.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

MetLife Full Year 2023 Earnings: EPS Misses Expectations

https://finance.yahoo.com/news/metlife-full-2023-earnings-eps-122937741.html

5c159f9a-67e7-3de8-8d2d-93dc7ec143e7

MET

NEW YORK, NY / ACCESSWIRE / February 20, 2024 / MetLife, Inc.MetLife, Inc. (NYSE:MET) today announced that for the fourth consecutive year it's earned a spot on JUST Capital's JUST 100 list, as part of their 2024 Rankings of America's Most JUST Companies. The JUST 100 reflects companies doing the best job of creating value for all their stakeholders, including colleagues, customers, communities, and shareholders."We are honored to be named one of America's Most JUST Companies, which recognizes how we care for our employees and deliver for our customers, communities and shareholders," said MetLife Chief Sustainability Officer Jon Richter. "As expectations across stakeholder groups evolve, we remain committed to sustaining lives and building a more confident future."To determine the annual ranking, JUST Capital, along with CNBC, collect and analyze corporate data to evaluate how the nation's largest corporations are performing on the business issues that matter most to Americans. For 2024, paying a fair, living wage; creating jobs in the U.S.; supporting workforce retention and training; providing benefits and work-life balance; protecting customer privacy; and minimizing pollution were among the issues the companies were scored on.MetLife's purpose - Always with you, building a more confident future - is at the heart of how it delivers value for stakeholders. In its annual Sustainability Report, MetLife details how it contributes to a more confident future as an employer, an investor and a provider of financial solutions and expertise.To learn more about how MetLife creates value for all its stakeholders, visit MetLife.com/Sustainability. To view the 2024 "Just 100" list, visit JustCapital.com/Rankings.About MetLifeMetLife, Inc. (NYSE:MET), through its subsidiaries and affiliates ("MetLife"), is one of the world's leading financial services companies, providing insurance, annuities, employee benefits and asset management to help individual and institutional customers build a more confident future. Founded in 1868, MetLife has operations in more than 40 markets globally and holds leading positions in the United States, Japan, Latin America, Asia, Europe and the Middle East. For more information, visit www.metlife.com.Story continuesContact:MetLifeOlivia Janicelli(212) [email protected] additional multimedia and more ESG storytelling from MetLife, Inc. on 3blmedia.com.Contact Info:Spokesperson: MetLife, Inc.Website: https://www.3blmedia.com/profiles/metlife-inc Email: [email protected] SOURCE: MetLife, Inc.View the original press release on accesswire.com

ACCESSWIRE

MetLife Named to Just 100 List for America's Most JUST Companies for the Fourth Consecutive Time

https://finance.yahoo.com/news/metlife-named-just-100-list-220000522.html

a8492bd8-672c-3e37-870f-d2cb8522f6c8

MET

NEW YORK, March 05, 2024--(BUSINESS WIRE)--MetLife, Inc. (NYSE: MET) today announced that it has confirmed its previously announced declaration of the first quarter 2024 dividend of $0.42000544 per share on the company’s floating rate non-cumulative preferred stock, Series A, with a liquidation preference of $25 per share (NYSE: MET PRA).The New York Stock Exchange has not yet set an ex-dividend date for the Series A preferred stock. Following this confirmatory announcement, the New York Stock Exchange will set an ex-dividend date for the Series A preferred stock. The dividend will be payable March 15, 2024, to shareholders of record as of Feb. 29, 2024.About MetLifeMetLife, Inc. (NYSE: MET), through its subsidiaries and affiliates ("MetLife"), is one of the world’s leading financial services companies, providing insurance, annuities, employee benefits and asset management to help individual and institutional customers build a more confident future. Founded in 1868, MetLife has operations in more than 40 markets globally and holds leading positions in the United States, Japan, Latin America, Asia, Europe and the Middle East. For more information, visit www.metlife.com.Forward-Looking StatementsThe forward-looking statements in this news release, using words such as "will," are based on assumptions and expectations that involve risks and uncertainties, including the "Risk Factors" MetLife, Inc. describes in its U.S. Securities and Exchange Commission filings. MetLife’s future results could differ, and it does not undertake any obligation to publicly correct or update any of these statements.View source version on businesswire.com: https://www.businesswire.com/news/home/20240305107904/en/ContactsFor Media:Dave [email protected] Investors:John [email protected]

Business Wire

MetLife Confirms First Quarter 2024 Series A Preferred Stock Dividend

https://finance.yahoo.com/news/metlife-confirms-first-quarter-2024-211500367.html

edd4e4b3-4227-3dac-b9b0-e898edd438d8

MET

A month has gone by since the last earnings report for Prudential (PRU). Shares have added about 0.4% in that time frame, underperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Prudential due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.Prudential’s Q4 Earnings Miss, Revenues Increase Y/YPrudential Financial, Inc. reported fourth-quarter 2023 adjusted operating income of $2.58 per share, which missed the Zacks Consensus Estimate by 3.3%. However, the bottom line rose 3.6% year over year. Total revenues of $13 billion increased 6.7% year over year. The increase in revenues was due to higher premiums and net investment income. However, it missed the Zacks Consensus Estimate by 0.3%Prudential's fourth-quarter results reflect improved expenses, less favorable underwriting results, net outflows, lower incentive fees and agency income, partially offset by higher asset management fees.Operational UpdateTotal benefits and expenses amounted to $11.7 billion, which increased 7.2% year over year in the fourth quarter. This improvement was due to higher insurance and annuity benefits, interest credited to policyholders' account balances, amortization of acquisition costs, general and administrative expenses. The figure was higher than our estimate of $11.4 billion.Quarterly Segment UpdatePrudential Global Investment Management’s (PGIM) adjusted operating income of $172 million in the reported quarter decreased 25.2% year over year. This decrease primarily reflects higher expenses and lower other related revenues, mainly due to lower incentive fees and agency income, partially offset by improved asset management fees. The figure was lower than our estimate of $200.6 million.PGIM’s assets under management of $1.298 trillion increased 6% year over year. The increase was due to equity market appreciation, partially offset by net outflows.The U.S. Businesses delivered an adjusted operating income of $988 million, which increased 39.1% year over year. The figure was higher than our estimate of $512.4 million. This increase primarily reflects higher net investment spread results and lower expenses, partially offset by lower net fee income.International Businesses’ adjusted operating income decreased 8.1% year over year to $748 million in the fourth quarter. This decrease primarily reflects less favorable underwriting results, including unfavorable policyholder behavior, partially offset by lower expenses.Corporate and Other incurred an adjusted operating loss of $656 million, wider than a loss of $525 million reported a year ago. This higher loss primarily reflects improved expenses, driven by a $200 million restructuring charge in the current quarter.Story continuesCapital DeploymentPrudential managed to return capital to its shareholders in the form of share repurchases worth $250 million and dividends worth $458 million in the fourth quarter.Financial UpdatePRU exited the fourth quarter with cash and cash equivalents of $19.4 billion, which increased 12.5% from 2022-end. Total debt balance of $19.5 billion decreased 5.7% from 2022-end.As of Dec 31, 2023, Prudential’s assets under management and administration increased 6.3% year over year to $1.63 trillion.Adjusted book value per common share, a measure of the company’s net worth, was $96.64, which increased 2% year over year. Operating return on average equity was 10.9% in the fourth quarter, which improved 40 basis points year over year.Full-Year UpdateFor 2023, the adjusted operating income of Prudential was $11.62 per share. The bottom line increased 12.7% from the 2022 figure. The bottom line missed the Zacks Consensus Estimate by 12.8%. Revenues for the year totaled $50.9 billion, which decreased 15% from the 2022 level. The top line missed the Zacks Consensus Estimate by 6%.How Have Estimates Been Moving Since Then?It turns out, estimates review flatlined during the past month.VGM ScoresCurrently, Prudential has a poor Growth Score of F, however its Momentum Score is doing a lot better with a B. Charting a somewhat similar path, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy.Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookPrudential has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerPrudential belongs to the Zacks Insurance - Multi line industry. Another stock from the same industry, MetLife (MET), has gained 6% over the past month. More than a month has passed since the company reported results for the quarter ended December 2023.MetLife reported revenues of $18.72 billion in the last reported quarter, representing a year-over-year change of +18.2%. EPS of $1.93 for the same period compares with $1.55 a year ago.MetLife is expected to post earnings of $2.05 per share for the current quarter, representing a year-over-year change of +34.9%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.5%.The overall direction and magnitude of estimate revisions translate into a Zacks Rank #4 (Sell) for MetLife. Also, the stock has a VGM Score of B.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 reportPrudential Financial, Inc. (PRU) : Free Stock Analysis ReportMetLife, Inc. (MET) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Prudential (PRU) Up 0.4% Since Last Earnings Report: Can It Continue?

https://finance.yahoo.com/news/prudential-pru-0-4-since-163107589.html

76834ff2-bc9c-33e6-ae77-77de33523a57

META

The biggest record labels in music are trying to figure out how to grapple with the rise of artificial intelligence.When Universal Music Group (UMG) pulled its songs from TikTok on Feb. 1 partly because of a concern artists weren’t being protected from artificial intelligence, it triggered a debate across the industry about whether to embrace the new technology, fight it, or both.TikTok is "allowing the platform to be flooded with AI-generated recordings" while demanding contractual rights that could "massively dilute the royalty pool for human artists," Universal said in a letter announcing its decision.Lucian Grainge, CEO of Universal Music Group, which pulled its songs from TikTok this month. (Kevork Djansezian/REUTERS) (REUTERS / Reuters)Universal’s biggest rivals, Warner Music (WMG) and Sony (SONY), have stayed on the sidelines of this dispute so far. This month Warner CEO Robert Kyncl called his company’s own licensing deal with TikTok "difficult" but "fair."Investors will be listening for any updates on the TikTok feud on Wednesday when Universal is scheduled to report its earnings for the fourth quarter of 2023.How this debate unfolds will have sizable implications for the giants of music as the companies behind artists from Taylor Swift to Drake wrestle with the same AI dilemma currently roiling other creative industries.Taylor Swift is among the artists not currently available on TikTok. (Don Arnold/TAS24 for TAS Rights Management) (Don Arnold/TAS24 via Getty Images)Music artists are increasingly concerned there is little protection for their own names, likenesses, and voices being used without their permission to create AI-generated songs.Some have already had their voices mimicked without their permission, while deceased artists have also had their voices reproduced without the involvement of their families."I don’t have to tell you how much of a gut punch it is to have your name, likeness, or voice ripped from you and used in ways you could never imagine and would never allow," country singer Lainey Wilson said at a House Judiciary subcommittee field hearing on Feb. 2."It’s wrong."'Ethical and not harmful'Wilson aired her concerns in Los Angeles as the industry prepared for its biggest night of the year: the Grammy Awards.Story continues"There aren’t many things that we can control in life, but making decisions about the use of our own selves, our own unique qualities, that should be one," she told lawmakers who gathered across the street from the arena where Wilson would win the Best Country Album award two days later.Lainey Wilson poses with the Best Country Album award during the 66th Annual Grammy Awards in Los Angeles earlier this month. (David Swanson/REUTERS) (REUTERS / Reuters)The singer endorsed an effort underway in Washington to address some of her concerns. Last month lawmakers introduced a new House bill called the No Artificial Intelligence Fake Replicas and Unauthorized Duplications Act — or or the No AI FRAUD Act — that aims to establish a framework for protecting one’s voice and likeness on a federal level."Are we in fact rewarding the creators of intellectual property sufficiently?" Rep. Darrell Issa (R-Calif.), who chairs the House Subcommittee on Courts, Intellectual Property, and the Internet, said at the hearing.Representative Darrell Issa (R-Calif.). (Ting Shen/Pool via REUTERS) (REUTERS / Reuters)"Under AI, it is critical that the development of the technology be ethical and not harmful and that it also be uniform within the United States."The man in charge of the Grammys, Recording Academy chief executive Harvey Mason Jr., called the proposed legislation "long overdue" while also acknowledging the opportunities AI presents for the industry."The productivity that comes along with using this technology, creating things we haven't heard or thought of before and extending the reach of an artist with their voice, is possible," Mason told Yahoo Finance in a separate interview. "[But] regulations, legislation needs to happen to make sure human creators are protected."Harvey Mason Jr., CEO of The Recording Academy. (Steve Marcus / REUTERS) (REUTERS / Reuters)Malik Yusef, a music producer and director who has worked with Kanye West and Jennifer Hudson, said he thinks the legislation has holes in it and needs to be fortified. When AI versions of an artist’s voice or likeness are created, a copyright should automatically be granted to the artist, he said."It should be owned by the artist, and they should be able to wield it as much or as little as they want," he said.'It wasn't easy with TikTok'So far, Universal is standing alone in its fight with TikTok, which has pushed back by calling the label's move "sad and disappointing" and claiming it had "artist-first" pacts with Universal's rivals.The CEO of Warner Music said he is confident that Universal and TikTok will sort things out."It wasn’t easy with TikTok," Kyncl said on the company’s most recent earnings call, referring to his own pact with the platform.Warner Music CEO Robert Kyncl. (David Livingston/Getty Images) (David Livingston via Getty Images)"I think it was very difficult, too. But we got there. And for us, it was fair. But it was a year ago. It was also a different time. So I don’t know what is driving Universal’s positions. But there’s any way we can help them, we will, all of us."If all labels pulled their music off TikTok, they could take the power back, according to Printz Board, producer and songwriter for the Black Eyed Peas, who now owns music and movie production company Beets & Produce."If you can get Sony, Warner Brothers, Atlantic, all these labels to start doing that and say, OK, we're going to take this back, take the power into our own hands, I think we would really be in a better place," he said.Printz Board at a Grammy party earlier this month. (Christopher Polk/Billboard via Getty Images) (Christopher Polk via Getty Images)Board, however, is not worried about being put out of work by AI."Maybe I'm of the minority, but I also feel because I'm a creative, creatives have an infinite bank of ideas and will never actually be broke," he said. "If you want to take my song and make it into an AI song, I'm going to redo a new song with your sample of my song. That's where it can be good."Other industry figures argue it could be a supplemental tool for songwriting."At this point, we have to accept that AI is coming, AI is going to change our industry," said Justin Tranter, founder of record label Facet House and a Grammy-nominated songwriter behind songs from Justin Bieber and Miley Cyrus.Justin Tranter at the Grammy awards earlier this month. (Gilbert Flores/Billboard via Getty Images) (Gilbert Flores via Getty Images)"We have to learn how to make it a tool and learn how to make it a friend of the songwriter, a friend, producer of an artist, or it's just going to kill us all."A team of humans is still needed to produce new work, said Rance Dopson, who has been a musical director for stars from Beyonce to Jay-Z and Jennifer Lopez, as well as a producer for film scores."We gotta get it right,” said Dopson. "We need to create a model that makes sense for everybody, where it's not just taking jobs away, and people are a part of the IP. Then it could work."Click here for in-depth analysis of the latest stock market news and events moving stock prices.Read the latest financial and business news from Yahoo Finance

Yahoo Finance

How an AI feud is roiling the music industry

https://finance.yahoo.com/news/how-an-ai-feud-is-roiling-the-music-industry-170050349.html

601adfdd-b549-4bf1-a033-18e3747a576c

META

The US Supreme Court will hear arguments over laws regarding social media. This stems from concerns over state laws enacted by Florida and Texas that would stop social media platforms from supposedly suppressing certain political content. The ruling may have major implications for how state governments may regulate how social media platforms moderate their content.Sinan Aral, Author of The Hype Machine and Professor at MIT Sloan Management, joins Yahoo Finance to discuss the social media case before the Supreme Court, how it may play out, and the implications of its potential rulings.When asked how the Supreme Court may lean, Aral says: "I think the justices are skeptical of these laws. I don't imagine that these two laws are going to be upheld in their entirety. I think that either they're going to be overturned or the cases are going to be remanded for further development in the lower courts. And the reason why that would happen is precisely the threading the needle that I discussed earlier, which is that the Supreme Court is likely to want to bound the impact of their decision... You saw them asking questions about exactly what are the boundaries of the scope of these laws and therefore their decisions about these laws. At the end of the day, it's going to be about content moderation and how much of it is the purview of social media companies or not."For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.Editor's note: This article was written by Nicholas JacobinoVideo TranscriptJULIE HYMAN: All right. Today the Supreme Court is hearing arguments that could shape the future of social media. At the center, two laws that seek to limit how social media companies moderate content on their sites. The state laws say companies cannot remove users or posts from platforms.The companies have argued it's their First Amendment right to do so. With more, we're joined by Sinan Aral, the David Austin professor of management, IT, marketing, and data science at MIT. Sinan, it's good to see you. Thanks for joining us here.Story continuesThere have been so many attempts to try to figure out how to regulate this. So it's interesting these cases and where they're coming from and the allegations that they are making. Is this the thing that ends up shaping content moderation for these companies?SINAN ARAL: Julie, great to see you. Thanks for having me. This is indeed an important case. It's important because the legislature can't seem to find unanimity in terms of both sides of the aisle coming together to regulate social media in one direction or another.And so here, you see some states taking actions that support the more Republican conservative view that social media companies should not be able to moderate content that they deem as being censorship of conservative voices. These are laws, in effect, in Texas and in Florida. And then in other states, you have other kinds of laws that are pushing for more content moderation.And I think what is important about this case is that it has to thread the needle about, on one side, making sure that the social media companies have the ability to not turn the internet into a cesspool with no content moderation, on one hand. But then, on the other hand, not giving them a blanket immunity from any type of government regulation or legislation. We know that AI is happening right in front of us and right around the corner in terms of legislation. A blanket immunity would also not be good.JOSH LIPTON: Sinan, I'm interested to get your take to, you know, just for traders, investors who are listening right now, Sinan. What are the possible, as you think through them, business implications if the Florida and Texas laws were indeed upheld here?SINAN ARAL: Yeah, so that's a really important question. In my mind, there are three possible outcomes of this case. Two of them are much more likely than the third, as far as I could see the questioning of the justices today. I think the justices are skeptical of these laws.I don't imagine that these two laws are going to be upheld in their entirety. I think that either they're going to be overturned or the cases are going to be remanded for further development in the lower courts. And the reason why that would happen is precisely the threading the needle that I discussed earlier, which is that the Supreme Court is likely to want to bound the impact of their decision.In other words, is this just about Facebook Blue and the newsfeed on Facebook Blue? Or is it also about Meta's WhatsApp? Is it also about other parts of the internet ecosystem like email? You saw them asking questions about exactly what are the boundaries of the scope of these laws and, therefore, their decisions about these laws.And at the end of the day, it's going to be about content moderation and how much of it is the purview of social media companies or not. It's a First Amendment case. Obviously, you also have the question of whether the government can pressure social media to censor certain types of content on their platforms.For instance, COVID misinformation. We know that we have a case in Missouri, that is the Surgeon General against Missouri, that is about whether or not the administration can pressure around COVID-19 misinformation content moderation policies. And so, I believe either these cases are going to be overturned or it's going to be remanded for further development in the lower courts.And in that case, in either of those two cases, not much is going to change with the social media companies in the short term. To the extent that being remanded and coming back with a different scope creates meaningful, substantive changes in content moderation, then it could have impacts on business policy. But for the moment, I think it's a wait and see for business policy.JULIE HYMAN: Well, and there is a looming event here in the US that this would be quite pertinent to, the presidential election. But it sounds like you think nothing's going to be resolved before that.SINAN ARAL: I think it's not going to be resolved in June or July. To the extent that there's going to be a quick development in the lower courts and a comeback, maybe. To the extent that the laws are overturned, then it's status quo, meaning the social media companies will continue to moderate content based on their editorial discretion and their choices.And that doesn't mean just banning users or banning posts. It means also demoting posts or reducing the amount that they spread on the platforms. That, by the way, is the status quo. So to the extent that that's what we have today, then I could imagine that that remains in effect or that it gets remanded and re-scoped to understand, is this about email?Is this about private messaging? To what extent should different types of decisions be allowable or not allowable? These are really, really important questions, and I don't expect the Supreme Court to make a hasty decision.If there is a decision, I believe it will be to overturn these laws and maintain the status quo and try to maintain some consistency across state laws. But I think it's equally likely that the cases will be remanded to the lower courts for further development.JOSH LIPTON: Big, complex questions and issues. Sinan, thanks as always for helping us walk through them. Appreciate it.SINAN ARAL: Thank you.

Yahoo Finance Video

Supreme Court 'skeptical' of social media laws, professor says

https://finance.yahoo.com/video/supreme-court-skeptical-social-media-223721278.html

e043809f-056f-3ffb-ac84-205a5d519878

META

As the Magnificent Seven mega-cap stocks experience heightened volatility, Schwab Asset Management CEO and Chief Investment Officer Omar Aguilar joins Yahoo Finance Live to provide insight into how investors should navigate their portfolios during this period.Aguilar highlights a notable shift in the mega-cap tech sector, transitioning from being "a momentum trade to a fundamental trade" due to fading AI hype. He emphasizes that for these companies to deliver on future expectations, they will require significant capital expenditure and research and development investments. As expectations for these stocks remain elevated, "investors are questioning" whether the current levels of gains can be sustained over the long term.With the highly anticipated Consumer Price Index (CPI) data set for release Tuesday, Aguilar advises investors to "expect more volatility." However, he suggests that investors should view this volatility as an opportunity to rebalance their portfolios and strategically position themselves for evolving market conditions.For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.Editor's note: This article was written by Angel SmithVideo TranscriptJULIE HYMAN: Meta isn't the only megacap seeing some losses. For more on the recent struggles from the Magnificent Seven, and where investors should look to turn to outside of big tech. We want to welcome in Omar Aguilar, Schwab Asset Management CEO, and CIO.Omar, thank you so much for being here. So as we see, what looks like a faltering perhaps of the Mag Seven, as well as a broadening of rallies elsewhere in the market, where do you think investors should be looking? Is it either, or is it both, how do you think about it?OMAR AGUILAR: Well, that's a great question and very timely I think as you were discussing this earlier. The momentum trade has started worldwide when everybody was talking about AI over a year ago. I think that momentum trade started to just be as just a function of excitement, just a function of-- investors getting really excited about the potential.Story continuesI think as we go in through this year, this has actually shifted from just being just a momentum trade to be a fundamental trade. And if you actually think so earnings, despite the valuation numbers for these Magnificent Seven, has been significantly better than the rest of the market. So they have outperformed over EPS year-over-year growth of 60%. Whereas the rest of the market has actually been on a decline of EPS growth.So when you actually put that together with the fact that they also have had very consistent free cash flow yields, you know, that actually provides a lot of the support. Now, that's the past. The future, basically, expectations required a lot of the discussion that you just had, which is a significant amount of ramp up of CapEx and R&D in order for them to support what the market expects they will deliver in the future.- Omar, is it that the next shoe to drop here? That once these companies report in coming weeks, there's no possible way they can meet up to the expectations that have been priced into their stocks. So that's what investors are doing today selling these positions.OMAR AGUILAR: Well, I think the investors are looking at the relative valuations. They're basically looking at it. It looks a little bit higher now compared to any other big runs in markets.They're still not at the level of what we saw in the late '90s or even in the energy boom that we had afterwards. So still in that context, you know, it's really more about the function of the expectations.Over the next five years is that they will deliver 30% top line growth and 17% on EPS growth, which is very hard to sustain. So investors are questioning whether or not that's actually sustainable. And there are a couple of those seven that are in the process of ramping up that R&D, and that CapEx. That obviously may have a better future going forward.JULIE HYMAN: Omar, I want to ask about CPI tomorrow, right? Because it has seemed in recent weeks that the focus has shifted a little bit away from the Fed, and to earnings, and to the AI theme. Does CPI tomorrow shift the focus back, or does it just depend on what the number shows?OMAR AGUILAR: I think, in general, we should expect more volatility. I think once we got past the earnings season, you know, I think the question becomes the CPI reading is really just going to ask, or give us a little more information of what the reaction function by the Fed might be. And it's really just about the timing where they may actually come up with the first rate cut.And I think investors will continue to look at opportunities to take that volatility, whether it's valuation-driven, or whether it's related to macro to be able to rebalance their portfolio and strategically positioned for the next six months on an environment that will have lower interest rates on the short part of the curve.- If one is worried about the AI trade fizzling out, Omar, what is the best sector they should be looking at right now and make your case?OMAR AGUILAR: Yeah, I think what we have encouraged our clients to do is to-- if you think about the economic cycle as we are today, even with the CPI numbers tomorrow, we have all signed that this is the last phase of the cycle. What that means is that soft landing scenario that the Fed has talked to us is basically now being a reality.And what that means is that the cyclical trade going into the next phase is probably areas that will basically provide good opportunities. And that includes materials, that includes energy, that includes areas that are a little bit more prone to lower interest rates, or at least a shape of the yield curve that is more normal like financials.So I think we're encouraged clients to start looking at that. And we have seen already small caps are incredibly attractive, and the rest of the market outside of just the large mega caps will probably do well.

Yahoo Finance Video

AI trade is now strictly 'fundamental': Strategist

https://finance.yahoo.com/video/ai-trade-now-strictly-fundamental-211449801.html

4d5c8ec3-78ef-3fd7-9b08-8d90ee864eb3

META

Major indexes on the stock market today dropped sharply at the open but quickly trimmed losses and kept those deficits on the mild side. Facebook-parent Meta Platforms got hit hard while fellow Magnificent Seven player Nvidia managed to erase some of its losses after getting rocked earlier. Please check out this IBD tech story on details on Oracle's latest results.Continue reading

Investor's Business Daily

Meta Falls Hard, Nvidia Bounces Back As Stock Market Indexes Trim Early Losses

https://finance.yahoo.com/m/efff0e95-9b8f-33ab-9b62-380456ac4b37/meta-falls-hard-nvidia.html

efff0e95-9b8f-33ab-9b62-380456ac4b37

MGM

In this article, we will take a detailed look at Michael Burry's 2024 Portfolio: 12 New Stock Picks. For a quick overview of such stocks, read our article Michael Burry's 2024 Portfolio: 5 New Stock Picks.Where is Michael Burry in 2024?Michael Burry has been quiet in 2024, and understandably so. None of the Big Short investor's gloomy predictions and warnings about the stock market have panned out. In September 2022 Burry had said that the "mother of all crashes" was coming. In January 2023 Burry tweeted "Sell" in an ominous one-word tweet that sent many who take Burry — who rose to fame after successfully foreseeing the 2007-2008 subprime mortgage crisis – seriously in panic. But the AI-fueled rally in the stock market kept propelling the stocks higher in 2023, negating Burry's short bets. During the second quarter of 2023, Michael Burry bought $887 million worth of PUT options against the  SPDR S&P 500 ETF Trust which tracks the S&P 500 and $738 million in PUT options against Invesco QQQ ETF, which tracks the NASDAQ 100. In the third quarter he closed these bets.The fourth quarter portfolio details of Michael Burry are out and they show the Big Short investor became a Big Buyer near the end of 2023 as he snapped up several new stakes in various companies. Burry's fund Scion Asset Management saw its total portfolio worth swell to a whopping $94 million, almost double from $44 million (excluding options) in the previous quarter. Michael Burry also gave up on his bet against the semiconductor industry and closed its short position on  iShares Semiconductor ETF. From November 2023 through the end of January 2023 semiconductors rallied over 20%, giving a major blow to Burry's bet.For this article we scanned Michael Burry's Scion Asset Management's Q4'2023 portfolio and picked 12 stocks in which the fund opened new positions during the last quarter of 2023. Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here).Story continuesMichael Burry's 2024 Portfolio: New Stock PicksMichael Burry of Scion Asset ManagementMichael Burry 2024 Portfolio: Top New Stock Picks12. Bruker Corp (NASDAQ:BRKR)Michael Burry's Stake: $3,674,000Texas-based Bruker Corp (NASDAQ:BRKR) makes life sciences research and diagnostics products. Michael Burry's Scion Asset Management bought a $3.7 million stake in Bruker Corp (NASDAQ:BRKR) in the fourth quarter. Earlier this month JPMorgan upgraded Bruker Corp (NASDAQ:BRKR) to Overweight, citing strong guidance, among other factors. JPMorgan increased its price target on Bruker Corp (NASDAQ:BRKR) to $90 from $60.As of the end of the fourth quarter of 2023, 32 hedge funds out of the 933 hedge funds tracked by Insider Monkey had stakes in Bruker Corp (NASDAQ:BRKR). In addition to BRKR Burry is also buying Alphabet Inc Class C (NASDAQ:GOOG), Amazon.com Inc (NASDAQ:AMZN) and Block Inc (NYSE:SQ).11. Block Inc (NYSE:SQ)Michael Burry's Stake: $3,867,500Block Inc (NYSE:SQ) is having a difficult time lately, with its share price down about 8% over the past 12 months. Out of the 933 hedge funds tracked by Insider Monkey in the fourth quarter of 2023, 75 hedge funds had stakes in Block Inc (NYSE:SQ), significantly up from 60 hedge funds in the previous quarter.Block Inc (NYSE:SQ) shares recently jumped after the company released Q4 results and gave a strong 2024 EBITDA guidance.Block Inc's (NYSE:SQ) net income in the fourth quarter came in at 2 cents a share, much better than the loss of 93 cents a share it posted in the year-ago period.Baron Fifth Avenue Growth Fund stated the following regarding Block, Inc. (NYSE:SQ) in its fourth quarter 2023 investor letter:“During the quarter, we also added to our existing investment in Block, Inc. (NYSE:SQ). The company provides a point-of-sale technology to small businesses and operates the Cash App ecosystem of financial services for individuals. After the company reported solid quarterly result, it has also guided to reach a rule of 40 on GAAP profitability for fiscal year 2026 (implying that the combination of gross profit growth and GAAP operating margins would be at least 40%). We believe Block’s businesses are resilient, and greater management focus on cost discipline should drive further margin expansion over the long term. We also believe that Block has a long runway for growth, durable competitive advantages, and a robust track record of innovation.”10. Vital Energy Inc (NYSE:VTLE)Michael Burry's Stake: $3,980,375Tulsa, Oklahoma-based energy company Vital Energy Inc (NYSE:VTLE) ranks tenth in our list of the best new stocks to buy according to Michel Burry for 2024. Burry in the fourth quarter of 2023 bought a $3.98 million stake in Vital Energy Inc (NYSE:VTLE).Earlier this month Vital Energy posted fourth quarter results. Adjusted EPS in the quarter came in at $2.55, surpassing estimates by $0.09. Revenue jumped 22.1% year over year to $444.52 million, beating estimates by $3.78 million.Like Vital, Burry is also bullish on Alphabet Inc Class C (NASDAQ:GOOG), Amazon.com Inc (NASDAQ:AMZN) and Block Inc (NYSE:SQ).9. Warner Bros Discovery Inc (NASDAQ:WBD)Michael Burry's Stake: $4,267,500Michael Burry's 2024 portfolio includes Warner Bros Discovery Inc (NASDAQ:WBD), as Scion Asset Management bought 375,000 shares of Warner Bros Discovery Inc (NASDAQ:WBD) in the last quarter of 2023.Earlier this month, BofA Securities published its Growth 10 list which includes growth stocks with Buy ratings and EPS growth. Warner Bros Discovery Inc (NASDAQ:WBD) was part of this list.As of the end of the fourth quarter of 2023, 56 hedge funds tracked by Insider Monkey had stakes in Warner Bros Discovery Inc (NASDAQ:WBD).Longleaf Partners Fund stated the following regarding Warner Bros. Discovery, Inc. (NASDAQ:WBD) in its fourth quarter 2023 investor letter:“The rules have improved how we analyze existing holdings and influenced the price at which we will buy a new holding and/or trim or add to an existing one. This has resulted in a higher level of resizing positions in the portfolio and exiting some long-term holdings this year. A good example in the portfolio today is Warner Bros. Discovery, Inc. (NASDAQ:WBD), a company that we bought too early but that remains a holding in the portfolio. Our average price for the initial WBD investment in 2021 was $26.48, or a P/V ratio in the mid-60s%. However, P/EV on the initial report was 79%. Under the new rules, we would not pay that price for the company today. We most likely would have waited for a mid-60s% P/EV, which would have equated to a $mid-teens entry price. In this case, we would have missed a too-large initial downturn in the stock price. The overweight rule dictated that we trimmed the position after the price ran up in the first half of 2023, which benefitted overall performance as the stock price subsequently fell again. However, even with the new rule lens, we remain confident in our case for the business and management’s ability to deliver going forward.”8. Advance Auto Parts, Inc. (NYSE:AAP)Michael Burry's Stake: $4,272,100Advance Auto Parts, Inc. (NYSE:AAP) is a key part of Michael Burry's 2024 portfolio as the investor bought a new stake in Advance Auto Parts, Inc. (NYSE:AAP) in the last quarter of 2023, worth $4.3 million.Out of the 933 hedge funds in Insider Monkey's database, 32 hedge funds had stakes in Advance Auto Parts, Inc. (NYSE:AAP). The biggest stakeholder of Advance Auto Parts, Inc. (NYSE:AAP) during this period was D. E. Shaw which had a $212 million stake in Advance Auto Parts, Inc. (NYSE:AAP).Palm Valley Capital Management made the following comment about Advance Auto Parts, Inc. (NYSE:AAP) in its Q3 2023 investor letter:“During the third quarter, the Fund had three positions that detracted from performance by more than 10 basis points: Crawford & Co. (ticker: CRD/A, CRD/B), Advance Auto Parts, Inc. (NYSE:AAP), and TrueBlue (ticker: TBI). Advance Auto Parts is in the middle of a turnaround to bring operating performance closer to peers. Second quarter profit was short of expectations as pricing didn’t cover cost inflation, but comparable store sales improved into quarter end. While the firm experienced a credit rating downgrade, the balance sheet is supported by significant owned real estate.”7. MGM Resorts International (NYSE:MGM)Michael Burry's Stake: $4,468,000Scion Asset Management piled into resorts and casino operator MGM Resorts International (NYSE:MGM) heading in 2024 as Scion Asset Management bought 100,000 shares of MGM Resorts International (NYSE:MGM) in the fourth quarter of 2023. The total worth of these stakes was $4.5 million.Earlier this month MGM Resorts International (NYSE:MGM) posted strong Q4 results which were helped by upbeat activity in Macau and Las Vegas. MGM Resorts International's (NYSE:MGM) adjusted EPS in the fourth quarter came in at $1.06, surpassing estimates by $0.35. Revenue jumped 22% year over year to $4.38 billion, beating estimates by $240 million.In addition to Alphabet Inc Class C (NASDAQ:GOOG), Amazon.com Inc (NASDAQ:AMZN) and Block Inc (NYSE:SQ), MGM is a top Burry pick for 2024.Longleaf Partners Fund stated the following regarding MGM Resorts International (NYSE:MGM) in its fourth quarter 2023 investor letter:“MGM Resorts International (NYSE:MGM) & Hyatt – Hospitality companies MGM Resorts and Hyatt were both strong performers in the fourth quarter and for the year, outperforming expectations that the post-COVID travel rebound would ease in 2023. Casino and online gaming company MGM saw double-digit revenue growth and strong 2023 bookings in Las Vegas in the first half, which moderated in the second half but remained solid. A cybersecurity attack negatively impacted 3Q results, but MGM does not expect the $100 million hit to have a material effect on its financial condition and operational results for the year. MGM bought back discounted shares at a 15% annualized rate and authorized another $2 billion buyback in 4Q, which represents another 15% of the company.”6. Amazon.com Inc (NASDAQ:AMZN)Michael Burry's Stake: $4,558,200Amazon.com Inc (NASDAQ:AMZN) ranks sixth in our list of the top stocks in Michael Burry's 2024 portfolio. Michael Burry initiated a new position in Amazon.com Inc (NASDAQ:AMZN) in the fourth quarter of 2023 as Scion bought a $4.6 million stake in Amazon.com Inc (NASDAQ:AMZN).Amazon.com Inc (NASDAQ:AMZN) is one of the most popular stocks among the 933 hedge funds tracked by Insider Monkey. A total of 293 hedge funds had stakes in Amazon.com Inc (NASDAQ:AMZN).Polen Global Growth Strategy stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its fourth quarter 2023 investor letter:“Amazon.com, Inc. (NASDAQ:AMZN), which saw significant price appreciation throughout much of 2023, saw its share price increase materially in Q4 following the company’s Q3 2023 earnings report. We have yet to see the long-awaited re-acceleration in AWS (Amazon Web Services) revenue growth. However, in our estimation, the segment’s growth has likely bottomed, and we could see accelerating growth in 2024. Further, Amazon’s e-commerce business has gradually re-accelerated from 2022’s levels and, perhaps most importantly, the company’s margins and free cash flow have rebounded materially from last year. This rebound in margins and free cash flow at Amazon has been a key component of our long-term thesis for the business, and we expect the improvement in these metrics to continue into 2024 and beyond (though perhaps not linearly) as the company continues to optimize costs and capital expenditures. Our position in Amazon reflects our positive long-term expectations of the business, and it is currently our largest absolute weight in the Portfolio.” Click here to continue reading and see Michael Burry's 2024 Portfolio: 5 New Stock Picks.Suggested articles:12 Most Promising Cancer Stocks According to Analysts12 Most Promising Clean Energy Stocks According to Analysts11 Most Promising Blockchain Stocks According to AnalystsDisclosure: None. Michael Burry's 2024 Portfolio: 12 New Stock Picks is originally published on Insider Monkey.

Insider Monkey

Michael Burry’s 2024 Portfolio: 12 New Stock Picks

https://finance.yahoo.com/news/michael-burry-2024-portfolio-12-143712505.html

d375610f-326f-37a3-9992-b5e8a068cd2c

MGM

In the center, Nino and his partner Melissa who were on a 48 hour trip to Dubai to celebrate his birthday. Nino signed up for Marriott Bonvoy at the JW Marriott Marquis Hotel Dubai and became its 200 millionth and newest member enrolled. Source: Marriott. Marriott said Monday that the 200 millionth person had joined its loyalty program as the company aims to retain its title as having the world’s largest hotel rewards program.The company even identified the 200 millionth member: A gentleman with the first name of Nino, who signed up for Marriott Bonvoy at the JW Marriott Marquis Hotel Dubai, according to a LinkedIn post.The milestone came as Hilton has been signing up loyalty members at a faster pace than Marriott. Skift looked at a five-year pace and a one-year pace as of year-end and if trends continue, Hilton could overtake Marriott’s program in size within roughly the next year.To gain context, Skift caught up Monday with Peggy Roe, executive vice president and chief customer officer of Marriott.On staying the largest“My perspective is it’s about quality, not quantity,” Roe said. “That said, having the biggest program in the world is important.”“There’s a lot of upside for us to sustain our position because of initiatives we’re launching this year to target new segments and work with new partners. We’re going to give people, especially younger people, reasons other than staying at a hotel to enroll in the program, and we haven’t really come at it that way before.”On reaching new markets“The TAM, or total addressable market, of travelers we’re after is 1.3 billion,” Roe said. “So, really, we’re after the next 200 million.”A just-launched licensing deal with MGM Resorts will let Marriott Bonvoy members earn and burn points for stays at most MGM Resorts’ properties. MGM Resorts also offer a lot of “experiences,” such as live performances that can become rewards for redemption in Marriott Bonvoy, she said.“We really need to enroll where our growth is, which is 70% outside of the U.S., and quite frankly, it’s a little bit harder,” Roe said.Expanding the company’s co-branded credit cards is one tactic.“We have 31 credit cards in 11 countries, and I don’t think anyone’s anywhere near that in terms of the breadth and depth,” Roe said.Story continuesOn critical metrics“The pandemic was rough, but we’re starting to see growth over 2019 in terms of NPS [net promotor scores] for Marriott Bonvoy as the awareness increases and the experience on-property gets better,” Roe said. “For example, we had to pause our Ambassador program [that provides service from dedicated support staff] during the pandemic. Then we brought it back last year, and we saw, significant increases in our NPS over the year.”“Lifetime value and penetration are the really important metrics at the end of the day,” Roe said.Today, Marriott says member penetration represents 61% globally and 67% in the U.S. regarding occupied rooms booked by members. Yet Roe anticipates the days when 70% of its hotels will be filled with members. These members provide details about themselves that can be valuable for future marketing.“We’re building our first-party data in a way that will cost us less to be able to talk to you,” Roe said.“The value to me is about how big the customer base is but also how well we can fill our hotels with those customers and how much those customers are able to spend,” Roe said.On lifetime valueMarriott says the top 1% of loyalty members represent 35% of gross fee revenue. These customers are highly engaged, with 90% using the mobile app, 64% having a co-branded credit card, and 21% using other products like Uber and Homes and Villas by Marriott Bonvoy.But sometimes an anecdote better captures the power of loyalty.“I was talking to an elite Marriott Bonvoy member who has achieved Ambassador status, and he told me, ‘I’ve been traveling with you guys all over the world,'” Roe said. “And so I always ask people, you know, what’s your favorite property? And he said, ‘The J.W. Marriott in Venice. I’ve been there so many times that, when I die, I hope you will spread my ashes all over that property.”“So I think about lifetime value a lot and this person is telling me that he wants to be with us for life,” Roe said. “That speaks to the power of our loyalty program.”Accommodations Sector Stock Index Performance Year-to-DateWhat am I looking at? The performance of hotels and short-term rental sector stocks within the ST200. The index includes companies publicly traded across global markets, including international and regional hotel brands, hotel REITs, hotel management companies, alternative accommodations, and timeshares.The Skift Travel 200 (ST200) combines the financial performance of nearly 200 travel companies worth more than a trillion dollars into a single number. See more hotels and short-term rental financial sector performance.Read the full methodology behind the Skift Travel 200.Get breaking travel news and exclusive hotel, airline, and tourism research and insights at Skift.com.

Skift

Marriott Bonvoy Adds 200 Millionth Member as Hotel Loyalty Race Heats Up

https://finance.yahoo.com/news/marriott-bonvoy-adds-200-millionth-223839720.html

bd14ddcb-e25d-38a3-a6c2-483e757eb6da

MGM

Ad to appear on broadcast and digital platforms throughout North AmericaJERSEY CITY, N.J., March 8, 2024 /PRNewswire/ -- BetMGM, a leading sports betting and iGaming operator, today launched a new 30-second spot that features reigning National Hockey League (NHL) Most Valuable Player (MVP) Connor McDavid and focuses on BetMGM's collection of responsible gaming tools.BetMGM logo (PRNewsfoto/BetMGM)McDavid shared the ad in an Instagram post this morning, noting that the message is "all about being responsible if you choose to bet – staying in control and not getting carried away. That's super important to me. And I really hope it's advice that everyone follows."The spot will air on television outlets in the U.S. and Canada, as well as on various digital platforms, highlighting the comprehensive range of responsible gaming resources available to users of the BetMGM app. It can be viewed now @BetMGM on X, formerly Twitter.Richard Taylor, Director of Responsible Gambling at BetMGM, said, "We are determined to lead the industry in promoting responsible gaming and we're proud to be doing so in partnership with one of hockey's greatest players. As the legalized sports betting and online casino industry continues to grow and evolve, we remain committed to equipping players with information, tools and resources to help them play in a responsible and sustainable manner."BetMGM has a dedicated, proactive Responsible Gambling Team. The operator prominently highlights responsible gaming messages in its marketing, advertising, and social media campaigns. Responsible gaming messaging is also featured within BetMGM's mobile app. The company's messages are centered around GameSense, an award-winning responsible gaming program developed and licensed to MGM Resorts and BetMGM by the British Columbia Lottery Corporation (BCLC). Through the integration within BetMGM's mobile and desktop platforms, customers can receive the same GameSense experience they have grown to rely on at MGM Resorts properties across the U.S. This complements BetMGM's already existing responsible gaming tools which serve to provide customers with an entertaining and safe digital experience.Story continuesMcDavid made his NHL debut in 2016 and became the league's youngest-ever captain at 19 years old. That same season he won the Art Ross Trophy as leading scorer, the Hart Memorial Trophy as MVP, and the Ted Lindsay Award as most outstanding player. McDavid has now won each of these awards multiple times.This news comes as BetMGM and MGM Resorts join the National Council on Problem Gambling (NCPG) in promoting March as Problem Gambling Awareness Month (PGAM).For more information on BetMGM, follow @BetMGM on X (formerly Twitter).About BetMGMBetMGM is a market-leading sports betting and gaming entertainment company, pioneering the online gaming industry. Born out of a partnership between MGM Resorts International (NYSE: MGM) and Entain Plc (LSE: ENT), BetMGM has exclusive access to all of MGM's U.S. land-based and online sports betting, major tournament poker, and online gaming businesses. Utilizing Entain's U.S.-licensed, state-of-the-art technology, BetMGM offers sports betting and online gaming via market-leading brands including BetMGM, Borgata Casino, Party Casino and Party Poker. Founded in 2018, BetMGM is headquartered in New Jersey. For more information, visit https://www.betmgm.com/.About British Columbia Lottery CorporationBCLC is a social purpose company based in British Columbia, Canada that is committed to delivering win-wins for the greater good while providing lottery, casino and sports gambling entertainment in a way that serves the best interests of its players, the province and society. Last year, BCLC generated more than $1.3 billion in net income to benefit provincial and community programs, including healthcare, education and charities across British Columbia, Canada.Statements in this release that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, which involve substantial risks and/or uncertainties, including those described in MGM Resorts International's public filings with the Securities and Exchange Commission. Forward-looking statements can be identified by the use of forward-looking terminology such as "believes," "expects," "could," "may," "will," "should," "seeks," "likely," "intends," "plans," "pro forma," "projects," "estimates" or "anticipates" or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. BetMGM has based forward-looking statements on management's current expectations, assumptions and projections about future events and trends. Examples of these statements include, but are not limited to, BetMGM's expectations regarding the ad featuring Connor McDavid and responsible gaming initiatives and commitments to be undertaken by BetMGM. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Included among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements are: risks related to the effects of economic conditions and market conditions in the markets in which BetMGM operates; the significant competition within the gaming and entertainment industry; BetMGM's ability to execute on its respective business plans; changes in applicable laws or regulations, particularly with respect to iGaming and online sports betting; BetMGM's ability to manage growth and access the capital needed to support its growth plans; BetMGM's ability to obtain the required licenses, permits and other approvals necessary to grow in existing and new jurisdictions, and additional risks and uncertainties described in MGM Resorts International's Form 10-K, Form 10-Q and Form 8-K reports (including all amendments to those reports). In providing forward-looking statements, BetMGM is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If BetMGM updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/betmgm-debuts-new-responsible-gaming-spot-featuring-nhl-star-connor-mcdavid-302084206.htmlSOURCE BetMGM

PR Newswire

BETMGM DEBUTS NEW RESPONSIBLE GAMING SPOT FEATURING NHL STAR CONNOR MCDAVID

https://finance.yahoo.com/news/betmgm-debuts-responsible-gaming-spot-153000329.html

474a5a45-62ec-35a3-8327-dff5fbfb3170

MGM

Partnership with Charlotte Motor Speedway to enhance race day experienceJERSEY CITY, N.J., March 11, 2024 /PRNewswire/ -- BetMGM, a leading sports betting and iGaming operator, today is among the first to introduce mobile sports betting in North Carolina, giving customers in the Tar Heel state access to a wide variety of betting options as well as the opportunity to earn experiences at MGM Resorts' properties nationwide.BetMGM logo (PRNewsfoto/BetMGM)"The passion of North Carolina's sports fandom runs deep, making it one of BetMGM's most electrifying new markets," said BetMGM CEO Adam Greenblatt. "We look forward to delivering a best-in-class product elevating game days and race-viewing experiences for fans from Charlotte to Greensboro and Asheville to Wilmington."BetMGM's industry-leading platform features a user-friendly interface that adapts and evolves at the speed of the game. Highlights include:Expanded Pre-Game and In-Game Options: The BetMGM app features Angstrom Sports technology that provides dozens of wagering options in real time for major U.S. sports. Customers can access a wide portfolio of pre-game and live markets with attractive odds on the team, individual player and play-by-play bets.Real World Rewards: BetMGM customers can enjoy the perks of a world-class loyalty program with their gameplay. With every wager placed in North Carolina, BetMGM app users now earn BetMGM Rewards Points and MGM Rewards Tier Credits, unlocking VIP benefits to MGM Resorts 20+ premier destination resorts ranging from Bellagio, ARIA, MGM Grand and Mandalay Bay in Las Vegas to Borgata in Atlantic City, Beau Rivage in Mississippi, and MGM National Harbor in Maryland.Same-Game Parlay+: BetMGM's app features Same-Game Parlay+, a new way to combine favorite same-game parlays to create one super parlay. Players now can connect two different same-game parlays into a single bet with ease for dramatically increased odds.Earlier this year, BetMGM announced its partnership with Charlotte Motor Speedway, with plans to bring exclusive experiences to racing fans in North Carolina. BetMGM also extended its partnership with North Carolina-based Richard Childress Racing as its Official Sports Betting Operator, which includes a BetMGM "wrapped" car for select races throughout the season.Story continuesAs BetMGM continues to expand to new markets, responsible gambling education remains a key focus. BetMGM is proud to provide resources to help customers play responsibly including GameSense, an industry-leading program, developed and licensed to MGM Resorts by the British Columbia Lottery Corporation. Through the integration within BetMGM's mobile and desktop platforms, customers can receive the same GameSense experience they have grown to rely on at MGM Resorts properties nationwide. This complements BetMGM's already existing responsible gaming tools which serve to provide customers with an entertaining and safe digital experience.The BetMGM app is now available for download in North Carolina and is accessible on both iOS and Android. For more information, follow @BetMGM on X, formerly Twitter.About BetMGM BetMGM is a market-leading sports betting and gaming entertainment company, pioneering the online gaming industry. Born out of a partnership between MGM Resorts International (NYSE: MGM) and Entain Plc (LSE: ENT), BetMGM has exclusive access to all of MGM's U.S. land-based and online sports betting, major tournament poker, and online gaming businesses. Utilizing Entain's US-licensed, state of the art technology, BetMGM offers sports betting and online gaming via market-leading brands including BetMGM, Borgata Casino, Party Casino, Party Poker, and Wheel of Fortune. Founded in 2018, BetMGM is headquartered in New Jersey. For more information, visit http://www.betmgminc.com/.This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which involve substantial risks and/or uncertainties, including those described in the MGM Resorts International public filings with the Securities and Exchange Commission. Forward-looking statements can be identified by the use of forward-looking terminology such as "believes," "expects," "could," "may," "will," "should," "seeks," "likely," "intends," "plans," "pro forma," "projects," "estimates" or "anticipates" or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. BetMGM has based forward-looking statements on management's current expectations, assumptions and projections about future events and trends. Examples of these statements include, but are not limited to, BetMGM's expectations regarding the launch of mobile sports betting in North Carolina and partnerships with Charlotte Motor Speedway and Richard Childress Racing. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Included among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements are: the significant competition within the gaming and entertainment industry; BetMGM's ability to execute on its business plan; changes in applicable laws or regulations, particularly with respect to iGaming and online sports betting; BetMGM's ability to manage growth and access the capital needed to support its growth plans; and BetMGM's ability to obtain the required licenses, permits and other approvals necessary to grow in existing and new jurisdictions. In providing forward-looking statements, BetMGM is not undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If BetMGM updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/betmgm-launches-mobile-sports-betting-in-north-carolina-302085495.htmlSOURCE BetMGM

PR Newswire

BetMGM Launches Mobile Sports Betting in North Carolina

https://finance.yahoo.com/news/betmgm-launches-mobile-sports-betting-160500688.html

f07d1bf8-885f-3dea-b6ec-6f4a808bc674

MHK

La-Z-Boy (LZB) Q3 Earnings: What To ExpectFurniture company La-Z-Boy (NYSE:LZB) will be reporting earnings tomorrow after the bell. Here's what to look for.Last quarter La-Z-Boy reported revenues of $511.4 million, down 16.3% year on year, beating analyst revenue expectations by 1.8%. It was a solid quarter for the company, with a decent beat of analysts' revenue estimates.Is La-Z-Boy buy or sell heading into the earnings? Read our full analysis here, it's free.This quarter analysts are expecting La-Z-Boy's revenue to decline 8.1% year on year to $526.2 million, a deceleration on the 0.2% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.74 per share.La-Z-Boy Total RevenueMajority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 3.6%.Looking at La-Z-Boy's peers in the home furnishings segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. Mohawk Industries's revenues decreased 1.4% year on year, beating analyst estimates by 1.8% and Tempur Sealy reported revenue decline of 1.4% year on year, missing analyst estimates by 0.4%. Mohawk Industries traded up 0.3% on the results, and Tempur Sealy was down 2.1%.Read our full analysis of Mohawk Industries's results here and Tempur Sealy's results here.Investors in the home furnishings segment have had steady hands going into the earnings, with the stocks down on average 0.1% over the last month. La-Z-Boy is up 6.5% during the same time, and is heading into the earnings with analyst price target of $43, compared to share price of $38.0.Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.

StockStory

La-Z-Boy (LZB) Q3 Earnings: What To Expect

https://finance.yahoo.com/news/la-z-boy-lzb-q3-070040616.html

952e386b-1f6f-3fb7-88c9-fb4ad7074dc7

MHK

Al Jazeera has called 2023 “the year of the layoffs.” As the news organization pointed out recently, it started badly in 2023, when Salesforce (NYSE:CRM) cut 10% of its global staff. CEO Marc Benioff might be a big believer in stakeholder capitalism, but 2023 proved that even he wouldn’t stand for an excessive work force.Perhaps the problem was that the U.S. created too many jobs in 2022. Approximately 4.5 million were added, the second-highest in 40 years. An increase like that may have been the deciding factor forcing firms like Salesforce to dial back on operating expenses.In mid-February 2024, Nike (NYSE:NKE) announced it was cutting 1,700 people from its workforce, 2% overall. “The actions that we’re taking put us in the position to right-size our organization to get after our biggest growth opportunities,” CNN Business reported Nike’s comments in a company statement.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIt appears 2024 will be no different than 2023: full of job cuts and rightsizing. In other words, corporations admitting they overhired. Who will be the big job cutters in 2024? All three of these names could take an axe to their employee footprints with layoffs this year. But on the plus side for investors, that could be good news for stock prices.Fidelity National Information Services (FIS)Close up of FIS ground sign in Tampa, Fl, USA. Fidelity National Information Services (FIS) is an American company which offers a wide range of financial products.Source: JHVEPhoto / Shutterstock.comFidelity National Information Services (NYSE:FIS) hasn’t delivered for shareholders over the past five years. Its shares are down 40% over this period, while the S&P 500 is up 79% in that same timeframe. The organization is a fintech company that helps banks operate more efficiently.On Feb. 1, the company announced that it completed the sale of a 55% stake in Worldpay, its payment processing business, for over $12 billion in net cash. Fidelity National Information Services will retain a 45% interest. FIS plans to use the proceeds to pay down debt and buyback $3 billion of its stock in 2024.Story continuesThe sale gave Worldpay an enterprise value of $18.5 billion, less than half the $43 billion it paid for it in 2019. While the sale enables FIS to focus on what it does best, that’s a bitter pill to swallow for investors holding since 2019.The debt repayment will strengthen the balance sheet. As of Sept. 30, 2023, it had $12.74 billion in long-term debt, or about 30% of its market capitalization. Excluding its discontinued Worldpay operations, its adjusted earnings in Q3 2023 were $560 million, 9% lower than a year earlier, on $2.49 billion in revenue.Why do I think Fidelity National Information Services will cut employees and have layoffs in 2024? Around this time last year, the company cut 2,600 workers (2% of total headcount) as part of CEO Stephanie Ferris’s $1.25 billion cost-savings plan. In 2022, it spent $4.1 billion on its selling, general and administrative (SG&A) costs. Through the first nine months of 2023, its SG&A for its continuing operations was down 4% to $1.56 billion, so it’s on track for more than $2 billion for the entire year.In an effort to help boost its operating margin higher than the 15.5% it saw in Q3 2023, more job cuts could be around the corner at Fidelity National Information Services.Moderna (MRNA)Moderna (MRNA) research Coronavirus (Covid 19) vaccine. Row of vaccine bottles with blurred Moderna company logo on background.Source: Carlos l Vives / Shutterstock.comModerna (NASDAQ:MRNA) is transitioning from Covid superstar to regular drug company. That requires fewer people. How few is the big question.In November, the company admitted that its 2024 revenues would fall to $4 billion, $2 billion shy of the analyst estimate, and nearly 80% less than the $19.3 billion it generated in 2022. The company’s SG&A expenses in 2022 were $1.13 billion, double what they were in 2021.Through the first nine months of 2023, its SG&A expenses were $1.08 billion, 43% higher than a year earlier. Moderna has definitely reduced its operating expenses, but given it’s only expected to generate $4 billion in revenue for all of 2024, the cash burn will be many billions.CEO Stéphane Bancel said in a November interview that the company didn’t do internal job cuts because it was able to end the contract manufacturing agreements it had in place. It took a $500 million hit for ending contract manufacturing.My suspicion is that Moderna is waiting to see how the first half of 2024 goes before it looks to make any headcount reductions or layoffs. It might have more than $7.5 billion in cash and short-term investments on its balance sheet, but that will disappear very quickly if it keeps losing $2 billion per quarter.Mohawk Industries (MHK)Mohawk (MHK) logo on an iphone screen with a green backgroundSource: IgorGolovniov / Shutterstock.comMohawk Industries (NYSE:MHK) is a Georgia-based company and the world’s largest manufacturer of both residential and commercial flooring. It’s another one of those stocks like FIS that’s done nothing for shareholders over the past five years as its shares are down 17%. That’s especially surprising for Mohawk because, until 2023, suppliers to the housing construction industry were doing well.The company reported its Q4 2023 results on Feb. 8. Revenues fell 4.1% to $2.6 billion. In 2023, they were $11.1 billion, 5.1% lower than in 2022. Its adjusted net earnings in 2023 were $587 million, down from $823.1 million in 2022.Over the past two years, Mohawk Industries has taken more than $1.5 billion in impairment charges for goodwill and indefinite-lived intangible assets. These impairments are across all three of its operating segments.In 2023, its SG&A expenses increased by 5.8%, to $2.1 billion, or 19% of its net sales. As long as it’s not generating profitable revenue, Mohawk has got to look at staffing cuts to deliver cost savings at a time when it’s not making money.The company’s Altman Z-score, which assess the financial strength of a company and the likelihood it will go bankrupt in the next 24 months, is 1.72. This suggests that if Mohawk doesn’t get its act together soon, it won’t just be looking at layoffs, it could find itself in bankruptcy court.On the date of publication, Will Ashworth did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.Will Ashworth has written about investments full-time since 2008. Publications where he’s appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. He particularly enjoys creating model portfolios that stand the test of time. He lives in Halifax, Nova Scotia.More From InvestorPlaceThe #1 AI Investment Might Be This Company You’ve Never Heard Of“America’s Top Trader” Issues A.I. Code Red: Act Now or Miss OutIt doesn’t matter if you have $500 or $5 million. Do this now.The post Looming Layoffs? 3 Companies That May Be the Next to Drop the Axe. appeared first on InvestorPlace.

InvestorPlace

Looming Layoffs? 3 Companies That May Be the Next to Drop the Axe.

https://finance.yahoo.com/news/looming-layoffs-3-companies-may-213318089.html

2e535cf1-c26c-3709-8aa3-d632c12155bf

MHK

Key InsightsThe projected fair value for Mohawk Industries is US$196 based on 2 Stage Free Cash Flow to EquityCurrent share price of US$122 suggests Mohawk Industries is potentially 38% undervaluedOur fair value estimate is 58% higher than Mohawk Industries' analyst price target of US$123Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Mohawk Industries, Inc. (NYSE:MHK) as an investment opportunity by taking the expected future cash flows and discounting them to today's value. This will be done using the Discounted Cash Flow (DCF) model. Believe it or not, it's not too difficult to follow, as you'll see from our example!Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. See our latest analysis for Mohawk Industries The MethodWe are going to use a two-stage DCF model, which, as the name states, takes into account two stages of growth. The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period. To begin with, we have to get estimates of the next ten years of cash flows. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars:Story continues10-year free cash flow (FCF) estimate2024202520262027202820292030203120322033 Levered FCF ($, Millions) US$693.6mUS$692.9mUS$817.5mUS$970.7mUS$984.1mUS$999.5mUS$1.02bUS$1.04bUS$1.06bUS$1.08bGrowth Rate Estimate SourceAnalyst x5Analyst x5Analyst x2Analyst x1Analyst x1Est @ 1.57%Est @ 1.78%Est @ 1.94%Est @ 2.04%Est @ 2.12% Present Value ($, Millions) Discounted @ 9.2% US$635US$582US$629US$684US$635US$591US$551US$515US$481US$450("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$5.8bWe now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.3%. We discount the terminal cash flows to today's value at a cost of equity of 9.2%.Terminal Value (TV)= FCF2033 × (1 + g) ÷ (r – g) = US$1.1b× (1 + 2.3%) ÷ (9.2%– 2.3%) = US$16bPresent Value of Terminal Value (PVTV)= TV / (1 + r)10= US$16b÷ ( 1 + 9.2%)10= US$6.7bThe total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is US$12b. In the final step we divide the equity value by the number of shares outstanding. Relative to the current share price of US$122, the company appears quite undervalued at a 38% discount to where the stock price trades currently. Remember though, that this is just an approximate valuation, and like any complex formula - garbage in, garbage out.dcfThe AssumptionsNow the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. If you don't agree with these result, have a go at the calculation yourself and play with the assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Mohawk Industries as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 9.2%, which is based on a levered beta of 1.493. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business.Moving On:Valuation is only one side of the coin in terms of building your investment thesis, and it ideally won't be the sole piece of analysis you scrutinize for a company. The DCF model is not a perfect stock valuation tool. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" If a company grows at a different rate, or if its cost of equity or risk free rate changes sharply, the output can look very different. Can we work out why the company is trading at a discount to intrinsic value? For Mohawk Industries, we've compiled three fundamental items you should assess:Risks: To that end, you should be aware of the 1 warning sign we've spotted with Mohawk Industries .Future Earnings: How does MHK's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart.Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing!PS. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the NYSE every day. If you want to find the calculation for other stocks just search here.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Is Mohawk Industries, Inc. (NYSE:MHK) Trading At A 38% Discount?

https://finance.yahoo.com/news/mohawk-industries-inc-nyse-mhk-165225683.html

da1a9fd9-05b8-3c14-b5c9-c76ca7916037

MKC

In this article, we will look into the 16 companies with the highest sustainable revenue in the US. If you want to skip our detailed analysis, you can go directly to the 5 Companies With The Highest Sustainable Revenue in the US.Global Green EconomyAfter a downturn in the global green economy in 2022, growth returned to its pace in 2023. The green revenues were affected by factors such as high inflation, rising interest rates, and geopolitical crises in 2022. The market capitalization of green companies returned to its 2021 average of more than 9% in 2023. The sustainable revenue of the listed companies is set to exceed $5 trillion by 2025, as reported by the FTSE Russel. With the continuous innovation and advancement toward a green economy, the growth is diversifying with sustainable companies gaining traction and higher investments. The average market cap of companies with 100% sustainable revenues reached more than $7 billion in June 2023, an increase of over 6-fold since 2016.Sustainability Efforts by the USThe United States is actively making efforts toward clean technologies to cut down emissions from industries. On January 25, Reuters reported that the Biden administration has allocated $254 million to amplify the development and implementation of clean technologies in industrial sectors including steel, iron, and cement, as a part of its broader sustainability plan. This initiative by the administration highlights its commitment to promoting social and environmental responsibility in the country's industrial sector, recognizing its high contribution to GHG emissions. The funding will be divided into two major areas and will be distributed through the Department of Energy. An amount of $171 million will be awarded to about 50 projects across 21 US states. The projects will focus on advancing decarbonization technologies. Academic institutes, companies, and nonprofit organizations will lead these projects. This will help tackle challenges including industrial decarbonization, hydrogen-fueled heating and power development, and decarbonizing critical chemicals.Story continuesThe Department of Energy has initiated applications for an additional $83 million to target industrial sectors that are hard to decarbonize. This signifies the commitment of the US to recognize challenges faced by specific industries. The Secretary of Energy, Jennifer Granholm, highlighted that funding is crucial in lowering costs and enhancing energy efficiency in the US industrial sector. The initiative aims to attain environmental and economic benefits, promoting a greener and more sustainable future for the market and the country as a whole, by funding innovative technologies and supporting their adoption across industries.Companies Driving the Sustainability ShiftSome of the key players driving the sustainability shift in the country include Tesla, Inc. (NASDAQ:TSLA), Clean Harbors, Inc. (NYSE:CLH), and Rivian Automotive, Inc. (NASDAQ:RIVN).Tesla, Inc. (NASDAQ:TSLA) is leading the US market with its commitment to sustainability, evident through its focus on energy-efficient electric vehicles and manufacturing practices. In 2023, the company delivered more than 1.3 million electric vehicles, promoting sustainable and efficient transport. Its leading electric vehicle SUV, Model Y has the title of the most efficient electric SUV, boasting an efficiency of 4 miles per kWh. The company is continuously integrating ESG goals into its core strategies. These efforts are materializing in eco-friendly and energy-efficient factories. By the end of 2022, Tesla, Inc. (NASDAQ:TSLA) had installed 32,400 kW of solar power at its factories.Clean Harbors, Inc. (NYSE:CLH) is a leading waste management and recycling company in the US, promoting circularity through its products and services. On February 6, the company announced that it had acquired HEPACO, a leading environmental and emergency response services provider in the US, for a transaction of $400 million. This strategic move by Clean Harbors, Inc. (NYSE:CLH) will expand its field services and emergency response capabilities. HEPACO is anticipated to generate $36 million in EBITDA on a revenue of $270 million in 2023. The deal is anticipated to be closed in the first half of 2024.Rivian Automotive, Inc. (NASDAQ:RIVN) is a leading automotive technology and EV manufacturing company. On December 14, 2023, the company announced that it had partnered with AT&T Inc. (NYSE:T). The company has purchased Rivian Automotive, Inc.'s (NASDAQ:RIVN) Commercial Van and R1 to electrify its fleet. This strategic partnership aims to reduce emissions, enhance safety, and reduce costs for AT&T Inc. (NYSE:T). This alliance signifies Rivian Automotive, Inc.'s (NASDAQ:RIVN) commitment to sustainability and energy efficiency.Now, let's look at the 16 companies with the highest sustainable revenue in the US.16 Companies With The Highest Sustainable Revenue in the US16 Companies With The Highest Sustainable Revenue in the USMethodologySustainable revenue refers to the percentage of revenue earned from sustainable products and services. To compile our list of the companies with the highest sustainable revenue in the US, we consulted the Global 100 Report 2024 by Corporate Knights. Corporate Knights analyzed over 6,000 companies with a revenue of at least $1 billion for any fiscal year that ended between July 1st, 2022, and June 30th, 2023. The Global 100 report provides data for the sustainable revenue, sustainable investment, carbon productivity, and racial and gender diversity of the top 100 companies.We utilized the sustainable revenue ratio, which is the ratio of sustainable revenue to the total revenue, and the USD Purchasing Power Parity (PPP) revenue of companies, sourced from Corporate Knights, to calculate the absolute sustainable revenue of the companies. Our list ranks companies with the highest sustainable revenue in ascending order of their absolute sustainable revenue, according to Corporate Knights.By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.16 Companies With The Highest Sustainable Revenue in the US16. Prologis, Inc. (NYSE:PLD)Sustainable Revenue Ratio: 2.2%USD PPP Revenue: $9.59 billionAbsolute Sustainable Revenue: $207.81 millionPrologis, Inc. (NYSE:PLD) is ranked among the companies with the highest sustainable revenue in the US. It specializes in logistics real estate, energy and sustainability, mobility, and warehouse solutions. Prologis, Inc. (NYSE:PLD) has a sustainable revenue of $207.81 million.15. Rivian, Automotive Inc. (NASDAQ:RIVN)Sustainable Revenue Ratio: 100%USD PPP Revenue: $1.65 billionAbsolute Sustainable Revenue: $1.65 billionThe leading EV manufacturer, Rivian Automotive, Inc. (NASDAQ:RIVN) is ranked among the companies with the highest sustainable revenue in the US. The company has a 100% sustainable revenue of $1.65 billion.14. SunPower Corporation (NASDAQ:SPWR)Sustainable Revenue Ratio: 100%USD PPP Revenue: $1.74 billionAbsolute Sustainable Revenue: $1.74 billionSunPower Corporation (NASDAQ:SPWR) is ranked 14th on our list of the companies with the highest sustainable revenue in the US. The leading renewable energy company specializes in residential solar systems, photovoltaic solar systems, alternative energy, renewable energy, monitoring, and solar energy storage. SunPower Corporation (NASDAQ:SPWR) boasts a sustainable revenue of $1.74 billion.13. Enphase Energy, Inc. (NASDAQ:ENPH)Sustainable Revenue Ratio: 100%USD PPP Revenue: $2.33 billionAbsolute Sustainable Revenue: $2.33 billionEnphase Energy, Inc. (NASDAQ:ENPH) ranks 13th on our list of the highest sustainable revenue in the US, with a 100% sustainable revenue. It is an energy technology company, specializing in the development and manufacturing of battery energy storage, EV charging stations for residential customers, and micro-inverters. The company reports a sustainable revenue of $2.33 billion.12. First Solar, Inc. (NASDAQ:FSLR)Sustainable Revenue Ratio: 100%USD PPP Revenue: $2.62 billionAbsolute Sustainable Revenue: $2.62 billionFirst Solar Inc. (NASDAQ:FSLR) is ranked 12th on our list with a 100% sustainable revenue. It is a leading solar technology company in the US, specializing in the production of eco-efficient solar modules. First Solar Inc. (NASDAQ:FSLR) has an absolute sustainable revenue of $2.62 billion.11. McCormick & Company, Incorporated (NYSE:MKC)Sustainable Revenue Ratio: 46.3%USD PPP Revenue: $6.35 billionAbsolute Sustainable Revenue: $2.93 billionMcCormick & Company, Incorporated (NYSE:MKC) is a leading spice and extract manufacturing company. The company has been in business for over 130 years. It is a leading manufacturer and distributor of spices, seasoning mixes, condiments, and other flavorful products. McCormick & Company, Incorporated's (NYSE:MKC) sustainable revenue is 46.3% of its total revenue, according to Corporate Knights.10. Radius Recycling, Inc. (NASDAQ:RDUS)Sustainable Revenue Ratio: 95%USD PPP Revenue: $3.48 billionAbsolute Sustainable Revenue: $3.31 billionRadius Recycling, Inc. (NASDAQ:RDUS) is ranked among the companies with the highest sustainable revenue in the US. Founded in 1906, the company manufactures and recycles metal scraps. Radius Recycling, Inc. (NASDAQ:RDUS) boasts a sustainable revenue of $3.31 billion. The sustainable revenue generated by the company is 95% of its total revenue, according to Corporate Knights.9. Equinix, Inc. (NASDAQ:EQIX)Sustainable Revenue Ratio: 48.0%USD PPP Revenue: $7.26 billionAbsolute Sustainable Revenue: $3.48 billionEquinix, Inc. (NASDAQ:EQIX) is a major digital infrastructure company, specializing in business ecosystems, cloud services, data exchange and security, financial services, and international business exchange. Equinix, Inc. (NASDAQ:EQIX) reports a sustainable revenue of $3.48 billion.8. Autodesk, Inc. (NASDAQ:ADSK)Sustainable Revenue Ratio: 92.8%USD PPP Revenue: $5.00 billionAbsolute Sustainable Revenue: $4.64 billionAutodesk, Inc. (NASDAQ:ADSK) is a leading multinational software company, specializing in 3D design software, digital prototyping, media and entertainment, PLM, cloud, consumer software, and sustainable design software. Autodesk, Inc. (NASDAQ:ADSK) boasts a sustainable revenue of $4.64 billion.7. Clean Harbors, Inc. (NYSE:CLH)Sustainable Revenue Ratio: 100%USD PPP Revenue: $5.16 billionAbsolute Sustainable Revenue: $5.16 billionClean Harbors, Inc. (NYSE:CLH) ranks 7th on our list, reporting a 100% sustainable revenue. The company is a leading waste management and recycling company in the US. Clean Harbors, Inc. (NYSE:CLH) has a sustainable revenue of $5.16 billion.6. Xerox Holdings Corporation (NASDAQ:XRX)Sustainable Revenue Ratio: 74.8%USD PPP Revenue: $7.10 billionAbsolute Sustainable Revenue: $5.31 billionXerox Holdings Corporation (NASDAQ:XRX) is one of the top business consulting companies. It provides products and services including software, business services, workflow solutions, personalization, and digital printing solutions. The sustainable revenue of Xerox Holdings Corporation (NASDAQ:XRX) is $5.31 billion, according to Corporate Knights' research. It is ranked 6th on our list of the companies with the highest sustainable revenue in the US.Click to continue reading 5 Companies With The Highest Sustainable Revenue in the US.Suggested Articles:Top 20 Motorcycle Brands in the WorldTop 15 Electric Bike Brands According to Reddit15 Top Performing European Stocks So Far in 2024Disclosure: None. 16 Companies With The Highest Sustainable Revenue in the US is originally published at Insider Monkey.

Insider Monkey

16 Companies With The Highest Sustainable Revenue in the US

https://finance.yahoo.com/news/16-companies-highest-sustainable-revenue-184720819.html

beec59dd-4e53-37fe-98f6-4f6f5619c9e5

MKC

Major food companies are setting the table for investors.At the annual Consumer Analyst Group of New York (CAGNY) conference in Boca Raton, Fla., major packaged food brands with enticing dividend payouts such as PepsiCo (PEP), Coca-Cola (KO), Hershey's (HSY), Conagra Brands (CAG), and Molson Coors (TAP) presented updates to their businesses. Some even offered unexpected twists to their strategies.The overarching story from food companies centered on a return to normal. After a year of Ozempic fears settling in, a pullback in consumer spending amid higher prices, and a few lingering post-COVID supply chain issues, food execs were eager to move the narrative forward.Barring any further disruptions in 2024, one common theme from food companies was staying on track, Mizuho Securities managing director John Baumgartner told Yahoo Finance. "This is the first year now in probably three or four where you're sort of operating in normalized conditions. ... So I think [they have] a lot of hope that [they're] going to be in a stable environment."With the conference set to run through Friday, here are some other trends Yahoo Finance noticed on the ground.The Pop-Tarts mascot, Strawberry, poses for a photo before the Pop-Tarts Bowl on Thursday, Dec. 28, 2023, at Camping World Stadium, Orlando, Fla. (Peter Joneleit/Icon Sportswire via Getty Images) (Icon Sportswire via Getty Images)All eyes on volumeFood execs are focused on volume recovery, as Americans have scaled back how much they're buying because of high prices.Leaders at General Mills (GIS) and Conagra were "hesitant to comment on whether fiscal 2025 (beginning in June) could be a return to growth in line with long-term targets," Evercore ISI analyst David Palmer wrote in a note to clients from the event.Hershey and Mondelēz (MDLZ) called out "price pack architecture," which uses different sizes and price points, as a potential growth lever. "We've always capitalized on having different price points, different pack sizes, so that there's accessibility for everyone," Hershey CEO Michele Buck said to the crowd.Meanwhile, WK Kellogg Co is taking a different approach by providing value through nutrition, an idea that CEO Gary Pilnick believes will stick around.Story continues“We go through different business cycles, we go through different fads, different nutrition demands," Pilnick said. "There's something in [each of those trends] for cereal."Various types of Kellogg's cereals are pictured at a Ralphs grocery store in Pasadena, Calif., Aug. 3, 2015. (Mario Anzuoni/REUTERS) (REUTERS / Reuters)In the fourth quarter, WK Kellogg's revenue decreased by 2.7%, reflecting a 10% volume decline offset by price increases.Pilnick explained that affordable protein sources open up a new frontier for the cereal maker, which spun off from Kellogg’s snack business last year. In an interview with Yahoo Finance, he reiterated that cereal demand is "durable" as consumers’ preferences change.Pilnick added that a focus on nutrition also unlocks the premium market for WK Kellogg too, as shown by the company's Eat Your Mouth Off brand, the first cereal of its kind with 22 grams of plant-based protein and zero sugar.Innovating with new flavors, packaging, and marketingReimagining classics was another key strategy execs pointed to.They held up flavor innovation as one tactic. WK Kellogg's Pilnick said the company saw success bringing back customers with strawberry Frosted Flakes last year and the return of chocolate Frosted Flakes.J.M. Smucker Co.'s slide from its presentation at CAGNY 2024 teased a new flavor that will be added to the Uncrustables lineup in September. (Yahoo Finance)Meanwhile, J.M. Smucker (SJM) said it's adding raspberry Uncrustables to its lineup in September 2024 as it aims to deliver $800 million in net sales for its Uncrustables brand this fiscal year. The new flavor is part of a larger effort to lean into "a flavor for every day of the week."The company also announced its JIF peanut butter brand will launch a peanut butter and chocolate spread this summer. "Over 70% of peanut butter buyers are not purchasing a chocolate-flavor spread today, and we anticipate this innovation will be highly incremental to the brand," J.M. Smucker CEO Mark Smucker said.Packaging innovation offers another opportunity. PepsiCo chairman and CEO Ramon Laguarta said the company has invested in updating its packaging for “portion control” and “portability” as customers snack more throughout the day.PepsiCo chairman and CEO Ramon Luis Laguarta presents at CAGNY 2024. (Yahoo Finance)“We want to make sure that consumers can find us in many more occasions,” he said. Pepsi is also leaning into powders and tablets, “giving consumers the opportunity to find Gatorade or to use Gatorade in a much different way.”Food giants are also reengaging consumers through marketing campaigns with new partners.Hershey, for example, excited the CAGNY conference crowd by bringing in NBA legend Shaquille O'Neal to announce a partnership to “win” in the gummy segment, the fastest-growing sweets segment. Conagra Brands, meanwhile, shared that Dolly Parton's baking line is expanding into frozen shelves.Companies are looking for partnerships beyond grocery store shelves too. They're eager to tap into the market for dining away from home, which has seen prices continue to grow.For instance, did you know McCormick (MKC) launched a limited-time offering with McDonald's (MCD) in February for the McSpicy sandwich in the UK with Frank's RedHot sauce? Or that it teamed up with Wendy's (WEN) to launch a breakfast burrito served with Cholula hot sauce?“We're excited to continue to leverage our brands and our hot and spicy flavors to further penetrate menus and add the heat in away-from-home channels,” McCormick CFO Michael Smith said.The buzz around M&AWhile no major announcements were made, many companies teased that they're open to dealmaking but are waiting for the right company to come along.WK Kellogg's Pilnick said potential targets "would likely be [in the] center of the food business where our brands would resonate because you'd get cost synergies." However, he noted that WK Kellogg is not focused on M&A right now.Mondelēz CEO Dirk Van de Put gave investors insight into its M&A process. The company begins by building relationships with about 30 to 40 companies, most of which are family-owned, making gaining trust on both sides crucial."We can't forecast the timetable, but what I can say is that the pipeline is active," Van de Put said. Deals are getting “more expensive because there's more interest," he added. "We want to stay very disciplined."However, the next major food deal may not be a traditional acquisition.Mizuho's Baumgartner told Yahoo Finance that investors could see deals similar to Walmart's acquisition of Vizio, in which "food staples companies [acquire] differentiated tech companies" to gain a deeper understanding of consumers.—Brooke DiPalma is a senior reporter for Yahoo Finance. Follow her on Twitter at @BrookeDiPalma or email her at [email protected] the latest earnings reports and analysis, earnings whispers and expectations, and company earnings news, click hereRead the latest financial and business news from Yahoo Finance

Yahoo Finance

Food companies detail 3 big trends in packaged goods right now

https://finance.yahoo.com/news/food-companies-detail-3-big-trends-in-packaged-goods-right-now-184226912.html

71ffec86-ab06-412e-a006-2a7d90537490

MKC

HUNT VALLEY, Md., Feb. 28, 2024 /PRNewswire/ -- McCormick & Company, Incorporated (NYSE: MKC), a global leader in flavor, today announced that it has been recognized on the 2024 Barron's 100 Most Sustainable Companies list released by Barron's Magazine. McCormick ranked 33rd overall, rising 21 spots from 2023. This is McCormick's sixth appearance on the prestigious list, which evaluates publicly traded U.S. companies across a variety of environmental, social, and governance measures."McCormick is proud to be recognized on the Barron's 100 Most Sustainable Companies list this year," said Brendan Foley, President and Chief Executive Officer for McCormick and Company. "Our progress against our goals for 2025 and beyond are being driven by our Purpose-led Performance commitment to deliver industry-leading financial performance while doing what's right for people, communities, and the planet we all share."This recognition follows McCormick's ranking as the No. 1 most sustainable company in the world in the Food Products Industry by the Corporate Knights' Global 100 Sustainability Index, which honored the Company for the eighth consecutive year. The Company also recently achieved A- status on the CDP's 2024 Climate Change ranking.Barron's latest ranking was compiled in partnership with Calvert Research and Management and ranks companies across 230 environmental, social, and governance metrics, evaluating companies' performance in five categories – shareholders, employees, customers, community, and planet – all of which are in line with McCormick's Purpose-led Performance pillars.For more information on this recognition, visit Barron's 100 Most Sustainable U.S. Companies 2024. To learn more about McCormick's Purpose-led Performance journey, please read our 2022 Purpose-led Performance Report or visit the Purpose-led Performance section of our Corporate website.Story continuesAbout McCormick McCormick & Company, Incorporated is a global leader in flavor. With over $6.5 billion in annual sales across 150 countries and territories, we manufacture, market and distribute spices, seasoning mixes, condiments and other flavorful products to the entire food industry including e-commerce channels, grocery, food manufacturers and foodservice businesses. Our most popular brands with trademark registrations include McCormick, French's, Frank's RedHot, Stubb's, OLD BAY, Lawry's, Zatarain's, Ducros, Vahiné, Cholula, Schwartz, Kamis, DaQiao, Club House, Aeroplane and Gourmet Garden. Every day, no matter where or what you eat or drink, you can enjoy food flavored by McCormick.Founded in 1889 and headquartered in Hunt Valley, Maryland USA, McCormick is guided by our principles and committed to our Purpose – To Stand Together for the Future of Flavor. McCormick envisions A World United by Flavor where healthy, sustainable and delicious go hand in hand. To learn more, visit www.mccormickcorporation.com or follow McCormick & Company on Instagram and LinkedIn.For information contact:Global Communications:Lori Robinson - [email protected] Winston – [email protected] original content:https://www.prnewswire.com/news-releases/mccormick--company-named-to-barrons-most-sustainable-us-companies-list-302074742.htmlSOURCE McCormick & Company, Incorporated

PR Newswire

McCormick & Company Named to Barron's Most Sustainable U.S. Companies List

https://finance.yahoo.com/news/mccormick-company-named-barrons-most-204000200.html

923f3bb5-6738-3cf3-9aff-96cc1c3f0c2d

MKC

HUNT VALLEY, Md., Feb. 29, 2024 /PRNewswire/ -- McCormick & Company, Incorporated (NYSE: MKC), a global leader in flavor, is scheduled to conduct a conference call and webcast of its first quarter 2024 financial results on Tuesday, March 26, 2024, at 8:00 a.m. Eastern Time. Brendan Foley, President & CEO; Mike Smith, Executive Vice President & CFO; and Faten Freiha, Vice President of Investor Relations will be hosting the call. A live audio webcast of the call along with the accompanying presentation materials will be available on the McCormick website ir.mccormick.com.If you are unable to attend the live webcast, the presentation will be archived on the same website. To listen to an audio replay, call 877-660-6853 in the United States or 201-612-7415 internationally. When prompted, enter the conference ID number 13744819. The replay will be available until 12:00 midnight Eastern Time on April 16, 2024.About McCormickMcCormick & Company, Incorporated is a global leader in flavor. With over $6.5 billion in annual sales across 150 countries and territories, we manufacture, market, and distribute spices, seasoning mixes, condiments and other flavorful products to the entire food industry including e-commerce channels, grocery, food manufacturers and foodservice businesses. Our most popular brands with trademark registrations include McCormick, French's, Frank's RedHot, Stubb's, OLD BAY, Lawry's, Zatarain's, Ducros, Vahiné, Cholula, Schwartz, Kamis, DaQiao, Club House, Aeroplane and Gourmet Garden. Every day, no matter where or what you eat or drink, you can enjoy food flavored by McCormick.Founded in 1889 and headquartered in Hunt Valley, Maryland USA, McCormick is guided by our principles and committed to our Purpose – To Stand Together for the Future of Flavor. McCormick envisions A World United by Flavor where healthy, sustainable, and delicious go hand in hand. To learn more, visit www.mccormickcorporation.com or follow McCormick & Company on Instagram and LinkedIn.Story continuesFor information contact:Investor Relations:Faten Freiha - [email protected] Communications:Lori Robinson - [email protected] CisionView original content:https://www.prnewswire.com/news-releases/mccormick--company-to-report-2024-first-quarter-financial-results-on-march-26-2024-302074809.htmlSOURCE McCormick & Company, Incorporated

PR Newswire

McCormick & Company to Report 2024 First Quarter Financial Results on March 26, 2024

https://finance.yahoo.com/news/mccormick-company-report-2024-first-130000476.html

268a9d76-d775-3076-91b4-1eef1c2ad8c6

MKTX

NEW YORK, February 26, 2024--(BUSINESS WIRE)--MarketAxess Holdings Inc. (Nasdaq: MKTX), the operator of a leading electronic trading platform for fixed-income securities, today announced the appointment of Ilene Fiszel Bieler as Chief Financial Officer. Ms. Fiszel Bieler is currently expected to start with MarketAxess on or about May 22, 2024. Ms. Fiszel Bieler replaces Christopher Gerosa, who left the Company on January 31, 2024.Chris Concannon, CEO of MarketAxess, commented, "Ilene’s diverse financial services background and unique operational experience will be instrumental to our continued growth. The Board, along with Executive Chairman Rick McVey, and I all look forward to her partnership and leadership of the finance organization at MarketAxess."Ms. Fiszel Bieler most recently served as Executive Vice President, Chief Operating Officer of State Street Global Markets and Global Credit Finance and as Global Head of Investor Relations of State Street. Prior to her time there, Ms. Fiszel Bieler served in various positions, including as Head of Investor Relations and Strategy for the Americas at Barclays plc and Head of Fixed Income Investor and Rating Agency Relations at Citigroup Inc. Ms. Fiszel Bieler holds a B.A. from the University of Arizona and a Master of Urban Planning from New York University."MarketAxess is an S&P500 company with a remarkable history of over two decades of innovation and leadership in the fixed-income space," said Ms. Fiszel Bieler. "I’m excited to be joining Chris and the team at a time when industry demand for technology and efficiency has never been higher, and there is so much potential for further transformation across the global fixed-income markets."Ms. Fiszel Bieler will be based in New York and report to CEO Chris Concannon.About MarketAxessMarketAxess (Nasdaq: MKTX) operates a leading electronic trading platform that delivers greater trading efficiency, a diversified pool of liquidity and significant cost savings to institutional investors and broker-dealers across the global fixed-income markets. Over 2,000 firms leverage MarketAxess’ patented technology to efficiently trade fixed-income securities. MarketAxess’ award-winning Open Trading® marketplace is widely regarded as the preferred all-to-all trading solution in the global credit markets. Founded in 2000, MarketAxess connects a robust network of market participants through an advanced full trading lifecycle solution that includes automated trading solutions, intelligent data and index products and a range of post-trade services. Learn more at www.marketaxess.com and on X @MarketAxess.Story continuesView source version on businesswire.com: https://www.businesswire.com/news/home/20240226250968/en/ContactsINVESTOR RELATIONS Stephen Davidson MarketAxess Holdings Inc.+1 212 813 [email protected] RELATIONS Marisha Mistry MarketAxess Holdings Inc.+1 917 267 [email protected]

Business Wire

MarketAxess Appoints Ilene Fiszel Bieler as Chief Financial Officer

https://finance.yahoo.com/news/marketaxess-appoints-ilene-fiszel-bieler-130000486.html

f795fc3d-fb4a-33cc-9550-bc41ae8a3af8

MKTX

NEW YORK, February 26, 2024--(BUSINESS WIRE)--MarketAxess Holdings Inc. (Nasdaq: MKTX), the operator of a leading electronic trading platform for fixed-income securities, today announced that Rick McVey, Executive Chairman and Founder, will participate in the Raymond James 2024 Institutional Investors Conference on March 4, 2024.Mr. McVey will participate in a fireside chat at 4:00 p.m. ET. The live webcast and replay for the fireside chat will be available on the events and presentations section of the MarketAxess Investor Relations homepage, https://investor.marketaxess.com/events-and-presentations.About MarketAxessMarketAxess (Nasdaq: MKTX) operates a leading electronic trading platform that delivers greater trading efficiency, a diversified pool of liquidity and significant cost savings to institutional investors and broker-dealers across the global fixed-income markets. Over 2,000 firms leverage MarketAxess’ patented technology to efficiently trade fixed-income securities. MarketAxess’ award-winning Open Trading® marketplace is widely regarded as the preferred all-to-all trading solution in the global credit markets. Founded in 2000, MarketAxess connects a robust network of market participants through an advanced full trading lifecycle solution that includes automated trading solutions, intelligent data and index products and a range of post-trade services. Learn more at www.marketaxess.com and on X @MarketAxess.View source version on businesswire.com: https://www.businesswire.com/news/home/20240226872690/en/ContactsINVESTOR RELATIONSStephen DavidsonMarketAxess Holdings Inc.+1 212 813 [email protected] RELATIONSMarisha MistryMarketAxess Holdings Inc.+1 917 267 [email protected]

Business Wire

MarketAxess to Participate in the Raymond James 2024 Institutional Investors Conference

https://finance.yahoo.com/news/marketaxess-participate-raymond-james-2024-213000777.html

ca7cafa9-2234-36e4-becd-6f2ce7dd8933

MKTX

Record Total Credit Trading ADV of $15.2 Billion; Record U.S. High-Grade ADV of $7.7 BillionNEW YORK, March 05, 2024--(BUSINESS WIRE)--MarketAxess Holdings Inc. (Nasdaq: MKTX), the operator of a leading electronic trading platform for fixed-income securities, today announced monthly trading volume and preliminary variable transaction fees per million ("FPM") for February 2024.1Chris Concannon, CEO of MarketAxess, commented:"We delivered record total credit ADV of $15.2 billion, driven by a 14.6% increase in U.S. high-grade ADV, a 12.5% increase in emerging markets ADV, a 9.1% increase in Eurobonds ADV, and an 8.0% increase in municipal bonds ADV. Strong credit volumes quarter-to-date across several of our growth cylinders have more than offset significantly lower levels of U.S. high-yield trading activity on our platform impacted by continued low levels of credit spread volatility. The roll-out of MarketAxess X-Pro is continuing and client engagement is increasing with approximately 14% of our largest client firms active on the platform, up from 12% in January 2024."Select February 2024 highlights*Record total credit average daily volume ("ADV") of $15.2 billion, up 5.1%.Record U.S. high-grade ADV of $7.7 billion, up 14.6% on an 18.6% increase in estimated market ADV. Estimated market share of 19.5%, down from 20.1% in the prior year on record February new issuance calendar.U.S. high-yield ADV of $1.4 billion, down 37.1%. Estimated market share of 12.9%, down from 19.2% in the prior year. U.S. high-yield estimated market ADV decreased 6.3%. We believe the decrease in U.S. high-yield estimated market share year-over-year was driven, in part, by lower levels of credit spread volatility and a greater focus on the new issue calendar by our long-only client segment. Lower levels of credit spread volatility drove an estimated 73.8% decrease in ETF market maker client activity on our platform.Emerging markets ADV of $3.6 billion, up 12.5%. The year-over-year increase was driven by a 6.4% increase in hard currency trading ADV, and a 26.5% growth in local currency markets trading ADV.2Eurobonds ADV of $2.0 billion, up 9.1%.2Municipal bond ADV of $434 million, up 8.0% with estimated market ADV down 17.2%. Estimated market share of 6.8%, up from 5.4% in the prior year.2AxessIQ, the order and execution workflow solution designed for wealth management and private banking clients, achieved ADV of $141.4 million, up 21.2% from the prior year.34% Open Trading® share3 of total credit trading volume, down from 36% in the prior year.Total rates ADV of $19.1 billion, down 18.6% from prior year, but up 13.0% from January 2024.The preliminary FPM1 for total credit for February 2024 was approximately $152, down from $168 in the prior year, $156 in January 2024, and $154 quarter-to-date. The decline in total credit FPM compared to the prior year was due principally to product mix shift. The decline in total credit FPM compared to January 2024 was driven principally by lower duration of bonds traded in U.S. high-grade. The preliminary FPM for total rates was $4.30, compared to $4.13 in the prior year.Story continues*All comparisons versus February 2023 unless otherwise noted.Table 1: February 2024 trading ADVCREDITRATES$ in millions(unaudited)US/UKTrading Days5TotalADVTotalCreditHigh-GradeHigh-YieldEmergingMarketsEurobondsMunicipalBondsTotalRatesUS Govt.BondsAgcy./OtherGovt. BondsFeb-2420/21$34,261$15,176$7,712$1,441$3,626$1,952$434$19,085$18,613$472Feb-2319/20$37,896$14,446$6,729$2,290$3,222$1,790$402$23,450$23,019$431% Change (10%)5%15%(37%)13%9%8%(19%)(19%)10% Table 1A: February 2024 estimated market shareCREDITRATES(unaudited)High-GradeHigh-YieldHigh-Grade/High-YieldCombinedMunicipals3US Govt.Bonds3Feb-2419.5%12.9%18.1%6.8%2.0%Feb-2320.1%19.2%19.9%5.4%2.8%Bps Change(60) bps(630) bps(180) bps+140 bps(80) bps1 The FPM for total credit and total rates for February 2024 are preliminary and may be revised in subsequent updates and public filings. The Company undertakes no obligation to update any fee information in future press releases.2 See "General Notes Regarding the Data Presented" below.3 Open Trading share of total credit trading volume is derived by taking total Open Trading volume across all credit products where Open Trading is offered and dividing by total credit trading volume across all credit products where Open Trading is offered.4 The number of U.S. trading days is based on the SIFMA holiday recommendation calendar and the number of U.K. trading days is based primarily on the U.K. Bank holiday schedule.General Notes Regarding the Data PresentedReported MarketAxess volume in all product categories includes only fully electronic trading volume. MarketAxess trading volumes and TRACE reported volumes are available on the Company’s website at investor.marketaxess.com/volume.Beginning with January 2024, the Company is no longer providing Emerging Markets or Eurobonds market ADV or estimated market share. The Company is currently reviewing its methodology for calculating such statistics, which historically have been derived from MarketAxess TraX data, to ensure that the statistics presented provide a complete and accurate view of the market.In addition, for periods beginning with January 2024, the Company has made changes to the market volume data used to calculate estimated market share for Municipal and U.S. Government Bonds. For Municipal Bonds, the Company previously used estimates, derived from data issued by the Municipal Securities Rule Making Board ("MSRB"), including estimates for new issuance, commercial paper and variable-rate trading activity, and excluded these volumes from the estimated market volume data. While the Company still uses estimates, the new methodology for identifying and excluding these volumes from the market volume data is now based on MSRB "flags" to identify new issuance, commercial paper, and variable-rate volumes. For U.S. Government Bonds, the previous data source for estimated market volumes was the Federal Reserve Bank’s Reported Primary Dealer U.S. Treasury Bond Trading Volumes, which was reported on a one-week lag. The new source for U.S. Government Bond trading volumes is FINRA’s U.S. Treasury TRACE data. The Company believes that the refined methodology used for Municipal Bonds, and the new data source for U.S. Government Bonds, provides more accurate measures of estimated market volumes and estimated market share. Prior comparable periods have been recast retrospectively for both Municipal and U.S. Government Bonds to conform to the updated presentation of the data. The new estimated market volume data is also available on the Company’s website at investor.marketaxess.com/volume.Cautionary Note Regarding Forward-Looking StatementsThis press release may contain forward-looking statements, including statements about the outlook and prospects for Company, market conditions and industry growth, as well as statements about the Company’s future financial and operating performance. These and other statements that relate to future results and events are based on MarketAxess’ current expectations. The Company’s actual results in future periods may differ materially from those currently expected or desired because of a number of risks and uncertainties, including: global economic, political and market factors; the level of trading volume transacted on the MarketAxess platform; the rapidly evolving nature of the electronic financial services industry; the level and intensity of competition in the fixed-income electronic trading industry and the pricing pressures that may result; the variability of our growth rate; our ability to introduce new fee plans and our clients’ response; our ability to attract clients or adapt our technology and marketing strategy to new markets; risks related to our growing international operations; our dependence on our broker-dealer clients; the loss of any of our significant institutional investor clients; our exposure to risks resulting from non-performance by counterparties to transactions executed between our clients in which we act as an intermediary in matched principal trades; risks related to self-clearing; risks related to sanctions levied against states or individuals that could expose us to operational or regulatory risks; the effect of rapid market or technological changes on us and the users of our technology; our dependence on third-party suppliers for key products and services; our ability to successfully maintain the integrity of our trading platform and our response to system failures, capacity constraints and business interruptions; the occurrence of design defects, errors, failures or delays with our platforms, products or services; our vulnerability to malicious cyber-attacks and attempted cybersecurity breaches; our actual or perceived failure to comply with privacy and data protection laws; our ability to protect our intellectual property rights or technology and defend against intellectual property infringement or other claims; our ability to enter into strategic alliances and to acquire other businesses and successfully integrate them with our business; our dependence on our management team and our ability to attract and retain talent; limitations on our flexibility because we operate in a highly regulated industry; the increasing government regulation of us and our clients; risks related to the divergence of U.K. and European Union legal and regulatory requirements following the U.K.’s exit from the European Union; our exposure to costs and penalties related to our extensive regulation; our risks of litigation and securities laws liability; adverse effects as a result of climate change or other ESG risks that could affect our reputation; our future capital needs and our ability to obtain capital when needed; limitations on our operating flexibility contained in our credit agreement; our exposure to financial institutions by holding cash in excess of federally insured limits; and other factors. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. More information about these and other factors affecting MarketAxess’ business and prospects is contained in MarketAxess’ periodic filings with the Securities and Exchange Commission and can be accessed at www.marketaxess.com.About MarketAxessMarketAxess (Nasdaq: MKTX) operates a leading electronic trading platform that delivers greater trading efficiency, a diversified pool of liquidity and significant cost savings to institutional investors and broker-dealers across the global fixed-income markets. Over 2,000 firms leverage MarketAxess’ patented technology to efficiently trade fixed-income securities. Our automated and algorithmic trading solutions, combined with our integrated and actionable data offerings, help our clients make faster, better-informed decisions on when and how to trade on our platform. MarketAxess’ award-winning Open Trading® marketplace is widely regarded as the preferred all-to-all trading solution in the global credit markets. Founded in 2000, MarketAxess connects a robust network of market participants through an advanced full trading lifecycle solution that includes automated trading solutions, intelligent data and index products and a range of post-trade services. Learn more at www.marketaxess.com and on X @MarketAxess. Table 2: Trading Volume Detail     Month Ended February 29 / 28,  In millions (unaudited)  2024  2023  % Change     Volume  ADV  Volume   ADV  Volume  ADV  Credit                           High-grade  $154,246  $7,712  $127,843   $6,729   20.7 % 14.6 %High-yield   28,821   1,441   43,502    2,290   (33.7)  (37.1) Emerging markets   72,517   3,626   61,217    3,222   18.5   12.5  Eurobonds   40,986   1,952   35,808    1,790   14.5   9.1  Other credit   8,912   445   7,881    415   13.1   7.2  Total credit trading1   305,482   15,176   276,251    14,446   10.6   5.1  Rates                           U.S. government bonds2   372,261   18,613   437,356    23,019   (14.9)  (19.1) Agency and other government bonds1   9,750   472   8,467    431   15.2   9.5  Total rates trading   382,011   19,085   445,823    23,450   (14.3)  (18.6) Total trading  $687,493  $34,261  $722,074   $37,896   (4.8)  (9.6) Number of U.S. Trading Days3      20       19          Number of U.K. Trading Days4      21       20                                         Year-to-Date Ended February 29 / 28,  In millions (unaudited)  2024  2023  % Change     Volume  ADV  Volume   ADV  Volume  ADV  Credit                           High-grade  $311,339  $7,594  $252,301   $6,469   23.4 % 17.4 %High-yield   58,151   1,418   80,962    2,076   (28.2)  (31.7) Emerging markets   150,766   3,677   130,095    3,336   15.9   10.2  Eurobonds   83,741   1,947   76,406    1,864   9.6   4.5  Other credit   17,685   431   18,417    472   (4.0)  (8.7) Total credit trading1   621,682   15,067   558,181    14,217   11.4   6.0  Rates                           U.S. government bonds2   716,788   17,483   879,442    22,550   (18.5)  (22.5) Agency and other government bonds1   20,266   478   17,914    445   13.1   7.4  Total rates trading   737,054   17,961   897,356    22,995   (17.9)  (21.9) Total trading  $1,358,736  $33,028  $1,455,537   $37,212   (6.7)  (11.2) Number of U.S. Trading Days3      41       39          Number of U.K. Trading Days4      43       41                                      1 Consistent with FINRA TRACE reporting standards, both sides of trades are included in the Company's reported volumes when the Company executes trades on a matched principal basis between two counterparties.  2 Consistent with industry standards, U.S. government bond trades are single-counted.  3 The number of U.S. trading days is based on the SIFMA holiday recommendation calendar.  4 The number of U.K. trading days is based primarily on the U.K. Bank holiday schedule.      View source version on businesswire.com: https://www.businesswire.com/news/home/20240304988693/en/ContactsINVESTOR RELATIONS Stephen Davidson MarketAxess Holdings Inc.+1 212 813 [email protected] RELATIONS Marisha Mistry MarketAxess Holdings Inc.+1 917 267 [email protected]

Business Wire

MarketAxess Announces Monthly Volume Statistics for February 2024

https://finance.yahoo.com/news/marketaxess-announces-monthly-volume-statistics-113800984.html

17754391-cab7-3fad-999f-f34a0b29857d

MKTX

Tesla isn't just 2024's worst performer in the Magnificent Seven, it's the biggest loser in the S&P 500 index vs. standout Nvidia.Continue reading

Investor's Business Daily

Nvidia Has Soared In 2024, But These 8 Stocks Are Far From Magnificent

https://finance.yahoo.com/m/414888cf-2c76-386e-aa0f-d83a78425889/nvidia-has-soared-in-2024-.html

414888cf-2c76-386e-aa0f-d83a78425889

MLM

Martin Marietta Materials, Inc.RALEIGH, N.C., Feb. 22, 2024 (GLOBE NEWSWIRE) -- Martin Marietta Materials, Inc. (NYSE: MLM) (“Martin Marietta” or the “Company”) today announced that its Board of Directors has declared a regular quarterly cash dividend of $0.74 per share on the Company’s outstanding common stock. This dividend, which represents a cash dividend of $2.96 per share on an annualized basis, is payable March 28, 2024, to shareholders of record at the close of business on March 4, 2024.Martin Marietta, a member of the S&P 500 Index, is an American-based company and a leading supplier of building materials, including aggregates, cement, ready mixed concrete and asphalt. Through a network of operations spanning 28 states, Canada and The Bahamas, dedicated Martin Marietta teams supply the resources for building the solid foundations on which our communities thrive. Martin Marietta’s Magnesia Specialties business produces high-purity magnesia and dolomitic lime products used worldwide in environmental, industrial, agricultural and specialty applications. For more information, visit www.martinmarietta.com or www.magnesiaspecialties.com.Investor Contact: Jacklyn RookerDirector, Investor Relations (919) [email protected]

GlobeNewswire

Martin Marietta Declares Quarterly Cash Dividend

https://finance.yahoo.com/news/martin-marietta-declares-quarterly-cash-195500530.html

97b1f118-4fe1-3a70-96d8-b4f5a2b6a7b4

MLM

Record-breaking financial performance with a 10% increase in consolidated total revenues.Strategic capital allocation with significant investments in operations and shareholder returns.Industry-leading safety performance, underscoring commitment to operational excellence.Robust market position with a focus on sustainable and efficient building solutions.Warning! GuruFocus has detected 5 Warning Sign with WSO.On February 23, 2024, Martin Marietta Materials Inc (NYSE:MLM), a leading producer of construction aggregates and heavy building materials, filed its annual 10-K report, revealing a year of record financial achievements and strategic growth. The company reported a 10% increase in consolidated total revenues, reaching $6.78 billion, and a remarkable 42.1% increase in consolidated gross profit, amounting to $2.02 billion. These figures underscore MLM's robust market position and its ability to capitalize on favorable market conditions. With a comprehensive benefits package and a focus on employee development, MLM demonstrates a commitment to maintaining a skilled and motivated workforce, which is integral to its continued success. This SWOT analysis aims to provide investors with a detailed examination of MLM's strengths, weaknesses, opportunities, and threats as derived from the latest SEC filings.Decoding Martin Marietta Materials Inc (MLM): A Strategic SWOT InsightStrengthsFinancial Robustness: MLM's financial performance in 2023 was exceptional, with record revenues and gross profit. The company's revenue growth was 10% year-over-year, and its gross profit surged by 42.1%, indicating a strong market position and effective cost management. This financial robustness provides MLM with the capital necessary to invest in growth opportunities and return value to shareholders, as evidenced by the $650.3 million invested in operations and the $174.0 million paid in dividends.Operational Excellence: MLM's industry-leading safety performance, with a record Lost-Time Incident Rate (LTIR) of 0.13, reflects its commitment to operational excellence. This focus on safety not only minimizes risks and potential liabilities but also enhances productivity and employee morale. The company's operational strategies have resulted in consistent Adjusted EBITDA growth for twelve consecutive years, showcasing its ability to deliver results despite market fluctuations.Story continuesWeaknessesCapacity Constraints: The company's cement and Magnesia Specialties businesses have faced capacity constraints, which could limit MLM's ability to meet demand spikes. While efforts are underway to expand production capacity, such as the 0.5 million tons annual production capacity increase at the Midlothian cement facility, there is a risk of excess capacity if demand decreases or fails to materialize as anticipated.Integration Challenges: MLM's aggressive acquisition strategy, while contributing to its growth, poses integration risks. The company acknowledges potential difficulties in assimilating new employees, business systems, and technologies, which could lead to performance shortfalls and distract management attention from core operations.OpportunitiesInfrastructure Initiatives: MLM stands to benefit from various 2023 ballot initiatives aimed at funding infrastructure growth and development. The company's aggregates and cement products are essential for public-sector construction projects, and increased infrastructure spending could lead to higher demand for MLM's offerings.Sustainable Building Solutions: There is a growing demand for sustainable construction practices, and MLM's products, such as magnesium hydroxide used to increase fuel efficiency, position the company favorably in this trend. The push for green construction projects could drive demand for MLM's cement and concrete business, aligning with the company's focus on sustainable and efficient building solutions.ThreatsConstruction Industry Cyclicality: MLM's business is heavily dependent on the cyclical nature of the construction industry. Economic and political uncertainties can lead to reduced credit availability for construction projects, delays, or cancellations, which could adversely affect demand for MLM's products.Environmental and Regulatory Risks: MLM's operations are subject to stringent environmental, health, and safety regulations. Changes in legal requirements, increased governmental regulation, and potential environmental liabilities could impact the company's operations and financial performance.In conclusion, Martin Marietta Materials Inc (NYSE:MLM) has demonstrated financial resilience and operational excellence, positioning it as a leader in the construction materials industry. While capacity constraints and integration challenges present internal weaknesses, opportunities for growth are abundant, particularly in the areas of infrastructure development and sustainable building solutions. However, MLM must navigate the cyclical nature of the construction industry and remain vigilant against environmental and regulatory risks. With a strategic focus on leveraging its strengths and addressing its weaknesses, MLM is well-equipped to capitalize on opportunities and mitigate threats in the evolving market landscape.This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.This article first appeared on GuruFocus.

GuruFocus.com

Decoding Martin Marietta Materials Inc (MLM): A Strategic SWOT Insight

https://finance.yahoo.com/news/decoding-martin-marietta-materials-inc-050500590.html

db979a0c-0752-38f5-a1e7-aa4873c3cf8b

MLM

The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even companies that have no revenue, no profit, and a record of falling short, can manage to find investors. Unfortunately, these high risk investments often have little probability of ever paying off, and many investors pay a price to learn their lesson. While a well funded company may sustain losses for years, it will need to generate a profit eventually, or else investors will move on and the company will wither away.In contrast to all that, many investors prefer to focus on companies like Martin Marietta Materials (NYSE:MLM), which has not only revenues, but also profits. Even if this company is fairly valued by the market, investors would agree that generating consistent profits will continue to provide Martin Marietta Materials with the means to add long-term value to shareholders. View our latest analysis for Martin Marietta Materials How Quickly Is Martin Marietta Materials Increasing Earnings Per Share?Generally, companies experiencing growth in earnings per share (EPS) should see similar trends in share price. So it makes sense that experienced investors pay close attention to company EPS when undertaking investment research. Impressively, Martin Marietta Materials has grown EPS by 19% per year, compound, in the last three years. As a general rule, we'd say that if a company can keep up that sort of growth, shareholders will be beaming.It's often helpful to take a look at earnings before interest and tax (EBIT) margins, as well as revenue growth, to get another take on the quality of the company's growth. Martin Marietta Materials shareholders can take confidence from the fact that EBIT margins are up from 18% to 24%, and revenue is growing. Ticking those two boxes is a good sign of growth, in our book.In the chart below, you can see how the company has grown earnings and revenue, over time. For finer detail, click on the image.Story continuesearnings-and-revenue-historyFortunately, we've got access to analyst forecasts of Martin Marietta Materials' future profits. You can do your own forecasts without looking, or you can take a peek at what the professionals are predicting.Are Martin Marietta Materials Insiders Aligned With All Shareholders?We would not expect to see insiders owning a large percentage of a US$36b company like Martin Marietta Materials. But we are reassured by the fact they have invested in the company. We note that their impressive stake in the company is worth US$264m. While that is a lot of skin in the game, we note this holding only totals to 0.7% of the business, which is a result of the company being so large. So despite their percentage holding being low, company management still have plenty of reasons to deliver the best outcomes for investors.Should You Add Martin Marietta Materials To Your Watchlist?If you believe that share price follows earnings per share you should definitely be delving further into Martin Marietta Materials' strong EPS growth. With EPS growth rates like that, it's hardly surprising to see company higher-ups place confidence in the company through continuing to hold a significant investment. Fast growth and confident insiders should be enough to warrant further research, so it would seem that it's a good stock to follow. Once you've identified a business you like, the next step is to consider what you think it's worth. And right now is your chance to view our exclusive discounted cashflow valuation of Martin Marietta Materials. You might benefit from giving it a glance today.Although Martin Marietta Materials certainly looks good, it may appeal to more investors if insiders were buying up shares. If you like to see companies with insider buying, then check out this handpicked selection of companies that not only boast of strong growth but have also seen recent insider buying..Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Here's Why We Think Martin Marietta Materials (NYSE:MLM) Might Deserve Your Attention Today

https://finance.yahoo.com/news/heres-why-think-martin-marietta-172416967.html

c1946e4f-ec09-3ea8-8db0-c8733fedd119

MLM

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.Why This 1 Growth Stock Should Be On Your WatchlistGrowth investors build their portfolios around companies that are financially strong and have a bright future, and the Growth Style Score helps take projected and historical earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.Martin Marietta (MLM)Based in Raleigh, NC, Martin Marietta Materials, Inc. produces and supplies construction aggregates and other heavy building materials, mainly cement, in the United States. The end uses of the company’s aggregates and cement are infrastructure, private residential and private non-residential construction. Railroad, agricultural, utility and environmental industries also use these products. The company supplies aggregates (crushed stone, sand and gravel) through its network of approximately 350 quarries, mines and distribution yards in 28 states, Canada and the Bahamas.MLM sits at a Zacks Rank #3 (Hold), holds a Growth Style Score of B, and has a VGM Score of B. Earnings and sales are forecasted to increase 9.2% and 2.5% year-over-year, respectively.Two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.06 to $21.09 per share for 2024. MLM boasts an average earnings surprise of 41.5%.On a historic basis, Martin Marietta has generated cash flow growth of 14.9%, and is expected to report cash flow expansion of 35.9% this year.With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, MLM should be on investors' short lists.Story continuesWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free reportMartin Marietta Materials, Inc. (MLM) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Here's Why Martin Marietta (MLM) is a Strong Growth Stock

https://finance.yahoo.com/news/heres-why-martin-marietta-mlm-144509888.html

e8d5cae1-0a54-3fc6-9cf4-31c5f96b9af6

MMC

Doubles presence in LouisianaWHITE PLAINS, N.Y., February 20, 2024--(BUSINESS WIRE)--Marsh McLennan Agency (MMA), a subsidiary of Marsh, today announced that it signed agreements to acquire two Louisiana-based middle-market agencies, Querbes & Nelson (Q&N) and Louisiana Companies, doubling the firm’s presence in the state.Based in Shreveport, Q&N was founded in 1914 and offers business insurance, employee benefits, and alternative risk financing consulting to a variety of businesses with specific expertise in energy services, commercial contractors, and transportation.Based in Baton Rouge, Louisiana Companies was founded in 1890 and provides business and personal lines insurance to businesses and individuals with specific expertise serving the construction, manufacturing, distributor, healthcare, and hospitality industries.Upon closing, Louisiana Companies and Q&N’s employees, including George Nelson, Managing Director and Co-owner of Louisiana Companies and Q&N, Mike Belanger, President, Chief Operating Officer (COO) and Co-owner of Q&N, and Ryan Allen, Chief Sales Officer of Louisiana Companies, will join MMA and continue to operate out of their four offices across the state. Kevin Briggs, currently President and COO of Louisiana Companies, will become CEO of both agencies and Mr. Nelson will become a senior advisor."Querbes & Nelson and Louisiana Companies are leading agencies with unwavering commitment to client service and deep expertise in key industries. Louisiana is home to a diverse and resilient economy that these two organizations will help us serve with impactful solutions to minimize risk," said Matt Stadler, CEO of MMA’s Southwest region."We are thrilled to be joining the Marsh McLennan Agency team," said Mr. Nelson. "This was the right decision for our businesses as we continue looking for new ways to offer the best possible risk management solutions for clients. Our employees will now have access to a larger inventory of resources to not only help their clients achieve their goals, but to accomplish their own professional goals."Story continuesMr. Briggs added: "As new threats continue to emerge for our clients, we must stay ahead of the curve to deliver effective risk mitigation strategies that address their distinct risk profiles. Coming aboard Marsh McLennan Agency, we are looking forward to providing clients with more tools and resources to protect their workforce and their operations."The transactions are expected to close by the end of the first quarter of 2024. Terms were not disclosed.About Marsh McLennan AgencyMarsh McLennan Agency provides business insurance, employee health & benefits, retirement & wealth, and private client insurance solutions to organizations and individuals seeking limitless possibilities. With 10,000 colleagues and 180 offices across North America, Marsh McLennan Agency combines the personalized service model of a local consultant with the global resources of the world’s leading professional services firm, Marsh McLennan (NYSE: MMC).About MarshMarsh is the world’s leading insurance broker and risk advisor. With more than 45,000 colleagues advising clients in over 130 countries, Marsh serves commercial and individual clients with data-driven risk solutions and advisory services. Marsh is a business of Marsh McLennan (NYSE: MMC), the world’s leading professional services firm in the areas of risk, strategy and people. With annual revenue of $23 billion, Marsh McLennan helps clients navigate an increasingly dynamic and complex environment through four market-leading businesses: Marsh, Guy Carpenter, Mercer and Oliver Wyman. For more information, visit marsh.com, and follow us on LinkedIn and X.View source version on businesswire.com: https://www.businesswire.com/news/home/20240220347572/en/ContactsLexie O’Connor Media Relations+1 857 772 [email protected]

Business Wire

Marsh McLennan Agency to Acquire Querbes & Nelson and Louisiana Companies

https://finance.yahoo.com/news/marsh-mclennan-agency-acquire-querbes-153000109.html

15863413-d25d-3bcd-b361-c1849a3fd002

MMC

Tuesday, February 20, 2024The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Merck & Co., Inc. (MRK), ServiceNow, Inc. (NOW) and Blackstone Inc. (BX). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.You can see all of today’s research reports here >>>Merck shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the past six months (+18.2% vs. +13.7%) reflecting favorable demand momentum for products like Keytruda and Gardasil. With continued label expansion into new indications, particularly earlier-stage launches, Keytruda is expected to see continued growth.Animal health and vaccine products are core growth drivers. Merck boasts a strong cancer pipeline, including Keytruda, which should drive long-term growth. Merck is investing in M&A activity to strengthen its pipeline.However, generic competition for several drugs and rising competitive pressure, mainly on the diabetes franchise, will continue to be overhangs on the top line. There are concerns about Merck’s ability to grow its non-oncology business ahead of Keytruda’s loss of exclusivity later in the decade.(You can read the full research report on Merck here >>>)Shares of ServiceNow have outperformed the Zacks Computers - IT Services industry over the past six months (+37.9% vs. +30.9%). The company has been benefiting from the rising adoption of its workflows by enterprises undergoing digital transformation. It had 1897 total customers with more than $1 million in annual contract value at the end of the fourth quarter.ServiceNow has been benefiting from the rising adoption of its workflows by enterprises undergoing digital transformation. Security and risk had a terrific quarter with 12 of the top 20 deals, out of which nine deals were more than $1 million. Customer, Employee and Creator workflows each had double-digit deals over $1 million.It is benefiting from strong demand for its generative AI-powered solutions with the launch of Vancouver. Nevertheless, ServiceNow is suffering from high inflation, stiff competition, and challenging macro-economic environment.(You can read the full research report on ServiceNow here >>>)Blackstone shares have outperformed the Zacks Financial - Miscellaneous Services industry over the past six months (+31.6% vs. +17.7%). The company’s strong revenue mix, global footprint and solid assets under management (AUM) balance are expected to keep aiding its financials. Its robust fund-raising ability will support top-line growth.Yet, elevated consolidated expenses are likely to hamper Blackstone’s bottom-line growth in the near term. Also, lower chances of sustainability of the company's capital distribution activities are worrisome. The company has been facing substantial outflows in some of its funds of late, which are likely to hurt its financials.(You can read the full research report on Blackstone here >>>)Other noteworthy reports we are featuring today include Marsh & McLennan Companies, Inc. (MMC), Gilead Sciences, Inc. (GILD) and Diageo plc (DEO).Director of ResearchSheraz MianNote: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>Story continuesToday's Must ReadKeytruda to Remain Merck's (MRK) Key Top-Line DriverGrowing Customer Base & Partnerships Aid ServiceNow (NOW)Fund-Raising Ability Aids Blackstone (BX), High Costs AilsFeatured ReportsRising Revenues Aid Marsh & McLennan (MMC) Amid High CostsDiverse product offerings & solid client retention will boost Marsh & McLennan's top line, as per the Zacks analyst. However, increasing expenses are likely to hamper margins.Biktarvy, Oncology Fuel Gilead (GILD) Amid Pipeline SetbacksPer the Zacks analyst, strong performance from flagship HIV therapy Biktarvy and contribution from the oncology franchise boost Gilead. However, the recent pipeline setbacks weigh on shares.Productivity Initiatives to Aid Diageo (DEO) Amid InflationPer the Zacks analyst, Diageo is on track with its commitment to deliver $2 billion of productivity savings over the next three years. Productivity cost savings aided margins in 1H24.Robust Public Sector Demand Aids Vulcan (VMC), High Cost AilPer the Zacks Analyst, Vulcan is benefiting from robust public sector demand and pricing growth. However, low residential demand and uncertain energy costs are a concern.Overseas Growth Aids DaVita (DVA) Amid Stiff CompetitionThe Zacks analyst is upbeat about DaVita's steady expansion in the international markets via acquisitions of dialysis centers despite its operation in a highly competitive market.Iridium's (IRDM) Performance Gains from Higher SubscribersPer the Zacks analyst, Iridium's performance is gaining from increasing subscribers. The company expects engineering and support revenue to benefit owing to the space development agency contractAllegiant's (ALGT) Fleet-Upgrade Efforts Aid, Costs AilPer the Zacks analyst, Allegiant Travel's fleet modernization program is praiseworthy. High labor costs are, however, hurting the bottom line.New UpgradesHonda (HMC) Set to Ride on Cost Containment Initiatives The Zacks analyst is optimistic about Honda's efforts to control costs and optimize production capacity, thereby generating savings that can be directed toward more profitable opportunities.Strong Clientele & Bookings Aids GoDaddy's (GDDY) ProspectsPer the Zacks analyst, GoDaddy benefits from strong bookings primarily driven by strong customer additions and price increases in various domains.Rising Money Market Assets Aid Federated's (FHI) AUM GrowthPer the Zacks analyst, the continued strategic acquisition of money market assets will aid Federated's AUM growth. Manageable debt levels and sustainable capital distributions are other positives.New DowngradesStiff Competition and Regulations Ail Devon Energy (DVN)Per the Zacks analyst, Devon (DVN) results likely to be impacted by competition it faces to secure drilling rights and acquire properties. New regulations can increase cost and lower profitability.Nabors (NBR) Weighed Down by Massive Debt Burden The Zacks analyst believes that Nabors Industries' high debt-to-capitalization of 82% is a concern, as it restricts the company's financial freedom to tap into growth opportunities.Cenovus (CVE) to Suffer From Halting Crude Price HedgingPer the Zacks analyst, Cenovus' decision to cease crude price hedging leaves it more vulnerable to crude price declines than competitors with hedge protection.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 reportBlackstone Inc. (BX) : Free Stock Analysis ReportMerck & Co., Inc. (MRK) : Free Stock Analysis ReportGilead Sciences, Inc. (GILD) : Free Stock Analysis ReportMarsh & McLennan Companies, Inc. (MMC) : Free Stock Analysis ReportDiageo plc (DEO) : Free Stock Analysis ReportServiceNow, Inc. (NOW) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Top Research Reports for Merck, ServiceNow & Blackstone

https://finance.yahoo.com/news/top-research-reports-merck-servicenow-201100422.html

8e21fbfb-7ae3-39fd-b34e-361bdc99f748

MMC

Mark Mcgivney, the Chief Financial Officer of Marsh & McLennan Companies Inc (NYSE:MMC), sold 12,494 shares of the company on March 4, 2024, according to a recent SEC filing. The transaction was executed at an average price of $200.79 per share, resulting in a total value of $2,508,630.26.Marsh & McLennan Companies Inc is a global professional services firm offering clients advice and solutions in risk, strategy, and people. The company operates through two segments, Risk and Insurance Services and Consulting, providing analysis, advice, and transactional capabilities to clients in more than 130 countries.Mark Mcgivney has a history of selling shares in the company over the past year, with a total of 82,600 shares sold and no shares purchased.The insider transaction history for Marsh & McLennan Companies Inc shows a pattern of insider sales, with 12 insider sells and no insider buys over the past year.Marsh & McLennan Companies Inc CFO Mark Mcgivney Sells 12,494 SharesShares of Marsh & McLennan Companies Inc were trading at $200.79 on the day of the insider's recent sale, giving the company a market capitalization of $100.12 billion. The price-earnings ratio of the company stands at 27.04, which is above the industry median of 12.44 and also higher than the company's historical median price-earnings ratio.With the current share price and a GuruFocus Value of $194.36, Marsh & McLennan Companies Inc has a price-to-GF-Value ratio of 1.03, indicating that the stock is Fairly Valued based on its GF Value.Marsh & McLennan Companies Inc CFO Mark Mcgivney Sells 12,494 SharesThe GF Value is calculated considering historical trading multiples, a GuruFocus adjustment factor based on the company's past returns and growth, and future business performance estimates from Morningstar analysts.Warning! GuruFocus has detected 6 Warning Sign with MMC.This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.This article first appeared on GuruFocus.

GuruFocus.com

Marsh & McLennan Companies Inc CFO Mark Mcgivney Sells 12,494 Shares

https://finance.yahoo.com/news/marsh-mclennan-companies-inc-cfo-220059516.html

14ff07a7-bf8c-3441-a6f1-578e1dc4449e

MMC

Brown & Brown, Inc. BRO has acquired the assets of Hillco Insurance. This acquisition is expected to strengthen BRO’s presence in Dallas.Dallas-based Hillco Insurance is an independent agency, which specializes in personal and commercial coverage for individuals, families and their businesses. It remains focused on providing insurance solutions for its wide range of customers with a better understanding of the needs of the Texas insurance market.The addition of Hillco Insurance is a strategic fit for Brown & Brown as it will be able to leverage the capabilities and focus that the latter have in high-net worth personal lines and commercial insurance solutions. The buyout will enable BRO to expand in the Dallas metropolitan area and provide the acquirer with better growth opportunities. This marks the first acquisition by Brown & Brown in the first quarter of 2024.BRO and its subsidiaries continuously make strategic acquisitions to expand on a global scale, add capabilities, boost its operations and improve margins. Also, these strategic buyouts help Brown & Brown increase commissions and fees, which, in turn, drive revenues. Consistent operational results have been aiding the insurer in generating solid cash flows for deployment in growth initiatives.Brown & Brown’s impressive growth is supported by organic and inorganic means across all segments. It intends to make consistent investments to drive organic growth and margins. Its solid earnings have allowed the company to expand its capabilities, with the buyouts extending the company’s geographic footprint. The insurer will continue to work on its acquisition pipeline, acquiring companies that fit BRO’s operational and strategic layout.Price PerformanceShares of this Zacks Rank #2 (Buy) insurance broker have gained 49.6% over the past year compared with the industry’s growth of 20.1%. A persistent operational performance, higher commissions and fees, and a sturdy capital position will help the broker retain the momentum.Story continuesZacks Investment ResearchImage Source: Zacks Investment ResearchAcquisitions by Other Industry PlayersMarsh & McLennan Companies, Inc.’s MMC Marsh McLennan Agency (“MMA”), a division of MMC’s Marsh business, recently closed buyouts of two middle-market agencies of Louisiana, Querbes & Nelson (“Q&N”) and Louisiana Companies. The twin buyouts are expected to strengthen the capabilities of MMA as well as solidify its presence significantly across Louisiana. The addition of Q&N is expected to bolster the business insurance and employee health and benefits offerings suite of MMA.The acquisition underscores Marsh & McLennan's strategic inorganic growth approach, exemplified by various purchases across its operating units. These acquisitions have facilitated entry into new regions, expansion in existing ones, diversification into new businesses and the development of new segments. The prudent acquisitions position the company for sustained long-term growth.Arthur J. Gallagher & Co. AJG acquired London-based The Wright Agency Limited, dba Simply-Communicate Ltd (“Simply") in February 2024. With this acquisition, AJG will leverage Simply's expertise in digital transformation and digital experience to enhance its existing capabilities in the employee communication space.Arthur J. Gallagher has an impressive inorganic story with buyouts in the Brokerage and Risk Management segments. The insurer is growing through mergers and acquisitions, most of which are within its Brokerage segment. AJG has a solid merger and acquisition pipeline with about 40 term sheets either agreed upon or being prepared, representing more than $350 million of annualized revenues.Other Stock to ConsiderAnother top-ranked stock from the insurance industry is Ryan Specialty Holdings, Inc. RYAN, carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The bottom line of Ryan Specialty outpaced earnings estimates in two of the last four quarters and matched the mark twice, the average surprise being 5.05%. Over the past year, the insurer has gained 37.7%.The Zacks Consensus Estimate for RYAN’s 2024 earnings and revenues suggests a rise of 28.2% and 19.5%, respectively, from the prior-year reported figures.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 reportMarsh & McLennan Companies, Inc. (MMC) : Free Stock Analysis ReportArthur J. Gallagher & Co. (AJG) : Free Stock Analysis ReportBrown & Brown, Inc. (BRO) : Free Stock Analysis ReportRyan Specialty Holdings Inc. (RYAN) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Brown & Brown (BRO) Buys Hillco Insurance, Boosts Portfolio

https://finance.yahoo.com/news/brown-brown-bro-buys-hillco-120600004.html

54720894-41d4-33f1-83dd-625a777f417c

MMM

The subject of 3M's (NYSE: MMM) dividend came up again during a Citigroup industrial conference where 3M's management team fell short of strongly affirming it would maintain it at current levels. As such, I thought I'd share some thoughts on the issue and lay out some numbers so readers can make up their minds.Management's commentaryCitigroup analyst Andrew Kaplowitz asked 3M management if it had any thoughts on the dividend in light of the release of a Form 10 SEC filing related to the upcoming spinoff of the healthcare business Solventum. As a reminder, Solventum is a cash-generative and relatively stable business, particularly when compared to 3M's remaining three segments, which tend to be more cyclical and rely on the economy. It's also the only segment to report sales growth last year.3M CEO Mike Roman's reply reiterated the company's financial strength and cash-flow potential (more on that in a moment) and referred to a capital allocation policy that "means investing in the business" and "continues to be the priority." The remaining company would in a position to meet litigation matters and "to return cash to shareholders and value to shareholders including through a dividend, paying an attractive dividend."That commentary falls short of explicitly stating the dividend would be maintained at the current level. However, we are not privy to any discussions management may have with its board of directors, and there are still known unknowns, such as the impact of legal costs and liabilities. In addition, estimating the value of the 3M's 19.9% stake it will retain in Solventum (which could be sold to raise cash) is also tricky.Roman could intend to maintain the dividend, but strongly confirming that might put him in a difficult situation given the math around the company's finances.Image source: Getty Images.3M's cash flowThe stock yields 6.6%, and its dividend payout to shareholders in 2023 was $3.3 billion. Keep that figure in mind.Story continuesBefore getting to the table below, note the following:These numbers, both the reported figures for 2023 and the guidance for 2024, include Solventum, an important point I'll return to."Special items" refers to net costs for significant litigation, divestiture impacts, and other items. No guidance is given for special items in 2024.Free cash flow (FCF) is a non-GAAP measure, so there are different conventions for reporting it. 3M's management gave an adjusted FCF figure of $6.3 billion for 2023. That's fair enough because you might not expect "special items" to repeat. However, FCF to the company is closer to $5.2 billion (as in the table below) after special items are taken out.Whether you accept $6.3 billion or $5.2 billion, both figures easily cover the $3.3 billion needed to pay the dividend. However, there's more to the story.Metric20232024 GuidanceOperating cash flow$7.74 billion$6.5 billion to $7.1 billionSpecial items$1.06 billionN/ANet capital spending$1.45 billion$1.4 billion to $1.6 billionFree cash flow$5.2 billion$5.2 billion to $5.4 billionAdjusted free cash flow$6.3 billion$5.3 billionData source: 3M presentations.3M dividend's sustainabilityFirst, 3M won't have FCF from Solventum for the full year. Digging into the Form 10 filing, Solventum generated $1.9 billion, $1.4 billion, and $1.6 billion in FCF in the last three years. Since 3M's management expects it to generate flat to low-single-digit revenue growth in 2024, penciling in $1.6 billion for Solventum in 2024 is reasonable.Second, given the ongoing legal issues at 3M, it's highly likely that there will be some drain on cash from special items in 2024. In addition, the 2024 guidance does not include costs associated with the spinoff.Third, 3M has multibillion-dollar cash calls coming from legal settlements with CFO Monish Patolawala previously outlining "$5 billion in cash and $1 billion in stock" for the combat arms earplugs issue to be "paid over the next six to seven years" and a PFAS settlement of "$10.5 billion to $12.5 billion with a present value of $10.3 billion, again, for a payout that's going to be spread over 13 years."Taking the $1.6 billion in FCF from Solventum from the estimated $5.2 billion to $5.4 billion out of the estimated 2024 FCF gives you $3.6 billion to $3.8 billion. Suddenly, the $3.3 billion looks much less well covered, even before accounting for special items and legal settlements, as discussed above.Image source: Getty Images.Will 3M maintain its dividend?Based on the arguments above, 3M's dividend payout is under pressure if management relies on paying it out of the ongoing FCF. That said, management expects to receive $7.7 billion in proceeds from the Solventum spinoff, and rating agency Fitch believes the remaining 19.9% stake in Solventum could be worth $3.5 billion to $5 billion.These sources of cash could be used to support the current payout, so 3M certainly can cover its dividend. Still, it probably makes more sense for management to bite the bullet and cut the dividend. That will remove a lot of uncertainty around the stock, making it more attractive for investors.Should you invest $1,000 in 3M right now?Before you buy stock in 3M, consider this:The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and 3M wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.See the 10 stocks*Stock Advisor returns as of February 20, 2024Citigroup is an advertising partner of The Ascent, a Motley Fool company. Lee Samaha has no position in any of the stocks mentioned. The Motley Fool recommends 3M. The Motley Fool has a disclosure policy.A Dividend Cut Will Make 3M a Buy was originally published by The Motley Fool

Motley Fool

A Dividend Cut Will Make 3M a Buy

https://finance.yahoo.com/news/dividend-cut-3m-buy-111200890.html

8a2bf236-c49e-3a28-9cb2-afd2459eed5b

MMM

NORTHAMPTON, MA / ACCESSWIRE / February 26, 2024 / 3MOriginally published on 3M News CenterPost-it® 100% Recycled Paper Super Sticky Notes was recently named the winner of the Good Housekeeping 2024 Sustainability Innovation awards in the ‘Best of Household' category. Every year, engineers, scientists, analysts and product experts at the Good Housekeeping Institute rigorously test thousands of consumer products making innovative strides toward building a more sustainable economy. Post-it® 100% Recycled Paper Super Sticky Notes and packaging are made with 100% recycled paper. Post-it® Notes are made in a zero-waste-to-landfill facility providing consumers with an environmentally and socially responsible choice for the brand they use and love."3M is committed to building a more sustainable future," said Adrienne Hovland, Post-it® Brand global portfolio director. "Our efforts to increase recycled content and improve recyclability are key components of our commitment to creating new, innovative products that do more, with less materials. We are honored to receive this recognition from Good Housekeeping."As consumers show a greater awareness of their purchasing habits and the impact they have on the environment, they are increasingly seeking more sustainable products. A majority of U.S. consumers, 78%, say living a sustainable lifestyle is important to them. Sustainable practices are also something consumers think about when it comes to purchases for their families. According to a recent brand study of consumer behaviors and purchasing preferences, over two-thirds of parents (68%) believe purchasing eco-friendly school supplies for their children is important.* Post-it® Brand is committed to investing time and resources in reimagining its products, building on its deep history of innovation to bring sustainable solutions to consumers that help them deliver on the things they care about most.Since launching in 2023, Post-it® 100% Recycled Paper Super Sticky Notes also received GreenCircle certification. This recognition is independently verified, by a credible, robust process, to provide consumers with verification that a brand's sustainability claims are valid.Story continuesFor more information and to get organized, follow @postit on Instagram and visit Post-it.com.View additional multimedia and more ESG storytelling from 3M on 3blmedia.com.Contact Info:Spokesperson: 3MWebsite: https://www.3blmedia.com/profiles/3mEmail: [email protected]: 3MView the original press release on accesswire.com

ACCESSWIRE

Post-it(R) Brand Recognized in Good Housekeeping 2024 Sustainable Innovation Awards

https://finance.yahoo.com/news/post-r-brand-recognized-good-141500443.html

1969b19d-4ade-3855-9aa9-85924cc260f0

MMM

3M Company’s MMM board has approved the planned spin-off of its health care business into a separate public company.The spun-off entity will become a standalone company and be renamed as Solventum Corporation. It will begin regular-way trading on NYSE on Apr 1, 2024, under the ticker SOLV, while 3M will continue to trade under the ticker MMM.3M’s board has approved a distribution to the company’s shareholders of 80.1% of the outstanding shares of Solventum. The remaining 19.9% of outstanding shares of Solventum stock will be retained by 3M and will be monetized within five years after completion of the spin-off.MMM shareholders will receive one share of Solventum stock for every four shares of 3M stock held on the record date for the distribution, Mar 18, 2024. The distribution is anticipated to take place before opening of trading on Apr 1, 2024, conditional on the fulfillment of remaining conditions.The spin-off of 3M and its health care unit is expected to help each entity to flourish through better operational focus, capital allocation policies and financial flexibility. As noted, Solventum will serve a global addressable market worth about $93 billion, which is expected to grow in the range of 4-6% through 2026. The new entity will operate through four operating segments, which are Medical Surgical, Dental Solutions, Health Information Systems and Purification & Filtration.Zacks Rank and Price Performance3M currently carries a Zacks Rank #3 (Hold).The company has been benefiting from strength in the advanced materials and OEM (Original Equipment Manufacturer) businesses within the Transportation and Electronics segment. However, MMM’s performance is being hurt by decreasing demand for disposable respirators within the Safety and Industrial unit. Softness in stationery and office businesses is adversely affecting the Consumer unit.Zacks Investment ResearchImage Source: Zacks Investment ResearchIn the past month, the stock declined 0.8% against the industry’s growth of 6.3%.Story continuesStocks to ConsiderSome better-ranked companies from the same space are discussed below.Griffon Corporation GFF presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.It has a trailing four-quarter average earnings surprise of 42%. The Zacks Consensus Estimate for GFF’s fiscal 2024 earnings has increased 3.9% in the past 60 days.Carlisle Companies Incorporated CSL currently flaunts a Zacks Rank #1. CSL delivered a trailing four-quarter average earnings surprise of 7.6%. In the past 60 days, the Zacks Consensus Estimate for CSL’s 2024 earnings has increased 8.2%.Parker-Hannifin Corporation PH currently carries a Zacks Rank #2 (Buy). It delivered a trailing four-quarter average earnings surprise of 14.4%. In the past 60 days, the consensus estimate for PH’s fiscal 2024 earnings has improved 3.7%.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 report3M Company (MMM) : Free Stock Analysis ReportParker-Hannifin Corporation (PH) : Free Stock Analysis ReportCarlisle Companies Incorporated (CSL) : Free Stock Analysis ReportGriffon Corporation (GFF) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

3M's (MMM) Board Approves Health Care Business Spin-Off

https://finance.yahoo.com/news/3ms-mmm-board-approves-health-143300559.html

93291f6d-83ef-3d24-8c55-ac337d4df392

MMM

In the latest market close, 3M (MMM) reached $94.05, with a +0.16% movement compared to the previous day. The stock outpaced the S&P 500's daily loss of 0.11%. Elsewhere, the Dow saw an upswing of 0.12%, while the tech-heavy Nasdaq depreciated by 0.41%.The maker of Post-it notes, industrial coatings and ceramics's shares have seen an increase of 1.08% over the last month, not keeping up with the Conglomerates sector's gain of 7.86% and the S&P 500's gain of 2.7%.The investment community will be paying close attention to the earnings performance of 3M in its upcoming release. The company is forecasted to report an EPS of $2.11, showcasing a 7.11% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $7.77 billion, down 3.22% from the year-ago period.For the full year, the Zacks Consensus Estimates are projecting earnings of $9.77 per share and revenue of $32.52 billion, which would represent changes of +5.74% and -0.5%, respectively, from the prior year.It is also important to note the recent changes to analyst estimates for 3M. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 2.03% rise in the Zacks Consensus EPS estimate. 3M currently has a Zacks Rank of #3 (Hold).Story continuesIn terms of valuation, 3M is presently being traded at a Forward P/E ratio of 9.61. This represents a discount compared to its industry's average Forward P/E of 17.86.We can additionally observe that MMM currently boasts a PEG ratio of 1.33. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Diversified Operations industry had an average PEG ratio of 2.25.The Diversified Operations industry is part of the Conglomerates sector. Currently, this industry holds a Zacks Industry Rank of 51, positioning it in the top 21% of all 250+ industries.The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. 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.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 report3M Company (MMM) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

3M (MMM) Advances While Market Declines: Some Information for Investors

https://finance.yahoo.com/news/3m-mmm-advances-while-market-214519228.html

55f96920-4d0a-3529-b24f-5820cde1e63b

MNST

Celsius Holdings (NASDAQ: CELH) has been one of the hottest stocks on the market over the past five years, with the company's growth engine having kicked into high gear.Expanding beyond being a regional drink to a national one has been a massive growth driver, and now the company is making steady steps to keep the momentum going. This isn't a low-risk stock, but it may not be too late to invest in Celsius Holdings.Image source: Getty Images.The growth machine can't stopCelsius has been on a growth tear, aided by a popular product and a distribution deal with PepsiCo (NASDAQ: PEP) signed in 2022. That move also coincided with the buyout of distribution deals with previous partners, which is where you see the following losses. But generally, this is a high-growth company that's maintained profitability along the way.CELH Revenue (TTM) ChartPepsi allows Celsius to grow quickly in North America, where the company generated 96% of its revenue last quarter. But it will also enable international growth, which is almost untapped right now.Part of the reason Celsius can grow so quickly is that it's not a supply constrained business. Pepsi does the distribution, and copackers mix and bottle products. Celsius helps line up the supply chain, but it isn't building factories or buying trucks. This is mainly a drink design and branding company. That's an extremely asset-light model and allows profitable growth.Precedent in energy drinksIt's difficult to look at Celsius' growth and valuation and not be concerned. Shares trade for 66 times next year's analyst estimates, and analysts expect 66% revenue growth over the next two years. That's a high bar for any company.But there's precedent for this as being a profitable segment of the market. Monster Beverage (NASDAQ: MNST) has always been an expensive stock, yet it's wildly outperformed the market by continually growing revenue year after year.MNST Revenue (TTM) ChartAnd I think Celsius' addressable market could be significantly bigger than Monster's, given the more accessible product and softer branding behind it.Story continuesCelsius' advantage in today's marketCelsius often falls into the energy-drink category, and that makes sense on the surface, given how Celsius originally positioned itself. But this is a more accessible product than Monster that appeals to a wider, more diverse audience. Celsius has very few calories, provides some vitamins, and has more flavor than flavored water. There's a need for a product like this between water and traditional soda.That's why we see Celsius beginning to be more prominently displayed at big-box retailers, fast-casual restaurants, and even coffee shops. This isn't a niche product. It's a mass-market product that fits between sodas and fancy waters that have become popular over the past decade.What's hard to gauge is what Celsius' opportunity is. I think Celsius could be bigger than Monster in time, and that would mean more than six-fold revenue growth. 2024 will be a step in that direction as the company gets better shelf space and starts to push international growth.CELH Revenue (TTM) ChartIt's not too late for CelsiusOperational momentum is important in consumer-facing brands, and that's a major tailwind for Celsius. As they see it more across the U.S., more consumers are trying it, and all indications are that they're adopting it into their drink routines rapidly.I think this growth trend can last for at least the next decade as Celsius gets into more stores and pushes into more countries. If the company does become bigger than Monster, it would make the company's $14.9 billion market cap a steal today.Watch growth rates closely in 2024 and beyond, but I think this is a winner that will keep winning for long-term investors.Should you invest $1,000 in Celsius right now?Before you buy stock in Celsius, consider this:The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Celsius wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.See the 10 stocks*Stock Advisor returns as of February 20, 2024Travis Hoium has positions in Celsius. The Motley Fool has positions in and recommends Celsius and Monster Beverage. The Motley Fool has a disclosure policy.Is It Too Late to Buy Celsius Holdings Stock? was originally published by The Motley Fool

Motley Fool

Is It Too Late to Buy Celsius Holdings Stock?

https://finance.yahoo.com/news/too-buy-celsius-holdings-stock-114500249.html

3fbaaeb5-b040-32e7-a5ed-8e1bd9a763c7

MNST

Celsius Holdings' (NASDAQ: CELH) financial performance over the last few years would make you think the whole company drinks copious amounts of its energy drink product. Over the last five years, there's been epic sales growth -- up nearly 2,000% to nearly $1.15 billion over the last 12-month reported stretch.For all the knowledge we possess today about liquid chemical concoctions perhaps not being so good for us, the global energy drink market is still a growth market anticipated to outpace economic expansion by a wide margin. Constant "innovation" in flavors and ingredients is to blame. (Right now, I'm sipping a Coca-Cola (NYSE: KO) "made with AI" -- such are the times we live in!) We young consumers like our variety and change.And yet, energy drinks are a fiercely competitive field, dominated by big players Red Bull and Monster Beverage (NASDAQ: MNST). Celsius has some oddities in its history, and there have been plenty of doubts its epic rise was even possible. Despite some of my own doubts that it will continue, I recently bought a small starter position. Here's why.Consumer goods are not my typical cup of teaBesides the whole secular growth trend favoring energy drinks and caffeinated beverages, there's another simple reason I decided to buy a little Celsius. After holding Disney (NYSE: DIS) for well over a decade (around the time a younger and just-as-nerdy version of me was excited about the company launching a new era of Star Wars), it was high time to part ways.I recently sold all my Disney stock. For a holding that old in my portfolio, it was an egregious underperformer. This was an exit I've been planning for over a year, and Celsius is but one consumer-facing stock I decided to buy as a replacement.Consumer goods don't exactly dominate my attention these days -- semiconductors and accelerated computing do, thus the choice of a "Coke AI" as an afternoon pick-me-up. So, it was time to brush up on Celsius' history again.Story continuesThe last time I took a hard look was in 2022, when PepsiCo (NASDAQ: PEP) was investing in Celsius in exchange for becoming a distribution partner in the U.S. Pepsi scored a $550 million investment in brand-new convertible preferred stock that pays out a 5% annual dividend. We ordinary shareholders get no such dividend from Celsius. At the time, it seemed like Pepsi was landing a deal to scoop up most of the profitability from any future Celsius growth.Now, what I do know is that marketing a hot consumer brand is key, but the food and beverage industry is also largely dominated by big distributors. After all, part of Monster's wildly successful run (including a name change from "Hansen Natural" to Monster back in 2012) has been at least partly attributable to its distribution partnership with titan Coca-Cola. But Celsius signing on with Pepsi in exchange for a big equity slice didn't excite me. I was wrong.Celsius finds another gearPlugging into PepsiCo's distribution has worked wonders for Celsius -- Pepsi has accounted for nearly 61% of Celsius' distribution through the first nine months of 2023 (versus 12% in the comparable period in 2022). Revenue soared, and profits have begun to rise as well. Earnings per share and free cash flow per share muted -- at best -- since the Pepsi agreement might be starting to turn higher.CELH EPS Diluted (TTM) ChartAdditionally, Celsius is only just beginning to tap into the global energy drink market as it signs new distribution deals overseas. To be sure, managing this expansion will be expensive. But if management (including a new CFO installed in 2022 after some accounting question marks in prior years) executes well, Celsius could be on the cusp of lots more sales growth in the coming years.GAAP net income was $143 million through the first nine months of 2023, up from a loss of $171 million the year prior. I'd like to see more of that profitable growth continue, and if it does, I'll buy more Celsius stock.Granted, this is an "expensive" stock at over 40 times one-year forward expected earnings per share. A lot is riding on Celsius continuing to expand at a voracious pace. (Wall Street analysts have nearly 40% sales growth penciled in for 2024, building on the expected doubling in revenue in 2023.)This is why I started with a small position and plan on building it larger over time if the story stays energized. But after watching from the sidelines for some time, Celsius seemed like a decent place to stash some long-term money in the consumer brands space. Time will tell.Should you invest $1,000 in Celsius right now?Before you buy stock in Celsius, consider this:The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Celsius wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.See the 10 stocks*Stock Advisor returns as of February 20, 2024Nick Rossolillo has positions in Celsius. The Motley Fool has positions in and recommends Celsius, Monster Beverage, and Walt Disney. The Motley Fool has a disclosure policy.Why I Bought Celsius Holdings Stock was originally published by The Motley Fool

Motley Fool

Why I Bought Celsius Holdings Stock

https://finance.yahoo.com/news/why-bought-celsius-holdings-stock-173200723.html

161b2689-89cc-3781-9177-437ecdfc3145

MNST

In this piece, we are going to shed light on Alternatives to Celsius Drink: 10 Best Energy Drinks. In case, you want wish to skip the detailed analysis of the energy drink market, you can jump directly to Alternatives to Celsius Drink: 5 Best Energy Drinks.The global energy drinks market was valued at USD 69.89 billion in 2023 and is expected to experience a 7.10% compound annual growth rate (CAGR) from 2024 to 2032, reaching USD 129.54 billion by 2032, per Expert Market Research. Energy drinks are characterized by their high levels of added sugars, caffeine, and stimulants like L-carnitine, taurine, and guarana.Widely associated with a symbol of status, particularly among teenagers, the surge in demand for energy drinks is influenced by consumer behaviour and preferences. Urban consumers often combine energy drinks with alcohol, leading to a rise in popularity of alcoholic energy drinks, especially in developed markets like the United Kingdom, Australia, the United States, and Spain. Currently, China and Japan are leading the global market, with rapid growth observed in the United States, Brazil, and India among others.Energy drinks compete vigorously with other non-alcoholic beverages, representing a significant portion (16% to 18%) of the overall non-alcoholic beverage sector. Ready-to-drink teas and sodas are primary contenders, with high caffeine and antioxidant content presenting stiff competition. Energy shots have emerged as a recent trend, gaining momentum in emerging economies and driven by increased demand in key markets like the UK and the US, fueling the growth of the energy drinks industry.The energy drinks industry consists of some big names who are amongst the pack that is leading the industry. Before we head on to our list of Alternatives to Celsius Drink: 10 Best Energy Drinks, we will now look at some of such market players; namely, we are going to look at PepsiCo, Inc. (NASDAQGS:PEP), Monster Beverage Corporation (NASDAQGS:MNST) and National Beverage Corp. (NASDAQGS:FIZZ).Story continuesPepsiCo, Inc. (NASDAQGS:PEP)PepsiCo, Inc. (NASDAQGS:PEP), a prominent American multinational corporation based in Harrison, New York, took a significant step in acquiring Celsius Holdings in August 2022, marking a strategic move in the energy drinks industry. This acquisition, accompanied by a substantial $550 million investment, positioned PepsiCo as a major player in the market, complementing its existing energy drink portfolio that includes brands like Rockstar and Mtn Dew Energy.In the fourth quarter ending 31 December 2023, PepsiCo reported a net income of $1.3 billion, translating to 94 cents per share, an increase from the previous year's figures. Adjusted earnings stood at $1.78 per share, showcasing the company's resilience amid market fluctuations. However, net sales experienced a slight decline of less than 1%, amounting to $27.85 billion, marking the first such dip since 2020, underscoring the challenges faced by the company in the current economic landscape.Monster Beverage Corporation (NASDAQGS:MNST)Monster Beverage Corporation (NASDAQGS:MNST), an American beverage company known for producing popular energy drink brands such as Monster Energy, Relentless, and Burn, demonstrated strong financial performance for the quarter ending on December 31, 2023.In this period, the company reported a noteworthy increase in net sales, with fourth-quarter sales rising by 14.4% to $1.73 billion, while full-year net sales saw a 13.1% growth to reach $7.14 billion. Additionally, Monster Beverage Corporation achieved improvements in its gross profit margins, with the fourth-quarter margin enhancing to 54.2% and the annual gross margin increasing to 53.1%. The company's net income also showed robust growth, with fourth-quarter net income surging by 21.6% to $367.0 million and full-year net income jumping by 36.9% to $1.63 billion.National Beverage Corp. (NASDAQGS:FIZZ)National Beverage Corp. (NASDAQGS:FIZZ), an American beverage company known for its range of flavored soft drinks including popular brands like La Croix, Shasta, and Faygo, recently announced its financial results for the third quarter ending on January 27, 2024.In comparison to the previous year, the company reported impressive achievements: Net sales reached a record high of $270 million, while gross profit figures rose to an all-time peak of $97 million, with the gross profit margin increasing to 36% of sales. Furthermore, operating income surged to $48 million, marking a record performance and a significant 120 basis points margin improvement. Earnings per share witnessed a 14% increase, totaling $0.42.Alternatives to Celsius Drink: 10 Best Energy DrinksA close-up of an industrial machine producing steel cans, highlighting the company's production of steel cans.MethodologyTo curate our list of Alternatives to Celsius Drink: 10 Best Energy Drinks, we firstly researched across the internet and shortlisted most popular energy drinks amongst the best Alternatives to Celsius Drink: 10 Best Energy Drinks based on consensus of sources. Then, to make sure our list proves out to be most insightful for our readers, we used the consumers’ feedback and reviews on Amazon. We looked up and used ratings and number of reviews both to rank the 10 best alternatives to Celsius drink, out of our initial list of 16 energy drinks coming up across various sources.Here then, we present our list to you of Alternatives to Celsius Drink: 10 Best Energy Drinks.By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a similar consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.10. Hiball Energy Seltzer WaterRating: 4.6Number of ratings: 1,224Hi-ball has garnered significant popularity for its high caffeine content, boasting 160 mg per serving. This energy drink is crafted from organic ingredients such as guarana, ginseng, and caffeine sourced from green tea. Free from artificial flavors, sweeteners, and preservatives, Hi-ball offers a natural and energizing beverage option. Additionally, it contains Vitamin B, providing added nutritional benefits to consumers.9. Clean Cause Yerba MateRating: 4.5Number of ratings: 2,160Clean Cause Yerba Mate offers a refreshing alternative to coffee by blending fair trade yerba mate and USDA-certified organic ingredients with sparkling water. Noteworthy is the brand's commitment to supporting a good cause, as 50 percent of the profits are directed towards alcohol and drug addiction recovery programs. However, caution is advised regarding the presence of erythritol, a sugar alcohol that can potentially cause gastrointestinal discomfort and has been associated with increased cardiovascular risk. The sweeteners used in Clean Cause Yerba Mate are organic stevia and organic erythritol.Each can contains 9 grams of erythritol, and the nutrition facts for a 16 fl oz. can include: 0 calories, 0g total fat, 5mg sodium, 0g total carbs, 0g total sugars, 0g added sugars, 0g protein, and 160mg caffeine.8. Monster HydroRating: 4.6Number of ratings: 2,717Monster Hydro stands out as an innovative solution that effectively combines hydration and energy benefits within a single durable bottle. With a thoughtful formulation that includes glucose, sucrose, and essential electrolytes like salt, Monster Hydro not only provides energy but also aids in replenishing vital nutrients for recovery. The inclusion of B vitamins further enhances its nutritional value by supporting the conversion of food into energy within the body. Offering an array of five distinct flavors, each incorporating a harmonious blend of fruits and natural elements, Monster Hydro presents a refreshing departure from the typical carbonated energy drinks. As someone who regularly explores and assesses various beverages, Monster Hydro emerged as a refreshing and fulfilling option in the realm of energy drinks.7. Guayaki Organic Yerba MateRating: 4.6 Number of ratings: 5,256                                                                           Guayaki Yerba Mate stands out as a unique non-carbonated energy drink, featuring organic and fair-trade ingredients with the traditional flavor of Yerba Mate. With a rich and refreshing taste reminiscent of South America's lush landscapes, it combines tea's robustness, coffee's invigoration, and chocolate's comfort. This beverage offers a noticeable energy boost with 150mg of caffeine per can, promoting clarity without jitters, making it ideal for sustained focus. Guayaki Yerba Mate's commitment to sustainability and premium organic ingredients delivers both energy and environmental consciousness, catering to mindful consumers seeking a holistic energy solution.6. Rockstar Recovery Energy DrinkRating: 4.6 Number of ratings: 6,010Rockstar Recovery Energy Drink is tailored as a revitalizing option ideal for post-activity recovery, whether it's following a workout, a night out, or a demanding day at work. Positioned as an 'Energy Hydrate' beverage, Rockstar Recovery excels at swift recovery after exertion. Alongside its bold and crisp taste featuring a refreshing citrusy touch, this non-carbonated, high-caffeine drink is crafted to expedite rejuvenation. Uniquely blending hydrating components, essential electrolytes, herbal extracts, and energy stimulants, Rockstar Recovery prioritizes efficient recovery while maintaining a low sugar content of just 3 grams per can—setting it apart from many other energy drinks in the market.Click to continue reading and find out about Alternatives to Celsius Drink: 5 Best Energy Drinks.Suggested Articles:20 Countries With The Highest Number of Doctors Per Capita in 202315 Countries with the Best Healthcare in Europe15 Countries with the Best Public Health Systems in the WorldDisclosure: None. Alternatives to Celsius Drink: 10 Best Energy Drinks is originally published on Insider Monkey.

Insider Monkey

Alternatives to Celsius Drink: 10 Best Energy Drinks

https://finance.yahoo.com/news/alternatives-celsius-drink-10-best-143850715.html

9594ba3c-acaf-3693-8f45-aaf10541a9a1

MNST

Monster Beverage Corporation MNST has been doing well, thanks to its robust business strategies. The company has been gaining from the expansion of the energy drinks category and product launches. It has launched many products and expanded distribution in the international markets.Buoyed by such strengths, shares of this energy drinks and alternative beverages’ marketer have risen 18% compared with the industry’s 4.9% growth over the past year. A Momentum Score of A further adds strength to this currently Zacks Rank #3 (Hold) company.Analysts seem quite optimistic about the company. The Zacks Consensus Estimate for 2024 sales and earnings per share is currently pegged at $1.93 billion and 44 cents, respectively. These estimates show corresponding growth of 13.3% and 15.8% year over year.Delving DeeperMonster Beverage is experiencing strength in its energy drinks category, which has been driving performance for a while now. The company offers a wide range of energy drinks brands such as Monster Energy, Monster Energy Ultra, Monster Rehab, Monster Energy Nitro, Java Monster, Punch Monster, Juice Monster, Monster Hydro Energy Water, Monster Hydro Super Sport, Monster Super Fuel, Monster Dragon Tea, Reign Total Body Fuel, Reign Inferno Thermogenic Fuel, Reign Storm, True North, NOS, Full Throttle, Burn, Mother, Nalu, Ultra Energy, Play Relentless, BPM, BU, Gladiator, Samurai, Live+, Predator and Fury.Zacks Investment ResearchImage Source: Zacks Investment ResearchIn fourth-quarter 2023, the Monster Energy Drinks segment's net sales increased 15.1% year over year to $1.60 billion. On a currency-adjusted basis, net sales for the segment rose 16.5%. It continues to have market share leadership in the energy drinks category for all outlets combined in the United States in both the 13-week and four-week periods ended Feb 17, 2024.Product innovation plays a significant role in the company's success. Monster Beverage launched Monster Aussie Lemonade in Japan, Monster Ultra Paradise in Malaysia, Monster Mango Loco and Pipeline Punch in Kazakhstan, and Monster Mango Loco in the Philippines. In February this year, the company introduced Predator Gold Strike in Azerbaijan and the Philippines. It had earlier rolled out its first flavored malt beverage alcohol product, The Beast Unleashed, in the United States and received positive feedback. This marked the expansion of the distribution of The Beast Unleashed into additional markets, with plans for nationwide distribution ahead.Management expressed satisfaction with its 2023 product innovations, including Monster Energy Zero-Sugar, Ultra Strawberry Dreams and Rainstorm in the United States, along with Monster Energy Lewis Hamilton 44 Zero-Sugar in EMEA.Additionally, the company continues to benefit from its pricing actions across various regions to negate the impacts of rising commodity costs and inflation. MNST continued to implement price hikes in the fourth quarter of 2023, with additional price hikes planned in several other markets ahead.  Monster Beverage has implemented price increases in the first quarter of 2024 across certain international markets. It is continuing to monitor opportunities for further pricing actions across the United States and internationally. In fourth-quarter 2023, Monster Beverage’s gross margin expanded 240 basis points to 54.2%, driven by pricing actions, lower freight-in costs and reduced input costs.To wrap up, Monster Beverage seems to be a decent investment bet given all the aforementioned positives.Story continuesStocks to ConsiderWe highlighted some better-ranked stocks from the broader Consumer Staples space, namely Church & Dwight Co. CHD, Colgate-Palmolive CL and Inter Parfums IPAR.Church & Dwight, offering a broad range of household, personal care and specialty products, currently carries a Zacks Rank #2 (Buy). CHD has a trailing four-quarter earnings surprise of 10.1%, on average. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The Zacks Consensus Estimate for Church & Dwight’s current financial year’s sales and earnings suggests growth of 8.7% and 6.4%, respectively, from the year-ago numbers.Colgate, a leading consumer goods company, currently carries a Zacks Rank of 2. CL has a trailing four-quarter earnings surprise of 4.2%, on average.The Zacks Consensus Estimate for CL’s current financial-year sales and earnings suggests growth of 3.5% and 7.7%, respectively, from the year-ago reported figures.Inter Parfums is engaged in the manufacturing, distribution and marketing of a wide range of fragrances and related products. It currently carries a Zacks Rank of 2.The Zacks Consensus Estimate for IPAR’s current financial-year sales and earnings indicates advancements of 20.9% and 20.2%, respectively, from the prior-year figures. It has a trailing four-quarter earnings surprise of 45.7%, on average.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 reportColgate-Palmolive Company (CL) : Free Stock Analysis ReportChurch & Dwight Co., Inc. (CHD) : Free Stock Analysis ReportInter Parfums, Inc. (IPAR) : Free Stock Analysis ReportMonster Beverage Corporation (MNST) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Monster Beverage's (MNST) Growth Strategies Progress Well

https://finance.yahoo.com/news/monster-beverages-mnst-growth-strategies-164800684.html

b802c143-dd89-3298-a70a-c5df128fc828

MO

For Immediate ReleaseChicago, IL – February 26, 2024 – Today, Zacks Equity Research discusses Philip Morris International Inc. PM, Altria Group, Inc. MO and 22nd Century Group, Inc. XXII.Industry: TobaccoLink: https://www.zacks.com/commentary/2230687/3-tobacco-stocks-grabbing-attention-on-solid-industry-trendsThe Zacks Tobacco industry participants have been focused on strengthening their arms in the smoke-free product arena owing to consumers' rising health consciousness. Strong pricing power has also been working well for tobacco players.These upsides have been helping companies navigate a tough industry landscape, wherein inflation has impacted Adult Tobacco Consumers' ("ATC") spending patterns, thereby affecting companies' volumes. All said, Philip Morris International Inc., Altria Group, Inc. and 22nd Century Group, Inc. appear to be well-placed for growth.About the IndustryThe Zacks Tobacco industry includes companies that manufacture and sell cigarettes as well as tobacco and nicotine-based products, such as cigars, snuffs and oral tobacco. Some companies also offer RRPs, such as e-cigarettes, vaping and heat-not-burn variants. A few of the firms are engaged in making devices and attachments needed in vaping and heat-not-burn products.Most products manufactured by the tobacco industry participants fall under the strict vigilance of the U.S. Food and Drug Administration ("FDA") and are required to follow the permissible levels of nicotine in manufacturing. Players in this space sell products mostly through large retailers, distributors, convenience stores, drugstores, wholesalers and grocery chains. Additionally, some international tobacco firms operate in the country through subsidiaries.4 Trends Shaping the Future of the Tobacco IndustryPricing Power: Players in the tobacco industry have been leveraging the strong pricing influence of tobacco products, which also helps them make up for high taxes and soft cigarette sales volumes. Since smokers tend to be less responsive to price hikes due to their addiction, this approach is anticipated to continue benefiting companies within the tobacco sector. The prudent pricing of cigarettes has been supporting the revenues of players in the tobacco industry in the face of declining volumes.Story continuesSmoke-Free Products Gain Prominence: Rising health consciousness and stringent government regulations aimed at reducing cigarette smoking have driven many consumers toward reduced-risk products (RRPs) or smoke-free alternatives. These products are promoted as having a less adverse impact on health due to their scientific composition and way of consumption.An increasing number of consumers are turning to these alternatives as a means to quit smoking traditional cigarettes. Major players in the tobacco industry have been allocating resources to expand their presence in this category, including investing in innovations to make these products more user-friendly and energy-efficient.Companies have been experiencing significant revenue growth in the RRP or smoke-free product space. Philip Morris and British American Tobacco have been proactively working toward transitioning into predominantly smoke-free companies in the coming years. The resilience of these products is likely to continue delivering favorable outcomes for industry participants as they undergo business transformations.Cigarette Volume Concerns: The industry is battling challenges related to the inflationary environment, which has influenced consumer spending habits. Given the ever-changing external landscape, economic factors like inflation, increased interest rates, global supply-chain hurdles and ATC dynamics, such as purchasing patterns, the adoption of smoke-free products and disposable income, are likely to impact cigarette sales volumes.Further, cigarette volumes have been affected by strict government regulations pertaining to sales, marketing and manufacturing. Such regulatory norms are imposed due to health hazards caused by the consumption of nicotine. Some guidelines issued by the FDA include the mandatory use of precautionary labels on cigarette packets and self-critical advertisements. As cigarette sales constitute a significant portion of revenues for tobacco industry companies, the decrease in sales volumes within this category raises concerns.Cost Pressures: The performance of numerous industry participants has been adversely affected by cost inflation. Global inflationary challenges linked to essential materials such as tobacco leaf, energy and labor costs have been a worry. Elevated expenses related to the research, development and marketplace activities of smoke-free products further present risks to profit margins.Zacks Industry Rank Indicates Good ProspectsThe Zacks Tobacco industry is housed within the broader Zacks Consumer Staples sector. The industry currently carries a Zacks Industry Rank #104, which places it in the top 41% of more than 250 Zacks industries.The group's Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates bright near-term prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.Industry vs. Broader MarketThe Zacks Tobacco industry has underperformed the Zacks S&P 500 composite as well as the broader Zacks Consumer Staple sector over the past year.The industry has declined 13.7% over this period compared with the broader sector's drop of 3.9%. Meanwhile, the S&P 500 has risen 26.4% in the said time frame.Industry's Current ValuationOn the basis of forward 12-month price-to-earnings (P/E), which is commonly used for valuing consumer staple stocks, the industry is currently trading at 9.29X compared with the S&P 500's 20.61X and the sector's 17.34X.Over the past five years, the industry has traded as high as 13.18X, as low as 9.1X and at the median of 10.79X.3 Tobacco Stocks to Keep a Close Eye OnPhilip Morris International: The company has been benefiting from its robust pricing actions. Additionally, this Zacks Rank #3 (Hold) company's focus on smoke-free products, aligning with changing consumer preferences, has helped it firm its position. Philip Morris is on track to achieve its goal of transitioning into a primarily smoke-free entity by 2025.The company expects 2024 to be another strong year, backed by organic smoke-free net revenue and profit growth. The success of the company's smoke-free portfolio is led by the outstanding performance of flagship premium brands, IQOS and ZYN. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.The Zacks Consensus Estimate for PM's 2024 EPS has dropped from $6.45 to $6.40 in the past seven days. Shares of Philip Morris have slipped 3.1% in the past six months.Altria Group: The Zacks Rank #3 company has been showing resilience amid a tough landscape through its pricing power and focus on smoke-free alternatives. Altria's investment in on! is proving to be fruitful in this regard. The acquisition of NJOY Holdings marks another significant development in the e-vapor category. MO highlighted its 2028 Enterprise Goals at its 2023 Investor Day, as part of which it targets generating mid-single-digit adjusted EPS growth through 2028 (on a compounded annual basis).Altria shares have declined 5.8% in the past six months. The Zacks Consensus Estimate for MO's 2023 EPS has dipped by a penny to $5.07 over the past seven days.22nd Century Group: The agricultural biotechnology company is renowned for its efforts in reducing tobacco harm and developing reduced nicotine tobacco products. This Zacks Rank #3 company has been on track to reduce operating costs. Incidentally, 22nd Century Group recently divested its hemp/cannabis operations, which will help it lower its cost burden considerably, taking the company closer to its goal of generating cash-positive operations.The Zacks Consensus Estimate for 22nd Century Group's 2024 bottom line has remained unchanged at a loss of $4.30 over the past 30 days. Shares of XXII have declined 92% in the past six months.Why Haven't You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.Media ContactZacks Investment Research800-767-3771 ext. [email protected]://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance  for information about the performance numbers displayed in this press release.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free reportAltria Group, Inc. (MO) : Free Stock Analysis ReportPhilip Morris International Inc. (PM) : Free Stock Analysis Report22nd Century Group, Inc (XXII) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Zacks Industry Outlook Highlights Philip Morris International, Altria and 22nd Century Group

https://finance.yahoo.com/news/zacks-industry-outlook-highlights-philip-143200863.html

e932fdf9-b219-3c69-b43a-7031663ee6a2

MO

RICHMOND, Va., February 26, 2024--(BUSINESS WIRE)--Jacinto J. Hernandez, a director of Altria Group, Inc. ("Altria"), retired from service on our Board of Directors effective February 23, 2024. Mr. Hernandez will continue to serve Altria as a strategic advisor under a 5-year advisory services agreement."We thank Jacinto for his service on our Board," said Kathryn McQuade, Altria’s independent Board Chair. "Our Board benefited from his industry experience and financial expertise.""I joined Altria’s Board because I am inspired by Altria’s Vision to responsibly lead the transition of adult smokers to a smoke-free future," said Mr. Hernandez. "I am pleased that this agreement will allow me to focus my attention on helping Altria pursue its Vision working directly with management."Mr. Hernandez is founder and principal of Cummings Consulting & Management. He previously served as a partner and investment analyst for Capital Group and its subsidiary, Capital World Investors. He joined the Capital Group companies in August 2000 and retired in June 2022 after having spent 22 years covering a variety of industries, including U.S. tobacco, helping lead the research portfolio for one of the largest growth mutual funds in the world and serving in key leadership roles. Mr. Hernandez is a director of Aris Water Solutions, Inc. (NYSE: ARIS). He previously served as a director of Pioneer Natural Resources Company (2022 to May 2023) (NYSE: PXD).Altria’s ProfileWe have a leading portfolio of tobacco products for U.S. tobacco consumers age 21+. Our Vision is to responsibly lead the transition of adult smokers to a smoke-free future (Vision). We are Moving Beyond Smoking™, leading the way in moving adult smokers away from cigarettes by taking action to transition millions to potentially less harmful choices - believing it is a substantial opportunity for adult tobacco consumers, our businesses and society.Story continuesOur wholly owned subsidiaries include leading manufacturers of both combustible and smoke-free products. In combustibles, we own Philip Morris USA Inc. (PM USA), the most profitable U.S. cigarette manufacturer, and John Middleton Co. (Middleton), a leading U.S. cigar manufacturer. Our smoke-free portfolio includes ownership of U.S. Smokeless Tobacco Company LLC (USSTC), the leading global moist smokeless tobacco (MST) manufacturer, Helix Innovations LLC (Helix), a leading manufacturer of oral nicotine pouches, and NJOY, LLC (NJOY), currently the only e-vapor manufacturer to receive market authorizations from the U.S. Food and Drug Administration (FDA) for a pod-based e-vapor product.Additionally, we have a majority-owned joint venture, Horizon Innovations LLC (Horizon), for the U.S. marketing and commercialization of heated tobacco stick products and, through a separate agreement, we have the exclusive U.S. commercialization rights to the IQOS Tobacco Heating System® and Marlboro HeatSticks® through April 2024.Our equity investments include Anheuser-Busch InBev SA/NV (ABI), the world’s largest brewer, and Cronos Group Inc. (Cronos), a leading Canadian cannabinoid company. The brand portfolios of our operating companies include Marlboro®, Black & Mild®, Copenhagen®, Skoal®, on!® and NJOY®. Trademarks related to Altria referenced in this release are the property of Altria or our subsidiaries or are used with permission.Learn more about Altria at www.altria.com and follow us on X (formerly known as Twitter), Facebook and LinkedIn.View source version on businesswire.com: https://www.businesswire.com/news/home/20240226539021/en/ContactsInvestor RelationsAltria Client Services(804) 484-8222Media RelationsAltria Client Services(804) 484-8897

Business Wire

Altria Group, Inc. Announces Retirement of Director Jacinto J. Hernandez From Board of Directors

https://finance.yahoo.com/news/altria-group-inc-announces-retirement-213000014.html

eba2ea2e-eabe-3605-be4a-864875f7c9d9

MO

In the latest trading session, Altria (MO) closed at $41.55, marking a +0.24% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 1.03%. At the same time, the Dow added 0.34%, and the tech-heavy Nasdaq gained 1.51%.The owner of Philip Morris USA, the nation's largest cigarette maker's stock has climbed by 2.96% in the past month, exceeding the Consumer Staples sector's loss of 0.65% and lagging the S&P 500's gain of 3.21%.The investment community will be paying close attention to the earnings performance of Altria in its upcoming release. The company is expected to report EPS of $1.16, down 1.69% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.73 billion, down 0.62% from the year-ago period.For the full year, the Zacks Consensus Estimates project earnings of $5.07 per share and a revenue of $20.58 billion, demonstrating changes of +2.42% and +0.36%, respectively, from the preceding year.Any recent changes to analyst estimates for Altria should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.36% decrease. Altria is currently a Zacks Rank #3 (Hold).Story continuesLooking at valuation, Altria is presently trading at a Forward P/E ratio of 8.18. This valuation marks no noticeable deviation compared to its industry's average Forward P/E of 8.18.Meanwhile, MO's PEG ratio is currently 2.5. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Tobacco industry currently had an average PEG ratio of 1.65 as of yesterday's close.The Tobacco industry is part of the Consumer Staples sector. At present, this industry carries a Zacks Industry Rank of 89, placing it within the top 36% of over 250 industries.The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com.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 reportAltria Group, Inc. (MO) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Altria (MO) Rises But Trails Market: What Investors Should Know

https://finance.yahoo.com/news/altria-mo-rises-trails-market-224521832.html

93a5b424-d075-3abd-b06f-9d4598afea0d

MO

Tobacco stocks have long been ripe territory for income investors, and after years of consolidation and decline, the industry has been whittled down to three major players: Altria (NYSE: MO) and Philip Morris International (NYSE: PM), which were once part of the same company; and British American Tobacco. BAT deserves consideration from income investors open to tobacco stocks, but here we'll focus on just Altria and Philip Morris, two companies with similar product portfolios and who have a history of working together.When the old Philip Morris split in 2008 into Philip Morris International and Altria, which is the parent of Philip Morris USA, PMI took the territory outside the U.S., while Altria retained domestic operations, and the two companies have evolved since. Let's take a look at how the two stocks stack up in various categories to see which is the better buy today.Image source: Getty Images.The state of the business: Altria vs. Philip MorrisBoth tobacco stocks are subject to similar industry trends, including declining cigarette consumption. In its fourth-quarter earnings report, Altria reported a 7.6% decline in cigarette shipment volumes to 18.2 billion, and overall revenue, excluding excise taxes, fell 2.4% to $4.35 billion.Historically, Altria has made up for falling cigarette volumes by raising prices, and it's also looked to new businesses to deliver growth. However, most of those attempts have fallen flat. In 2018, it spent $12.8 billion to acquire a 35% stake in Juul Labs, though a regulatory crackdown erased nearly all the value of that investment, and what's left of it now is some heated tobacco intellectual property rights.An investment in Canadian cannabis grower Cronos Group also led to write-downs and losses, as that industry has underperformed since Canadian legalization.Now, Altria is pinning its hopes on NJOY, which it acquired a year ago for $2.75 billion in cash. NJOY brings a diverse portfolio of both disposable e-cigarettes, branded Daily, and a vape with reusable pods, Ace. NJOY's revenue is believed to be a fraction of Altria's, so its value is in its own growth potential. Altria also sold the commercialization rights in the U.S. for Philip Morris International's heat-not-burn system IQOS back to PMI, showing that it's solely focused on NJOY as its next-gen product.Story continuesBy comparison, Philip Morris seems to have several advantages over Altria. It reported a decline in cigarette volume of just 1.9% to 151.1 billion, as international markets have faced less tobacco regulation as the U.S. has. Philip Morris has also done better at developing its next-gen business as sales of its heated tobacco units (HTUs), largely IQOS, rose 6.1% to 34 billion, which is more cigarettes than Altria sold in total. PMI's purchase of IQOS rights for the U.S. from Altria for $2.7 billion indicates confidence that it can make that product successful in the U.S.Because of its success in HTUs, Philip Morris's overall product shipment volume is nearly flat, and it is on the verge of driving positive growth as HTUs, which were up 6.1% in the latest quarter, replacing cigarettes. More than any other tobacco stock, Philip Morris has found success with next-gen products. That's led to solid revenue growth as well, with adjusted revenue up 8.3% to $9 billion in the fourth quarter.Profitability: Altria vs. Philip MorrisWhile Philip Morris is growing revenue faster than Altria, it's the more profitable of the two companies based on margins, which is likely a reflection of much of its sales coming from the premium Marlboro brand, and the increased disposable income in the U.S. Altria recorded an adjusted operating income margin of 59.9% last year, compared to 33% for Philip Morris.Still, Philip Morris managed to grow adjusted operating income by 3.7%, while Altria's was flat.Valuation and yield: Altria vs. Philip MorrisAltria currently trades at a price-to-earnings ratio of 8.3 and offers an impressive dividend yield of 9.6%. Philip Morris, on the other hand, offers a P/E of 17.2 and a dividend yield of 5.8%. That gives Altria a clear edge here.And the winner is...Altria might be more appealing to dividend investors strictly looking for yield, but Philip Morris is the better choice. The company has a much brighter future as its next-gen business has reached scale and cigarette volumes are declining more slowly, and it doesn't face the same regulatory restrictions that Altria does.Altria's dividend does look safe for now, but it can't rely on raising cigarette prices forever. While the NJOY acquisition could pay off, it could also take years for it to positively impact the bottom line. Only one of these stocks offers growth, stability, and high yield, and that's Philip Morris.Should you invest $1,000 in Philip Morris International right now?Before you buy stock in Philip Morris International, consider this:The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Philip Morris International wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*.See the 10 stocks*Stock Advisor returns as of March 8, 2024Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool recommends British American Tobacco P.l.c. and Philip Morris International and recommends the following options: long January 2026 $40 calls on British American Tobacco and short January 2026 $40 puts on British American Tobacco. The Motley Fool has a disclosure policy.Better High-Yield Dividend Stock to Buy: Altria vs. Philip Morris was originally published by The Motley Fool

Motley Fool

Better High-Yield Dividend Stock to Buy: Altria vs. Philip Morris

https://finance.yahoo.com/news/better-high-yield-dividend-stock-150900340.html

c4e48750-fda2-31e9-9735-decf02d88433

MOH

On February 20, 2024, Director Richard Schapiro sold 1,000 shares of Molina Healthcare Inc (NYSE:MOH) as reported in a recent SEC filing. The transaction was executed at an average price of $401.05 per share, resulting in a total value of $401,050.Warning! GuruFocus has detected 6 Warning Signs with MOH.Molina Healthcare Inc, a multi-state healthcare organization, provides managed health care services under the Medicaid and Medicare programs, and through the state insurance marketplaces. The company operates through three segments: Medicaid, Medicare, and Marketplace. Molina Healthcare Inc's services include health plans, primary care clinics, and specialty services dedicated to individuals and families who qualify for government-sponsored programs.Over the past year, the insider has sold a total of 1,711 shares of Molina Healthcare Inc and has not made any purchases. The recent sale by Richard Schapiro follows a trend observed over the past year, where there have been no insider buys and 14 insider sells for the company.Director Richard Schapiro Sells 1,000 Shares of Molina Healthcare Inc (MOH)As of the date of the insider's recent sale, Molina Healthcare Inc had a market capitalization of $23.447 billion. The stock's price-earnings ratio stood at 21.38, which is above the industry median of 18.875 but below the company's historical median price-earnings ratio.The stock was trading at $401.05 on the day of the insider's sale, with a GF Value of $384.74, leading to a price-to-GF-Value ratio of 1.04. According to this metric, Molina Healthcare Inc is considered to be Fairly Valued.Director Richard Schapiro Sells 1,000 Shares of Molina Healthcare Inc (MOH)The GF Value is a proprietary intrinsic value estimate from GuruFocus, which is calculated based on historical trading multiples, a GuruFocus adjustment factor, and future business performance estimates provided by Morningstar analysts.Investors and analysts often monitor insider transactions as they can provide insights into a company's internal perspective on the stock's valuation and future prospects. The recent sale by Director Richard Schapiro may attract attention from the market as stakeholders consider the implications of this insider activity.This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.This article first appeared on GuruFocus.

GuruFocus.com

Director Richard Schapiro Sells 1,000 Shares of Molina Healthcare Inc (MOH)

https://finance.yahoo.com/news/director-richard-schapiro-sells-1-044458681.html

869311e7-b008-3b49-9068-e07fb9a77b54

MOH

Community Health Systems, Inc. CYH reported fourth-quarter 2023 adjusted loss of 41 cents per share, lagging the Zacks Consensus Estimate of a profit of 3 cents. The bottom line also declined from the prior year's earnings of $1.5 per share.Net operating revenues rose 1.2% year over year to $3.2 billion in the quarter under review. The top line beat the consensus mark of $3.15 billion.The quarterly results benefited from a rise in admissions, lower expenses and increased patient demand. Declining patient days, length of stay and licensed beds more than offset the positives.Community Health Systems, Inc. Price, Consensus and EPS SurpriseCommunity Health Systems, Inc. Price, Consensus and EPS SurpriseCommunity Health Systems, Inc. price-consensus-eps-surprise-chart | Community Health Systems, Inc. QuoteQuarterly Operational UpdateAt the fourth-quarter end, the hospital count for Community Health was 71, missing our estimate by 6.6%.Patient days tumbled 0.5% year over year but beat our estimate by 8.2%. The average length of stay fell 2.2% year over year, while the occupancy rate of 53.5% improved 350 basis points year over year.Admissions grew 0.7% year over year. Meanwhile, adjusted admissions also advanced 1.9% year over year in the quarter under review. On a same-store basis, admissions and adjusted admissions improved 1.9% and 3.6%, respectively, from their corresponding prior-year quarter’s reported figures.Licensed beds of CYH totaled 11,902 as of Dec 31, 2023, which indicates a decrease of 930 beds from the prior-year quarter. The reported figure missed our estimate by 3.5%.Total operating costs and expenses declined 2.1% year over year to $2.85 billion in the fourth quarter, lower than our estimate of $2.88 billion. Meanwhile, net interest expenses of $209 million increased 2% year over year. The metric came higher than our estimate of $203.9 million.The company reported a net loss of $133 million in the fourth quarter against a profit of $46 million in the year-ago period. Adjusted EBITDA declined 4.5% year over year to $386 million in the quarter under review primarily due to changes inpayor mix, high costs of supplemental reimbursement programs partially offset by improved inpatient volumes and lower contract labor costs. The metric missed our estimate of $405 million.Story continuesFinancial Update (as of Dec 31, 2023)Community Health exited the fourth quarter with cash and cash equivalents of $38 million, which declined from $118 million at 2022-end. Total assets of $14.5 billion decreased from $14.7 billion at 2022-end.Long-term debt amounted to $11.5 billion, which decreased from $11.6 billion at 2022-end. Current maturities of long-term debt were $21 million.In 2023, CYH generated operating cash flows of $210 million, down from $300 million year over year.2024 OutlookThe company expects net operating revenues between $12.3 billion and $12.7 billion for 2024, the mid-point of which indicates no change from the 2023 figure of $12.5 billion.Adjusted EBITDA is estimated to be in the range of $1.475-$1.625 billion. The mid-point of the guidance implies a 6.7% rise from the 2023 figure of $1.453 billion.Net loss per share is expected to be between 65 cents and 5 cents in 2024.Community Health reported a net loss of $1.39 per share in 2023.Depreciation and amortization are predicted to be in the range of $490-$510 million for 2024.Net cash from operating activities is anticipated to be between $500 million and $650 million in 2024. Capital expenditures are expected to be in the range of $350-$400 million. Diluted weighted-average shares outstanding are estimated to be in the range of $132-133 million.Zacks RankCommunity Health currently carries a Zacks Rank #5 (Strong Sell).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Other Medical Sector ReleasesOf the Medical sector players that have reported fourth-quarter 2023 results so far, the bottom-line results of Integer Holdings Corporation ITGR, Amgen Inc. AMGN and Molina Healthcare, Inc. MOH beat the respective Zacks Consensus Estimate.Integer Holdings delivered adjusted earnings per share (EPS) of $1.39 in the fourth quarter of 2023, which improved 25.2% year over year. The figure topped the Zacks Consensus Estimate by 3.7%. It registered revenues of $413.2 million in the fourth quarter, up 10.9% year over year. The figure surpassed the consensus estimate by 0.3%. Organically, revenues increased 9.5%.The Medical Sales segment reported revenues of $404.1 million, up 13.3% year over year on a reported basis and 11.9% on an organic basis. Revenues in the Non-Medical segment totaled $9.1 million, down 41.9% year over year both on a reported and organic basis. ITGR’s operating income totaled $43.5 million, reflecting an 18% uptick from the year-ago quarter. Operating margin in the fourth quarter expanded 60 bps to 10.5%.Amgen’s fourth-quarter 2023 adjusted EPS of $4.71 beat the Zacks Consensus Estimate of $4.66. Earnings rose 15% year over year. Total revenues of $8.2 billion marginally beat the consensus estimate of $8.16 billion. Total revenues rose 20% year over year. Total product revenues increased 20% from the year-ago quarter to $7.83 billion (U.S.: $5.87 billion; ex-U.S.: $1.969 billion). Prolia revenues were $1.1 billion, up 12% from the year-ago quarter.Evenity recorded sales of $318 million in the quarter, up 41% year over year. Xgeva delivered revenues of $527 million, up 9% year over year, driven by higher net selling prices. Adjusted operating margin of AMGN rose 0.8 percentage points to 46.7% in the quarter.Molina Healthcare reported fourth-quarter 2023 adjusted EPS of $4.38, which outpaced the Zacks Consensus Estimate by 1.6%. The bottom line advanced 6.8% year over year. Total revenues rose 10% year over year to $9 billion in the quarter under review. Also, the top line surpassed the consensus mark by 9%.Premium revenues amounted to $8.4 billion, which grew 5.6% year over year in the fourth quarter. Investment income of $114 million rose nearly one-fold year over year. MOH reported an adjusted net income of $255 million, which advanced 6.3% year over year. The consolidated medical care ratio deteriorated 80 bps year over year to 89.1%. Total membership was around 5 million as of Dec 31, 2023, which declined 5% year over year.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 reportAmgen Inc. (AMGN) : Free Stock Analysis ReportMolina Healthcare, Inc (MOH) : Free Stock Analysis ReportCommunity Health Systems, Inc. (CYH) : Free Stock Analysis ReportInteger Holdings Corporation (ITGR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Community Health (CYH) Q4 Earnings Miss, Revenues Up Y/Y

https://finance.yahoo.com/news/community-health-cyh-q4-earnings-175100857.html

495892e1-508c-3810-a874-80cc6b5c04b5

MOH

LONG BEACH, Calif., March 06, 2024--(BUSINESS WIRE)--Molina Healthcare, Inc. (NYSE: MOH) today announced details for the release of its results for the first quarter ending March 31, 2024.Molina Healthcare will issue its earnings release for the first quarter ending March 31, 2024, after the market closes on Wednesday, April 24, 2024, and will host a conference call and webcast to discuss the earnings release on Thursday, April 25, 2024, at 8:00 a.m. Eastern Time. To access this interactive teleconference, dial (877) 883-0383 and enter the confirmation number, 0974846. A telephonic replay of the conference call will be available through Thursday, May 9, 2024, by dialing (877) 344-7529 and entering the confirmation number, 7039934.A live broadcast of Molina Healthcare’s conference call will be available on the Company’s website, molinahealthcare.com. A 30-day online replay will be available approximately one hour following the conclusion of the live broadcast.About Molina HealthcareMolina Healthcare, Inc., a FORTUNE 500 company, provides managed healthcare services under the Medicaid and Medicare programs and through the state insurance marketplaces. For more information about Molina Healthcare, please visit molinahealthcare.com.View source version on businesswire.com: https://www.businesswire.com/news/home/20240306381507/en/ContactsInvestor Contact: Jeffrey Geyer, [email protected], 305-317-3012

Business Wire

Molina Healthcare Announces First Quarter 2024 Earnings Release and Conference Call Dates

https://finance.yahoo.com/news/molina-healthcare-announces-first-quarter-140000919.html

ce884b02-4fad-34d4-b72b-376b1c179978

MOH

It has been about a month since the last earnings report for Molina (MOH). Shares have added about 2.7% in that time frame, underperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Molina due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.Molina Healthcare Q4 Earnings Beat on Premium GrowthMolina Healthcare reported fourth-quarter 2023 adjusted earnings per share (EPS) of $4.38, which outpaced the Zacks Consensus Estimate by 1.6%. The bottom line advanced 6.8% year over year.Total revenues rose 10% year over year to $9 billion in the quarter under review. Also, the top line surpassed the consensus mark by 9%.The strong quarterly results benefited on the back of improved premiums, contract wins, and Medicare membership growth. However, the upside was partly offset by a decline in Medicaid and Marketplace membership and an elevated operating expense level.Quarterly Operational UpdateMolina Healthcare’s premium revenues amounted to $8.4 billion, which grew 5.6% year over year in the fourth quarter and beat the Zacks Consensus Estimate of $8 billion as well as our estimate of $7.9 billion. Premium growth stemmed from the favorable impact of new RFP wins and acquisitions. Medicaid redeterminations partially offset the positives. Investment income of $114 million rose nearly one-fold year over year but missed the consensus mark of $116 million.Total operating expenses escalated 7.6% year over year to $8.7 billion, higher than our estimate of $7.9 billion. The growth was due to increased medical care costs, higher general and administrative expenses and premium tax expenses.Adjusted general and administrative expense ratio of 7% improved 50 bps year over year in the quarter under review due to continued execution of cost discipline. Interest expenses remained flat year over year at $27 million and fell short of our estimate of $28.7 million.Story continuesMolina Healthcare reported an adjusted net income of $255 million, which advanced 6.3% year over year in the fourth quarter and outpaced our estimate of $248.2 million.The consolidated medical care ratio (medical costs as a percentage of premium revenues), or MCR, deteriorated 80 bps year over year to 89.1% and matched our estimate.Total membership was around 5 million as of Dec 31, 2023, which declined 5% year over year and missed our estimate of 5.1 million. A declining customer base in Medicaid and Marketplace businesses affected Molina Healthcare’s overall membership growth.Financial Update (as of Dec 31, 2023)Molina Healthcare exited the fourth quarter with cash and cash equivalents of $4.8 billion, which increased from $4 billion at 2022-end. Total assets of $14.9 billion increased from $12.3 billion at 2022-end.Long-term debt amounted to $2.18 billion, up from $2.17 billion at 2022-end. Total stockholders’ equity of $4.2 billion climbed from $3 billion at 2022-end.Molina Healthcare generated net cash from operations of $1.7 billion in 2023, which rose more than one-fold year over year. The significant growth came on the back of the net impact of the difference in timings of government receivables and payables coupled with expanding operations and earnings from organic and acquisitions.Full-Year UpdateMolina Healthcare’s total revenues of $34.1 billion rose 6.6% year over year and beat our estimate of $33.3 billion.Total operating expenses rose 5.5% year over year in 2023 to $32.5 billion and surpassed our estimate of $31.7 billion.The company’s 2023 adjusted net income of $20.88 per share rose 16.5% year over year and beat our estimate of $20.78 per share.2024 GuidanceMolina Healthcare expects premium revenues to be $38 billion, which implies an approximate 16.9% rise from the 2023 reported figure.Total revenues are anticipated to be $39.6 billion in 2024, which suggests 16.1% growth from the 2023 figure.Molina Healthcare expects adjusted EPS to be at a minimum of $23.5 in 2024, which represents a year-over-year improvement of 12.5%.Adjusted net income is projected to be $1.4 billion for 2024, 12.6% higher than the 2023 figure. GAAP net income is projected to be $1.3 billion, 17.1% higher than the 2023 figure.Total membership for 2024-end is estimated to be 5.7 million, 14% higher than the 2023-end figure of 5 million.Consolidated MCR is expected to stay at 88.2%.How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended downward during the past month.The consensus estimate has shifted -16.85% due to these changes.VGM ScoresAt this time, Molina has a poor Growth Score of F, a grade with the same score on the momentum front. However, the stock was allocated a grade of A on the value side, putting it in the top 20% for this investment strategy.Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Molina has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerMolina belongs to the Zacks Medical - HMOs industry. Another stock from the same industry, Cigna (CI), has gained 3.1% over the past month. More than a month has passed since the company reported results for the quarter ended December 2023.Cigna reported revenues of $51.15 billion in the last reported quarter, representing a year-over-year change of +11.8%. EPS of $6.79 for the same period compares with $4.96 a year ago.Cigna is expected to post earnings of $6.16 per share for the current quarter, representing a year-over-year change of +13.9%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.9%.Cigna has a Zacks Rank #2 (Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.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 reportMolina Healthcare, Inc (MOH) : Free Stock Analysis ReportCigna Group (CI) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Molina (MOH) Up 2.7% Since Last Earnings Report: Can It Continue?

https://finance.yahoo.com/news/molina-moh-2-7-since-163048599.html

008375c6-9f74-35f1-b283-94d76d0010f0

MOS

The Mosaic Company (NYSE:MOS) Q4 2023 Earnings Call Transcript February 22, 2024The Mosaic Company isn’t one of the 30 most popular stocks among hedge funds at the end of the third quarter (see the details here).Operator: Good morning and welcome to the Mosaic Company's Fourth Quarter and Full Year 2023 Earnings Conference Call. At this time, all participants have been placed in a listen-only mode. After the company completes their prepared remarks, the lines will be open to take your questions. As a reminder, today's call is being recorded. Your host for today's call is Jason Tremblay. Jason you may begin.Jason Tremblay: Thank you and welcome to our fourth quarter and full year 2023 earnings call. Opening comments will be provided by Bruce Bodine President and Chief Executive Officer followed by a fireside chat then open Q&A. Clint Freeland, Executive Vice President and Chief Financial Officer; and Jenny Wang, Executive Vice President, Commercial will also be available to answer your questions. We will be making forward-looking statements during this conference call. The statements include, but are not limited to statements about future financial and operating results. They are based on management's beliefs and expectations as of today's date and are subject to significant risks and uncertainties. Actual results may differ materially from projected results.Factors that could cause actual results to differ materially from those in the forward-looking statements are included in our press release published yesterday in our reports filed with the Securities and Exchange Commission. We will also be presenting certain non-GAAP financial measures. Our press release and performance data also contain important information on these non-GAAP measures. Now, I'd like to turn the call over to Bruce.Bruce Bodine: Good morning. Thank you for joining our call today. This is my first earnings call as Mosaic's CEO and I'd like to begin by acknowledging Joc O'Rourke for his many contributions to the company. Joc held this role for nearly a decade and the company is much stronger today thanks to his leadership. Under Joc, Mosaic expanded its footprint in Brazil with the successful Vale Fertilizantes acquisition. We completed development of the world's largest potash mine. We transformed our cost structures and we deleveraged and optimized our balance sheet. We have opportunities to improve returns and drive shareholder value by building on the current position of strength that Joc helped create. I look forward to evolving Mosaic's strategy and to helping all of you understand just how we will do that.Story continuesSo, for today, there are a few key messages that we would like you to take away from this call. First, phosphate markets are very strong. We expect dynamics to remain constructive for the foreseeable future and we are working to optimize our production so we can benefit fully. Second, we expect demand recovery in potash. In fact we are seeing early signs of demand emerging in Brazil. That said given current potash economics we will be curtailing production from our Colonsay mine. Third, we are taking these actions as well as reducing costs and capital expenditures to improve through cycle returns. Finally, with our strong financial foundation in place, we remain committed to prudent capital allocation, selectively investing when risk-adjusted returns are compelling, and returning excess cash through share repurchases and dividends.For full year 2023, Mosaic generated revenue of $13.7 billion, adjusted EBITDA of $2.8 billion, and adjusted earnings per share of $3.57. We invested $1.4 billion in the business, refinanced $900 million in long-term debt, and returned $1.1 billion to shareholders, including over $750 million in share repurchases. Let's start by looking at the market. 2022 brought extreme volatility to fertilizer markets. High prices driven by supply disruption eventually reduced demand. In 2023, as prices retreated customers returned in many key markets. The long-term global grain and oilseed supply and demand picture remains encouraging with secular demand growth outpacing supply. In addition to population and income growth, demand for agricultural commodities is being driven by renewable fuel adoption, which we expect will continue to ramp over the next several years.Recent policy mandates have been announced in California, the European Union and in Singapore, and additional mandates are expected in the future. This emerging source of demand has the potential to require tens of millions of additional acres of production. Short-term fundamentals also look positive. We believe that ongoing weather challenges in key growing regions, including Brazil, will result in grain production lower than what the market is anticipating. This suggests that already low stock-to-use ratios will remain under pressure and support a healthy grain price environment. On this point, there tends to be a lot of focus on the stock to use ratios for corn and soybeans. As you can see in the presentation materials we posted, these two commodities represent approximately 30% of the global potash and phosphate consumption.This means that 70% of consumption is tied to other crops, many of which are experiencing continued tightening in their ratios. We believe the result is that growers around the world continue to be incentivized, to maximize yield and crop production through strong fertilizer applications. In North America, a long fall application season drove strong demand well into the fourth quarter. Solid winter fill activity tells us bins are near empty and channel inventories are low. We are seeing demand strength continue into the spring planting season and sales volumes are mostly committed through March. In Brazil, barter ratios for both soybeans and corn are favorable. And while weather impacts have delayed fertilizer purchases, our outlook for full year 2024 is very positive, with expectations of fertilizer shipments at or near an all-time record as growers need to replenish soil nutrients.Favorable ag commodity and fertilizer demand drivers are especially promising for phosphate markets. We expect global supply will remain tight due in part to China's fertilizer export restrictions as the government prioritizes domestic food security. Tighter environmental oversight has also had an impact with the reduction of domestic DAP production. China also continues to direct more asset to industrial markets. Lithium iron phosphate production has more than tripled in the last two years, and we expect growth to continue at a rapid pace. The competition for phosphate molecules is intensifying. And it will continue to do so for quite some time. This, together with limited capacity additions in the near future, suggests phosphate market fundamentals will remain constructive.For potash, Supply is adequate to meet demand in the near term and economics have not yet improved, which is why we intend to curtail production at Colonsay. We will continue to monitor market developments and customer demand. And when needed, Colonsay will be prepared to return to service in short order. Overall, Ag and fertilizer market dynamics remain solid. At Mosaic, we continue to focus on meeting customer needs executing on our business strategy, optimizing our operations and delivering value to shareholders. Turning now to fourth quarter results and our first quarter outlook. For the fourth quarter of 2023, Mosaic delivered revenue of $3.1 billion, adjusted EBITDA of $646 million and adjusted earnings per share of $0.71. Our potash business generated $322 million of adjusted EBITDA on sales volumes of roughly 2.6 million tonnes.With the port at Portland Oregon back up and running, the team at Canpotex had a strong finish to the year, enabling us to deliver sales volumes well within the range of our initial guidance. We expect sales volumes for the first quarter of 2024 in the range of two million to 2.2 million tonnes and potash prices at the mine in the range of $225 to $250 per tonne. In phosphates, we generated $259 million in adjusted EBITDA on sales volumes of 1.6 million tonnes. Realized stripping margins remained strong for the quarter but were offset by lower cost absorption from lower production levels. For the first quarter, we expect phosphate sales volume in the range of 1.6 million to 1.8 million tonnes and DAP realized prices at the mine in the range of $580 to $605 per tonne.Moving to our business in South America. Despite the weather-driven fertilizer demand headwind in the fourth quarter, we delivered strong operating results with adjusted EBITDA of $111 million, distribution business margins came in well above the historical normal annual range of $30 to $40 per tonne. In the first quarter this year, we expect margins to recede from the fourth quarter as part of the normal seasonality of the business. The first quarter of each year typically has a higher amount of fertilizer volume going to Brazil's corn crop, which demands a higher percentage of nitrogen products, which historically generate lower and less consistent margins. And lower volumes of MicroEssentials, which generates higher margins. As a result, margins are generally lower during the quarter but improved from there resulting in annual margins in line with our historic norm of $30 to $40 per tonne.We executed well against our capital allocation strategy in 2023 and our balance sheet remains optimized. We spent $1.4 billion in CapEx and made significant progress on our investment projects. We refinanced $900 million in debt and returned $1.1 billion to shareholders through an increased dividend and share repurchases. Our returns included not only free cash flow but also proceeds from asset sales such as the sale of Streamsong Resort. Finally, I want to discuss, our top strategic initiatives for 2024. First, we're focused on driving down costs. Over time, we expect to achieve at least $150 million in annual run rate savings off of a 2023 baseline, driven in part by savings from our global digital acceleration program, which will go live later this year.Next, we'll continue to transform our operations to increase resilience and flexibility. Our top priority in phosphate is to improve our production volumes. We are working toward an annual run rate of eight million tonnes over the next few quarters by enhancing the overall reliability and efficiency of our operations. To this end, we have a busy turnaround schedule at our Florida facilities in the first half of this year as we target areas that have caused us the most significant maintenance issues. Next, we'll further expand our presence in Brazil, one of the most dynamic agricultural regions in the world by completing a 1 million tonnes distribution facility at Palmeirante to serve the fast-growing northern region of the country. We'll also further strengthen our product portfolio by growing non-commodity products.We are expanding MicroEssentials capacity at our Riverview plant here in Florida, and we expect those additional tonnes later this spring. We anticipate that more than half of our phosphate sales will be value-added products, which clearly is a differentiator for us. In addition, we are planning for the next-generation MicroEssentials Pro, which is delivering significant yield improvements in field testing. MicroEssentials Pro will also extend our patent protection until 2038. Finally, we'll remain true to our disciplined capital allocation strategy. In 2024, we expect to reduce total capital spending by about $200 million, and we'll continue to return excess cash to shareholders. To summarize, our outlook for agriculture and fertilizer markets remains positive.A farmer tending to his crops in a field, with a fertiliser bag nearby.At Mosaic, we have a strategic road map to optimize returns through the business cycle, to grow and to decommoditize our product offerings, and we have a very strong financial foundation from which to operate. I'm looking forward to updating you on our progress as the year proceeds. Now let's move to Q&A.A - Jason Tremblay : Before we move on to the live Q&A, as we have done in the past quarters, we would like to address some of the most common questions that we received after we published our earnings materials last night. For our first question, Bruce, a number of analysts have asked questions about potash and phosphates. Market dynamics of these two crop nutrients seem to be diverging, with phosphates being strong, while potash is finding its way. Can you tell us how you see these markets developing as the year progresses?Bruce Bodine: I think this is a good way to characterize current market conditions. Phosphate markets are very positive due to strong demand, low inventories and a tight supply situation globally leading to some of the strongest stripping margins in the last decade. We believe stripping margins will remain elevated for the remainder of the year. Looking at the key regions. In North America, channel inventories are low, and we are seeing strong demand for spring planting. For Mosaic specifically, we continue to operate at minimum inventory levels, and our first quarter sales are almost fully committed. In Brazil, inventories are well below the five-year range, and our outlook for the year remains positive as growers need to replenish soil nutrients.India's proposed subsidy rates announced earlier this month, showed an increase for phosphate fertilizers from the prevailing rates in the fourth quarter of last year, but importer margins remain negative. With very strong grower demand and low inventories, which are at the low end of the five-year range, subsidies should move higher. In China, we are seeing an increased focus on food security. The government is limiting exports to ensure adequate domestic supply, while also meeting rising industrial demand. We expect these dynamics to continue to limit exports for the foreseeable future. Industrial demand, particularly China's lithium iron phosphate market has been very strong, with production more than tripled in the last two years to 1.7 million tonnes of finished fertilizer product equivalent in 2023.We expect additional production growth in the future as demand continues to sort. Overall, this leads us to conclude that phosphate markets will remain constructive for the rest of the year. In potash, the supply constraints from Belarus and Russia seen in the past few years will continue to abate in 2024. On the demand side, we see stability in North America. In fact, our winter fill program was fully sold. And similar to phosphates, we are almost fully committed for Q1. In Southeast Asia, particularly Malaysia and Indonesia, high-priced inventories were worked down in 2023. Two years of under application in those markets will put further strain on crop yields if nutrients are not replenished. We are seeing significant pent-up demand in that region.In China, while potash inventories are higher than historical periods, the fertilizer stock-to-use ratio is normal due to increasing on-farm demand as a result of favorable pricing. It's been reported that China intends to increase its strategic reserves meaning that inventories will have to remain higher than historical periods to meet this objective. We also expect lower Chinese domestic production as a result of the recent news capping production in its key potash basin due to environmental concerns. The combination of these factors should drive a need for continued high import volumes to meet the demand. The weather in Brazil has slowed demand in the near-term but we are seeing early signs of demand emerging in potash prices moving up slightly.In fact when you look at the entire fertilizer market, we expect shipments to be at or near peak levels in 2024. Putting these factors together, we expect the pace of global potash shipments to improve as 2024 progresses.Jason Trembla: Thanks, Bruce. As a follow-up question, given the market backdrop you just described what actions are you planning to take?Bruce Bodine: Well, given the strength of phosphate markets, Mosaic's focuses on increasing our phosphate production volumes and further improving our margins by increasing our MicroEssentials volumes. Getting our production to an annual run rate of 8 million tonnes, not only increases revenue but also significantly reduces our unit costs. MicroEssentials generates significant yield improvements. And as a result, generate superior margins for farmers, retailers and Mosaic. For Mosaic, not only do we earn a premium margin in our phosphate segment but we also command a premium margin in Brazil, as we capture the retail premium for these products. In Potash, Mosaic is focusing on flexibility and cost management. The curtailment of production at our Colonsay site demonstrates our commitment to flexibly managing our network to ensure our low-cost sites at Belle Plaine and Esterhazy, operate at capacity while Colonsay is only used when market conditions dictate.We have a couple of projects that will increase our product mix flexibility before the end of the year. This will enhance our ability to adjust our end product mix to respond to changes in the market conditions more effectively in order to optimize our cost structure and margins. In addition to cost reductions in our operations, we are focused on driving SG&A reductions and optimizing our investments in CapEx and working capital. These initiatives will ensure our customer demand is met. Our through-cycle financial performance will continue to advance and shareholder value is maximized.Jason Trembla: Okay. Our next question is related to Mosaic Fertilizantes. Brazil remains a problem a region for many ag input companies. What is your outlook for 2024?Bruce Bodine: This is a fair observation. A lot of these companies are still in the process of destocking excess high-cost inventories or writing off their assets, given the challenging market conditions. At Mosaic, we took early action to complete the destocking of high-priced inventory in the first half of 2023, without any significant write-offs. As a result, we entered the second half of the year in a great position and it shows in our margins. The margin per tonne in our distribution business returned to the $30 to $40 range in the third quarter and came in above that range in the fourth quarter. In 2024, we expect record or near record fertilizer shipments despite lower fertilizer demand in quarter one due to weather conditions, as growers continue to be incentivized by constructive BARDA ratios and the need to replenish soil nutrients.From a distribution margin perspective, we expect normal seasonality on a per tonne basis, lower than the normalized annual range in the first quarter, but within the range for the full year.Jason Tremblay: Changing topics. There's a question about CapEx. You're indicating that spending will decline by approximately $200 million this year. How do you see that CapEx evolving longer term?Bruce Bodine: We're coming out of a period of elevated CapEx due to an unusual number of high-returning opportunity projects from across the business. We are coming to the end of these projects, and as a result, our spending is declining. In addition to the $200 million reduction in 2024, we anticipate a further reduction in 2025 with a longer-term run rate to be at or below $1 billion.Jason Tremblay: Thanks, Bruce. And with that, we will now move to the open question-and-answer session. Operator, please open the line for follow-up questions.See also 14 Legit Reasons to Back Out of a Home Purchase and 16 States With the Lowest Or No Sales Tax.To continue reading the Q&A session, please click here.

Insider Monkey

The Mosaic Company (NYSE:MOS) Q4 2023 Earnings Call Transcript

https://finance.yahoo.com/news/mosaic-company-nyse-mos-q4-140346264.html

d139a6b5-d07c-3156-bd0a-0ad0ab6dcedd

MOS

The Mosaic Company (NYSE:MOS) has announced that it will be increasing its dividend from last year's comparable payment on the 21st of March to $0.21. This makes the dividend yield 2.7%, which is above the industry average. Check out our latest analysis for Mosaic Mosaic's Payment Has Solid Earnings CoverageA big dividend yield for a few years doesn't mean much if it can't be sustained. However, prior to this announcement, Mosaic's dividend was comfortably covered by both cash flow and earnings. This means that most of its earnings are being retained to grow the business.Looking forward, earnings per share is forecast to fall by 5.3% over the next year. If the dividend continues along the path it has been on recently, we estimate the payout ratio could be 21%, which is comfortable for the company to continue in the future.historic-dividendDividend VolatilityThe company has a long dividend track record, but it doesn't look great with cuts in the past. The dividend has gone from an annual total of $1.00 in 2014 to the most recent total annual payment of $0.84. Doing the maths, this is a decline of about 1.7% per year. Declining dividends isn't generally what we look for as they can indicate that the company is running into some challenges.The Dividend Looks Likely To GrowWith a relatively unstable dividend, it's even more important to evaluate if earnings per share is growing, which could point to a growing dividend in the future. We are encouraged to see that Mosaic has grown earnings per share at 24% per year over the past five years. A low payout ratio gives the company a lot of flexibility, and growing earnings also make it very easy for it to grow the dividend.Mosaic Looks Like A Great Dividend StockIn summary, it is always positive to see the dividend being increased, and we are particularly pleased with its overall sustainability. The company is generating plenty of cash, and the earnings also quite easily cover the distributions. We should point out that the earnings are expected to fall over the next 12 months, which won't be a problem if this doesn't become a trend, but could cause some turbulence in the next year. Taking this all into consideration, this looks like it could be a good dividend opportunity.Investors generally tend to favour companies with a consistent, stable dividend policy as opposed to those operating an irregular one. Still, investors need to consider a host of other factors, apart from dividend payments, when analysing a company. Taking the debate a bit further, we've identified 2 warning signs for Mosaic that investors need to be conscious of moving forward. Looking for more high-yielding dividend ideas? Try our collection of strong dividend payers.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Mosaic (NYSE:MOS) Is Increasing Its Dividend To $0.21

https://finance.yahoo.com/news/mosaic-nyse-mos-increasing-dividend-193000646.html

f08707e8-5a90-3cb0-8744-84ee8f8038d0

MOS

The Mosaic Company (NYSE:MOS) stock is about to trade ex-dividend in four days. The ex-dividend date is one business day before the record date, which is the cut-off date for shareholders to be present on the company's books to be eligible for a dividend payment. The ex-dividend date is of consequence because whenever a stock is bought or sold, the trade takes at least two business day to settle. Thus, you can purchase Mosaic's shares before the 6th of March in order to receive the dividend, which the company will pay on the 21st of March.The company's next dividend payment will be US$0.21 per share, and in the last 12 months, the company paid a total of US$0.84 per share. Based on the last year's worth of payments, Mosaic stock has a trailing yield of around 2.7% on the current share price of US$31.16. Dividends are a major contributor to investment returns for long term holders, but only if the dividend continues to be paid. So we need to check whether the dividend payments are covered, and if earnings are growing. See our latest analysis for Mosaic Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. Mosaic paid out just 23% of its profit last year, which we think is conservatively low and leaves plenty of margin for unexpected circumstances. Yet cash flow is typically more important than profit for assessing dividend sustainability, so we should always check if the company generated enough cash to afford its dividend. It distributed 35% of its free cash flow as dividends, a comfortable payout level for most companies.It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously.Click here to see the company's payout ratio, plus analyst estimates of its future dividends.historic-dividendHave Earnings And Dividends Been Growing?Companies with consistently growing earnings per share generally make the best dividend stocks, as they usually find it easier to grow dividends per share. Investors love dividends, so if earnings fall and the dividend is reduced, expect a stock to be sold off heavily at the same time. That's why it's comforting to see Mosaic's earnings have been skyrocketing, up 24% per annum for the past five years. Earnings per share have been growing very quickly, and the company is paying out a relatively low percentage of its profit and cash flow. Companies with growing earnings and low payout ratios are often the best long-term dividend stocks, as the company can both grow its earnings and increase the percentage of earnings that it pays out, essentially multiplying the dividend.Story continuesMany investors will assess a company's dividend performance by evaluating how much the dividend payments have changed over time. Mosaic's dividend payments per share have declined at 1.7% per year on average over the past 10 years, which is uninspiring.Final TakeawayIs Mosaic an attractive dividend stock, or better left on the shelf? Mosaic has grown its earnings per share while simultaneously reinvesting in the business. Unfortunately it's cut the dividend at least once in the past 10 years, but the conservative payout ratio makes the current dividend look sustainable. Mosaic looks solid on this analysis overall, and we'd definitely consider investigating it more closely.With that in mind, a critical part of thorough stock research is being aware of any risks that stock currently faces. Case in point: We've spotted 2 warning signs for Mosaic you should be aware of.A common investing mistake is buying the first interesting stock you see. Here you can find a full list of high-yield dividend stocks.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Here's What We Like About Mosaic's (NYSE:MOS) Upcoming Dividend

https://finance.yahoo.com/news/heres-mosaics-nyse-mos-upcoming-102152446.html

d56e15fc-d8f8-3362-9113-d34e4636da32

MOS

Assessing The Sustainability of The Mosaic Co's Upcoming DividendThe Mosaic Co (NYSE:MOS) recently announced a dividend of $0.21 per share, payable on 2024-03-21, with the ex-dividend date set for 2024-03-06. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into The Mosaic Co's dividend performance and assess its sustainability.What Does The Mosaic Co Do?High Yield Dividend Stocks in Gurus' PortfolioThis Powerful Chart Made Peter Lynch 29% A Year For 13 YearsHow to calculate the intrinsic value of a stock?Formed in 2004 by the combination of IMC Global and Cargill's fertilizer business, Mosaic is one of the largest phosphate and potash producers in the world. The company's assets include phosphate rock mines in Florida, Brazil, and Peru and potash mines in Saskatchewan, New Mexico, and Brazil. Mosaic also runs a large fertilizer distribution operation in Brazil through its Mosiac Fertilizantes business, which the company acquired from Vale in 2018.The Mosaic Co's Dividend AnalysisA Glimpse at The Mosaic Co's Dividend HistoryThe Mosaic Co has maintained a consistent dividend payment record since 2008. Dividends are currently distributed on a quarterly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.Breaking Down The Mosaic Co's Dividend Yield and GrowthAs of today, The Mosaic Co currently has a 12-month trailing dividend yield of 2.56% and a 12-month forward dividend yield of 2.68%. This suggests an expectation of increased dividend payments over the next 12 months.Over the past three years, The Mosaic Co's annual dividend growth rate was 58.70%. Extended to a five-year horizon, this rate decreased to 50.10% per year. And over the past decade, The Mosaic Co's annual dividends per share growth rate stands at -10.50%.Based on The Mosaic Co's dividend yield and five-year growth rate, the 5-year yield on cost of The Mosaic Co stock as of today is approximately 19.50%.Story continuesThe Mosaic Co's Dividend AnalysisThe Sustainability Question: Payout Ratio and ProfitabilityTo assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-12-31, The Mosaic Co's dividend payout ratio is 0.22.The Mosaic Co's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks The Mosaic Co's profitability 8 out of 10 as of 2023-12-31, suggesting good profitability prospects. The company has reported net profit in 8 years out of the past 10 years.Growth Metrics: The Future OutlookTo ensure the sustainability of dividends, a company must have robust growth metrics. The Mosaic Co's growth rank of 8 out of 10 suggests that the company's growth trajectory is good relative to its competitors.Revenue is the lifeblood of any company, and The Mosaic Co's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. The Mosaic Co's revenue has increased by approximately 21.80% per year on average, a rate that outperforms approximately 68.28% of global competitors.The company's 3-year EPS growth rate showcases its capability to grow its earnings, a critical component for sustaining dividends in the long run. During the past three years, The Mosaic Co's earnings increased by approximately 24.00% per year on average, a rate that outperforms approximately 51.23% of global competitors.Lastly, the company's 5-year EBITDA growth rate of 54.50%, which outperforms approximately 90.85% of global competitors.Engaging Conclusion: The Mosaic Co's Dividend OutlookIn conclusion, The Mosaic Co's upcoming dividend, consistent historical payments, and a strong yield growth trajectory present an attractive opportunity for value investors. The company's low payout ratio coupled with high profitability and growth ranks indicate a sustainable dividend policy. Investors should also note The Mosaic Co's robust revenue and earnings growth, which further support the likelihood of continued dividend payouts. As the company progresses, it remains a noteworthy candidate for portfolios seeking steady income with growth potential. Will The Mosaic Co continue to meet the expectations of dividend-seeking investors in the years to come?GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener.This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.This article first appeared on GuruFocus.

GuruFocus.com

The Mosaic Co's Dividend Analysis

https://finance.yahoo.com/news/mosaic-cos-dividend-analysis-100727943.html

fa548cfa-818b-37e7-a67f-9957abd2e670

MPC

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility of prices, but whether you will suffer a permanent loss of capital.' So it might be obvious that you need to consider debt, when you think about how risky any given stock is, because too much debt can sink a company. As with many other companies Marathon Petroleum Corporation (NYSE:MPC) makes use of debt. But should shareholders be worried about its use of debt?When Is Debt A Problem?Generally speaking, debt only becomes a real problem when a company can't easily pay it off, either by raising capital or with its own cash flow. Part and parcel of capitalism is the process of 'creative destruction' where failed businesses are mercilessly liquidated by their bankers. However, a more frequent (but still costly) occurrence is where a company must issue shares at bargain-basement prices, permanently diluting shareholders, just to shore up its balance sheet. Of course, the upside of debt is that it often represents cheap capital, especially when it replaces dilution in a company with the ability to reinvest at high rates of return. The first step when considering a company's debt levels is to consider its cash and debt together. View our latest analysis for Marathon Petroleum What Is Marathon Petroleum's Debt?As you can see below, at the end of September 2023, Marathon Petroleum had US$28.6b of debt, up from US$26.2b a year ago. Click the image for more detail. However, it also had US$13.1b in cash, and so its net debt is US$15.5b.debt-equity-history-analysisHow Healthy Is Marathon Petroleum's Balance Sheet?According to the last reported balance sheet, Marathon Petroleum had liabilities of US$21.7b due within 12 months, and liabilities of US$35.4b due beyond 12 months. Offsetting this, it had US$13.1b in cash and US$12.5b in receivables that were due within 12 months. So its liabilities total US$31.6b more than the combination of its cash and short-term receivables.Story continuesMarathon Petroleum has a very large market capitalization of US$61.1b, so it could very likely raise cash to ameliorate its balance sheet, if the need arose. But it's clear that we should definitely closely examine whether it can manage its debt without dilution.We use two main ratios to inform us about debt levels relative to earnings. The first is net debt divided by earnings before interest, tax, depreciation, and amortization (EBITDA), while the second is how many times its earnings before interest and tax (EBIT) covers its interest expense (or its interest cover, for short). Thus we consider debt relative to earnings both with and without depreciation and amortization expenses.Marathon Petroleum's net debt is only 0.92 times its EBITDA. And its EBIT covers its interest expense a whopping 25.8 times over. So you could argue it is no more threatened by its debt than an elephant is by a mouse. It is just as well that Marathon Petroleum's load is not too heavy, because its EBIT was down 31% over the last year. When it comes to paying off debt, falling earnings are no more useful than sugary sodas are for your health. When analysing debt levels, the balance sheet is the obvious place to start. But ultimately the future profitability of the business will decide if Marathon Petroleum can strengthen its balance sheet over time. So if you want to see what the professionals think, you might find this free report on analyst profit forecasts to be interesting.But our final consideration is also important, because a company cannot pay debt with paper profits; it needs cold hard cash. So we clearly need to look at whether that EBIT is leading to corresponding free cash flow. During the last three years, Marathon Petroleum generated free cash flow amounting to a very robust 87% of its EBIT, more than we'd expect. That puts it in a very strong position to pay down debt.Our ViewBased on what we've seen Marathon Petroleum is not finding it easy, given its EBIT growth rate, but the other factors we considered give us cause to be optimistic. There's no doubt that its ability to to cover its interest expense with its EBIT is pretty flash. When we consider all the factors mentioned above, we do feel a bit cautious about Marathon Petroleum's use of debt. While we appreciate debt can enhance returns on equity, we'd suggest that shareholders keep close watch on its debt levels, lest they increase. The balance sheet is clearly the area to focus on when you are analysing debt. But ultimately, every company can contain risks that exist outside of the balance sheet. For example, we've discovered 2 warning signs for Marathon Petroleum (1 is significant!) that you should be aware of before investing here.Of course, if you're the type of investor who prefers buying stocks without the burden of debt, then don't hesitate to discover our exclusive list of net cash growth stocks, today.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Is Marathon Petroleum (NYSE:MPC) Using Too Much Debt?

https://finance.yahoo.com/news/marathon-petroleum-nyse-mpc-using-120020254.html

528a1b40-0f71-334d-a442-16c6d582dc21

MPC

Marathon Petroleum (MPC) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.Over the past month, shares of this refiner have returned +6.7%, compared to the Zacks S&P 500 composite's +5% change. During this period, the Zacks Oil and Gas - Refining and Marketing industry, which Marathon Petroleum falls in, has gained 3.8%. The key question now is: What could be the stock's future direction?Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.Marathon Petroleum is expected to post earnings of $1.85 per share for the current quarter, representing a year-over-year change of -69.6%. Over the last 30 days, the Zacks Consensus Estimate has changed -26.5%.For the current fiscal year, the consensus earnings estimate of $14.38 points to a change of -39.2% from the prior year. Over the last 30 days, this estimate has changed -2.2%.Story continuesFor the next fiscal year, the consensus earnings estimate of $14.29 indicates a change of -0.6% from what Marathon Petroleum is expected to report a year ago. Over the past month, the estimate has changed +12.2%.With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Marathon Petroleum.The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:12 Month EPSProjected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.In the case of Marathon Petroleum, the consensus sales estimate of $30.9 billion for the current quarter points to a year-over-year change of -11.9%. The $125.01 billion and $134.43 billion estimates for the current and next fiscal years indicate changes of -16.8% and +7.5%, respectively.Last Reported Results and Surprise HistoryMarathon Petroleum reported revenues of $36.82 billion in the last reported quarter, representing a year-over-year change of -8.2%. EPS of $3.98 for the same period compares with $6.65 a year ago.Compared to the Zacks Consensus Estimate of $33.73 billion, the reported revenues represent a surprise of +9.18%. The EPS surprise was +68.64%.The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.Marathon Petroleum is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Marathon Petroleum. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.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 reportMarathon Petroleum Corporation (MPC) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Is Trending Stock Marathon Petroleum Corporation (MPC) a Buy Now?

https://finance.yahoo.com/news/trending-stock-marathon-petroleum-corporation-140011221.html

2971ad36-b5a0-307d-96ce-f4a73c398d5a

MPC

A month has gone by since the last earnings report for Murphy USA (MUSA). Shares have added about 4.2% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Murphy USA due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.Murphy USA’s Q4 Earnings Beat EstimateMurphy USA announced fourth-quarter 2023 earnings per share of $7, which beat the Zacks Consensus Estimate of $6.31 and came ahead of the year-ago profit of $5.21. The outperformance primarily reflects higher fuel margins and robust merchandise sales.However, Murphy USA’s operating revenues of $5.1 billion fell 5.5% year over year and missed the consensus mark by $291 million due to a fall in the retail gasoline price.Merchandise sales, at $1 billion, rose 2.9% year over year and came in line with our estimate. Revenues from petroleum product sales came in at $4 billion, below our estimate of $4.4 billion and down 7.2% from the fourth quarter of 2022.Key TakeawaysMUSA’s total fuel contribution rose 6.4% year over year to $393 million due to margin expansion. Moreover, total fuel contribution (including retail fuel margin plus product supply and wholesale results) came in at 32.5 cents per gallon, 6.2% higher than the fourth quarter of 2022.Retail fuel contribution increased 10.2% year over year to $376 million as margins widened to 31.1 cents per gallon from 28.3 cents in the corresponding period of 2022. Retail gallons edged up 0.2% from the year-ago period to 1,208.4 million in the quarter under review but missed our estimate by 2%. Volumes on an SSS basis (or fuel gallons per store) declined 1.5% from the fourth quarter of 2022 to 237.9 thousand. Meanwhile, the average retail gasoline price during the quarter came in at $2.97 per gallon, down from $3.19 per gallon a year ago.Contribution from Merchandise increased 4.6% to $197.7 million on higher sales and a rise in unit margins from 19.1% a year ago to 19.4% in the fourth quarter of 2023. On an SSS basis, total merchandise contribution was up 3.2% year over year, primarily on the back of 7.1% higher tobacco margins. Meanwhile, merchandise sales increased 1.4% on an SSS basis, again due to an increase in tobacco sales.The company’s monthly fuel gallons were down 1.4% from the prior-year period, though merchandise sales increased 1.8% on an average per store monthly basis. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Story continuesBalance SheetAs of Dec 31, Murphy USA — which opened 10 new retail locations in the quarter to take its store count to 1,733 — had cash and cash equivalents of $117.8 million and long-term debt (including lease obligations) of $1.8 billion, with a debt-to-capitalization of 68.3%.During the quarter, MUSA bought back shares worth $162 million.GuidanceThe company projects 2024 fuel volume in the range of 240-245 thousand gallons on an APSM basis. Further, Murphy USA’s 2024 guidance includes 30-35 new stores and 35-40 raze-and-rebuilds, $860-$880 million in merchandise margin contribution, and $400-$450 million in capital expenditures.How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended downward during the past month.The consensus estimate has shifted -10.37% due to these changes.VGM ScoresAt this time, Murphy USA has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy.Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Murphy USA has a Zacks Rank #1 (Strong Buy). We expect an above average return from the stock in the next few months.Performance of an Industry PlayerMurphy USA belongs to the Zacks Oil and Gas - Refining and Marketing industry. Another stock from the same industry, Marathon Petroleum (MPC), has gained 5.5% over the past month. More than a month has passed since the company reported results for the quarter ended December 2023.Marathon Petroleum reported revenues of $36.82 billion in the last reported quarter, representing a year-over-year change of -8.2%. EPS of $3.98 for the same period compares with $6.65 a year ago.Marathon Petroleum is expected to post earnings of $1.85 per share for the current quarter, representing a year-over-year change of -69.6%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Marathon Petroleum. Also, the stock has a VGM Score of A.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 reportMurphy USA Inc. (MUSA) : Free Stock Analysis ReportMarathon Petroleum Corporation (MPC) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Murphy USA (MUSA) Up 4.2% Since Last Earnings Report: Can It Continue?

https://finance.yahoo.com/news/murphy-usa-musa-4-2-163052327.html

007502ee-7cdf-3e91-93e3-75e0b6013a9a

MPC

Marathon Petroleum's (NYSE:MPC) stock is up by a considerable 25% over the past three months. Since the market usually pay for a company’s long-term fundamentals, we decided to study the company’s key performance indicators to see if they could be influencing the market. In this article, we decided to focus on Marathon Petroleum's ROE.ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. Put another way, it reveals the company's success at turning shareholder investments into profits. Check out our latest analysis for Marathon Petroleum How Is ROE Calculated?The formula for ROE is:Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' EquitySo, based on the above formula, the ROE for Marathon Petroleum is:36% = US$11b ÷ US$31b (Based on the trailing twelve months to December 2023).The 'return' is the income the business earned over the last year. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.36.What Has ROE Got To Do With Earnings Growth?So far, we've learned that ROE is a measure of a company's profitability. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features.Marathon Petroleum's Earnings Growth And 36% ROEFirst thing first, we like that Marathon Petroleum has an impressive ROE. Second, a comparison with the average ROE reported by the industry of 21% also doesn't go unnoticed by us. Under the circumstances, Marathon Petroleum's considerable five year net income growth of 49% was to be expected.Story continuesNext, on comparing with the industry net income growth, we found that Marathon Petroleum's growth is quite high when compared to the industry average growth of 37% in the same period, which is great to see.past-earnings-growthEarnings growth is an important metric to consider when valuing a stock. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. Is MPC fairly valued? This infographic on the company's intrinsic value has everything you need to know.Is Marathon Petroleum Using Its Retained Earnings Effectively?Marathon Petroleum has a really low three-year median payout ratio of 11%, meaning that it has the remaining 89% left over to reinvest into its business. So it looks like Marathon Petroleum is reinvesting profits heavily to grow its business, which shows in its earnings growth.Moreover, Marathon Petroleum is determined to keep sharing its profits with shareholders which we infer from its long history of paying a dividend for at least ten years. Upon studying the latest analysts' consensus data, we found that the company's future payout ratio is expected to rise to 28% over the next three years. Consequently, the higher expected payout ratio explains the decline in the company's expected ROE (to 22%) over the same period.ConclusionOn the whole, we feel that Marathon Petroleum's performance has been quite good. Specifically, we like that the company is reinvesting a huge chunk of its profits at a high rate of return. This of course has caused the company to see substantial growth in its earnings. Having said that, on studying current analyst estimates, we were concerned to see that while the company has grown its earnings in the past, analysts expect its earnings to shrink in the future. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Is Marathon Petroleum Corporation's (NYSE:MPC) Recent Stock Performance Tethered To Its Strong Fundamentals?

https://finance.yahoo.com/news/marathon-petroleum-corporations-nyse-mpc-130019371.html

2fd71ad8-620f-395e-bae5-794a3b83df36

MPWR

Arista Networks, Lululemon among 20 names on this screen for Warren Buffett stocks based on the strategy of Berkshire's CEO.Continue reading

Investor's Business Daily

Warren Buffett Stocks: Arista Networks, 5 Chip Stocks Make This Screen

https://finance.yahoo.com/m/0edc9aaa-e3ba-3178-be5a-f8c16fbffff2/warren-buffett-stocks-arista.html

0edc9aaa-e3ba-3178-be5a-f8c16fbffff2

MPWR

Director CHANG KUO WEI HERBERT of Monolithic Power Systems Inc (NASDAQ:MPWR) has sold 250 shares of the company on February 22, 2024, according to a recent SEC Filing. This transaction is part of a series of sales by the insider over the past year, totaling 1,250 shares sold.Monolithic Power Systems Inc is a semiconductor company that specializes in power solutions. The company designs, develops, and markets integrated power semiconductor solutions and power delivery architectures for computing and storage, automotive, industrial, communications, and consumer applications.Over the past year, there have been no insider purchases of Monolithic Power Systems Inc stock, while there have been 79 insider sales. The insider transaction history suggests a trend of insiders selling their shares in the company.Monolithic Power Systems Inc Director CHANG KUO WEI HERBERT Sells Company SharesOn the date of the insider's most recent transaction, shares of Monolithic Power Systems Inc were trading at $750, giving the company a market capitalization of $34.675 billion. The price-earnings ratio of the stock stands at 82.42, which is above both the industry median of 29.61 and the company's historical median price-earnings ratio.The stock's price-to-GF-Value ratio is 1.18, with a GF Value of $635.97, indicating that Monolithic Power Systems Inc is considered modestly overvalued according to GuruFocus's valuation model.Monolithic Power Systems Inc Director CHANG KUO WEI HERBERT Sells Company SharesThe GF Value is determined by considering historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on the company's past returns and growth, and future business performance estimates provided by Morningstar analysts.This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.This article first appeared on GuruFocus.

GuruFocus.com

Monolithic Power Systems Inc Director CHANG KUO WEI HERBERT Sells Company Shares

https://finance.yahoo.com/news/monolithic-power-systems-inc-director-180047194.html

e92aa271-6a30-3ea5-868c-7c9e190192b0

MPWR

It has been about a month since the last earnings report for Monolithic Power (MPWR). Shares have added about 4.1% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Monolithic due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.Monolithic Power Tops Q4 Earnings & Revenue EstimatesMonolithic reported healthy fourth-quarter 2023 results, with the bottom and top lines beating the Zacks Consensus Estimate.Net IncomeOn a GAAP basis, net income fell to $96.9 million or $1.98 per share from $119.1 million or $2.45 per share in the prior-year quarter. The decline was primarily due to an increase in operating expenses.Non-GAAP net income was $140.9 million or $2.88 per share compared with $154 million or $3.17 per share in the year-ago quarter. The bottom line surpassed the Zacks Consensus Estimate by 3 cents.For 2023, GAAP net income was $427.4 million or $8.76 per share compared with $437.7 million or $9.05 per share in 2022. Excluding stock-based compensation of $149.7 million, net deferred compensation plan expense of $1.1 million, amortization of purchased intangible assets of $0.1 million and $3.6 million for related tax effects non-GAAP net income amounted to $574.6 million or $11.78 per share compared with $599.9 million or $12.41 per share in 2022.RevenuesQuarterly revenues for Monolithic Power were $454 million compared with $460 million a year ago. The top line surpassed the Zacks Consensus Estimate by 0.4%.For 2023, the company experienced a 1.5% top-line expansion, with net sales increasing to $1,821.1 million from $1,794.1 million in 2022. Despite revenue decline in the Industrial, Communications and Consumer markets, healthy growth trends in the Automative, Enterprise Data and Storage and Computing segments positively impacted the top-line performance.During the quarter, Storage and Computing revenues decreased to $117.3 million from $120.8 million in the prior-year quarter. For 2023, revenues grew to $491.1 million from $452.5 million in 2022. This 8.5% increase was primarily driven by higher sales of products for enterprise notebooks and storage applications. In the fourth quarter, Enterprise data saw massive growth of $128.8 million compared with $68.4 million in the prior-year quarter. For 2023, revenues from the segment increased 28.5% to $323 million. Increased sales of power management solutions for AI applications contributed to the impressive growth.Revenues from the Automative segment grew 31.5% to $394.7 million in 2023 from $300 million in 2022. The growth was primarily attributable to increased sales of highly integrated applications supporting advanced driver assistance systems, the digital cockpit and lighting applications. For the fourth quarter, it fell to $89.7 million from $97.3 million a year ago. As 4G and 5G infrastructure sales decreased, the Communications segment witnessed a decline of 18.5% to 204.9 million year over year for 2023. It recorded revenues of $40.9 million in the fourth quarter compared with $64.2 million in the prior-year quarter.In the December quarter, Industrial revenues were down to $33.3 million from $56 million in previous year's quarter. It fell 21.2% year over year to $172.7 million in 2023 from $219.1 million in 2022. The drop reflected lower sales in applications for industrial automation, security and power sources. Revenues from the Consumer segment witnessed a 26.6% decline to $234.7 million year over year in 2023. For the quarter, revenues were $43.7 million compared with $53 million in prior year quarter.By product family, revenues in DC to DC surged to $427.8 million in the fourth quarter from $432.5 million in the prior-year quarter. The year’s revenues increased to $1,718.6 million from $1,696.5 million in 2022. For the fourth quarter, Lighting Control revenues were marginally down to $26.1 million from $27.5 million. However, 2023’s revenues totaled $102.4 million compared with $97.5 million in 2022.Story continuesOther DetailsNon-GAAP gross margin contracted 280 basis points from the year-ago quarter to 55.7%. The reduction was mainly due to the sales mix. Non-GAAP operating expenses were $96.7 million, up from $94.8 million in the prior-year quarter. Non-GAAP operating income fell 10.3% year over year to $156.1 million.Cash Flow & LiquidityAs of Dec 31, 2023, cash and cash equivalents amounted to $527.8 million and long-term liabilities were $88.6 million compared with respective tallies of $288.6 million and $73.4 million as of Dec 31, 2022.OutlookMPWR remains cautious about near-term business conditions as competition in the supply chain persists. For the first quarter of 2024, the company projects revenues within the range of $437 million to $457 million. Non-GAAP gross margin is estimated between 55.4% and 56.0%. On a non-GAAP basis, operating expenses are expected to be between $101.8 million and $103.8 million.How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended upward during the past month.VGM ScoresCurrently, Monolithic has an average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. Following the exact same course, the stock was allocated a grade of F on the value side, putting it in the fifth quintile for this investment strategy.Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Monolithic has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerMonolithic is part of the Zacks Semiconductor - Analog and Mixed industry. Over the past month, M/A-Com (MTSI), a stock from the same industry, has gained 19.5%. The company reported its results for the quarter ended December 2023 more than a month ago.M/A-Com reported revenues of $157.15 million in the last reported quarter, representing a year-over-year change of -12.7%. EPS of $0.58 for the same period compares with $0.81 a year ago.For the current quarter, M/A-Com is expected to post earnings of $0.58 per share, indicating a change of -26.6% from the year-ago quarter. The Zacks Consensus Estimate has changed -1.1% over the last 30 days.The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for M/A-Com. Also, the stock has a VGM Score of F.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 reportMonolithic Power Systems, Inc. (MPWR) : Free Stock Analysis ReportMACOM Technology Solutions Holdings, Inc. (MTSI) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why Is Monolithic (MPWR) Up 4.1% Since Last Earnings Report?

https://finance.yahoo.com/news/why-monolithic-mpwr-4-1-163052081.html

19260c40-073c-3e90-858c-3fd5e4707c86

MPWR

Artisan Partners, an investment management company, released its “Artisan Small Cap Fund” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. The portfolio had a positive absolute return in Q4 but underperformed the Russell 2000 Growth Index due to security selection, particularly in the healthcare and information technology sectors. In the fourth quarter, its Investor Class fund ARTSX returned 9.18%, Advisor Class fund APDSX posted a return of 9.26%, and Institutional Class fund APHSX returned 9.28%, compared to a return of 12.75% for the Russell 2000 Growth Index. In addition, please check the fund’s top five holdings to know its best picks in 2023.Artisan Small Cap Fund featured stocks like Monolithic Power Systems, Inc. (NASDAQ:MPWR) in the Q4 2023 investor letter. Headquartered in Kirkland, Washington, Monolithic Power Systems, Inc. (NASDAQ:MPWR) designs and develops semiconductor-based power electronics solutions. On March 8, 2024, Monolithic Power Systems, Inc. (NASDAQ:MPWR) stock closed at $732.21 per share. One-month return of Monolithic Power Systems, Inc. (NASDAQ:MPWR) was 0.32%, and its shares gained 50.57% of their value over the last 52 weeks. Monolithic Power Systems, Inc. (NASDAQ:MPWR) has a market capitalization of $35.63 billion.Artisan Small Cap Fund stated the following regarding Monolithic Power Systems, Inc. (NASDAQ:MPWR) in its fourth quarter 2023 investor letter:"Among our top contributors in Q4 were Wingstop, Monolithic Power Systems, Inc. (NASDAQ:MPWR) and Ascendis. Monolithic Power Systems designs analog power-management chips for a wide variety of industrial and consumer devices. The company is executing well, as its customers convert their analog, digital and power semiconductor chips into the company’s single-chip design, which is energy efficient and priced lower than peers. While we acknowledge certain areas of the business may be a source of weakness in the near term, recent earnings results indicated that the data center and automotive areas of the business continue to deliver solid results. We trimmed the position due to market cap. We first purchased Monolithic Power at the beginning of 2018 when it was a $4.8 billion company. After a successful multiyear campaign, the company has grown to a market cap in excess of $30 billion and is outgrowing our small-cap mandate."Story continuesAn engineer examining a DC to DC integrated circuit board, looking for any flaws.Monolithic Power Systems, Inc. (NASDAQ:MPWR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Monolithic Power Systems, Inc. (NASDAQ:MPWR) was held by 35 hedge fund portfolios, up from 29 in the previous quarter, according to our database.We discussed Monolithic Power Systems, Inc. (NASDAQ:MPWR) in another article and shared the list of most valuable semiconductor companies in the world. In addition, please check out our hedge fund investor letters Q4 2023 page for more investor letters from hedge funds and other leading investors. Suggested Articles:10 Biotech Stocks with Huge PotentialJim Cramer’s 10 Latest Stock Picks This Week12 Best American Stocks To Buy In 2024Disclosure: None. This article is originally published at Insider Monkey.

Insider Monkey

Solid Execution Pushed Monolithic Power Systems (MPWR) in Q4

https://finance.yahoo.com/news/solid-execution-pushed-monolithic-power-113335194.html

71f69dfb-e346-3d1e-878d-939fdb46515c

MRK

By Robin Respaut and Dan LevineFeb 23 (Reuters) - The attorney general for one of the most populous U.S. states this week urged federal drug regulators to address safety risks associated with the widely used asthma and allergy medicine Singulair, saying current warnings on the drug's packaging are insufficient, particularly for children.In a letter dated on Wednesday, the New York state attorney general's office urged the U.S. Food and Drug Administration to further investigate and warn consumers and healthcare providers about harmful neuropsychiatric side effects of Singulair, also known by its generic name montelukast.The office told the FDA that the effects of Singulair on children are a "particularly urgent concern in light of the national youth mental health crisis plaguing our state."FDA spokesperson Chanapa Tantibanchachai on Friday said the agency would respond directly to Attorney General Letitia James. A spokesperson for Merck & Co spinoff Organon, which currently markets Singulair, did not immediately respond to a request for comment.The letter cited a report from Reuters last year that found the FDA had received thousands of reports of patients, including many children, experiencing depression, suicidal thoughts and behaviors, or other psychiatric problems after taking Singulair or generic montelukast, since the drug was launched by Merck over 25 years ago.The Reuters report also detailed lawsuits alleging Merck knew from its early research that the drug could impact the brain and that it minimized the potential for psychiatric problems in statements to regulators.In 2020, the FDA added its most serious warning, known as a "black box," to the drug's label, describing serious neuropsychiatric events reported by patients taking the medicine.The AG's office asserted that four years after the warning was added to the drug's label, the prevalence of adverse mental health events, including suicide, continued to be widely reported disproportionately for pediatric patients, and that many healthcare professionals and patients are still unaware of the potential serious side effects.The AG urged the FDA to investigate whether the risk of Singulair's adverse side effects outweigh its benefits for pediatric patients, and to notify healthcare providers of the drug's safety risks to minors. The AG's office also suggested the FDA encourage providers to consider alternative FDA-approved medications for asthma and allergies in children and adolescents.Singulair, one of the best-selling drugs in U.S. history, provided Merck with about $50 billion in revenue, company disclosures show. Millions of prescriptions of the drug have also been written for generic versions of Singulair. (Reporting by Dan Levine and Robin Respaut; Editing by Bill Berkrot)

Reuters

New York attorney general urges stronger safety warning on asthma drug Singulair

https://finance.yahoo.com/news/york-attorney-general-urges-stronger-222151518.html

1a95cc9b-0a54-3f81-9c07-66eb1e27d2c6

MRK

In this article, we discuss 14 best S&P 500 dividend stocks to invest in 2024. You can skip our detailed analysis of dividend stocks in the S&P 500 and their performance over the years, and go directly to read 5 Best S&P 500 Dividend Stocks To Invest In 2024. In 2023, despite the presence of higher interest rates, consumers remained unfazed, and investors displayed more optimism than apprehension, largely fueled by the excitement surrounding advancements in artificial intelligence (AI). Consequently, the S&P 500 experienced a remarkable surge, gaining over 24% last year. This surge was primarily attributed to the dominance of what has been dubbed the "Magnificent Seven." These seven major companies, which include Amazon.com, Inc. (NASDAQ:AMZN), Apple Inc. (NASDAQ:AAPL), and NVIDIA Corporation (NASDAQ:NVDA), played a pivotal role in driving the S&P 500's performance, contributing significantly to its overall returns. On the flip side, a staggering 72% of stocks failed to match the performance of the S&P 500 index, setting a new record for underperformance. Additionally, dividend-paying stocks experienced a downturn in 2023, paving the way for the dominance of technology equities. Despite this, the stock market returns throughout the year were both exceptional and notably robust in comparison to historical trends.Despite their recent lackluster performance, dividends remain a crucial aspect of returns for equity investors and have garnered considerable attention in capital markets research. The appeal of dividend-paying stocks is substantial, and rightfully so as they have the potential to significantly enhance long-term investment outcomes. This general observation has been well-documented across various periods and global markets. For instance, one study analyzed the components contributing to total equity returns of U.S. stocks spanning from 1802 to 2002. It revealed that dividends, along with real growth in dividends, constituted a substantial portion, accounting for 5.8% of the total annualized return of 7.9% over 200 years. Another study, conducted from a global perspective by researchers at the London Business School, examined data from 1900 to 2005 across 17 countries. It found that the real return averaged around 5%, with an average dividend yield of 4.5% during that timeframe. These findings provide compelling evidence for the significance of dividends for long-term investors.Story continuesYet another report from S&P Dow Jones Indices provided insight into the enduring impact of dividend-paying equities over the long term. This report emphasized that since 1926, dividends have played a significant role, contributing roughly 32% of the total return for the S&P 500, with capital appreciations making up the remaining 68%. Hence, both sustainable dividend income and the potential for capital appreciation are key considerations for forming expectations regarding total returns. Furthermore, the growth of dividends proves to be beneficial for investors. Over an extended period, the S&P 500 Dividend Aristocrats, which monitors the performance of companies with 25 or more consecutive years of dividend growth, has surpassed the S&P 500 index while exhibiting lower volatility, indicating higher risk-adjusted returns. The S&P 500 Dividend Aristocrats' ability to mitigate losses can be observed through its upside and downside capture ratios. According to a report by S&P Dow Jones Indices, it has outperformed the S&P 500 in down months 69.34% of the time and in up months 43.61% of the time from December 29, 1989, to July 31, 2023. Additionally, it's worth noting that the S&P 500 Dividend Aristocrats experienced lower drawdown levels compared to the benchmark index.Considering these points, let's explore some of the top S&P 500 dividend-paying stocks.14 Best S&P 500 Dividend Stocks To Invest In 2024Image by Sergei Tokmakov Terms.Law from PixabayOur Methodology: To create this list, we first examined the S&P 500 stocks based on their weight in the index and picked the top 25 stocks that consistently distribute dividends to their shareholders. Among these, we chose 13 stocks that garnered the most attention from hedge fund investors by the conclusion of Q4 2023, using data from Insider Monkey’s database. The stocks are ranked in ascending order of the number of hedge funds having stakes in them. Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here).14. The Home Depot, Inc. (NYSE:HD)Number of Hedge Fund Holders: 70The Home Depot, Inc. (NYSE:HD) is a multinational home improvement retailer. It operates a chain of retail stores that offer a wide range of products and services for home improvement, construction, and renovation projects. On February 20, the company declared a 7.7% hike in its quarterly dividend to $2.25 per share. Through this increase, the company stretched its dividend growth streak to 14 years, which makes HD one of the best dividend stocks on our list. The stock's dividend yield on February 26 came in at 2.42%.At the end of Q4 2023, 70 hedge funds tracked by Insider Monkey reported having stakes in The Home Depot, Inc. (NYSE:HD), compared with 76 in the previous quarter. The consolidated value of these stakes is nearly $6 billion.13. The Procter & Gamble Company (NYSE:PG)Number of Hedge Fund Holders: 71The Procter & Gamble Company (NYSE:PG) is a multinational consumer goods corporation. It manufactures and sells a wide range of branded consumer packaged goods, including personal care products, grooming products, household cleaning agents, baby care products, and health care products. It currently pays a quarterly dividend of $0.9407 per share and has a dividend yield of 2.34%, as of February 26. With a dividend growth streak of 67 years, PG is one of the best S&P 500 dividend stocks on our list.As of the close of Q4 2023, 71 hedge funds in Insider Monkey's database owned stakes in The Procter & Gamble Company (NYSE:PG), compared with 75 in the preceding quarter. The collective value of these stakes is roughly $6 billion. Among these hedge funds, Fisher Asset Management was the company's leading stakeholder in Q4.12. Broadcom Inc. (NASDAQ:AVGO)Number of Hedge Fund Holders: 91Broadcom Inc. (NASDAQ:AVGO) is a global technology company that designs, develops, and supplies a broad range of semiconductor and infrastructure software solutions. The company currently pays a quarterly dividend of $5.25 per share, having raised it by 14% in December 2023. It has been growing its dividends consistently for the past 13 years, which makes AVGO one of the best dividend stocks on our list. As of February 26, the stock has a dividend yield of 1.62%.The number of hedge funds tracked by Insider Monkey owning stakes in Broadcom Inc. (NASDAQ:AVGO) grew to 91 in Q4 2023, from 87 in the previous quarter. These stakes are collectively valued at over $8.8 billion.11. Bank of America Corporation (NYSE:BAC)Number of Hedge Fund Holders: 96Bank of America Corporation (NYSE:BAC) is one of the largest financial institutions in the US and globally. It operates as a diversified financial services company, offering a wide range of banking and financial products and services to its consumers. On January 24, the company declared a quarterly dividend of $0.24 per share, which was in line with its previous dividend. The company has a 24-year run of paying regular dividends to shareholders, which makes BAC one of the best dividend stocks on our list. As of February 26, the stock has a dividend yield of 2.83%.Bank of America Corporation (NYSE:BAC) ended the fourth quarter with 96 hedge fund positions, up from 88 in the previous quarter, according to Insider Monkey's database. The consolidated value of these stakes is nearly $40 billion. With over 1 billion shares, Warren Buffett's Berkshire Hathaway was the company's leading stakeholder in Q4.10. Merck & Co., Inc. (NYSE:MRK)Number of Hedge Fund Holders: 98Merck & Co., Inc. (NYSE:MRK) is next on our list of the best S&P 500 dividend stocks. The pharmaceutical and medical device company currently offers a quarterly dividend of $0.77 per share and has a dividend yield of 2.38%, as of February 26. The company has been rewarding shareholders with growing dividends for the past 13 years.Merck & Co., Inc. (NYSE:MRK) saw growth in hedge fund positions at the end of Q4 2023, as 98 funds owned stakes in the company, up from 85 in the previous quarter, according to Insider Monkey's database. The overall value of these stakes is over $7.16 billion.9. Oracle Corporation (NYSE:ORCL)Number of Hedge Fund Holders: 100Oracle Corporation (NYSE:ORCL) is a multinational technology company that specializes in developing and marketing enterprise software products, cloud computing solutions, and hardware systems. The company pays a quarterly dividend of $0.40 per share and has raised its dividends for eight years in a row. The stock's dividend yield on February 26 came in at 1.43%.Oracle Corporation (NYSE:ORCL) was a part of 100 hedge fund portfolios at the end of Q4 2023, jumping from 88 in the preceding quarter, as per Insider Monkey's database. The stakes owned by these hedge funds have a collective value of over $6.4 billion. With over 18.5 million shares, First Eagle Investment Management was the company's leading stakeholder in Q4.8. Eli Lilly and Company (NYSE:LLY)Number of Hedge Fund Holders: 102Eli Lilly and Company (NYSE:LLY) is a multinational pharmaceutical company that focuses on the discovery, development, manufacturing, and marketing of innovative pharmaceutical products to address various medical conditions and diseases. The company's current quarterly dividend comes in at $1.30 per share for a dividend yield of 0.67%, as of February 26. It is one of the best dividend stocks on our list as the company maintains a 10-year streak of consistent dividend growth.At the end of Q4 2023, 102 hedge funds tracked by Insider Monkey reported having stakes in Eli Lilly and Company (NYSE:LLY), which remained unchanged from the previous quarter. The collective value of these stakes is more than $11 billion.7. JPMorgan Chase & Co. (NYSE:JPM)Number of Hedge Fund Holders: 103An American financial services company, JPMorgan Chase & Co. (NYSE:JPM) pays a quarterly dividend of $1.05 per share. During the fourth quarter of 2023, the company returned $3.1 billion to shareholders through dividends, which makes JPM one of the best dividend stocks on our list. The stock offers a dividend yield of 2.28%, as of February 26.Insider Monkey's database of Q4 2023 indicated that 103 hedge funds owned stakes in JPMorgan Chase & Co. (NYSE:JPM), compared with 109 in the preceding quarter. The total value of these stakes is more than $9 billion. Ken Fisher's Fisher Asset Management was the company's leading stakeholder in Q4.6. Thermo Fisher Scientific Inc. (NYSE:TMO)Number of Hedge Fund Holders: 111Thermo Fisher Scientific Inc. (NYSE:TMO) ranks sixth on our list of the best dividend stocks in the S&P 500. The multinational biotech and life sciences company declared an 11.4% hike in its quarterly dividend to $0.39 per share. Through this increase, the company achieved its seventh annual consecutive dividend hike. The stock has a dividend yield of 0.28%, as of February 26.As of the end of Q4 2023, 111 hedge funds tracked by Insider Monkey owned stakes in Thermo Fisher Scientific Inc. (NYSE:TMO), up from 109 in the previous quarter. The collective value of these stakes is over $10.3 billion. Click to continue reading and see 5 Best S&P 500 Dividend Stocks To Invest In 2024.  Suggested articles:Bill Gates’ 16 Dividend Stocks To BuyJim Cramer Says Do Not Buy These 11 StocksKen Fisher Portfolio: 12 Biggest PositionsDisclosure. None. 14 Best S&P 500 Dividend Stocks To Invest In 2024 is originally published on Insider Monkey.

Insider Monkey

14 Best S&P 500 Dividend Stocks To Invest In 2024

https://finance.yahoo.com/news/14-best-p-500-dividend-181946918.html

7f4addf3-4092-3849-bc90-6e92ab735dd7

MRK

Merck's (NYSE:MRK) stock is up by a considerable 18% over the past three months. However, we decided to pay close attention to its weak financials as we are doubtful that the current momentum will keep up, given the scenario. Specifically, we decided to study Merck's ROE in this article.Return on equity or ROE is an important factor to be considered by a shareholder because it tells them how effectively their capital is being reinvested. In simpler terms, it measures the profitability of a company in relation to shareholder's equity. View our latest analysis for Merck How Is ROE Calculated?ROE can be calculated by using the formula:Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' EquitySo, based on the above formula, the ROE for Merck is:1.0% = US$377m ÷ US$38b (Based on the trailing twelve months to December 2023).The 'return' is the yearly profit. Another way to think of that is that for every $1 worth of equity, the company was able to earn $0.01 in profit.What Has ROE Got To Do With Earnings Growth?So far, we've learned that ROE is a measure of a company's profitability. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don’t share these attributes.Merck's Earnings Growth And 1.0% ROEIt is hard to argue that Merck's ROE is much good in and of itself. Even when compared to the industry average of 18%, the ROE figure is pretty disappointing. Therefore, Merck's flat earnings over the past five years can possibly be explained by the low ROE amongst other factors.Next, on comparing with the industry net income growth, we found that Merck's reported growth was lower than the industry growth of 3.8% over the last few years, which is not something we like to see.Story continuespast-earnings-growthThe basis for attaching value to a company is, to a great extent, tied to its earnings growth. It’s important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). Doing so will help them establish if the stock's future looks promising or ominous. If you're wondering about Merck's's valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry.Is Merck Efficiently Re-investing Its Profits?Merck's very high three-year median payout ratio of 110% suggests that the company is paying its shareholders more than what it is earning. The absence in growth is therefore not surprising. Its usually very hard to sustain dividend payments that are higher than reported profits. This is quite a risky position to be in. You can see the 5 risks we have identified for Merck by visiting our risks dashboard for free on our platform here.In addition, Merck has been paying dividends over a period of at least ten years suggesting that keeping up dividend payments is way more important to the management even if it comes at the cost of business growth. Upon studying the latest analysts' consensus data, we found that the company's future payout ratio is expected to drop to 35% over the next three years. The fact that the company's ROE is expected to rise to 38% over the same period is explained by the drop in the payout ratio.SummaryOn the whole, Merck's performance is quite a big let-down. Specifically, it has shown quite an unsatisfactory performance as far as earnings growth is concerned, and a poor ROE and an equally poor rate of reinvestment seem to be the reason behind this inadequate performance. Having said that, looking at the current analyst estimates, we found that the company's earnings are expected to gain momentum. To know more about the company's future earnings growth forecasts take a look at this free report on analyst forecasts for the company to find out more.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Merck & Co., Inc.'s (NYSE:MRK) Stock's Been Going Strong: Could Weak Financials Mean The Market Will Correct Its Share Price?

https://finance.yahoo.com/news/merck-co-inc-nyse-mrk-140010091.html

fb646c59-49d6-3853-8250-963189cb8693

MRK

Moderna (MRNA) shares are trading higher Monday after the biotechnology company revealed the start of a clinical trial for a skin cancer treatment. Moderna has partnered with the pharmaceutical giant Merck (MRK) to test the drug, in a bid to diversify beyond its core vaccine business.Yahoo Finance's Julie Hyman and Brian Sozzi breaks down the details.For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.Editor's note: This article was written by Angel SmithVideo TranscriptBRIAN SOZZI: Moderna shares on an upswing as the drugmaker starts a mid-stage study to test its experimental skin cancer treatment. The trial is in collaboration with Merck. I remember we talked to Stéphane Bancel, the CEO of Moderna, at the World Economic Forum, and he was talking a little bit about these, their pushes into cancer, but really trying to, I think, broaden this platform away from just vaccines.JULIE HYMAN: Yeah, just vaccines, but also, just the COVID vaccine. I mean, they have to broaden it out to more products here. The stock is up about 13% year to date, but it's down about 24% over the past year, because investors want that show-me story, right? They want to see more vaccines. So, the company is trying to launch an RSV vaccine. That's for that virus that affects older adults, affects kids as well.And then, they are also trying a combination flu and COVID vaccine. That's something in the pipeline. And then, finally, there's this cancer [INAUDIBLE] vaccine, the skin cancer vaccine. They're developing it in partnership with Merck. So, that's kind of what's on the docket for them.BRIAN SOZZI: I was looking at that stock chart on Moderna. Well, look how far it has not-- has really come off its highs. And maybe that's where investors-- if this AI trade is not going to work, maybe they do go back to health care and start kicking the tires on Moderna.JULIE HYMAN: I mean, they never went anywhere when it came to Eli Lilly.

Yahoo Finance Video

Moderna stock pops on launch of skin cancer treatment trial

https://finance.yahoo.com/video/moderna-stock-pops-launch-skin-205307105.html

2ca5fa4b-3b12-30fc-a29e-a032cf70c8d8

MRNA

The agency’s vaccine advisory committee could offer clues about an eventual call on how often the vaccines are needed.Continue reading

Barrons.com

How Often Do You Need an RSV Shot? A CDC Call Has High Stakes for GSK, Moderna.

https://finance.yahoo.com/m/c8a46da5-a72d-3574-8ce5-72914a77d380/how-often-do-you-need-an-rsv.html

c8a46da5-a72d-3574-8ce5-72914a77d380

MRNA

Moderna shares were trading lower after a Wall Street firm turned bearish on the vaccine maker days after it issued strong quarterly results. HSBC Global Research analysts led by Yifeng Liu downgraded Moderna to Reduce from Hold but raised their price target to $86 from $75 in a Monday report. Moderna stock was down 3.8% to $92.78 in early afternoon trading, while Pfizer another maker of vaccines for Covid-19, was off 2%.Continue reading

Barrons.com

Moderna’s Earnings Surprised the Street. Why One Analyst Says to Sell.

https://finance.yahoo.com/m/43664a70-7b18-3a5a-841b-65ca3448db76/moderna%E2%80%99s-earnings-surprised.html

43664a70-7b18-3a5a-841b-65ca3448db76

MRNA

Moderna stock surged Monday, nearing its first breakout in over a year, after launching a third study of its cancer vaccine.Continue reading

Investor's Business Daily

Moderna Nears Its First Breakout In Over A Year After Launching Third Cancer Vaccine Test

https://finance.yahoo.com/m/c88bcc75-936e-34b7-8357-2136d66b53a9/moderna-nears-its-first.html

c88bcc75-936e-34b7-8357-2136d66b53a9

MRNA

Moderna (MRNA) shares are trading higher Monday after the biotechnology company revealed the start of a clinical trial for a skin cancer treatment. Moderna has partnered with the pharmaceutical giant Merck (MRK) to test the drug, in a bid to diversify beyond its core vaccine business.Yahoo Finance's Julie Hyman and Brian Sozzi breaks down the details.For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.Editor's note: This article was written by Angel SmithVideo TranscriptBRIAN SOZZI: Moderna shares on an upswing as the drugmaker starts a mid-stage study to test its experimental skin cancer treatment. The trial is in collaboration with Merck. I remember we talked to Stéphane Bancel, the CEO of Moderna, at the World Economic Forum, and he was talking a little bit about these, their pushes into cancer, but really trying to, I think, broaden this platform away from just vaccines.JULIE HYMAN: Yeah, just vaccines, but also, just the COVID vaccine. I mean, they have to broaden it out to more products here. The stock is up about 13% year to date, but it's down about 24% over the past year, because investors want that show-me story, right? They want to see more vaccines. So, the company is trying to launch an RSV vaccine. That's for that virus that affects older adults, affects kids as well.And then, they are also trying a combination flu and COVID vaccine. That's something in the pipeline. And then, finally, there's this cancer [INAUDIBLE] vaccine, the skin cancer vaccine. They're developing it in partnership with Merck. So, that's kind of what's on the docket for them.BRIAN SOZZI: I was looking at that stock chart on Moderna. Well, look how far it has not-- has really come off its highs. And maybe that's where investors-- if this AI trade is not going to work, maybe they do go back to health care and start kicking the tires on Moderna.JULIE HYMAN: I mean, they never went anywhere when it came to Eli Lilly.

Yahoo Finance Video

Moderna stock pops on launch of skin cancer treatment trial

https://finance.yahoo.com/video/moderna-stock-pops-launch-skin-205307105.html

2ca5fa4b-3b12-30fc-a29e-a032cf70c8d8

MRO

Marathon Oil Corporation (NYSE:MRO) Q4 2023 Earnings Call Transcript February 22, 2024Marathon Oil Corporation isn’t one of the 30 most popular stocks among hedge funds at the end of the third quarter (see the details here).Operator: Good morning and welcome to the Marathon Oil 4Q and Full Year 2023 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Guy Baber, Vice President, Investor Relations. Please go ahead, sir.Guy Baber: Thank you very much and thanks as well to everyone for joining us on our call this morning. Yesterday, after the close, we issued a press release, a slide presentation and investor packet that address our fourth quarter 2023 results and our full year 2024 outlook. Those documents can be found on our website at marathonoil.com. Joining me on today's call are Lee Tillman, our Chairman, President and CEO; Dane Whitehead, our Executive VP and CFO; Pat Wagner, Executive VP of Corporate Development and Strategy; and Mike Henderson, our Executive VP of Operations. As a reminder, today's call will contain forward-looking statements subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements.A large tanker ship and manys small boats at a port, illustrating the vast maritime activities of the company.I'll refer everyone to the cautionary language included in the press release and presentation materials as well as the risk factors described in our SEC filings. We'll also reference certain non-GAAP terms in today's discussion, which have been reconciled and defined in our earnings materials. So with that, I'll turn the call over to Lee and the rest of the team who will provide prepared remarks. After the completion of their prepared remarks, we'll move to a question-and-answer session. And in the interest of time, we ask that you limit yourselves to one question and a follow-up. Lee?Story continuesLee Tillman: Thank you, Guy, and good morning to everyone joining us on our call today. As I always start these calls, I want to first and foremost thank our employees and contractors for their dedication and hard work in delivering the excellent results we have the privilege of discussing today. And I especially want to thank our employees and contractors for their enduring commitment to our core values. On that front, we have a few notable accomplishments to highlight today. First, we delivered a record safety year in 2023 as measured by total recordable incident rate for both our employees and our contractors. This builds on a multi-year track record of top quartile TRIR in our industry. Providing a safe, healthy, and secure workplace remains a top priority for us.With our safety performance a key element of our executive and employee compensation scorecards. Second, we continue to make progress in reducing our natural gas flaring, improving our total company gas capture to 99.5% in 2023, a new high for our company. We'll continue to work hard on our journey of continuous improvement, moving toward our ultimate objective of zero routine flaring. And third, we achieved our 2025 GHG intensity reduction goal of 50% relative to 2019 levels a full two years ahead of schedule. Consistent with our objective to help meet the world's growing demand for oil and natural gas, while achieving the highest standards of environmental excellence. We are a result driven company, but how we deliver those results matters and I couldn't be more proud of our people and what they've accomplished.See also 20 Most Valuable Digital Health Companies In The US and 15 Tips and Tricks To Build Wealth Without Buying Real Estate.To continue reading the Q&A session, please click here.

Insider Monkey

Marathon Oil Corporation (NYSE:MRO) Q4 2023 Earnings Call Transcript

https://finance.yahoo.com/news/marathon-oil-corporation-nyse-mro-141803469.html

0fa03089-d8e1-349f-9245-170c5f07c95f

MRO

Marathon Oil Corporation MRO reported fourth-quarter 2023 adjusted net income per share of 69 cents, beating the Zacks Consensus Estimate of 62 cents. The outperformance reflects strong domestic oil and gas production.However, the company’s bottom line fell from the year-ago adjusted profit of 88 cents due to weaker oil realizations.The company reported revenues of $1.7 billion, which came 2% above the consensus mark but fell 2.4% from the year-ago sales.Marathon Oil Corporation Price, Consensus and EPS SurpriseMarathon Oil Corporation Price, Consensus and EPS SurpriseMarathon Oil Corporation price-consensus-eps-surprise-chart | Marathon Oil Corporation Quote Segmental PerformanceThis Texas-based energy explorer’s total net production (from U.S. and International units) in the quarter under review came in at 404,000 barrels of oil equivalent per day (BOE/d) compared with 333,000 BOE/d in the year-ago period.U.S. E&P: This U.S. upstream unit reported an income of $468 million, down from $510 million in the year-ago period due to lower commodity price realizations and higher costs, partly offset by stronger production. We modeled the segment income at $441.3 million.Marathon Oil’s average realized liquids price (crude oil and condensate) of $77.28 per barrel were 8.3% lower than the year-earlier level of $84.29 and narrowly missed our projection of $77.80. Additionally, natural gas liquids’ average price realizations decreased 19.6% to $20.92 a barrel. Finally, average realized natural gas prices plunged 52.9% year over year to $2.32 per thousand cubic feet and missed our estimate of $2.84.Meanwhile, production costs were $6.51 per BOE, representing a 3.5% year-over-year rise.Net production of 352,000 BOE/d was up 26.6% from fourth-quarter 2022. Total U.S. output, which came ahead of our projection of 330,000 BOE/d, comprised approximately 56% oil, or 198,000 barrels per day (bpd).Significantly higher year-over-year production from Eagle Ford favored the company’s quarterly performance. The Eagle Ford region recorded an average production of 144,000 BOE/d, surging 58.2% from the fourth-quarter 2022 level, while output from Bakken was 118,000 BOE/d compared with 94,000 BOE/d in the year-ago quarter. Meanwhile, the Oklahoma output came in at 49,000 BOE/d, just down from the year-ago level of 50,000 BOE/d.International E&P: The segment, which explores and produces oil and gas in Equatorial Guinea, reported earnings of $51 million compared with $129 million in the year-ago period and our projection of $33.5 million. These results could be primarily blamed on lower output and liquid prices.Marathon reported production available for sale of 52,000 BOE/d, down from 55,000 Boe/d in fourth-quarter 2022 and below our projection of 67,000 BOE/d.Marathon’s average realized liquids prices (crude oil and condensate) of $47.43 per barrel reflected a 20% deterioration from the year-earlier quarter. Natural gas and natural gas liquids’ average price realizations came in at 24 cents per thousand cubic feet and $1 a barrel, respectively, the same as the corresponding period of 2022.Story continues Financial PositionTotal costs in the quarter were $1.2 billion, up 18.9% from the prior-year period and exceeded our expectation by 8.5%. Marathon Oil reported an adjusted operating cash flow of $1.2 billion for the fourth quarter, up 18.9% from a year ago.As of Dec 31, 2023, it had cash and cash equivalents worth $155 million and long-term debt of $3.4 billion. The debt-to-capitalization ratio of the company was 23.2.Marathon Oil spent $360 million in capital and exploratory expenditures during the quarter and raked in $624 million in adjusted free cash flow. This Zacks Rank #3 (Hold) company also executed $352 million in share repurchases during the period.You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.2024 GuidanceMarathon has budgeted its capital spending between $1.9 billion and $2.1 billion this year. Meanwhile, MRO continues to prioritize shareholder returns over production growth. The company is targeting production between 380,000 BOE/d and 400,000 BOE/d. Further, Marathon expects oil volumes in the band of 185,000-195,000 barrels per day.Some Key E&P EarningsWhile we have discussed Marathon Oil’s fourth-quarter results in detail, let’s see how some other upstream companies have fared this earnings season.One of the world’s largest independent oil and gas producers, ConocoPhillips COP, reported fourth-quarter 2023 adjusted earnings per share of $2.40, beating the Zacks Consensus Estimate of $2.08. The bottom line, however, declined from the prior-year quarter’s $2.71 per share. ConocoPhillips’ higher oil equivalent production volumes — up 8.2% year over year — led to a better-than-expected bottom line. The positives were partially offset by lower average realized oil equivalent prices.As of Dec 31, 2023, ConocoPhillips had $5.6 billion in cash and cash equivalents. COP’s total long-term debt was $17.9 billion, while it had a short-term debt of $1.1 billion. Capital expenditure and investments totaled $2.9 billion. Net cash provided by operating activities was $5.3 billion.Natural gas producer EQT Corporation EQT reported fourth-quarter 2023 adjusted earnings from continuing operations of 48 cents per share, in line with the Zacks Consensus Estimate. The bottom line increased from the year-ago quarter’s adjusted earnings of 42 cents. EQT’s better-than-expected profits were driven by higher sales volumes, which increased to 564 billion cubic feet equivalent (Bcfe) from the year-ago quarter’s 458.6 Bcfe.EQT’s adjusted operating cash flow was $774.6 million in the quarter, up from $621.8 million a year ago. Free cash flow in the quarter was $236 million, up from $225.5 million. Total capital expenditure for the company amounted to $538.5 million, up from $398.1 million a year ago. As of Dec 31, 2023, EQT had $81 million in cash and cash equivalents. Net debt was $5.7 billion.Another U.S. energy operator APA Corporation APA reported fourth-quarter 2023 adjusted earnings of $1.15 per share, missing the Zacks Consensus Estimate of $1.38 and declining from the year-ago adjusted figure of $1.48. APA’s underperformance primarily reflects lower oil and natural gas prices, partly offset by strong production.During the quarter under review, APA generated $1 billion of cash from operating activities while it incurred $520 million in upstream capital expenditures. The company reported an adjusted operating cash flow of $1 billion. It also registered a free cash flow of $292 million, though it dropped from $360 million a year ago. As of Dec 31, APA had approximately $87 million in cash and cash equivalents and $5.2 billion in long-term debt. The debt-to-capitalization ratio of the company was 66.1.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 reportConocoPhillips (COP) : Free Stock Analysis ReportMarathon Oil Corporation (MRO) : Free Stock Analysis ReportAPA Corporation (APA) : Free Stock Analysis ReportEQT Corporation (EQT) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Marathon (MRO) Q4 Earnings Beat on Higher U.S. Production

https://finance.yahoo.com/news/marathon-mro-q4-earnings-beat-143300152.html

5de40516-9627-3a86-90a2-09556d66bdea

MRO

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Marathon Oil (MRO).Marathon Oil currently has an average brokerage recommendation (ABR) of 1.74, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 19 brokerage firms. An ABR of 1.74 approximates between Strong Buy and Buy.Of the 19 recommendations that derive the current ABR, 12 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 63.2% and 5.3% of all recommendations.Check price target & stock forecast for Marathon Oil here>>>While the ABR calls for buying Marathon Oil, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.Story continuesABR Should Not Be Confused With Zacks RankAlthough both Zacks Rank and ABR are displayed in a range of 1-5, they are different measures altogether.The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.Is MRO a Good Investment?Looking at the earnings estimate revisions for Marathon Oil, the Zacks Consensus Estimate for the current year has declined 2.1% over the past month to $2.56.Analysts' growing pessimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates lower, could be a legitimate reason for the stock to plunge in the near term.The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #5 (Strong Sell) for Marathon Oil. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>Therefore, it could be wise to take the Buy-equivalent ABR for Marathon Oil with a grain of salt.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 reportMarathon Oil Corporation (MRO) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Should You Invest in Marathon Oil (MRO) Based on Bullish Wall Street Views?

https://finance.yahoo.com/news/invest-marathon-oil-mro-based-143009022.html

309cf5b9-e1e1-3867-bc16-22344ba51f5c

MRO

Key InsightsInstitutions' substantial holdings in Marathon Oil implies that they have significant influence over the company's share priceThe top 18 shareholders own 50% of the companyOwnership research along with analyst forecasts data help provide a good understanding of opportunities in a stockA look at the shareholders of Marathon Oil Corporation (NYSE:MRO) can tell us which group is most powerful. We can see that institutions own the lion's share in the company with 78% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).Because institutional owners have a huge pool of resources and liquidity, their investing decisions tend to carry a great deal of weight, especially with individual investors. As a result, a sizeable amount of institutional money invested in a firm is generally viewed as a positive attribute.In the chart below, we zoom in on the different ownership groups of Marathon Oil. See our latest analysis for Marathon Oil ownership-breakdownWhat Does The Institutional Ownership Tell Us About Marathon Oil?Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.Marathon Oil already has institutions on the share registry. Indeed, they own a respectable stake in the company. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at Marathon Oil's earnings history below. Of course, the future is what really matters.earnings-and-revenue-growthInstitutional investors own over 50% of the company, so together than can probably strongly influence board decisions. We note that hedge funds don't have a meaningful investment in Marathon Oil. Our data shows that The Vanguard Group, Inc. is the largest shareholder with 12% of shares outstanding. Meanwhile, the second and third largest shareholders, hold 7.9% and 6.6%, of the shares outstanding, respectively.Story continuesLooking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 18 shareholders, meaning that no single shareholder has a majority interest in the ownership.Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are a reasonable number of analysts covering the stock, so it might be useful to find out their aggregate view on the future.Insider Ownership Of Marathon OilThe definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it.Insider ownership is positive when it signals leadership are thinking like the true owners of the company. However, high insider ownership can also give immense power to a small group within the company. This can be negative in some circumstances.Our data suggests that insiders own under 1% of Marathon Oil Corporation in their own names. Being so large, we would not expect insiders to own a large proportion of the stock. Collectively, they own US$42m of stock. In this sort of situation, it can be more interesting to see if those insiders have been buying or selling. General Public OwnershipThe general public-- including retail investors -- own 21% stake in the company, and hence can't easily be ignored. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in sync with other large shareholders.Next Steps:While it is well worth considering the different groups that own a company, there are other factors that are even more important. Be aware that Marathon Oil is showing 4 warning signs in our investment analysis , and 1 of those is a bit unpleasant...But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future.NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Simply Wall St.

Marathon Oil Corporation (NYSE:MRO) is largely controlled by institutional shareholders who own 78% of the company

https://finance.yahoo.com/news/marathon-oil-corporation-nyse-mro-102420026.html

365216b6-7725-3d29-8577-4feb3060da3d

MS

In this article, we discuss 13 best environmental dividend stocks to invest in according to analysts. You can skip our detailed analysis of ESG investing and its prospects, and go directly to read 5 Best Environmental Dividend Stocks To Invest In According To Analysts. Sustainable investing, increasingly gaining traction among investors, represents a pivotal shift in financial markets towards aligning profit motives with environmental, social, and governance (ESG) considerations. A growing number of individuals are becoming attracted to ESG investments for a variety of reasons, ranging from ethical concerns to sound financial decision-making. As per research conducted by deVere Group, over 800 clients revealed that more than half (56%) of investors expressed their intentions to boost their investments in ESG funds in 2024.Despite the increasing popularity of ESG investing, the year 2023 did not fare well for such investment strategies. Investors persisted in withdrawing their investments from sustainable funds during the fourth quarter of 2023. U.S. sustainable funds experienced their initial year of outflows since records began over a decade ago, marking 2023 as their most challenging year to date, according to a report by Morningstar. In the fourth quarter alone, investors withdrew $5 billion from U.S. sustainable funds, contributing to a total outflow of $13 billion throughout the year. This trend was attributed to underperformance, ongoing political scrutiny in the US, and a challenging year for an iShares fund. Moreover, by the end of 2023, the total assets invested in sustainable funds reached $323 billion. This figure indicates a drop of approximately 12% from the previous record high recorded at the end of 2021. However, it also signifies an 18% increase from the lowest point observed in the third quarter of 2022. In contrast, assets within the broader U.S. funds market reached their peak at the end of 2021 but experienced a decline of 5% by the end of 2023.Story continuesThat said, analysts are optimistic about the potential of ESG investing in the foreseeable future. Based on a study conducted by Bloomberg Intelligence, global ESG assets are projected to surpass $53 trillion by 2025, constituting more than a third of the estimated total assets under management of $140.5 trillion. The convergence of factors including the pandemic and the green recovery initiatives in major economies such as the U.S., EU, and China is expected to demonstrate the efficacy of ESG in evaluating a fresh array of financial risks and leveraging capital markets.As discussed previously, there is a growing trend among investors towards ESG investing, primarily due to the reputation of these assets for delivering consistent returns. Contrary to concerns regarding potential conflicts between financial gains and ESG principles, a survey conducted by PwC revealed that nine out of ten asset managers believe that incorporating ESG criteria into their investment approach will enhance overall returns. Moreover, a majority of institutional investors, accounting for 60%, reported experiencing higher performance yields from ESG investments compared to non-ESG alternatives. The survey also noted that investors are willing to pay for ESG performance, as they anticipate the potential for higher returns. Specifically, three-quarters of those surveyed, constituting 78%, expressed their readiness to pay elevated fees for ESG funds.American Tower Corporation (NYSE:AMT), AT&T Inc. (NYSE:T), and Albemarle Corporation (NYSE:ALB) are some of the best companies in the realm of ESG investing. Beyond their financial success, the companies demonstrate a commitment to environmental sustainability by optimizing their operations to minimize energy consumption and carbon footprint. In this article, we will discuss some of the best environmental dividend stocks according to analysts.13 Best Environmental Dividend Stocks To Invest In According To AnalystsChinnapong/Shutterstock.comOur Methodology:For this list, we scanned the holdings of Vanguard ESG U.S. Stock ETF, which is a market capitalization-weighted index composed of large-, mid-, and small-cap stocks of companies located in the United States that are screened for certain environmental, social, and corporate governance (ESG) criteria by the index provider, which is independent of Vanguard. From the index, we picked 13 stocks that pay dividends and have a projected upside potential of over 15% based on analyst price targets. The stocks are ranked according to their upside potential, as of February 23. We have also mentioned hedge fund sentiment for these stocks. Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). That’s why we pay very close attention to this often-ignored indicator.13. S&P Global Inc. (NYSE:SPGI)Upside Potential as of February 23: 15.2%S&P Global Inc. (NYSE:SPGI) is a leading provider of financial market intelligence, including credit ratings, indices, data, and analytics. The company is actively involved in ESG investing both through its own corporate practices and by providing data, analytics, and research to support ESG investing initiatives in the broader financial community.S&P Global Inc. (NYSE:SPGI) currently offers a quarterly dividend of $0.91 per share, having raised it by 1.1% in January this year. Through this increase, the company stretched its annual dividend growth streak to 51 years, which makes SPGI one of the best dividend stocks on our list. The stock's dividend yield on February 23 came in at 0.83%.The number of hedge funds tracked by Insider Monkey owning stakes in S&P Global Inc. (NYSE:SPGI) grew to 82 in Q4 2023, from 78 in the previous quarter. The collective value of these stakes is over $8.88 billion. With over 9 million shares, TCI Fund Management was the company's leading stakeholder in Q4.12. Pfizer Inc. (NYSE:PFE)Upside Potential as of February 23: 15.4%An American biotech and pharmaceutical company, Pfizer Inc. (NYSE:PFE) has committed to reducing its environmental impact by setting targets to decrease greenhouse gas emissions, water usage, and waste generation. The company invests in energy-efficient technologies, sustainable packaging, and renewable energy sources to mitigate its environmental footprint.Pfizer Inc. (NYSE:PFE) is one of the best environmental dividend stocks on our list as the company has been rewarding shareholders with growing dividends for the past 14 consecutive years. The company offers a quarterly dividend of $0.42 per share and has a dividend yield of 6.05%, as recorded on February 23.At the end of Q4 2023, 79 hedge funds tracked by Insider Monkey reported having stakes in Pfizer Inc. (NYSE:PFE), growing from 73 in the preceding quarter. The consolidated value of these stakes is more than $2.21 billion.11. Mid-America Apartment Communities, Inc. (NYSE:MAA)Upside Potential as of February 23: 15.9%Mid-America Apartment Communities, Inc. (NYSE:MAA) is a real estate investment trust company that focuses on the acquisition, development, redevelopment, and management of multifamily apartment communities. It invests in in energy-efficient appliances, lighting, and HVAC systems, as well as implement recycling programs and landscaping practices that minimize water usage and promote biodiversity. The company offers a quarterly dividend of $1.47 per share, having raised it by 5% in December 2023. This was the company's 13th consecutive year of dividend growth, which makes MAA one of the best environmental dividend stocks to buy. As of February 23, the stock has a dividend yield of 4.65%.As of the close of Q4 2023, 23 hedge funds in Insider Monkey's database owned stakes in Mid-America Apartment Communities, Inc. (NYSE:MAA), up from 19 in the previous quarter. These stakes have a total value of more than $524.3 million. Among these hedge funds, Balyasny Asset Management was the company's leading stakeholder in Q4.10. Morgan Stanley (NYSE:MS)Upside Potential as of February 23: 16.4%Morgan Stanley (NYSE:MS) is a global financial services firm that provides a wide range of related services to its consumers. The company offers a range of ESG-focused investment products and solutions to meet the growing demand from clients who seek to align their investments with their values.Morgan Stanley (NYSE:MS), one of the best dividend stocks on our list, has been rewarding shareholders with regular dividends since 1997. It currently offers a quarterly dividend of $0.85 per share and has a dividend yield of 3.93%, as of Februart 23.Morgan Stanley (NYSE:MS) was a part of 56 hedge fund portfolios at the end of Q4 2023, compared with 59 in the previous quarter, as per Insider Monkey's database. The stakes owned by these hedge funds have a total value of over $2.72 billion.9. Becton, Dickinson and Company (NYSE:BDX)Upside Potential as of February 23: 16.5%Becton, Dickinson and Company (NYSE:BDX) is a global medical technology company that specializes in the development, manufacturing, and sale of medical devices, instrument systems, and reagents. The company adheres to stringent regulatory standards and quality management systems to ensure the safety and reliability of its medical devices, instruments, and reagents. This commitment to product safety aligns with ESG principles and contributes to positive health outcomes for patients.On January 23, Becton, Dickinson and Company (NYSE:BDX) declared a quarterly dividend of $0.95 per share, which was in line with its previous dividend. Overall, the company holds a 52-year streak of consistent dividend growth, which makes BDX one of the best environmental dividend stocks on our list. The stock's dividend yield on February 23 came in at 1.54%.At the end of December 2023, 60 hedge funds tracked by Insider Monkey reported having stakes in Becton, Dickinson and Company (NYSE:BDX), which showed growth from 57 in the previous quarter. The collective value of these stakes is over $2.57 billion.8. Realty Income Corporation (NYSE:O)Upside Potential as of February 23: 16.69%With an upside potential of nearly 17%, Realty Income Corporation (NYSE:O) is next on our list of the best dividend stocks. The American real estate investment trust company has been paying regular dividends to shareholders for the past 104 consecutive quarters. Moreover, it has raised its payouts for 29 years in a row. It currently pays a monthly dividend of $0.2565 per share and has a dividend yield of 5.81%, as of February 23.Realty Income Corporation (NYSE:O) is equally dedicated to conducting its business activities in a manner that respects and preserves the environment. As a publicly traded company, it recognizes its corporate responsibilities and strives to fulfill them for the betterment of our stakeholders, which include our shareholders, employees, and the communities we serve.Insider Monkey's database of Q4 2023 indicated that 28 hedge funds owned stakes in Realty Income Corporation (NYSE:O), up from 23 in the previous quarter. The total value of these stakes is over $332.5 million. Among these hedge funds, Millennium Management was the company's largest stakeholder in Q4.7. Microsoft Corporation (NASDAQ:MSFT)Upside Potential as of February 23: 16.8%An American multinational tech company, Microsoft Corporation (NASDAQ:MSFT) is dedicated to environmental sustainability and has set ambitious goals to reduce its carbon footprint and achieve carbon neutrality. Currently, the company pays a quarterly dividend of $0.75 per share and has a dividend yield of 0.73%, as of February 23. It is one of the best dividend stocks on our list as the company holds an 11-year streak of consistent dividend growth.According to Insider Monkey’s database of Q4 2023, 302 hedge funds in Insider Monkey’s database owned stakes in Microsoft Corporation (NASDAQ:MSFT), compared with 306 in the previous quarter. These stakes have a total value of over $87.3 billion.6. Archer-Daniels-Midland Company (NYSE:ADM)Upside Potential as of February 23: 17.04%Archer-Daniels-Midland Company (NYSE:ADM) ranks sixth on our list of the best environmental dividend stocks. The global food processing and commodities trading company recently achieved its 51st consecutive annual dividend growth. It currently pays a quarterly dividend of $0.50 per share and has a dividend yield of 3.74%, as of February 23.Archer-Daniels-Midland Company (NYSE:ADM) prioritizes sustainable sourcing of raw materials, including agricultural commodities such as soybeans, corn, and wheat. The company works with farmers and suppliers to promote sustainable agricultural practices, responsible land management, and biodiversity conservation.At the end of the fourth quarter of 2023, 34 hedge funds tracked by Insider Monkey reported having stakes in Archer-Daniels-Midland Company (NYSE:ADM), compared with 37 in the previous quarter. These stakes are collectively valued at nearly $820 million. Click to continue reading and see 5 Best Environmental Dividend Stocks To Invest In According To Analysts.  Suggested articles:12 Best Rising Penny Stocks To Buy12 Best Gold Stocks Under $2513 Best Buy-the-Dip Stocks To Buy Right NowDisclosure. None. 13 Best Environmental Dividend Stocks To Invest In According To Analysts is originally published on Insider Monkey.

Insider Monkey

13 Best Environmental Dividend Stocks To Invest In According To Analysts

https://finance.yahoo.com/news/13-best-environmental-dividend-stocks-141835353.html

3312bcf2-2bca-31b4-b94d-dae2c6990864

MS

Seventh annual ranking of companies selected by Calvert on a variety of sustainability measures featured in Barron’sWASHINGTON, February 26, 2024--(BUSINESS WIRE)--Calvert Research and Management (Calvert), part of Morgan Stanley Investment Management, today announced the publication of the 100 Most Sustainable U.S. Companies list in Barron’s. The annual list evaluates companies on over 230 environmental, social, and governance (ESG) metrics and ranks them according to their progress against sustainability categories that align to financial materiality."We are proud to announce this year’s list which recognizes companies that are successfully addressing the sustainability considerations material to improving long-term shareholder value," said Von Hughes, Managing Director and Head of Calvert. "Calvert has an innovative research system, with an intense focus on financial materiality, depth of coverage, and comprehensive, proprietary data analysis. The system effectively identifies high-performing companies that can be catalysts for positive change, and, in doing so, is the foundation of our leadership in providing responsible investing solutions for our clients."About the List:To construct the list, the largest 1,000 publicly traded U.S. companies, excluding real estate investment trusts, are scored on a variety of ESG measures by Calvert’s industry-specific research anaylsts. The team analyzes data from a variety of providers and Calvert’s own internal research with a focus on financial materiality, reviewing over 230 defined key performance indicators that are correlated with financial performance.Each of the 1,000 companies is rated on its demonstrated responsibility in five key stakeholder categories: shareholders, employees, customers, community, and planet. Each company received a rating of zero to 100 in each stakeholder category, based on Calvert’s proprietary analysis and scoring methodology.An overall rating for each company was calculated using a weighted average of the five key stakeholder categories. The weightings were based on Calvert’s assessment of the financial materiality of each stakeholder category within the company’s industry peer group. To make the list, a company had to be rated above the bottom quarter in each material stakeholder category.Story continuesThe full list and feature can be viewed on Barron’s website.About Calvert Research and ManagementCalvert Research and Management is a global leader in responsible investing. Calvert sponsors one of the largest and most diversified families of responsibly invested mutual funds, encompassing active and passively managed equity, income, alternative and multi-asset strategies, with approximately $37.5 billion in assets under management as of December 31, 2023.With roots in responsible investing dating back to the 1982 launch of the first mutual fund to oppose investing in companies doing business in apartheid-era South Africa, the firm seeks to generate favourable investment returns for clients by allocating capital consistent with environmental, social and governance best practices and through structured engagement with portfolio companies. Headquartered in Washington, D.C., Calvert manages assets on behalf of funds, individual and institutional separate account clients, and their advisors. Calvert Research and Management is a wholly owned subsidiary of Morgan Stanley and part of Morgan Stanley Investment Management.About Morgan Stanley Investment ManagementMorgan Stanley Investment Management, together with its investment advisory affiliates, has more than 1,400 investment professionals around the world and $1.5 trillion in assets under management or supervision as of December 31, 2023. Morgan Stanley Investment Management strives to provide outstanding long-term investment performance, service, and a comprehensive suite of investment management solutions to a diverse client base, which includes governments, institutions, corporations and individuals worldwide. For further information about Morgan Stanley Investment Management, please visit www.morganstanley.com/im.About Morgan StanleyMorgan Stanley (NYSE: MS) is a leading global financial services firm providing a wide range of investment banking, securities, wealth management and investment management services. With offices in 42 countries, the Firm's employees serve clients worldwide including corporations, governments, institutions and individuals. For more information about Morgan Stanley, please visit www.morganstanley.com.View source version on businesswire.com: https://www.businesswire.com/news/home/20240226701813/en/ContactsMedia Relations: Lauren [email protected]

Business Wire

Calvert Research and Management announces 100 Most Sustainable U.S. Companies

https://finance.yahoo.com/news/calvert-research-management-announces-100-173000924.html

e1a8085b-69ed-30f5-b09f-476ff7f4e8ef

MS

In the latest trading session, Morgan Stanley (MS) closed at $86.94, marking a -0.11% move from the previous day. The stock performed in line with S&P 500. Elsewhere, the Dow gained 0.12%, while the tech-heavy Nasdaq lost 0.41%.The the stock of investment bank has risen by 1.34% in the past month, lagging the Finance sector's gain of 4.89% and the S&P 500's gain of 2.7%.The investment community will be closely monitoring the performance of Morgan Stanley in its forthcoming earnings report. The company is scheduled to release its earnings on April 16, 2024. The company is forecasted to report an EPS of $1.72, showcasing a 1.18% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $14.53 billion, up 0.12% from the prior-year quarter.For the full year, the Zacks Consensus Estimates are projecting earnings of $6.37 per share and revenue of $56.88 billion, which would represent changes of +16.67% and +5.05%, respectively, from the prior year.Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Morgan Stanley. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.02% increase. Right now, Morgan Stanley possesses a Zacks Rank of #3 (Hold).Story continuesFrom a valuation perspective, Morgan Stanley is currently exchanging hands at a Forward P/E ratio of 13.67. This denotes a discount relative to the industry's average Forward P/E of 17.19.We can additionally observe that MS currently boasts a PEG ratio of 1.76. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Financial - Investment Bank industry stood at 1.15 at the close of the market yesterday.The Financial - Investment Bank industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 26, placing it within the top 11% of over 250 industries.The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com.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 reportMorgan Stanley (MS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Morgan Stanley (MS) Stock Moves -0.11%: What You Should Know

https://finance.yahoo.com/news/morgan-stanley-ms-stock-moves-220019763.html

2f2b3570-25fe-3a63-b120-3318a50d4b76

MS

(Bloomberg) -- Reddit Inc. disclosed further details of what is set to be one of the year’s biggest initial public offerings, with the company and some existing shareholders seeking to raise as much as $748 million.Most Read from BloombergOne of the Most Infamous Trades on Wall Street Is Roaring BackStock Rally Stalls in Countdown to Inflation Data: Markets WrapTech CEOs Are Addicted to Taking Needless RisksChina Has Never Canceled This Many Shipments of US WheatReddit and the holders are planning to sell 22 million shares for $31 to $34 each, the social media platform said in a filing Monday. About 15.3 million those shares will be sold by the company and the rest by the investors, who are Reddit employees.At the top of that range, Reddit, whose users helped create the meme stock frenzy of 2021, would have a market value of $5.4 billion, based on almost 159 million shares outstanding. Fully diluted to include employee stock options and restricted share units, the company’s valuation would be about $6.4 billion, the filing with the US Securities and Exchange Commission shows.About 8% of the IPO shares are being set aside for Reddit users and moderators who created accounts before Jan. 1, as well as some board members and friends and family of some employees and directors. Those shares won’t be subject to a lockup, meaning the owners can sell them on the opening day of trading, according to Reddit’s filing that confirms an earlier report by Bloomberg News.The IPO is being led by Morgan Stanley, Goldman Sachs Group Inc., JPMorgan Chase & Co. and Bank of America Corp., according to Reddit’s filings. Reddit plans for its shares to trade on the New York Stock Exchange under the symbol RDDT.The company intends to price the IPO on March 20 and begin trading the following day, according to people familiar with the matter who asked not to be identified because the information wasn’t public. A representative for Reddit didn’t immediately respond to a request for comment on the timing.Story continuesReddit’s ValuationReddit’s more than two-year slog to listing reflects the ups and downs of the market, beginning with its initial confidential filing in 2021, when IPOs on US exchanges set an an all-time record of $339 billion, according to data compiled by Bloomberg. Reddit raised funds that year valuing it at $10 billion, and Bloomberg News reported the following year that it could be valued at as much as $15 billion in an IPO.Meanwhile, IPOs in the US tumbled, reaching only $26 billion last year, the data show. In January, Bloomberg News reported that Reddit was weighing feedback from early meetings with potential IPO investors that it should consider a valuation of at least $5 billion.The company is a high-profile addition to the year’s roster of newly and soon-to-be public companies. The biggest of those listings was the $1.57 billion offering by Amer Sports Inc. in January. Astera Labs Inc., a software maker focused on artificial intelligence, said in a filing Friday that it would seek up to $534 million in its IPO, which will likely proceed Reddit’s.Read More: Intel-Backed Astera Seeks $534 Million in IPO With AI AppealReddit’s listing will be watched closely by IPO candidates such as Microsoft Corp.-backed data security start up Rubrik Inc. and health-care payments company Waystar Technologies Inc. Their deliberations come after a quartet of US listings led by semiconductor designer Arm Holdings Plc’s $5.23 billion offering in September failed to ignite a lasting rebound in the market.Shrinking LossesFounded in 2005, Reddit averaged 73.1 million daily active unique visitors in the fourth quarter, according to its filings. The company reported a net loss of $91 million on revenue of $804 million in 2023, compared with a net loss of about $159 million on revenue of $667 million a year earlier.Reddit’s largest shareholder is Advance Magazine Publishers Inc., part of the Newhouse family publishing empire that owns Conde Nast, which bought Reddit in 2006 and spun it out in 2011.Reddit said its millions of loyal users and moderators pose risks as well as a benefit for the company. Redditors have a historically combative relationship with the site, launching revolts over everything from racism on the platform to executives’ staffing decisions.Meme StocksThousands of members of the WallStreetBets forum — which boasts around 15 million users and helped popularize meme stocks like GameStop Corp. — voted to boost a forum post about shorting Reddit’s stock when it begins trading. Their reasons varied from the company’s lack of profitability to competitive concerns.Some of the largely anonymous users on Reddit expressed an interest in buying IPO shares, while others called the IPO a “mistake” or predicted that the stock will crash.“Honestly don’t believe it will be successful,” one user wrote. “Too many social media companies chasing a few dollars. They already throw all the ads at me and I will not pay them to disable it. I never clicked on an ad on purpose.”Read More: Reddit’s IPO Success Hinges on Company’s Unruly User BaseReddit co-founder and Chief Executive Officer Steven Huffman said in a signed letter included in the filings that the company has many opportunities to grow both the platform and the business.“Advertising is our first business, and advertisers of all sizes have discovered that Reddit is a great place to find high-intent customers that they aren’t able to reach elsewhere,” Huffman said. “Advertising on Reddit is rapidly evolving, and we are still in the early phases of growing this business.”AI LicensingReddit said it’s in the early stages of allowing third parties to license access to data on the platform, including to train artificial intelligence models. The company said that in January it entered into data licensing arrangements with an aggregate contract value of $203 million and terms ranging from two to three years. It expects a minimum of $66.4 million of revenue from those agreements this year, according to the filings.Reddit also has announced a deal with Alphabet Inc.’s Google, allowing Google’s AI products to use Reddit data to improve their technology. Large language models often need vast troves of human-generated content to improve.Huffman owns shares that will give him 3.3% of the voting power after the offering. That includes Class B shares that will have 10 votes each compared with one each for the Class A shares to be sold in the IPO, the filings show. Huffman also has a voting proxy agreement with Advance.Other large shareholders include Chief Operating Officer Jennifer Wong, as well as FMR LLC and entities affiliated with OpenAI Chief Executive Officer Sam Altman, Tencent Holdings Ltd., Vy Capital and Quiet Capital and Tacit Capital, according to the filings.In all Huffman and those investors will hold about three-quarters of the shareholder voting rights after the IPO.Huffman’s fellow co-founder, venture capitalist Alexis Ohanian, isn’t listed among the investors with stakes of 5% or more and isn’t named elsewhere in the filings.--With assistance from Katie Roof.(Updates with expected IPO timing in sixth paragraph.)Most Read from Bloomberg BusinessweekAcademics Question ESG Studies That Helped Fuel Investing BoomLuxury Postnatal Retreats Draw Affluent Parents Around the USHow Apple Sank About $1 Billion a Year Into a Car It Never BuiltThe Battle to Unseat the Aeron, the World’s Most Coveted Office ChairHow Microsoft’s Bing Helps Maintain Beijing’s Great Firewall©2024 Bloomberg L.P.

Bloomberg

Reddit Launches Long-Awaited IPO With $748 Million Target

https://finance.yahoo.com/news/reddit-launches-long-awaited-ipo-102310736.html

7bffff6a-8d0e-33ed-bdc8-fa8259f34949

MSCI

Making its debut on 04/15/2015, smart beta exchange traded fund SPDR MSCI USA StrategicFactors ETF (QUS) provides investors broad exposure to the Style Box - Large Cap Blend category of the market.What Are Smart Beta ETFs?The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta.Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.Fund Sponsor & IndexQUS is managed by State Street Global Advisors, and this fund has amassed over $1.24 billion, which makes it one of the larger ETFs in the Style Box - Large Cap Blend. This particular fund, before fees and expenses, seeks to match the performance of the MSCI USA Factor Mix A-Series Index.The MSCI USA Factor Mix A-Series Index measures the equity market performance of large and mid-cap companies across the U.S. equity market. It aims to represent the performance of a combination of three factors: value, quality, and low volatility.Cost & Other ExpensesInvestors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.Story continuesWith one of the cheaper products in the space, this ETF has annual operating expenses of 0.15%.The fund has a 12-month trailing dividend yield of 1.47%.Sector Exposure and Top HoldingsMost ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.Representing 25.70% of the portfolio, the fund has heaviest allocation to the Information Technology sector; Healthcare and Financials round out the top three.When you look at individual holdings, Apple Inc (AAPL) accounts for about 3% of the fund's total assets, followed by Microsoft Corp (MSFT) and Broadcom Inc (AVGO).The top 10 holdings account for about 20.55% of total assets under management.Performance and RiskThe ETF has added roughly 6.78% and it's up approximately 26.31% so far this year and in the past one year (as of 02/26/2024), respectively. QUS has traded between $109.24 and $141.07 during this last 52-week period.The fund has a beta of 0.91 and standard deviation of 15.47% for the trailing three-year period, which makes QUS a medium risk choice in this particular space. With about 610 holdings, it effectively diversifies company-specific risk.AlternativesSPDR MSCI USA StrategicFactors ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Blend segment of the market. However, there are other ETFs in the space which investors could consider.IShares Core S&P 500 ETF (IVV) tracks S&P 500 Index and the SPDR S&P 500 ETF (SPY) tracks S&P 500 Index. IShares Core S&P 500 ETF has $443.19 billion in assets, SPDR S&P 500 ETF has $499.56 billion. IVV has an expense ratio of 0.03% and SPY charges 0.09%.Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Blend.Bottom LineTo learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.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 reportSPDR MSCI USA StrategicFactors ETF (QUS): ETF Research ReportsApple Inc. (AAPL) : Free Stock Analysis ReportMicrosoft Corporation (MSFT) : Free Stock Analysis ReportBroadcom Inc. (AVGO) : Free Stock Analysis ReportSPDR S&P 500 ETF (SPY): ETF Research ReportsiShares Core S&P 500 ETF (IVV): ETF Research ReportsTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Is SPDR MSCI USA StrategicFactors ETF (QUS) a Strong ETF Right Now?

https://finance.yahoo.com/news/spdr-msci-usa-strategicfactors-etf-112006202.html

205c2868-090b-344c-8612-06f3077cabc4

MSCI

Wall Street has been on a remarkable rally powered by strong corporate earnings, AI developments and renewed confidence in the tech sector. The latest phase of the rally is driven by Nvidia’s NVDA blockbuster earnings, which pushed the major indexes to key milestones last week. The blue-chip Dow Jones reached a new record high while the S&P 500 broke above 5,100 for the first time. The tech-heavy Nasdaq Composite Index also touched a new 52-week high.The rally has been broad-based this year, with momentum investing emerging as a big winner. While there are several options in this space, we have highlighted five ETFs that hit new highs in the latest trading session. These include Invesco S&P 500 Momentum ETF SPMO, iShares MSCI USA Momentum Factor ETF MTUM, Qraft AI-Enhanced U.S. Large Cap Momentum ETF AMOM, SPDR S&P 1500 Momentum Tilt ETF MMTM and JPMorgan U.S. Momentum Factor ETF JMOM. These ETFs seek higher returns in a short spell and will continue their outperformance if the same trends prevail.Nvidia’s SurgeThis leading U.S. chip maker surpassed $2 trillion in market capitalization following its robust results. It exceeded fourth-quarter earnings and revenue expectations. The company reported a staggering 265% increase in revenues and provided an optimistic outlook, indicating a surge in demand for AI hardware. This not only showcased Nvidia's robust position in the AI chip market but also signaled promising prospects for the semiconductor industry in 2025 and beyond (read: Nvidia Drives AI and Semiconductor Stocks: ETFs to Gain).Nvidia has been the biggest beneficiary of technology companies' race to build AI into their products and services.Why Momentum?Momentum investing aims to capitalize on the continuance of an existing market trend. It involves the purchase of assets that have been showing an upward trend in price or selling short assets that have been showing a downward trend, with the expectation that the trend will continue. As such, investors can potentially achieve high returns by buying stocks in an uptrend and selling them when they show signs of reversing.Numerous studies have demonstrated the effectiveness of momentum as a factor in stock selection. Momentum strategies have historically performed well across different markets and time periods, although past performance is not indicative of future results.Story continuesETFs in FocusInvesco S&P 500 Momentum ETF (SPMO) – Up 16.7%Invesco S&P 500 Momentum ETF tracks the S&P 500 Momentum Index, which measures the performance of stocks in the S&P 500 index that have a high "momentum score.” It holds 101 securities in its basket and charges 13 bps in fees per year. Information technology is the top sector with a 26.1% share, while healthcare, industrials and communication services round off the next three with double-digit exposure each. Invesco S&P 500 Momentum ETF has AUM of $610.1 million.iShares MSCI USA Momentum Factor ETF (MTUM) – Up 15%iShares MSCI USA Momentum Factor ETF follows the MSCI USA Momentum SR Variant Index, holding 123 stocks and exhibiting a relatively higher price momentum. It is skewed toward the information sector at 41.6%, while communication, industrials, and consumer discretionary round off the next spots with double-digit exposure each. iShares MSCI USA Momentum Factor ETF has accumulated $9.7 billion in its asset base and charges 15 bps in fees per year (read: 5 ETFs at All-Time Highs as S&P 500 Rally Continues).Qraft AI-Enhanced U.S. Large Cap Momentum ETF (AMOM) – Up 13.6%Qraft AI-Enhanced U.S. Large Cap Momentum ETF is an actively managed exchange-traded fund that seeks capital appreciation by investing in stocks that exhibit higher price momentum. It holds 50 stocks in its basket. Technology is the top sector with a 48.6% allocation, followed by healthcare, consumer cyclical and industrials. Qraft AI-Enhanced U.S. Large Cap Momentum ETF has accumulated $15.5 million in its asset base and charges 75 bps in annual fees.SPDR S&P 1500 Momentum Tilt ETF (MMTM) – Up 10.1%SPDR S&P 1500 Momentum Tilt ETF offers exposure to the stocks exhibiting the strongest momentum characteristics by tracking the S&P 1500 Positive Momentum Tilt Index. It holds 1,462 stocks in its basket, with key holdings in information technology, consumer discretionary and communication services. SPDR S&P 1500 Momentum Tilt ETF has amassed $92.8 million in its asset base and charges 12 bps in annual fees from investors (read: 5 Sector ETFs Beating the Market Halfway Through Q1).JPMorgan U.S. Momentum Factor ETF (JMOM) – Up 9.9%JPMorgan U.S. Momentum Factor ETF is designed to provide equity exposure with a focus on companies with strong risk-adjusted momentum and the potential to enhance returns. It follows the JP Morgan US Momentum Factor Index and holds 302 stocks in its basket. Technology is the top sector at 33%, while consumer discretionary, industrials, healthcare, and financials round off the next spots with double-digit exposure each. JPMorgan U.S. Momentum Factor ETF has AUM of $495.4 million and charges 12 bps in annual fees.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 reportNVIDIA Corporation (NVDA) : Free Stock Analysis ReportiShares MSCI USA Momentum Factor ETF (MTUM): ETF Research ReportsInvesco S&P 500 Momentum ETF (SPMO): ETF Research ReportsJPMorgan U.S. Momentum Factor ETF (JMOM): ETF Research ReportsSPDR S&P 1500 Momentum Tilt ETF (MMTM): ETF Research ReportsQRAFT AI-Enhanced U.S. Large Cap Momentum ETF (AMOM): ETF Research ReportsTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Momentum ETFs Hit New 52-Week Highs

https://finance.yahoo.com/news/momentum-etfs-hit-52-week-170500246.html

154d856b-c80f-379a-812f-6db3188217ee

MSCI

NEW YORK, March 11, 2024--(BUSINESS WIRE)--MSCI Inc. (NYSE: MSCI), a leading provider of critical decision support tools and services for the global investment community, announced today that Chirantan "CJ" Desai, the President and Chief Operating Officer of ServiceNow, Inc. ("ServiceNow"), has been appointed to serve as an independent director on MSCI’s Board of Directors (the "Board"), effective today. Mr. Desai will serve as a member of the Strategy and Finance Committee of the Board. Following the appointment of Mr. Desai, the Board will be comprised of 13 directors."As MSCI actively invests in further accelerating our technology-driven and AI-powered approaches to servicing our clients, CJ will bring extensive expertise in these areas to MSCI’s Board," said Henry A. Fernandez, MSCI’s Chairman and Chief Executive Officer. "His experience as the President and Chief Operating Officer of one of the world’s leading enterprise software companies, overseeing products, platform, AI, design, engineering, cloud infrastructure and customer success will allow him to offer invaluable insight. CJ joins a strong board with deep expertise across the investment and technology industries, and we look forward to his contributions," added Mr. Fernandez."MSCI is one of the foremost innovators in the investment industry, helping clients address the challenges of a transforming investment landscape. I am excited to join the Board at this critical juncture, as MSCI develops the tools and solutions for the next evolution of global investing, supported by cutting-edge technology," said Mr. Desai. "I look forward to working closely with the Board and management to continue delivering success for our clients and driving meaningful value for our shareholders."Chirantan "CJ" Desai currently serves as President and Chief Operating Officer at ServiceNow (NYSE:NOW). He leads enterprise-wide operations to ensure business rigor — from innovation to execution. Prior to joining ServiceNow, Mr. Desai was the president of the Emerging Technologies Division at EMC where he had a full P&L responsibility for emerging technology products with a focus on launching and growing new businesses. From November 2004 to September 2013, Mr. Desai held several senior leadership roles at Symantec Corporation, including executive vice president of Information Management and senior vice president of Endpoint and Mobile Security. Mr. Desai began his career with Oracle Corp and was a key member of the team that launched Oracle’s first cloud service. Mr. Desai has a Master’s degree in Computer Science and an MBA from the University of Illinois at Urbana-Champaign.Story continuesAbout MSCI Inc.MSCI is a leading provider of critical decision support tools and services for the global investment community. With over 50 years of expertise in research, data and technology, we power better investment decisions by enabling clients to understand and analyze key drivers of risk and return and confidently build more effective portfolios. We create industry-leading research-enhanced solutions that clients use to gain insight into and improve transparency across the investment process. To learn more, please visit www.msci.com. MSCI#IRForward-Looking StatementsThis press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to future events or to future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these statements. In some cases, you can identify forward-looking statements by the use of words such as "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "predict," "potential" or "continue," or the negative of these terms or other comparable terminology. You should not place undue reliance on forward-looking statements because they involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond MSCI’s control and that could materially affect actual results, levels of activity, performance or achievements.Other factors that could materially affect actual results, levels of activity, performance or achievements can be found in MSCI’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 filed with the Securities and Exchange Commission ("SEC") on February 9, 2024 and in quarterly reports on Form 10-Q and current reports on Form 8-K filed or furnished with the SEC. If any of these risks or uncertainties materialize, or if MSCI’s underlying assumptions prove to be incorrect, actual results may vary significantly from what MSCI projected. Any forward-looking statement in this earnings release reflects MSCI’s current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to MSCI’s operations, results of operations, growth strategy and liquidity. MSCI assumes no obligation to publicly update or revise these forward-looking statements for any reason, whether as a result of new information, future events, or otherwise, except as required by law.View source version on businesswire.com: https://www.businesswire.com/news/home/20240311596139/en/ContactsMSCI Inc. Investor Inquiries [email protected] Jeremy Ulan +1 646 778 [email protected] Jisoo Suh +1 917 825 7111Media Inquiries [email protected] Melanie Blanco +1 212 981 1049Konstantinos Makrygiannis +44 (0)7768 930056Tina Tan +852 2844 9320

Business Wire

Chirantan "CJ" Desai Appointed to MSCI Inc. Board of Directors

https://finance.yahoo.com/news/chirantan-cj-desai-appointed-msci-105500914.html

cd551547-e87c-35ac-919b-09a8af5a54ce

MSCI

* Argentina launches $65 bln bond swap to push back 2024 debt * Brazil Feb monthly inflation forecast at 1-yr high * Brazil's Petrobras on track to extend losses * Latam stocks down 0.4%; FX flat (Updated at 4pm ET/2000 GMT) By Ankika Biswas and Lisa Pauline Mattackal March 11 (Reuters) - Latin American currencies were largely muted against the dollar on Monday as investors awaited U.S. consumer inflation data for clues on the Federal Reserve's rate path, while Argentina's international dollar bonds slipped after the country launched a $65 billion bond swap. The MSCI index for Latam currencies was flat after hitting a near two-month high on Friday, with the dollar gaining some ground, as mixed data kept prospects of a June Fed rate cut alive. All eyes are on U.S. CPI data on Tuesday ahead of the central bank's March monetary policy decision next week. Emerging markets and other risky assets have been hit in 2024 as investors pull back expectations for the size and timeline for reduced borrowing costs. "We are probably witnessing a lull in currency markets before a major spurt," said Arthur Budaghyan, chief emerging markets strategist at BCA Research. Budaghyan expects the U.S. dollar to continue rallying, which he said will lead to more volatility and depreciation in emerging market currencies. Meanwhile, Argentina's government will launch a huge voluntary debt swap of peso and some dollar-linked instruments set to mature in 2024, a bid to push back repayments amid a major economic crisis hammering the South American country. Prices of the country's dollar-denominated government bonds slipped, with the 2038 note down about 2 cents. The Merval stock index dropped 4%. Investors will also monitor a slew of other data this week including Brazil's inflation, Argentina's CPI and a likely interest rate decision and Mexico's industrial output. A Reuters poll showed Brazil's monthly inflation rate likely accelerated to a one-year high in February. The real was little changed against the greenback. "More recently, price concerns have begun to re-emerge, especially after January IPCA (inflation) surprised the market to the upside," said Bank of America analysts in a note. Top copper producers Chile's peso fell 0.6% as prices of the red metal fell ahead of loan data from top consumer China. Among others, the Colombian peso lost 0.3% and Mexico's peso was flat, tracking weakness in crude oil prices. Meanwhile, the MSCI index tracking Latam stocks fell 0.4% to early January lows. Petrobras preferred shares fell 1.2% after plunging more than 10% on Friday as the government pushed the state-run company to reinvest cash set aside for dividends, after its board spiked an extra dividend. Losses in Petrobras, coupled with a near 3% drop in miner Vale, kept Brazil's benchmark stock index at around the three-month low hit on Friday. Vale will retain Eduardo Bartolomeo as CEO through 2024, Reuters reported Stocks in Chile jumped over 1%. Key Latin American stock indexes and currencies at 2000 GMT: Latest Daily % change MSCI Emerging Markets 1038.84 0.17 MSCI LatAm 2481.15 -0.37 Brazil Bovespa 126239.21 -0.65 Mexico IPC 55134.31 0.36 Chile IPSA 6416.46 1.24 Argentina MerVal 958962.45 -4.327 Colombia COLCAP 1298.29 -0.05 Currencies Latest Daily % change Brazil real 4.9781 0.00 Mexico peso 16.7996 0.06 Chile peso 966.4 -0.61 Colombia peso 3911.32 -0.29 Peru sol 3.6762 0.01 Argentina peso 848.0000 -0.12 (interbank) Argentina peso 985 1.02 (parallel) (Reporting by Ankika Biswas and Lisa Mattackal in Bengaluru Editing by Andrew Cawthorne and Matthew Lewis)

Reuters

EMERGING MARKETS-Latam currencies subdued as US inflation data eyed; Argentina bonds, stocks slip

https://finance.yahoo.com/news/emerging-markets-latam-currencies-subdued-205041012.html

6ee505f5-fd91-3f92-b5c1-bc34b9774346

MSFT

The biggest record labels in music are trying to figure out how to grapple with the rise of artificial intelligence.When Universal Music Group (UMG) pulled its songs from TikTok on Feb. 1 partly because of a concern artists weren’t being protected from artificial intelligence, it triggered a debate across the industry about whether to embrace the new technology, fight it, or both.TikTok is "allowing the platform to be flooded with AI-generated recordings" while demanding contractual rights that could "massively dilute the royalty pool for human artists," Universal said in a letter announcing its decision.Lucian Grainge, CEO of Universal Music Group, which pulled its songs from TikTok this month. (Kevork Djansezian/REUTERS) (REUTERS / Reuters)Universal’s biggest rivals, Warner Music (WMG) and Sony (SONY), have stayed on the sidelines of this dispute so far. This month Warner CEO Robert Kyncl called his company’s own licensing deal with TikTok "difficult" but "fair."Investors will be listening for any updates on the TikTok feud on Wednesday when Universal is scheduled to report its earnings for the fourth quarter of 2023.How this debate unfolds will have sizable implications for the giants of music as the companies behind artists from Taylor Swift to Drake wrestle with the same AI dilemma currently roiling other creative industries.Taylor Swift is among the artists not currently available on TikTok. (Don Arnold/TAS24 for TAS Rights Management) (Don Arnold/TAS24 via Getty Images)Music artists are increasingly concerned there is little protection for their own names, likenesses, and voices being used without their permission to create AI-generated songs.Some have already had their voices mimicked without their permission, while deceased artists have also had their voices reproduced without the involvement of their families."I don’t have to tell you how much of a gut punch it is to have your name, likeness, or voice ripped from you and used in ways you could never imagine and would never allow," country singer Lainey Wilson said at a House Judiciary subcommittee field hearing on Feb. 2."It’s wrong."'Ethical and not harmful'Wilson aired her concerns in Los Angeles as the industry prepared for its biggest night of the year: the Grammy Awards.Story continues"There aren’t many things that we can control in life, but making decisions about the use of our own selves, our own unique qualities, that should be one," she told lawmakers who gathered across the street from the arena where Wilson would win the Best Country Album award two days later.Lainey Wilson poses with the Best Country Album award during the 66th Annual Grammy Awards in Los Angeles earlier this month. (David Swanson/REUTERS) (REUTERS / Reuters)The singer endorsed an effort underway in Washington to address some of her concerns. Last month lawmakers introduced a new House bill called the No Artificial Intelligence Fake Replicas and Unauthorized Duplications Act — or or the No AI FRAUD Act — that aims to establish a framework for protecting one’s voice and likeness on a federal level."Are we in fact rewarding the creators of intellectual property sufficiently?" Rep. Darrell Issa (R-Calif.), who chairs the House Subcommittee on Courts, Intellectual Property, and the Internet, said at the hearing.Representative Darrell Issa (R-Calif.). (Ting Shen/Pool via REUTERS) (REUTERS / Reuters)"Under AI, it is critical that the development of the technology be ethical and not harmful and that it also be uniform within the United States."The man in charge of the Grammys, Recording Academy chief executive Harvey Mason Jr., called the proposed legislation "long overdue" while also acknowledging the opportunities AI presents for the industry."The productivity that comes along with using this technology, creating things we haven't heard or thought of before and extending the reach of an artist with their voice, is possible," Mason told Yahoo Finance in a separate interview. "[But] regulations, legislation needs to happen to make sure human creators are protected."Harvey Mason Jr., CEO of The Recording Academy. (Steve Marcus / REUTERS) (REUTERS / Reuters)Malik Yusef, a music producer and director who has worked with Kanye West and Jennifer Hudson, said he thinks the legislation has holes in it and needs to be fortified. When AI versions of an artist’s voice or likeness are created, a copyright should automatically be granted to the artist, he said."It should be owned by the artist, and they should be able to wield it as much or as little as they want," he said.'It wasn't easy with TikTok'So far, Universal is standing alone in its fight with TikTok, which has pushed back by calling the label's move "sad and disappointing" and claiming it had "artist-first" pacts with Universal's rivals.The CEO of Warner Music said he is confident that Universal and TikTok will sort things out."It wasn’t easy with TikTok," Kyncl said on the company’s most recent earnings call, referring to his own pact with the platform.Warner Music CEO Robert Kyncl. (David Livingston/Getty Images) (David Livingston via Getty Images)"I think it was very difficult, too. But we got there. And for us, it was fair. But it was a year ago. It was also a different time. So I don’t know what is driving Universal’s positions. But there’s any way we can help them, we will, all of us."If all labels pulled their music off TikTok, they could take the power back, according to Printz Board, producer and songwriter for the Black Eyed Peas, who now owns music and movie production company Beets & Produce."If you can get Sony, Warner Brothers, Atlantic, all these labels to start doing that and say, OK, we're going to take this back, take the power into our own hands, I think we would really be in a better place," he said.Printz Board at a Grammy party earlier this month. (Christopher Polk/Billboard via Getty Images) (Christopher Polk via Getty Images)Board, however, is not worried about being put out of work by AI."Maybe I'm of the minority, but I also feel because I'm a creative, creatives have an infinite bank of ideas and will never actually be broke," he said. "If you want to take my song and make it into an AI song, I'm going to redo a new song with your sample of my song. That's where it can be good."Other industry figures argue it could be a supplemental tool for songwriting."At this point, we have to accept that AI is coming, AI is going to change our industry," said Justin Tranter, founder of record label Facet House and a Grammy-nominated songwriter behind songs from Justin Bieber and Miley Cyrus.Justin Tranter at the Grammy awards earlier this month. (Gilbert Flores/Billboard via Getty Images) (Gilbert Flores via Getty Images)"We have to learn how to make it a tool and learn how to make it a friend of the songwriter, a friend, producer of an artist, or it's just going to kill us all."A team of humans is still needed to produce new work, said Rance Dopson, who has been a musical director for stars from Beyonce to Jay-Z and Jennifer Lopez, as well as a producer for film scores."We gotta get it right,” said Dopson. "We need to create a model that makes sense for everybody, where it's not just taking jobs away, and people are a part of the IP. Then it could work."Click here for in-depth analysis of the latest stock market news and events moving stock prices.Read the latest financial and business news from Yahoo Finance

Yahoo Finance

How an AI feud is roiling the music industry

https://finance.yahoo.com/news/how-an-ai-feud-is-roiling-the-music-industry-170050349.html

601adfdd-b549-4bf1-a033-18e3747a576c