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For Immediate ReleaseChicago, IL – February 20, 2024 – Today, Zacks Equity Research discusses Corteva Inc. CTVA, Dole plc DOLE and Alico ALCO.Industry: Agriculture OperationsLink: https://www.zacks.com/commentary/2227316/3-agriculture-operations-stocks-on-the-radar-as-inflation-hits-profitsThe Zacks Agriculture – Operations industry faces a myriad of challenges that can impact productivity, sustainability and the overall well-being of the industry participants. Fluctuating commodity prices, rising input costs, trade uncertainties and elevated operational expenses have been affecting players for a while. As prices increase across the board, companies within this vital sector are grappling with challenges that impact their operations, profitability and long-term sustainability.However, the industry is poised to benefit from innovations and improved consumer demand for healthy products. Investments in acquisitions, joint ventures and expansions are likely to fortify the prospects of the industry players. Continued investments in assets, and technological capabilities to innovate and serve customers bode well for players like Corteva Inc., Dole plc and Alico.About the IndustryThe Zacks Agriculture – Operations industry comprises companies that produce or procure, transport, store, process and distribute agricultural commodities to consumers. It also distributes ingredients to other parts of the agriculture industry (including clothing, animal feed, energy and industrial products). Some industry players engage in dairy operations, land transformation activities and the development of food ingredients using gene-editing technology.The industry encompasses production activities related to traditional farming of crops (like corn, soybean, wheat and cotton), and livestock and poultry products (including meat, dairy and eggs). The products are mainly sold at grocery stores or exported overseas. These are also used as feedstock for other industries. For example, cotton is used in the clothing industry and corn is used in the ethanol industry.Story continuesFactors Shaping the Future of Agriculture - Operations IndustryAgricultural Export Projections: Per the U.S. Department of Agriculture, agricultural export projections for fiscal 2024 (ending Sep 30, 2024) of $169.5 billion marks a decline of $2.5 billion from the August 2023 forecast of $172 billion. The export forecasts have been affected by declines in grain and feed, as well as livestock, poultry and dairy exports.Overall grain and feed exports are expected to be impacted by lower projections for wheat, corn and sorghum. Lower livestock, poultry and dairy exports are expected to result from reduced beef, pork, poultry and dairy exports. Additionally, soybean and cotton exports are expected to witness declines in fiscal 2024.Elevated Costs: Industry participants have been witnessing higher costs due to fluctuating commodity prices, rising input costs and trade uncertainties. Supply-chain concerns and commodity cost pressures have been affecting the profitability of agricultural companies for a while. One of the most immediate and tangible impacts of inflation on the agricultural operations industry is the surge in input costs.As inflation has escalated the prices of essential resources, the cost of production for agricultural companies has soared, squeezing profit margins. The companies have resorted to pricing strategies to counter rising raw material costs. The industry participants seek to counter global supply-chain challenges by forming partnerships and distribution strategies. Despite the pricing strategies, commodity cost inflation is expected to continue hurting margins and profitability in the near term.Companies in the industry continue to face raised SG&A expenses due to higher performance-related compensation, project-related costs, commissions and variable compensation. The companies are also witnessing elevated costs for investments in technology and innovation to stay ahead of the race. Continued deleverage in SG&A expenses may continue to have a bearing on the profitability of companies.Robust Demand Trends for Organic Products: The industry has benefited from an organic movement prompted by consumers’ increasing demand for healthier food. Agriculturists are adopting organic production techniques, and curtailing the use of chemicals and pesticides. Innovations in food processing, improved grain-handling techniques, larger storage spaces and strong emerging market demand are conducive to the industry’s growth.Healthy eating habits are likely to accelerate purchasing and consuming alternative proteins. Focus on nourishment and wellness is pushing microbiome solutions to the forefront. The companies have been investing in acquisitions and joint ventures to build top-notch ingredients and solutions for meeting the demand for healthy products.Zacks Industry Rank Indicates Dull ProspectsThe Zacks Agriculture – Operations industry is a 15-stock group within the broader Zacks Consumer Staples sector. The industry currently carries a Zacks Industry Rank #229, which places it in the bottom 8% 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 dull 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.The industry’s positioning in the bottom 50% of the Zacks-ranked industries resulted from a negative aggregate earnings outlook for the constituent companies. Looking at the aggregate earnings estimate revisions, analysts are gradually losing confidence in this group’s earnings growth potential.Before we present a few stocks that you may want to consider for your portfolio, let’s look at the industry’s recent stock-market performance and valuation picture.Industry vs. Broader MarketIn a year, the Zacks Agriculture – Operations industry has underperformed the S&P 500 and the Zacks Consumer Staples sector.The stocks in the industry have collectively fallen 31.5% in a year against growth of 22.7% for the Zacks S&P 500 composite. Meanwhile, the sector has declined 4.2%.Agriculture - Operations Industry's ValuationOn the basis of the forward 12-month price-to-earnings (P/E) ratio, which is commonly used for valuing Consumer Staples stocks, the agriculture – Operations industry is currently trading at 11.78X compared with the S&P 500’s 20.74X and the sector’s 17.17X.Over the last five years, the industry has traded as high as 17.51X, as low as 10.6X and at the median of 14.52X.3 Agriculture Operations Stocks to Keep an Eye OnNone of the stocks in the Zacks Agriculture – Operations universe currently sport a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy). Here, we suggest three stocks with a Zacks Rank #3 (Hold) from the same industry, which investors may hold on to. You can see the complete list of today’s Zacks #1 Rank stocks here.Corteva: This Wilmington, DE-based pure-play agriculture company is poised to drive above-market growth through its industry-leading product pipeline, and rigorous approach to innovation and operating discipline. It is poised to accelerate its pace of innovation and existing leadership position in the high-value sector to meet the increasing market demand for naturally derived products through three new collaboration agreements. Strong price execution in seed, supply-chain flexibility and solid market demand for its balanced and differentiated new product portfolios are driving CTVA’s performance.The Zacks Consensus Estimate for Corteva’s 2024 earnings has moved down 4.6% in the past 30 days. The Zacks Consensus Estimate for its 2024 sales and earnings suggests growth of 1.7% and 7.4%, respectively, from the year-ago period’s reported figures. The company has delivered an earnings surprise of 46.9%, on average, in the trailing four quarters. The CTVA stock has declined 11.5% in the past year.Dole: This Dublin, Ireland-based global leader in fresh produce is poised to benefit from improved logistical efficiencies in several areas, which brought increased stability to its core fruit business. The company’s diverse sourcing network and advanced farming practices are likely to help overcome the potential weather challenges in various regions. The company benefited from a healthier supply and demand balance, which allowed for a better pricing environment in Europe and much-improved selling conditions in the non-core markets.The Zacks Consensus Estimate for Dole’s 2024 earnings has been unchanged in the past 30 days. The Zacks Consensus Estimate for its 2024 sales and earnings suggests growth of 2.5% and 14.6%, respectively, from the year-ago period’s reported figures. The company delivered an earnings surprise of 78.3%, on average, in the trailing four quarters. The DOLE stock has declined 3.3% in the past year.Alico: The Fort Myers, FL-based agribusiness and land management company is poised to benefit from the strong consumption of not-from-concentrate orange juice by retail consumers, which has been sturdy. This has significantly aided market pricing for Early and Mid-Season, and Valencia season fruit. Driven by the strong consumption of not-from-concentrate orange juice and lower-than-normal levels of processor inventories, the company expects market prices in the next year to remain near or above the recent levels.The Zacks Consensus Estimate for the current fiscal-year loss has been unchanged in the past 30 days. The Zacks Consensus Estimate for ALCO’s current fiscal-year sales suggests growth of 89.5% from the year-ago reported quarter. The loss estimate is pegged at 34 cents, whereas the company reported a loss of $3.23 in the year-ago period. ALCO has risen 9.9% in the past year.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 reportDole PLC (DOLE) : Free Stock Analysis ReportAlico, Inc. (ALCO) : Free Stock Analysis ReportCorteva, Inc. (CTVA) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Zacks Industry Outlook Highlights Corteva, Dole and Alico

https://finance.yahoo.com/news/zacks-industry-outlook-highlights-corteva-102200435.html

e86c2a70-416b-3699-8af5-ebb31a65b8be

CTVA

Register to attend live webcastINDIANAPOLIS, Feb. 22, 2024 /PRNewswire/ -- Corteva, Inc. (NYSE: CTVA) announces that Chief Executive Officer, Chuck Magro, and Executive Vice President and Chief Financial Officer, Dave Anderson, will speak at the Bank of America Securities 2024 Global Agriculture & Materials Conference at 9:10 a.m. Eastern Time on Wednesday, February 28, 2024.(PRNewsfoto/Corteva Agriscience)Remarks will be webcast live. Registration for the webcast can be accessed through the Corteva Investor Relations website. A replay of the presentation will be available 24-hours after the presentation ends and will be accessible until May 29, 2024.About CortevaCorteva, Inc. (NYSE: CTVA) is a global pure-play agriculture company that combines industry-leading innovation, high-touch customer engagement and operational execution to profitably deliver solutions for the world's most pressing agriculture challenges. Corteva generates advantaged market preference through its unique distribution strategy, together with its balanced and globally diverse mix of seed, crop protection, and digital products and services. With some of the most recognized brands in agriculture and a technology pipeline well positioned to drive growth, the company is committed to maximizing productivity for farmers, while working with stakeholders throughout the food system as it fulfills its promise to enrich the lives of those who produce and those who consume, ensuring progress for generations to come. More information can be found at www.corteva.com.CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/corteva-to-participate-in-bank-of-america-securities-2024-global-agriculture--materials-conference-february-28-302067992.htmlSOURCE Corteva, Inc.

PR Newswire

Corteva to Participate in Bank of America Securities 2024 Global Agriculture & Materials Conference, February 28

https://finance.yahoo.com/news/corteva-participate-bank-america-securities-130000596.html

6990a686-a30e-33dd-9939-4323a3e17053

CTVA

REHOVOT, Israel, March 6, 2024 /PRNewswire/ -- AgPlenus Ltd., a global leader in designing and developing novel sustainable crop protection products and a subsidiary of Evogene Ltd. (Nasdaq: EVGN) (TASE: EVGN), announces today that it has achieved a milestone in the collaboration with Corteva Agriscience (NYSE: CTVA), a leading pure-play agriculture company, for the development of novel herbicides. The milestone marks the successful identification of a new family of molecules exhibiting herbicidal effect through a novel Mode of Action (MoA), APCO-12, discovered by AgPlenus.AgPlenus Logo Evogene LogoHerbicide market is estimated at $42.81 billion in 2024[1]. Most commercially available herbicides are based on small molecules that inhibit target proteins (MoAs) in weeds, leading to weed mortality. In recent years the global agricultural industry has faced a growing challenge of weed resistance to existing herbicides, created in part by a limited number of new MoAs for weed control in the last three decades.The collaboration, commencing in 2020, aims to develop a new MoA herbicide by merging Corteva's leadership in product discovery with AgPlenus's computational technology platform. Today, AgPlenus announced that, together with Corteva, they have identified a new potential class of herbicidal molecules through a novel MoA APCO-12.In the next phase, the collaboration will focus on optimizing the identified class of molecules towards a commercial-level product, utilizing AgPlenus' cutting-edge computational technology, powered by Evogene's ChemPass AI tech engine and Corteva's industry-leading R&D capabilities.Vid Hegde, VP of Crop Protection Discovery and Development at Corteva, said "Farmers are in dire need of new technologies to address weed resistance challenges. The collaboration with AgPlenus has accelerated the identification of a class of herbicide chemistry that targets a new mode-of-action for weed control, something the industry has been lacking for decades."Story continuesDr. Dan Gelvan, CEO of AgPlenus, said "we are excited about the milestone achieved in our collaboration with Corteva Agriscience, which reflects the synergy established between the teams. Our commitment to advancing sustainable agriculture remains steadfast, and we look forward to delivering innovative herbicide solutions to farmers worldwide."About AgPlenus Ltd.AgPlenus is a technological platform company for innovative discovery of sustainable crop protection products to ensure food security for a fast-expanding global population. AgPlenus directs and accelerates the development of target-based novel crop protection products, utilizing a revolutionary tech-engine, based on AI combined with a deep understanding of biology and chemistry. By employing our target-based approach AgPlenus is able to minimize risks and enhance effectiveness, fulfilling its commitment to ensuring food security by overcoming global pesticide resistance, a factor directly impacting drop yield.For more information, please visit www.agplenus.comAbout Evogene Ltd.:Evogene (Nasdaq: EVGN, TASE: EVGN) is a computational biology company aiming to revolutionize the development of life-science-based products by utilizing cutting-edge technologies to increase the probability of success while reducing development time and cost. Evogene established three unique tech-engines – MicroBoost AI, ChemPass AI, and GeneRator AI – leveraging Big Data and Artificial Intelligence and incorporating deep multidisciplinary understanding in life sciences. Each tech-engine is focused on the discovery and development of products based on one of the following core components: microbes (MicroBoost AI), small molecules (ChemPass AI), and genetic elements (GeneRator AI).Evogene uses its tech-engines to develop products through subsidiaries and strategic partnerships. Evogene's subsidiaries currently utilize the tech-engines to develop human microbiome-based therapeutics by Biomica, ag-biologicals by Lavie Bio, ag-chemicals by AgPlenus, medical cannabis products by Canonic and castor varieties, for the biofuel and other industries, by Casterra.For more information, please visit www.evogene.comForward-Looking Statements: This press release contains "forward-looking statements" relating to future events. These statements may be identified by words such as "will", "may", "could", "expects", "intends", "anticipates", "plans", "believes", "scheduled", "estimates", "demonstrates", or words of similar meaning. For example, Evogene and AgPlenus are using forward-looking statements in this press release when they discuss AgPlenus and Corteva's ability to develop a new MoA herbicide and their success in optimizing the identified molecules towards a commercial-level product. Such statements are based on current expectations, estimates, projections, and assumptions, describe opinions about future events, and involve certain risks and uncertainties that are difficult to predict and are not guarantees of future performance. Therefore, actual future results, performance, or achievements of Evogene and its subsidiaries may differ materially from what is expressed or implied by such forward-looking statements due to a variety of factors, many of which are beyond the control of Evogene and its subsidiaries, including, without limitation, the current war between Israel and Hamas and any worsening of the situation in Israel such as further mobilizations or escalation in the northern border of Israel and those risk factors contained in Evogene's reports filed with applicable securities authorities. Evogene and its subsidiaries disclaim any obligation or commitment to update these forward-looking statements to reflect future events or developments or changes in expectations, estimates, projections, and assumptions.ContactRachel Pomerantz GerberHead of Investor Relations at [email protected] Tel: +972-8-9311901[1] https://www.mordorintelligence.com/industry-reports/global-herbicides-market-industryCisionView original content:https://www.prnewswire.com/news-releases/agplenus-achieves-milestone-in-collaboration-with-corteva-to-develop-novel-herbicides-302081302.htmlSOURCE AgPlenus Ltd.

PR Newswire

AgPlenus Achieves Milestone in Collaboration with Corteva to Develop Novel Herbicides

https://finance.yahoo.com/news/agplenus-achieves-milestone-collaboration-corteva-120000384.html

79bf87c8-007e-3ea3-aef9-6a940bb5dbd9

CTVA

Corteva, Inc. (CTVA) ended the recent trading session at $54.49, demonstrating a +0.85% swing from the preceding day's closing price. The stock's change was less than the S&P 500's daily gain of 1.03%. Elsewhere, the Dow saw an upswing of 0.34%, while the tech-heavy Nasdaq appreciated by 1.51%.Shares of the agriculture witnessed a loss of 0.07% over the previous month, beating the performance of the Consumer Staples sector with its loss of 0.65% and underperforming the S&P 500's gain of 3.21%.Investors will be eagerly watching for the performance of Corteva, Inc. in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.95, signifying a 18.1% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $4.64 billion, showing a 5.09% drop compared to the year-ago quarter.For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.89 per share and a revenue of $17.52 billion, representing changes of +7.43% and +1.71%, respectively, from the prior year.Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Corteva, Inc. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.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 an unchanged state. Corteva, Inc. presently features a Zacks Rank of #3 (Hold).Story continuesIn terms of valuation, Corteva, Inc. is presently being traded at a Forward P/E ratio of 18.67. This valuation marks a discount compared to its industry's average Forward P/E of 21.34.We can also see that CTVA currently has a PEG ratio of 1.38. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Agriculture - Operations industry had an average PEG ratio of 1.43.The Agriculture - Operations industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 236, which puts it in the bottom 7% of all 250+ industries.The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming 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 reportCorteva, Inc. (CTVA) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Corteva, Inc. (CTVA) Gains But Lags Market: What You Should Know

https://finance.yahoo.com/news/corteva-inc-ctva-gains-lags-231518858.html

cd7f6418-4826-356d-8c2d-a465110c6c30

CTVA

Evogene Ltd. (NASDAQ:EVGN) Q4 2023 Earnings Call Transcript March 7, 2024Evogene Ltd. isn't one of the 30 most popular stocks among hedge funds at the end of the third quarter (see the details here).Operator: Ladies and gentlemen, thank you for standing by. Welcome to Evogene's Fourth Quarter and Full Year 2023 Results Conference Call. All participants are present in a listen-only mode. Following managements formal presentation, instructions will be given for the question-and-answer session. [Operator Instructions] As a reminder, this conference is being recorded, March 7, 2024. Before we begin, I would like to caution that certain statements made during this earnings conference call by Evogene's management will constitute forward-looking statements that relate to future events. This investor call contains forward-looking statements relating to future events. These statements may be identified by words such as may, could, expects, hopes, intends, anticipates, plans, believes, schedules, estimates or words of similar meaning.For example, Evogene is using forward-looking statements in this investor call when it discusses the further partnerships with industry leaders, increased sales of subsidiary products like Casterra’s elite castor varieties and Lavie Bio's bio-inoculant Yalos, expansion beyond its current sectors, continued revenue growth for the Evogene Group in 2024, potential transfer of Canonic's operations to a third party, increased production of Casterra, commercialization of AgPlenus and Lavie Bio's and the timing and results of the clinical trials and preclinical trials of Biomica's products. Such statements are based on current expectations, estimates, projections and assumptions describe opinions about future events involve certain risks and uncertainties, which are difficult to predict and are not guarantees of future performance.Therefore, actual future results, performance or achievements of Evogene and its subsidiaries may differ materially from what is expressed or implied by such forward-looking statements due to a variety of factors, many of which are beyond the control of Evogene and its subsidiaries, including without limitation, the current war between Israel and Hamas and any worsening of the situation in Israel. Such as further mobilizations or escalation in the northern border of Israel and those risk factors contained in Evogene's reports filed with an applicable securities authority. In addition, Evogene and its subsidiaries rely and expect to continue to rely on third parties to conduct certain activities such as their field trials and preclinical studies.Story continuesAnd if these third parties do not successfully carry out their contractual duties, comply with regulatory requirements or meet expected deadlines, Evogene and its subsidiaries may experience significant delays in the conduct of their activities. Evogene and its subsidiaries disclaim any obligation or commitment to update these forward-looking statements to reflect future events or developments or changes in expectations, estimates, projections and assumptions. More detailed information about the risk factors potentially adversely impacting our performance can be found in our reports filed with the U.S. Securities and Exchange Commission. Today's call will feature Ofer Haviv, President and CEO of Evogene alongside Yaron Eldad, CFO of Evogene and Yoash Zohar, CEO of Casterra.Additionally, a representative each subsidiary will be present at the Q&A session. That said, I would now like to turn over the call to Ofer Haviv, President and CEO of Evogene. Mr. Haviv, please go ahead.Ofer Haviv: Hi, and good day, everyone. In today's conference call, I would like to start with a review of the Evogene Group's achievement June 2023 until today and provide you with an update on our activities as well as potential catalysts during the next 12 months. Following my review, Casterra new CEO, Yoash Zohar, will introduce himself, provide an update on Casterra's activity and outline the Company's Board for the coming years. Evogene's CFO, Yaron Eldad will then provide a financial summary and update. After that, we will open the Q&A session. What year it's been for the Evogene Group since our last earnings call summarizing 2022. Despite the challenges we are facing collectively here in Israel, this year marked a significant shift in how the industry views our technology and products, translating into growing collaborations with board-leading companies.The number and caliber of partnerships, Evogene and our subsidiaries have formed speaks of volumes. Lavie Bio, partnering with Corteva, ICL, and Syngenta. AgPlenus partnering with Bayer and Corteva. Casterra partnered with global oil and gas company. Biomica securing investment from Shanghai Healthcare capital and Evogene collaborating with Verb Biotics and Colors, all highlight our growing presence and impact in the life science industry. This expanding collaboration momentum validate the value of Evogene AI tech engines, MicroBoost AI, ChemPass AI and GeneRator AI, relying on our CPB platform, which we have been developing for over a decade. Looking ahead, we anticipate further collaboration with industry leaders directly or through our subsidiaries, an increase in the volume of sales of products by our subsidiaries such as Casterra's elite castor varieties and Lavie's bio-inoculant Yalos and expanding Evogene's reach behind its current sectors of activity.These efforts not only validate our contribution, but also strengthen our financial position through non-dilutive funding and revenue streams from upfront payments, R&D fees, milestones and direct product sales. As reflected in the revenue the Company reports today totaling approximately $5.6 million compared to approximately $1.7 million in 2022. We expect to see continued growth in the Evogene Group revenue in 2024. As we have new listeners on today's call, I would like to briefly review Evogene's core technology and our value proposition. Evogene has been using its computational predictive biology platform, the CPB to direct and accelerate the development of life science-based products. The CPB is at the foundation of our three AI tech engines.MicroBoost AI supports the development of micro-based products, ChemPass AI supports small molecule-based product and GeneRator AI supports product based on genetic elements. Our AI-driven tech engines aim to tackle the main challenges in life science product development, candidate discovery and optimization. Identified winning candidates from a set number of prospects and meeting complex criteria for success in commercial products. The value proposition of our AI-driven tech engines stems from the efficient finding of the needle in the haystack; therefore, increasing the probability of the success within a competitive timeframe and in a cost-efficient manner. After reviewing our technology on to our business model, our business model revolves around two main strategies: for leveraging our AI technology licensing.Evogene offers time limited license to third parties, such as our subsidiaries on related entities allowing them to use our tech engine for product development within a specific commercial domain. This model typically generates revenue through license fee, R&D reimbursement, but more importantly, dividends to Evogene as a shareholder over significant onetime payments upon an exit event, particularly if Evogene is a major shareholder. Collaboration. Evogene collaborate with industry leaders to jointly drive product development. In these ventures, our partners often take the lead in later-stage development and commercialization, while we contribute our unique tech engine to identify and optimize product candidates. Revenue from this model usually came from upfront payment, R&D fees and royalty from sales of future end products.And now, we are commercializing MicroBoost AI through licensing agreements with Lavie Bio for ag-biological and with Biomica for human microbiome based ag development, and Evogene is also collaborating with Verb Biotics to develop probiotic product. ChemPass AI is commercialized through a license agreement with our subsidiary, AgPlenus for chemical product development. GeneRator AI is commercialized through license agreement with Casterra for castor seed varieties and Canonic for medical cannabis products. Evogene is also collaborating with Colors Farms Ltd. on crustacean gene editing technology through GeneRator AI. I would like now to review in more detail the collaboration of Evogene is engaged in with third parties and then briefly review the main achievements of our subsidiaries.At the beginning of February 2024, we proudly announced a partnership between Evogene and Verb Biotics, an innovative probiotics company. Our collaboration with Verb Biotics allows us to tap into the growing probiotics market using Evogene's MicroBoost AI tech-engine. Together, we are working on identifying and designing probiotic bacteria that produce highly sustainable quantities of microbial metabolites known to improve human health and vitality with the probiotics market projected to double to around $114 billion by 2031. We are seizing the opportunity to revolutionize this industry and provide cutting-edge solutions for consumer worldwide. Earlier this year, we reported collaboration with Colors Farm and Ben Gurion University to crustacean gene editing technology aiming to enhance crustacean traits.The collaboration is powered by a grant from the Israel Innovation Authority and utilize Evogene's GeneRator AI tech engine. Another milestone worth mentioning is that our Ag-Seed Division secured the EUR 1.2 million grant to develop oilseed crops with enhanced CO2 simulation and drought tolerance. The program known as the EIC 2022 Horizon program supports business addressing climate focus and sustainable crop development. In this program, we utilize the Evogene's GeneRator AI tech engine capabilities as well. These partnerships exemplify our business approach and demonstrate how we use our tech engines to bring innovative products to market in sectors not covered by our subsidiaries. It's important for me to emphasize that all of these collaborations are all generating revenue to Evogene.Now let's review our subsidiaries' achievements. I would like to start with Casterra. Evogene's fully owned subsidiary, which focuses on developing an integrated solution to enable large-scale commercial cultivation of castor beans benefiting from its unique and listed varieties, utilizing GeneRator AI tech engines. Casterra solutions aim to address the global demand for a stable customer oil supply, mainly for the biodiesel industry. The past year was pivotal for Casterra. Its vision of becoming a significant player in the biodiesel industry progresses with seed order from award leading oil and gas company, totaling $11.3 million for castor cultivation in Africa. In September, Casterra successfully delivered its first shipment of high-yield high-oil castor seeds from Brazil and Zambia to an African region generating revenue of approximately $1 million.As published earlier this week, the Company recently signed agreements with existing and new seed producers in Brazil and Africa to increase its production capabilities of castor seeds in 2024, which are expected to add approximately 400 tons. This new agreement will enable the Company to support the existing state orders. Looking forward to 2024, Casterra is committed to expanding its castor seed production capacity through securing agreements with additional subcontractors in Brazil and Africa on which we expect to update. Finally, on January 2024, we welcome you Yoash Zohar as Casterra's new CEO, who will enter present himself. Yoash brings a wealth of experience in global ad projects, and I'm confident in his ability to propel the Company forward.I wish him and the rest of Casterra's team would luck. Now I would like to review our wholly owned subsidiary, AgPlenus aiming to discover next-generation innovative crop protection products, including herbicide, insecticide and fungicide and commercialize them through collaboration with world-leading partners. AgPlenus utilized Evogene ChemPass AI tech engine to accelerate and direct its product development. Major agrochemical companies dominate today's crop protection industry. Still, they look to smaller ag tech companies to discover new target brought in and small molecules that inhibit such target proteins, serving as the active ingredient in commercial crop protection product. AgPlenus is the Company that addresses this need. As I stated in the previous call, there is a growing interest in AgPlenus product pipeline.And recently, we were fortunate to see that interest materialize. In February 2024, AgPlenus announced signing of a licensing and collaboration agreement with Bayer's Crop Science division. Under the agreement, AgPlenus will use its AI-driven computational modeling technology to design and optimize the molecules identified for their broad-spectrum herbicidal activity, targeting the APTH1 protein, a new mode of action identified by AgPlenus. Bayer will have the exclusive license for developing and commercializing products developed within the collaboration. AgPlenus will be entitled to receive an upfront payment ongoing research funding, milestone payments and royalty based on future product sales. Another impressive and important announcement was the milestone achievement in the ongoing collaboration with Corteva for the development of novel herbicides.A close-up of a scientist in a lab coat manipulating computational predictive tools.The milestone marks the successful identification of a new family of molecules exhibiting herbicidal effect through a novel mode of action, APCO-12 discovered by AgPlenus. In the next phase, the collaboration will optimize the identified molecules towards commercial level products, utilizing AgPlenus cutting-edge computational technology powered by Evogene's ChemPass AI tech engine. These two collaborations strengthened AgPlenu's financial position and overall perception in the agriculture market. Last, but not least, we introduced Dr. Dan Jacob Gelvan as AgPlenus new CEO, that's extensive experience and proven track record well positioned him to guide AgPlenus through its next phase of growth and innovation. AgPlenus former CEO, Dr. Brian Ember, has transitioned to Chief Business Officer.I would like to thank Brian for his contribution and leadership to AgPlenus, and I look forward to continuing our work together in his new role. AgPlenus is looking towards an exciting year with new management in place, the collaborative agreements signed with Bayer in February and the maximum reach in the Corteva collaboration in March. 2024 is looking bright for the Company. Alongside those AgPlenus will continue to advance its pipeline based on the ChemPass AI tech engine and seek additional collaboration with existing and new partners. I would like now to continue with the two subsidiaries using MicroBoost AI to accelerate and direct their product development, Biomica and Lavie Bio. Biomica specializing in developing microbiome therapeutics for human health, utilizing Evogene's MicroBoost AI tech engine to discover and optimize microbes with therapeutic potential.In April 2023, Biomica completed a $20 million financing round with Shanghai Healthcare Capital investment of $10 million. This investment made as a post-money valuation of $50 million served as an external validation of Biomica's long-term potential. Biomica's flagship product candidate, BMC128, targeting immune-oncology patients is currently undergoing Phase I clinical trial. The trial initiated at Rambam Health Care Campus in Israel aims to assess BMC128 safety and durability in combination with Bristol-Myers Squibb’s Opdivo immune therapy. In August 2023, Biomica expanded its operations by opening a second site at The Davidoff Cancer Center in Israel to facilitate additional patient recruitment for the clinical trial. In January 2024, Biomica reached a significant milestone by completing Phase I trial enrollment for its microbiome-based immuno-oncology drug with preliminary results showing promising outcomes.Initial data point readout is anticipated during 2024. In July 2023, Biomica reported positive interim results from preclinical studies on its IPS program conducted in collaboration with Professor Kara Gross Margolis Lab at New York University. These results demonstrate the efficacy of Biomica's live bacterial consortia, BMC426 and BMC427 alleviating visceral pain, a major symptom of IBS, presenting promising new treatment avenues. Biomica intends to conduct further preclinical studies on BMC426 and BMC427 to prepare for clinical trials. Looking ahead, Biomica remains committed to advancing its efforts and aim to submit an IND application for BMC128, targeting immuno-oncology patients. During the third quarter of 2024, a pivotal step in preparing for Phase II clinical trial in the U.S. In addition, the Company will continue to expand its candidates in the IBS and IBD programs towards Phase I clinical trials.Now to Lavie Bio, who leverages Evogene's MicroBoost AI tech engine to develop next-generation ag-biological products. In addition to Evogene's majority ownership, Lavie Bio has two additional major shareholders Corteva, New York listed multinational ad tech giant and ICL a New York listed global minerals and ad-tech company. In July 2023, Lavie Bio entered a licensing agreement with Corteva considering exclusive rights for Corteva for advancing and commercializing Lavie Bio’s lead bio-fungicides, LAV311 and LAV312 targeting fruit rots. This agreement follows two years of independent field validation trial conducted by both companies. Under the agreement, Lavie Bio received an initial payment of $5 million and will also be eligible for additional future milestone payments and royalties from Corteva's future sales of the product.Another major step for Lavie Bio was the recent announcement in February 2024 of the agreement with Syngenta for the discovery and development of new biological insecticide solution. The collaboration will leverage Lavie Bio's technology platform to rapidly identify and optimize bioinsecticide candidates. These two collaborations strengthen Lavie Bio's financial position and overall perception in the agriculture market. Now let's move from collaborations to product sales. Lavie Bio's first bio-inoculant Yalos achieved several impressive milestones. In May 2023, Yalos obtained regulatory approval from the Canadian Food Inspection Agency, expanding itself territory significantly and tripling its reach. In November 2023, Yalos expanded its scope to include durum and barley varieties across the U.S. and Canada.This expansion followed successful field trials in 2023, demonstrating an average of approximately 7% of yield increase in durum and barley. In December 2023, Lavie Bio secured an exclusive distribution agreement with WinField United Canada for Yalos aiming to drive sales growth in key Canadian agriculture regions including Saskatchewan, Alberta and Manitoba. The focus of the distribution agreement is on spring wheat, durum and barley crops. Overall, Yalos made significant strides in regulatory approval, product expansion and distribution partnerships, positioning it as a valuable tool for enhancing productions and addressing environmental challenges in the agriculture industry. Looking forward to 2024, Lavie Bio will continue to focus on three main pillars: the first will be to grow the sales and distribution of the Company's bio-inoculant product Yalos in the U.S. and Canada.The second is to continue driving the Company's pipeline of innovative product towards commercialization, including special focus on the Company's strategic partnership with Corteva, ICL and the recent one with Syngenta. The last pillar will be to continue advancing the Company's unique technology platform ability powered by Evogene MicroBoost AI tech engine with new tools and capabilities. Finalizing my review of our subsidiaries, I would like to update on economics, which provides tailored medical cannabis products. Following my previous update in Q3 2023 in which we noted that we have decided to reduce our investment in economics. Due to the challenging market conditions of the medical cannabis sector, we have recently engaged in advanced discussions relating to the potential transfer to a third party of Canonic's operations.There is no assurance that such transfer will be completed or on what terms. We will continue to update you on this better. No doubt, 2023 was an exciting year for the Evogene Group filled with achievements. Looking forward to 2024, we expect that to see continued growth and additional collaborations benefiting from Evogene 3 AI tech engines. We ended 2023 with a solid cash balance of approximately $31.1 million and are expecting additional cash injections from collaborations and product sales. This concludes my review of the Evogene Group activities. Now Yoash Zohar, Casterra's new CEO, will take the leader.Yoash Zohar: Thank you, Ofer, and good day, everyone. I would like to start by thanking the exceptional team at Casterra for welcoming me during this pivotal moment for the Company and expressing my sincere gratitude to the Evogene management for their support. As we face the challenges ahead, and feel with optimism, driven by the great potential we see in Casterra. Ensuring a reliable and stable supply of castor seeds is crucially meeting our customers' demand while contributing positively to local economies. Our recently signed agreements with seed producers in Africa and Brazil, strengthened our supply chain and market strategic change towards diversifying our production sources. I believe Evogene's innovative AI technology will play a crucial role in shaping the future of castor seeds, solidifying Casterra's position as a world leader in the field.Together, I'm confident that we will leverage this technology to maintain Casterra's competitive edge and achieve on parallel success in the global market.Yaron Eldad: Thank you, Yash. As of December 31, 2023, Evogene had consolidated cash, cash equivalents and short-term bank deposits of approximately $31.1 million. Evogene together with Casterra, Canonic and AgPlenus possessed an aggregate of $12.4 million in cash, Biomica $12.7 million and Lavie Bio $6 million. In July 2023, the Company entered into securities purchase agreements with institutional investors in a registered direct offering of shares only. The gross proceeds from the offering were approximately $8.5 million. Looking ahead to 2024, we expect an approximate cash usage of $8 million excluding Lavie Bio and Biomica, which is significant decline compared to $12.5 million in 2023. This decline is mainly attributable to an expected increase in revenue in 2024 and a decrease in expenses due to the decline in economic activity.The total consolidated burn rate is expected to decline in 2023 as well to $21 million compared to $23.1 million in 2023. We do not have any bank debt. I would like now to highlight some specific items on the P&L. Revenues for 2023 were approximately $5.6 million in comparison to approximately $1.7 million in 2022. The increase in revenues was primarily due to $2.5 million generated by Lavie Bio as a licensing fee in the frame of its collaboration with Corteva as well as direct revenues recognized from Casterra sales of castor seed. R&D expenses for the fourth quarter of 2023, which are reported net of non-refundable grants received were approximately $5.5 million in comparison to approximately $4.8 million in the same period in the previous year.R&D expenses for the full year 2023 were approximately $20.8 million and remained stable compared to 2022. The main contributors to R&D expenses during 2023 were Lavie Bio activities and Biomica's development efforts. Sales and marketing expenses for the fourth quarter of 2023 were approximately $1 million, reflecting a slight decrease compared to approximately $1.2 million in the same period the previous year. For the full year 2023, sales and marketing expenses were approximately $3.6 million in comparison to approximately $3.9 million in 2022. General and administrative expenses for the fourth quarter of 2023 were approximately $1.2 million in comparison to approximately $1.7 million in the same period in the previous year. For the full year 2023, general and administrative expenses were approximately $6.1 million in comparison to approximately $6.5 million in 2022.The decrease was mainly attributed to the decrease in the cost of directors and officer's insurance. Other income in the fourth quarter of 2022, the Company received $3.5 million from Bayer under the joint seed trade collaboration agreement as part of a restructuring and release of the patent filing, prosecution and maintenance obligation under the collaboration. Operating loss for the fourth quarter of 2023 was approximately $7.6 million in comparison to an operating loss of approximately $3.8 million in the same period in the previous year. The increase in the operating loss was mainly due to the other income recorded in the fourth quarter of 2022, as mentioned above. Operating loss for the full year of 2023 was approximately $26.5 million in comparison to $26.9 million in 2022, mainly due to the significant increase of revenue in 2023, offset by the other income recorded in 2022.Financing income, net for the fourth quarter of 2023 was approximately $287,000 compared to approximately $6,000 in the same period in the previous year. Financing income net for the full year 2023 was approximately $521,000 compared to financing expenses of approximately $2.8 million in the same period in the previous year. The difference between periods was mainly due to the U.S. dollar and the new Israeli shekel exchange rate, a change in the value of marketable securities and an interest income compared to the same period in the previous year. Net loss for the fourth quarter of 2023 was approximately $7.3 million in comparison to a net loss of approximately $3.8 million in the same period in the previous year. The increase in net loss during the fourth quarter of 2023 is mainly due to other income received in 2022, as mentioned above.Net loss for the full year 2023 was approximately $26 million in comparison to a net loss of approximately $29.8 million for 2022. With that, both Ofer and I would now like to open the call for any questions you may have.See also Top 20 Most Valuable Tobacco Companies in the World and 25 Easiest Countries with Digital Nomad Visas for Remote Work.To continue reading the Q&A session, please click here.

Insider Monkey

Evogene Ltd. (NASDAQ:EVGN) Q4 2023 Earnings Call Transcript

https://finance.yahoo.com/news/evogene-ltd-nasdaq-evgn-q4-183010492.html

39d7b411-b8d8-35a1-8c20-ae1f07c2b4c3

CVS

The investments are one of many initiatives ranging from retail to workforce and philanthropy that exemplify the company's longstanding commitment to the people of Hawai'iWOONSOCKET, R.I., Feb. 21, 2024 /PRNewswire/ -- CVS Health® (NYSE: CVS) today announced its contribution of nearly $35 million in equity investments towards the creation of two new affordable housing developments in Hawai'i. Located in Lahaina, Maui and Kapolei, Oahu, the communities will also offer residents supportive social and educational programs tailored to address their specific needs. In addition to other multiple funding partners, these investments support the state of Hawai'i's priorities in early childcare and affordable housing and exemplify the power of public and private collaborations.Image provided by CVS HealthIn collaboration with Urban Housing Communities, Ikaika 'Ohana, and Hunt Capital Partners, CVS Health invested $17.5 million to help build 200 new affordable housing units at Kaiāulu o Kūku'ia in Lahaina, Maui. This development will bring critically needed affordable housing for families in the area, much of which was devastated by the 2023 Maui wildfires. Ikaika 'Ohana, co-developer and Hawai'i-based nonprofit, will be coordinating services to residents including immunizations and health screenings, childcare, GED and ESL classes, occupational certification courses, resume preparation and job referrals, and financial counseling. In addition, the Bezos Academy will be operating a Montessori preschool onsite free of charge for the pre-school aged children living at Kaiāulu o Kūku'ia."Hunt Capital Partners is proud to be part of the rebuilding of Lahaina. The affordable rental homes at Kaiāulu o Kūku'ia will be the first permanent housing to be delivered in Lahaina since the devasting fires in August," shared Steve Colón, Executive Vice President of Hunt Companies. "Our partners UHC and Ikaika 'Ohana are delivering a critically needed rental housing community that will enable 200 area families to move into homes starting this coming December."Story continuesColón continued, "All of us at Hunt are grateful to have collaborated with the community and organizations like UHC and Ikaika 'Ohana as we create affordable housing for local families statewide, but particularly now on Maui, which needs so much of our support. With this investment, CVS Health is changing lives and helping to put island residents into their own homes."Furthering its investment in the state, CVS Health also invested $17.3 million with The Kobayashi Group, The Ahe Group and CREA, LLC to build 169 new affordable housing units in Parkway Village at Kapolei, on the Island of O'ahu. Horizon Housing Foundation, a St. Louis-based nonprofit, will be providing no-cost services to residents, including education and building community, health, and wellness programs Kamehameha Schools, a Hawai'i-based, nationally recognized education group, will operate a tuition free preschool on the ground floor of one of the five residential buildings, along with the Board of Education and Partners in Development Foundation."Parkway Village is an incredible project in Hawai'i's fastest growing community that we are so proud of ," said Alana Kobayashi Pakkala, Executive Vice President and Managing Partner of Kobayashi Group. "We know the importance of affordable housing and early childhood education, especially in West O'ahu, so we're grateful for this public-private collaboration with CVS Health, City and County of Honolulu and HHFDC."The integration of early childcare facilities into both developments aligns with the state's universal access to preschool initiative, Ready Keiki, spearheaded by Lt. Gov. Sylvia Luke. "Partnerships, such as the collaboration with CVS Health, play a pivotal role in fostering nurturing communities, where families receive comprehensive support, and our children are provided with the environment to thrive and realize their full potential," said Luke. "As we work to ensure all Hawaiʻi children are ready for kindergarten and beyond, the support from CVS Health and community partners is invaluable."With the addition of Kaiāulu o Kūku'ia and Parkway Village, CVS Health has invested $62.2 million in affordable housing across Hawai'i to date, highlighting the company's efforts to advance health equity by addressing social determinants of health at the local level. Through these investments, CVS Health has provided historically underserved Hawai'i communities with quality housing and increased access to childcare and health care services based on the unique needs of each local population.Beyond its affordable housing investments, CVS Health's commitment to improving the health and wellbeing of Hawai'i residents can be seen through its philanthropic efforts, workforce initiatives and expanded retail presence in the region.Residents of Kaiāulu o Kūku'ia and Parkway Village will have access to educational opportunities and employment services and training through two new career skills labs in Kahului and Waimānalo. Funded in collaboration with CVS Health and the University of Hawai'i Maui College and Hawai'i Job Corps, respectively, the mock Longs Drugs pharmacy environments offer virtual and hands-on pharmacy technician skills training to help reduce employment barriers and provide the tools participants need to succeed in the workplace.And recently, CVS Health opened a new Longs Drugs store in Kapolei on O'ahu, marking the company's 60th Longs Drugs location in Hawai'i. Given the significance of local relationship to Lahaina residents, financing a new affordable housing investment after the wildfires reinforces the importance of Longs as an anchor in the community. Following the 2023 Maui wildfires, the area pharmacy team provided daily deliveries to three community shelters to help ensure continued access to medication and hosted a three-week drive-thru donation clinic to provide preventative care and essential goods to residents while working to reopen the impacted store for the community as quickly as possible.Also, following the fires, the CVS Health Foundation committed $450,000 to several organizations providing direct relief, including the Hawai'i Community Foundation's Maui Strong Fund, the American Red Cross, and World Central Kitchen. CVS Health customers contributed over $2 million to our in-store fundraising campaign to support the Maui Strong Fund and the Maui United Way."These investments and collaborations echo our longstanding commitment to supporting and uplifting the people of Hawai'i," said Scott Sutton, Regional Director, CVS Health. "We're providing community members with access to meaningful affordable housing, health care, and educational and workforce opportunities to ensure that they have the resources they need to improve their overall wellbeing."About CVS HealthCVS Health® is the leading health solutions company, delivering care like no one else can. We reach more people and improve the health of communities across America through our local presence, digital channels and over 300,000 dedicated colleagues — including more than 40,000 physicians, pharmacists, nurses and nurse practitioners. Wherever and whenever people need us, we help them with their health — whether that's managing chronic diseases, staying compliant with their medications or accessing affordable health and wellness services in the most convenient ways. We help people navigate the health care system — and their personal health care — by improving access, lowering costs and being a trusted partner for every meaningful moment of health. And we do it all with heart, each and every day. Follow @CVSHealth on social media.Media contactsMonica [email protected] Rebecca [email protected] Health (PRNewsFoto/CVS Health)CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/cvs-health-invests-nearly-35-million-in-affordable-housing-in-hawaii-302068178.htmlSOURCE CVS Health

PR Newswire

CVS Health invests nearly $35 million in affordable housing in Hawai'i

https://finance.yahoo.com/news/cvs-health-invests-nearly-35-014500660.html

79bb252e-3726-3538-8209-cb2cbc12f041

CVS

CVS Health (CVS) 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.Shares of this drugstore chain and pharmacy benefits manager have returned +5.8% over the past month versus the Zacks S&P 500 composite's +4.7% change. The Zacks Retail - Pharmacies and Drug Stores industry, to which CVS Health belongs, has gained 1.5% over this period. Now the key question is: Where could the stock be headed in the near term?While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.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.CVS Health is expected to post earnings of $1.78 per share for the current quarter, representing a year-over-year change of -19.1%. Over the last 30 days, the Zacks Consensus Estimate has changed -12%.For the current fiscal year, the consensus earnings estimate of $8.37 points to a change of -4.2% from the prior year. Over the last 30 days, this estimate has changed -2.4%.Story continuesFor the next fiscal year, the consensus earnings estimate of $9.22 indicates a change of +10.2% from what CVS Health is expected to report a year ago. Over the past month, the estimate has changed -1.9%.Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, CVS Health is rated Zacks Rank #3 (Hold).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 CVS Health, the consensus sales estimate of $89.24 billion for the current quarter points to a year-over-year change of +4.7%. The $369.91 billion and $391.28 billion estimates for the current and next fiscal years indicate changes of +3.4% and +5.8%, respectively.Last Reported Results and Surprise HistoryCVS Health reported revenues of $93.81 billion in the last reported quarter, representing a year-over-year change of +11.9%. EPS of $2.12 for the same period compares with $1.99 a year ago.Compared to the Zacks Consensus Estimate of $90.8 billion, the reported revenues represent a surprise of +3.31%. The EPS surprise was +5.47%.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.CVS Health is graded B 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 CVS Health. 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 reportCVS Health Corporation (CVS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

CVS Health Corporation (CVS) Is a Trending Stock: Facts to Know Before Betting on It

https://finance.yahoo.com/news/cvs-health-corporation-cvs-trending-140016202.html

93e87d5e-8fa9-3809-8b08-54b446cf90fc

CVS

Becoming richer by investing in stocks usually doesn't happen overnight. It takes years -- sometimes decades -- of patience and holding on to shares of companies that aren't always performing as well as you'd like. That's an important part of the process. Investors shouldn't give up on stocks that aren't keeping pace with the market for a year or two, provided these stocks have solid prospects.Let's consider two companies that have lagged the market over the trailing 12 months but are still worth buying: CVS Health (NYSE: CVS) and Fiverr (NYSE: FVRR).1. CVS HealthPharmacy chain giant CVS Health dealt with several issues last year, including disappointing financial results and losing some business from a health insurer, Blue Shield California. The healthcare company also revised its guidance downward a couple of times last year, something the market doesn't like.CVS isn't out of the woods just yet. The company once again changed its guidance for 2024 in the wrong direction. It now expects adjusted earnings per share (EPS) of at least $8.30, compared to its previous projection of at least $8.50. The company also decreased its cash flow from operations guidance by half a billion dollars to about $12 billion. The company did so partly because it expects higher medical costs in 2024 than previously anticipated.So, CVS could remain somewhat vulnerable in the short term, but there is much to like about its long-term prospects. CVS has a solid track record. It has a diversified healthcare business that should allow it to profit from long-term trends for a long time, and a strong competitive advantage. As shown by CVS' track record, the company has generally reported improving financial results.CVS Free Cash Flow ChartIts revenue and earnings have been skewed in recent years due to the effect -- positive and negative -- of COVID-19 vaccinations. That's why it's essential to look at the overall picture.Also note that CVS isn't just a pharmacy chain. The company is a leading insurer through its subsidiary, Aetna, and has dipped its toes in the primary care market through acquisitions. CVS is seeking to go further by developing generic drugs through a newly launched and wholly owned subsidiary, Cordavis.Story continuesThe company wants to take care of patients at virtually all levels of their medical care journey, from primary care to drug prescriptions and insurance, and, of course, the ability to offer cheaper generic versions of popular medicines. With an aging population, the demand for these services will only increase.Lastly, CVS' brand name has built trust with patients over time, an important factor in all industries, especially in the healthcare sector. People have been going to the company's pharmacies for decades to fill their prescriptions. It will be challenging to erode the company's deeply entrenched position in thousands of markets across the U.S.Here's one more reason to invest in CVS: The company is a solid dividend stock, currently yielding 3.58%, which should help further boost long-term returns for those who opt to reinvest their payouts.2. FiverrFiverr's platform helps freelancers attract individuals and businesses that want their services. Though the company was highly popular in the earlier days of the pandemic, business has cooled down. Revenue growth has slowed, as has the increase in the number of buyers' active accounts on its website. However, the company has made tremendous progress elsewhere, especially on the bottom line, thanks to aggressive cost-cutting measures.Last year, Fiverr's revenue increased by 7.1% to $361.4 million. It reported a net income of $3.7 million, compared to the net loss of $71.5 million recorded in 2022. Fiverr's gross margins also grew to 82.9%, up from 80.5% year over year. True, active buyers decreased 5% year over year to 4.1 million, but the company's spending per buyer in the fourth quarter jumped 6% year over year to $278.Fiverr's future is tied to the gig economy. The more people choose to start freelancing -- even part-time -- and the more businesses look for freelancing services, the more the company should benefit. Here's the good news for Fiverr: The gig economy should continue growing, according to projections. This shouldn't come as a surprise.Businesses benefit from it as it helps them onboard freelancers quickly to perform certain jobs, without needing to hire full-blown employees who would be entitled to many benefits freelancers don't get. On the other hand, many freelancers enjoy the freedom and flexibility the lifestyle affords. Fiverr is a pioneer in its field.The company also benefits from the network effect, with freelancers and businesses increasingly seeking one another on the platform, making it more valuable over time. Fiverr sees a total addressable market worth $247 billion. Though it isn't the only company in this industry, even grabbing 2% of that total in the next 10 years would work wonders for its top and bottom lines.That's why the stock could provide much better returns in the next 10 years than it has over the past 12 months.Should you invest $1,000 in CVS Health right now?Before you buy stock in CVS Health, 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 CVS Health 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, 2024Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Fiverr International. The Motley Fool recommends CVS Health. The Motley Fool has a disclosure policy.2 Beaten-Down Stocks That Could Make You Richer was originally published by The Motley Fool

Motley Fool

2 Beaten-Down Stocks That Could Make You Richer

https://finance.yahoo.com/news/2-beaten-down-stocks-could-121500188.html

b4302ce8-1f87-3877-83ab-7cbdf689c896

CVS

CVS Health (CVS) 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 drugstore chain and pharmacy benefits manager have returned -1.6%, compared to the Zacks S&P 500 composite's +2.7% change. During this period, the Zacks Retail - Pharmacies and Drug Stores industry, which CVS Health falls in, has lost 1.1%. The key question now is: What could be the stock's future direction?While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.Revisions to Earnings EstimatesHere 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.Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.CVS Health is expected to post earnings of $1.74 per share for the current quarter, representing a year-over-year change of -20.9%. Over the last 30 days, the Zacks Consensus Estimate has changed -7.4%.For the current fiscal year, the consensus earnings estimate of $8.35 points to a change of -4.5% from the prior year. Over the last 30 days, this estimate has changed -0.3%.Story continuesFor the next fiscal year, the consensus earnings estimate of $9.20 indicates a change of +10.2% from what CVS Health is expected to report a year ago. Over the past month, the estimate has changed -0.4%.Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, CVS Health is rated Zacks Rank #4 (Sell).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 CVS Health, the consensus sales estimate of $89.3 billion for the current quarter points to a year-over-year change of +4.7%. The $370.21 billion and $392.74 billion estimates for the current and next fiscal years indicate changes of +3.5% and +6.1%, respectively.Last Reported Results and Surprise HistoryCVS Health reported revenues of $93.81 billion in the last reported quarter, representing a year-over-year change of +11.9%. EPS of $2.12 for the same period compares with $1.99 a year ago.Compared to the Zacks Consensus Estimate of $90.8 billion, the reported revenues represent a surprise of +3.31%. The EPS surprise was +5.47%.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.CVS Health is graded B 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 CVS Health. However, its Zacks Rank #4 does suggest that it may underperform 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 reportCVS Health Corporation (CVS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

CVS Health Corporation (CVS) is Attracting Investor Attention: Here is What You Should Know

https://finance.yahoo.com/news/cvs-health-corporation-cvs-attracting-130013220.html

78114775-5a7f-392c-b20e-863fe65710d4

CVS

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 CVS Health (CVS).CVS Health currently has an average brokerage recommendation (ABR) of 1.63, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 23 brokerage firms. An ABR of 1.63 approximates between Strong Buy and Buy.Of the 23 recommendations that derive the current ABR, 14 are Strong Buy and three are Buy. Strong Buy and Buy respectively account for 60.9% and 13% of all recommendations.Check price target & stock forecast for CVS Health here>>>While the ABR calls for buying CVS Health, 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.Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.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 continuesZacks Rank Should Not Be Confused With ABRAlthough 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.Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.Is CVS Worth Investing In?Looking at the earnings estimate revisions for CVS Health, the Zacks Consensus Estimate for the current year has declined 0.3% over the past month to $8.35.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 #4 (Sell) for CVS Health. 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 CVS Health 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 reportCVS Health Corporation (CVS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Wall Street Analysts See CVS Health (CVS) as a Buy: Should You Invest?

https://finance.yahoo.com/news/wall-street-analysts-see-cvs-133011780.html

dc7534ab-2632-3a7c-a5fc-10cef837dbbc

CVX

(Bloomberg) -- Exxon Mobil Corp. and Cnooc Ltd. are considering exercising rights to acquire Hess Corp.’s stake in a giant offshore oil development in Guyana, a move that could break up Chevron Corp.’s $53 billion deal to buy into the field.Most Read from BloombergBYD’s New $233,450 EV Supercar to Rival Ferrari, LamborghiniStock Rally Stalls at Start of Data-Packed Week: Markets WrapFreddie Mercury’s London Residence Lists at £30 MillionJacob Rothschild, Financier and Philanthropist, Dies at 87A Spike in Heart Disease Deaths Since Covid Is Puzzling ScientistsChevron is adamant there’s “no possible scenario” Exxon or Cnooc could buy the stake, and said in a statement that it remains fully committed to the Hess deal. But Exxon said it has a duty to its shareholders to explore the right of first refusal over the change of ownership of the Hess stake. Hess shares slid 3.3% to $144.96 at 6:32 p.m. in late New York trading.The moves hold the potential to kick off a high-stakes battle for the fastest-growing and largest oil discovery of the past decade and the main reason Chevron struck a deal to buy Hess in October. Exxon, the operator of the project, first found oil in Guyanese waters in 2015 and has since discovered 11 billion barrels of reserves. The company expects production there to double to 1.2 million barrels a day by 2027.“We owe it to our investors and partners to consider our pre-emption rights in place under our Joint Operating Agreement to ensure we preserve our right to realize the significant value we’ve created and are entitled to in the Guyana asset,” Exxon said in a statement Monday.Cnooc didn’t immediately respond to an emailed request for comment.The dispute over Guyana’s Stabroek Block underscores how important the emerging basin is to global crude markets. Oil majors have struck a flurry of megadeals in recent months to secure stakes in proven reserves without building new projects that would increase global supplies.Story continuesExxon and Cnooc’s right of first refusal is “not applicable” to its merger with Hess, Chevron said in an emailed statement. “As described in the S-4, there is no possible scenario in which Exxon or Cnooc could acquire Hess’ interest in Guyana as a result of the Chevron-Hess transaction.”Still, the company warned in a regulatory filing Monday there’s a risk the deal may not be completed if if Exxon and Cnooc launch a successful counterbid.“If these discussions do not result in an acceptable resolution, and arbitration (if pursued) does not result in a confirmation that such right of first refusal provision is inapplicable to the merger, then there would be a failure of a closing condition under the Merger Agreement, in which case the merger would not close,” Chevron said.--With assistance from Dan Murtaugh.(Updates with Chevron’s comment starting in second paragraph.)Most Read from Bloomberg BusinessweekElon Musk’s Vegas Tunnel Project Has Been Racking Up Safety ViolationsThe High Cost of Eating Out in AmericaTranscript: Did Musk Buy Twitter to Keep His Movements Secret?Why Elon Musk Bought Twitter in the First PlaceCan the Masters of Hipster Cringe Conquer Hollywood With Wall Street Cash?©2024 Bloomberg L.P.

Bloomberg

Exxon Considers Pre-Emption Rights to Hess’ Guyana Oil Stake

https://finance.yahoo.com/news/exxon-considers-pre-emption-rights-220115518.html

c089a962-2891-3c49-aa7d-67f52e7ba45e

CVX

Strengths highlight Hess Corp's robust production and reserve base, particularly in the Bakken Shale and Guyana.Weaknesses underscore challenges in cost management and the impact of global market volatility.Opportunities emphasize potential growth through strategic partnerships and exploration successes.Threats include regulatory changes, environmental concerns, and the impending merger with Chevron.Warning! GuruFocus has detected 7 Warning Signs with BGNE.On February 26, 2024, Hess Corp (NYSE:HES) filed its annual 10-K report, revealing a year of strategic maneuvers and financial outcomes. With net proved reserves of 1.3 billion barrels of oil equivalent and a daily production average of 344 thousand barrels of oil equivalent, Hess Corp maintains a strong presence in the oil and gas sector. The financial tables within the filing indicate a company navigating the complexities of the energy market, balancing investments in exploration and production with the demands of a volatile pricing environment. As we dissect the financial health and strategic positioning of Hess Corp, this SWOT analysis aims to provide investors with a comprehensive view of the company's internal dynamics and external influences.Decoding Hess Corp (HES): A Strategic SWOT InsightStrengthsRobust Reserve and Production Base: Hess Corp's strength lies in its substantial reserve base, particularly in the Bakken Shale and offshore Guyana, which are key drivers of production growth. The company's focus on these high-quality assets has resulted in a production mix heavily weighted towards oil, which typically commands a higher market price than natural gas. This strategic asset allocation underpins Hess Corp's financial resilience and positions it favorably within the industry.Operational Efficiency: Hess Corp has demonstrated a commitment to operational efficiency, as evidenced by its effective use of technology and innovative practices in exploration and production. The company's ability to maintain competitive production costs, despite market fluctuations, is a testament to its operational prowess and prudent management.Story continuesWeaknessesCost Management Challenges: Despite its operational efficiencies, Hess Corp faces challenges in managing costs, particularly in the context of global market volatility. The company's financial performance is susceptible to fluctuations in crude oil and natural gas prices, which can impact profitability and necessitate stringent cost control measures.Debt Levels: Hess Corp's long-term debt, with a carrying value of $8,613 million, poses a financial risk, especially in an environment of rising interest rates. While the company's debt is primarily fixed-rate, which provides some predictability in financial planning, the magnitude of the debt requires careful management to maintain financial flexibility.OpportunitiesStrategic Partnerships and Alliances: Hess Corp has the opportunity to further leverage strategic partnerships, like its collaboration in Guyana, to bolster its exploration and production capabilities. These alliances can provide access to additional resources, share risks, and enhance the company's market position.Exploration Successes: The company's active exploration program, particularly in offshore Guyana and the Gulf of Mexico, presents significant opportunities for reserve additions and production growth. Success in these ventures could lead to substantial long-term value creation for Hess Corp.ThreatsRegulatory and Environmental Concerns: Hess Corp operates in a regulatory environment that is increasingly focused on environmental protection. Changes in laws and regulations, particularly those related to greenhouse gas emissions and flaring, pose potential threats to the company's operations and cost structure.Merger with Chevron: The proposed merger with Chevron presents both opportunities and threats. While the merger could lead to synergies and enhanced competitive positioning, there are risks associated with integration, regulatory approvals, and potential disruptions to business operations.In conclusion, Hess Corp (NYSE:HES) exhibits a strong operational foundation with significant reserves and production capabilities. However, it must navigate cost management challenges and a substantial debt load. Opportunities for growth through strategic partnerships and exploration are promising, yet the company must remain vigilant against regulatory pressures and the complexities of the Chevron merger. As Hess Corp moves forward, its ability to leverage its strengths and capitalize on opportunities while mitigating its weaknesses and threats will be critical to its success in the evolving energy 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 Hess Corp (HES): A Strategic SWOT Insight

https://finance.yahoo.com/news/decoding-hess-corp-hes-strategic-050536233.html

e28eb61b-8233-3f06-8953-0bfb3f5f6ae2

CVX

ExxonMobil (NYSE: XOM) is a great oil company. It has delivered peer-leading growth across several key metrics over the past several years. It also has the longest dividend-growth streak in the oil patch at 41 consecutive years.However, ExxonMobil might not be the best energy stock for all investors. Chevron (NYSE: CVX), Enterprise Products Partners (NYSE: EPD), and Enbridge (NYSE: ENB) stand out to a few Fool.com contributors as potentially better investment opportunities. Here's why investors looking at ExxonMobil should also consider these energy stocks.Chevron has a higher yield and lower leverageReuben Gregg Brewer (Chevron): ExxonMobil, with a market cap of nearly $420 billion, is a much larger company than Chevron, which has a market cap a touch below $280 billion. So if you want the 800-pound gorilla in the energy sector you should buy ExxonMobil. But after that one data point, ExxonMobil and Chevron are very similar integrated energy companies. Chevron, meanwhile, has a couple of key stats that might tip the scale in its direction.CVX Debt to Equity Ratio ChartFirst off, Chevron's debt-to-equity ratio is 0.12 times versus ExxonMobil's 0.18 times. Chevron's lower leverage is a trend that has been in place for a number of years at this point but winds up being important because of the cyclical nature of the oil patch. When oil prices fall, Chevron and ExxonMobil both lean on their balance sheets to support their businesses and continue to pay their dividend. Chevron simply has more leeway on that front today.And then there's the dividend. Yes, ExxonMobil's 41-year streak of annual increases is better than the 36 years Chevron has put up, but both are still impressive shows of dividend commitment. They really stand toe-to-toe on this factor. But Chevron's dividend yield is 4.3% today compared to ExxonMobil's 3.6%. That makes Chevron a much more attractive dividend stock.If you are looking at ExxonMobil, Chevron is very similar and, perhaps, even better in two very important ways.Story continuesA much bigger yield than ExxonMobilNeha Chamaria (Enterprise Products Partners): Investors in energy often flock to ExxonMobil for two reasons: the oil giant's rock-solid dividend-growth streak, backed by steady cash flows and strong financials. After all, 41 years of consecutive annual dividend increases in a cyclical sector like energy is no joke.Yet, while there's no denying that ExxonMobil has proven its mettle, there's another energy stock that looks promising for long-term investors: Enterprise Products Partners. Enterprise Products may not have a long dividend-growth track record like ExxonMobil, but it has raised its dividends every year for the past 25 consecutive years nonetheless, and the dividend yield is a solid 7.2%, or twice ExxonMobil's yield.Importantly, its high yield is well-supported by cash flows, making Enterprise Products' dividends reliable. In 2023, for example, Enterprise Products generated enough distributable cash flows (DCF) to cover its dividends by 1.7 times. In fact, its DCF has consistently remained above 1.5 times since 2018. Operating in the midstream oil and gas space helps as Enterprise Products' cash flows tend to be more stable than ExxonMobil's given the largely contractual nature of its services.XOM Cash from Operations (TTM) ChartAs for its financial fortitude, Enterprise Products has manageable debt and ample liquidity, and it boasts one of the highest credit ratings in the midstream energy space.Like ExxonMobil, Enterprise Products has proven its mettle over the years, and with management committed to dividend growth while expanding the company's infrastructure, an investment in Enterprise Products stock should pay off in the long run.A much, much lower-risk energy stockMatt DiLallo (Enbridge): As an oil and gas producer, ExxonMobil is a price taker. It must sell its output at the going market rate, which could be high or low depending on market conditions. Because of that, its earnings can be very volatile. For example, while ExxonMobil earned $36 billion last year, that was about $20 billion less than it hauled in during 2022 when oil and gas prices were much higher. Commodity prices don't matter much to Enbridge. The Canadian pipeline and utility company gets 98% of its earnings from stable, predictable cost-of-service arrangements and long-term contracts. It gets paid the same rate no matter the price of the oil and gas flowing through its massive pipeline systems. Enbridge also generates predictable earnings from operating natural gas utilities and renewable energy assets. Because of that, its cash flow has steadily grown (and achieved the company's annual guidance) despite significant market dislocations over the years: Image source: Enbridge.Enbridge's business model also gives it much more visibility into its earnings growth. The company expects its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to rise by 7% to 9% annually through 2026 and grow at around a 5% annual rate after that. The company's stable revenue frameworks and growing backlog of expansion projects give it lots of visibility into future earnings growth. They also drive Enbridge's view that it can continue increasing its 7.7%-yielding dividend, which it has raised for 29 straight years. That higher yield, along with its more predictable business model, makes Enbridge a much lower-risk way to invest in energy stocks. Should you invest $1,000 in ExxonMobil right now?Before you buy stock in ExxonMobil, 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 ExxonMobil 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 Chevron, Enbridge, and Enterprise Products Partners. Neha Chamaria has no position in any of the stocks mentioned. Reuben Gregg Brewer has positions in Enbridge. The Motley Fool has positions in and recommends Chevron and Enbridge. The Motley Fool recommends Enterprise Products Partners. The Motley Fool has a disclosure policy.Looking at ExxonMobil? Consider These 3 Energy Stocks Instead was originally published by The Motley Fool

Motley Fool

Looking at ExxonMobil? Consider These 3 Energy Stocks Instead

https://finance.yahoo.com/news/looking-exxonmobil-consider-3-energy-141200087.html

15481fa4-ab35-3f84-b7b9-11c780fbeb2e

CVX

For Immediate ReleaseChicago, IL – March 11, 2024 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Chevron Corp. CVX, Verizon Communications Inc. VZ Eaton Corp. plc ETN, NVIDIA Corp. NVDA and Ford Motor Co. F.Here are highlights from Friday’s Analyst Blog:Top Stock Reports for Chevron, Verizon and EatonThe 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 Chevron Corp., Verizon Communications Inc. and Eaton Corp. plc. 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 >>>Shares of Chevron have underperformed the Zacks Oil and Gas - Integrated - International industry over the past year (-4.6% vs. +0.9%). The Zacks analyst believes based on a number of near-term challenges, Chevron appears to be a risky bet. Over the past year, the energy major has seen its stock price decline more than 10% compared with the S&P 500's increase of 21%.The supermajor – with 60% liquids-weighted production – is highly exposed to the perils of oil price fluctuations. The drop in downstream segment earnings as a fallout of lower margins is a concern too while reserve replacement ratio remains weak, indicating challenges in replenishing produced energy.Moreover, it has been experiencing an increase in costs as a percentage of revenue. Finally, Chevron has been a laggard compared to its European peers to jump into the clean energy bandwagon. Considering these factors, the company is unlikely to return to favor anytime soon. This calls for a bearish stance on Chevron.(You can read the full research report on Chevron here >>>)Verizon's shares have outperformed the Zacks Wireless National industry over the past year (+13.3% vs. +7.5%). The company reported healthy fourth-quarter 2023 results, with the top and bottom line beating the respective Zacks Consensus Estimate, driven by significant 5G adoption and wireless traction.It is offering various mix-and-match pricing in both wireless and home broadband plans, which has led to solid client additions. Focus on emerging growth services like cloud, security and professional services will likely reap long-term benefits. Its mmWave footprint delivers game-changing experiences for the densest parts of the network.However, lower wireline and wireless equipment revenues are major concerns. Huge promotional expenses and lucrative discounts to expand its customer base are weighing on margins. High capital expenditures for network upgrade and deployment of fiber assets across the country are headwinds. Muted guidance for 2024 is somewhat worrisome.(You can read the full research report on Verizon here >>>)Shares of Eaton have outperformed the Zacks Manufacturing - Electronics industry over the past year (+72.1% vs. +41.9%). The company's ongoing research and development are allowing the company to develop new products to provide efficient power management solutions.It will benefit from improving end-market conditions, increasing demand from the new AI data center and contributions from its organic assets. Eaton is expanding via acquisitions and its rising backlog shows demand for its products. Its strategy to manufacture in the region of its end market has helped it cut costs.Yet, Eaton's global operations expose it to unpredictable currency translation, cyber security threats, changes in tax rates and security breaches, which might impact operations. The shortage of raw materials and supplier insolvencies might impact production and operations.(You can read the full research report on Eaton here >>>)Other noteworthy reports we are featuring today include NVIDIA Corp. and Ford Motor Co..Story continuesWhy 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 >>Media ContactZacks Investment Research800-767-3771 ext. [email protected]                        https://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 reportFord Motor Company (F) : Free Stock Analysis ReportChevron Corporation (CVX) : Free Stock Analysis ReportVerizon Communications Inc. (VZ) : Free Stock Analysis ReportEaton Corporation, PLC (ETN) : Free Stock Analysis ReportNVIDIA Corporation (NVDA) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

The Zacks Analyst Blog Highlights Chevron, Verizon Communications, Eaton, NVIDIA and Ford Motor

https://finance.yahoo.com/news/zacks-analyst-blog-highlights-chevron-143500838.html

1991eefb-5e54-31f9-a8de-45c8a6a8b611

CVX

Chevron (CVX) closed at $152 in the latest trading session, marking a +1.41% move from the prior day. The stock outperformed the S&P 500, which registered a daily loss of 0.11%. At the same time, the Dow added 0.12%, and the tech-heavy Nasdaq lost 0.41%.Prior to today's trading, shares of the oil company had lost 0.77% over the past month. This has lagged the Oils-Energy sector's gain of 3.56% and the S&P 500's gain of 2.7% in that time.The upcoming earnings release of Chevron will be of great interest to investors. The company is predicted to post an EPS of $3.03, indicating a 14.65% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $51.28 billion, indicating a 0.95% upward movement from the same quarter last year.For the full year, the Zacks Consensus Estimates are projecting earnings of $13.03 per share and revenue of $213.88 billion, which would represent changes of -0.76% and +6.43%, respectively, from the prior year.Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Chevron. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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 past month, the Zacks Consensus EPS estimate has remained steady. Right now, Chevron possesses a Zacks Rank of #3 (Hold).Looking at its valuation, Chevron is holding a Forward P/E ratio of 11.5. This indicates a premium in contrast to its industry's Forward P/E of 7.31.Story continuesOne should further note that CVX currently holds a PEG ratio of 0.81. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Oil and Gas - Integrated - International industry held an average PEG ratio of 1.54.The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 182, finds itself in the bottom 28% echelons of all 250+ industries.The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many 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 reportChevron Corporation (CVX) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Chevron (CVX) Gains As Market Dips: What You Should Know

https://finance.yahoo.com/news/chevron-cvx-gains-market-dips-214521331.html

4a70aaac-f8bf-34d8-a710-6108f7898de1

CZR

US commercial gaming revenue hit a new record last year, reaching $66.5 billion in 2023, up 10% year-over-year. Despite numerous economic headwinds and inflation, Americans placed large volumes of wagers and spent on experiences at casinos in 2023.John DeCree, CBRE Capital Advisors Head of Research and Director — Global Gaming, joins Yahoo Finance to discuss how commercial gaming companies and casinos will capitalize on this new record.DeCree elaborates on how the industry is changing and will have to solve mounting problems to continue the growth its seen: "It feels like probably the largest annual increase in operating expenses for casino companies we have seen in a long time. Wages are certainly a big piece of that and after a couple record years of profits, things are catching up, like employees wages. There's pretty significant renegotiating of union contracts that came this year, particularly in Las Vegas. So it is a headwind, I think we're looking at mid single-digit OpEx growth... I think they'll continue to find ways to mitigate costs in other places, and keep driving revenue..."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 TranscriptBRAD SMITH: US casinos experienced a wave of wagers in 2023. Commercial gaming revenue for the year reached a record $66.5 billion, surpassing the prior record set in 2022 by 10%. So how can casinos translate what was a record year for revenue into shareholder returns?For more on this, we turn to John Decree who is the CBRE Capital Advisors Head of Research and Director of Global Gaming. Great to have you here with us on this topic. Let's start right there, after a year that we did see, with the amount of wagers that were handled for casinos, how can they make sure that investors reap the benefits as well?JOHN DECREE: Yeah, I think that's the million dollar question in the boardroom, with the results that we've seen this past year, and the trajectory of wagers, and earnings of all these casino companies, we're generally surprised at how the stocks have performed. I think people have been anticipating a recession for the past 18 months, and it hasn't really come yet. So, you know, we've seen companies starting to buy back stock in droves, MGM and Boyd Gaming are two that have been buying back a lot of stock and have seen strong share price performance on a relative basis.Story continuesBut the year ahead. I think, companies just need to execute. The demand is there, they're managing some wage inflation, cost inflation. But these are free cash flow stories, they're value equities largely across the board in a market that's looking for growth. So I think casino companies will have to look for growth on top of what's been a record year, and, in the interim, maintaining discipline and use that free cash flow, and buying back stock seems to be one of the preferred methods for companies to create some value right now.SEANA SMITH: John, you mentioned one of the headwinds facing the industry, is wage inflation, cost inflation right now. In terms of what that means, or how you see that impacting, we know how it has impacted the bottom line over the last couple of quarters. But what that means here, looking out for the rest of 2024, how big of a challenge is that for the industry at large?JOHN DECREE: Yeah, it feels like probably the largest annual increase in operating expenses for casino companies that we've seen in a long time. Wages is certainly a big piece of that. And after a couple record years of profits, things are catching up, like employee wages. There's pretty significant renegotiated union contracts that came this year, particularly in Las Vegas.And so it is a headwind, I think we're looking at mid-single digit op-ex growth for casino companies broadly this year. And maintaining mid-single digit revenue growth of the high base that you've mentioned Brad, is going to be pretty challenging. So I think they'll continue to find ways to mitigate costs in other places and keep driving revenue, so they'll have to find new ways.They do have digital forms of gaming now. Sports betting has been a big boom for the industry, gaming as well. And that's a key area of growth that a lot of casino companies are participating in, like Caesars and MGM. And that's a growth source that'll help offset some of the stagnation they might have in core earnings from all of that operating expense growth.

Yahoo Finance Video

US casinos are becoming more 'recession resilient': Analyst

https://finance.yahoo.com/video/us-casinos-becoming-more-recession-161838294.html

37cdc286-cfcb-333e-a002-e1dfca7863f6

CZR

Caesars Entertainment (NASDAQ:CZR) Full Year 2023 ResultsKey Financial ResultsRevenue: US$11.5b (up 6.5% from FY 2022).Net income: US$786.0m (up from US$513.0m loss in FY 2022).Profit margin: 6.8% (up from net loss in FY 2022).EPS: US$3.66 (up from US$2.40 loss in FY 2022).earnings-and-revenue-growthAll figures shown in the chart above are for the trailing 12 month (TTM) periodCaesars Entertainment EPS Misses ExpectationsRevenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 8.4%.Looking ahead, revenue is forecast to grow 3.8% p.a. on average during the next 3 years, compared to a 9.8% growth forecast for the Hospitality industry in the US.Performance of the American Hospitality industry.The company's shares are down 1.1% from a week ago.Risk AnalysisYou should always think about risks. Case in point, we've spotted 2 warning signs for Caesars Entertainment you should be aware of, and 1 of them makes us a bit uncomfortable.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.

Caesars Entertainment Full Year 2023 Earnings: EPS Misses Expectations

https://finance.yahoo.com/news/caesars-entertainment-full-2023-earnings-102016129.html

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Partnership extension includes IP rights for League and team-inspired casino games across Caesars Digital iGaming platforms, exclusive experiences for Caesars Rewards members and moreLAS VEGAS, March 07, 2024--(BUSINESS WIRE)--Caesars Entertainment, Inc. (NASDAQ: CZR) ("Caesars") and the National Hockey League (NHL®) today announced a renewal of their United States partnership. The new, multiyear partnership extension retains Caesars’ status as a Sports Betting and Gaming Partner of the NHL and, for the first time, provides Caesars Digital with access to League-owned intellectual property to build and promote NHL-branded iCasino games for its online casino platforms in North America, including the recently launched Caesars Palace Online Casino.This renewed agreement also provides access to VIP experiences for members of the industry-leading customer loyalty program, Caesars Rewards®, and opportunities for visibility for Caesars Sportsbook and Caesars Rewards on national NHL broadcasts of Stanley Cup Playoff games in select Caesars markets. Additionally, Caesars will enjoy continued use of NHL team logos and imagery on the Caesars Sportsbook app and access to League Alumni and the Stanley Cup® for appearances."With the defending Stanley Cup Champions residing in our home city of Las Vegas, we have a front-row seat to the excitement and passion that the NHL provides," said Eric Hession, President of Caesars Digital. "This partnership extension with the League continues our efforts to build on that fan passion by bringing unforgettable experiences to all of our valued customers across both sports betting and online casino.""Since the inception of our partnership with Caesars, together we have focused on innovative ways to engage our passionate fanbase," said Jason Jazayeri, NHL Vice President, Business Development. "We look forward to the next chapter of our relationship focused on delivering unparalleled access to our sport for NHL fans."Story continuesCaesars Sportsbook and Caesars iCasino platforms tie the excitement of sports betting and online casino play to unmatched experiences via Caesars Rewards for users 21 and older. Every wager placed rewards the bettor with Tier Credits for status and Reward Credits that can be used to unlock world-class Caesars Rewards experiences and discounted getaways at Caesars Entertainment destinations across the United States and Canada.As the largest casino-entertainment Company in North America, Caesars Entertainment is an industry leader in Responsible Gaming and shares in the NHL’s emphasis on Responsible Gaming education. The Company enforces an enhanced 21+ gaming policy that limits Caesars Rewards accounts to individuals over 21 and, where allowed by law, limits all domestic gaming, pari-mutuel, sports, and iGaming options to those 21 and older.For real-time industry updates and to join the empire of like-minded Caesars, players can engage with the @CaesarsSports and @CaesarsiCasino social handles on X (formerly Twitter), Instagram, and Facebook.NHL, the NHL Shield, and the word mark and image of the Stanley Cup are registered trademarks of the National Hockey League. © NHL 2024. All Rights Reserved.About Caesars Entertainment, Inc.Caesars Entertainment, Inc. (NASDAQ: CZR) is the largest casino-entertainment Company in the U.S. and one of the world’s most diversified casino-entertainment providers. Since its beginning in Reno, NV, in 1937, Caesars Entertainment, Inc. has grown through development of new resorts, expansions and acquisitions. Caesars Entertainment, Inc.’s resorts operate primarily under the Caesars®, Harrah’s®, Horseshoe®, and Eldorado® brand names. Caesars Entertainment, Inc. offers diversified gaming, entertainment and hospitality amenities, one-of-a-kind destinations, and a full suite of mobile and online gaming and sports betting experiences. All tied to its industry-leading Caesars Rewards loyalty program, the Company focuses on building value with its guests through a unique combination of impeccable service, operational excellence and technology leadership. Caesars is committed to its employees, suppliers, communities and the environment through its PEOPLE PLANET PLAY framework. Know When To Stop Before You Start.® Gambling Problem? Call or text 1-800-GAMBLER. For more information, please visit www.caesars.com/corporate.About the NHLThe National Hockey League (NHL®), founded in 1917, consists of 32 Member Clubs. Each team roster reflects the League’s international makeup with players from more than 20 countries represented, all vying for the most cherished and historic trophy in professional sports – the Stanley Cup®. Every year, the NHL entertains more than 670 million fans in-arena and through its partners on national television and radio; more than 191 million followers - league, team and player accounts combined - across Facebook, Twitter, Instagram, Snapchat, TikTok, and YouTube; and more than 100 million fans online at NHL.com. The League broadcasts games in more than 160 countries and territories through its rightsholders including ESPN, TNT Sports and NHL Network in the U.S.; Sportsnet and TVA Sports in Canada; Viaplay in the Nordics, Baltics, Poland and the UK; MTV3 in Finland; Nova in Czech Republic and Slovakia; Sky Sports and ProSieben in Germany; MySports in Switzerland; and CCTV5+ in China; and reaches fans worldwide with games available to stream in every country. Fans are engaged across the League’s digital assets on mobile devices via the free NHL® App; across nine social media platforms; on SiriusXM NHL Network Radio™; and on NHL.com, available in eight languages and featuring unprecedented access to player and team statistics as well as every regular-season and playoff game box score dating back to the League’s inception, powered by SAP. NHL Productions develops compelling original programming featuring unprecedented access to players, coaches and League and team personnel for distribution across the NHL’s social and digital platforms.The NHL is committed to building healthy and vibrant communities using the sport of hockey to celebrate fans of every race, color, religion, national origin, gender identity, age, sexual orientation, and socio-economic status. The NHL’s Hockey Is For Everyone® initiative reinforces that the official policy of the sport is one of inclusion on the ice, in locker rooms, boardrooms and stands. The NHL is expanding access and opportunity for people of all backgrounds and abilities to play hockey, fostering more inclusive environments and growing the game through a greater diversity of participants. To date, the NHL has invested more than $100 million in youth hockey and grassroots programs, with a commitment to invest an additional $5 million for diversity and inclusion programs over the next year.View source version on businesswire.com: https://www.businesswire.com/news/home/20240307745373/en/ContactsBrad Harwood, [email protected] Dominic Holden, [email protected] Brad Klein, [email protected]

Business Wire

Caesars Sportsbook and National Hockey League Renew Partnership

https://finance.yahoo.com/news/caesars-sportsbook-national-hockey-league-133000545.html

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Introducing Tortazo to Chicagoland and Las Vegas DestinationsLAS VEGAS, March 07, 2024--(BUSINESS WIRE)--Caesars Entertainment today announced a partnership with prolific chef Rick Bayless to bring his acclaimed restaurant Tortazo to two of the company’s destinations. Harrah’s Joliet and Caesars Palace Las Vegas will welcome Tortazo later this year.Inspired by Mexico City’s gracious hospitality and colorful culture, Tortazo is a fast-casual Mexican restaurant by Michelin-starred chef, cookbook author and restaurateur Rick Bayless. The menu highlights the famous Mexican sandwich - the Torta - while offering guests a variety of bold and flavorful Mexican dishes like mouthwatering tacos, quesadillas and house-made churros."We’re so pleased to partner with Chef Rick to bring Tortazo to Joliet and Las Vegas," said Anthony Carano, President and COO of Caesars Entertainment. "Chef Rick is a powerhouse - bringing a new, eclectic offering to our brand - and is the perfect addition to our roster of culinary superstars that our guests can experience and enjoy across the Empire.""I’m thrilled to partner with Caesars to open Tortazo at two of their incredible destinations, and I’m especially excited to open another so close to home," said Chef Rick Bayless. "The Caesars brand is synonymous with great hospitality, something that inspired the creation of Tortazo, so it feels like the perfect fit."The Harrah’s Joliet location is set to open in the spring and the Las Vegas location will follow in late summer. More information on both locations will be announced at a later date.About Caesars Entertainment, Inc.Caesars Entertainment, Inc. (NASDAQ: CZR) is the largest casino-entertainment company in the US and one of the world's most diversified casino-entertainment providers. Since its beginning in Reno, NV, in 1937, Caesars Entertainment, Inc. has grown through development of new resorts, expansions and acquisitions. Caesars Entertainment, Inc.'s resorts operate primarily under the Caesars®, Harrah's®, Horseshoe®, and Eldorado® brand names. Caesars Entertainment, Inc. offers diversified gaming, entertainment and hospitality amenities, one-of-a-kind destinations, and a full suite of mobile and online gaming and sports betting experiences. All tied to its industry-leading Caesars Rewards loyalty program, the company focuses on building value with its guests through a unique combination of impeccable service, operational excellence, and technology leadership. Caesars is committed to its employees, suppliers, communities, and the environment through its PEOPLE PLANET PLAY framework. To review our latest CSR report, please visit www.caesars.com/corporate-social-responsibility/csr-reports. Know When To Stop Before You Start.® Gambling Problem? Call 1-800-522-4700. For more information, please visit www.caesars.com/corporate. If you think you or someone you care about may have a gambling problem, call 1-877-770-STOP (1-877-770-7867).Story continuesView source version on businesswire.com: https://www.businesswire.com/news/home/20240307129178/en/ContactsCaesars EntertainmentKala [email protected]’s JolietBryce [email protected] [email protected]

Business Wire

Caesars Entertainment Partners with Michelin-Starred Chef Rick Bayless

https://finance.yahoo.com/news/caesars-entertainment-partners-michelin-starred-150000268.html

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Sports fans 21 and older across North Carolina can get in on the action with the Caesars Sportsbook app on mobile or via desktopRALEIGH, N.C., March 11, 2024--(BUSINESS WIRE)--After becoming the first sportsbook to offer mobile sports wagering in North Carolina on Eastern Band of Cherokee Indians Tribal Lands and at Harrah’s Cherokee Casino Resort and Harrah’s Cherokee Valley River Casino & Hotel, Caesars Sportsbook is now accepting mobile sports wagers across the Tar Heel State. The full launch of Caesars Sportsbook, the premier sports betting platform operated by Caesars Entertainment, Inc. (NASDAQ: CZR) ("Caesars"), builds on the longstanding partnership between Caesars and the Eastern Band of Cherokee Indians. Sports fans 21 and older can download the Caesars Sportsbook app on iOS and Android or access it via desktop when visiting caesars.com/sportsbook."North Carolina is filled with sports fans who’ve shown us how passionate they are about their teams," said Eric Hession, President of Caesars Digital. "The expanded launch of our Caesars Sportsbook mobile app serves as an opportunity for fans to get a little closer to the sports they love, and we look forward to providing a best-in-class mobile sports wagering experience to more North Carolinians that pays homage to the sports excellence that is engrained in the state’s history."Caesars Sportsbook’s integration with the company’s industry-leading customer loyalty program, Caesars Rewards®, provides users with unmatched rewards linked to their sports wagering activity. Every wager placed in-person or on the Caesars Sportsbook mobile app earns Tier Credits for status and Reward Credits that are redeemable for a variety of extraordinary Caesars Rewards experiences, including discounted getaways at various Caesars destinations across North America, world-class culinary or entertainment experiences, and more.The Caesars Sportsbook app features thousands of game markets, prop bets, same-game parlays, in-game live betting for all major North American sports league action and the ability to livestream marquee sporting events, including NFL games, directly in the app. The online experience is also highlighted by user-friendly features like quick payouts and numerous deposit options to build on the gold-standard sports wagering experience available at Caesars destinations in North Carolina. Convenient cash deposits and withdrawals for Caesars Sportsbook mobile accounts can also be made at Harrah’s Cherokee Casino Resort in Cherokee, NC, and Harrah’s Cherokee Valley River Casino & Hotel in Murphy, NC.Story continuesStarting today, eligible sports fans anywhere in North Carolina can download the Caesars Sportsbook app, register online, and deposit funds to take advantage of a special sign-up offer for first-time users.Register, deposit, and bet $10 to get $250 in Bonus BetsOpt-in and register using promo code CZRNCBet $10 or more on your first wagerReceive $250 in Bonus BetsVisit Caesars.com/promos for full termsIn addition to its launch offer, Caesars Sportsbook is offering golf-specific Caesars Rewards experiences that pay tribute to a sport that holds a legacy in the South. These VIP experiences include a getaway at the 2024 Masters, Stay & Play opportunities at Harrah’s Cherokee and Sequoyah National Golf Club, and even a round of golf for two at Pinehurst No. 2 after the conclusion of the 2024 U.S. Open. Full details can be found at sportsbook.caesars.com/us/nc/bet/promos.Caesars Entertainment remains committed to emphasizing Responsible Gaming education as Caesars Sportsbook expands into more jurisdictions. In 2023, the Company implemented a refreshed 21+ policy, which certifies that all Caesars Rewards accounts are only made available to individuals 21 and older, and, where allowed by law, limits all domestic gaming, pari-mutuel, sports, and iGaming options to those 21 and older. This 21 and older policy applies to all sports wagering operations conducted by Caesars Sportsbook in North Carolina, including on the Caesars Sportsbook app and at both Caesars destinations in the state. In addition, customers in North Carolina seeking help regarding gambling can visit www.morethanagame.nc.gov for additional information and resources.For real-time industry updates and to join the empire of like-minded Caesars, players can engage with the Caesars Sportsbook social handle @CaesarsSports on Twitter, Instagram, and Facebook.About Caesars Entertainment, Inc.Caesars Entertainment, Inc. (NASDAQ: CZR) is the largest casino-entertainment Company in the U.S. and one of the world’s most diversified casino-entertainment providers. Since its beginning in Reno, NV, in 1937, Caesars Entertainment, Inc. has grown through development of new resorts, expansions and acquisitions. Caesars Entertainment, Inc.’s resorts operate primarily under the Caesars®, Harrah’s®, Horseshoe®, and Eldorado® brand names. Caesars Entertainment, Inc. offers diversified gaming, entertainment and hospitality amenities, one-of-a-kind destinations, and a full suite of mobile and online gaming and sports betting experiences. All tied to its industry-leading Caesars Rewards loyalty program, the Company focuses on building value with its guests through a unique combination of impeccable service, operational excellence and technology leadership. Caesars is committed to its employees, suppliers, communities and the environment through its PEOPLE PLANET PLAY framework. Know When To Stop Before You Start.® Gambling Problem? Call or text 1-800-GAMBLER. For more information, please visit www.caesars.com/corporate.About Harrah's Cherokee Casinos – An Enterprise of the Eastern Band of Cherokee IndiansHarrah's Cherokee Casino Resort is located in the heart of the Great Smoky Mountains of Western North Carolina. The casino has over 3,000 games. The property also features over 1,800 hotel rooms, the Le Fu Men gaming area, 12 dining options, the luxurious 18,000 square foot Mandara Spa, 10 retail shops, the 3,000 plus seat Event Center, Caesars Sportsbook, North Carolina’s first and premiere sports betting venue, and The Cherokee Convention Center. In addition to the 56-acre property, guests have privileged access to the Eastern Band of Cherokee Indian-owned Sequoyah National Golf Club. Harrah’s Cherokee Casino Resort is also home to the UltraStar Multi-tainment center which features 24 bowling lanes, an arcade, and three bars.Harrah's Cherokee Valley River Casino & Hotel is located near Murphy, North Carolina. The Cherokee County, NC property features over 1,000 games, The Food Market, The Landing Café, a 300-room, full-service hotel, and Caesars Sportsbook, North Carolina’s first and premiere sports betting venue. Harrah's Cherokee Valley River Casino & Hotel hosts the UltraStar Multi-tainment Center which features 16 bowling lanes, an arcade, and bar.Responsible Gaming in North CarolinaMust be 21 or older to gamble. Know When To Stop Before You Start.® Gambling problem? Call 1-877-718-5543 or visit morethanagame.nc.govPromotion TermsMust be 21+ and physically present in NC. New users only, including Coming Soon participants who registered accounts before 3/11. Must register using eligible promo code. Ends 4/30. First bet after registration must qualify. Min. qualifying bet: $10. Each Bonus Bet expires 14 days after receipt. Bonus Bet amount not returned for winning bets. Void where prohibited. See Caesars.com/promos or "Promos" tab on Caesars Sportsbook app for full terms.View source version on businesswire.com: https://www.businesswire.com/news/home/20240310764707/en/ContactsBrad Harwood, [email protected] Dominic Holden, [email protected]

Business Wire

Caesars Sportsbook Expands Mobile Wagering Statewide in North Carolina

https://finance.yahoo.com/news/caesars-sportsbook-expands-mobile-wagering-161100644.html

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Dominion Energy (NYSE:D) Full Year 2023 ResultsKey Financial ResultsRevenue: US$14.4b (down 16% from FY 2022).Net income: US$2.16b (up 142% from FY 2022).Profit margin: 15% (up from 5.2% in FY 2022). The increase in margin was driven by lower expenses.EPS: US$2.58 (up from US$1.08 in FY 2022).earnings-and-revenue-growthAll figures shown in the chart above are for the trailing 12 month (TTM) periodDominion Energy EPS Beats Expectations, Revenues Fall ShortRevenue missed analyst estimates by 2.7%. Earnings per share (EPS) exceeded analyst estimates by 23%.Looking ahead, revenue is forecast to grow 4.1% p.a. on average during the next 3 years, compared to a 3.9% growth forecast for the Integrated Utilities industry in the US.Performance of the American Integrated Utilities industry.The company's shares are up 4.4% from a week ago.Risk AnalysisYou should always think about risks. Case in point, we've spotted 2 warning signs for Dominion Energy you should be aware of.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.

Dominion Energy Full Year 2023 Earnings: EPS Beats Expectations, Revenues Lag

https://finance.yahoo.com/news/dominion-energy-full-2023-earnings-120418843.html

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12th annual program recognizes African American leaders and their contributions to the CommonwealthHonorees include a Navy Commanding Officer, NASA Project Director, Sheriff, and DentistFour high school student finalists of creative contest also recognizedRICHMOND, Va., Feb. 26, 2024 /PRNewswire/ -- Dominion Energy Charitable Foundation and the Library of Virginia are pleased to announce the 2024 Strong Men & Women in Virginia History honorees and Student Creative Expressions Contest finalists.(PRNewsfoto/Dominion Energy)This annual program recognizes notable African American business and community leaders who have overcome obstacles to make significant impacts across the state."We are proud to honor changemakers whose efforts have strengthened their communities for generations to come," said Bill Murray, Senior Vice President for Corporate Affairs and Communications at Dominion Energy. "The Strong Men & Women in Virginia History honorees serve as role models for helping every community to thrive."Members of the armed forces, engineers, medical professionals, community leaders, educators, writers, judges, and elected officials have been celebrated throughout the program's history."The Library of Virginia is proud to recognize African Americans who have made significant contributions in their respective fields and in the lives of citizens of the Commonwealth," said Librarian of Virginia Dennis T. Clark. "This year's honorees offer powerful success stories that reflect rich legacies of excellence."The 2024 honorees:Captain Janet H. Days Navy Commanding Officer, NorfolkR. Tyrone Foster Sheriff, BristolDr. Erma L. Freeman Dentist, MecklenburgGregory L. Robinson NASA Project Director, ManassasThe leaders were celebrated at a reception and private dinner on Thursday in Richmond. Each honoree was provided the opportunity to choose a nonprofit to receive a $5,000 grant from the Dominion Energy Charitable Foundation. Along with the event, the Library of Virginia will host a traveling exhibition featuring each of the honorees and their biographical information. The exhibition will be on display at various community, business, and educational institutions throughout the year so that Virginians can learn about these outstanding leaders and their contributions to the Commonwealth.Story continuesIn 2013, Strong Men & Women in Virginia History was born when the Dominion Energy Charitable Foundation and the Library of Virginia began a new educational initiative that merged two phenomenal Black History Month programs: Dominion Energy's 22-year-old series, Strong Men & Women: Excellence in Leadership and the Library of Virginia's eight-year-old program, African American Trailblazers in Virginia History.As part of the initiative, Virginia high school students can participate in a creative contest to honor outstanding African Americans and share stories they feel may be missing from the mainstream narrative.The 2024 Student Creative Expressions Contest finalists:Bezawit Abate Potomac Senior High School, Prince William CountyJustin Kidd Jones Richmond Community High School, RichmondKatelyn Luu Cosby High School, Chesterfield CountyAngelina Nair Grafton High School, York CountyThe winner of the student creative contest was Katelyn Luu from Cosby High School who wrote about Udine Smith Moore, known as "Dean of Black Women Composers."  In honor of her efforts, Katelyn's school received $2,000.Each student received an Apple MacBook Air laptop and money for their school.For more information on Strong Men & Women in Virginia History, photos and full honoree biographical information, go to: Strong Men & Women in Virginia History - Library of Virginia Education.About the Dominion Energy Charitable Foundation About 7 million customers in 15 states energize their homes and businesses with electricity or natural gas from Dominion Energy (NYSE: D). Through its Dominion Energy Charitable Foundation as well as EnergyShare and other programs, Dominion Energy contributed $46.7 million in 2023 to community causes. The Foundation supports nonprofit causes that meet basic human needs, protect the environment, promote education, and encourage community vitality. Please visit www.DominionEnergy.com to learn more.About the Library of VirginiaThe Library of Virginia is the state's oldest institution dedicated to the preservation of Virginia's history and culture. Our online offerings attract nearly 4 million website visits per year, and our resources, exhibitions and events bring in nearly 100,000 visitors each year. The Library's collections, containing more than 130 million items, document and illustrate the lives of both famous Virginians and ordinary citizens. The Library is located in downtown Richmond near Capitol Square at 800 East Broad Street, Richmond, VA 23219. Learn more at www.lva.virginia.gov.CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/dominion-energy-and-the-library-of-virginia-honor-four-leaders-as-strong-men--women-in-virginia-history-302071465.htmlSOURCE Dominion Energy

PR Newswire

Dominion Energy and the Library of Virginia Honor Four Leaders as 'Strong Men & Women in Virginia History'

https://finance.yahoo.com/news/dominion-energy-library-virginia-honor-183200257.html

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RICHMOND, Va., March 7, 2024 /PRNewswire/ -- Dominion Energy, Inc. (NYSE: D), today announced closure of the sale of its Ohio natural gas utility – The East Ohio Gas Company – to Enbridge Inc. (TSX: ENB) (NYSE: ENB) for approximately $6.6 billion, including assumed indebtedness and adjusted for customary closing items. This transaction was previously announced on Sept. 5, 2023.(PRNewsfoto/Dominion Energy)The East Ohio Gas Company is a Cleveland-based gas utility employing about 1,500 people and serving 1.2 million Ohio homes and businesses. Dominion Energy and Enbridge expect to close on the sales of Dominion Energy's gas distribution companies headquartered in Salt Lake City, Utah, and Gastonia, N.C., in separate transactions later this year.The transaction received all customary regulatory approvals.About Dominion EnergyAbout 6 million customers in 15 states energize their homes and businesses with electricity or natural gas from Dominion Energy (NYSE: D), headquartered in Richmond, Va. The company is committed to providing reliable, affordable, and increasingly clean energy every day and to achieving Net Zero emissions by 2050. Please visit DominionEnergy.com to learn more.                                                                                                                                                Story continuesCisionView original content to download multimedia:https://www.prnewswire.com/news-releases/dominion-energy-announces-closing-of-sale-of-ohio-natural-gas-distribution-company-302082888.htmlSOURCE Dominion Energy

PR Newswire

Dominion Energy Announces Closing of Sale of Ohio Natural Gas Distribution Company

https://finance.yahoo.com/news/dominion-energy-announces-closing-sale-123000314.html

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Grants support human needs, environmental stewardship, education, and community vitalityStarting in 2024, applications will be accepted online during two annual grant cyclesDeadline to apply for spring grant cycle is April 2, 2024 at 5 p.m. ESTRICHMOND, Va., March 7, 2024 /PRNewswire/ -- Nonprofit and educational organizations within Dominion Energy's service areas are encouraged to apply for grants from the Dominion Energy Charitable Foundation.Starting this year, the foundation has adopted a new application process and will now accept grant requests twice per year – once in the spring and once in the fall. The spring grant application period is currently open and closes at 5 p.m. EST on April 2. Decisions will be announced in June.Grants will be awarded to support programs and specific projects that focus on human needs, environmental stewardship, education, and community vitality.Dominion Energy and its charitable foundation gave more than $46 million to support charitable causes in 2023."Nonprofit organizations work hard every day to address a variety of community needs and opportunities. These grants will help them make an even greater impact for good," said Hunter A. Applewhite, President of the Dominion Energy Charitable Foundation. "Supporting local organizations is a part of our commitment to support the communities Dominion Energy serves."Funding is available to organizations within geographic areas where Dominion Energy provides electricity or natural gas service or has significant facilities or business interests. These include Virginia, South Carolina, northeastern North Carolina, Connecticut, Massachusetts, Rhode Island, and West Virginia.For details, visit: https://www.dominionenergy.com/our-company/customers-and-community/charitable-foundation/applying-for-a-grant.View the Spanish version of this press release.About the Dominion Energy Charitable Foundation About 6 million customers in 15 states energize their homes and businesses with electricity or natural gas from Dominion Energy (NYSE: D). Through its Dominion Energy Charitable Foundation as well as EnergyShare and other programs, Dominion Energy contributed $46.7 million in 2023 to community causes. The Foundation supports nonprofit causes that meet basic human needs, protect the environment, promote education, and encourage community vitality. Please visit www.DominionEnergy.com to learn more.Story continues CisionView original content:https://www.prnewswire.com/news-releases/dominion-energy-charitable-foundation-spring-grant-cycle-now-open-to-nonprofit-organizations-302083026.htmlSOURCE Dominion Energy

PR Newswire

Dominion Energy Charitable Foundation Spring Grant Cycle Now Open to Nonprofit Organizations

https://finance.yahoo.com/news/dominion-energy-charitable-foundation-spring-150000464.html

dcb004c7-9148-3052-a93b-cc246448b6ca

D

When interest rates rise, dividend stocks can sometimes fall because investors switch to lower-risk income options, like CDs. But there's another issue facing utilities, given that these capital-intensive businesses make heavy use of debt financing. Thus, rising costs are a second headwind for the sector.Over the long term, however, regulated utilities should adjust and continue to provide reliable income streams to shareholders. If you think in decades, you'll want to consider adding NextEra Energy (NYSE: NEE), Black Hills Corporation (NYSE: BKH), and Dominion Energy (NYSE: D) to your portfolio in March.1. NextEra Energy is a growth and income gemNextEra Energy's 3.7% dividend yield is modest compared to the other two utilities on this list. In fact, it is only 10 basis points above the average of the broader utility sector. But the yield is near a 10-year high for NextEra Energy, suggesting the stock is cheap today.However, the real linchpin in the story is the average annualized dividend growth of around 10% over the past decade, extremely high by utility standards. Management expects to raise the dividend by that much again in 2024.The story here comes in two parts. First, NextEra Energy owns the largest utility in Florida, which is a state with a growing population. That's the solid foundation. On top of that, NextEra Energy owns one of the world's largest portfolios of solar and wind power assets. This is a growth business, with management hoping to double its clean energy capacity by 2026.The combination of these two businesses is expected to produce earnings growth of between 6% and 8% a year through 2026. Even if dividend growth only tracks along with earnings growth after 2024, that's still a great outcome for a growth- and income-oriented utility. Investors should look at this stock, which has increased its dividend annually for nearly three decades and is still on sale.2. Black Hills is a slow and boring tortoiseCompared to NextEra Energy, Black Hills Corporation is a bit of a snooze. The company is relatively small in the utility sector, with a modest market cap of just $3.5 billion (NextEra's market cap is $110 billion, for reference). It serves 1.3 million natural gas and electricity customers across parts of eight Western and Mid-Western states. Black Hills is nothing more than a small, traditional, regulated utility.Story continuesHowever, the regions it serves are growing at nearly 3 times the rate of the U.S. population, which is good for long-term growth. That backing has allowed Black Hills to achieve Dividend King status. Sure, the dividend has grown at just 5% a year on average over the past decade.But that's more than enough to outpace the historical inflation growth rate and is a pretty solid number in the utility space. And while rising interest rates will be a short-term headwind, it seems highly unlikely that this fact alone will upend Black Hills' slow and steady growth over the long term. Conservative income investors will want to do a deep dive while the dividend yield is near decade highs at 5%.3. Dominion is changing things upThe last utility here will be an acquired taste, largely attractive to investors interested in turnaround stories. The dividend yield is just shy of 6%. The problem is that the dividend will likely be static for at least another few years as the utility revamps its asset portfolio. It is also attempting to reduce leverage and bring its payout ratio more in line with its utility peers. But if you can stomach a stock with a dividend that isn't going to grow for a bit, Dominion is well into its turnaround plan.The first step was a major review of the business, which has now been completed. It has already inked deals to sell a number of assets, with the proceeds from the sales earmarked for debt reduction. These sales will take place over the next year or so. After that is complete, management expects earnings growth of between 6% and 8% annually through 2029.Assuming management can execute that goal, Wall Street will likely get increasingly upbeat on the future. And the payout ratio will slowly decline into the company's target range in the mid-60% space. When that happens, dividend growth will return. Although that could take between three and five years, the 6% yield is material enough to make it a worthwhile wait for turnaround investors.Options for dividend investorsThe utility sector is filled with unique stories, as are most sectors. If you like dividend growth stocks, you'll appreciate NextEra Energy's tale. If you like slow and conservative investments, Black Hills will be the story for you. And if you are a bit more adventurous, high-yield Dominion Energy will probably be of interest.Should you invest $1,000 in NextEra Energy right now?Before you buy stock in NextEra Energy, 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 NextEra Energy 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 26, 2024Reuben Gregg Brewer has positions in Black Hills and Dominion Energy. The Motley Fool has positions in and recommends NextEra Energy. The Motley Fool recommends Dominion Energy. The Motley Fool has a disclosure policy.3 Utility Stocks to Buy Hand Over Fist in March was originally published by The Motley Fool

Motley Fool

3 Utility Stocks to Buy Hand Over Fist in March

https://finance.yahoo.com/news/3-utility-stocks-buy-hand-101100971.html

45325a75-83a2-3a61-822d-9ae0f149e959

DAL

With the pandemic behind us and fears of a recession starting to subside, Wall Street expects a big year as the consumer remains resilient, particularly in the travel industry. As the travel sector saw a boom in 2023, many investors look for ways to add great travel plays into their portfolios.As part of Yahoo Finance's Travel Guide 2024: Industry Insights special this week, Yahoo Finance Anchor Bradley Smith breaks down the travel stocks investors need to watch: Delta Air Lines (DAL), Marriott Hotels & Resorts (MAR), and Royal Caribbean Cruises (RCL).Catch more of Yahoo Finance's Travel Guide 2024: Industry Insights special coverage this week, or watch this full episode of Yahoo Finance Live here.Editor's note: This article was written by Nicholas JacobinoVideo TranscriptBRAD SMITH: It's been a few years since COVID upended the global travel sector. The world is now largely vaccinated, the recession we were all hoping to avoid didn't happen, and the consumer is still spending. Oh, and the Fed is about to cut rates. So it looks like we're poised for another huge year. Well, maybe. But there are more than a few headwinds to contend with. Not to mention trends that could reshape the way that you think about your next vacation.Is Delta the airline best positioned to hold market share? Are cruise lines about to hike prices on a stream of never ending demand? Is astrotourism really the next big hit for 2024? And should you really drive your Tesla from LA to San Francisco? Yahoo Finance's Travel Guide 2024, Industry Insights puts you at the center of the story, looking at planes, trains, automobiles, and any other form of transport you can think of.We're diving deep into the travel sector as a part of Yahoo Finance's Travel Guide 2024, Industry Insights. Now, for investors looking to the best way to play the travel sector, I've got three stocks for you to watch as we gear up for those peak travel seasons. First, let's talk a little airlines. Let's go to the skies with the steel birds. It's got to be Delta here. Delta is really focused here on international.Story continuesAnd that's one of the themes that could really play out here and benefit them. You think back to why Citi has this as one of their 2024 stock picks for the year here. Well, it comes back to that international travel demand here. And from Ed Bastian, the CEO of Delta, what he's told us in the most recent earnings is what we see in our whole bookings is really more of the same that we've been seeing all year, international bookings and demand looks really strong.That's what he told Yahoo Finance after they reported their most recent quarterly earnings. He also went on to say, so I think we're looking at a very, very strong Q3 as indicated by their guidance. And we'll have a strong Q4 as well. And so that is one of the kind of broader lookouts into deep in this year where international travel could play a role.Now, let's also talk about Marriott. Let's go to the accommodation space. This one is going to be in focus and why? Well, it's one of the top picks among analysts who are looking across the accommodations in the hotel industry across the Street here. And it has outperformed many of its industry competitors here. But one huge theme to zero in on for Marriott is going to be that rebound in corporate travel that we've been continuing to talk about.With the number of events that are set to be hosted and bookings that come along with those events, Marriott is seen as one of the outstanding participants or performers within that market here, especially as compared to some of its other peers here as well, even though one of the others also having a good year-to-date. That's Hyatt. So keep close tabs on them. They're up by about 15%.And lastly, let's go to the high seas here, if you will, where you'll find perhaps Captain Jack Sparrow and a few of his other friends. Let's go to the Caribbean, Caribbean, whatever you're calling it. Royal Caribbean ticker symbol RCL, that is really having a focus on these new fleets. And that could potentially pull forward some bookings here.And so if you think back to the earnings call that this company just had, they expect to grow capacity by the introduction of the Utopia of the Seas and Silver Ray in the first full year of service of the three incredible ships that joined their fleet during 2023. "The Icon of the Seas, Celebrity Ascent and Silver Nova, the new ships not only elevate their vacation experiences," they said, "and draw new customers to their brands, but they also provide yield tailwinds," they said on the call, "enhancing overall profitability."And in 2024, they expect yields to grow 5 and 1/4% to 7.25% driven by the performance of their entire fleet. So hoo, that is all that we're going to be tracking at least in these three stocks here, and we'll see how those themes play out for Marriott, Delta, and Royal Caribbean.

Yahoo Finance Video

Three big travel stocks to watch in 2024

https://finance.yahoo.com/video/three-big-travel-stocks-watch-170802963.html

865639fe-9697-399e-9de5-f200dabb0c22

DAL

Delta Air Lines (DAL) closed the latest trading day at $41.79, indicating a +0.17% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 0.38%. Elsewhere, the Dow saw a downswing of 0.16%, while the tech-heavy Nasdaq depreciated by 0.13%.Heading into today, shares of the airline had gained 5.27% over the past month, outpacing the Transportation sector's gain of 3.94% and the S&P 500's gain of 4.74% in that time.Market participants will be closely following the financial results of Delta Air Lines in its upcoming release. The company is forecasted to report an EPS of $0.35, showcasing a 40% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $12.95 billion, up 1.47% from the prior-year quarter.For the full year, the Zacks Consensus Estimates are projecting earnings of $6.59 per share and revenue of $58.45 billion, which would represent changes of +5.44% and +0.69%, respectively, from the prior year.It is also important to note the recent changes to analyst estimates for Delta Air Lines. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.62% lower. Currently, Delta Air Lines is carrying a Zacks Rank of #3 (Hold).In terms of valuation, Delta Air Lines is presently being traded at a Forward P/E ratio of 6.33. This indicates a discount in contrast to its industry's Forward P/E of 8.66.Story continuesWe can also see that DAL currently has a PEG ratio of 0.75. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. DAL's industry had an average PEG ratio of 0.58 as of yesterday's close.The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 51, which puts it in the top 21% of all 250+ industries.The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.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 reportDelta Air Lines, Inc. (DAL) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why the Market Dipped But Delta Air Lines (DAL) Gained Today

https://finance.yahoo.com/news/why-market-dipped-delta-air-224515930.html

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Boeing (BA) shares fell sharply Monday morning following a report from The Wall Street Journal that the Department of Justice has launched a criminal investigation into the company. This comes as Boeing continues to grapple with lingering headwinds stemming from a safety incident involving an Alaskan Airlines (ALK) flight in January.The Department of Justice's investigation will delve into Boeing's recent production and manufacturing mishaps, which have also impacted the broader airline industry, from flight availability to crew employment and ticket prices.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 Transcript- Boeing, following this morning on a report from "The Wall Street Journal," saying the Department of Justice has launched a criminal investigation into the company. The DOJ is investigating that the incident that occurred in January, when a door plug blew out of an Alaska Airlines flight, leaving a hole on the plane, forced an emergency landing here.And you're taking a look at shares of BA down by about 3%. It's not even just what the DOJ is going to be looking into. It's also how this is impacting some of the airlines more broadly here. You've got Delta Airlines. Even as the CEO told me-- Ed Bastian told me on the most recent earnings results that he had full faith in Boeing, it still seems that there are, among all of the airlines that have orders in for any part of the max fleet, for Delta, specifically, that's the MAX 10, which they had expected to be delivered by 2025.Many of these airlines, Delta included, now pushing out that timeline. Delta had actually also taken action and announcing an agreement for 20 Airbus A350-1000 with options for 20 more. Those, though, are also expected to begin being delivered in 2026 here.So this really just places even more of a capacity consideration in front of many of these airlines, who are not just trying to restore capacity coming into last year and maintain that, but also making sure that their route schedules, they have enough aircrafts to deliver upon those route schedules, too.Story continues- Yeah, certainly, there are many headwinds facing Boeing, at least, in the short term. We've seen that reflected in the stock price since the start of the year. You're looking at shares off since January 1st, more than 20% off, just about 26% year to date, the worst performer that we have seen in the Dow Jones Industrial average.So putting that in perspective. And you take a look out here over the next couple of quarters what is going to be the catalyst to turn things around it? Seems like headline after headline is still laying out a very challenging roadmap for Boeing. Yes, CEO Dave Calhoun has reiterated the fact that he has full confidence in winning back some of that lost confidence that we have seen since the start of the year, really, over the last several years with all the unfortunate incidents that have happened surrounding Boeing's aircraft.But again, when you get comments, like you were just talking about from Ed Bastian over at Delta talking about how this could potentially impact the 737 MAX 10 in the future, a potential delay there. This could be an issue that may not be resolved now for some time to come. And could be an issue that continues to weigh on Boeing stock.- It has multiple prongs here, too. It impacts the airfare prices at the end of the day, too, especially if you're looking at some of the fleets not being able to have enough different routes that are coming on, so the frequency of the routes. It impacts the employment situation and the number of pilots that are expected to come on board.We already heard from one such airline, I believe it was United last week, that it said, for some of the pilot entry into their workforce, they've now been holding off on bringing people fully in off of those training programs and whatnot, so employment, airfare prices, then, of course, the investor perspective, as well here, too.

Yahoo Finance Video

Boeing faces criminal probe over manufacturing woes: WSJ

https://finance.yahoo.com/video/boeing-faces-criminal-probe-over-143214325.html

36f3de0a-9221-3218-a21d-8712209d2eeb

DAL

In this article, we will be covering the 20 largest travel companies in the world. If you want to skip our detailed analysis of the travel and tourism industry, you can go directly to 5 Largest Travel Companies In The World.The travel and tourism sector plays a vital role in global economies. It creates jobs, fosters cultural exchange, and supports local businesses. It promotes understanding between nations while also contributing significantly to GDP growth. According to the World Travel & Tourism Council (WTTC), travel and tourism accounted for 7.6% of global GDP in 2022 while also creating 22 million new jobs around the world.An Analysis of the Global Travel and Tourism IndustryThe travel and tourism sector plays a crucial role in addressing societal and economic challenges. The industry is now thriving after being severely impacted during the peak of the COVID-19 crisis, which led to travel restrictions, cancellations, and a sharp decline in tourism activities. According to a report by Market Research Future, the global travel and tourism market reached a value of $648.03 billion in 2023. The market is expected to grow at a compound annual growth rate (CAGR) of 5.8% from 2023 to 2032 and reach a value of more than $1.01 trillion by the end of the forecasted period. The North American region leads the global travel and tourism market, while Europe follows as the second-largest market. The Asia-Pacific region is anticipated to exhibit the fastest growth in the industry during the forecasted period.The travel and tourism market is undergoing a digital transformation with online booking platforms, travel agencies, mobile apps, and online travel-related services driving growth by enhancing connectivity and providing convenient and personalized traveler experiences. The trend of cultural and experiential tourism, with travelers seeking authentic, immersive experiences, unique destinations, and local experiences, is also a key factor driving market growth. Moreover, the rise in disposable incomes, especially in emerging markets, is leading to increased tourism. More people have the means to explore domestic and international destinations. According to the World Travel & Tourism Council (WTTC), domestic visitor spending saw an increase of 20.4% in 2022. On the other hand, international visitor spending went up by 81.9% in 2022.Story continuesWhat are Some of the Biggest Companies in the Travel and Tourism Industry Up To?Prominent companies in the travel and tourism industry are actively pursuing various strategies to expand their global presence and increase their profitability. Some of the most notable names are Marriott International Inc. (NYSE:MAR), Hilton Worldwide Holdings Inc. (NYSE:HLT), and Booking Holdings Inc. (NASDAQ:BKNG).Booking Holdings Inc. (NASDAQ:BKNG) is one of the world’s largest providers of online travel and related services. It provides online travel services in more than 220 countries through its brands which include Booking.com, Priceline, Agoda, KAYAK, and OpenTable. Booking Holdings Inc. (NASDAQ:BKNG) is also one of the best travel stocks to buy. On February 22, Booking Holdings Inc. (NASDAQ:BKNG) reported strong earnings for the fiscal fourth quarter of 2023. The company reported earnings per share (EPS) of $32, surpassing EPS estimates by $1.95. The company’s revenue for the quarter grew by 18.15% year-over-year and amounted to $4.78 billion, ahead of market consensus by $73.37 million. Here are some comments from Booking Holdings Inc.’s (NASDAQ:BKNG) Q4 2023 earnings call:“As we look to the year ahead, we see strong growth on the books for travel that’s scheduled to take place in 2024, which gives early indications of potentially another record summer travel season. As we’ve noted previously, a high percentage of these bookings are capable and what is on the books today for the summer period represents a small percentage of the total bookings that we expect to ultimately receive. David will provide further details on fourth quarter results and on our thoughts about the first quarter and full year 2024. Looking back at the full year of 2023, I am proud of our efforts to drive more benefits to our travelers and supply partners while also delivering record-setting industry-leading financial results. We reached a significant milestone last year with our customers’ booking an all-time high of over 1 billion room nights on our platform, which was an increase of 17% versus 2022.”As the demand for travel and tourism continues to grow, companies operating in this space are launching new products, engaging in mergers and acquisitions, increasing investments, and forming contracts and collaborations. Marriott International Inc. (NYSE:MAR) is an American multinational hospitality company. It operates and franchises hotels and licenses vacation ownership resorts in more than 130 countries around the world. On March 7, Marriott International Inc. (NYSE:MAR) announced that it has entered into an agreement with Victoria Park Hotels Ltd. to launch The Park Lane Hong Kong, Autograph Collection. This new addition is set to become part of Autograph Collection Hotels by early 2025. Autograph Collection Hotels’ portfolio includes more than 300 independent properties in some of the most desirable locations around the world. Situated within a 28-story mixed-use complex featuring retail spaces on the lower floors, the new hotel is projected to have 820 guest rooms, an executive lounge, 3 unique dining venues, extensive event spaces spanning over 1,700 square meters, and various recreational facilities. Some of the guest rooms will boast stunning views of Victoria Harbour, while others will overlook the city or Victoria Park in Hong Kong.On February 7, Hilton Worldwide Holdings Inc. (NYSE:HLT) announced an exclusive strategic partnership with Small Luxury Hotels of the World (SLH) that will introduce guests of Hilton Worldwide Holdings Inc. (NYSE:HLT) to a wide range of hotels in some of the most popular destinations around the world. This collaboration will significantly enhance Hilton Worldwide Holdings Inc.’s (NYSE:HLT) luxury offerings as unique SLH properties become part of the esteemed Waldorf Astoria Hotels & Resorts, Conrad Hotels & Resorts, and LXR Hotels & Resorts brands.Now that we have discussed what’s going on in the global travel and tourism industry, let’s take a look at the 20 largest travel companies in the world.20 Largest Travel Companies In The WorldA line of travellers queuing for a commercial flight, emphasizing the airport management operations.MethodologyIn this article, we have listed the 20 largest travel companies in the world. To find the top travel companies in the world, we sifted through various sources including industry reports, our own rankings in addition to rankings available on various websites, and consulted stock screeners from Yahoo Finance and Finviz. For companies that are publicly traded, we decided to rank them according to their market capitalization as of March 9. We used fiscal year revenues to rank the companies that are not publicly traded. For foreign companies, we converted the market caps and revenues to US dollars according to their respective exchange rates, as of March 9. Finally, we narrowed down our selection to rank the 20 largest travel companies in the world based on their market capitalization and revenues, which are listed below in ascending order.20 Largest Travel Companies In The World20. Host Hotels & Resorts Inc. (NYSE:HST)Market Capitalization: $14.9 BillionHost Hotels & Resorts Inc. (NYSE:HST) is a major American lodging real estate investment trust (REIT) that invests in hotels. It owns a diverse portfolio of luxury and upper-upscale hotels. Host Hotels & Resorts Inc. (NYSE:HST) has a market capitalization of $14.9 billion as of March 9, 2024.19. Hyatt Hotels Corporation (NYSE:H)Market Capitalization: $16.12 BillionHyatt Hotels Corporation (NYSE:H) is an American multinational hospitality company. As one of the world’s top hospitality companies, it manages and franchises luxury and business hotels, resorts, and vacation properties in more than 70 countries across 6 continents. As of March 9, 2024, Hyatt Hotels Corporation (NYSE:H) has a market capitalization of $16.12 billion.18. InterContinental Hotels Group PLC (NYSE:IHG)Market Capitalization: $17.4 BillionInterContinental Hotels Group PLC (NYSE:IHG) is a British multinational hospitality company. With more than 6,000 hotels in over 100 countries, it is one of the world’s leading hotel companies. InterContinental Hotels Group PLC (NYSE:IHG) has a market capitalization of $17.4 billion as of March 9, 2024. It ranks 18th on our list of the 20 biggest travel companies in the world.17. Expedia Group Inc. (NASDAQ:EXPE)Market Capitalization: $18.5 BillionExpedia Group Inc. (NASDAQ:EXPE) is an American travel technology company. As one of the top travel agencies in the world, it owns and operates various brands including Expedia, Hotels.com, CarRentals.com, Vrbo, Travelocity, Trivago, Orbitz, Ebookers, CheapTickets, and Expedia Cruises. As of March 9, 2024, Expedia Group Inc. (NASDAQ:EXPE) has a market capitalization of $18.5 billion.16. Southwest Airlines Co. (NYSE:LUV)Market Capitalization: $20.44 BillionSouthwest Airlines Co. (NYSE:LUV) is an American airline company. It offers low-cost air travel service with frequent flights of mostly short routes. As one of the biggest travel companies in the world, Southwest Airlines Co. (NYSE:LUV) has a market capitalization of $20.44 billion as of March 9, 2024.15. Qatar Airways GroupRevenue: $21 BillionQatar Airways Group is the flag carrier of Qatar. Owned by the Government of Qatar, it is one of the world’s top airlines and it currently flies to over 170 international destinations. Qatar Airways Group generated an annual revenue of $21 billion in the year 2022-2023. It ranks among the top 15 on our list of the 20 largest travel companies in the world.14. Carnival Corporation & plc (NYSE:CCL)Market Capitalization: $21.38 BillionCarnival Corporation & plc (NYSE:CCL) is a British-American cruise operator. As one of the world's largest leisure travel companies, it owns some of the most well-known cruise line brands in North America, the United Kingdom, Germany, Italy, and Australia. Carnival Corporation & plc (NYSE:CCL) has a market capitalization of $21.38 billion as of March 9, 2024.13. Galaxy Entertainment Group Limited (SEHK:0027)Market Capitalization: $21.83 BillionGalaxy Entertainment Group Limited (SEHK:0027) is one of Asia’s top developers and operators of integrated entertainment and resort facilities. It owns and operates a broad portfolio of integrated resort, retail, dining, hotel, and gaming facilities in Macau. As one of the top travel companies in the world, Galaxy Entertainment Group Limited (SEHK:0027) has a market capitalization of $21.83 billion as of March 9, 2024.12. Delta Air Lines Inc. (NYSE:DAL)Market Capitalization: $27.17 BillionDelta Air Lines Inc. (NYSE:DAL) is one of America’s major airlines. It is also one of the world’s largest airlines by number of passengers carried. As one of the top travel companies in the world, Delta Air Lines Inc. (NYSE:DAL) has a market capitalization of $27.17 billion as of March 9, 2024.11. Amadeus IT Group S.A. (BME:AMS)Market Capitalization: $27.31 BillionAmadeus IT Group S.A. (BME:AMS) is a Spanish multinational technology company that develops technology and software for airlines, travel agencies, hotels, payment providers, and other travel-related businesses to enhance their operations and customer experiences. With a presence in more than 190 countries, the company provides software solutions for the global travel and tourism industry. As of March 9, 2024, Amadeus IT Group S.A. (BME:AMS) has a market capitalization of $27.31 billion.10. Trip.com Group Limited (NASDAQ:TCOM)Market Capitalization: $28.27 BillionTrip.com Group Limited (NASDAQ:TCOM) is a multinational travel service company that ranks among the top 10 on our list of the largest travel companies in the world. It owns and operates several travel agencies and travel fare aggregators including Ctrip, Qunar, Trip.com and Skyscanner. As of March 9, 2024, Trip.com Group Limited (NASDAQ:TCOM) has a market capitalization of $28.27 billion.9. Ryanair Holdings plc (NASDAQ:RYAAY)Market Capitalization: $32.3 BillionRyanair Holdings plc (NASDAQ:RYAAY) is an Irish airline company. As one of Europe's largest airline groups, it is the parent company of Ryanair, Ryanair UK, Buzz, Lauda, and Malta Air. With a market capitalization of $32.3 billion as of March 9, 2024, Ryanair Holdings plc (NASDAQ:RYAAY) ranks 9th on our list of the 20 largest travel companies in the world.8. Emirates GroupRevenue: $32.6 BillionEmirates Group is Dubai’s state-owned international aviation holding company. It owns Dubai National Air Travel Agency (dnata), an airport and ground services company, and Emirates Airline, one of the largest airlines in the Middle East. Emirates Group generated an annual revenue of $32.6 billion in the year 2022-2023.7. Royal Caribbean Cruises Ltd. (NYSE:RCL)Market Capitalization: $32.71 BillionRoyal Caribbean Cruises Ltd. (NYSE:RCL) is a global cruise holding company that owns and operates cruise brands including Royal Caribbean International, Celebrity Cruises, and Silversea Cruises. As one of the world’s largest cruise line operators, Royal Caribbean Cruises Ltd. (NYSE:RCL) has a global fleet of 65 ships traveling to around 1,000 destinations around the world. The company has a market capitalization of $32.71 billion as of March 9, 2024.6. Las Vegas Sands Corp. (NYSE:LVS)Market Capitalization: $38.81 BillionLas Vegas Sands Corp. (NYSE:LVS) is an American casino and resort company that owns and operates integrated resorts in Macao and Singapore. As a driver of valuable leisure and business tourism, it is one of the world’s largest hotel and casino companies. With a market capitalization of $38.81 billion as of March 9, 2024, Las Vegas Sands Corp. (NYSE:LVS) ranks 6th on our list of the 20 largest travel companies in the world.Click to continue reading and see 5 Largest Travel Companies In The World.Suggested Articles:40 Most Polluted Cities in the World in 202420 Countries with the Strongest Paramilitary Forces in the World15 Sunniest Cities in EuropeDisclosure: None. 20 Largest Travel Companies In The World is published on Insider Monkey.

Insider Monkey

20 Largest Travel Companies In The World

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DAL

Delta Air Lines (DAL) closed at $42.68 in the latest trading session, marking a +1.04% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.11%. Meanwhile, the Dow experienced a rise of 0.12%, and the technology-dominated Nasdaq saw a decrease of 0.41%.The airline's stock has climbed by 4.27% in the past month, exceeding the Transportation sector's gain of 1.84% and the S&P 500's gain of 2.7%.Analysts and investors alike will be keeping a close eye on the performance of Delta Air Lines in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.34, reflecting a 36% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $12.95 billion, showing a 1.47% escalation compared to the year-ago quarter.In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.57 per share and a revenue of $57.91 billion, indicating changes of +5.12% and -0.25%, respectively, from the former year.Any recent changes to analyst estimates for Delta Air Lines should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.02% increase. Right now, Delta Air Lines possesses a Zacks Rank of #3 (Hold).Story continuesValuation is also important, so investors should note that Delta Air Lines has a Forward P/E ratio of 6.43 right now. For comparison, its industry has an average Forward P/E of 8.55, which means Delta Air Lines is trading at a discount to the group.We can also see that DAL currently has a PEG ratio of 0.68. 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 Transportation - Airline was holding an average PEG ratio of 0.59 at yesterday's closing price.The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 48, putting it in the top 20% of all 250+ industries.The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.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 reportDelta Air Lines, Inc. (DAL) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Delta Air Lines (DAL) Gains As Market Dips: What You Should Know

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dff38b16-d448-3d8d-a0c1-f70831d1ab0a

DAY

Image source: The Motley Fool.Ceridian Hcm (NYSE: CDAY)Q4 2023 Earnings CallFeb 07, 2024, 8:00 a.m. ETContents:Prepared RemarksQuestions and AnswersCall ParticipantsPrepared Remarks:Matt WellsGood morning and thank you for joining. Welcome to the Dayforce fourth-quarter 2023 earnings conference call. I'm Matt Wells, head of investor relations. We have our CEO, David Ossip; and our CFO, Jeremy Johnson.We're also joined by our chief product and technology officer, Joe Korngiebel; and our president, Steve Holdridge. [Operator instructions] Before I hand the call over to David, I want to remind everyone that our commentary may include forward-looking statements. These statements are subject to risks and uncertainties that could cause Dayforce's results to differ materially from the historical experience or present expectations. A description of some of these risks and uncertainties can be found in the reports we filed with the Securities and Exchange Commission, such as the cautionary statements in our filings.Should you invest $1,000 in Ceridian Hcm right now?Before you buy stock in Ceridian Hcm, 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 Ceridian Hcm 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 5, 2024Additionally, over the course of this call, we'll reference non-GAAP measures to describe our performance. Please review our earnings press release and filings with the SEC for our rationale behind the use of non-GAAP measures and for a full reconciliation of these GAAP to non-GAAP metrics. These documents, in addition to a replay of this call will be available on the Dayforce Investor Relations website. And with that, I'd like to turn the call over to David.Story continuesDavid Ossip -- Chairman and Chief Executive OfficerThanks, Matt, and thank you all for joining us. Next to me, I have Steve who will review key customer go-lives and sales wins in the quarter. Joe, who will highlight platform innovation and discuss our acquisition, eloomi. And I'm delighted to welcome Jeremy back as our CFO.Jeremy will provide details to our quarterly performance and initial 2024 outlook. Last fall, we shared our intention to transition from Ceridian to Dayforce with a goal to simplify and strengthen our brand and I'm excited to announce that our brand evolution is now a reality. As one united brand, Dayforce, we firmly believe that we can amplify our promise to make work life better. Today's new workforce is boundless, blurred, always on, and borderless.Our changing world of work makes running and organization more complex than ever, and we're committed to helping organizations conquer that complexity. That's why we chose this moment to evolve and simplify our brand from two in the market to one. We selected Dayforce because over the years, Dayforce has grown into a trusted global platform, setting a new standard for the human capital management industry. Our customers know the Dayforce name to represent innovation, collaboration, and transformation.The brand represents our future and we design everything for that ever-changing future together with our customers, helping them transform their organizations and set the pace for their industries. I'm incredibly excited and proud of the path I see for us ahead, united with one powerful brand that represents our products company community at their best. Turning to our fiscal results. Total revenue was $1.51 billion and grew 23% year over year in constant currency.This was underpinned by the strong growth in Dayforce recurring revenue of 37% in constant currency. Dayforce recurring revenue ex float grew 29% ex float in constant currency and reflects the strong second-half go-lives, particularly of large enterprise customers, coupled with industry-leading retention rates and sustained employment volumes. Adjusted cloud recurring gross margins of 78.3% continued to expand, showcasing the scale and efficiency of our platform. Adjusted EBITDA margins of 27.1%, or $410 million reflects the flywheel of our cloud revenue and gross margin expansion, coupled with efficient opex and we had record operating cash flows of $219.5 million, a conversion of 54% from adjusted EBITDA that reflects our focus on driving our profit into cash.Our customer base remains healthy and resilient. We ended the year with over 6.84 million employees live on the Dayforce platform, an increase of approximately 900,000 employees added year over year. Net go-lives of large enterprise customers or those with over 6,000 employees, increased 64% year over year, demonstrating our ability to shift up market. Dayforce recurring revenue per customer of $147,000 was also up 21% year over year.And throughout the year, we also maintained our industry-leading retention rate of 97.1%, this is a metric I'm particularly proud of, as it showcases our ability to continually deliver value to our customers while helping them make work life better for their employees. Turning to guidance. Our initial fiscal '24 guidance contemplates Dayforce recurring revenue ex load growth of 20% to 21% and since a normalized employee cadence covered with continued go-live activity across our larger customers. Adjusted EBITDA margin at midpoint of 28.3% assumes our continued expansion of gross margins in addition to onetime costs associated with our rebrand and the Lumi integration and conversion of adjusted EBITDA to operating cash flow is expected above the mid-50% range.In summary, we had a very strong 2023, and I'm excited for the year ahead. I'd like to thank our strong community, our customers, partners, and our employees, our daymakers. Steve, over to you.Steve Holdridge -- President of Customer and Revenue OperationsThanks, David. I am also truly excited for what lies ahead for Dayforce, our customers, our partners, and our daymakers across the globe. Two weeks ago, we held our largest-ever sales kickoff in Orlando ,800-plus attendees, 100 partner attendees, which was doubled last year, 10,000 hours of sales training, all focused on accelerating sales coverage and effectiveness in 2024. Throughout the year, we continue to attach the full suite to nearly 50% of new sales.And today, 40% of Dayforce customers have adopted full suite. Add-on sales back to the base continue to trend in line around 30% of sales bookings, consistent with prior quarters. Dayforce Wallet also saw healthy traction with 1,150 customers live and 1,860 new customers added. Average wallet registrations continue to tick up now above 60%, along with healthy wallet usage of about 25 times per month.We surpassed $3 billion in total Dayforce Wallet loads earlier this year, compared to $1 billion at the start of 2023. Last year, we brought in Sam Alkharrat, chief revenue officer to take our sales function to the next level, and we are already seeing significant benefits from his leadership, including strong talent infusion, enhanced pipeline size and quality improved conversion rates, deal execution rigor, and stronger go-to-market alignment. However, we did also see longer sales cycles and more decision gates in Q4, impacting our sales performance relative to our aggressive goals. That said, in 2023, we saw a 50% year-over-year growth in pipeline generation.We entered 2024 with a record pipeline coverage ratio and started the year strongly with January sales ahead of our target. Before I move to key sales and go-lives, I'd like to also share the recent announcement from the government of Canada, that their extensive testing of the Dayforce platform has led them to conclude that Dayforce is a technically viable option for the next modern HR and pay system. This is another testament of the ability of Dayforce to handle complexity at scale and our multiyear partnership with the government of Canada. Now turning to key sales wins from across the globe in Q4.Elior, one of the world's leading catering services companies with 90,000 employees globally has chosen Daybords to support its U.S. and U.K.-based employees. Veeva Energy, a leading convenience retailer, commercial services, and energy infrastructure business growing to more than 13,000 employees selected Dayforce for full suite of HCM technology to support its growth in retail. A global designer and manufacturer of innovative furnishings and workspace solutions, partnered with Dayforce to transform payroll operations for more than 11,000 employees across 30 countries.A global sports fashion retailer with 75,000 employees expanded its use of Dayforce to include 21,000 employees in the U.S. An innovative and fast-growing electric vehicle manufacturer selected the full Dayforce platform to support 7,000 employees in the U.S. Now turning to our record Q4 go-lives, one of the world's largest global shipping and logistics organization with over 0.5 million employees completed its Phase I development to over 33,000 employees along with tax services for its entire U.S. employee population.A multinational manufacturer of consumer and industrial brands with over 50,000 employees successfully continued its Dayforce implementation, and is now live in 22 countries with 27,000 employees. A leading consumer goods company with 28,000 employees in 40 countries completed phase 1 of its global Dayforce implementation with the deployment of workforce management and payroll in Hong Kong and Thailand. A global European bank with 70,000 employees in 50 countries continued its Dayforce deployment to employees in the U.S. and Canada.Sabre Health, a senior care service provider with 14,000 employees across the U.S. went live at the full Dayforce suite and 1 of the world's leading mining and infrastructure company with 13,000 employees being paid across the globe continued its multiphase global Dayforce implementation. I'm now pleased to hand up to my colleague, my innovation partner, Joe Korngiebel, our chief product and technology officer. Joe, over to you.Joe Korngiebel -- Chief Technology OfficerThank you, Steve. On the product front, we continue to invest in innovation that drives value through efficiency and productivity for our customers and their people. By leveraging the advancements around data and AI as well as delivering simplicity at scale, we released some key innovations in Q4 that provide quantifiable value for our customers. First and foremost, Dayforce Co-Pilot, our generative AI assistant.It was delivered to our early adopter customers in Q4, providing dramatic improvements in the productivity of employees in answering common HR-related policy and compliance questions and in turn, saving valuable time for HR administrators, Dayforce Co-Pilot will be sold as a new product in our suite as an add-on to our core products of HR, pay, time, benefits and talent. Next, HR service delivery. It's a new product that we released in Q4 and that is now in the hands of our customers by driving efficiencies with an AI-first approach to answering open tickets for employees. Our early HR service delivery customers are eliminating the cost of bolt-on, expensive point solutions and driving more value at Dayforce as a single robust HCM platform.Now on to Dayforce Talent Marketplace, which was extended in Q4 for both internal and external talent efficiencies allowing greater flexibility to meet labor needs. For employees, we enhanced our shift bidding and shift trading capabilities boosting employee control over their work hours and allowing employers the ability to close scheduling gaps more quickly and efficiently. For the boundless workforce outside of your direct employees, we have officially launched our new ideal talent marketplace in Q4, which provides an on-demand, prequalified hourly workforce, enabling flexibility across a network of skilled employees when needed. On scale of our industry-leading global payroll product, we have delivered our new horizontally scaled payroll as a service architecture.This empowers both our large customers with dramatic performance gains. As well as our small business Powerpay customers with a modernized payroll platform. On to mobile, and empowering the frontline workforce, which continues to be a powerful capability of our HCM suite, driving engagement and connectivity for employees. We have now reached over 1 million daily active users on Dayforce mobile.And our compliance leadership continues to grow as we closed out 2023, with an additional 36 countries and territories where our customers compliantly pay their workforce accurately with Dayforce. Finally, I wanted to further highlight our acquisition of eloomi, which closed on February 1st, this acquisition brings together an innovative team and product that is incredibly well aligned with our culture and our shared ambition to make work life better for our customers. This partnership supercharges our Dayforce learning and talent products, extending our leadership in compliance with industry-leading learning management capabilities combined with an engaged learning experience platform to ensure employees stay current and compliant. Also in frontline workforce enablement with mobile microlearning for training and people development and an AI innovation with generative AI learning content offering and personalized learning paths.In addition, we will also be adding several new products to Dayforce with the assimilation of the eloomi technology, and that includes Dayforce learning content, which offers prepackage, curated learning content that targets compliance, industry and geographic needs with one affordable subscription and also a brand-new product Dayforce employee communications, delivering a mobile-first experience with real-time chat, collaborative communities and up-to-the-minute news feed for Dayforce. That's a quick look at some of the innovations in Q4 and our recent investments in innovation. Now over to Jeremy to talk through the financials. Jeremy?Jeremy Johnson -- Chief Financial OfficerThanks, Joe. It feels good to be back. I'm proud of the way our team closed out the year. In Q4, we delivered Dayforce recurring revenue ex float growth of 29% on a constant currency basis underpinned by strong Q4 enterprise go-lives and healthy underlying customer trends.Tax modernization contributed about 440 basis points of growth as we completed the transition at the end of the year. Adjusted cloud recurring gross margin of 78.1%, expanded 190 basis points year over year as the Dayforce platform continues to scale. Adjusted EBITDA of $99 million or a 24.8% margin expanded by 470 basis points year over year, reflecting the timing of opex investments in addition to incremental brand spend. Operating cash flows of $90 million in Q4 benefited from strong operating income and working capital trends.On the full year, we delivered 54% conversion from adjusted EBITDA or $219.5 million. All in, this was a successful quarter and year. We brought live some of our largest customers to date while delivering healthy top-line growth and record operating cash flows. Our cloud revenue growth, expanding gross margins, and consistently high retention rates showcased the strength of our financial model.Turning to guidance. In the first quarter, we expect Dayforce recurring revenue ex float growth in the range of 20% to 21%, both as reported and at constant currency. Total revenue is expected to grow 14% to 15% both as reported and at constant currency, and adjusted EBITDA is expected to be in the range of $123 million to $126 million or a 29.3% margin at the midpoint. For the full year 2024, as David previously mentioned, we expect Dayforce recurring revenue ex-flow growth in the range of 20% to 21%, both as reported and at constant currency.This reflects sustained employment volumes for the first half of the year balanced by a more conservative second half of the year. We have reflected eloomi in this guidance, assuming approximately 150 basis point contribution to Dayforce recurring revenue ex flow growth in 2024 and 100 basis point contribution in Q1, reflecting only two months of ownership. Float revenue guidance of $174 million for the full year reflects a moderating rate environment throughout the year. Total revenue guidance for the full year is 14% growth as reported or 13% to 14% growth at constant currency.Adjusted EBITDA for the full year in the range of $480 million to $495 million or 27.9% to 28.6% margin, this range includes incremental headwinds from eloomi and the Dayforce rebrand totaling approximately $15 million. Additionally, we expect operating cash conversion from adjusted EBITDA to in the mid- to high 50% range for the full year. Before we break into Q&A, I'd like to provide an update on two items First, in conjunction with our rebrand to Dayforce, we made the decision to terminate our frozen defined benefit pension plan. If you recall, this was a legacy pension plan that Dayforce inherited from Ceridian and its predecessors.We expect this termination process to take 15 to 18 months and conclude in 2025. As a result of this termination, we expect to see some financial impacts to our 2025 numbers, specifically a cash charge in the range of $15 million to $25 million to fully fund the plan and cover termination expenses. And in 2025, we'll also incur a noncash charge to reflect the termination of the pension plan. We do not expect an impact to adjusted EBITDA margins either in 2024 or 2025.And second, the modernization of Powerpay is well underway and we now have our first Powerpay customers using Dayforce embedded payroll engine as their calculation engine. This enhancement will provide Powerpay customers with access to new features and functionality with a more robust platform and while we're very excited about this transition, we do not plan to reclassify Powerpay revenue to Dayforce, simply given the different customer profiles between Dayforce and Powerpay. As such, we will continue to disclose Powerpay revenue separately for financial reporting purposes. And with that, I'll hand the call back over to Matt to begin the Q&A portion.Matt WellsThanks, Jeremy. [Operator instructions] We have a pretty healthy audience today. Our first question comes from Kevin McVeigh with UBS. We'll circle back.Scott Berg with Needham.Scott Berg -- Needham and Company -- AnalystHi. Good morning everyone. Thanks for taking my questions and Congrats on a good quarter. I wanted to start on a question regarding the longer sales cycles comments.I guess can you help break that down a little bit in terms of what you saw? Was this just a couple of deals that pushed maybe from Q1 was a significant amount of deals. You obviously called it out, so it was a little bit material, but I just wanted to try to think about the impact on both the year? And then was that the primary benefit for the January outperformance versus your plan? Thanks.David Ossip -- Chairman and Chief Executive OfficerThanks, Scott, and nice to speak with you. First of all, it has no impact on our fiscal '24 guide. What we did see was a slightly more decision gains in Q4 coupled with probably fewer days with inside the actual month. Christmas vacation, as you know, started a bit early this year relative to the past.When we look at the start of the year, as you pointed out, we had a good January, it came in above our internal expectations for that particular month. And we also entered the year with almost two times the coverage that we had at the beginning of last year. I don't believe that there is any change in the macro quarter over quarter. And we are obviously going into this year quite optimistic about the forecast for sales.Scott Berg -- Needham and Company -- AnalystThank you. Helpful. My follow-up is actually for Jeremy, welcome back, looking forward to working with you more here. You come into the CFO role with a unique view.Obviously, I've been with the company for an extensive period before. But how do you think about driving additional efficiencies and maybe leverage in the model versus your prior experience with the company. Is there anything that think about doing maybe differently in the current position of CFO than maybe did before that might be interesting for investors to think about here going forward? Thanks.Jeremy Johnson -- Chief Financial OfficerYeah. Thanks, Scott. It's good to talk to you again. And as I said, it's good to be back.It does kind of feel like coming home here, especially with an executive team that I'm largely familiar with, the finance team that I know the key players very well, all the Board and investors that I also know really well. So look, I think there's a number of levers that we have to continue to grow this business. I think since I've been gone, I've been very impressed with some of the big rocks that the company has moved. We've dramatically moved up into the enterprise space, and we called out some of the metrics there where we've increased our go-lives and enterprise customers 64% year over year.We've talked about partnerships and some of the progress we've made with global SIs there. And I'm also thinking about global expansion, and we've done some amazing things in the APJ and EMEA region. I think we've got a lot of room to continue to expand profitability at this company and conversion into cash flow. And that's really where I'm going to spend my time focusing on is maintaining growth, making sure we invest the right amount to maintain that growth, but also making sure that we continue to improve the cash flow position of this company, and you saw us make some really great moves there this year.Scott Berg -- Needham and Company -- AnalystExcellent. Thanks for taking my questions.Matt WellsOur next question comes from Siti Panigrahi with Mizuho.Siti Panigrahi -- Mizuho Securities -- AnalystGreat. Thanks for taking my question. And Jeremy, welcome back. So it's good to see this 20% plus kind of growth guidance for your organic day for recurring.That's probably -- you're growing faster than other payroll peers. So my question is like you have been adding so many modules since IPO and even Joe's team relentlessly kept on adding more features there. So how big is this growth opportunity to now cross-sell these modules to your base did deliver the sustainable growth? And what's your go-to-market strategy to go after the base because most of them are displacement opportunity. So you have to displace the existing vendor.David Ossip -- Chairman and Chief Executive OfficerThanks, again. Great to speak with you. It's a very valid question. So when I look at the overall company, what I can say is that our client retention rate is probably several percentage points higher than anyone else in industry, including the ERPs.It's 97.1%. When we look at our sales back to the base, as a percentage were quite low relative to industry. So this year, we brought on a very senior leader to head up the customer-based sales team, and we're expecting to take the sales back to the base, up by about 5%. And relative to last year.So it's definitely a focus that we have at the moment. One other clarification that you might have -- when you look at the Dayforce recurring revenue growth year over year, you must remember that last year, we had a tailwind of about 500 basis points from the movement of the tax business. This year, you have effectively in the denominator in the reverse. So if you actually -- if we had not migrated the tax, which we did obviously for accounting reasons, you effectively would be a few percentage points higher, probably around 23% on an organic basis.Siti Panigrahi -- Mizuho Securities -- AnalystThanks for that clarification. And just a follow-up. If I look at Q4 results that's kind of this organic day for recurring revenue growth came in line with expectations. Is there anything you want to point to -- is that the employment level or any go-live? Also, if you could touch upon your so many large deals was scheduled to go live.Any update on that?David Ossip -- Chairman and Chief Executive OfficerLook, as you know, we guide very narrow. I can say you expect as we get into the year, the numbers should come within guide, which it did, which I think is a reflection of a well-managed and very predictable type of business. As Steve called out, we were very happy with the go-lives that we saw in the quarter. In fact, they came in ahead of what we had internally budgeted.It's also impressive given the fact that we now have at least half of the deals that we're implementing run by the system integrators where they're priming actual implementations. And that, I think, is a reflection on the robustness of the software that it's not only us that can implement that we're finding that our system integrated partners are able to implement and to implement predictably be on time, which I think is a very good testament. But Jeremy, anything else that you'll call out.Jeremy Johnson -- Chief Financial OfficerI think you said it nicely. The only thing I'll add is you saw us increase guidance across throughout the year in Q2, Q3. So I think we feel really good about the quarter that we had. And coming in line with guidance, I think, is on a tight metric like that speaks to the visibility that we have into the business and the accuracy of the model.Siti Panigrahi -- Mizuho Securities -- AnalystGreat. Thank you.Matt WellsOur next question comes from Dan Jester with BMO.Dan Jester -- BMO Capital Markets -- AnalystGreat. Thanks for taking my question. Maybe a couple for Steve. First, can you maybe double-click on any of the go-to-market or partner changes that you're really excited about for 2024 and then secondly, I appreciate the update on the government of Canada process.Can you give us an update in terms of the road map for next steps as they assess Dayforce more broadly? Thank you.Steve Holdridge -- President of Customer and Revenue OperationsYeah. Happy to answer both of those. Let me start with your second one first. So Government of Canada is a significant step.They put it out in a press release. They have determined that our solution is technically viable, which is a result of many multiple years of a pilot proving it at all sorts of complexity. The next step is a continued process on that. I don't want to get too far ahead of where they're at, but we're continuing to work with them to define what are the next steps in rolling that out over the next couple of years here.In terms of the go-to-market, so nothing dramatically changes in tune it a bit. You heard David talk about really three things: one, continued focus on our customer base and how we service the customer, how we take advantage in terms of our high retention rate, to focus on the customer base team and the amount of investment we're making in innovation in the product. We believe that's an incredible growth source for us. Secondly, we've continued to increase the sales capacity and knowledge, and we continue to refine around our go-to-market in terms of understanding the places where we have the best right to win and making sure we're adjusting and surging sales resources where we tend to win.We tend to find we're winning more upmarket. We're winning global, and we're winning in terms of compliance, in terms of product satisfaction, and in terms of full suite.Dan Jester -- BMO Capital Markets -- AnalystThank you. And then maybe a quick one for Jeremy. On your commentary about a little bit more conservatism in the back half of the '24 guidance, can you just elaborate on that a little bit, what's driving that conservatism? And if there's anything you'd call out from a seasonality perspective as we think about the quarters for '24. Thank you.Jeremy Johnson -- Chief Financial OfficerYeah. Good to speak with you again, Dan. The comment in my scripted remarks was specifically around employment levels and employment levels moderating in the back half of the year. Visibility there is probably where we have, obviously, the least.And so we're being a little bit more conservative on expecting any upside there. As you know, I talked about this before, but we have a lot of visibility into our numbers as we head into the year, and we feel confident in our guidance.Dan Jester -- BMO Capital Markets -- AnalystThank you very much.Matt WellsOur next question comes from Mark Marcon with Baird.Mark Marcon -- Robert W. Baird and Company -- AnalystHey. Good morning. And thanks for taking my question. Jeremy, great to work again with you.Looking forward to that. I'm wondering if you can talk a little bit more about one of the newer modules. The HR service delivery sounds like it could be really promising. Can you elaborate a little bit there in terms of which point solutions you could be going after? How big you think that TAM is? And what characteristics does the Dayforce HR delivery model have that is superior to some of the incumbents that are out there that have been doing relatively well.Jeremy Johnson -- Chief Financial OfficerMark, good to talk to you again, and thank you for the question. HR service delivery has grown as is important to the overall HCM suite to deflect questions and provide a knowledge base so that customers can get their questions answered when they have questions around their employment when they have HR policy questions or compliance-related questions. And so it has grown. There are a handful of point solutions that have grown over the last decade in the HR space.And traditionally, it was a bolt-on. The hard thing about that was employees didn't know where to go to get their questions answered. There was different technology solutions, and they wouldn't have a streamlined user experience and so the delivery of that product, especially now for us with the advancements in AI and being able to surface answers quickly and effectively to employees is proving to be a really important differentiator for us. A lot of companies who did it in the past leveraged a traditional just search model and search can only be so accurate.And so technology has really provided us a boost in terms of what we can do to see that, not really adoption customers that took the product in Q4, highlighted that for us. So we see it as a key add-on that almost every one of our customers will want. It drives efficiency in a world of efficiency right now for our customers. It makes their employees, especially the HR administrators that are highly paid and need to really manage their time effectively in this world of change, it drives efficiency and productivity into that level of their workforce.And so we're really bullish about what it's going to provide as far as an add-on module. We're seeing the uptake in Q4 is as an example of where we're going is to be quite high. And in eloomi, like I said, that need for the complex integration, the expense of these point solutions that were widespread and they were really bringing down a lot of the efficiency of the workforce.David Ossip -- Chairman and Chief Executive OfficerMarco, one thing in terms of advantage, other relative to the others. The central part of our experience to employees and managers is the Dayforce Hub experience, which in itself is a content management system, which means that as organizations build their hub experiences by loading up documents say, for example, opportunity policy to the actual platform, we can index it immediately and make it available through what we call intelligent search. And through the intelligent search, if someone were to say, "Hey, can I take this amount of time if the search doesn't respond with the sufficient amount of information, we can create that service take it for the individual. And so I do think from an integration perspective or experience perspective, the fact that we own one with the employee model on with the actual experience gives us a leg up relative to the competitors.Jeremy Johnson -- Chief Financial OfficerThe single experience is really powerful to highlight David's point to. And when you add on what we're doing with copilot, you can actually refine your question down, and you're seeing that over and over again from our customers wanting to leverage technology to drive efficiencies and productivity in the workforce.Mark Marcon -- Robert W. Baird and Company -- AnalystThat's terrific. And then with regards to a couple of things that you mentioned earlier, with regards to the government of Canada, I think at one point, you mentioned rollout over the next two years. So are we to take -- are we to take that comment that essentially, not only are you technically viable, but there is, in fact, a plan to roll you out over the next two years? And would you get the entire government and then is there anything that you can tell us about the big logistics company that you've signed up and that you've started up in the U.S., any big learnings there that will position you to continue to gain some of those really large enterprises.Jeremy Johnson -- Chief Financial OfficerSo a couple of things on government in Canada. I want to be careful we don't get ahead of where we are. It was a two- to three-year process to go through an intense evaluation for us to be determined technically viable, which is significant. We are in the process of defining the next steps in rollout over the entire government, it will be more than a two-year process on that.And the time line that is still under discussion. And there's obviously funding and other political things that need to happen for that. But we're very positive with where it's at and it's a significant next step. Secondly, I guess, learnings in terms of logistics company, we talked about them and others key wins before is we are understanding and improving the ability of the product to scale, right? And while this first phase was a chunk of it, we're well in terms of the second phase, which is going to be significant.We're looking at accelerating that. And thanks to Joe and what his team has done, we're really demonstrating that our ability to scale and the things that Joe talked about. Our reality and are creating a level of confidence in a customer like this who you know will exercise and test us at the highest levels.Mark Marcon -- Robert W. Baird and Company -- AnalystTerrific. Thank you.Matt WellsOur next question comes from Raimo Lenschow with Barclays.Raimo Lenschow -- Barclays -- AnalystHey. Thank you. I have two quick questions and congrats from me as well. First one is on the customer addition this quarter.Obviously, you're moving up market a little bit. So there's going to be like a -- there's going to be fewer customers that you're kind of dealing with compared to the past but then you also talked a little bit about like longer deal cycles. Can you just put it -- frame it in terms of how much of that number was kind of driven by a change in strategy versus like the market? And then I have one follow-up, please.David Ossip -- Chairman and Chief Executive OfficerSo remember, it's a net ad. As you know, we are focusing on the larger customers and included in the base of customers going back to about 2018 and before, we had a large number of powerpay payroll customers using Dayforce or workforce management. And these are very small customers. And so we are seeing churn at the small end of the customer partially by design as we continue to focus our upmarket.In terms of the quarter and the elevated sales cycles, I'm not ready to say if it is macro elected cycles or just how the days of the week fell into some in December, coupled with an earlier Christmas break, where we had several days fewer than we normally have. If you go through the end of the year and as I mentioned, we got off to a very strong start in Q1. And when I look at the pipeline development that we did over 2023, which was a key priority for us. We see that reflected in the almost four to five times coverage relative to our sales targets of this year.Historically, we would have gone in probably around two to three times. So I think the macro is still there. I think customers are still buying etc.Raimo Lenschow -- Barclays -- AnalystThat's really helpful. That's really good to hear. And then one follow-up for me is -- if you think about -- are there any differences that you see at the moment as your sales leaders are discussing the year with you in terms of U.S., Canada versus kind of Europe, Asia in terms of like what demand signals you're seeing there. Just to get a better idea in terms of how the global economies are playing out for you? And then lastly, Jeremy, I'll come back and looking forward to working with you.David Ossip -- Chairman and Chief Executive OfficerNo. Look, I think we have a very strong opportunity in APJ in Asia Pacific and Japan actually I was there last week. And when I look at our footprint in market, it is quite remarkable. And in total, we have about 1,500 customers in region of which we pay almost 2 million people in terms of regular pay slips.By the way, those 1,500 would not be included in the Dayforce counts that we have. And the customers that we have there are the best of the best. The breakfasts and the launches and the customer meetings I had really speak about the potential that I do think we have inside that region. That said, when we look toward our 2024 plan, I think it's largely in line in terms of a global distribution with prior years, but we do have a lot of global capability.And when I do speak to customers or to the large SI partners, one thing that is called out consistently is that we're able to deliver strong local payroll in a lot of different countries and as well, we're able to offer a very strong global barrel across all the countries that customers have. And that does differentiate us quite significantly from any other player, whether it be HCM, payroll, or ERP.Jeremy Johnson -- Chief Financial OfficerYes, I would just add one thing to that is, our growth levers remain the same, and we have the advantage of a balanced portfolio approach to how we drive our sales, right? Significant push in growth in terms of global. We are No. 1 in terms of that and customers recognize it. You've seen the growth in enterprise, but we still have a very healthy mid-market business and the differentiation around full suite across that.We still talked about the back of the customer base motion. You heard the stats in wallet and other things around adjacent innovation. So as we take a look at the year, each one of those levers has a growth target assigned to it and we see a pretty even distribution of the portfolio. And one of the advantages in our go-to-market as things change in different geographic or macro conditions, we can adjust those levers and continue to drive a number.Raimo Lenschow -- Barclays -- AnalystPerfect. Thank you.Matt WellsOur next question comes from Brad Reback with Stifel.Brad Reback -- Stifel Financial Corp. -- AnalystGreat. Thanks very much. Jeremy, as you think about your guidance philosophy going forward, can you give us a sense of how that may have differed, if at all, from previous CFOs?Jeremy Johnson -- Chief Financial OfficerBrad, good to speak with you again. The answer to the question is really no changes. The guidance philosophy I have is generally going to be consistent with the way we've guided in the past under previous CFOs.Brad Reback -- Stifel Financial Corp. -- AnalystGreat. Thanks very much.Matt WellsOur next question comes from Jared Levine with Cowen.Jared Levine -- Cowen and Company -- AnalystThanks. In terms of the demand environment in 4Q and so far into 1Q, have you seen any differences based on employer size, geography, vertical, or even payroll versus workforce management?David Ossip -- Chairman and Chief Executive OfficerNot really. I don't think so. Look, a lot of it depends on how we basically set our priorities in terms of Steve says, balance across the different segments we play in and the geographies. We know that we still have a tremendous amount of white space just in the U.S.and Canada, and so we are still quite focused on what I call the domestic market just amount, given the amount of growth potential we still have early here. But I can't say that I'm seeing any global market kind of stand out either positively or negatively.Jeremy Johnson -- Chief Financial OfficerYes. We see growth across all of them. David talked about APJ. I'm with our team in Europe and we have a number of significant brands over the past couple of years that we sold that are helping us there.But no, I think just go back, we have the advantage of a balanced portfolio and the ability to grow from multiple levers and to any time adjust up or down in those levers based on what's happened in a particular economy.Jared Levine -- Cowen and Company -- AnalystGreat. And then in terms of upsells and targeting an increasing mix of bookings related to upsell, do you anticipate that to be pretty broad-based across payroll versus your other modules? as you roll out more native payroll functionality you anticipate the mix of upsells related to payroll to change over the medium term here?Jeremy Johnson -- Chief Financial OfficerI think there's really three key focus areas for upsell with our existing base. One, customers that we have a footprint in a particular region and moving them to global. We're finding even small mid-market companies are pulling up shared services centers. Number two, customers that have time and pay with us to full suite with all the investments we've done in terms of talent, HR service delivery, there is a significant push in that.And then secondly, different divisions and distributions where we have one division in the company and cross-selling to another division as part of a larger global and multinational. I'll just complement that with our approach on the product standpoint. We have an industry-leading payroll product. It's a global payroll product that's differentiated.You heard from David, you hear from Steve in terms of whether it's APJ or across the globe, handling it both locally and then being able to handle a global footprint. We often time lead with that you can land and expand with Dayforce. We started Dayforce with an industry-leading WFM product. It's a product that is differentiated to extend in different industries and to do that hyper effectively.We oftentimes lead with that product as a best-of-breed WFM solution and we land and expand and can grow our footprint. And now with the [Inaudible] acquisition, you can see what we're doing in talent a really powerful frontline workforce with an AI capability that really provides industry-leading talent capabilities. We can lead now with talent and you can land and expand with the compliance solutions that we have that are leading around WFM payroll. And so we're really coming at it not just as a full suite, which we, of course, now have a very robust full suite.We can give you best-of-breed capabilities in those three areas and then land and expand with our customers. And in a world of efficiency and productivity needs, it's turning to be a good strategy.Jared Levine -- Cowen and Company -- AnalystGreat. Thank you.Matt WellsOur next question comes from Steve Enders with Citi.Steve Enders -- Citi -- AnalystOK. Great. Thanks for thanks for taking the questions Maybe just to start, it seems like as we think about the model moving forward and the pace of net new go-lives that maybe we should expect that level to be a little bit lower just given some of the dynamics. I guess I just want to clarify that and how you're thinking about what the pipeline looks like for go-lives going through calendar '24.David Ossip -- Chairman and Chief Executive OfficerSo that metric is a -- it's not a simple metric. The better number to look at would be the number of employees that we're onboarding on to the actual platform. If you look at '23 to '22, we added about 900,000 people on to the actual platform. In the net number of customers that are live, there are a lot of customers that are not included in that number because we've tried to keep the number consistent in the way we did it at time of IPO.So I think Jeremy will have to determine what we actually disclose on a go-forward basis when it comes to that metric or employee volumes. In terms of our go-to-market strategy, we remain committed to focus in on the markets where we believe we have differentiation, when I look at the actual product, what we do exceptionally well, we deliver simplicity at scale, where we're able to solve very complex problems for our customers especially around apparel workforce management scheduling benefit side, while at the same time, simplifying the number of different vendors that they're dealing with to get a complete and powerful total human capital management experience. That means that largely you'll see us continue to go up market to play very successfully in what we describe as the enterprise space, that 3,000 to 12,000 employee mark and as well in the major space, which goes from about 1,000 employees up to about 3,000. When we go into the very large enterprise, we are now seeing core HCM suites in particularly where there are high percentages of front-line workers, so think retail, for example, in other industries, we typically focus on our compliance modules, our global payroll and global workforce management capabilities, which, as you know, are quite unique in market.Jeremy Johnson -- Chief Financial OfficerAnd if I can just add three things that I think are really strong metrics for us that we've talked about already, but I'll highlight them again. We had record go-lives this past year in Q4, that's on a dollar basis metric. We have maintained our world-class retention rates of 97.1%. And we had net adds for our enterprise customers up 64% year over year.So larger customers record go-lives and strong dollar-based retention, I think are the three metrics that I want to highlight here.Steve Enders -- Citi -- AnalystThat's helpful. A couple of context there. And then maybe just on the partner feedback and the potential customer feedback you've heard so far on the name change to Dayforce. And I guess, what has been the commentary that you've heard so far?David Ossip -- Chairman and Chief Executive OfficerOne, I'm very proud of the work that our brand new team did. I'm seeing tremendous excitement both internally and externally from the simplification of the actual name change interest has been very, very positive.Steve Enders -- Citi -- AnalystPerfect. Thanks for taking the questions.Arvind Ramnani -- Piper Sandler -- AnalystHello?Matt WellsArvind, I think you're going to have to mute but if you'd like to ask a question, this is Arvind Ramnani with Piper Sandler. Next question, Mark Murphy with J.P. Morgan.Mark Murphy -- JPMorgan Chase and Company -- AnalystYes. Thank you very much. Wondering if you can drill down a bit into what you're expecting for my creation tailwinds in 2024, David, I think you mentioned the tax modernization side, but I'm interested also in the international payroll migrations, should we think that the tax migrations fade off somewhat while the international payroll piece perhaps starts to pick up and make up some of that difference. And then I have a quick follow-up.David Ossip -- Chairman and Chief Executive OfficerSo the tax migration, as you know, there was a platform change onto the Dayforce and so largely driven by accounting reasons. In terms of the APJ migration, we are now beginning to target what -- there's a product in market called [Inaudible] particularly in the Australian marketplace. And we are actively speaking with the [Inaudible] customer base about their journey toward Dayforce. I had a lunch with many of them just last week.We have several that have completed the journey and are highly referenceable. So I'm optimistic that, that journey will go very well. Likewise, we're actually focusing on centrification across the other countries within APJ, the launch of Dayforce Unify, which gives the customers a consistent experience when we incorporate what I call the headless payroll engine that we have across multiple APJ countries. That's also launched also quite nicely.And then over time, you'll see the expansion of Dayforce native as we go into 2025 and 2026.Mark Murphy -- JPMorgan Chase and Company -- AnalystOK. Understood. And then as a follow-up, perhaps for Jeremy, it is great to have you back, of course, Arithmetically, is it correct that the float income guidance steps up slightly for 2024? And if so, mechanically, could you just remind us how that works? And are you factoring in an expectation of for some pay cuts in the spring or summer?Jeremy Johnson -- Chief Financial OfficerHey, Mark. Good to speak with you again. And thanks for the question. Yes.So it steps up slightly from -- in our guidance compared to where we ended the year. We ended the year at around $169 million, and our guidance was $174 million, essentially, what you can assume there is balanced growth offset by essentially flat rates. Now keep in mind, we have baked in rate cuts throughout the year. into this number.But the way we ladder our portfolios, the rate cuts won't really hit this year. They'll start to hit next year or toward the end of this year and not impact that average rate that we're seeing.Mark Murphy -- JPMorgan Chase and Company -- AnalystOK. So something like a six- to nine-month lag because of the laddering.Jeremy Johnson -- Chief Financial OfficerSo maybe a little bit longer than that, but something like that.David Ossip -- Chairman and Chief Executive OfficerSo Mark, if you look at it last year, our yield was effectively 3.74%. And this year, we're assuming about 3.75%. So it takes a bit of time to have the rate increases go through the system. We're still climbing the yield curve when it comes to the core portfolio, that's part of the portfolio that we later out.in Q1, the proportion between the short term and the core portfolio shifts more toward the short term. So we should see some benefit from a higher rate environment in Q1 relative to last year.Mark Murphy -- JPMorgan Chase and Company -- AnalystUnderstood. Thank you very much. Appreciate it.Matt WellsOur next question comes from Kevin Kumar with Goldman Sachs. Our next question comes from Bhavin Shah with Deutsche Bank.Bhavin Shah -- Deutsche Bank -- AnalystGreat. Thanks for taking my question. Just first on Dayforce Co-pilot, I think you talked about in your prepared remarks about the strong productivity improvements from some of the early adopters. Can you just talk about how you're thinking about monetization of the SKU? How much is based on productivity and kind of how that pipeline is faring for this offering?Jeremy Johnson -- Chief Financial OfficerBob, I'm going to talk to you, and thank you for the question. We see it as an add-on to our suite. And so when you look at our overall suite, whether it's core HR, our compliance modules of payroll workforce management or what we're doing in talent and analytics we feel like Co-pilot is, as we refer to as an AI T make for your global workforce. It can help you in terms of efficiency, quickly, easily get your -- the questions you have answered, it's also moving into action where it can automatically generate reports instead of having to work with IT to create reports or get the data you need out of the system.They can do it more instantly and it's a nice add-on. So we treat it as any module we have, you can add on Co-pilot for an additional charge and drive those efficiencies. With our early adopters now, we're monitoring that efficiency and really driving that so that we can then, in our go to market later this year, really drive that into the metrics that we provide for customers to upsell and see what labor increases they can see and what productivity increases they can see from their workforce as a result of using Co-pilot. So it is an add-on module that you add on to a subscription, whether you just buy payroll or you buy our full suite, it can be added on as an additional cost saver for your business.Bhavin Shah -- Deutsche Bank -- AnalystSuper helpful. Just one quick follow-up based on I guess, more for Jeremy, just based on kind of -- you noted in the guidance, it assumes a more moderating rate environment. Obviously, it's lighter, so the impact can be more in, I guess, '25. But how are you as management team thinking about just the rate and pace of investments to the extent we are in a lower price environment, does that kind of impact how you're thinking about investing into go-to-market, etc.?Jeremy Johnson -- Chief Financial OfficerWe always look at the float as a really nice piece of our business, and we'll take it when it's here. But as it goes away, it's something that we will continue to invest in the business. We'll also focus on expanding our adjusted EBITDA margins and the conversion of that into cash flow. I think maybe what I'll highlight there is we saw significant improvement in our operating cash flow and conversion from adjusted EBITDA into operating cash flow.So we ended the year at $219.5 million in operating cash flow which is a 54% conversion from our adjusted EBITDA. So we're really pleased with that, you'll continue to see us focus on profitability regardless of the rate environment.David Ossip -- Chairman and Chief Executive OfficerThe other thing that I'll mention is we look at the EBITDA, which came in, as you know, the 27.1% for the full year, ex float that was up by 340 basis points year over year. So while we did get benefit from the port, we did continue our focus on, as Jeremy pointed out, more efficient opex across the company and as well the cash conversion. We were very happy that we came in a 54% conversion of operating cash flow, EBITDA to operating cash flow. And when we look at our guide for we're looking at increasing that by approximately another 10% up to the high 50% range of cash flow conversion.Bhavin Shah -- Deutsche Bank -- AnalystI appreciate the answers. Thanks for taking my questions.Matt Wells[Operator signoff]Duration: 0 minutesCall participants:Matt WellsDavid Ossip -- Chairman and Chief Executive OfficerSteve Holdridge -- President of Customer and Revenue OperationsJoe Korngiebel -- Chief Technology OfficerJeremy Johnson -- Chief Financial OfficerScott Berg -- Needham and Company -- AnalystSiti Panigrahi -- Mizuho Securities -- AnalystDan Jester -- BMO Capital Markets -- AnalystMark Marcon -- Robert W. Baird and Company -- AnalystRaimo Lenschow -- Barclays -- AnalystBrad Reback -- Stifel Financial Corp. -- AnalystJared Levine -- Cowen and Company -- AnalystSteve Enders -- Citi -- AnalystArvind Ramnani -- Piper Sandler -- AnalystMark Murphy -- JPMorgan Chase and Company -- AnalystBhavin Shah -- Deutsche Bank -- AnalystMore CDAY analysisAll earnings call transcriptsThis article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability.The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Ceridian Hcm (CDAY) Q4 2023 Earnings Call Transcript was originally published by The Motley Fool

Motley Fool

Ceridian Hcm (CDAY) Q4 2023 Earnings Call Transcript

https://finance.yahoo.com/news/ceridian-hcm-cday-q4-2023-161516119.html

4efca3b2-9067-3643-b136-94b0a69de7ec

DAY

Dayforce, Inc.Report finds increased empathy from leadership would not only boost employee satisfaction, but productivity as wellMINNEAPOLIS and TORONTO, Feb. 08, 2024 (GLOBE NEWSWIRE) -- Dayforce, Inc. (NYSE: DAY; TSX: DAY), a global human capital management (HCM) leader that makes work life better, today released results from its 14th Annual Pulse of Talent report. Findings show that increased empathy from leadership is a cost-effective, and often overlooked, productivity lever within an organization.Almost half of respondents (48%) agreed that their organization empathizes with employees. Among those who disagreed, 90% said having leaders show more empathy would make a positive difference in their work life, including improving their job satisfaction (52%), improving their job performance (39%), increasing their productivity (37%), improving mental health/levels of burnout (48%), and making them more loyal (41%).Additionally, more than 8 in 10 (81%) workers surveyed said their employer made organizational changes in the last year. While change and innovation are central to today’s workforce experience, organizations can mitigate some of the challenges created by transformation to benefit both employee and employer. The report, which surveyed 8,751 employees at companies with at least 100 employees from around the globe, found that:Stress is high: 70% of respondents say more aggressive performance goals/targets have increased stress levels. When employees didn’t reach performance goals, 43% said it caused them to lose motivation. Burnout and flight risk remain big concerns: More than 8 in 10 (81%) respondents said they experienced burnout in the previous 12 months, nearly the same level for three years running. Flight risk (69%) was essentially flat from last year despite growing uncertainty in the job market.Trust is lacking: Only half (56%) of respondents say they trust their employers, and only 55% say their employers trust their employees.Understanding and action are needed: 91% of respondents said employers can take actions to help increase their productivity, including creating better work-life balance (37%), hiring more people on their team (32%), skills development (29%), and more flexible work schedules (29%).Story continues“Our research shows employers are caught in a balancing act between a need for increased efficiencies to stay competitive in the market while safeguarding employee wellbeing and trust, which has been in flux since the pandemic,” said Katie Meyers, VP Global Talent Management and Development, Dayforce. “The good news is that tools and initiatives are readily available to help both sides of this equation meet the challenges of an ever-changing workplace and a boundless workforce.”The survey found 85% of respondents approved of upgrading workplace technology, with 69% saying new tech investments have increased their productivity in the past year and 39% reporting they have decreased their stress.In addition, 50% of respondents think that artificial intelligence (AI) can improve their productivity at work, and 80% of surveyed employees were at least slightly interested in their employer using AI to recommend new internal career and skills development opportunities.To download the full Pulse of Talent Report, please click here.Survey MethodologyHanover Research conducted Dayforce’s 14th Annual Pulse of Talent research study online from August 16 to September 7, 2023. The study included 8,751 respondents aged 18+ who work at companies with at least 100 employees across Australia, Canada, Germany, Malaysia, New Zealand, Singapore, the United Kingdom, and the United States.About Dayforce  Dayforce makes work life better. Everything we do as a global leader in HCM technology is focused on improving work for thousands of customers and millions of employees around the world. Our single, global people platform for HR, payroll, talent, workforce management, and benefits equips Dayforce customers to unlock their full workforce potential and operate with confidence. To learn how Dayforce helps create quantifiable value for organizations of all sizes and industries, visit dayforce.com.Forward-Looking StatementThis press release contains forward-looking statements that involve a number of risks and uncertainties. Statements that are not historical facts, including statements regarding our legal name change, the benefits of our unified branding, our investments in AI-driven innovations and best-in-class experiences, and our expectations, hopes, intentions or strategies regarding the future are forward-looking statements. Forward-looking statements are based on management's beliefs, as well as assumptions made by, and information currently available to, management. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. These forward-looking statements are not guarantees of future performance and speak only as of the date hereof, and, except as required by law, we undertake no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.This press release should be read in conjunction with the risks detailed in the “Cautionary Note Regarding Forward-Looking Information,” “Forward-Looking Statement”, “Risk Factors” and other sections of Ceridian’s Quarterly Reports on Form 10-Q, Annual Reports on Form 10-K and other reports we file with the Securities and Exchange Commission. Copies of reports filed with the Securities and Exchange Commission are posted on our website and are available from us without charge.Media Contact:Teri Murphy 1- 647-417-2117 [email protected]

GlobeNewswire

Dayforce Pulse of Talent Report: Empathetic Leadership Essential to Balance Employee Wants and Business Needs

https://finance.yahoo.com/news/dayforce-pulse-talent-report-empathetic-120000868.html

0de414a5-c4a7-3c2c-b4ca-d0d260a5c413

DAY

Dayforce, Inc.Leading fashion retailer to implement Dayforce platform across 400 stores in the United Kingdom and Republic of IrelandMINNEAPOLIS and LONDON, Feb. 27, 2024 (GLOBE NEWSWIRE) -- Dayforce, Inc. (NYSE: DAY; TSX: DAY), a global human capital management (HCM) leader that makes work life better, today announced that New Look, a leading affordable fashion omnichannel retailer in the United Kingdom and the Republic of Ireland, has chosen Dayforce to help provide a modern employee experience, optimise its workforce, and unify its HR and payroll processes in a single cloud HCM platform.With more than 8,500 employees, plus additional seasonal workers during busy holiday periods, New Look was searching for a comprehensive solution to unify the employee experience across brick-and-mortar stores, ecommerce, and fulfilment. The retailer also wanted to provide the mobile-first, self-serve experience its team craves.With Dayforce, New Look will better optimise its labour force and support future growth, streamline scheduling and workforce management, and help maintain compliance in an evolving regulatory environment - all in one system. The addition of on-demand pay with Dayforce Wallet in the UK will help New Look differentiate itself as an employer of choice in a competitive labour market.“Real-time calculations made possible by Dayforce will revolutionise how we do payroll and provide valuable data and analytics to help us manage a complex workforce of full-time, part-time, and seasonal workers across hundreds of retail stores and warehouse facilities,” said Lisa Nash, Head of People Services, New Look. “We wanted to create a great colleague experience. With Dayforce we will provide a modern, seamless, flexible HR and pay system that not only meets our needs today, but also in the years ahead.”“Managing the growing complexity of today’s workforce requires modern solutions and insights backed by data. Dayforce is perfectly positioned to help retailers like New Look drive labour efficiencies and provide a seamless, modern experience to frontline workers,” said Steve Holdridge, President, Dayforce, Inc. “New Look’s selection of Dayforce highlights the momentum we have in the EMEA region with companies of all sizes and across industries, and we’re thrilled to partner with them in this transformation to help future-proof their HR function across payroll and workforce management.”Story continuesTo help ensure the successful delivery of the project, New Look is partnering with Accenture to implement the Dayforce platform across its operations.To learn more about Dayforce’s modern cloud HCM software, please visit dayforce.com/UK.About DayforceDayforce makes work life better. Everything we do as a global leader in HCM technology is focused on improving work for thousands of customers and millions of employees around the world. Our single, global people platform for HR, payroll, talent, workforce management, and benefits equips Dayforce customers to unlock their full workforce potential and operate with confidence. To learn how Dayforce helps create quantifiable value for organizations of all sizes and industries, visit dayforce.com.Media Contact Nick de Pass 1-226-972-5962 [email protected]

GlobeNewswire

New Look Chooses Dayforce to Transform HR and Payroll

https://finance.yahoo.com/news/look-chooses-dayforce-transform-hr-120000862.html

286988ff-392d-3155-97dc-b043a8734c7a

DD

Gabelli FundsThursday, March 14, 2024RYE, N.Y., Feb. 15, 2024 (GLOBE NEWSWIRE) -- Gabelli Funds is hosting its 15th Annual Specialty Chemical Symposium at the Yale Club in New York, NY on Thursday, March 14, 2024. The symposium will draw a variety of companies, with a focus on pricing power, margin recovery, interest rates, destocking, global supply chain, global demand trends, and the M&A environment. Attendees will also have the opportunity to meet with managements in a one-on-one setting.Participating Companies:5E Advanced Materials, Inc. (NASDAQ: FEAM)American Vanguard (NYSE: AVD)Arcadium Lithium plc (NYSE: ALTM)Arq, Inc. (NASDAQ: ARQ)BASF Corporation (XETRA: BAS.DE)DuPont de Nemours, Inc. (NYSE: DD)H.B. Fuller (NYSE: FUL)Minerals Technologies (NYSE: MTX)NOVONIX Limited (NASDAQ: NVX)Quaker Houghton (NYSE: KWR) 1x1 Meetings OnlyAdvanSix Inc. (NYSE: ASIX)Hawkins Inc. (NASDAQ: HWKN) More to come…Details:Gabelli Funds’ 15th Annual Specialty Chemical SymposiumMarch 14, 20248:20 am - 2:00 pmConference Registration: https://m.gabelli.com/chemcials_prGabelli Funds, LLC is a registered investment adviser with the Securities and Exchange Commission and is a wholly owned subsidiary of GAMCO Investors, Inc.Contact: Rosemarie J. Morbelli, CFASenior VP, Specialty Chemicals(914) 921-7757Wayne C. Pinsent, CFAVP, Specialty Chemicals(914) 921-8352

GlobeNewswire

Gabelli Funds to Host 15th Annual Specialty Chemical Symposium

https://finance.yahoo.com/news/gabelli-funds-host-15th-annual-130000278.html

064db449-6146-3e1a-9bc5-2049c0067ac5

DD

Comprehensive SWOT analysis based on DuPont's latest SEC 10-K filing.Financial overview highlights DuPont's robust patent portfolio and global market presence.Strategic evaluation of DuPont's operational risks and growth opportunities.Forward-looking insights into DuPont's sustainability goals and market strategies.Warning! GuruFocus has detected 3 Warning Sign with DD.On February 15, 2024, DuPont de Nemours Inc (NYSE:DD), a global leader in specialty chemicals, released its annual 10-K filing, offering a detailed view of its financial performance and strategic direction. As a company that emerged from the DowDuPont merger, DuPont has established a strong presence in various industries, including electronics, automotive, and construction. The filing reveals a company with a solid financial foundation, boasting an aggregate market value of approximately $33 billion as of June 30, 2023. With a global workforce of about 24,000 employees and a significant patent estate of around 12,700 patents and applications, DuPont's financial health is underpinned by its innovative capabilities and expansive market reach.Decoding DuPont de Nemours Inc (DD): A Strategic SWOT InsightStrengthsRobust Intellectual Property Portfolio: DuPont's extensive patent estate, comprising approximately 12,700 patents and applications, is a testament to its commitment to innovation and a significant competitive advantage. With 78 percent of these patents having a remaining term of more than 5 years, DuPont ensures the longevity of its technological edge. This intellectual property not only protects the company's unique products and processes but also provides opportunities for licensing and cross-industry leverage, contributing to a diverse and resilient revenue stream.Global Market Presence: DuPont's operations span across 50 countries, with international sales accounting for 68 percent of net sales in 2023. This global footprint allows DuPont to tap into various markets, mitigate risks associated with regional economic fluctuations, and benefit from a broad customer base. The company's strong position in the Asia Pacific region, particularly in China, underscores its strategic market penetration and potential for future growth in emerging markets.Story continuesWeaknessesDependence on Raw Material Suppliers: DuPont's reliance on third-party suppliers for raw materials can lead to vulnerabilities, such as supply chain disruptions or price volatility. While the company does not typically operate against a significant backlog, limited instances of backlog due to raw material availability have occurred. These situations can impact production schedules and financial performance, highlighting the need for a more robust supply chain strategy to mitigate such risks.Operational Risks and Cybersecurity Threats: DuPont's centralized and local information technology networks are critical to its operations. However, the company acknowledges the potential for disruptions caused by cybersecurity threats, which could lead to loss of proprietary information, legal liabilities, and operational setbacks. Despite efforts to enhance protective measures, the evolving nature of cyber threats poses a continuous challenge to DuPont's operational integrity.OpportunitiesAdvancements in Sustainability: DuPont's 2030 Sustainability Goals, including its commitment to achieving carbon-neutral operations by 2050, align with global trends towards environmental responsibility. By focusing on sustainable solutions, DuPont can capitalize on increasing demand for eco-friendly products and practices. This strategic direction not only enhances the company's brand reputation but also opens up new markets and customer segments that prioritize sustainability.Emerging Market Growth: With a significant portion of revenue generated from international operations, DuPont is well-positioned to leverage growth opportunities in emerging markets. The company's presence in the Asia Pacific region, especially in China, provides a platform for expansion and increased market share. By tailoring its product offerings and innovation efforts to meet the specific needs of these markets, DuPont can drive revenue growth and diversify its global presence further.ThreatsCompetitive Market Conditions: DuPont operates in a highly competitive industry where product innovation, pricing strategies, and customer preferences rapidly evolve. The company must continuously adapt to maintain its market position and profitability. Failure to respond effectively to these competitive pressures could result in market share loss and reduced financial performance.Regulatory and Geo-Political Risks: As a global entity, DuPont is subject to various international regulations, including environmental laws and data protection standards. Changes in regulatory landscapes or geopolitical tensions can affect the company's operations and strategic decisions. DuPont must navigate these complexities to ensure compliance and minimize potential adverse impacts on its business.In conclusion, DuPont de Nemours Inc (NYSE:DD) exhibits a strong competitive position, bolstered by its extensive patent portfolio and global market presence. However, the company faces challenges related to its dependency on raw material suppliers and the ever-present threat of cybersecurity breaches. Opportunities for growth lie in DuPont's commitment to sustainability and potential expansion in emerging markets. Nonetheless, the company must remain vigilant against competitive pressures and regulatory changes that pose threats to its operations. By strategically leveraging its strengths and addressing its weaknesses, while capitalizing on opportunities and mitigating threats, DuPont is poised to maintain its status as a leader in the specialty chemicals industry.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 DuPont de Nemours Inc (DD): A Strategic SWOT Insight

https://finance.yahoo.com/news/decoding-dupont-nemours-inc-dd-051034824.html

ced9d589-4746-3681-b00e-f2ddb85b9f9e

DD

DuPont de Nemours, Inc. DD has extended its collaboration as a Strategic Ecosystem Partner with Silicon Catalyst, the world's only incubator dedicated exclusively to speeding semiconductor solutions. Silicon Catalyst will keep providing DuPont strategic insights into startups creating the upcoming wave of electronic materials, devices and technology.DuPont's collaboration with Silicon Catalyst helps to promote innovation by providing valuable insights into emerging opportunities for semiconductor materials and the new technologies that are available. Silicon Catalyst has already introduced DuPont to more than a dozen startups in the materials area, and it continues to expand its ecosystem, DD noted.As a Strategic Ecosystem Partner, DuPont works with Silicon Catalyst on a variety of activities, including incubator applicant reviews, directed projects for specialized market research, university collaborations and investment opportunities.Shares of DuPont have lost 2.5% over the past year compared with a 14.3% decline of its industry.Zacks Investment ResearchImage Source: Zacks Investment ResearchThe company, on its fourth-quarter call, said that it sees net sales for 2024 to be $11,900-$12,300 million. Adjusted earnings per share for 2024 is forecast to be $3.25-$3.65.For first-quarter 2024, the company expects net sales of roughly $2,800 million. Adjusted earnings per share for the quarter is projected in the range of 63-65 cents.DuPont expects a sequential decline in sales and earnings in the first quarter due to additional channel inventory de-stocking within its industrial-based businesses and continued weak demand in China.DuPont de Nemours, Inc. Price and ConsensusDuPont de Nemours, Inc. price-consensus-chart | DuPont de Nemours, Inc. QuoteZacks Rank & Key PicksDuPont currently carries a Zacks Rank #4 (Sell).Better-ranked stocks in the basic materials space include United States Steel Corporation X, Carpenter Technology Corporation CRS and Alpha Metallurgical Resources Inc. AMR.United States Steel carrying a Zacks Rank #1 (Strong Buy). X beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 54.8%. The company’s shares have soared 59.3% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.Carpenter Technology currently carries a Zacks Rank #1. CRS beat the Zacks Consensus Estimate in three of the last four quarters while matching it once, with the average earnings surprise being 12.2%. The company’s shares have soared 27.1% in the past year.The Zacks Consensus Estimate for AMR’s current-year earnings has been revised upward by 69% in the past 60 days. It currently carries a Zacks Rank #1.  AMR delivered a trailing four-quarter earnings surprise of roughly 24.8%, on average. AMR shares are up around 105.5% in a year.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 reportAlpha Metallurgical Resources, Inc. (AMR) : Free Stock Analysis ReportUnited States Steel Corporation (X) : Free Stock Analysis ReportDuPont de Nemours, Inc. (DD) : Free Stock Analysis ReportCarpenter Technology Corporation (CRS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

DuPont (DD) & Silicon Catalyst Renew Strategic Partnership

https://finance.yahoo.com/news/dupont-dd-silicon-catalyst-renew-112600498.html

d363b033-c274-3578-adbb-62b31a3d719c

DD

A month has gone by since the last earnings report for DuPont de Nemours (DD). Shares have added about 5.7% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is DuPont de Nemours 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.DuPont's Q4 Earnings Surpass Estimates, Revenues LagDuPont incurred a loss (on a reported basis) from continuing operations $300 million or 72 cents per share in fourth-quarter 2023. In the year-ago quarter, the company had reported a profit of $105 million or 20 cents per share. The bottom line in the reported quarter was hurt by a hefty non-cash goodwill impairment charge of around $800 million.Barring one-time items, earnings came in at 87 cents per share for the reported quarter, topping the Zacks Consensus Estimate of 85 cents. DuPont raked in net sales of $2,898 million, down 7% from the year-ago quarter. It missed the Zacks Consensus Estimate of $2,902 million. It saw a 10% decline in organic sales in the quarter, hurt by a 9% lower volume and a 1% decline in pricing.The company witnessed challenges from continued economic weakness in China and channel inventory de-stocking in the reported quarter.Segment HighlightsThe company’s Electronics & Industrial segment recorded net sales of roughly $1.36 billion in the reported quarter, up 1% on a year-over-year comparison basis. It was above our estimate of $1.34 billion. Organic sales fell 7% on reduced volumes and prices.Semiconductor Technologies organic sales fell on sustained customer inventory de-stocking and lower semiconductor fab utilization rates. Industrial Solutions registered lower sales mainly due to de-stocking within biopharma markets and for semiconductor-related capex equipment. Organic sales declined in Interconnect Solutions as higher volumes were more than offset by lower pass-through metals prices.Net sales in the Water & Protection unit were around $1.28 billion, down 15% year over year, hurt by lower volumes. The figure was below our estimate of $1.38 billion. DuPont saw lower sales in Safety Solutions, Water Solutions and Shelter Solutions on an organic basis in the quarter.Story continuesFY23 ResultsEarnings from continuing operations for 2023 were $1.09 per share, compared with $2.02 a year ago. Net sales were $12.1 billion for the full year, down around 7% year over year.FinancialsDuPont had cash and cash equivalents of roughly $2.39 billion at the end of 2023, down around 35% year over year. Long-term debt was around $7.8 billion, up about 0.3% year over year.The company generated operating cash flow from continuing operations of $646 million during the fourth quarter and $2.2 billion for full-year 2023.DuPont completed the $2 billion accelerated share repurchase transaction launched in September 2023.OutlookThe company sees net sales for 2024 to be $11.9-$12.3 billion. Adjusted earnings per share for 2024 is forecast to be $3.25-$3.65.For first-quarter 2024, the company expects net sales of roughly $2.8 billion. Adjusted earnings per share for the quarter is projected in the range of 63-65 cents.DuPont expects a sequential decline in sales and earnings in the first quarter driven by additional channel inventory de-stocking within its industrial-based businesses and continued weak demand in China.How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in estimates revision.VGM ScoresCurrently, DuPont de Nemours has a poor Growth Score of F, a grade with the same score on the momentum front. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% 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 downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise DuPont de Nemours has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months.Performance of an Industry PlayerDuPont de Nemours belongs to the Zacks Chemical - Diversified industry. Another stock from the same industry, Eastman Chemical (EMN), has gained 5% over the past month. More than a month has passed since the company reported results for the quarter ended December 2023.Eastman Chemical reported revenues of $2.21 billion in the last reported quarter, representing a year-over-year change of -7%. EPS of $1.31 for the same period compares with $0.89 a year ago.Eastman Chemical is expected to post earnings of $1.49 per share for the current quarter, representing a year-over-year change of -8.6%. Over the last 30 days, the Zacks Consensus Estimate has changed -1.7%.The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Eastman Chemical. 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 reportDuPont de Nemours, Inc. (DD) : Free Stock Analysis ReportEastman Chemical Company (EMN) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why Is DuPont de Nemours (DD) Up 5.7% Since Last Earnings Report?

https://finance.yahoo.com/news/why-dupont-nemours-dd-5-163104508.html

e6736be9-96cf-39cc-a497-ce01f25a29b0

DD

DuPont executive joins preeminent member organization for the development of Black leadersWILMINGTON, Del., March 11, 2024 /PRNewswire/ -- DuPont (NYSE: DD) today announced that Sam Ponzo, Vice President and General Manager, DuPont Industrial Solutions, has been inducted as a member of The Executive Leadership Council (ELC). The ELC is a global organization, comprised of current and former Black CEOs, Board Members and other senior executives, that works to open channels of opportunity for the development of Black executives to positively impact business and communities. The ELC held its induction ceremony at its annual meeting last week in Las Vegas.DuPont Logo (PRNewsfoto/DuPont)"I am deeply honored to be inducted as a member of the ELC," said Ponzo. "The organization has a rich history in opening channels of opportunity and having a significant impact in the development of black executives. I'm looking forward to the opportunity to work with the ELC to broaden my impact as I continue to work to develop the next generation of leaders."Over a 25-year career with DuPont, Ponzo has held a variety of business and functional leadership positions, serving as a project engineer, site electrical safety leader and first line supervisor for the Automotive Systems/Nylon Apparel business and has since held roles in the company's Food Industry Solutions and Safety Resources, Finance, DuPont Sustainable Solutions, and the Advanced Printing business. In his current role at DuPont, Ponzo leads a business serving diverse markets including industrial, flexographic and digital printing, healthcare, aerospace and automotive.A native of Wilmington, Ponzo earned a B.S. degree from Morehouse College, a B.S. in Electrical Engineering from the Georgia Institute of Technology, and an MBA from Drexel University. He also completed a Certificate for Human Capital Management at the Wharton School of the University of Pennsylvania."Sam is an inspirational leader whose meaningful contributions to DuPont are felt every day," said Jon Kemp, President, DuPont Electronics & Industrial. "His authentic and engaging leadership and diverse perspective have positively impacted not only our bottom line, but also the employees and communities around the world that he's supported. We're proud to have him as a part of our team and celebrate this well-deserved recognition."Story continuesAbout DuPont Electronics & IndustrialDuPont Electronics & Industrial is a global supplier of new technologies and performance materials serving the semiconductor, circuit board, display, digital and flexographic printing, healthcare, aerospace, industrial and transportation industries. From advanced technology centers worldwide, teams of talented research scientists and application experts work closely with customers, providing solutions, products and technical service to enable next-generation technologies.About DuPontDuPont (NYSE: DD) is a global innovation leader with technology-based materials and solutions that help transform industries and everyday life. Our employees apply diverse science and expertise to help customers advance their best ideas and deliver essential innovations in key markets including electronics, transportation, construction, water, healthcare and worker safety. More information about the company, its businesses and solutions can be found at www.dupont.com. Investors can access information included on the Investor Relations section of the website at investors.dupont.com.About The Executive Leadership CouncilThe Executive Leadership Council, an independent nonprofit 501(c)(3) corporation founded in 1986, is the preeminent membership organization committed to increasing the number of global Black executives in C-Suites, on corporate boards, and in global enterprises. Comprising more than 800 current and former Black CEOs, senior executives, and board directors at Fortune 1000 and Global 500 companies, and entrepreneurs at top-tier firms, its members work to build an inclusive business leadership pipeline that empowers global Black leaders to make impactful contributions to the marketplace and the global communities they serve. For more information, please visit www.elcinfo.com.DuPont™, the DuPont Oval Logo, and all trademarks and service marks denoted with ™, ℠ or ® are owned by affiliates of DuPont de Nemours, Inc. unless otherwise noted.CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/sam-ponzo-inducted-as-member-of-the-executive-leadership-council-302084459.htmlSOURCE DuPont

PR Newswire

Sam Ponzo Inducted as Member of the Executive Leadership Council

https://finance.yahoo.com/news/sam-ponzo-inducted-member-executive-140000584.html

aa5ee2aa-962f-396d-a730-288f29b063a4

DE

Fool.com contributor Parkev Tatevosian compares Deere (NYSE: DE) and Caterpillar (NYSE: CAT) to answer which is the better buy for passive income investors.*Stock prices used were the afternoon prices of Feb. 21, 2024. The video was published on Feb. 23, 2024.Should you invest $1,000 in Caterpillar right now?Before you buy stock in Caterpillar, 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 Caterpillar 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, 2024Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool recommends Deere. The Motley Fool has a disclosure policy.Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.Best Dividend Stock to Buy for Passive Income Investors: Deere vs. Caterpillar was originally published by The Motley Fool

Motley Fool

Best Dividend Stock to Buy for Passive Income Investors: Deere vs. Caterpillar

https://finance.yahoo.com/news/best-dividend-stock-buy-passive-210511463.html

58133695-580f-30c3-981a-a2ec9e300135

DE

One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. To keep the lesson grounded in practicality, we'll use ROE to better understand Deere & Company (NYSE:DE).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. Simply put, it is used to assess the profitability of a company in relation to its equity capital. View our latest analysis for Deere How To Calculate Return On Equity?The formula for ROE is:Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' EquitySo, based on the above formula, the ROE for Deere is:45% = US$9.9b ÷ US$22b (Based on the trailing twelve months to January 2024).The 'return' is the amount earned after tax over the last twelve months. Another way to think of that is that for every $1 worth of equity, the company was able to earn $0.45 in profit.Does Deere Have A Good Return On Equity?Arguably the easiest way to assess company's ROE is to compare it with the average in its industry. Importantly, this is far from a perfect measure, because companies differ significantly within the same industry classification. Pleasingly, Deere has a superior ROE than the average (12%) in the Machinery industry.roeThat is a good sign. Bear in mind, a high ROE doesn't always mean superior financial performance. A higher proportion of debt in a company's capital structure may also result in a high ROE, where the high debt levels could be a huge risk . You can see the 2 risks we have identified for Deere by visiting our risks dashboard for free on our platform here.Why You Should Consider Debt When Looking At ROEVirtually all companies need money to invest in the business, to grow profits. The cash for investment can come from prior year profits (retained earnings), issuing new shares, or borrowing. In the first two cases, the ROE will capture this use of capital to grow. In the latter case, the use of debt will improve the returns, but will not change the equity. That will make the ROE look better than if no debt was used.Story continuesCombining Deere's Debt And Its 45% Return On EquityDeere does use a high amount of debt to increase returns. It has a debt to equity ratio of 2.85. There's no doubt the ROE is impressive, but it's worth keeping in mind that the metric could have been lower if the company were to reduce its debt. Debt does bring extra risk, so it's only really worthwhile when a company generates some decent returns from it.SummaryReturn on equity is one way we can compare its business quality of different companies. In our books, the highest quality companies have high return on equity, despite low debt. All else being equal, a higher ROE is better.Having said that, while ROE is a useful indicator of business quality, you'll have to look at a whole range of factors to determine the right price to buy a stock. It is important to consider other factors, such as future profit growth -- and how much investment is required going forward. So I think it may be worth checking this free report on analyst forecasts for the company.Of course Deere may not be the best stock to buy. So you may wish to see this free collection of other companies that have high ROE and low debt.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.

Should We Be Delighted With Deere & Company's (NYSE:DE) ROE Of 45%?

https://finance.yahoo.com/news/delighted-deere-companys-nyse-roe-110018789.html

5360e6e5-6726-340d-afc8-c448b1fe0387

DE

(Bloomberg) -- After the US lost its status as the world’s top exporter of crops over the past decade, its farmers are ready to fight back. The strategy: maximizing production.Most Read from BloombergOne of the Most Infamous Trades on Wall Street Is Roaring BackThese Are the Best Countries for Wealthy ExpatsBond Investors Are Lining Up to Fund the War Against Putin‘Oppenheimer’ Wins Seven Oscars Including Best Picture, DirectorThat’s the message from participants at the Commodity Classic in Houston, one of the world’s largest farming shows that saw record attendance of more than 11,500 people two weeks ago. The thought is that even with abundant stockpiles, and corn and soy futures languishing near three-year lows, farmers have little choice but to raise the biggest crops possible.The US Department of Agriculture projections show farmers are set to maintain elevated planting, which could result in one of the biggest supply expansions ever. While that is expected to send net farm income tumbling 26% this year, it could also help the US regain some ground in the export market.“You just build stocks and get really cheap corn, so that you force the buyers’ hand to go here because we have very competitively priced corn,” Stephen Nicholson, vice president of grain and oilseeds at farm lender Rabobank, said at the trade show. That “would set us up to be prepared to move more corn offshore.”The US handed the corn-exporting crown to Brazil last August after dominating the international market for more than half a century. It had already relinquished the top spots in both soybean and wheat exports over the past decade — to Brazil and Russia, respectively.Read More: Twilight of an Agripower: How US Lost Powerful Statecraft ToolLining up to help farmers at the Commodity Classic were machinery companies including Deere & Co., as well as seed and chemical suppliers. As attendees sampled free soy lattes and popcorn, the companies tweaked their marketing plans with appeals to improve efficiency and reign in costs in a slumping farm economy.Story continues“It’s an excellent opportunity for end users to get stocked up,” said Stan Nelson, a farmer in southeastern Iowa who serves as president of the Iowa Corn Promotion Board. He has no plans to pare back plantings, even though he’s already feeling the “burdensome supply.”To spur the agriculture markets — and its own revenue — Deere has introduced a starter bundle to attract farmers who may not be ready to buy its top-of-the-line machines. For $2,000, farmers can get Deere’s latest computer display, modem and satellite receiver with the option to pay for additional automation features that give more control over tractors.“What we’re finding is the lower upfront costs attract customers that we haven’t interacted with ever, or within the last decade,” said Than Hartsock, Deere’s vice president of precision upgrades. That includes Hartsock’s father, an Ohio farmer who added the bundle to a Deere model from 1977. “This was just an easy way for him to get back up to speed.”Kurt Coffey, of Deere rival CNH Industrial NV, says farmers aren’t as concerned about which of the top brands they are buying.“We hear this a lot from customers: there’s less brand loyalty, and they’re more focused on how does this keep me in the black,” said Coffey, who is North America vice president of CNH’s Case IH brand.Read More: The US Is Losing Its Title of Top Corn Exporter to BrazilOther companies at the show focused on helping farmers become more sustainable. US startup Indigo Ag Inc. is paying farmers carbon credits for planting cover crops and reducing tillage — practices that improve soil health and eventually boost yields. It’s also introducing 30 new biological crop additives to bolster harvests.“I know how much of a difference the razor-thin margins are that farms operate on, so when I see commodity prices coming down, I cringe for the farmers,” said Indigo Ag Chief Executive Officer Dean Banks. “What I hope is that the value proposition of our biological products, ultimately, pay for themselves in yield.”Meanwhile, Farmers Business Network is offering 0% financing for growers who purchase from its network of warehouses in the US and Canada.Farmers are limiting loans from traditional lenders in hopes interest rates go down. “So that makes the 0% even more helpful for borrowers,” according to Charles Baron, co-founder and chief marketing officer of the startup.Political PushThe efforts come as the agriculture industry also presses for government action. Industry groups in November backed a proposal for the President’s Export Council, an advisory committee on international trade, to bolster American agriculture’s global standing. The proposal included calls to diversify agricultural supply chains, eliminate trade barriers and enforce existing trade agreements.At the Commodity Classic, the focus was on the farmers, helping them become more efficient and increase output.“The fastest way to cut the cost of production is to raise yields,” said Matt Bennett, an Illinois farmer and analyst at AgMarket.net.--With assistance from Dominic Carey.Most Read from Bloomberg BusinessweekHow 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 FirewallAcademics Question ESG Studies That Helped Fuel Investing BoomAirbus Is Soaring at Boeing’s Expense©2024 Bloomberg L.P.

Bloomberg

American Farmers Fight Back After Losing Top Crop Export Crown

https://finance.yahoo.com/news/american-farmers-fight-back-losing-140000409.html

5c75a662-47dc-319b-abf5-bc3ddcc01661

DE

In this article, we will look at the 15 most honest cities in the world.  We have also discussed the importance of honesty in businesses. If you want to skip our detailed analysis, head straight to the 5 Most Honest Cities in the World. Why is Honesty Important in Business?Honesty and trust are critical pillars for any business, impacting its bottom line and overall success. According to PwC's 2023 Trust Survey, 91% of business executives acknowledge that building and maintaining trust largely improves profitability. Conversely, a lack of trust can lead to erosion in brand value, financial performance, and hinder talent retention. In today's competitive landscape, where consumer expectations are continuously evolving, trust has become even more indispensable for businesses across all industries.Consumers, employees, and executives universally recognize the importance of trust in business operations. Recommendations and referrals, which stem from trust, significantly impact business performance. Fifty-eight percent of consumers have recommended a trusted company to friends and family, while 64% of employees have recommended their workplace because of trust. Despite the consensus on the importance of trust, there's a considerable gap between how much trust executives perceive their organizations to have and how much trust stakeholders actually place in them. This trust gap poses a major challenge for businesses, especially in an environment where trust is increasingly fragile. Consumer and employee trust levels have seen a slight decline since June 2022, emphasizing the need for businesses to prioritize trust-building efforts. To bridge this gap, businesses must actively listen to their employees, who often serve as frontline witnesses to customer interactions and operational issues, thereby helping to identify potential trust blind spots. Most Trusted Companies in the USIn terms of company trust, Costco Wholesale Corporation (NASDAQ:COST) stands out with a strong reputation in the US. The company's unwavering commitment to maintaining the price of its $1.50 hot dog and soda combo since 1985 showcases consistency and a customer-centric approach. This steadfast pricing strategy fosters a sense of reliability and transparency, which has built enduring trust among consumers over the years.Story continuesFurthermore, Costco Wholesale Corporation (NASDAQ:COST)’s emphasis on fostering a positive corporate culture adds to its high level of trust. By prioritizing a workplace environment that values both employees and customer satisfaction, Costco Wholesale Corporation (NASDAQ:COST) cultivates a favorable image that resonates positively with the public. Additionally, the company's consistent growth serves as further evidence of its trustworthiness, reflecting financial stability and longevity, thus assuring customers of Costco's reliability as a dependable retailer.On the other hand, Deere and Company (NYSE:DE) is another highly trusted company in the US, particularly in the agricultural machinery sector. Upholding a strong legacy, Deere and Company (NYSE:DE) instills confidence in its machinery, earning the trust of both new and longstanding customers.Moreover, its dedication to delivering superior products and services reinforces this trust. Deere and Company (NYSE:DE)’s focus on manufacturing reliable and durable machinery has established a positive reputation, with customers relying on the company's equipment for their agricultural needs. Additionally, the company's positive corporate culture, which emphasizes both customer satisfaction and employee well-being, further contributes to its high level of trust.How Honest Are People in 2024?In 2024, honesty varies greatly among individuals, influenced by cultural norms, personal values, and societal pressures. While many strive for integrity in their actions and communications, others may prioritize self-interest or convenience, leading to dishonest behavior. Factors such as social media, political polarization, and economic disparities continue to shape attitudes towards honesty. Technology also plays a role, with developments in deepfake technology and online anonymity challenging traditional notions of trust. In 2023, on Honesty Day, April 30th, Tandem Language Exchange explored global honesty attitudes. Only 48% of respondents deemed themselves honest, with politicians deemed the least trustworthy at 57%. Surprisingly, 23% admitted it's easier to lie in a second language. To read more about least trustworthy professions, see the least trusted professions in America. The survey also uncovered popular lying topics: 27% fib about exercise, 23% about diet, and 23% about health to avoid work. However, even the survey itself wasn't entirely truthful, with 10% confessing to lying while completing it. What was the Wallet Experiment?In a global social experiment conducted by Reader's Digest, 192 wallets were "lost" across 16 selected cities, each containing the equivalent of $50, a name with a cellphone number, a family photo, coupons, and business cards. The results revealed varying levels of honesty, with Helsinki, Finland, emerging as the most honest city, where 11 out of 12 wallets were returned. Conversely, Lisbon, Portugal, demonstrated the least honesty, with only 1 out of 12 wallets returned.Overall, 47% of the wallets were returned, highlighting that age, gender, and wealth did not serve as reliable predictors of honesty. Despite cultural and geographical differences, the experiment confirmed that honest and dishonest individuals exist in every society.15 Most Honest Cities in the WorldOur MethodologyFor our most honest cities in the world list, we used venture capital scores by the Finom under their Most Innovative Cities Ranking. We selected the top 15 cities in the world based on Venture Capital Scores. Our idea is that transparent and trustworthy environments attract investment. Honesty fosters credibility, reducing risk for investors and encouraging them to allocate capital. Cities with a reputation for integrity likely have stronger legal frameworks, lower corruption, and reliable business practices, enhancing investor confidence.We also factored in our review of these cities' individual honesty as well and weighted it with the funding they received in venture capital to score them overall out of a total of 30. This was done on consensus based on our internet research.The list is presented in ascending order.By the way, Insider Monkey is an investing website that uses a consensus approach to identify the best stock picks of more than 900 hedge funds investing in US stocks. The website tracks the movement of corporate insiders and hedge funds. Our top 10 consensus stock picks of hedge funds outperformed the S&P 500 stock index by more than 140 percentage points over the last 10 years (see the details here). So, if you are looking for the best stock picks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.15. Beijing, ChinaIM Score: 10Beijing is renowned for its honesty, evident in its rich history and modern prominence. As China's capital with over 23 million residents, it epitomizes integrity amid vast economic and cultural spheres. The city's status as a global hub for finance, diplomacy, and technology reflects its commitment to transparency and fairness. Its ancient heritage, including opulent palaces and historic sites, symbolizes a tradition of uprightness and virtue. Moreover, Beijing's position as a leading tourist destination confirms its reputation for integrity, attracting millions annually. Rooted in millennia of governance and tradition, Beijing is a true example of honesty on the world stage, earning universal acclaim. It is among the most honest cities in the world. 14. Hangzhou, ChinaIM Score: 11Hangzhou is considered honest primarily because of its strong emphasis on integrity, transparency, and ethical business practices. The city's culture promotes honesty and integrity in both personal and professional interactions. Additionally, Hangzhou's authorities have implemented measures to combat corruption, ensuring fairness and honesty in governance. Hangzhou is also one of the most honest cities in Asia.13. Shanghai, ChinaIM Score: 13Shanghai is often hailed for its remarkable economic prowess, exemplified by its towering financial and commercial achievements. With a gross metropolitan product estimated at nearly 9.1 trillion RMB ($1.27 trillion) in 2018, Shanghai's economic output eclipsed that of entire countries, exceeding even Mexico's GDP. The average annual disposable income and salary figures further solidify its status as a city of affluence, where residents enjoy substantial prosperity.Moreover, Shanghai's economic might extend beyond its domestic borders, with global recognition evident in its high rankings on various wealth and business indices. As the most expensive city in the world in 2021 and boasting a total wealth of $1.8 trillion, Shanghai is a city of opulence and opportunity. Additionally, Shanghai's impressive concentration of Fortune Global 500 companies further illustrates its magnetism for international business, making it a focal point for global commerce and innovation.12. Austin, Texas, USIM Score: 15People are considered honest in Austin from a business perspective owing to the city's vibrant culture of transparency and integrity. The community values ethical practices and fosters a sense of trustworthiness in business dealings. This commitment to honesty cultivates strong relationships between businesses and customers, leading to increased loyalty and positive reputations.11. Toronto, CanadaIM Score: 16As the financial and industrial hub of Canada, its concentration of banks and brokerage firms adhere to stringent regulations enforced by authorities. The Toronto Stock Exchange, ranking seventh globally, upholds transparency and integrity in trading practices. The presence of major financial institutions, including the Big Five, underscores a commitment to ethical conduct. It will be one of the most honest cities in the world in 2024.10. Paris, FranceIM Score: 18Paris is globally believed to be an honest city due to its cultural emphasis on integrity and transparency. The French value authenticity and straightforwardness, which translates into a societal expectation of honesty in various aspects of life. Additionally, strict legal frameworks and enforcement contribute to maintaining honesty in business transactions and governance. It is one of the most honest cities in Europe. 9. Chicago, Illinois, USIM Score: 19Chicago is renowned for its dependable reputation, buoyed by its strong transportation and logistics sector, which stands as the second-largest in the US. Continuously ranked as the top US city for foreign direct investment for seven consecutive years by IBM PLI consulting, it upholds a flourishing business environment. It is one of the most honest places in the world.8. Los Angeles, California, USIM Score: 20Los Angeles is considered honest owing to its status as an economic powerhouse, boasting the 19th largest economy globally if it were independent, with over 244,000 businesses. Its diverse business landscape, including a high number of minority- and women-owned enterprises, fosters an environment of fairness and integrity. Moreover, the city's transparent governance ensures that business interactions are conducted openly and ethically, with ample opportunities for private sector involvement in contracts for goods and services. It is one of the cities where most honest people live.7. Tokyo, JapanIM Score: 21Japanese society places a high emphasis on integrity and respect for others, instilling a sense of honesty from an early age. The concept of "honne" (true feelings) and "tatemae" (public facade) encourages individuals to be sincere and truthful in their interactions. Moreover, Tokyo has efficient public services and low crime rates, which further enhance the perception of honesty. The city's advanced technology and surveillance systems contribute to a safe environment where dishonest behavior is less tolerated. It is one of the 10 most honest cities in the world.6. Berlin, Germany IM Score: 23Germany has a strong tradition of rule-following and respect for laws, which fosters a sense of honesty and integrity among its citizens. Additionally, Berlin's tumultuous history, including the division and subsequent reunification of the city, has instilled a collective consciousness valuing transparency and honesty as essential components of rebuilding and progressClick here to see the 5 Most Honest Cities in the World.Suggested Articles:20 Most Trustworthy Cities in the US20 Most Reputable and Trustworthy Companies in the World20 Most Trusted Brands In The USDisclosure: None. 15 Most Honest Cities in the World is originally published on Insider Monkey. 

Insider Monkey

15 Most Honest Cities in the World

https://finance.yahoo.com/news/15-most-honest-cities-world-222927985.html

45270d43-ea62-3ec9-a967-15d30a4ec9d8

DE

Key InsightsUsing the 2 Stage Free Cash Flow to Equity, Deere fair value estimate is US$386Current share price of US$374 suggests Deere is potentially trading close to its fair value The US$415 analyst price target for DE is 7.4% more than our estimate of fair valueDoes the March share price for Deere & Company (NYSE:DE) reflect what it's really worth? Today, we will estimate the stock's intrinsic value by taking the forecast future cash flows of the company and discounting them back to today's value. Our analysis will employ the Discounted Cash Flow (DCF) model. Models like these may appear beyond the comprehension of a lay person, but they're fairly easy to follow.We would caution that there are many ways of valuing a company and, like the DCF, each technique has advantages and disadvantages in certain scenarios. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. View our latest analysis for Deere The MethodWe use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows. Generally the first stage is higher growth, and the second stage is a lower growth phase. In the first stage we need to estimate the cash flows to the business over the next ten years. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars:Story continues10-year free cash flow (FCF) forecast2024202520262027202820292030203120322033 Levered FCF ($, Millions) US$5.85bUS$6.80bUS$7.08bUS$7.67bUS$7.62bUS$7.64bUS$7.71bUS$7.81bUS$7.93bUS$8.08bGrowth Rate Estimate SourceAnalyst x9Analyst x9Analyst x5Analyst x1Analyst x1Est @ 0.28%Est @ 0.89%Est @ 1.31%Est @ 1.60%Est @ 1.81% Present Value ($, Millions) Discounted @ 8.4% US$5.4kUS$5.8kUS$5.6kUS$5.5kUS$5.1kUS$4.7kUS$4.4kUS$4.1kUS$3.8kUS$3.6k("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$48bThe second stage is also known as Terminal Value, this is the business's cash flow after the first stage. For a number of reasons a very conservative growth rate is used that cannot exceed that of a country's GDP growth. In this case we have used the 5-year average of the 10-year government bond yield (2.3%) to estimate future growth. In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 8.4%.Terminal Value (TV)= FCF2033 × (1 + g) ÷ (r – g) = US$8.1b× (1 + 2.3%) ÷ (8.4%– 2.3%) = US$134bPresent Value of Terminal Value (PVTV)= TV / (1 + r)10= US$134b÷ ( 1 + 8.4%)10= US$60bThe total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is US$108b. The last step is to then divide the equity value by the number of shares outstanding. Compared to the current share price of US$374, the company appears about fair value at a 3.2% discount to where the stock price trades currently. Valuations are imprecise instruments though, rather like a telescope - move a few degrees and end up in a different galaxy. Do keep this in mind.dcfImportant 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 Deere 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 8.4%, which is based on a levered beta of 1.339. 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.SWOT Analysis for DeereStrengthEarnings growth over the past year exceeded the industry.Debt is well covered by earnings.Dividends are covered by earnings and cash flows.WeaknessEarnings growth over the past year is below its 5-year average.Dividend is low compared to the top 25% of dividend payers in the Machinery market.OpportunityGood value based on P/E ratio and estimated fair value.ThreatDebt is not well covered by operating cash flow.Annual earnings are forecast to decline for the next 3 years.Next Steps:Valuation is only one side of the coin in terms of building your investment thesis, and it is only one of many factors that you need to assess for a company. DCF models are not the be-all and end-all of investment valuation. Preferably you'd apply different cases and assumptions and see how they would impact the company's valuation. For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. For Deere, we've put together three important factors you should explore:Risks: Every company has them, and we've spotted 2 warning signs for Deere you should know about.Future Earnings: How does DE'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. Simply Wall St updates its DCF calculation for every American stock every day, so if you want to find the intrinsic value of any other stock 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.

Calculating The Intrinsic Value Of Deere & Company (NYSE:DE)

https://finance.yahoo.com/news/calculating-intrinsic-value-deere-company-110018503.html

effff9d6-bb92-3d83-8542-a86a0655b4ce

DFS

The big news in banking this week is that Capital One Financial (NYSE: COF) is acquiring Discover Financial Services (NYSE: DFS). Capital One is the ninth-largest U.S. bank by assets, and Discover is a credit card network like Visa or Mastercard. Its model is more similar to American Express, just a lot smaller. Is that where Capital One is going?What does this do for Capital One?Capital One has revamped its credit card program over the past few years, leaning heavily on the American Express example of a large rewards program. This has helped it capture more credit card customers, and increased purchase volume has helped it offset the negative impact of higher interest rates on deposits, as well as increased its net interest income and margin.Overall, credit card debt in the U.S. is growing. And while Capital One isn't the biggest player, it's growing its share.Image source: Statista.Discover issues its own credit cards, but it also has its own network, and that opens up new opportunities for Capital One. Acquiring Discover gives it more control over its credit card program and makes it more competitive. It gives it access to financial technology that complements its current infrastructure, differentiating it from the standard large bank.The payments industry has changed with the advent of the digital payment industry, and there are all sorts of new payment methods today that rely on technology. This acquisition gives Capital One a larger global role in the future of payments.The closed-loop systemOn a deeper level, this could lead to a change in Capital One's model that makes it more like American Express. Discover is the smallest of the four credit card networks and operates a closed-loop system like American Express.Visa and Mastercard do not offer banking services nor underwrite the "loans," or the credit customers use when they swipe their cards. They simply provide the network connecting the merchant, consumer, and bank, which lends the money for the purchase, and they work with an issuing financial institution. In contrast, American Express and Discover have a closed-loop system, where they act as their own issuing bank.Story continuesAmerican Express has a specific niche with its target affluent clientele, fee-based cards, and robust rewards program. Discover doesn't have that same niche, but Capital One's acquisition will give the Discover network greater scale, and it could become more of a competitor in the mass credit card business. It could take this in several directions to stand out and offer something different from the American Express experience.The Buffett connectionCapital One was in the news recently when Berkshire Hathaway took a position in it last year. Buffett loves bank stocks, so it wasn't a surprise move. But why this one?Capital One stock is trading cheaply right now at a price-to-book ratio of 0.9, or less than the value of its assets, and it's also much cheaper than similar banks. It's also consumer-facing, like Buffett favorite Bank of America. These characteristics appeal to Buffett's approach to investing. American Express is also one of Buffett's favorite stocks and Berkshire Hathaway's third-largest position, accounting for 8.7% of its equity holdings.I wouldn't say to jump into Capital One stock just because of this acquisition, which still has a few regulatory hurdles to pass before going through. But the stock did jump on the news because it could be a very exciting development for Capital One, and investors should stay tuned to see how it plays out.Should you invest $1,000 in Capital One Financial right now?Before you buy stock in Capital One Financial, 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 Capital One Financial 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, 2024Bank of America is an advertising partner of The Ascent, a Motley Fool company. American Express is an advertising partner of The Ascent, a Motley Fool company. Discover Financial Services is an advertising partner of The Ascent, a Motley Fool company. Jennifer Saibil has positions in American Express. The Motley Fool has positions in and recommends Bank of America, Berkshire Hathaway, Mastercard, and Visa. The Motley Fool recommends Discover Financial Services and recommends the following options: long January 2025 $370 calls on Mastercard and short January 2025 $380 calls on Mastercard. The Motley Fool has a disclosure policy.Is Capital One Trying to Become the Next American Express? was originally published by The Motley Fool

Motley Fool

Is Capital One Trying to Become the Next American Express?

https://finance.yahoo.com/news/capital-one-trying-become-next-134600233.html

8a821134-6237-3ea5-ab52-d8eb0b858a0d

DFS

On Feb. 19, Capital One (NYSE: COF) announced it would acquire Discover Financial Services (NYSE: DFS) in an all-stock transaction valued at over $35 billion. The move could make Capital One the largest credit card issuer in the U.S. and create greater competition for Visa (NYSE: V) and Mastercard (NYSE: MA), whose stocks fell following the news announcement. Here's what it could mean for investors in those companies.Capital One could become the largest card issuer in the U.S.Capital One provides its customers with various financial and banking services and is the ninth-largest bank in the U.S. The company's bread-and-butter business is issuing branded cards through Visa and Mastercard. It's the fourth-largest card issuer in the U.S., according to The Nilson Report.This deal is turning a lot of heads, and for good reason. Capital One issues debit and credit cards through Mastercard and Visa, with its transactions running through their networks and earning them fees on every swipe. Meanwhile, Capital One holds on to this credit card debt and services these loans. The merger could make Capital One the largest credit card lender in the U.S., pushing it ahead of JPMorgan Chase, which currently holds that title.In addition, it would provide Capital One with Discover's payment networks, including Discover Network, Diners Club, and Pulse debit network, which have struggled to compete with Visa and Mastercard for payment volume. If the deal goes through, Capital One could move its cards to Discover's network and create a closed-loop payment network that better competes with Visa and Mastercard.Image source: Getty Images.This is where things get interesting with regulators. On the one hand, they have expressed concern about Capital One being the largest card issuer in the U.S. On the other hand, those same regulators want more competition from different payment networks to better contend with Visa and Mastercard, who they claim have a duopoly over payment processing.Story continuesAccording to data from The Nilson Report, Visa processed $11.6 trillion in payment volume in 2022, while Mastercard had $6.6 trillion. American Express had $1.5 trillion. In comparison, Discover's networks processed $243 billion, or only 2% of Visa's payment volume.Here's how the deal could affect Visa and MastercardAccording to analysts with Morgan Stanley, Capital One's existing debit card portfolio is primarily Mastercard-branded, where it does about $100 billion in volume annually. In addition, it has about $75 billion in credit card volume between Visa and Mastercard.Those analysts say that if Capital One were to move its volumes over to Discover, it would have a 0.2% effect on Visa and a 2.1% effect on Mastercard's payment volume. Any effect on Visa's or Mastercard's bottom line would likely be negligible.The deal faces intense scrutiny from lawmakersBefore the Capital One-Discover deal can go through, it must face heavy scrutiny from lawmakers and consumer groups. For example, Senator Elizabeth Warren (D-Mass.) said that the merger "threatens our financial stability, reduces competition, and would increase fees and credit costs for American families," and asked regulators to "block it immediately."In addition, Senator Josh Hawley (R-Mo.) said, "This merger will create a new juggernaut in the credit card market, with unprecedented powers to extort American consumers. That cannot be allowed to happen." With opposition from both sides of the aisle, the deal will likely face significant headwinds before any approval.Here's what investors should doThe Capital One-Discover deal would be the fifth-largest bank merger in U.S. history. If it goes through, Visa and Mastercard would certainly feel some effects, although it wouldn't put too big a dent in their earnings. However, the deal has significant hurdles to overcome and its approval could hinge on election results in November, so a decision likely won't be made until later this year or 2025.Investors should continue to monitor this deal. It could create an intriguing investment opportunity in the combined Capital One-Discover company. However, Visa and Mastercard investors shouldn't rush to the exits, as these companies will likely remain dominant players in the payment networks industry.Should you invest $1,000 in Capital One Financial right now?Before you buy stock in Capital One Financial, 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 Capital One Financial 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, 2024JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Discover Financial Services is an advertising partner of The Ascent, a Motley Fool company. Courtney Carlsen has positions in Morgan Stanley. The Motley Fool has positions in and recommends JPMorgan Chase, Mastercard, and Visa. The Motley Fool recommends Discover Financial Services and recommends the following options: long January 2025 $370 calls on Mastercard and short January 2025 $380 calls on Mastercard. The Motley Fool has a disclosure policy.What Does the Capital One-Discover Deal Mean for Visa and Mastercard Investors? was originally published by The Motley Fool

Motley Fool

What Does the Capital One-Discover Deal Mean for Visa and Mastercard Investors?

https://finance.yahoo.com/news/does-capital-one-discover-deal-123600710.html

5a8450dd-2760-3002-9a26-c77327dc2b58

DFS

Capital One’s (COF) $35 billion deal for Discover Financial (DFS) and Walmart’s (WMT) $2.3 billion acquisition of smart TV maker Vizio (VZIO) sent a signal that corporate America is willing to spend big on M&A again.But that optimism may be short-lived.The Federal Trade Commission’s (FTC) recent bid to block Kroger’s (KR) $25 billion acquisition of Albertsons (ACI) may deter dealmaking activity, posing a potential risk for investors.“[The Biden administration] has sent a clear message that mergers will be looked at more carefully and with a broader approach,” former FTC commissioner Mozelle Thompson told Yahoo Finance Live. “The Biden administration has sent a signal that may have a chilling effect to mergers, and the market is responding to that.”Since stepping into the White House in January 2021, the Biden administration has made antitrust a priority. The FTC brought 24 merger enforcement challenges in fiscal year 2022, according to the annual Hart-Scott-Rodino Report. It's the second-highest figure in the past decade.The FTC’s suit to challenge the Kroger-Albertsons tie-up is the latest in a long list of moves taken by the Biden administration to block consolidation across industries, from Big Tech to airlines.Recent wins include a federal judge siding with the Department of Justice (DOJ) and blocking JetBlue’s (JBLU) $3.8 billion acquisition of Spirit Airlines (SAVE), as well as biotech firm Illumina’s (ILMN) decision to sell Grail.A JetBlue Airways Airbus A320, left, passes a Spirit Airlines Airbus A320 as it taxis on the runway, July 7, 2022, at the Fort Lauderdale-Hollywood International Airport in Fort Lauderdale, Fla. (AP Photo/Wilfredo Lee, File) (ASSOCIATED PRESS)Experts warn the offensive on corporate America consolidation will likely continue, regardless of who wins the 2024 presidential election.“The populist movement is shifting how a lot of Republicans look at antitrust,” Stifel's chief Washington policy analyst Brian Gardner told Yahoo Finance. “For those who think there's going to be some big M&A boom if Trump wins are going to be sorely disappointed.”Gardner added, “The M&A antitrust moves that the Biden administration has undertaken originated at the end of the Trump administration. The Biden administration took the ball and ran with it. … I see a subtle shift [if Trump is elected], but I don't see a big shift.”Story continuesSenator JD Vance (R-Ohio) recently commended FTC chair Lina Khan’s antitrust crackdown, telling attendees at Bloomberg’s “RemedyFest” technology forum that she’s “doing a pretty good job.”Bipartisan pushback on Kroger’s deal to buy Albertsons was evident from the start. Senators Amy Klobuchar (D-Minn.) and Mike Lee (R-Utah), the chair and top Republican on the Senate Judiciary Committee's antitrust panel, both expressed concern that the transaction would reduce competition and consumer choice during a bipartisan hearing shortly after the deal was announced.And the bipartisan opposition extended to the state level as well. A group of nine state attorneys general joined the FTC in the lawsuit, including Nevada attorney general Aaron Ford, who told Yahoo Finance a merger would eliminate pricing competition, and erode product quality.It’s also important to point out that the FTC’s challenge of Kroger’s deal to buy Albertsons is among the first to come under new merger guidelines published by the FTC and DOJ, which includes consideration of how mergers affect labor market competition.The expanded guidelines could reshape the business landscape for years to come, as a wider range of mergers will likely be questioned as a result.“The antitrust climate is going to be tough,” Thompson added. “Companies looking to merge are going to have to not only look at the timing of those mergers but be able to showcase some real benefits. … Deals may still get through, but it will be more expensive and take more time.”Seana Smith is an anchor at Yahoo Finance. Follow Smith on Twitter @SeanaNSmith. Tips on deals, mergers, activist situations, or anything else? Email [email protected] 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

FTC's suit against Kroger-Albertsons merger will have a 'chilling effect' on M&A activity

https://finance.yahoo.com/news/ftcs-suit-against-kroger-albertsons-merger-will-have-a-chilling-effect-on-ma-activity-193033332.html

5f9f8745-fcad-4d52-ba6e-a36607a80434

DFS

Capital One Financial Corp. COF is well-poised for revenue growth on the back of strategic acquisitions and steady loan demand. Higher interest rates and a strong balance sheet position will continue to support its financials. However, rising expenses and weak asset quality remain major near-term concerns.Capital One is focused on growing inorganically. In February 2024, COF announced a $35.3 billion all-stock deal to acquire Discover Financial DFS, with the aim to reshape the landscape of the credit card industry and increase shareholders’ value. According to the agreement, shareholders of Discover Financial will receive 1.0192 capital one shares for each DFS share. Capital One shareholders will own almost 60% and DFS shareholders will possess nearly 40% of the combined company.Earlier in 2023, COF acquired Velocity Black to bolster its delivery of exceptional experiences for consumers due to its innovative technology. In 2021, the company acquired TripleTree, LLC, while in 2019, it acquired KippsDeSanto. Also, the buyouts of Beech Street Capital and GE's healthcare unit reflect the company’s revenue diversifying efforts.The company’s revenues witnessed a five-year (2018-2023) compound annual growth rate (CAGR) of 5.6%, despite recording a decline in 2020. Given COF’s solid credit card and online banking businesses, along with decent loan demand, the revenue prospects look promising. Capital One’s net loans held for investment recorded a four-year (ended 2023) CAGR of 4.2% and we expect the metric to rise 2.4% in 2024. Further, we project total revenues to grow 2.7%, 3.2% and 7% in 2024, 2025 and 2026, respectively.With the Federal Reserve expected to keep interest rates high in the near term, Capital One’s net interest income (NII) and net interest margin (NIM) are likely to witness improvements. However, higher funding costs might weigh on the metrics. Driven by the higher interest rates, NII witnessed a steady rise in the last three years. We expect NII to witness a CAGR of 4.3% over the three years ended 2026.COF currently carries a Zacks Rank #3 (Hold). Shares of the company have climbed 15.9% over the past three months compared with the industry’s growth of 14%.Story continuesZacks Investment ResearchImage Source: Zacks Investment ResearchCapital One’s asset quality has been deteriorating. Both provision for credit losses and net charge-offs have been rising amid the uncertain macroeconomic backdrop. The company’s credit quality is likely to remain under pressure in the near term, given the tough macroeconomic outlook. While we project provision for credit losses to decline in 2024 and 2025, the metric is expected to rise 7.7% in 2026. NCOs are expected to rise 16.3% in 2024.Capital One has been witnessing a constant rise in expenses. Though expenses declined in 2020, the metric witnessed a CAGR of 6.4% over the last five years (ended 2023). The increase was mainly due to higher marketing costs and inflationary pressure. Given the company’s continued investments in technology, infrastructure and inorganic expansion efforts, the expenses are expected to remain elevated. We project total non-interest expenses to increase 1.4%, 3.9% and 2.5% in 2024, 2025 and 2026, respectively.Stocks to ConsiderSome better-ranked bank stocks are EZCORP, Inc. EZPW and Mr. Cooper Group Inc. COOP.Earnings estimates for EZCORP for the current year have moved north by 8.2% in the past 60 days. The company’s shares have gained 20.5% over the past three months. At present, EZPW sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Earnings estimates for Cooper Group for 2024 have been revised upward by 2.7% in the past 30 days. The stock has gained 12.1% over the past three months. Currently, COOP carries a Zacks Rank #2 (Buy).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 reportDiscover Financial Services (DFS) : Free Stock Analysis ReportCapital One Financial Corporation (COF) : Free Stock Analysis ReportEZCORP, Inc. (EZPW) : Free Stock Analysis ReportMR. COOPER GROUP INC (COOP) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Capital One (COF) Rides on Buyouts & Loans, Asset Quality Ails

https://finance.yahoo.com/news/capital-one-cof-rides-buyouts-151500679.html

f9b5c9f8-402b-3f6f-be45-1def3c5e8328

DFS

When you buy and hold a stock for the long term, you definitely want it to provide a positive return. Furthermore, you'd generally like to see the share price rise faster than the market. But Discover Financial Services (NYSE:DFS) has fallen short of that second goal, with a share price rise of 65% over five years, which is below the market return. On a brighter note, more newer shareholders are probably rather content with the 24% share price gain over twelve months.So let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns. Check out our latest analysis for Discover Financial Services 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).Over half a decade, Discover Financial Services managed to grow its earnings per share at 7.9% a year. This EPS growth is lower than the 10% average annual increase in the share price. This suggests that market participants hold the company in higher regard, these days. That's not necessarily surprising considering the five-year track record of earnings growth.The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).earnings-per-share-growthIt is of course excellent to see how Discover Financial Services has grown profits over the years, but the future is more important for shareholders. If you are thinking of buying or selling Discover Financial Services stock, you should check out this FREE detailed report on its balance sheet.What About Dividends?When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. 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. We note that for Discover Financial Services the TSR over the last 5 years was 85%, which is better than the share price return mentioned above. And there's no prize for guessing that the dividend payments largely explain the divergence!Story continuesA Different PerspectiveDiscover Financial Services shareholders are up 28% for the year (even including dividends). Unfortunately this falls short of the market return. On the bright side, that's still a gain, and it's actually better than the average return of 13% over half a decade This could indicate that the company is winning over new investors, as it pursues its strategy. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. For example, we've discovered 2 warning signs for Discover Financial Services that you should be aware of before investing here.But note: Discover Financial Services 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.

Discover Financial Services (NYSE:DFS) shareholders have earned a 13% CAGR over the last five years

https://finance.yahoo.com/news/discover-financial-services-nyse-dfs-133228085.html

1b6a5918-0430-3575-8c1a-081c30ddcf18

DG

Dive Brief:Dollar General celebrated the opening of its 20,000th store on Saturday. The newest store, a DG Market, is located in Alice, Texas, in the southeastern part of the state. “Today marks an incredible milestone in Dollar General’s history,” Steve Deckard, Dollar General’s executive vice president of store operations and development, said in a company announcement.Texas Gov. Greg Abbott commemorated the event with an official recognition. The retailer said it employs more than 17,500 Texans in stores, distribution centers and in its private transportation fleet.Dive Insight:Opening over 260 stores in Q3 helped push Dollar General’s sales up 2.4% to nearly $10 billion, although comparable sales fell 1.3%. The company said during its most recent earnings call that in 2024 it plans to add about 800 new stores, remodel 1,500 locations and relocate 85. The company is expected to report its Q4 and full-year earnings next month.CEO Todd Vasos, who returned to lead the company in October, said during the call that the company saw “12,000 opportunities” to increase its brick-and-mortar presence in the continental United States. “We have always prided ourselves on being very quick and first to market to capture the majority and release the oversized portion of those 12,000 opportunities. So nothing yet stands in the way of that,” Vasos said to analysts according to a Seeking Alpha transcript. The first Dollar General store opened nearly 70 years ago in 1955 in Springfield, Kentucky. The company’s banners also include DGX, DG Market and Popshelf in the U.S. States and Mi Súper Dollar General in Mexico. With 20,000 stores in operation, Dollar General has a larger store count than many of its rival retailers. Dollar Tree, which also owns Family Dollar, has about 16,600 stores. Walmart has about 5,200 stores; Target has nearly 2,000. And Five Below, which caters to teens and tweens, has over 1,500 stores.And in January, Dollar General said it now offers fresh fruits and vegetables at more than 5,000 of its locations, which beats a goal it set last year. This story was originally published on Retail Dive. To receive daily news and insights, subscribe to our free daily Retail Dive newsletter.

Retail Dive

Dollar General opens 20,000th store

https://finance.yahoo.com/news/dollar-general-opens-20-000th-120000946.html

6c1abc80-cdfc-31a3-b9da-652833e36b88

DG

Dollar General (DG) closed the latest trading day at $138.79, indicating a -1.15% change from the previous session's end. This change lagged the S&P 500's daily loss of 0.38%. At the same time, the Dow lost 0.16%, and the tech-heavy Nasdaq lost 0.13%.Coming into today, shares of the discount retailer had gained 5.21% in the past month. In that same time, the Retail-Wholesale sector gained 6.92%, while the S&P 500 gained 4.74%.Analysts and investors alike will be keeping a close eye on the performance of Dollar General in its upcoming earnings disclosure. The company's earnings report is set to go public on March 14, 2024. The company is expected to report EPS of $1.74, down 41.22% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $9.77 billion, down 4.22% from the year-ago period.Investors might also notice recent changes to analyst estimates for Dollar General. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.07% higher. Dollar General is currently a Zacks Rank #3 (Hold).From a valuation perspective, Dollar General is currently exchanging hands at a Forward P/E ratio of 18.9. This expresses a discount compared to the average Forward P/E of 22.5 of its industry.Story continuesWe can also see that DG currently has a PEG ratio of 2.61. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Retail - Discount Stores industry held an average PEG ratio of 2.15.The Retail - Discount Stores industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 80, placing it within the top 32% of over 250 industries.The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many 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 reportDollar General Corporation (DG) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Dollar General (DG) Suffers a Larger Drop Than the General Market: Key Insights

https://finance.yahoo.com/news/dollar-general-dg-suffers-larger-230005361.html

88ac5612-d70b-3b7f-b9b7-4f2022a2ec1f

DG

In the last year, multiple insiders have substantially increased their holdings of Dollar General Corporation (NYSE:DG) stock, indicating that insiders' optimism about the company's prospects has increased.While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing. Check out our latest analysis for Dollar General Dollar General Insider Transactions Over The Last YearOver the last year, we can see that the biggest insider purchase was by Independent Chairman of the Board Michael Calbert for US$1.3m worth of shares, at about US$156 per share. That implies that an insider found the current price of US$157 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Dollar General share holders is that insiders were buying at near the current price.Dollar General insiders may have bought shares in the last year, but they didn't sell any. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!insider-trading-volumeThere are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.Insider Ownership Of Dollar GeneralFor a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It appears that Dollar General insiders own 0.3% of the company, worth about US$93m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.Story continuesSo What Do The Dollar General Insider Transactions Indicate?The fact that there have been no Dollar General insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Dollar General and their transactions don't cause us concern. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. You'd be interested to know, that we found 1 warning sign for Dollar General and we suggest you have a look.Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.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.

Bullish Dollar General Insiders Loaded Up On US$2.51m Of Stock

https://finance.yahoo.com/news/bullish-dollar-general-insiders-loaded-110018297.html

b1e478d5-4026-3979-a9e9-b9996f4228ad

DG

In this article, we will be taking a look at the 20 biggest retail companies in the US. If you want to skip our detailed analysis of the retail industry, you can go directly to see the 5 Biggest Retail Companies in the US.The Global Retail Industry at a GlanceThe global retail industry drives consumer spending, contributes to GDP growth, and employs a large number of people globally. According to a report by Mordor Intelligence, the global retail industry is expected to reach a value of $32.68 trillion in 2024. The market is expected to grow at a compound annual growth rate (CAGR) of 7.65% from 2024 to 2029 and reach a value of $47.24 trillion by the end of the forecasted period.Rising disposable income and increased consumer spending are key factors creating a positive outlook for the market. Innovation in retail technology, including artificial intelligence (AI), augmented reality (AR), virtual reality (VR), and the Internet of Things (IoT), is fueling market growth. These technologies are expected to become more prominent to enhance the customer experience and meet changing consumer preferences during the forecasted period.Key Market Players in the US Retail SectorSome of the most prominent names in the US retail industry are Walmart Inc. (NYSE:WMT), Amazon.com Inc. (NASDAQ:AMZN), and Costco Wholesale Corporation (NASDAQ:COST). Let's discuss these companies in detail below.Costco Wholesale Corporation (NASDAQ:COST) is a retail company that operates a chain of membership-only warehouses and retail stores. It offers quality merchandise at discounted prices by selling in bulk at lower margins. Costco Wholesale Corporation (NASDAQ:COST) is one of the largest retailers in the world and it ranks high among the best discount retailer stocks to buy as well. On March 7, Costco Wholesale Corporation (NASDAQ:COST) reported strong earnings for the fiscal second quarter of 2024. The company reported earnings per share (EPS) of $3.71, surpassing EPS estimates by $0.07. The company reported a revenue of $58.44 billion. Here are some comments from Costco Wholesale Corporation's (NASDAQ:COST) earnings call regarding its plans for fiscal 2024:Story continues"And that puts the remainder of fiscal 2024 for Q3 and Q4, we plan on opening a total of 15 net new locations, 11 in the US, two in Japan, and one each in Korea and in China. Regarding CapEx, fiscal second quarter spend was approximately $1.03 billion. And for the year, it remains in the north of $4.4 billion to $4.6 billion, in that range." Retail companies are embracing data analytics and customer insights to offer personalized shopping experiences. Technological innovations are further expected to enhance customer satisfaction. Amazon.com Inc. (NASDAQ:AMZN) is an American multinational online retail and technology company. It specializes in e-commerce, online marketing, cloud computing, and artificial intelligence. Amazon.com Inc. (NASDAQ:AMZN) is one of the best internet retail stocks to buy. On January 16, CNBC reported that Amazon.com Inc. (NASDAQ:AMZN) has introduced an artificial intelligence (AI) tool that can answer shoppers’ questions about specific products. The new feature, available on Amazon.com Inc.’s (NASDAQ:AMZN) mobile app, will quickly provide answers by summarizing information collected from product reviews and listings. This tool can help shoppers avoid scrolling through pages of reviews to find information about an item.Retailers are also working on optimizing delivery processes to enhance customer experience. On March 7, Walmart Inc. (NYSE:WMT) announced the launch of a new On-Demand Early Morning Delivery service to help customers save time and offer convenience. Starting as early as 6 AM, this innovative solution will allow customers to receive their orders within 30 minutes, providing an early and quick solution for their shopping needs. With a wide range of items available both in-store and online, customers can easily access products like fashion, furniture, baby essentials, and more during the early morning hours. This initiative is part of Walmart Inc.’s (NYSE:WMT) ongoing efforts to enhance customer experiences and streamline delivery services.Now that we have discussed what’s going on in the retail industry, let’s take a look at the 20 biggest retail companies in the US.20 Biggest Retail Companies in the USA wide view of an aisle in a specialty retailer, filled with licensed pop culture products, vinyls and action figures.MethodologyIn this article, we have listed the 20 biggest retail companies in the US. To find the top retail companies in America, we sifted through various sources including industry reports, our own rankings in addition to rankings available on various websites, and consulted stock screeners from Yahoo Finance and Finviz. For companies that are publicly traded, we decided to rank them according to their market capitalization as of March 8, 2024. We used fiscal year revenues to rank the companies that are not publicly traded. Finally, we narrowed down our selection to rank the 20 biggest retail companies in the US based on their market capitalization and revenues, which are listed below in ascending order.20 Biggest Retail Companies in the US20. Williams-Sonoma Inc. (NYSE:WSM)Market Capitalization: $15.87 BillionWilliams-Sonoma Inc. (NYSE:WSM) is an American consumer retail company that ranks among the top 20 biggest retail companies in the US. The company owns a number of brands and it sells kitchenware, appliances, and home furnishings. It operates retail stores in the US, Canada, Australia, and the United Kingdom. Williams-Sonoma Inc. (NYSE:WSM) has a market capitalization of $15.87 billion as of March 8, 2024.19. Best Buy Co. Inc. (NYSE:BBY)Market Capitalization: $17.12 BillionBest Buy Co. Inc. (NYSE:BBY) is an American consumer electronics retailer. As one of the world’s largest specialty consumer electronics retailers, it has more than 1,000 stores in the US and Canada. As of March 8, 2024, Best Buy Co. Inc. (NYSE:BBY) has a market capitalization of $17.12 billion.18. Walgreens Boots Alliance Inc. (NASDAQ:WBA)Market Capitalization: $18.05 BillionWalgreens Boots Alliance Inc. (NASDAQ:WBA) is an integrated healthcare, pharmacy, and retail company. As one of the world’s biggest pharmacy retailers, it has over 12,500 locations in the US, Europe, and Latin America. Walgreens Boots Alliance Inc. (NASDAQ:WBA) has a market capitalization of $18.05 billion as of March 8, 2024. It ranks 18th on our list of the 20 biggest retail companies in the US.17. Ulta Beauty Inc. (NASDAQ:ULTA)Market Capitalization: $26.62 BillionUlta Beauty Inc. (NASDAQ:ULTA) is an American chain of beauty stores. As one of the largest beauty retailers in the US, it sells prestige cosmetics, fragrances, skincare, and hair care products. As of March 8, 2024, Ulta Beauty Inc. (NASDAQ:ULTA) has a market capitalization of $26.62 billion.16. Tractor Supply Company (NASDAQ:TSCO)Market Capitalization: $26.88 BillionTractor Supply Company (NASDAQ:TSCO) is an American retail chain of stores that sells products for agriculture, lawn and garden maintenance, home improvement, and livestock and pet care to home, land, pet, and animal owners. The company operates more than 2,200 stores in 49 states. As one of the top retail companies in the US, Tractor Supply Company (NASDAQ:TSCO) has a market capitalization of $26.88 billion as of March 8, 2024.15. Dollar Tree Inc. (NASDAQ:DLTR)Market Capitalization: $32.68 BillionDollar Tree Inc. (NASDAQ:DLTR) is an American retail corporation that operates a chain of discount variety stores. It ranks among the top 15 on our list of the biggest retail companies in the US. With more than 16,000 stores, Dollar Tree Inc. (NASDAQ:DLTR) operates in all 48 contiguous states and 5 Canadian provinces. As of March 8, 2024, Dollar Tree Inc. (NASDAQ:DLTR) has a market capitalization of $32.68 billion.14. Dollar General Corporation (NYSE:DG)Market Capitalization: $34.88 BillionDollar General Corporation (NYSE:DG) is a major discount retailer that operates a chain of variety stores. With more than 19,000 stores in the US, the corporation offers low prices on a wide variety of items including, food, snacks, cleaning supplies, housewares, and basic apparel. Dollar General Corporation (NYSE:DG) has a market capitalization of $34.88 billion as of March 8, 2024.13. The Kroger Co. (NYSE:KR)Market Capitalization: $39.94 BillionThe Kroger Co. (NYSE:KR), commonly known as Kroger, is an American retail company that ranks 13th on our list of the biggest retail companies in the US. It operates retail stores, supermarkets, and multi-department stores. It also operates 170 fine jewelry stores and more than 2,200 pharmacies. As one of the largest retailers in the US, The Kroger Co. (NYSE:KR) has a market capitalization of $39.94 billion as of March 8, 2024.12. Ross Stores Inc. (NASDAQ:ROST)Market Capitalization: $49.16 BillionRoss Stores Inc. (NASDAQ:ROST), operating under the brand name Ross Dress for Less, is one of the largest off-price retail chains in the US. Through its chain of discount department stores, it provides branded and designer apparel, accessories, footwear, and home fashions. As of March 8, 2024, Ross Stores Inc. (NASDAQ:ROST) has a market capitalization of $49.16 billion.11. AutoZone Inc. (NYSE:AZO) Market Capitalization: $54.08 BillionAutoZone Inc. (NYSE:AZO) is an American retailer and distributor of automotive replacement parts and accessories. It provides auto and truck parts, chemicals, and accessories through more than 6,000 store locations in the US. As one of the top retail companies in the United States, AutoZone Inc. (NYSE:AZO) has a market capitalization of $54.08 billion as of March 8, 2024.10. Publix Super MarketsRevenue: $57.1 BillionPublix Super Markets, or simply Publix, is a private company that ranks among the top 10 on our list of the biggest retail companies in the US. With more than 1,300 store locations, Publix Super Markets is the largest employee-owned supermarket chain in the United States. In 2023, Publix Super Markets generated a revenue of $57.1 billion.9. O'Reilly Automotive Inc. (NASDAQ:ORLY)Market Capitalization: $64.31 BillionO'Reilly Automotive Inc. (NASDAQ:ORLY) is an American auto parts retailer. It is a major supplier of automotive aftermarket parts, equipment, supplies, tools, and accessories to professional service providers and do-it-yourself customers. It currently has more than 6,000 stores in 48 US states and Puerto Rico and over 60 stores in Mexico. As of March 8, 2024, O'Reilly Automotive Inc. (NASDAQ:ORLY) has a market capitalization of $64.31 billion.8. Target Corporation (NYSE:TGT)Market Capitalization: $79.19 BillionTarget Corporation (NYSE:TGT) is an American retail corporation. As one of the largest retailers in the US, it operates a chain of discount department stores and hypermarkets. With more than 1,900 stores in the US and a market capitalization of $79.19 billion as of March 8, 2024, Target Corporation (NYSE:TGT) ranks 8th on our list of the 20 biggest retail companies in the US.7. CVS Health Corporation (NYSE:CVS)Market Capitalization: $93.5 BillionCVS Health Corporation (NYSE:CVS) is an American healthcare company that provides healthcare and retail pharmacy services. It offers a variety of products and services through its brands including Aetna, CVS Caremark, and CVS Pharmacy. CVS Pharmacy is one of the largest retail pharmacy chains in the US. CVS Health Corporation (NYSE:CVS) has a market capitalization of $93.5 billion as of March 8, 2024.6. The TJX Companies Inc. (NYSE:TJX)Market Capitalization: $109.13 BillionThe TJX Companies Inc. (NYSE:TJX) is an American multinational off-price department store corporation that offers deep discounts on selections of high quality, fashionable, brand name and designer merchandise. It is a major off-price retailer of apparel and home fashions in the US. The TJX Companies Inc. (NYSE:TJX) has more than 4,800 stores and the company has a presence in nine countries. With a market capitalization of $109.13 billion as of March 8, 2024, it ranks 6th on our list of the 20 biggest retail companies in the US.Click to continue reading and see 5 Biggest Retail Companies in the US.Suggested Articles:Top 20 Most Valuable Fintech Companies in the US25 Most Valuable Tech Companies Outside The US30 Largest Companies in the World by RevenueDisclosure: None. 20 Biggest Retail Companies in the US is published on Insider Monkey.

Insider Monkey

20 Biggest Retail Companies in the US

https://finance.yahoo.com/news/20-biggest-retail-companies-us-171425916.html

1b98d316-510b-3559-bc15-17f01fd77551

DG

Earnings are arguably the most important single number on a company's quarterly financial report. Wall Street clearly dives into all of the other metrics and management's input, but the EPS figure helps cut through all the noise.Life and the stock market are both about expectations, and rising above what is expected is often rewarded, while falling short can come with negative consequences. Investors might want to try to capture stronger returns by finding positive earnings surprises.2 Stocks to Add to Your WatchlistThe Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company's report. The idea is relatively intuitive as a newer projection might be based on more complete information. The ESP is calculated by comparing the Most Accurate Estimate to the Zacks Consensus Estimate, with the percentage difference between the two giving us the Zacks ESP figure.Now that we understand what the ESP is and how beneficial it can be, let's dive into a stock that currently fits the bill. Dick's Sporting Goods (DKS) earns a Zacks Rank #2 right now and its Most Accurate Estimate sits at $3.40 a share, just three days from its upcoming earnings release on March 14, 2024.Dick's Sporting Goods' Earnings ESP sits at 1.8%, which, as explained above, is calculated by taking the percentage difference between the $3.40 Most Accurate Estimate and the Zacks Consensus Estimate of $3.34.DKS is one of just a large database of Retail-Wholesale stocks with positive ESPs. Another solid-looking stock is Dollar General (DG).Dollar General is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on March 14, 2024. DG's Most Accurate Estimate sits at $1.77 a share three days from its next earnings release.The Zacks Consensus Estimate for Dollar General is $1.74, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of 1.61%.Story continuesDKS and DG's positive ESP figures tell us that both stocks have a good chance at beating analyst expectations in their next earnings report.Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>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 reportDICK'S Sporting Goods, Inc. (DKS) : Free Stock Analysis ReportDollar General Corporation (DG) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why Investors Need to Take Advantage of These 2 Retail-Wholesale Stocks Now

https://finance.yahoo.com/news/why-investors-advantage-2-retail-130005197.html

db53600c-6aa4-395d-a7af-d730543fdef7

DGX

Vicky Gregg, a director at Quest Diagnostics Inc (NYSE:DGX), executed a sale of 2,500 shares in the company on February 23, 2024, according to a recent SEC Filing. Quest Diagnostics Inc is a provider of diagnostic testing, information, and services, offering a broad range of products and services that benefit patients, healthcare providers, and pharmaceutical medical device companies.Warning! GuruFocus has detected 3 Warning Sign with DGX.Over the past year, the insider has sold a total of 2,500 shares and has not made any purchases of the company's stock.The insider transaction history for Quest Diagnostics Inc shows a pattern of 0 insider buys and 8 insider sells over the past year.Quest Diagnostics Inc Director Vicky Gregg Sells 2,500 SharesOn the date of the insider's recent transaction, shares of Quest Diagnostics Inc were trading at $126.64, resulting in a market capitalization of $14.068 billion.The stock's price-earnings ratio stands at 16.97, which is below both the industry median of 26.75 and the company's historical median price-earnings ratio.With the current share price of $126.64 and a GuruFocus Value of $136.98, Quest Diagnostics Inc has a price-to-GF-Value ratio of 0.92, indicating that the stock is Fairly Valued.Quest Diagnostics Inc Director Vicky Gregg Sells 2,500 SharesThe GF Value is calculated considering historical trading multiples, a GuruFocus adjustment factor based on 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

Quest Diagnostics Inc Director Vicky Gregg Sells 2,500 Shares

https://finance.yahoo.com/news/quest-diagnostics-inc-director-vicky-042406605.html

8a44d193-bd0c-3643-ba52-cf1f23a32751

DGX

Quest Diagnostics Inc's robust financial performance with $9.3 billion in net revenues for 2023.Strategic acquisitions and innovative diagnostic solutions driving growth.Commitment to quality and operational efficiency as cornerstones of success.Exploring the potential of AI and data analytics to revolutionize diagnostic services.On February 22, 2024, Quest Diagnostics Inc (NYSE:DGX), a leader in diagnostic testing, information, and services, filed its 10-K report, revealing a solid financial performance with net revenues of $9.3 billion for the year 2023. The company's strategic focus on growth and operational efficiency, coupled with its innovative approach to diagnostic solutions, has positioned it as a key player in the healthcare industry. This SWOT analysis delves into the strengths, weaknesses, opportunities, and threats that shape Quest Diagnostics Inc's market position and future prospects.Warning! GuruFocus has detected 3 Warning Sign with DGX.Decoding Quest Diagnostics Inc (DGX): A Strategic SWOT InsightStrengthsMarket Leadership and Comprehensive Service Offering: Quest Diagnostics Inc serves approximately half of the physicians and hospitals in the United States, showcasing its significant market penetration. The company's comprehensive test menu, innovative offerings, and positive customer experience contribute to its strong brand reputation. With over $1 billion in revenue from reference testing and approximately $780 million from Professional Laboratory Services in 2023, Quest Diagnostics Inc demonstrates a robust financial foundation and a competitive edge in the industry.Innovation and Advanced Diagnostics: The company's focus on Advanced Diagnostics, including molecular genomics and oncology, positions it at the forefront of industry innovation. The acquisition of Haystack Oncology and the launch of QUEST AD-DETECT for Alzheimer's disease risk assessment exemplify Quest Diagnostics Inc's commitment to expanding its diagnostic capabilities and addressing unmet clinical needs.Story continuesWeaknessesDependence on the U.S. Market: While Quest Diagnostics Inc has a strong presence in the United States, its business is substantially concentrated in this single market. This geographic concentration could expose the company to regulatory changes, economic downturns, and competitive pressures specific to the U.S. healthcare system, potentially impacting its revenue streams and growth opportunities.Operational Challenges: The company's operational efficiency, while a strength, also presents challenges in the face of an inflationary environment. Increases in labor and benefit costs, as well as reimbursement pressures, necessitate continuous improvement and innovation in cost management and productivity enhancement strategies.OpportunitiesExpansion into Global Markets: Quest Diagnostics Inc sees opportunities to leverage its experience and expertise in diagnostic information services in markets outside the United States. By expanding its geographical footprint, the company can diversify its revenue sources and tap into new growth potentials, mitigating the risks associated with reliance on a single market.Artificial Intelligence and Data Analytics: The company's initiatives in AI, such as deploying generative AI to improve various business areas, present significant opportunities for innovation and growth. AI can enhance customer and employee experiences, bring cost efficiencies, and improve the quality of screening and diagnostic capabilities.ThreatsIntense Competition: The diagnostic services industry is highly competitive, with numerous players vying for market share. Quest Diagnostics Inc must continuously innovate and maintain its service quality to stay ahead of competitors, including emerging medical technology companies and other laboratory companies that may offer novel diagnostics and testing services.Regulatory and Reimbursement Changes: The healthcare industry is subject to frequent regulatory changes, which can affect reimbursement rates and compliance costs. Quest Diagnostics Inc must navigate these changes effectively to ensure sustained profitability and avoid potential disruptions to its business model.In conclusion, Quest Diagnostics Inc (NYSE:DGX) exhibits a strong market presence, financial stability, and a commitment to innovation and quality that position it well for future growth. However, the company must address its geographic concentration and operational challenges to mitigate risks. The opportunities for global expansion and the integration of AI and data analytics into its services offer promising avenues for Quest Diagnostics Inc to enhance its competitive edge and drive long-term success.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 Quest Diagnostics Inc (DGX): A Strategic SWOT Insight

https://finance.yahoo.com/news/decoding-quest-diagnostics-inc-dgx-050649031.html

d3192464-004d-33dd-a8ff-4b3182df90ce

DHI

D.R. Horton (DHI) closed the latest trading day at $146.10, indicating a +0.67% change from the previous session's end. This move outpaced the S&P 500's daily gain of 0.04%. On the other hand, the Dow registered a gain of 0.16%, and the technology-centric Nasdaq decreased by 0.28%.Heading into today, shares of the homebuilder had gained 2.51% over the past month, lagging the Construction sector's gain of 4.74% and the S&P 500's gain of 5.01% in that time.The investment community will be closely monitoring the performance of D.R. Horton in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $3.09, reflecting a 13.19% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $8.29 billion, up 3.98% from the year-ago period.For the full year, the Zacks Consensus Estimates project earnings of $14.19 per share and a revenue of $36.64 billion, demonstrating changes of +2.68% and +3.33%, respectively, from the preceding year.Investors might also notice recent changes to analyst estimates for D.R. Horton. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.14% higher. Right now, D.R. Horton possesses a Zacks Rank of #3 (Hold).Looking at valuation, D.R. Horton is presently trading at a Forward P/E ratio of 10.23. This valuation marks a premium compared to its industry's average Forward P/E of 8.98.Story continuesIt is also worth noting that DHI currently has a PEG ratio of 0.82. 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 Building Products - Home Builders was holding an average PEG ratio of 0.82 at yesterday's closing price.The Building Products - Home Builders industry is part of the Construction sector. At present, this industry carries a Zacks Industry Rank of 15, placing it within the top 6% of over 250 industries.The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming 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 reportD.R. Horton, Inc. (DHI) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why D.R. Horton (DHI) Outpaced the Stock Market Today

https://finance.yahoo.com/news/why-d-r-horton-dhi-230008898.html

a2d5a69f-3916-38b5-add3-27471005205a

DHI

Warren Buffett bought only three stocks in the fourth quarter of 2023 for Berkshire Hathaway's portfolio. He sold seven stocks, including fully exiting four positions.Most of Buffett's transactions made sense. However, not all of them did. One of the legendary investor's decisions was downright baffling.Buffett's baffling decisionLet me address one thing right off the bat. Buffett's most baffling decision in Q4 had nothing to do with the trimming of Berkshire's huge stake in Apple. It's possible that Buffett didn't want Apple to become even more heavily weighted in Berkshire's portfolio than it already was. Another likely scenario is that one of Berkshire's other two investment managers (Todd Combs and Ted Weschler) sold some of their Apple shares in the part of the portfolio that they manage.Instead, I think that the biggest head-scratcher with Buffett's Q4 transactions was the sale of all of Berkshire's shares of D.R. Horton (NYSE: DHI). Granted, D.R. Horton was only a small holding for Berkshire -- a little under 6 million shares worth close to $642 million at the end of the third quarter. However, the complete exit of the position is still puzzling to me.Berkshire didn't sell any shares of the other two homebuilders in its portfolio -- Lennar and NVR. Exiting the D.R. Horton position without selling any shares of these other two stocks might make sense if D.R. Horton's valuation was much higher. However, that's not the case. D.R. Horton is the least expensive of the three stocks based on forward earnings multiples.The long-term prospects for D.R. Horton and the market in which it competes haven't diminished since the stock was first added to Berkshire's portfolio in the second quarter of 2023. Even if they had, Lennar and NVR would have likely been negatively impacted as well.The one change for D.R. Horton in Q4There was one change made by D.R. Horton in Q4 that perhaps could explain why Buffett or his team sold the stock. The homebuilder appointed a new CEO on Oct. 1, 2023.Story continuesHowever, I'm not convinced this was the reason for the sale. D.R. Horton's new CEO is Paul Romanowski. He previously served as the company's executive vice president and co-chief operating officer. Romanowski has been a member of D.R. Horton's management team for more than 20 years. He knows the business well.Importantly, former CEO David Auld isn't leaving D.R. Horton. He moved into the role of executive vice chair of the company's board of directors.Why buying D.R. Horton stock could be a brilliant moveI think that buying D.R. Horton stock could be a brilliant move for investors even though Buffett (or his lieutenants) sold the stock. Why? For the same reasons that made Berkshire's exit from the position so perplexing.The U.S. continues to face a serious housing shortage. Moody's Analytics recently estimated the country still needs as many as 2 million homes. The company acknowledged that its number is near the lower end of the range of estimates made by others.There's only one practical solution to this shortage: Build more homes. D.R. Horton ranks as the largest homebuilder in the U.S., a position it's held for more than 20 years. The laws of supply and demand are working in the company's favor.Sure, high interest rates have been a barrier for some Americans who would like to buy a house. However, the Federal Reserve has hinted that rate cuts are on the way this year. Mortgage rates are also impacted by inflation. Even with inflation remaining higher than hoped, though, National Association of Realtors chief economist Lawrence Yun told CBS News earlier in February that he expects mortgage rates will decrease to around 6% later this year. It should bode well for D.R. Horton if he's right.As for valuation, D.R. Horton's shares trade at only 10.3 times forward earnings. That's a lower multiple, by the way, than any of the three stocks that Buffett bought in Q4. When growth prospects are factored in, D.R. Horton stock looks like a steal with a price/earnings-to-growth (PEG) ratio of 0.57.All in all, D.R. Horton looks like a great stock to buy right now -- and definitely not one to sell.Should you invest $1,000 in D.r. Horton right now?Before you buy stock in D.r. Horton, 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 D.r. Horton 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, 2024Keith Speights has positions in Apple and Berkshire Hathaway. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway, Lennar, Moody's, and NVR. The Motley Fool has a disclosure policy.Warren Buffett's Most Baffling Decision in Q4 -- and Why Buying This Stock He Sold Could Be a Brilliant Move was originally published by The Motley Fool

Motley Fool

Warren Buffett's Most Baffling Decision in Q4 -- and Why Buying This Stock He Sold Could Be a Brilliant Move

https://finance.yahoo.com/news/warren-buffetts-most-baffling-decision-105000631.html

25cddf26-c816-379a-b27b-0ce9c8c006a0

DHR

Danaher (NYSE:DHR) Full Year 2023 ResultsKey Financial ResultsRevenue: US$23.9b (down 10% from FY 2022).Net income: US$4.20b (down 33% from FY 2022).Profit margin: 18% (down from 23% in FY 2022). The decrease in margin was driven by lower revenue.EPS: US$5.70 (down from US$8.58 in FY 2022).earnings-and-revenue-growthAll figures shown in the chart above are for the trailing 12 month (TTM) periodDanaher Revenues and Earnings Miss ExpectationsRevenue missed analyst estimates by 12%. Earnings per share (EPS) also missed analyst estimates by 2.7%.Looking ahead, revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 6.1% growth forecast for the Life Sciences industry in the US.Performance of the American Life Sciences industry.The company's shares are up 1.5% from a week ago.Balance Sheet AnalysisWhile it's very important to consider the profit and loss statement, you can also learn a lot about a company by looking at its balance sheet. We have a graphic representation of Danaher's balance sheet and an in-depth analysis of the company's financial position.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.

Danaher Full Year 2023 Earnings: Misses Expectations

https://finance.yahoo.com/news/danaher-full-2023-earnings-misses-125816246.html

b1a9dd48-508f-3420-9750-5b5964fdf397

DHR

In this article, we will take a detailed look at Bill Gates' 16 Dividend Stocks To Buy. For a quick overview of such stocks, read our article Bill Gates' 5 Dividend Stocks To Buy.The era of low interest rates did not bode well for dividend investing as investors preferred to pile into growth stocks instead of dividend-paying equities. Especially after the 2008 financial crisis ended, dividend stocks' contribution to overall market returns declined. A Wall Street Journal report said that US stocks with dividend yields above 5% returned 450% since the end of 2008, compared the 640% gain posted by the broader S&P Composite 1500. On the other hand, companies that do not pay dividends have posted gains of about 1500%. But since the Federal Reserve started increasing interest rates and speculation of a "higher for longer" scenario becomes relevant, investors are starting to pay attention to dividend stocks.The WSJ report also quoted Daniel Peris, the portfolio manager at investment banking company Federated Hermes, who said in his book “The Ownership Dividend" that the trend in which dividend stocks lost their mojo amid low interest rates was temporary as he believes the pendulum is about to swing in the favor of dividend stocks.But does all dividend stocks worth your attention? As you will see in this article, smart investors and billionaires prefer high-quality dividend stocks with low volatility and strong businesses. The WSJ report said investing in dividend stocks with low volatility has outperformed other notable investment strategies about 60% of the time since 1998.Bill Gates' 16 Dividend Stocks To BuyMethodologyFor this article we scanned the Q4'2023 portfolio of Bill & Melinda Gates Foundation Trust and chose its top dividend stocks picks. 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).16. Hormel Foods Corp (NYSE:HRL)Bill Gates' Stake: $70,490,762With a dividend yield of about 3.7%, Hormel Foods Corp (NYSE:HRL) ranks 16th in our list of the top dividend stocks in Bill Gates' portfolio as of the end of 2023.Story continuesBill & Melinda Gates Foundation owns a $70 million stake in Hormel Foods Corp (NYSE:HRL).15. Danaher Corp (NYSE:DHR)Bill Gates' Stake: $86,289,820Earlier this month Danaher Corp (NYSE:DHR) increased its dividend by a whopping 12.5%.As of the end of the fourth quarter of 2023, 90 hedge funds out of the 933 funds in Insider Monkey's database had stakes in Danaher Corp (NYSE:DHR). The most notable stake in Danaher Corp (NYSE:DHR) is owned by Ken Fisher's Fisher Asset Management which owns a $978 million stake in Danaher Corp (NYSE:DHR).Headwaters Capital Management stated the following regarding Danaher Corporation (NYSE:DHR) in its fourth quarter 2023 investor letter:“Danaher Corporation’s (NYSE:DHR) acquisition offer for ABCM was approved by shareholders on 11/6/23. Shareholders approved the deal based on trough fundamentals (potential China weakness) and trough valuation (the broader market bottomed on 10/27). DHR took advantage of broader market fears and mis-aligned management incentives to acquire Abcam at a cheap price. While disappointing, ABCM was still a very successful investment for Headwaters as it outperformed the market by +27% during our ownership. The cash received from the acquisition was immediately re-deployed into the newest addition to the portfolio, IPAR (discussed below).”14. Kraft Heinz Co (NASDAQ:KHC)Bill Gates' Stake: $96,983,748With a 4.4% dividend yield and a recession-proof business, American food company Kraft Heinz Co (NASDAQ:KHC) ranks 14th in our list of the best dividend stocks according to Bill Gates. Bill & Melinda Gates Foundation owns a $97 million stake in Kraft Heinz Co (NASDAQ:KHC).As of the end of the fourth quarter of 2023, 44 hedge funds out of the 933 funds tracked by Insider Monkey had stakes in Kraft Heinz Co (NASDAQ:KHC).13. Anheuser-Busch Inbev SA (NYSE:BUD)Bill Gates' Stake: $110,047,860Anheuser-Busch Inbev SA (NYSE:BUD) is in the spotlight for two reasons. First, data from Nielsen has shown that the Bud Light brand saw improvement in sales during the one-month period ending January 27. Second, Donald Trump has called on his supporters to give Anheuser-Busch Inbev SA (NYSE:BUD) a "second chance" and called Anheuser-Busch Inbev SA (NYSE:BUD) a "Great American Brand." Trump was referring to the backlash Anheuser-Busch Inbev SA (NYSE:BUD) received from conservatives in the US after its collaboration with  transgender TikTok star Dylan Mulvaney.As of the end of the fourth quarter of 2023, Bill Gates' foundation owns a $110 million stake in Anheuser-Busch Inbev SA (NYSE:BUD).12. United Parcel Service, Inc. (NYSE:UPS)Bill Gates' Stake: $118,722,643United Parcel Service, Inc. (NYSE:UPS) ranks 12th in our list of the best dividend stocks in Bill Gates' 2024 portfolio. Last month, UPS declared a 0.6% increase in its prior dividend. Forward dividend yield came in at over 4%.A total of 46 hedge funds out of the 933 funds in Insider Monkey's database had stakes in United Parcel Service, Inc. (NYSE:UPS). Bill & Melinda Gates Foundation owns a $119 million stake in United Parcel Service, Inc. (NYSE:UPS).ClearBridge Large Cap Value Strategy made the following comment about United Parcel Service, Inc. (NYSE:UPS) in its Q3 2023 investor letter:“A higher-for-longer rate mentality taking hold was a headwind for economically sensitive stocks. Rising wages have been one of the main drivers of inflation, and this has proved to be a sticky area, keeping the Fed’s attention and weighing on share prices. For example, United Parcel Service, Inc. (NYSE:UPS) renegotiated a wage increase for its union-backed workforce this summer, which weighed on margins that were already being constricted by slowing volumes. While the new union deal will dampen profits over the next 12 months due to the front-end-loaded nature of the new five-year contract, management gained increased flexibility to deploy automation, which we think should further enhance UPS’s strong competitive position and provide a long-term tailwind to profitability.”11. Crown Castle Inc (NYSE:CCI)Bill Gates' Stake: $163,578,094Telecom infrastructure REIT Crown Castle Inc (NYSE:CCI) is a high-yield dividend stock in Bill Gates' Q4 portfolio. The stock has a dividend yield of over 5.5%.The stock is making waves after Crown Castle Inc's (NYSE:CCI) founder Ted Miller nominated four people for board director positions and outlined a restructuring plan that includes selling off its fiber assets.Carillon Eagle Growth & Income Fund made the following comment about Crown Castle Inc. (NYSE:CCI) in its Q2 2023 investor letter:“Crown Castle Inc. (NYSE:CCI) detracted from performance as telecom companies have temporarily slowed their deployment of additional cellular spectrum. This slowdown could impair future growth for cell tower companies.”10. Waste Connections Inc (NYSE:WCN)Bill Gates' Stake: $320,807,352Canadian-based Waste Connections Inc (NYSE:WCN) is a low-yield dividend stock in Bill Gates' portfolio. Earlier this month Waste Connections Inc (NYSE:WCN) posted fourth quarter results. Adjusted EPS in the quarter came in at $1.11, beating estimates by $0.02. Revenue in the quarter jumped 9.1% year over year to $2.04 billion.Bill & Melinda Gates Foundation owns a $321 million stake in Waste Connections Inc (NYSE:WCN).TimesSquare Capital U.S. FOCUS Growth Strategy made the following comment about Waste Connections, Inc. (NYSE:WCN) in its Q3 2023 investor letter:“Waste Connections, Inc. (NYSE:WCN), a non-hazardous waste company, pulled back by -6%. They serve residential, commercial, municipal, and industrial customers in the U.S. and Canada. Second quarter results included inline revenues, an upside to profits on better margins, though with slightly lower volumes. Management noted that volumes came in weaker than anticipated due to intentionally shedding low margin contracts. Forward revenue guidance was lowered slightly, reflecting lower surcharges from falling diesel prices.”9. FedEx Corp (NYSE:FDX)Bill Gates' Stake: $388,147,555FedEx Corp (NYSE:FDX) has a dividend yield of over 2% as of February 24. Bill & Melinda Gates Foundation owns a $388 million stake in FedEx Corp (NYSE:FDX). This fund is the biggest hedge fund stakeholder in FedEx Corp (NYSE:FDX) out of the 70 funds that had stakes in FedEx Corp (NYSE:FDX) as of the end of the fourth quarter of 2023.The London Company Large Cap Strategy stated the following regarding FedEx Corporation (NYSE:FDX) in its fourth quarter 2023 investor letter:“FedEx Corporation (NYSE:FDX) – After a very positive start to the year, FDX lagged during 4Q after a weak earnings report and lowered guidance. Fundamentals improved throughout the year as FDX enacted major cost cuts, but a decline in volumes in the quarter was too much for the new cost structure to overcome. Longer term, FDX has the potential to be a strong player in the transportation industry, but it will have to continue adjusting its fleet and network to an evolving marketplace.”8. Walmart Inc (NYSE:WMT)Bill Gates' Stake: $477,704,566Walmart Inc (NYSE:WMT) recently increased its annual dividend by 9%. This marked the 51st consecutive year of dividend increases from Walmart Inc (NYSE:WMT).As of the end of the fourth quarter of 2023, 85 hedge funds out of the 933 funds tracked by Insider Monkey had stakes in Walmart Inc (NYSE:WMT).7. Coca-Cola Femsa SAB de CV (NYSE:KOF)Bill Gates' Stake: $588,161,006The Mexican arm of Coca Cola, Coca-Cola Femsa SAB de CV (NYSE:KOF), ranks seventh in our list of the top dividend stocks in Bill Gates' portfolio. The Bill & Melinda Gates Foundation had a $478 million stake in Coca-Cola Femsa SAB de CV (NYSE:KOF).Hayden Capital made the following comment about The Coca-Cola Company (NYSE:KO) in its third 2023 investor letter:“It’s not just emerging markets either, where one could argue a “scarcity premium” given fewer quality public companies. Even in the US, The Coca-Cola Company (NYSE:KO) trades at ~30x P/E despite having the same earnings as 10 years ago.Both of these companies actually have lower revenues than 10 – 15 years ago too, indicating that their profit growth is mostly from margin expansion. This can only last for so long before there’s no more excess expenses left to cut.I find it ironic that all these companies trade as “bond-equivalents” in the minds of investors – even commanding lower yields than US treasuries, the safest security in the world. But it’s clear that their businesses are not nearly as safe. Coca-Cola is facing disruption risk from consumers shifting to new, heathier beverage brands.But these companies are ~35% more expensive than US Treasuries, despite the heightened risk. On a risk-adjusted basis, one could argue the implied premium is even higher.”Perhaps the explanation is simply the price volatility difference between these stocks and treasuries over the last two years. For example, 10-year Treasury bonds are down ~-20% since the beginning of 2022. By comparison, KO and PG are remarkably down only -4 – 6% over that time frame.”6. Ecolab Inc (NYSE:ECL)Bill Gates' Stake: $1,034,999,027Water treatment and cleaning solutions company Ecolab Inc (NYSE:ECL) is one of the top performers in Bill Gates' portfolio, with the stock up 40% over the past one year. It has a dividend yield of just over 1% as of February 24. The Bill & Melinda Gates Foundation has a $1 billion stake in Ecolab Inc (NYSE:ECL).Earlier this month Ecolab Inc (NYSE:ECL) posted Q4 results. Adjusted EPS in the fourth quarter came in at $1.55, beating estimates by $0.01. Revenue in the quarter jumped 7% year over year to $3.9 billion, missing estimates by $40 million.Mairs & Power Growth Fund stated the following regarding Ecolab Inc. (NYSE:ECL) in its fourth quarter 2023 investor letter:“All of our Materials holdings—Ecolab Inc. (NYSE:ECL), HB Fuller (FUL), and Sherwin Williams (SHW)—also posted strong results in 2023, a stark reversal from the prior year. After oil prices spiked above $100 in 2022 due to the Ukraine-Russia Conflict, oil has since pulled back to the low $70s. Oil and its by-products are major inputs for all of our Materials holdings; as such, lower oil prices have led to a rebound in profits. For example, our largest Materials holding—Ecolab—is expected to increase earnings more than 15% this year after declining 5% last year.” Click to continue reading and see Bill Gates' 5 Dividend Stocks To Buy.Suggested articles:What Ray Dalio Is Doing These Days? – Top 10 Stock Picks in 202315 Stocks Dumb Money’s Steve Cohen Is Betting On NowAQR Capital Management: AUM, Performance, Stock PicksDisclosure: None. Bill Gates' 16 Dividend Stocks To Buy is originally published on Insider Monkey.

Insider Monkey

Bill Gates’ 16 Dividend Stocks To Buy

https://finance.yahoo.com/news/bill-gates-16-dividend-stocks-193811657.html

6e7b9ace-c2e8-30bc-88cc-ebd3ecce90f6

DHR

In this piece, we will take a look at the 16 best large cap value stocks to invest in in 2024. If you want to skip our overview of the latest stock market news, then you can skip ahead to 5 Best Large-Cap Value Stocks To Invest In in 2024. The stock market of 2024 is driven by the same trends that saw investors glued to their screens in 2023. The primary themes in the market right now are artificial intelligence and interest rate cuts, with the final week of February providing investors with key data points and news on both fronts.Before we get to the news, it's important to see how large cap stocks are fairing these days. These stocks are typically sizeable, mature, and established companies that command strong market positions along with comforting balance sheets. Like other stocks, their performance is also tied to the stock market, and large cap stocks typically attract investors during economic downturns or shaky conditions as they offer comfort with their ability to hedge against major losses.Diving deeper into large cap stocks, these can be divided either along their industries or their fundamentals to further fine tune any performance expectations. Large cap stocks in stable sectors such as consumer defensive, the likes of the tobacco giant Philip Morris International Inc. (NYSE:PM) or the consumer goods behemoth Unilever PLC (NYSE:UL) are sizeable entities whose global brand following enables investors to rest in comfort knowing that even if the stock and revenue are down in a recession, both will pick up ones the economic winds become more favorable.On the flip side, large cap stocks belonging to high risk sectors such as biotechnology are significantly vulnerable to market whims as well as any whiff that investors might get about potential troubles. For instance, consider the large cap biotechnology stocks Moderna, Inc. (NASDAQ:MRNA) and BioNTech SE (NASDAQ:BNTX). These two stocks are household names due to their coronavirus vaccine, but despite being multi billion dollar firms, the shares have painted quite an eye watering performance if we consider their performance over the course of the past couple of years.Story continuesIn fact, the risky nature of these large cap stock industries means that investors have to be on constant watch out for any headwinds that could affect business performance. For Moderna, this came in the form of a report in February 2024 that its vaccine for a respiratory virus had demonstrated reduced efficacy. The shares tumbled 7% on that day, and overall, the stock is down 22% year to date, proving that just because a stock is a large cap does not mean that it will always remain stable. Similarly, BioNTech's stock is down by nearly 15% during its latest earnings report that saw the firm stress that it would return to growth in 2025 after it scales up oncology products to mitigate the effects of a bottoming out of its COVID vaccine market.So, with some drivers of large cap stock performance out of the way, let's focus on the news before a brief primer on value stocks. The tail end of February 2024 has seen large cap artificial intelligence stock Synopsys, Inc. (NASDAQ:SNPS) beat analyst second quarter revenue and profit estimates as it shared that growth in its semiconductor design products and solutions for AI chips should help with a great second quarter. Focusing on the Fed, the central bank's January meeting minutes show that participants continued to be worried about cutting interest rates too soon. This is natural since recent producer inflation prints remain stubbornly high, and for large cap value stocks, this might be good news.This is because, in tight economic conditions, growth stocks, such as those characterized by high price to earnings (P/E) ratios typically fall. On the flip side, value stocks tend to hold their ground as investors have set their market share price reasonably in comparison to fundamentals such as EPS.With these details in mind, let's take a look at some top large cap value stocks to buy. A couple of major names are UnitedHealth Group Incorporated (NYSE:UNH), Berkshire Hathaway Inc. (NYSE:BRK-B), and JPMorgan Chase & Co. (NYSE:JPM).16 Best Large-Cap Value Stocks To Invest In in 2024A close-up of a laptop monitor with stock market prices scrolling up and down.Our Methodology To make our list of the best large cap value stocks to buy, we ranked the top 40 holdings of the Vanguard Value ETF by the number of hedge funds that had bought the shares during Q4 2023 and picked the top stocks.For these best large cap value stocks we have also mentioned hedge fund sentiment. 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.16 Best Large-Cap Value Stocks To Invest In in 202416. Pfizer Inc. (NYSE:PFE)Number of Hedge Fund Investors In Q4 2023: 79 Latest P/E Ratio: 73.76 Pfizer Inc. (NYSE:PFE) is one of the biggest pharmaceutical and healthcare companies in the world. 2024 has seen limited stimulants to its stock price, with a colitis drug approval in Europe and strong efficacy results of a respirator virus treatment providing investors with some joyAs of Q4 2023 end, 79 out of the 933 hedge funds tracked by Insider Monkey had held a stake in Pfizer Inc. (NYSE:PFE). D. E. Shaw's D E Shaw was the firm's biggest investor due to its $418 million stake.Along with Berkshire Hathaway Inc. (NYSE:BRK-B), UnitedHealth Group Incorporated (NYSE:UNH), and JPMorgan Chase & Co. (NYSE:JPM), Pfizer Inc. (NYSE:PFE) is a great value stock that hedge funds are piling into.15. Johnson & Johnson (NYSE:JNJ)Number of Hedge Fund Investors In Q4 2023: 81 Latest P/E Ratio: 30.52Johnson & Johnson (NYSE:JNJ) is another sizeable American healthcare behemoth. Its investors were also in for some great news in February 2024, when the FDA approved a limited dose of its medicine for treatment resistant blood cancer.By the end of last year's fourth quarter, 81 out of the 933 hedge funds covered by Insider Monkey's research were the firm's shareholders. Johnson & Johnson (NYSE:JNJ)'s largest hedge fund shareholder is Ken Fisher's Fisher Asset Management as it owns 6.3 million shares that are worth $996 million.14. Elevance Health, Inc. (NYSE:ELV)Number of Hedge Fund Investors In Q4 2023: 83 Latest P/E Ratio: 20.24 Elevance Health, Inc. (NYSE:ELV) is a healthcare finance company that provides benefits coverage and other associated products. It's one of the strongest rated large cap stocks on our list since the average share rating is Strong Buy. The average share price target of $572 prices in a 12.5% upside.During 2023's December quarter, 83 out of the 933 hedge funds part of Insider Monkey's database had invested in Elevance Health, Inc. (NYSE:ELV). Jean-Marie Eveillard's First Eagle Investment Management owned the biggest stake that was worth $838 million.13. Walmart Inc. (NYSE:WMT)Number of Hedge Fund Investors In Q4 2023: 85 Latest P/E Ratio: 30.41Walmart Inc. (NYSE:WMT) is the biggest brick and mortar retailer in the world. Amidst a global shift towards e-Commerce that has kept brick and mortar retailers on their toes, its CFO shared during Walmart Inc. (NYSE:WMT)'s Q4 earnings that it had slashed e-Commerce costs by an impressive 40% in 2023.Insider Monkey dug through 933 hedge fund portfolios for last year's fourth quarter and discovered that 85 had bought a stake in the firm. Walmart Inc. (NYSE:WMT)'s largest investor in our database is Ken Fisher's Fisher Asset Management as it owns $1.5 billion worth of shares.12. Exxon Mobil Corporation (NYSE:XOM)Number of Hedge Fund Investors In Q4 2023: 85 Latest P/E Ratio: 11.73 Exxon Mobil Corporation (NYSE:XOM) is one of the biggest diversified oil and gas companies in the world. It's been a busy 2024 for the company, as amidst pressure to step up production in Guyana, it is also busy expanding its presence in the lucrative lithium mining market by moving forward with its lithium extraction programs in Arkansas.During 2023's final quarter, out of the 933 hedge funds tracked by Insider Monkey, 85 were Exxon Mobil Corporation (NYSE:XOM)'s shareholders. Ken Fisher's Fisher Asset Management owned the biggest stake which was worth $1.3 billion.11. Intel Corporation (NASDAQ:INTC)Number of Hedge Fund Investors In Q4 2023: 86 Latest P/E Ratio: 107.43 Intel Corporation (NASDAQ:INTC) is the well known American semiconductor designer and manufacturer that holds the commanding position in the global processor markets. Even though it is not a major competitor NVIDIA in the GPU market, the latter's latest earnings report also saw Intel Corporation (NASDAQ:INTC)'s shares jump by 1.45% in the aftermarket as NVIDIA shared even more optimism for AI.As of December 2023 end, 86 out of the 933 hedge funds profiled by Insider Monkey had bought and owned the firm's shares. Intel Corporation (NASDAQ:INTC)'s largest hedge fund investor is William B. Gray's Orbis Investment Management due to its $801 million investment.10. Union Pacific Corporation (NYSE:UNP)Number of Hedge Fund Investors In Q4 2023: 90 Latest P/E Ratio: 24.04Union Pacific Corporation (NYSE:UNP) is a cargo railroad transportation company. An industrial firm, its fortunes depend on economic activity in the U.S. as well as global fuel prices. The shares are rated Buy on average, and the average analyst share price target is $257.56.During Q4 2023, 90 out of the 933 hedge funds covered by Insider Monkey's research had held a stake in Union Pacific Corporation (NYSE:UNP). Eric W. Mandelblatt's Soroban Capital Partners was the firm's biggest shareholder as it owned $1.7 billion worth of shares.9. Danaher Corporation (NYSE:DHR)Number of Hedge Fund Investors In Q4 2023: 90 Latest P/E Ratio: 44.51 Danaher Corporation (NYSE:DHR) is a backend healthcare company that develops products to help researchers and laboratory workers with their daily responsibilities. The firm's latest earnings results provided investors with some time for reflection, as it shared that not only was the bump from pandemic era sales over, but biotechnology revenues had also dropped annually.By the end of last year's fourth quarter, 90 out of the 933 hedge funds tracked by Insider Monkey were the firm's shareholders. Danaher Corporation (NYSE:DHR)'s largest hedge fund investor is Ken Fisher's Fisher Asset Management due to its $977 million stake.8. Broadcom Inc. (NASDAQ:AVGO)Number of Hedge Fund Investors In Q4 2023: 91 Latest P/E Ratio:  39.14 Broadcom Inc. (NASDAQ:AVGO) is an American semiconductor firm that designs and sells networking, signal processing, and other associated products. A key beneficiary of the AI wave, its shares popped by 3% after AI giant NVIDIA Corporation reported robust fourth quarter of 2023 earnings.By the end of last year's fourth quarter, 91 out of the 933 hedge funds tracked by Insider Monkey had bought a stake in Broadcom Inc. (NASDAQ:AVGO). Ken Fisher's Fisher Asset Management held the most shares, which were worth $2.3 billion.7. General Electric Company (NYSE:GE)Number of Hedge Fund Investors In Q4 2023: 92 Latest P/E Ratio: 18.96 General Electric Company (NYSE:GE) is an American engineering company that makes jet engines, turbines, and associated products. Despite a monetarily tight environment, the firm has held up the financial fort since it has beaten analyst EPS estimates in all four of its latest quarters.Insider Monkey's December quarter of 2023 survey covering 933 hedge funds revealed that 92 had bought and owned the firm's shares. General Electric Company (NYSE:GE)'s biggest investor in our database is Chris Hohn's TCI Fund Management courtesy of its $5.3 billion investment.6. Bank of America Corporation (NYSE:BAC)Number of Hedge Fund Investors In Q4 2023: 96 Latest P/E Ratio: 39.14 Bank of America Corporation (NYSE:BAC) is one of America's biggest domestic banks. It's been making quite the headlines lately, as not only did a data breach affect thousands of customers, but Bank of America Corporation (NYSE:BAC) also shared in February 2024 that its digital banking service set a new record in 2023 via 23 billion interactions.As of Q4 2023 end, 96 out of the 933 hedge funds part of Insider Monkey's research had held a stake in Bank of America Corporation (NYSE:BAC). Warren Buffett's Berkshire Hathaway remains the bank's largest shareholder in our hedge fund database since it owns 1 billion shares that are worth $34 billion.UnitedHealth Group Incorporated (NYSE:UNH), Bank of America Corporation (NYSE:BAC), Berkshire Hathaway Inc. (NYSE:BRK-B), and JPMorgan Chase & Co. (NYSE:JPM) are some top hedge fund large cap value stock picks.Click here to continue reading and check out 5 Best Large-Cap Value Stocks To Invest In in 2024.Suggested articles:12 Best Ways To Leave Money To A Child11 Best Semiconductor Stocks To Invest In for the AI Boom13 Best Car Stocks To Buy Right NowDisclosure: None. 16 Best Large-Cap Value Stocks To Invest In in 2024 is originally published on Insider Monkey.

Insider Monkey

16 Best Large-Cap Value Stocks To Invest In in 2024

https://finance.yahoo.com/news/16-best-large-cap-value-154246429.html

eebd1c5f-a0de-3685-b18f-c6aac0c6b1a1

DHR

Danaher (DHR) closed the latest trading day at $254.39, indicating a -0.7% change from the previous session's end. The stock's performance was ahead of the S&P 500's daily loss of 1.02%. Elsewhere, the Dow lost 1.04%, while the tech-heavy Nasdaq lost 1.65%.Coming into today, shares of the industrial and medical device maker had gained 4.22% in the past month. In that same time, the Conglomerates sector gained 6.69%, while the S&P 500 gained 3.64%.The investment community will be paying close attention to the earnings performance of Danaher in its upcoming release. The company's upcoming EPS is projected at $1.74, signifying a 26.27% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $5.64 billion, indicating a 21.31% downward movement from the same quarter last year.DHR's full-year Zacks Consensus Estimates are calling for earnings of $7.63 per share and revenue of $24.09 billion. These results would represent year-over-year changes of +0.66% and -12.73%, respectively.It's also important for investors to be aware of any recent modifications to analyst estimates for Danaher. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.1% increase. Danaher currently has a Zacks Rank of #3 (Hold).Story continuesFrom a valuation perspective, Danaher is currently exchanging hands at a Forward P/E ratio of 33.58. This denotes a premium relative to the industry's average Forward P/E of 16.9.One should further note that DHR currently holds a PEG ratio of 3.89. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Diversified Operations stocks are, on average, holding a PEG ratio of 2.37 based on yesterday's closing prices.The Diversified Operations industry is part of the Conglomerates sector. This industry currently has a Zacks Industry Rank of 35, which puts it in the top 14% 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.To follow DHR in the coming trading sessions, be sure to utilize 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 reportDanaher Corporation (DHR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Danaher (DHR) Stock Moves -0.7%: What You Should Know

https://finance.yahoo.com/news/danaher-dhr-stock-moves-0-230011544.html

654ad310-3fad-364e-8121-c159edf6138d

DHR

In the latest trading session, Danaher (DHR) closed at $252.80, marking a -0.35% move from the previous day. This change lagged the S&P 500's 0.11% loss on the day. At the same time, the Dow added 0.12%, and the tech-heavy Nasdaq lost 0.41%.Shares of the industrial and medical device maker have appreciated by 4.42% over the course of the past month, underperforming the Conglomerates sector's gain of 7.86% and outperforming the S&P 500's gain of 2.7%.Analysts and investors alike will be keeping a close eye on the performance of Danaher in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $1.74, reflecting a 26.27% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $5.64 billion, indicating a 21.31% decline compared to the corresponding quarter of the prior year.For the annual period, the Zacks Consensus Estimates anticipate earnings of $7.63 per share and a revenue of $24.09 billion, signifying shifts of +0.66% and -12.73%, respectively, from the last year.Investors should also take note of any recent adjustments to analyst estimates for Danaher. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.1% higher. Right now, Danaher possesses a Zacks Rank of #3 (Hold).Story continuesValuation is also important, so investors should note that Danaher has a Forward P/E ratio of 33.25 right now. This represents a premium compared to its industry's average Forward P/E of 17.86.It's also important to note that DHR currently trades at a PEG ratio of 3.85. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. DHR's industry had an average PEG ratio of 2.25 as of yesterday's close.The Diversified Operations industry is part of the Conglomerates sector. At present, this industry carries a Zacks Industry Rank of 51, placing it within the top 21% of over 250 industries.The Zacks Industry Rank gauges the strength of our individual 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.Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next 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 reportDanaher Corporation (DHR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

Why Danaher (DHR) Dipped More Than Broader Market Today

https://finance.yahoo.com/news/why-danaher-dhr-dipped-more-221521190.html

ef2d28c8-3cb2-3f20-a72d-087826a2175d

DIS

Stock buybacks are increasing in a sign that companies are feeling better about the trajectory of the US economy.Companies such as Meta (META), Disney (DIS), and Uber (UBER) all announced plans to repurchase shares this earnings season. And according to data from Deutsche Bank companies are acting on these buyback authorizations, with S&P 500 members repurchasing $63 billion worth of their own stock during the first week of February, the highest single-week total for buybacks since May 2023.Deutsche Bank director of global asset allocation and US equity strategy Parag Thatte explained to Yahoo Finance that as earnings rise, buybacks often follow suit. This happens because as earnings improve, companies' free cash flow often increases. Corporates will first spend that money on paying down debt. Then, remaining funds are often utilized for paying dividends, boosting capital expenditures to reinvest in the company, and, potentially, buying back shares.Stock buybacks lower the amount of total shares outstanding to the public, boosting investors' stake in the company and their share of any potential dividends. It's viewed as a positive for investors, but is often the first thing to be cut when times are tough.This means that the return of buybacks can be seen as a sign that companies feel they're in a stronger position than the past few quarters when buybacks hit a lull. Uber CFO Prashanth Mahendra-Rajah described the launch of the company's first ever repurchasing plan as a "vote of confidence in the company’s strong financial momentum."Disney CEO Bob Iger echoed a similar sentiment when discussing why his company boosted its dividend and announced plans to buy back shares for the first time since 2018."Our current position of strength, and confidence in our path ahead, already led us to pay a dividend to our shareholders last month ... As we continue to invest in our growth businesses and maintain our strong balance sheet, we also expect to prioritize dividend payments and share repurchases in the coming years," Iger said on the company's earnings call on Feb. 7.Story continuesMeta, for its part, is now planning to offer a quarterly dividend for the first time ever while also authorizing a $50 billion share repurchase program.The buybacks are a noted shift for Meta, Disney, and Uber, which underwent layoffs over the last year and now appear more confident in where their businesses stand to start 2024.While companies are still managing higher borrowing costs and fears of a potential recession, the increase in buybacks indicates companies think their financial positioning is rounding the corner."They're not yet stating that all is clear and we are maybe completely free of a slowdown," Thatte said. "But at the margin they are saying, 'Yes, we are seeing signs or things turning up.'"The Walt Disney Co. logo appears on a screen above the floor of the New York Stock Exchange. (Richard Drew/AP Photo, File) (ASSOCIATED PRESS)There's another sign of corporate confidence: Deals, another way companies spend their cash flow, have increased to start the year too.With Capital One's (COF) $35 billion offer to buy Discover Financial Services (DFS) leading the way in deal value, dealmaking year to date is up 55% compared to the same period last year, according to data compiled by Bloomberg.Freedom Capital Markets chief global strategist Jay Woods recently told Yahoo Finance's Julie Hyman that the increase in deals is a "confidence builder for markets.""Rates have stabilized and have given companies more confidence to pursue deals," Woods said.Josh Schafer is a reporter for Yahoo Finance. Follow him on X @_joshschafer.Click here for the latest stock market news and in-depth analysis, including events that move stocksRead the latest financial and business news from Yahoo Finance

Yahoo Finance

Stock buybacks are rising this earnings season

https://finance.yahoo.com/news/stock-buybacks-are-rising-this-earnings-season-183926828.html

6b0f383d-5faf-441b-b676-d42e996abb11

DIS

Activist investor Blackwells Capital says The Walt Disney Company (DIS) is suffering from fragmentation, "unhurried innovation," and "spacial computing and AI mediocrity." The statements were made as part of Blackwells' bid to gain three seats on Disney's board.Yahoo Finance's Alexandra Canal reports 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 Stephanie MikulichVideo Transcript- The proxy battle continuing between Disney and activist investors. The latest round in the fight, Blackwells Capital urging the entertainment giant to create the role of chief technology officer. Yahoo Finance's Alexandra Canal is here with the details. I guess I didn't realize Disney didn't-- I thought everybody had a CTO at this point.ALEXANDRA CANAL: Yeah, and, you know--- I don't know.ALEXANDRA CANAL: And this is the latest development in this proxy battle with Disney. Blackwells along with Nelson Peltz, two activists that are going for more board seats at the company. And now Blackwells is laying out some of the changes-- or more changes, I should say, that it wants to see at the company.And it says from a technological standpoint, Disney is lacking in five areas, including fragmentation, unhurried innovation, missing native technology stack, spatial computing, and AI mediocrity. Yes, Blackwells saying, quote, "Disney must produce an artificial intelligence strategy and share elements of that strategy with its shareholders." Blackwell's also suggested that chief technology officer to focus on technology transformation.I do want to say that Disney has been researching new technologies. They did establish that AI task force last year to really study how artificial intelligence could be implemented across the company, which is something that Blackwell's did not acknowledge. So it just sounds like this activist doesn't think Disney is doing enough in comparison to the other tech companies out there to really utilize AI.Story continuesThis is also a hedge fund and activist that has made other suggestions saying that Disney should potentially break up, saying that its hotel and parks business should be potentially spun out into a separate real estate investment trust. And these are all things that Disney has really pushed back on saying, this shows how Blackwell's just doesn't understand our business because we thrive off of the synergy between all of the different components of our business.So Disney, you know, for its part, has been in constant communication with the shareholders and really urging them to stick with the current board, that any of these other board nominees from these activists, it's going to throw off the progress overall. But we'll see. The shareholder meeting is April 3rd. So we don't have to wait too much longer to figure out how this all ends.- Yeah, true.- That's a lot of drama. Thank you, Ali, so much. Appreciate it.

Yahoo Finance Video

Disney suffering from AI 'mediocrity': Activist shareholder

https://finance.yahoo.com/video/disney-suffering-ai-mediocrity-activist-211808246.html

f34a9f40-dfc5-3282-9fca-c51c729aef3d

DIS

(Bloomberg) -- Blackwells Capital contends that Walt Disney Co. should have disclosed that ValueAct Capital Management was managing some of its pension fund assets, stirring tensions between the two activist investment firms as they pursue different agendas at the entertainment giant.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 RisksThese Are the Best Countries for Wealthy ExpatsNew York-based Blackwells told Disney shareholders in a letter that the company’s board failed to properly disclose that ValueAct or its affiliates had overseen more than $350 million of its pension assets, according to a statement Monday.Blackwells estimates that ValueAct earned fees for those services ranging from roughly $55 million to $95 million, citing Disney filings for fiscal years 2013 to 2022.Along with another activist investor, Blackwells is pushing for changes to the board of Disney, which received the public backing of ValueAct and its Chief Executive Officer Mason Morfit earlier this year. In its letter, Blackwells said shareholders should have been made aware of the pension arrangement prior to that show of support.“The board has repeatedly trumpeted ValueAct’s endorsement in proxy materials mailed to millions of shareholders,” Blackwells wrote. “Can this board believe that shareholders are able to evaluate the significance of ValueAct’s endorsement without a full understanding of the relationship?”A representative for ValueAct declined to comment, while a spokesperson for Blackwells declined to comment further. A representative for Disney didn’t immediately respond to a request for comment.ValueAct pledged in January to back Disney’s board nominees at the entertainment company’s next annual shareholder meeting, scheduled for April 3. That has made the investment firm an important ally for Disney as it seeks to stave off Blackwells, as well as a separate effort by Nelson Peltz’s Trian Fund Management to grab seats on its board and push through strategy changes.Story continuesRead More: Peltz Publishes Disney ‘Restore the Magic’ Plan Ahead of AGM--With assistance from Thomas Buckley.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

Blackwells Questions Disney on ValueAct Pension Management Role

https://finance.yahoo.com/news/blackwells-questions-disney-valueact-pension-002839626.html

3571b34f-9c73-3407-bd86-032a22711627

DIS

(Adds details from Disney presentation in paragraph 9 and adds Blackwells' source in paragraph 10)March 11 (Reuters) - Blackwells Capital said on Monday Walt Disney failed to tell shareholders that ValueAct Capital Management had invested more than $350 million of the U.S. entertainment giant's pension fund assets, creating a conflict of interest."ValueAct's management of Disney's pension funds is not disclosed anywhere in any of the referenced communications," Blackwells Chief Investment Officer Jason Aintabi wrote in a public letter to Disney shareholders."Meanwhile, Disney's entire shareholder franchise population has been led to believe that ValueAct provided its independent and unqualified support of the Board independently."Blackwells urged shareholders to disregard ValueAct's endorsement of Walt Disney's board in the upcoming elections of the board of directors.Disney is relying on ValueAct's endorsement at a time when it is fighting to fend off two other activist-investors - Blackwells and Trian Fund Management - as each firm lobbies for seats on the Disney board.Neither Disney nor ValueAct immediately responded to requests for comment.ValueAct, which built a stake in Disney last year and reached an information sharing agreement in January to help advise Disney on strategic matters, last week publicly supported the Disney board at the Council of Institutional Investors conference.Like many hedge funds, ValueAct and Trian also earn fees by investing capital on behalf of big corporations.Disney on Monday said it had fired Trian in 2021 for poor performance. But the company did not say in its proxy materials which other firms have previously or are still managing money for its pension fund.Blackwells cited Disney's form 5500, which is filed with the Department of Labor, as its source for information on the management firms Disney employs.(Reporting by Chandni Shah in Bengaluru and Svea Herbst-Bayliss; Editing by Sherry Jacob-Phillips)

Reuters

UPDATE 2-Blackwells says Disney failed to disclose ValueAct's money management role

https://finance.yahoo.com/news/1-blackwells-says-disney-failed-005907944.html

8302d2c0-bd6a-3806-8ff2-174dab873b80

DIS

(Reuters) -Blackwells Capital said on Monday Walt Disney failed to tell shareholders that ValueAct Capital Management had invested more than $350 million of the U.S. entertainment giant's pension fund assets, creating a conflict of interest."ValueAct's management of Disney's pension funds is not disclosed anywhere in any of the referenced communications," Blackwells Chief Investment Officer Jason Aintabi wrote in a public letter to Disney shareholders."Meanwhile, Disney's entire shareholder franchise population has been led to believe that ValueAct provided its independent and unqualified support of the Board independently."Blackwells urged shareholders to disregard ValueAct's endorsement of Walt Disney's board in the upcoming elections of the board of directors.Disney is relying on ValueAct's endorsement at a time when it is fighting to fend off two other activist-investors - Blackwells and Trian Fund Management - as each firm lobbies for seats on the Disney board.Neither Disney nor ValueAct immediately responded to requests for comment.ValueAct, which built a stake in Disney last year and reached an information sharing agreement in January to help advise Disney on strategic matters, last week publicly supported the Disney board at the Council of Institutional Investors conference.Like many hedge funds, ValueAct and Trian also earn fees by investing capital on behalf of big corporations.Disney on Monday said it had fired Trian in 2021 for poor performance. But the company did not say in its proxy materials which other firms have previously or are still managing money for its pension fund.Blackwells cited Disney's form 5500, which is filed with the Department of Labor, as its source for information on the management firms Disney employs.(Reporting by Chandni Shah in Bengaluru and Svea Herbst-Bayliss; Editing by Sherry Jacob-Phillips)

Reuters

Blackwells says Disney failed to disclose ValueAct's money management role

https://finance.yahoo.com/news/blackwells-says-disney-failed-disclose-010135327.html

35705627-b7c9-3577-91a9-fc802813e34b

DLR

Digital Realty Trust (NYSE:DLR), with its dividend yield of 4%, presents a compelling investment opportunity in the real estate sector, focusing on data center properties. This specialization is particularly relevant in today’s digital age, tapping into the critical need for cybersecurity and data protection, heightened by the global surge in online activities and digital transactions. The growing emphasis on data security, driven by increasing cyber threats and regulatory compliance requirements, makes Digital Realty a strategic choice for investors looking for stable, growth-oriented returns.Don't Miss:Investing in real estate just got a whole lot simpler. This Dara Khosrowshahi-backed startup will allow you to become a landlord in just 10 minutes, and you only need $100.Commercial real estate has historically outperformed the stock market, but few investors have the capital or resources needed to invest in this asset class. A platform backed by industry giant Marcus & Millichap is changing that, allowing individuals to invest in commercial real estate with as little as $5,000. Investing in Digital Realty provides direct exposure to the cybersecurity industry, with the company hosting infrastructure for major tech entities. Among Digital Realty’s diverse clientele, notable names include International Business Machines (NYSE:IBM), Meta Platforms, Inc. (NASDAQ:META), and Oracle (NYSE:ORCL), which rely on Digital Realty’s advanced data centers for critical operations and data safeguarding. While Digital Realty’s client base is vast and varied, companies specializing in cybersecurity solutions stand out, relying on Digital Realty’s state-of-the-art data centers to safeguard their operations and client data. This partnership with cybersecurity leaders adds a unique dimension to Digital Realty’s investment appeal, aligning investor returns with the critical and expanding field of data protection and cyber defense.Digital Realty owns and operates an extensive network of data centers in key global markets, ensuring a strategic presence in major urban and technology hubs. This widespread geographical footprint is crucial in mitigating risks tied to regional market fluctuations. The company’s facilities, pivotal for cybersecurity firms and digital service providers, secure a strong and diverse client base. The ever-increasing demand for robust digital infrastructure and cybersecurity solutions underscores the long-term potential of Digital Realty’s properties.Story continuesDigital Realty declared a $1.22 per share dividend in the fourth quarter of 2023, bringing the year’s total dividends to $4.88. Investing in digital real estate offers more than just a stake in real estate; it’s an investment in the backbone of the digital economy and cybersecurity landscape. As the digital realm continues to expand, propelled by advancements in technology and heightened cybersecurity needs, Digital Realty’s role in this ecosystem is set to become even more indispensable, potentially boosting its dividend prospects. This strategic position offers investors a compelling reason to consider Digital Realty as a means to diversify their portfolio and gain exposure to the critical and fast-growing cybersecurity sector.Read Next:Commercial real estate has historically outperformed the stock market, but few investors have the capital or resources needed to invest in this asset class. A platform backed by industry giant Marcus & Millichap is changing that, allowing individuals to invest in commercial real estate with as little as $5,000. Collecting passive income from real estate just got a whole lot simpler. A new real estate fund backed by Dara Khosrowshahi gives you instant access to a diversified portfolio of rental properties, and you only need $100 to get started.Image credit: Shutterstock"ACTIVE INVESTORS' SECRET WEAPON" Supercharge Your Stock Market Game with the #1 "news & everything else" trading tool: Benzinga Pro - Click here to start Your 14-Day Trial Now!Get the latest stock analysis from Benzinga?APPLE (AAPL): Free Stock Analysis ReportTESLA (TSLA): Free Stock Analysis ReportThis article Capitalizing on Today's Cybersecurity Meltdown? This REIT Hack Holds the Key originally appeared on Benzinga.com© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Benzinga

Capitalizing on Today's Cybersecurity Meltdown? This REIT Hack Holds the Key

https://finance.yahoo.com/news/capitalizing-todays-cybersecurity-meltdown-reit-185713642.html

502b77d5-a885-3365-b962-b631597bc22d

DLR

Strengths: Global footprint and comprehensive data center solutions.Weaknesses: Dependence on external capital and specialized real estate market.Opportunities: Expansion in emerging markets and strategic acquisitions.Threats: Market volatility and technological advancements.On February 23, 2024, Digital Realty Trust Inc (NYSE:DLR) filed its 10-K with the SEC, providing a detailed overview of its financial health and strategic positioning. As a real estate investment trust (REIT) specializing in data center operations, Digital Realty boasts a robust global presence with approximately 40 million rentable square feet across five continents. The company's financial strategy is anchored in maintaining a conservative capital structure, targeting a debt-to-Adjusted EBITDA ratio around 5.5x, a fixed charge coverage of over three times, and keeping floating rate debt below 20% of total outstanding debt. In 2023, Digital Realty continued to leverage its strong industry relationships and comprehensive suite of products to drive growth, despite the inherent challenges of relying on external capital sources and operating within a specialized real estate market.Warning! GuruFocus has detected 10 Warning Signs with DLR.Decoding Digital Realty Trust Inc (DLR): A Strategic SWOT InsightStrengthsGlobal Service Infrastructure Platform: Digital Realty's expansive global footprint is a testament to its aggressive international expansion since its IPO in 2004. The company's operations span six continents, offering a broad range of data center solutions that are difficult for competitors to replicate. This global reach is a significant competitive advantage, enabling Digital Realty to cater to a diverse customer base and capitalize on the interconnected scale of its operations.Comprehensive Data Center Solutions: The company's comprehensive suite of global data center solutions, including ServiceFabric and partnerships with managed services and cloud service providers, positions Digital Realty as a one-stop-shop for customers' IT infrastructure needs. This diverse product offering enhances the attractiveness of Digital Realty's data centers and is a key differentiator in the market.Story continuesStrong Industry Relationships: Digital Realty's leadership position in the market allows it to forge strong industry relationships, which are instrumental in detecting and capitalizing on emerging global trends. Collaborations with various industry stakeholders help the company develop new products, inform investment decisions, and create differentiated value for customers, driving long-term growth and yield for stockholders.WeaknessesDependence on External Capital: As a REIT, Digital Realty is required to distribute at least 90% of its taxable income, limiting its ability to fund future capital needs from operating cash flow. The company's growth is contingent on accessing third-party sources of capital, which is subject to market conditions and investor perceptions. This reliance on external financing could pose challenges in periods of market volatility or if unfavorable terms lead to stockholder dilution.Specialized Real Estate Market: Digital Realty operates in a niche market, owning and developing data centersa highly specialized form of real estate. This focus makes the company susceptible to fluctuations in demand for data center space and services, which could be impacted by economic downturns or shifts in technology industry trends.Geographic Concentration Risks: While Digital Realty's global presence is a strength, it also exposes the company to risks associated with specific geographic regions. Changes in regional market conditions or regulatory environments could disproportionately affect the company's operations and financial performance.OpportunitiesExpansion in Emerging Markets: Digital Realty's strategic international expansion provides opportunities to tap into emerging markets with growing demand for data center services. By leveraging its global platform, the company can establish a foothold in new regions, offering a competitive edge and potential for revenue growth.Strategic Acquisitions: The company's approach to sourcing and executing strategic transactions allows it to enhance its data center portfolio, expand its global footprint, and diversify its product mix. Acquisitions can also provide opportunities to achieve economies of scale and operational efficiencies.Technological Advancements: As technology continues to evolve, Digital Realty is well-positioned to leverage its industry relationships and expertise to integrate cutting-edge solutions into its service offerings. This proactive stance on innovation can attract new customers and solidify the company's market position.ThreatsMarket Volatility: Digital Realty's reliance on external capital exposes it to market volatility, which can impact its ability to secure financing on favorable terms. Economic downturns or investor sentiment shifts could hinder the company's growth initiatives and affect its financial stability.Technological Advancements: While technology presents opportunities, it also poses threats. Rapid advancements could render existing data center infrastructure obsolete, requiring significant investment to upgrade facilities and maintain competitiveness.Real Estate Market Fluctuations: The specialized nature of data center real estate means that valuations and liquidity can be volatile. Declining valuations or impairment charges could adversely affect Digital Realty's earnings and financial condition, while illiquidity could limit the company's ability to respond to adverse changes promptly.In conclusion, Digital Realty Trust Inc (NYSE:DLR) presents a compelling case of a company with robust strengths, including a global service infrastructure platform and comprehensive data center solutions, underpinned by strong industry relationships. However, it must navigate weaknesses such as dependence on external capital and the risks of a specialized real estate market. Opportunities for expansion and technological innovation are abundant, but threats from market volatility and real estate market fluctuations require vigilant management. Overall, Digital Realty's strategic positioning and financial prudence place it in good stead to capitalize on the growing demand for data center services worldwide.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 Digital Realty Trust Inc (DLR): A Strategic SWOT Insight

https://finance.yahoo.com/news/decoding-digital-realty-trust-inc-050430418.html

dda1f58c-4fb1-3f29-a92e-c8605b0c8b02

DLR

Combined 73MW critical IT load at NRT campus to support digital transformation, meet demand for scalable digital infrastructure and seamless access to connected data communities in Japan  SINGAPORE, March 6, 2024 /PRNewswire/ -- Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data center, colocation and interconnection solutions, today announced the launch of NRT12, its second data center at the NRT campus in Inzai City, Chiba Prefecture. NRT12 adds 34 megawatts (MW) of critical IT capacity to the campus, bringing the total to 73 MW to meet the growing demand for scalable, flexible, and AI-ready data centers in the Tokyo metropolitan area.NRT12 data center in Inzai City, Chiba PrefectureThe dual trends of accelerating digital transformation and the use of AI are driving exponential data volume growth in Japan. As a result, companies are rethinking their IT architectures, taking a data-centric, hybrid IT approach to support complex data flows. This is in turn driving demand for flexible and scalable modern data centers, equipped to support the high-power computing requirements of new technologies such as AI/Generative AI, close to major city hubs like Tokyo where many company headquarters and their users are located.To address those needs, Digital Realty is expanding capacity in the strategically located NRT campus through MC Digital Realty (MCDR), its 50/50 joint venture in Japan with Mitsubishi Corporation.  NRT12 features the same robust and flexible infrastructure as other data centers recently developed by MCDR in Japan – such as the nearby NRT10 in Inzai and KIX13 in Osaka – and is specifically designed to support demanding workloads such as AI/Generative AI, machine learning, and virtual reality.NRT12 is designed to offer high-density power of up to 70 kilowatts (kW) per rack, innovative Air-Assisted Liquid Cooling (AALC) technologies, low-latency networks, and high-speed connectivity that enable it to meet the demands of high-performance computing (HPC), machine learning, virtual reality, and augmented reality as well as AI/Generative AI workloads.Story continuesAdditionally, the NRT campus offers Campus Connect, an interconnection service that allows customers to utilize infrastructure across multiple data centers on the campus as a single unit, facilitating efficient data exchange for AI and digital transformation initiatives. The data centers' modular design also allows for dynamic scaling of server environments to accommodate growing AI deployments.Ubiquitous, seamless interconnection is crucial for facilitating data exchange, the lifeblood of the digital economy. NRT12 is part of PlatformDIGITAL®, Digital Realty's open, neutral global data center platform that provides the meeting place for customers to connect, fostering collaboration and accelerating digital transformation. This access to a dense connected data community comprising 1,200 network services, 1,100 cloud and IT services, and data centers across the globe facilitates secure, low-latency connections and high-speed data transfer to the businesses that matter most, enabling customers to get the most out of their high-density colocation deployments.NRT12 is also a ServiceFabric™ site, enabling customers to centrally manage complex workflows and orchestrate their hybrid IT infrastructure and AI workloads from a single point. ServiceFabric™ has over 75 partners offering more than 130 services, including 225+ cloud on-ramps, on its directory. Spanning over 110 cloud regions globally, this open ecosystem provides diverse solutions within PlatformDIGITAL®, empowering customers to access a vast network of cloud, IT, Private AI and network services for their digital transformation journey."The launch of NRT12 marks a significant milestone for Digital Realty in Japan. This new data center, designed to world-class specifications, expands our capacity and strengthens our commitment to supporting the growing demand for AI-powered and scalable digital infrastructure in the Tokyo metropolitan area. Coupled with connectivity to PlatformDigital® and ServiceFabric™, NRT12 significantly strengthens our offerings to our customers and partners globally," said Serene Nah, Managing Director and Head of Asia Pacific, Digital Realty.Said Chris Han, Chief Operating Officer of MC Digital Realty, "With its robust features and strategic location, NRT12 provides an ideal platform for businesses to accelerate their digital transformation journeys and unlock the full potential of cutting-edge technologies like AI and hybrid IT. We are confident that NRT12, alongside our existing data center NRT10 and the broader PlatformDIGITAL® ecosystem, will empower businesses to thrive in the ever-evolving digital landscape."About Digital RealtyDigital Realty brings companies and data together by delivering the full spectrum of data center, colocation, and interconnection solutions. PlatformDIGITAL®, the company's global data center platform, provides customers with a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx®) solution methodology for powering innovation and efficiently managing Data Gravity challenges. Digital Realty gives its customers access to the connected data communities that matter to them with a global data center footprint of 300+ facilities in 50+ metros across 25+ countries on six continents. To learn more about Digital Realty, please visit digitalrealty.com or follow us on LinkedIn and X.About MC Digital RealtyMC Digital Realty, Inc., established in September 2017, is a 50/50 joint venture between Mitsubishi Corporation and Digital Realty. The company provides the full spectrum of data center services in Japan, including colocation and interconnection solutions, by leveraging MC's real estate and infrastructure investment expertise and customer network, as well as Digital Realty's leading global data center platform, PlatformDIGITAL®, with 5,000+ customers across 300+ data centers on six continents. For more information about MC Digital Realty, please visit https://www.mc-digitalrealty.com/ or follow us on LinkedIn.For Additional InformationMedia ContactsSinhuay HoDigital Realty+65 8125 [email protected] RelationsJordan Sadler / Jim HusebyDigital Realty+1 737 281 [email protected] Harbor StatementThis press release contains forward-looking statements which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially, including statements related to the company's growth prospects, expected growth in digital transformation, ServiceFabric™, PlatformDIGITAL®, projections regarding data gravity, aggregation and exchange, the company's strategy, expected growth in Japan and the Japanese market.  For a list and description of risks and uncertainties, see the reports and other filings by the company with the U.S. Securities and Exchange Commission. The company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.Digital RealtyCisionView original content:https://www.prnewswire.com/apac/news-releases/digital-realty-lays-foundation-to-private-ai-with-second-data-center-in-nrt-campus-boosts-ai-ready-data-center-capacity-in-metropolitan-tokyo-302080844.htmlSOURCE Digital Realty

PR Newswire

Digital Realty Lays Foundation to Private AI with Second Data Center in NRT Campus, Boosts AI-ready Data Center Capacity in Metropolitan Tokyo

https://finance.yahoo.com/news/digital-realty-lays-foundation-private-030000681.html

1080297e-7704-32c2-988d-d1870ad2a996

DLR

In a strategic move to bolster its presence in the Dallas metro area's burgeoning data center market, Digital Realty DLR, the global leader in cloud and carrier-neutral data center solutions, has joined forces with Mitsubishi Corporation. The collaboration marks a significant milestone in both companies’ expansion strategy, aiming to capitalize on the ever-growing demand for data infrastructure.Reflecting positive sentiments, shares of DLR rose 2.1% during Monday’s regular trading session, though the gains were eroded on Tuesday due to broader market concerns.The joint venture between Digital Realty and Mitsubishi Corporation revolves around the development of two state-of-the-art data centers in the Dallas metro area. These facilities, already 100% pre-leased to an S&P 100 investment-grade customer on a long-term basis, signify a solid foundation for the venture's success. Mitsubishi's acquisition of a 65% equity interest in the joint venture, with an initial investment of approximately $200 million, underlines its commitment to the project and confidence in the data center market's potential.Digital Realty, retaining a 35% interest in the joint venture, will spearhead the development and day-to-day operations of the joint venture and receive customary fees. With its proven track record in delivering cutting-edge data center solutions, DLR brings invaluable expertise to the table. The company's role in managing the joint venture aligns perfectly with its core strengths, ensuring seamless execution and operational excellence.Construction for the two data centers started in the fourth quarter of 2022, and the first phase of the project will deliver 16 megawatts (MW) of initial data center capacity. However, the customer retains the option to expand the projects up to 48 MW of total IT load during the initial lease term. This flexibility not only underscores the scalability of the infrastructure but also opens up avenues for additional revenue streams in the future.The financial aspect of the joint venture is equally noteworthy. Each partner will fund its pro rata share of the remaining $100 million estimated development cost for the first phase, which is scheduled for completion and commencement in late 2024.For the first phase of these yield-on-cost developments, the budget is around $400 million. However, with the potential expansion of the projects, the budget could escalate to $800 million, based on current development cost estimates. Such significant investments underscore the partners' confidence in the long-term viability and profitability of the venture.Greg Wright, DLR’s chief investment officer, expressed enthusiasm about the collaboration, highlighting its strategic significance. He emphasized how the joint venture not only strengthens Digital Realty's partnership with Mitsubishi but also enhances the company's balance sheet, providing incremental capital to support stakeholders' longer-term capacity requirements.With a robust foundation and strong financial backing, the venture is poised to capitalize on the immense opportunities in the data center market, driving value for stakeholders and fueling innovation in the digital landscape.Digital Realty also sorted into JVs in recent quarters to capitalize on the rising demand for data centers amid enterprises’ growing reliance on technology and acceleration in digital transformation strategies. In December 2023, Digital Realty entered into a JV worth $7 billion with Blackstone Inc. BX, a global alternative asset manager, to develop four hyperscale data center campuses across Frankfurt, Paris and Northern Virginia, supporting around 500 MW of total IT load upon full build-out.In November 2023, Digital Realty entered into a JV with Realty Income Corporation O to facilitate the development of two build-to-suit data centers in Northern Virginia, known for its prominence in the data center market. Realty Income invested around $200 million, securing an 80% equity interest in the venture, while DLR maintains a 20% interest. The collaboration combined Digital Realty's expertise in data center solutions with Realty Income's standing as a blue-chip net-lease REIT.Shares of Digital Realty, a Zacks Rank #3 (Hold) company, have rallied 10.9% in the past three months, outperforming the industry’s increase of 5.8%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Story continuesZacks Investment ResearchImage Source: Zacks Investment ResearchDisclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information.Disclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information.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 ReportDigital Realty Trust, Inc. (DLR) : Free Stock Analysis ReportRealty Income Corporation (O) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

What Does the JV With Mitsubishi Mean for Digital Realty (DLR)?

https://finance.yahoo.com/news/does-jv-mitsubishi-mean-digital-134200460.html

12c440a7-631c-3588-94b1-39ae55df267c

DLR

Plans to scale platform to more than 30 sites globally by the end of 2024AUSTIN, Texas, March 7, 2024 /PRNewswire/ -- Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data center, colocation, and interconnection solutions, announced today the expansion of Apollo, its in-house artificial intelligence (AI) platform, to Asia Pacific. This strategic move aims to enhance energy efficiency across the company's global portfolio.Digital RealtyDigital Realty built its Apollo AI platform leveraging facility-level data to support data-driven decision-making, enabling the business to make energy efficiency improvements across its portfolio. The initial Apollo pilot commenced in late 2019 with two European sites, and it is now deployed to 16 sites across six countries in Europe. Digital Realty plans to double Apollo's footprint by the end of 2024. Notably, this expansion marks the platform's debut in Asia Pacific, with one site in Melbourne and one site in Singapore."We're delighted to expand the usage of our Apollo AI platform to the Asia Pacific region," said Digital Realty Chief Technology Officer Chris Sharp. "We're dedicated to continually improving the energy efficiency of our data centers in order to reach our global science-based emission reduction targets. Apollo helps us to achieve these goals while also supporting our customers' sustainable growth and scalability targets."The AI platform has already demonstrated its effectiveness, identifying approximately 18 gigawatt-hours (GWh) of expected and realized energy savings across the 16 sites, the equivalent energy usage of approximately 1,600+ U.S. households over the course of a year1. Apollo's ability to autonomously detect anomalies such as clogged filters and leaky valves, and to suggest optimizations to operational settings without human intervention, enhances the effectiveness of Digital Realty's site managers and engineers.Story continuesApollo uses machine learning to provide a comprehensive dashboard that lists optimization opportunities at each facility, prioritized by potential megawatt-hour savings. The platform's self-learning capabilities aggregate findings, which are then audited and applied to newly onboarded facilities. This ensures that every new site contributes value to the platform, benefiting the entire portfolio.Digital Realty's expansion of the Apollo AI platform to the Asia Pacific region underscores its dedication to leveraging technology to drive sustainable growth and operational excellence, in addition to aligning with future energy efficiency targets. Digital Realty's focus on energy efficiency and continuous improvement remains at the forefront of the data center industry, delivering value to customers and contributing to a greener future.About Digital RealtyDigital Realty brings companies and data together by delivering the full spectrum of data center, colocation and interconnection solutions. PlatformDIGITAL®, the company's global data center platform, provides customers with a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx®) solution methodology for powering innovation and efficiently managing Data Gravity challenges. Digital Realty gives its customers access to the connected data communities that matter to them with a global data center footprint of 300+ facilities in 50+ metros across 25+ countries on six continents. To learn more about Digital Realty, please visit digitalrealty.com or follow us on LinkedIn and X.For Additional InformationMedia ContactsWill ReynoldsDigital Realty+44 7469 [email protected] RelationsJordan Sadler / Jim HusebyDigital Realty+1 737 281 [email protected] Harbor StatementThis press release contains forward-looking statements which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially, including statements related to the company's growth prospects, expected growth in digital transformation, company strategy, customer demand for the company's products and services, the Apollo AI Program, sustainability goals and strategy and potential impact from sustainability initiatives. For a list and description of risks and uncertainties, see the reports and other filings by the company with the U.S. Securities and Exchange Commission. The company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.1 Based on statistics provided by the U.S. Energy Information Administration (EIA)CisionView original content:https://www.prnewswire.com/apac/news-releases/digital-realty-expands-ai-powered-energy-efficiency-platform-to-asia-pacific-302082701.htmlSOURCE Digital Realty

PR Newswire

Digital Realty Expands AI-Powered Energy Efficiency Platform to Asia Pacific

https://finance.yahoo.com/news/digital-realty-expands-ai-powered-091500209.html

bedaa268-c899-3836-b607-86403453a431

DLTR

CHESAPEAKE, Va., February 26, 2024--(BUSINESS WIRE)--Dollar Tree, Inc. (NASDAQ: DLTR) today announced that the Company has reached a resolution with the Consumer Protection Branch ("CPB") of the U.S. Department of Justice’s Civil Division and the U.S. Attorney’s Office for the Eastern District of Arkansas ("DOJ") regarding the DOJ’s investigation into the operations at Family Dollar’s distribution center in West Memphis, Arkansas.As previously disclosed, on March 1, 2022, a federal grand jury subpoena was issued to Family Dollar requesting the production of information, documents and records pertaining to compliance with law regarding certain procedures and products which may have become contaminated at the Family Dollar Distribution Center 202 ("DC 202") in West Memphis, Arkansas. Since then, Dollar Tree and Family Dollar have fully cooperated with the DOJ’s investigation.Under the terms of the plea agreement, Family Dollar Stores, LLC, has agreed to enter a plea of guilty to a one count misdemeanor violation relating to acts that caused FDA-regulated product held in DC 202 to become adulterated. Under the plea agreement, Family Dollar has agreed to pay $200,000 in fines and a forfeiture money judgment in the amount of $41,475,000 to the United States, which relates to the value of the adulterated FDA-regulated products that were held in DC 202. The plea agreement cites the Company’s "extensive cooperation" throughout the process."Having reached full resolution with the DOJ, we are continuing to move forward on our business transformation, safety procedures and compliance initiatives," said Dollar Tree Chairman and CEO Rick Dreiling. "When I joined Dollar Tree’s Board of Directors in March 2022, I was very disappointed to learn about these unacceptable issues at one of Family Dollar’s facilities. Since that time and even more directly when I assumed the role of CEO, we have worked diligently to help Family Dollar resolve this historical matter and significantly enhance our policies, procedures, and physical facilities to ensure it is not repeated."Story continuesDollar Tree and Family Dollar are committed to selling quality food and products, maintaining a safe environment for associates and customers, and complying with all laws and regulations. In addition to Family Dollar initiating a voluntary recall of all FDA-regulated products shipped from DC 202 and decommissioning the site, Dollar Tree and Family Dollar have significantly enhanced and continue to strengthen compliance and safety programs and capabilities.Enhancements to strengthen safety and complianceCreated new compliance and safety roles, hiring experienced personnel to strengthen the Company’s practices, including a new Chief Legal Officer with expertise and experience building and enhancing corporate compliance programs and working in and with the U.S. Department of Justice; a new Chief Ethics and Compliance Officer with experience leading compliance at a global retailer; senior positions in Food Safety, Product Quality and Regulatory Compliance, and Environmental, Health, and Safety; and a Safety, Sanitation, and Compliance Manager in each distribution center.Developed and implemented risk-based procedures and controls, and continuing to deliver extensive compliance and safety training to associates. This is supported by strengthened monitoring and auditing activities to test program execution and adherence and promote continuous improvement.Over the past 18 months, each of the Company’s distribution centers has passed an independent, third-party audit and became "Good Distribution Practices" ("GDP") certified, with all distribution centers planning to maintain the distinguished certification.Dollar Tree recently announced that Family Dollar plans for operations to return to West Memphis, Arkansas, with a fully reimagined and refreshed distribution center. The new facility, expected to be operational by fall 2024, reflects more than $100 million in current and anticipated future investments. The facility, which is expected to initially provide more than 300 new jobs for Arkansas workers, is being rebuilt with a strong emphasis on safety, sanitation, and compliance and should serve as a model of excellence for all facilities in the Dollar Tree and Family Dollar network.About Dollar Tree, Inc.Dollar Tree, a Fortune 200 Company, operated 16,622 stores across 48 states and five Canadian provinces as of October 28, 2023. Stores operate under the brands of Dollar Tree, Family Dollar, and Dollar Tree Canada. To learn more about the Company, visit www.DollarTree.com.A WARNING ABOUT FORWARD-LOOKING STATEMENTS: This press release contains "forward-looking statements" as that term is used in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they address future events, developments or results and do not relate strictly to historical facts. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements include, without limitation, statements preceded by, followed by or including words such as: "believe", "anticipate", "expect", "intend", "plan", "view", "target" or "estimate", "may", "will", "should", "predict", "possible", "potential", "continue", "strategy", and similar expressions. For example, our forward-looking statements include statements relating to our expectations regarding the implementation and impact of safety procedures and compliance initiatives, our new West Memphis distribution center, and other objectives and expectations. These statements are subject to risks and uncertainties. For a discussion of the risks, uncertainties and assumptions that could affect our future events, developments or results, you should carefully review the "Risk Factors," "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections in our Annual Report on Form 10-K filed March 10, 2023, our Form 10-Q for the most recently ended fiscal quarter and other filings we make from time to time with the Securities and Exchange Commission. We are not obligated to release publicly any revisions to any forward-looking statements contained in this press release to reflect events or circumstances occurring after the date of this report and you should not expect us to do so.View source version on businesswire.com: https://www.businesswire.com/news/home/20240226771465/en/ContactsInvestors: Robert A. LaFleurSVP, Investor [email protected]: Kristin TetreaultSVP and Chief Communications [email protected]

Business Wire

Family Dollar Stores, LLC, and U.S. Department of Justice Resolve Investigation into Operations at Family Dollar’s Distribution Center in Arkansas

https://finance.yahoo.com/news/family-dollar-stores-llc-u-210500157.html

f614350f-2262-307a-89f1-cb358dad629d

DLTR

WASHINGTON (Reuters) -Family Dollar Stores LLC pleaded guilty on Monday to storing food, drugs and cosmetics in unsanitary conditions in a rodent-infested Arkansas warehouse and has agreed to pay $41.675 million, the U.S. Justice Department said.Family Dollar Stores, a subsidiary of Dollar Tree Inc., pleaded guilty to a single count of causing FDA-regulated products to become adulterated in insanitary conditions, the Justice Department said."When consumers go to the store, they have the right to expect that the food and drugs on the shelves have been kept in clean, uncontaminated conditions," Acting Associate Attorney General Benjamin Mizer said in a statement announcing the plea deal.According to the plea agreement, Family Dollar received reports in August 2020 of mouse and pest issues at its West Memphis, Arkansas, distribution center.The company continued to ship FDA-regulated products from the warehouse until January 2022, when an FDA inspection revealed live rodents, dead and decaying rodents, rodent feces, urine, and odors, and evidence of gnawing and nesting throughout the facility, the plea agreement said."Having reached full resolution with the DOJ, we are continuing to move forward on our business transformation, safety procedures and compliance initiatives," Dollar Tree Chairman and CEO Rick Dreiling said in a statement.(Reporting by Eric Beech and Dan Whitcomb; writing by Paul Grant)

Reuters

Family Dollar Stores to pay $41.675 million in US Justice Dept settlement

https://finance.yahoo.com/news/family-dollar-stores-pay-41-215030958.html

02749903-17b4-3c1d-99e5-b3a8c81f29bc

DLTR

LITTLE ROCK, Ark. (AP) — Family Dollar Stores, a subsidiary of Dollar Tree Inc., pleaded guilty Monday to holding food, drugs, cosmetics and other items under “insanitary” conditions at a now-closed, rodent-infested distribution center in West Memphis, Arkansas, federal prosecutors said.Family Dollar faced one misdemeanor count of causing FDA-regulated products to become adulterated while being held under insanitary conditions at the facility, the U.S. Department of Justice said in a news release. The company entered into a plea deal that includes a sentence of a fine and forfeiture amount totaling $41.675 million, the largest-ever monetary criminal penalty in a food safety case, the department said.“When consumers go to the store, they have the right to expect that the food and drugs on the shelves have been kept in clean, uncontaminated conditions,” said Acting Associate Attorney General Benjamin C. Mizer. “When companies violate that trust and the laws designed to keep consumers safe, the public should rest assured: The Justice Department will hold those companies accountable.”A company spokesperson said it cooperated extensively with the DOJ's investigation.“In 2022, Family Dollar issued a voluntary recall of product that allowed customers to return goods for a full refund without proof of purchase. While we are not aware of any consumer becoming ill due to conditions at the distribution center, 14 consumer class actions were brought against the company, and we have reached a tentative settlement in those cases without any admission of liability or wrongdoing,” the spokesperson said in an email. “We look forward to putting the litigation behind us so that we can focus on our business of providing affordable products to our customers, with quality and safety at the heart of what we do.”The plea agreement also requires Family Dollar and Dollar Tree to meet robust corporate compliance and reporting requirements for the next three years, the DOJ said.Story continuesIn pleading guilty, the company admitted that its Arkansas distribution center shipped FDA-regulated products to more than 400 Family Dollar stores in Alabama, Missouri, Mississippi, Louisiana, Arkansas, and Tennessee. According to the plea agreement, the company began receiving reports in August 2020 of mouse and pest issues with deliveries to stores. The company admitted that by January 2021, some of its employees were aware that the insanitary conditions caused FDA-regulated products held at the warehouse to become adulterated in violation of federal law.According to the plea agreement, the company continued to ship FDA-regulated products from the warehouse until January 2022, when an FDA inspection revealed live rodents, dead and decaying rodents, rodent feces, urine, and odors, and evidence of gnawing and nesting throughout the facility.Subsequent fumigation of the facility resulted in the reported extermination of 1,270 rodents.Dollar Tree Chairman and CEO Rick Dreiling, in a news release, said the company is moving forward with its “business transformation, safety procedures and compliance initiatives.”Since joining Dollar Tree's Board of Directors in March 2022, Dreiling said they have “worked diligently to help Family Dollar resolve this historical matter and significantly enhance our policies, procedures and physical facilities to ensure it is not repeated.”Dollar Tree also recently announced that Family Dollar plans to return operations to West Memphis with a fully reimagined and refreshed distribution center. The new facility, which is expected to staff 300 new jobs, is expected to be open by fall 2024.

Associated Press Finance

Family Dollar Stores agrees to pay $41.6M for rodent-infested warehouse in Arkansas

https://finance.yahoo.com/news/family-dollar-stores-agrees-pay-002518681.html

75b68180-ed04-37f0-bc22-9f47c600082f

DLTR

Several U.S. discount retailers recalled packages of ground cinnamon after federal health officials warned that they were contaminated with high levels of lead.The U.S. Food and Drug Administration issued a safety alert for six brands of cinnamon, including those sold at Dollar Tree and Family Dollar stores.The move followed massive recalls last fall of WanaBana and other brands of cinnamon applesauce pouches linked to nearly 500 reports of lead poisoning in young children in 44 states. The FDA tested retail samples of spices to determine whether other products were contaminated.The new recalls are raising questions about the safety of cinnamon, a popular spice found in many American kitchens.Here's what you should know:Which brands of cinnamon have been recalled?Recalls have been issued for Marcum and Supreme Tradition brand ground cinnamon sold at Dollar Tree, Family Dollar and Save A Lot stores nationwide.Other recalls include El Chilar brand cinnamon sold at La Joya Morelense in Baltimore, Maryland; and Swad cinnamon powder sold at Patel Brothers stores across the U.S.FDA officials said they have not been able to contact MTCI of Santa Fe Springs, California, which distributes MK brand cinnamon sold at SF Supermarkets in several states.How much lead was found in cinnamon?FDA tests found lead levels ranging from 2 parts per million to 4 parts per million in the recalled cinnamon. That’s far lower than the 2,000 to 5,000 parts per million detected in the ground cinnamon from Ecuador that contaminated the applesauce pouches.There is currently no FDA limit for heavy metals in spices. However, the agency has set a limit of 1 part per million of lead in candy likely to be consumed by small children.The American Spice Trade Association, an industry trade group, calls for no more than 2 parts per million of lead in bark spices such as cinnamon.Where did the recalled cinnamon come from?The source of the recalled cinnamon is unclear, as is where it was produced, FDA officials said. Cinnamon in the U.S. is imported from many places, including India, Sri Lanka, Vietnam and other parts of Southeast Asia.Story continuesHowever, the agency said there’s no reason to believe that the recalled cinnamon came from the same Ecuadorian supplier implicated in the contaminated applesauce pouches.How does lead get into cinnamon?Many foods, including spices, contain lead from natural sources such as soil and water, said Karen Everstine, technical director for FoodchainID, a company that tracks food supply chains.Spices can accumulate lead from other sources in the environment, such as leaded gasoline or other pollution. Some lead in spices may come from manufacturing, storage or shipping processes.In some cases, spices have been mixed with substances, including lead, to boost color or weight, increasing the value of the product. FDA officials have said that the applesauce pouches may have been intentionally contaminated for this type of economic reason.How can lead in spices affect health?No amount of lead is safe, so it should be avoided, health officials said. Because spices are used in such small amounts, the potential harm of any single use is small, but damage could occur after weeks or months of exposure.Lead can cause long-term problems in adults, including greater risk of high blood pressure, heart disease and kidney damage. Lead is especially harmful to children, where it can cause problems with basic intelligence, learning and behavior.How can I avoid lead in my spices?It can be difficult, if not impossible, to know whether spices on grocery shelves are contaminated with lead or other toxins, Everstine said.Consumers should buy spices from companies that have publicly said they monitor their sources. They have a vested interest in protecting their brands, she said.That can be tough, especially when grocery prices — including spices — remain high. But this is an instance when it might be worth it.“Be skeptical of prices that appear too good to be true. It costs money to control your supply chain,” she said. “If you have cinnamon that is a quarter of the price of another cinnamon, why is that?”___The Associated Press Health and Science Department receives support from the Howard Hughes Medical Institute’s Science and Educational Media Group. The AP is solely responsible for all content.

Associated Press Finance

Lead-tainted cinnamon has been recalled. Here's what you should know

https://finance.yahoo.com/news/lead-tainted-cinnamon-recalled-heres-222944869.html

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Dollar Tree may not be the first place you think of when it comes to purchasing your groceries, but you might want to add it to your rotation, or you’ll miss out on great grocery deals.Check Out: 10 Best New Items at Dollar Tree in February 2024Read Next: How To Get $340 Per Year in Cash Back on Gas and Other Things You Already BuyFor incredible prices, you can get a number of staples and fill in between a major shopping trips without messing up your budget. While you probably won’t find much in the way of fresh fruits and veggies, here are 11 groceries items you should buy at Dollar Tree.RyanJLane / Getty ImagesBaking MixesIf you’re a busy person who loves to bake but doesn’t always have time, energy or money to bake from scratch, take advantage of Dollar Tree’s baking mixes. According to the Food Network, they often have an interesting variety, particularly because their stock rotates constantly, so you might find something surprising and for a lot less than even at stores like Walmart.Discover More: 8 Aldi Meals That Are Cheaper Than Buying TakeoutGrocery Advice: I’m a Shopping Expert: 9 Items I’d Never Put in My Grocery CartSponsored: Owe the IRS $10K or more? Schedule a FREE consultation to see if you qualify for tax relief.LukasH-W / iStock.comCanned BeansPeople on a budget are always looking for ways to stretch meals and still make them nutritious. Canned beans can be added to so many dishes, from soups and pastas to stir-fries and salads, packing a protein-full punch that you can purchase on the cheap at Dollar Tree, according to Taste of Home.Save More: 8 Healthy Grocery Items Frugal People Always Buyknape / Getty Images/iStockphotoIce CreamThough ice cream may be seasonal at some Dollar Tree locations, Food Network recommends keeping an eye out for the cool sweet treats, which can vary in flavor and brand at different locations and times of year. Dollar Tree even laid out which other items you can purchase at their stores to make your own ice cream social, including syrups, paper bowls, plastic spoons and sprinkles.Story continuesMadeleine_Steinbach / Getty ImagesChicken BrothAnother cooking staple that has many uses in the kitchen is chicken broth. It’s great to have on hand during cold and flu season in the winter months, because it’s full of vitamins, minerals and protein but easy on the stomach. Taste of Home says you’ll probably find this item on the shelves most of the time at a better deal than typical grocery stores.©Shutterstock.comOatmealThe cooler months mean warmer breakfasts, but who has time to make a full breakfast with eggs, bacon and toast before work or school? Oatmeal is a healthy alternative that is quick and easy to make, and can be jazzed up with so many condiments, from fruit to cocoa. Keep your eye out for Quaker quick oats at your local Dollar Tree.Also: Don’t Shop at Meijer on This Day of the Weekkajakiki / Getty ImagesPasta and RiceTalk about easy to make staples that go a lot further than other foods — dry goods like pasta and rice should be an essential you never run out of. Dollar Tree makes it easy to make your favorite spaghetti, pasta salad or risotto by often keeping a variety of different types on hand for a fraction of the price.designs by Jack / Shutterstock.comCondimentsCondiments are those unsung grocery items that do a lot of heavy lifting, enhancing and adding flavor to our favorite foods. Think how dull your daily meals would be without them. Fortunately, you can find a variety of different condiments at Dollar Tree, from hot sauce and salsa to mustard and barbecue sauce, and many others in between.celsopupo / iStock.comChipsWhere Dollar Tree really shines is in its tasty snacks, such as chips. You can often find brand name bags of your favorite salty treats that are bigger than snack size. Mashed recommends Lays Stax chips or opt for something healthier like Mum-Mum’s pea crisps. Whatever your preference, you’re sure to find something to satisfy your savory craving.I’m a Self-Made Millionaire: These 7 Items I’ll Buy Only at Dollar Tree Are Worth Ithapabapa / Getty ImagesFrozen FoodsWhile you’re not going to find any fresh produce at Dollar Tree, you will find a lot of frozen produce, great for adding to dishes for nutrition and flavor and easy to store. In fact, their frozen section is the answer to a busy person’s meal planning. You can find such things as chicken nuggets, burger patties, breakfast wraps and pot pies, to name a few. Don’t forget to take a stroll through their frozen section.PeopleImages / iStock.comLunch MeatA common staple in many a school (or grown up) lunch is sliced lunch meat, from tasty honey baked ham to sensible sliced chicken. Every Dollar Tree will have a different selection, but you can usually find something to satisfy your stomach and your budget.simonapilolla / Getty Images/iStockphotoCoffee and TeaWhile it may be a nice treat to buy your coffee at a coffee shop, you’ll be spending significantly more money on a single cup of Starbucks or Peet’s coffee than if you buy your coffee (and tea) at Dollar Tree. According to Food Network, they sell both full bags of ground coffee and single-serve pods for your Keurig or similar type of coffee machine. And most Dollar Trees have a wide selection of tea, as well.Disclaimer: Photos are for representational purposes only.More From GOBankingRates7 Home Items To Avoid Buying in 2024How To Retire on $2,000 a Month: A Frugal Living GuideOne Simple Way to Earn More on Your Savings in 2024The Biggest Mistake People Make With Their Tax Refund -- And How to Avoid ItThis article originally appeared on GOBankingRates.com: Always Buy These 11 Grocery Items at Dollar Tree

GOBankingRates

Always Buy These 11 Grocery Items at Dollar Tree

https://finance.yahoo.com/news/11-grocery-items-buy-dollar-200122241.html

d7136546-b104-3815-98c4-d14a3c6b71e0

DLTR

In this article, we will be taking a look at the 20 biggest retail companies in the US. If you want to skip our detailed analysis of the retail industry, you can go directly to see the 5 Biggest Retail Companies in the US.The Global Retail Industry at a GlanceThe global retail industry drives consumer spending, contributes to GDP growth, and employs a large number of people globally. According to a report by Mordor Intelligence, the global retail industry is expected to reach a value of $32.68 trillion in 2024. The market is expected to grow at a compound annual growth rate (CAGR) of 7.65% from 2024 to 2029 and reach a value of $47.24 trillion by the end of the forecasted period.Rising disposable income and increased consumer spending are key factors creating a positive outlook for the market. Innovation in retail technology, including artificial intelligence (AI), augmented reality (AR), virtual reality (VR), and the Internet of Things (IoT), is fueling market growth. These technologies are expected to become more prominent to enhance the customer experience and meet changing consumer preferences during the forecasted period.Key Market Players in the US Retail SectorSome of the most prominent names in the US retail industry are Walmart Inc. (NYSE:WMT), Amazon.com Inc. (NASDAQ:AMZN), and Costco Wholesale Corporation (NASDAQ:COST). Let's discuss these companies in detail below.Costco Wholesale Corporation (NASDAQ:COST) is a retail company that operates a chain of membership-only warehouses and retail stores. It offers quality merchandise at discounted prices by selling in bulk at lower margins. Costco Wholesale Corporation (NASDAQ:COST) is one of the largest retailers in the world and it ranks high among the best discount retailer stocks to buy as well. On March 7, Costco Wholesale Corporation (NASDAQ:COST) reported strong earnings for the fiscal second quarter of 2024. The company reported earnings per share (EPS) of $3.71, surpassing EPS estimates by $0.07. The company reported a revenue of $58.44 billion. Here are some comments from Costco Wholesale Corporation's (NASDAQ:COST) earnings call regarding its plans for fiscal 2024:Story continues"And that puts the remainder of fiscal 2024 for Q3 and Q4, we plan on opening a total of 15 net new locations, 11 in the US, two in Japan, and one each in Korea and in China. Regarding CapEx, fiscal second quarter spend was approximately $1.03 billion. And for the year, it remains in the north of $4.4 billion to $4.6 billion, in that range." Retail companies are embracing data analytics and customer insights to offer personalized shopping experiences. Technological innovations are further expected to enhance customer satisfaction. Amazon.com Inc. (NASDAQ:AMZN) is an American multinational online retail and technology company. It specializes in e-commerce, online marketing, cloud computing, and artificial intelligence. Amazon.com Inc. (NASDAQ:AMZN) is one of the best internet retail stocks to buy. On January 16, CNBC reported that Amazon.com Inc. (NASDAQ:AMZN) has introduced an artificial intelligence (AI) tool that can answer shoppers’ questions about specific products. The new feature, available on Amazon.com Inc.’s (NASDAQ:AMZN) mobile app, will quickly provide answers by summarizing information collected from product reviews and listings. This tool can help shoppers avoid scrolling through pages of reviews to find information about an item.Retailers are also working on optimizing delivery processes to enhance customer experience. On March 7, Walmart Inc. (NYSE:WMT) announced the launch of a new On-Demand Early Morning Delivery service to help customers save time and offer convenience. Starting as early as 6 AM, this innovative solution will allow customers to receive their orders within 30 minutes, providing an early and quick solution for their shopping needs. With a wide range of items available both in-store and online, customers can easily access products like fashion, furniture, baby essentials, and more during the early morning hours. This initiative is part of Walmart Inc.’s (NYSE:WMT) ongoing efforts to enhance customer experiences and streamline delivery services.Now that we have discussed what’s going on in the retail industry, let’s take a look at the 20 biggest retail companies in the US.20 Biggest Retail Companies in the USA wide view of an aisle in a specialty retailer, filled with licensed pop culture products, vinyls and action figures.MethodologyIn this article, we have listed the 20 biggest retail companies in the US. To find the top retail companies in America, we sifted through various sources including industry reports, our own rankings in addition to rankings available on various websites, and consulted stock screeners from Yahoo Finance and Finviz. For companies that are publicly traded, we decided to rank them according to their market capitalization as of March 8, 2024. We used fiscal year revenues to rank the companies that are not publicly traded. Finally, we narrowed down our selection to rank the 20 biggest retail companies in the US based on their market capitalization and revenues, which are listed below in ascending order.20 Biggest Retail Companies in the US20. Williams-Sonoma Inc. (NYSE:WSM)Market Capitalization: $15.87 BillionWilliams-Sonoma Inc. (NYSE:WSM) is an American consumer retail company that ranks among the top 20 biggest retail companies in the US. The company owns a number of brands and it sells kitchenware, appliances, and home furnishings. It operates retail stores in the US, Canada, Australia, and the United Kingdom. Williams-Sonoma Inc. (NYSE:WSM) has a market capitalization of $15.87 billion as of March 8, 2024.19. Best Buy Co. Inc. (NYSE:BBY)Market Capitalization: $17.12 BillionBest Buy Co. Inc. (NYSE:BBY) is an American consumer electronics retailer. As one of the world’s largest specialty consumer electronics retailers, it has more than 1,000 stores in the US and Canada. As of March 8, 2024, Best Buy Co. Inc. (NYSE:BBY) has a market capitalization of $17.12 billion.18. Walgreens Boots Alliance Inc. (NASDAQ:WBA)Market Capitalization: $18.05 BillionWalgreens Boots Alliance Inc. (NASDAQ:WBA) is an integrated healthcare, pharmacy, and retail company. As one of the world’s biggest pharmacy retailers, it has over 12,500 locations in the US, Europe, and Latin America. Walgreens Boots Alliance Inc. (NASDAQ:WBA) has a market capitalization of $18.05 billion as of March 8, 2024. It ranks 18th on our list of the 20 biggest retail companies in the US.17. Ulta Beauty Inc. (NASDAQ:ULTA)Market Capitalization: $26.62 BillionUlta Beauty Inc. (NASDAQ:ULTA) is an American chain of beauty stores. As one of the largest beauty retailers in the US, it sells prestige cosmetics, fragrances, skincare, and hair care products. As of March 8, 2024, Ulta Beauty Inc. (NASDAQ:ULTA) has a market capitalization of $26.62 billion.16. Tractor Supply Company (NASDAQ:TSCO)Market Capitalization: $26.88 BillionTractor Supply Company (NASDAQ:TSCO) is an American retail chain of stores that sells products for agriculture, lawn and garden maintenance, home improvement, and livestock and pet care to home, land, pet, and animal owners. The company operates more than 2,200 stores in 49 states. As one of the top retail companies in the US, Tractor Supply Company (NASDAQ:TSCO) has a market capitalization of $26.88 billion as of March 8, 2024.15. Dollar Tree Inc. (NASDAQ:DLTR)Market Capitalization: $32.68 BillionDollar Tree Inc. (NASDAQ:DLTR) is an American retail corporation that operates a chain of discount variety stores. It ranks among the top 15 on our list of the biggest retail companies in the US. With more than 16,000 stores, Dollar Tree Inc. (NASDAQ:DLTR) operates in all 48 contiguous states and 5 Canadian provinces. As of March 8, 2024, Dollar Tree Inc. (NASDAQ:DLTR) has a market capitalization of $32.68 billion.14. Dollar General Corporation (NYSE:DG)Market Capitalization: $34.88 BillionDollar General Corporation (NYSE:DG) is a major discount retailer that operates a chain of variety stores. With more than 19,000 stores in the US, the corporation offers low prices on a wide variety of items including, food, snacks, cleaning supplies, housewares, and basic apparel. Dollar General Corporation (NYSE:DG) has a market capitalization of $34.88 billion as of March 8, 2024.13. The Kroger Co. (NYSE:KR)Market Capitalization: $39.94 BillionThe Kroger Co. (NYSE:KR), commonly known as Kroger, is an American retail company that ranks 13th on our list of the biggest retail companies in the US. It operates retail stores, supermarkets, and multi-department stores. It also operates 170 fine jewelry stores and more than 2,200 pharmacies. As one of the largest retailers in the US, The Kroger Co. (NYSE:KR) has a market capitalization of $39.94 billion as of March 8, 2024.12. Ross Stores Inc. (NASDAQ:ROST)Market Capitalization: $49.16 BillionRoss Stores Inc. (NASDAQ:ROST), operating under the brand name Ross Dress for Less, is one of the largest off-price retail chains in the US. Through its chain of discount department stores, it provides branded and designer apparel, accessories, footwear, and home fashions. As of March 8, 2024, Ross Stores Inc. (NASDAQ:ROST) has a market capitalization of $49.16 billion.11. AutoZone Inc. (NYSE:AZO) Market Capitalization: $54.08 BillionAutoZone Inc. (NYSE:AZO) is an American retailer and distributor of automotive replacement parts and accessories. It provides auto and truck parts, chemicals, and accessories through more than 6,000 store locations in the US. As one of the top retail companies in the United States, AutoZone Inc. (NYSE:AZO) has a market capitalization of $54.08 billion as of March 8, 2024.10. Publix Super MarketsRevenue: $57.1 BillionPublix Super Markets, or simply Publix, is a private company that ranks among the top 10 on our list of the biggest retail companies in the US. With more than 1,300 store locations, Publix Super Markets is the largest employee-owned supermarket chain in the United States. In 2023, Publix Super Markets generated a revenue of $57.1 billion.9. O'Reilly Automotive Inc. (NASDAQ:ORLY)Market Capitalization: $64.31 BillionO'Reilly Automotive Inc. (NASDAQ:ORLY) is an American auto parts retailer. It is a major supplier of automotive aftermarket parts, equipment, supplies, tools, and accessories to professional service providers and do-it-yourself customers. It currently has more than 6,000 stores in 48 US states and Puerto Rico and over 60 stores in Mexico. As of March 8, 2024, O'Reilly Automotive Inc. (NASDAQ:ORLY) has a market capitalization of $64.31 billion.8. Target Corporation (NYSE:TGT)Market Capitalization: $79.19 BillionTarget Corporation (NYSE:TGT) is an American retail corporation. As one of the largest retailers in the US, it operates a chain of discount department stores and hypermarkets. With more than 1,900 stores in the US and a market capitalization of $79.19 billion as of March 8, 2024, Target Corporation (NYSE:TGT) ranks 8th on our list of the 20 biggest retail companies in the US.7. CVS Health Corporation (NYSE:CVS)Market Capitalization: $93.5 BillionCVS Health Corporation (NYSE:CVS) is an American healthcare company that provides healthcare and retail pharmacy services. It offers a variety of products and services through its brands including Aetna, CVS Caremark, and CVS Pharmacy. CVS Pharmacy is one of the largest retail pharmacy chains in the US. CVS Health Corporation (NYSE:CVS) has a market capitalization of $93.5 billion as of March 8, 2024.6. The TJX Companies Inc. (NYSE:TJX)Market Capitalization: $109.13 BillionThe TJX Companies Inc. (NYSE:TJX) is an American multinational off-price department store corporation that offers deep discounts on selections of high quality, fashionable, brand name and designer merchandise. It is a major off-price retailer of apparel and home fashions in the US. The TJX Companies Inc. (NYSE:TJX) has more than 4,800 stores and the company has a presence in nine countries. With a market capitalization of $109.13 billion as of March 8, 2024, it ranks 6th on our list of the 20 biggest retail companies in the US.Click to continue reading and see 5 Biggest Retail Companies in the US.Suggested Articles:Top 20 Most Valuable Fintech Companies in the US25 Most Valuable Tech Companies Outside The US30 Largest Companies in the World by RevenueDisclosure: None. 20 Biggest Retail Companies in the US is published on Insider Monkey.

Insider Monkey

20 Biggest Retail Companies in the US

https://finance.yahoo.com/news/20-biggest-retail-companies-us-171425916.html

1b98d316-510b-3559-bc15-17f01fd77551

DOV

DOWNERS GROVE, Ill., Feb. 14, 2024 /PRNewswire/ -- Dover (NYSE: DOV) announced that its Chairman, President and Chief Executive Officer, Richard J. Tobin, will present at two industry conferences this month:(PRNewsfoto/Dover)The Barclays Industrial Select Conference in Miami Beach, FL on Wednesday, February 21, 2024, at 8:35 am ET; andThe Citi 2024 Global Industrial Tech and Mobility Conference in Miami Beach, FL on Thursday, February 22, 2024, at 8:00 am ET.Links to the live audio webcasts of the two presentations will be available on dovercorporation.com, and replays will be archived on the website for 90 days following the date of each respective appearance.About Dover:Dover is a diversified global manufacturer and solutions provider with annual revenue of over $8 billion. We deliver innovative equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services through five operating segments: Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions and Climate & Sustainability Technologies. Dover combines global scale with operational agility to lead the markets we serve. Recognized for our entrepreneurial approach for over 65 years, our team of over 25,000 employees takes an ownership mindset, collaborating with customers to redefine what's possible. Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under "DOV." Additional information is available at dovercorporation.com.Investor Contact:                                                Media Contact:                                 Jack Dickens                                                             Adrian SakowiczSenior Director – Investor Relations                           Vice President – Communications    (630) 743-2566                                                           (630) [email protected]                                         [email protected] original content to download multimedia:https://www.prnewswire.com/news-releases/dover-to-participate-in-upcoming-investor-conferences-302062255.htmlSOURCE Dover

PR Newswire

Dover to Participate in Upcoming Investor Conferences

https://finance.yahoo.com/news/dover-participate-upcoming-investor-conferences-211500677.html

9b3d4841-c7e1-3df0-bc0b-2b6e1e49f6d1

DOV

DOWNERS GROVE, Ill., Feb. 22, 2024 /PRNewswire/ -- Environmental Solutions Group (ESG), part of Dover (NYSE: DOV) and the leading integrated provider of refuse collection vehicles and equipment, digital fleet technology solutions, waste hauler software, and compaction and recycling solutions, today announced the expansion of its Connected Collections® suite with the introduction of Recycling and Waste Facility Contamination Detection technology through its company 3rd Eye®. This groundbreaking 3rd Eye SaaS product broadens ESG's digital offerings across the recycling, solid waste, and organics processing verticals, rounding out its comprehensive approach to automated solid waste and recycling management.(PRNewsfoto/Dover)"Solid waste haulers, transfer stations, Materials Recovery Facilities (MRFs), and organics processing centers are facing increasing pressure to divert traffic and waste from landfills," said Eric Monsen, Vice President of Sales and Marketing for ESG. "When targeted through traditional manual methods, this objective is highly complex and presents a formidable challenge, fraught with safety dangers, inefficiencies, and high costs. By leveraging our Connected Collections strategy, customers are able to directly confront these challenges with the detection and association of contaminants directly at their source. This not only enhances safety and efficiency, but also simplifies billing processes and supports sustainability efforts, while simultaneously improving the bottom line."3rd Eye solutions portfolio enables end-to-end contamination detection with systems installed on refuse collection vehicles, scale houses, balers, compactors, transfer stations, and waste and recycling processing centers. The vision of Connected Collections ties together the complete story to document when, where, who, and how a waste stream becomes contaminated.From Heil and Marathon® Equipment to 3rd Eye with Connected Collections, ESG is providing a complete picture of the issue to pass to Soft-Pak®. In addition, the connection with Scale-Pak® creates an improved billing process that utilizes information and media captured by Connected Collections' systems.Story continues"Soft-Pak clients who manage and run MRFs, Transfer Stations, and Landfills have expressed a significant need to better manage contamination at their facilities," said Brian Porter, President of Soft-Pak. "The 3rd Eye Recycling and Waste Facility Contamination technology will easily integrate with Scale-Pak, allowing scale operators and facility operations to have video and photo of inappropriate disposal material right in their user interface. The integration of this product into our Soft-Pak module addresses a gap for our customers and has been met with excitement by our user base. This technology will provide Scale-Pak operators with a comprehensive view of their waste stream and a significant return on investment that can be realized in just a few months."To learn more about ESG's products and offerings, please visit www.doveresg.com.About ESG:Environmental Solutions Group ("ESG") encompasses industry-leading brands, such as Heil, 3rd Eye, Soft-Pak, Parts Central, Marathon, Bayne, and The Curotto-Can to create a premier, fully integrated equipment group serving the solid waste and recycling industry. Through extensive voice-of-customer outreach, in-house engineering and manufacturing capabilities, a wide-reaching service network, and proven industry expertise, ESG is focused on solving customer problems through environmentally responsible products and providing world-class support. For more information about ESG, visit doveresg.com, the ESG Facebook page or follow ESG on Twitter.About Dover:Dover is a diversified global manufacturer and solutions provider with annual revenue of over $8 billion. We deliver innovative equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services through five operating segments: Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions and Climate & Sustainability Technologies. Dover combines global scale with operational agility to lead the markets we serve. Recognized for our entrepreneurial approach for over 65 years, our team of over 25,000 employees takes an ownership mindset, collaborating with customers to redefine what's possible. Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under "DOV." Additional information is available at dovercorporation.com.ESG Contact:Jessie Nichols(423) [email protected] Media Contact:Adrian Sakowicz, VP, Communications(630) [email protected] Investor Contact:Jack Dickens, Senior Director, Investor Relations(630) [email protected] original content to download multimedia:https://www.prnewswire.com/news-releases/environmental-solutions-group-announces-further-expansion-of-innovative-solid-waste--recycling-technology-solutions-302069128.htmlSOURCE Dover

PR Newswire

Environmental Solutions Group Announces Further Expansion of Innovative Solid Waste & Recycling Technology Solutions

https://finance.yahoo.com/news/environmental-solutions-group-announces-further-211500838.html

d1930375-c516-350b-8b89-0b8543083935

DOV

DOWNERS GROVE, Ill., Feb. 28, 2024 /PRNewswire/ -- Vehicle Service Group (VSG), part of Dover (NYSE: DOV) and one of the world's leading automotive equipment companies, announced the launch of the Portal Lift 17 Vario, a new suspended pit lift under the Rotary brand in the EMEA (Europe, the Middle East and Africa) region.(PRNewsfoto/Dover)The Portal Lift 17 Vario joins Rotary's Blitz Series and has been engineered for heavy-duty use, with a capacity of 17 tons. Developed with a long-standing and innovative lift technology, the Blitz Series pit lifts are recognized for high-quality safety features and ergonomic operating components.The Portal Lift 17 Vario elevates the Blitz Series by adding three new features that aim to make heavy-duty lift operations easier:Turn 3 into 1: a unique combination that enables you to pick up, lift and support any vehicle.Fully adaptable to any pit: measuring the pit becomes a minor matter thanks to the adjustable chassis.Ergonomic control: wired remote control of the lifting operations.For more information, please visit https://rotarylift.eu/product-category/lifts-en/pit-lifts-en/.About Rotary:As part of the Vehicle Service Group (VSG), one of the world's leading automotive equipment companies, Rotary has been providing car lifting solutions with innovative features since 1925. Rotary has then extended its portfolio with products for the areas of truck lifting, tire service and diagnostics, to be able to cover the entire range of workshop needs. Located in Bräunlingen (Germany), it's one of the leading brands in the VSG EMEA division. For more information, visit www.rotarylift.eu.About Vehicle Service Group:Part of Dover Corporation's Engineered Systems segment, VSG is a strong, diverse and dynamic global leader in the vehicle service industry. It comprises 8 major vehicle lifting, wheel service and collision repair brands: Rotary, Ravaglioli, Space, Chief, Forward, Direct-Lift, Revolution and Hanmecson. Headquartered in Downers Grove, Illinois, VSG has operations worldwide, including ISO9001-certified manufacturing centers in North America, Europe and Asia. Additional information is available at www.vsgdover.com.Story continuesAbout Dover:Dover is a diversified global manufacturer and solutions provider with annual revenue of over $8 billion. We deliver innovative equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services through five operating segments: Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions and Climate & Sustainability Technologies. Dover combines global scale with operational agility to lead the markets we serve. Recognized for our entrepreneurial approach for over 65 years, our team of over 25,000 employees takes an ownership mindset, collaborating with customers to redefine what's possible. Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under "DOV." Additional information is available at dovercorporation.com.Vehicle Service Group EMEA Contact:Wolf-Erik [email protected] Media Contact:Adrian Sakowicz, VP, Communications (630) 743-5039 [email protected] Investor Contact:Jack Dickens, Senior Director, Investor Relations(630) [email protected] original content to download multimedia:https://www.prnewswire.com/news-releases/vehicle-service-group-launches-new-pit-lift-model-302074326.htmlSOURCE Dover

PR Newswire

Vehicle Service Group Launches New Pit Lift Model

https://finance.yahoo.com/news/vehicle-group-launches-pit-lift-211500383.html

f221e6b9-dfdf-3523-b537-39e058257fc7

DOV

DOWNERS GROVE, Ill., March 6, 2024 /PRNewswire/ -- Dover Corporation (NYSE: DOV) announced that its Chairman, President and Chief Executive Officer, Richard J. Tobin, will speak at the 2024 J.P. Morgan Industrials Conference on Tuesday, March 12, 2024, at 8:30 am ET.(PRNewsfoto/Dover)A link to the live audio webcast of the presentation will be available on dovercorporation.com, and the replay will be archived on the website for 90 days.About Dover:Dover is a diversified global manufacturer and solutions provider with annual revenue of over $8 billion. We deliver innovative equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services through five operating segments: Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions and Climate & Sustainability Technologies. Dover combines global scale with operational agility to lead the markets we serve. Recognized for our entrepreneurial approach for over 65 years, our team of over 25,000 employees takes an ownership mindset, collaborating with customers to redefine what's possible. Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under "DOV." Additional information is available at dovercorporation.com.Investor Contact:Jack DickensSenior Director - Investor Relations(630) [email protected] Contact:Adrian SakowiczVice President – Communications(630) [email protected] original content to download multimedia:https://www.prnewswire.com/news-releases/dover-to-present-at-the-jp-morgan-industrials-conference-302081725.htmlSOURCE Dover

PR Newswire

Dover to Present at the J.P. Morgan Industrials Conference

https://finance.yahoo.com/news/dover-present-j-p-morgan-211500443.html

779c5948-cd61-3db7-935d-4ddbcac2a223

DOV

Today we're going to take a look at the well-established Dover Corporation (NYSE:DOV). The company's stock received a lot of attention from a substantial price increase on the NYSE over the last few months. The company is now trading at yearly-high levels following the recent surge in its share price. With many analysts covering the large-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price. But what if there is still an opportunity to buy? Let’s take a look at Dover’s outlook and value based on the most recent financial data to see if the opportunity still exists. See our latest analysis for Dover What's The Opportunity In Dover?Great news for investors – Dover is still trading at a fairly cheap price. According to our valuation, the intrinsic value for the stock is $241.64, but it is currently trading at US$171 on the share market, meaning that there is still an opportunity to buy now. Although, there may be another chance to buy again in the future. This is because Dover’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.What kind of growth will Dover generate?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. With profit expected to grow by 33% over the next couple of years, the future seems bright for Dover. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation.What This Means For YouAre you a shareholder? Since DOV is currently undervalued, it may be a great time to accumulate more of your holdings in the stock. With an optimistic outlook on the horizon, it seems like this growth has not yet been fully factored into the share price. However, there are also other factors such as capital structure to consider, which could explain the current undervaluation.Story continuesAre you a potential investor? If you’ve been keeping an eye on DOV for a while, now might be the time to make a leap. Its buoyant future outlook isn’t fully reflected in the current share price yet, which means it’s not too late to buy DOV. But before you make any investment decisions, consider other factors such as the strength of its balance sheet, in order to make a well-informed investment decision.So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. Case in point: We've spotted 2 warning signs for Dover you should be aware of.If you are no longer interested in Dover, 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.

Is It Too Late To Consider Buying Dover Corporation (NYSE:DOV)?

https://finance.yahoo.com/news/too-consider-buying-dover-corporation-141256492.html

2760ef45-1f41-3abc-ada5-a9b0f864e43e

DOW

Ignoring the stock price of a company, what are the underlying trends that tell us a business is past the growth phase? Businesses in decline often have two underlying trends, firstly, a declining return on capital employed (ROCE) and a declining base of capital employed. Basically the company is earning less on its investments and it is also reducing its total assets. So after we looked into Dow (NYSE:DOW), the trends above didn't look too great.What Is Return On Capital Employed (ROCE)?Just to clarify if you're unsure, ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. The formula for this calculation on Dow is:Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)0.055 = US$2.6b ÷ (US$58b - US$10.0b) (Based on the trailing twelve months to December 2023).So, Dow has an ROCE of 5.5%. Ultimately, that's a low return and it under-performs the Chemicals industry average of 10%. Check out our latest analysis for Dow roceAbove you can see how the current ROCE for Dow compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like to see what analysts are forecasting going forward, you should check out our free analyst report for Dow .What Does the ROCE Trend For Dow Tell Us?We are a bit anxious about the trends of ROCE at Dow. Unfortunately, returns have declined substantially over the last five years to the 5.5% we see today. On top of that, the business is utilizing 30% less capital within its operations. The fact that both are shrinking is an indication that the business is going through some tough times. If these underlying trends continue, we wouldn't be too optimistic going forward.Our Take On Dow's ROCEIn short, lower returns and decreasing amounts capital employed in the business doesn't fill us with confidence. Investors must expect better things on the horizon though because the stock has risen 4.9% in the last three years. Either way, we aren't huge fans of the current trends and so with that we think you might find better investments elsewhere.Story continuesOn a separate note, we've found 4 warning signs for Dow you'll probably want to know about.While Dow isn't earning the highest return, check out this free list of companies that are earning high returns on equity with solid balance sheets.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's Concerning About Dow's (NYSE:DOW) Returns On Capital

https://finance.yahoo.com/news/heres-whats-concerning-dows-nyse-140015788.html

724ec012-beed-3595-a6d9-c8a589112f52

DOW

MIDLAND, MI / ACCESSWIRE / February 26, 2024 / Dow (NYSE:DOW) has won six BIG Innovation Awards from the Business Intelligence Group™ in 2024, the most BIG awards Dow has ever received in a single year. This accomplishment also marks the eighth successive year that Dow has received recognition at the BIG Innovation Awards.This annual business awards program recognizes organizations, products, and people that are bringing new ideas to life in innovative ways. Nominations are judged by a select group of business leaders and executives who volunteer their time and expertise to score submissions."Team Dow's deep rigor in engineering and science consistently deliver creative solutions to global challenges that simultaneously deliver better product performance and sustainability," said A.N. Sreeram, chief technology officer and senior vice president, research & development, for Dow. "We are extremely proud to achieve this recognition for the eighth consecutive year and secure the highest number of accolades in a single BIG Innovation Awards program."Organizations from across the globe submit their recent innovations for consideration in the BIG Innovation Awards. Dow products were recognized in the chemical and manufacturing sub-categories.Learn more about Dow's 2024 award-winning products:EcoSense™ 2470 Surfactant:EcoSense™ 2470 Surfactant offers detergent manufacturers the opportunity to be part of tomorrow's sustainability ecosystem. Recycled carbon materials combine high performance with cutting-edge climate tech to deliver quality and environmental benefits today to multiple home care products such as laundry detergents and hard surface cleaners. Adopters will benefit from a drop-in solution that doesn't compromise on the performance of traditional fossil-based surfactants, enabling a new circular carbon economy. Home Care products can now leverage a novel carbon capture-based approach for surfactant production.Story continuesSYL-OFF™ 7920NF Emulsion Coating:SYL-OFF™ 7920NF Emulsion Coating is an advanced solution for superior release against pressure-sensitive adhesives. With water-repellency, toughness, and durability, this coating offers non-migratory, non-blocking features and excellent shear stability. Users can experience unmatched low foaming potential and an extended bath life in product applications with SYL-OFF™ 7920NF Emulsion Coating.ELECPURE™ Electronic Grade Solvents:In the realm of electronic device manufacturing, ultrapure chemicals like ELECPURE™ Electronic Grade Solvents play a pivotal role in ensuring the cleanliness and efficiency of electronic materials. Developed with an innovative and energy-efficient purification process, ELECPURE™ Electronic Grade Solvents remove >30 metal ion types to parts per trillion levels. Dow's purification process consumes 90% less energy than the conventional way, reducing carbon footprint1. The impact is evident: enhanced manufacturing efficiency, increased device lifespan, and overall superior performance. This proven breakthrough is reshaping the landscape of electronics. Dow's innovative ELECPURE™ Electronic Grade Solvents can be used in photoresists, color resists, thinners and photoresist removers for semiconductor, display panel and various other challenging applications across the industry's manufacturing processes. ELECPURE™ Electronic Grade Solvents improve yields, device performance and enable next gen devices. These materials align with Dow's sustainability goals and have garnered recognition for their excellence.(1 Internal carbon footprint calculation based on ISO 14067.)DOWSIL™ 2080 Resin:DOWSIL™ 2080 Resin is a solventless liquid silicone resin that chemically reacts with organic resins to create silicone-organic copolymers. Its unique structure and low self-condensation tendency make it suitable for solventless processes, resulting in solid silicone-organic copolymers. These copolymers serve as high-quality binders for heat-resistant powder coatings, offering improved appearance. Unlike traditional coatings, which blend flake silicone resin and solid organic resin, DOWSIL™ 2080 Resin overcomes incompatibility issues. When used as a binder, it produces a high-quality coating with excellent leveling, gloss, and maintains heat-resistant performance.RHOBARR™ 135 Barrier Coating:RHOBARR™ 135 Barrier Coating is a waterborne latex designed for paper and paperboard coatings in food packaging applications. This versatile emulsion is compatible with existing aqueous coating or printing methods and suitable for use in high-temperature applications such as ovens and microwaves. RHOBARR™ 135 provides excellent barriers to hot oil, grease, and fatty acids, block resistance, and film flexibility to maintain performance after folding. RHOBARR™ 135 is produced without intentional addition of fluorocarbons and provides users with a certified repulpable and recyclable solution to address market needs for safer and more sustainable oil and grease resistant food packaging.DOWSIL™ TC-6032 Thermally Conductive Encapsulant:DOWSIL™ TC-6032 Thermally Conductive Encapsulant, a two-part product with a 1 to 1 ratio, stands out as a versatile and flowable solution designed for efficient heat dissipation in electronic and electric components. Its flowable nature allows it to effortlessly fill and self-level after dispensing. Composed of a thermally conductive filler and polydimethylsiloxane, this heat-curable encapsulant is ideal for various applications, including on-board chargers, inverters, converters, transformers, and other sensitive components requiring effective thermal management.The Business Intelligence Group was founded with the mission to recognize true talent and superior performance in the business world. The organization's proprietary and unique scoring system selectively measures performance across multiple business domains and then rewards those companies whose achievements stand above those of their peers."Humanity relies on innovation to improve our lives and the planet," said Maria Jimenez, chief nominations officer, Business Intelligence Group. "We are so proud to reward the products, people and companies helping to improve the lives of so many people."Visit Dow's website for additional information and to explore the Company's 2022 Intersections Progress Report.About DowDow (NYSE:DOW) combines global breadth; asset integration and scale; focused innovation and materials science expertise; leading business positions; and environmental, social and governance leadership to achieve profitable growth and help deliver a sustainable future. The Company's ambition is to become the most innovative, customer centric, inclusive and sustainable materials science company in the world. Dow's portfolio of plastics, industrial intermediates, coatings and silicones businesses delivers a broad range of differentiated, science-based products and solutions for its customers in high-growth market segments, such as packaging, infrastructure, mobility and consumer applications. Dow operates manufacturing sites in 31 countries and employs approximately 37,800 people. Dow delivered sales of approximately $57 billion in 2022. References to Dow or the Company mean Dow Inc. and its subsidiaries. For more information, please visit www.dow.com or follow @DowNewsroom on Twitter.For further information, please contact:Mary [email protected] [email protected] additional multimedia and more ESG storytelling from DOW on 3blmedia.com.Contact Info:Spokesperson: DOWWebsite: https://www.3blmedia.com/profiles/dow Email: [email protected]: DOWView the original press release on accesswire.com

ACCESSWIRE

Six Dow Products Win 2024 BIG Innovation Awards

https://finance.yahoo.com/news/six-dow-products-win-2024-183000037.html

5156a98e-c328-3118-aa33-7a8b0b69d7bd

DOW

MIDLAND, Mich., March 11, 2024 /PRNewswire/ -- Jim Fitterling, chair and chief executive officer of Dow Inc. (NYSE: DOW), will participate in a fireside chat during the 2024 JP Morgan Industrials Conference on Thursday, March 14 at 9:15 a.m. ET.www.dow.com (PRNewsfoto/The Dow Chemical Company)Dow invites investors to join the live webcast through its website. A replay and transcript will also be available following the event.About DowDow (NYSE: DOW) is one of the world's leading materials science companies, serving customers in high-growth markets such as packaging, infrastructure, mobility and consumer applications. Our global breadth, asset integration and scale, focused innovation, leading business positions and commitment to sustainability enable us to achieve profitable growth and help deliver a sustainable future. We operate manufacturing sites in 31 countries and employ approximately 35,900 people. Dow delivered sales of approximately $45 billion in 2023. References to Dow or the Company mean Dow Inc. and its subsidiaries. Learn more about us and our ambition to be the most innovative, customer-centric, inclusive and sustainable materials science company in the world by visiting www.dow.com.For further information, please contact:Investors:Pankaj [email protected]+1 989-638-5265 Media:Sarah [email protected] +1 989-638-6871Twitter: https://twitter.com/DowNewsroom Facebook: https://www.facebook.com/dow/ LinkedIn: http://www.linkedin.com/company/dow-chemical Instagram: http://instagram.com/dow_officialCisionView original content to download multimedia:https://www.prnewswire.com/news-releases/dow-to-participate-in-the-2024-jp-morgan-industrials-conference-302085296.htmlSOURCE The Dow Chemical Company

PR Newswire

Dow to participate in the 2024 JP Morgan Industrials Conference

https://finance.yahoo.com/news/dow-participate-2024-jp-morgan-130000322.html

573ee84b-8efe-34a2-baa5-38686d6c1975

DOW

Earned the 35th overall position in 2024 and the top spot for Customers in the Chemicals sectorMIDLAND, MI / ACCESSWIRE / March 11, 2024 / Dow (NYSE:DOW) recently announced that for the fifth year it has been named to the JUST 100 list by JUST Capital and CNBC - placing 35th overall, up 20 spots in the ranking from last year, and securing the top spot for Customers in the Chemicals sector. This year marks the Company's first time ranking in the top 50."Being recognized as a JUST 100 company is a testament to the values and principles that drive Dow," said Jim Fitterling, Dow chair and CEO. "We are committed to creating a more equitable, sustainable and inclusive future, and this recognition indicates our intentional work is making a positive impact on our team, our communities and our stakeholders."JUST Capital is an independent nonprofit that demonstrates how just business - defined by the priorities of the public - is better business. The Rankings of America's Most JUST Companies are the only measure of how the nation's largest corporations are performing on the business issues that matter most to Americans. The issues - which include 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, minimizing pollution and more - are defined annually by an extensive nationwide polling process done on a fully representative basis. The top 100 companies - the JUST 100 - are determined by scoring performance across the full range of criteria and comparing companies head-to-head.For the annual Rankings, JUST Capital collects and analyzes corporate data to evaluate the 1,000 largest public U.S. companies across 20 issues identified through comprehensive, ongoing public opinion research on Americans' attitudes toward responsible corporate behavior. JUST Capital has engaged more than 170,000 participants, on a fully representative basis, since 2015.Story continues"American capitalism has to work for more Americans. For this to happen, the private sector, and especially big corporations, must take the lead in creating value for all their stakeholders," said JUST Capital CEO Martin Whittaker. "That's exactly what the JUST 100 are doing. They show that just business is better business."CNBC will delve into the data, highlighting company-specific results and showcasing key stakeholder performance stories about this year's JUST 100 leaders across the network's broadcast and digital platforms at cnbc.com/just100. An exploration of the JUST 100 companies can be found at justcapital.com/rankings.This is one of several recent recognitions that highlight Dow's progress toward its ambition to be the most innovative, customer-centric, inclusive and sustainable materials science company in the world. In December, Dow earned a top score in LGBTQ+ equality in Human Rights Campaign Foundation's Corporate Equality Index and achieved its 23rd year on the Dow Jones Sustainability World Index. The recognition also follows Dow's placement on Great Place To Work and FORTUNE's World's Best Workplaces list for 2023.About DowDow (NYSE:DOW) is one of the world's leading materials science companies, serving customers in high-growth markets such as packaging, infrastructure, mobility and consumer applications. Our global breadth, asset integration and scale, focused innovation, leading business positions and commitment to sustainability enable us to achieve profitable growth and help deliver a sustainable future. We operate manufacturing sites in 31 countries and employ approximately 35,900 people. Dow delivered sales of approximately $45 billion in 2023. References to Dow or the Company mean Dow Inc. and its subsidiaries. Learn more about us and our ambition to be the most innovative, customer-centric, inclusive and sustainable materials science company in the world by visiting www.dow.com.###For further information, please contact:Mary Fournier 989-636-7475 [email protected] additional multimedia and more ESG storytelling from DOW on 3blmedia.com.Contact Info:Spokesperson: DOWWebsite: https://www.3blmedia.com/profiles/dow Email: [email protected]: DOWView the original press release on accesswire.com

ACCESSWIRE

Dow Earns a Top 50 Position as One of America's Most JUST Companies

https://finance.yahoo.com/news/dow-earns-top-50-position-181500013.html

711e1551-43bf-39a5-a901-9d11b0302cfb

DPZ

Domino's Pizza (DPZ) stock is up after the pizza giant reported better-than-expected fourth-quarter earnings results. BTIG Managing Director and Restaurant Analyst Peter Saleh joins Yahoo Finance Live to discuss his 2024 outlook for the company.Saleh says Domino’s had a “good quarter,” beating bottom-line estimates and same-store sales expectations. He notes that "carry-out and delivery transactions" have both performed well, “driving positive transaction growth.” This growth even accelerated before their Uber Eats (UBER) partnership, which Saleh believes offers “more to come” in 2024 as it's untapped potential.However, he points to overseas headwinds in terms of a global economic slowdown, making it “hard to tell” how long it will impact growth. Saleh notes geopolitical tensions like war have fueled “negative sentiment for Western brands,” directly affecting Domino’s overseas expansion.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 TranscriptSEANA SMITH: Domino's shares moving to the upside. Look at that, a jump of just about 8% after reporting a 2.8% jump in US same store sales from a year ago boosted by its partnership with Uber Eats. Now, the pizza chain is also doubling down on its loyalty program after grappling with the slowdown in sales at the beginning of last year.For more on these results, we want to bring in Peter Saleh. He's BTIG's managing director and restaurant analyst. It's great to have you here. So let's talk about the strong report here, at least at what it looks like from Domino's. You've got shares hovering right around that two-year high. What do you think these results tell us about some of the momentum that we're seeing play out in Domino's business?PETER SALEH: Great. So thanks for having me on. Yeah, look, I think it was a good quarter. The important points to note here is they beat on same store sales. They beat on the bottom line. The same store sales are being driven by growth in transactions in both carryout and delivery, so both of their biggest segments both driving positive transaction growth.Story continuesAnd this is before-- really before the impact of the Uber Eats partnership, which really kicked into gear in the new year in 2024. So you're seeing already an acceleration of same store sales and traffic and beats on the bottom line before you're getting any benefit from Uber Eats. So I think there's a lot more to come in 2024 as they leverage the Uber Eats partnership.BRAD SMITH: What does it say about the tech dominance that Domino's has really put forward not just to investors but to some of those core customers for the better part of a decade plus now, and the investments that they still need to make sure that they continue to maintain that particular title, if you will?PETER SALEH: Yeah, no, they continue to make investments on the digital side as all restaurants are doing going forward. I think Domino's digital mix right now is between 80% and 85%. That's best in class. You gather not only are you growing sales with more digital sales because that's how the customer wants to order.But you're gathering a lot of information around the customer, which really informs your advertising strategy, your menu strategy. So it is a very important piece of their business. But, like you said, they continue to invest. They'll continue to invest in '24 and '25 and many years beyond as they grow that digital mix and trying to get it to 100%.SEANA SMITH: Peter, a bit of the slowdown that we're seeing in the overseas business, obviously, very similar to some of the rivals, some of their competitors out there. How big of a headwind do you see that remaining as you look ahead to the rest of 2024?PETER SALEH: Yeah, that's hard to tell right now how big and how long that headwind is going to last. I mean, they called out France as one of the issues over in Europe and, obviously, the Middle East. I think they're both related. There's some negative sentiment going on for Western brands in countries like France right now.We'll see when that turns around. I think, obviously, the war has a lot to do with it. Really don't know when that's going to turn. I think the story right now for Domino's is really more around the US business and the growth that they're seeing there as that's been challenging for the past several years.

Yahoo Finance Video

Domino's growth has 'more to come' amid Uber Eats deal

https://finance.yahoo.com/video/dominos-growth-more-come-amid-163826364.html

6e247fe0-b72a-3d64-a119-5fe1f16cd041

DPZ

Domino's Pizza Inc's robust franchise model and technological innovation drive its global market leadership.Operational excellence and product innovation are key strengths, while competition and market risks pose significant threats.Opportunities for growth through strategic partnerships and market expansion are countered by potential challenges in labor costs and regulatory compliance.Warning! GuruFocus has detected 10 Warning Signs with AEP.On February 26, 2024, Domino's Pizza Inc (NYSE:DPZ) filed its 10-K report, revealing a comprehensive overview of its financial health and strategic positioning. As the world's largest pizza company, Domino's boasts a formidable presence with over 20,500 locations across more than 90 markets. The company's revenue streams are diversified, including royalties and fees from franchisees, sales from company-owned stores, and supply chain operations. In 2022, Domino's generated a staggering $17.7 billion in system sales, cementing its status as a dominant force in the global pizza market. This SWOT analysis delves into the intricacies of Domino's business model, competitive landscape, and future prospects, providing investors with a nuanced understanding of the company's potential.Decoding Domino's Pizza Inc (DPZ): A Strategic SWOT InsightStrengthsGlobal Brand Recognition and Franchise Model: Domino's Pizza Inc (NYSE:DPZ) stands out with its highly recognized global brand and successful franchise model. Approximately 99% of its stores are independently owned and operated by franchisees, benefiting from the brand's strength with minimal capital investment from the company. This model has yielded strong returns for franchise owners and consistent cash flows for the company through franchise royalty payments and supply chain revenue streams. Domino's also prides itself on its commitment to value, convenience, and quality, which has kept consumers engaged with the brand for over 60 years.Technological Innovation: Technological innovation is a cornerstone of Domino's success, with over 85% of U.S. retail sales in 2023 coming from digital channels. The company's proprietary point-of-sale system, Domino's PULSE, and the introduction of DOM OS optimize store operations and order flow. Strategic partnerships, like the one with Uber Technologies, and the launch of new technologies such as Pinpoint Delivery, underscore Domino's commitment to maintaining its competitive edge through technological advancements.Story continuesProduct Innovation and Supply Chain Efficiency: Domino's continuous product innovation, including its core hand-tossed pizza recipe and localized offerings like the Pizza Rice Bowl in Japan, drives customer reorder rates and sales growth. The company's internal dough manufacturing and supply chain system not only generate significant revenues but also enhance product quality and consistency, contributing to strong store-level economics and making Domino's an attractive opportunity for franchisees.WeaknessesLabor Costs and Regulatory Compliance: As a major employer in the food service industry, Domino's Pizza Inc (NYSE:DPZ) faces challenges related to labor costs and regulatory compliance. The company's labor costs are significantly influenced by minimum wage requirements, and increases in the minimum wage could lead to higher operating expenses. Additionally, maintaining compliance with various federal, state, and local regulations requires ongoing investment and can impact store operations and profitability.Dependence on U.S. Market: Despite its global presence, Domino's financial performance is still heavily reliant on the U.S. market. This dependence could expose the company to risks associated with economic downturns, shifts in consumer preferences, and intense competition within the U.S. QSR pizza category, which may impact overall growth and profitability.Market Risks: Domino's is subject to market risks, including fluctuations in food and commodity prices, which can lead to volatility in food costs. While the company has not historically entered into financial instruments to manage this risk, severe increases in commodity prices could adversely affect the business, financial condition, or results of operations.OpportunitiesMarket Expansion and Fortressing Strategy: Domino's Pizza Inc (NYSE:DPZ) has opportunities to grow its global store count, particularly through its fortressing strategy, which aims to improve service by adding locations closer to customers. This approach can lead to increased market penetration and customer loyalty, driving sales and profits in both existing and new markets.Strategic Partnerships and Digital Sales Channels: The company's recent agreement with Uber Technologies to integrate Domino's products into the Uber Eats and Postmates apps opens up new sales channels and customer acquisition opportunities. Continued emphasis on digital innovation and customer convenience can further enhance Domino's market position and sales growth.Corporate Stewardship and Community Engagement: Domino's commitment to corporate stewardship, including environmental initiatives and community support, can strengthen its brand reputation and customer loyalty. The company's efforts, such as the $100 million campaign for Domino's Village at St. Jude, demonstrate a dedication to social responsibility that resonates with consumers and can differentiate the brand in a competitive market.ThreatsIntense Competition: The QSR pizza category and the broader food service and delivery markets are highly competitive. Domino's faces competition from national chains, regional and independent companies, and order and delivery aggregators. This intense competition could pressure the company to innovate and invest continuously to maintain its market share and profitability.Changes in Consumer Preferences: Shifts in consumer tastes and economic conditions can impact the food service industry. Domino's must adapt to these changes to retain its customer base, which may require additional investment in product development and marketing strategies.Privacy and Data Protection Risks: As a company with a significant digital footprint, Domino's is subject to privacy and data protection laws and regulations. Any changes in these laws or a data breach could affect the company's operations and reputation, leading to potential financial and legal consequences.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.

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Decoding Domino's Pizza Inc (DPZ): A Strategic SWOT Insight

https://finance.yahoo.com/news/decoding-dominos-pizza-inc-dpz-050756422.html

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DPZ

ParticipantsGreg LemenchickRussell J. Weiner; CEO & Director; Domino's Pizza, Inc.Sandeep Reddy; Executive VP & CFO; Domino's Pizza, Inc.Andrew Michael Charles; MD & Senior Research Analyst; TD Cowen, Research DivisionBrian Hugh Mullan; Director & Senior Research Analyst; Piper Sandler & Co., Research DivisionBrian James Harbour; Research Associate; Morgan Stanley, Research DivisionBrian John Bittner; MD & Senior Analyst; Oppenheimer & Co. Inc., Research DivisionChristopher Emilio Carril; Analyst; RBC Capital Markets, Research DivisionChristopher Thomas O'Cull; MD & Senior Analyst; Stifel, Nicolaus & Company, Incorporated, Research DivisionDanilo Gargiulo; Senior Research Analyst; Sanford C. Bernstein & Co., LLC., Research DivisionDavid E. Tarantino; Director of Research & Senior Research Analyst; Robert W. Baird & Co. Incorporated, Research DivisionDavid Sterling Palmer; Senior MD & Fundamental Research Analyst; Evercore ISI Institutional Equities, Research DivisionDennis Geiger; Director and Equity Research Analyst of Restaurants; UBS Investment Bank, Research DivisionGregory Ryan Francfort; Director & Equity Research Analyst; Guggenheim Securities, LLC, Research DivisionJeffrey Andrew Bernstein; Director & Senior Equity Research Analyst; Barclays Bank PLC, Research DivisionJohn William Ivankoe; Senior Restaurant Analyst; JPMorgan Chase & Co, Research DivisionJon Michael Tower; Director; Citigroup Inc., Research DivisionLauren Danielle Silberman; Research Analyst; Deutsche Bank AG, Research DivisionPeter Mokhlis Saleh; MD & Senior Restaurant Analyst; BTIG, LLC, Research DivisionSara Harkavy Senatore; MD in Global Equity Research & Senior Analyst; BofA Securities, Research DivisionUnidentified AnalystPresentationOperatorThank you for standing by, and welcome to Domino's Pizza's Fourth Quarter 2023 Earnings Conference Call. (Operator Instructions) As a reminder, today's program is being recorded. And now I'd like to introduce your host for today's program, Greg Lemenchick, Vice President, Investor Relations. Please go ahead, sir.Story continuesGreg LemenchickGood morning, everyone. Thank you for joining us today for our fourth quarter conference call. Today's call will begin with our Chief Executive Officer, Russell Weiner; followed by our Chief Financial Officer, Sandeep Reddy. The call will conclude with a Q&A session. The forward-looking statements in this morning's earnings release and 10-K both of which are available on our IR website, also apply to our comments on the call today. Actual results or trends could differ materially from our forecast. For more information, please refer to the risk factors discussed in our filings with the SEC. In addition, please refer to the 8-K earnings release to find disclosures and reconciliations of non-GAAP financial measures that may be referenced on today's call. This morning's conference call is being webcast and is also being recorded for replay via our website. We want to do our best this morning to accommodate as many of your questions as time permits. As such, we encourage you to ask one question only. With that, I'd like to turn the call over to Russell.Russell J. WeinerThanks, Greg. I thought you were going to sing the opening as we discussed, but I guess we'll let that path today. Welcome to your first call here on Domino's, and good morning to everyone joining us. Our strong Q4 demonstrated that our hungry for more strategy is already delivering results. Our positive U.S. same-store sales and transaction growth in both delivery and carryout underscore the strength and momentum that we're building in our business. These results and the initiatives that I'll cover today give me confidence in Domino's ability to continue to drive meaningful value for shareholders. We're excited to share an update on the business through the lens of our Hungary for MORE strategy. Now as a reminder, Hungry for MORE is our new strategy around what we're going to do to deliver over the course of the next 5 years, more sales, more stores and more profits. We're going to accomplish this through our 4 more pillars, M-O-R-E, that I'll share a brief update on. Let's start with M. M is for the Most Delicious Food. And we know we have the most delicious food in the industry, but you know what, it's time to talk about it more. It's time to show it more, and we're already doing that. We're currently on air with pan pizza advertising for the first time since 2014. We call Pan Pizza, our best kept secret. It's time to change that. Pan Pizza is a delicious product made with fresh never frozen dough. It also showcases the variety of crust we have to offer. You're probably also noticing a shift in our advertising as we're beginning to romance the product or to showcase the deliciousness of our food you can expect this to continue throughout the year. The O in Hungry for MORE stands for Operational Excellence, and this is how we're going to deliver on our promise to have the most delicious food. By consistently driving a great experience with our products. As we've noted before, we made meaningful strides operationally in 2023 with our Summer of Service program, which has resulted in service times being back to pre-COVID levels. But we're never satisfied, and we want to continue to get better, our operators and our franchisees, we are Hungry for MORE.In 2024, we're rolling out a new service program. We're calling that More Delicious Operations. This program will be a series of 3 product training sprints focused on our dough, how we build and make our products and how we cook them. All of this is being done with a keen focus on driving more consistency in our food by providing the proper teaching, tools and processes for our team members to succeed. Our third pillar is R for Renowned Value. We've always been known as a premier value player, and we believe this can continue to be a differentiator for us in '24, through our improved loyalty program, our national promotions, and our rollout on Uber. Domino's Rewards is off to a great start and was a key driver of our strong comp performance in the fourth quarter, when we saw positive sales and transactions in both our U.S. delivery and carryout businesses. We've also seen the following: an uptick in active members. We are up 3 million active members in 2023 with 2 million-plus since our relaunch in September. Domino's Rewards ended the year with approximately 33 million active members. A big driver of the increase in active members as well as the early success of the program was our Emergency Pizza Promotion, which was an innovative marketing initiative that drove increased order counts and acquisition of customers into Domino's Rewards. We're seeing more redemptions than ever before, and we're seeing them at those lower tiers that we implemented. And we know that this program has driven incremental profit dollars for our franchisees. So customers are getting more and franchisees have earned more profits. Truly a win-win. Finally, we're seeing more care users and light users in the program than we were prior to the relaunch. So Domino's Rewards is working as we intended. National promotions will be another way that will drive renowned value in '24. And right now, we're on air with our perfect combo promotion. We believe this is the best deal in the QSR industry to feed the family, and it highlights the depth we have in our menu. We also brought back our carryout special boost week in January for the first time since January 2020. And this performance exceeded my expectations. Clearly, customers want value, and we are driving it profitably for our franchisees. While providing value through our own channels is one part of our Barbell strategy, tapping into the aggregator marketplace is the other. We're very excited about this new sales layer, which we believe is a different and largely incremental customer that we had not been able to reach in the past. Our entrance into this marketplace with Uber is on track as we are now fully rolled out across our U.S. system. We've gone live with the marketing and formally kicked off our 1-year exclusivity period in Q1. Sales are building in line with increased marketing, which has been great to see and we expect those orders to continue to grow throughout the year. Sandeep will share more about our sales expectations in 2024 for Uber in his comments. Now everything we do at Domino's is enhanced by our best-in-class franchisees, the E in our Hungry for MORE strategy. In 2023, we continue to enhance our U.S. franchisee base by adding more than 60 new franchisees to the system, the most in 15 years. Every one of these new franchisees started with Domino's either as a delivery driver or from within our system. This remains the secret sauce to our success. We ended 2023 slightly ahead of our expectations on U.S. store growth and profits, adding 168 net new stores and finishing the year with estimated average franchisee profitability per store of $162,000. This highlights the momentum we expect to continue into 2024. I couldn't be more excited about 2024 and beyond for Domino's Pizza. Our foundation has never been stronger and our vision has never been greater. We made a ton of progress in 2023 and our strong start to '24 gives me confidence in our ability to win with customers and drive return for Domino's franchisees and shareholders. Now with that, I'll turn things over to Sandeep.Sandeep ReddyThank you, Russell. And good morning, everyone. As a reminder, in the third quarter, we closed the remaining 143 stores in the Russia market. The 2023 global retail sales growth measures exclude the Russia market and are calculated as a growth in retail sales, excluding the retail sales from the Russian market from both 2023 retail sales and the 2022 retail sales pace. Now for our fourth quarter financial results. Excluding the impact of foreign currency, global retail sales grew 4.9% due to positive U.S. comps and global net store growth. U.S. retail sales increased 4.5% and international retail sales, excluding the impact of foreign currency, grew 5.2%. During Q4, same-store sales for the U.S. business saw an increase of 2.8%. As Russell noted earlier, our strong comps in the quarter were driven by both delivery and carryout as they were up 2% and 3.9%, respectively. For the year, delivery represented 48% of our transactions and 58% of our sales, while carryout represented 52% of our transactions and 42% of our sales. The weight of sales and transactions shifted slightly more to carryout in 2023. The increase in U.S. Q4 same-store sales was driven by transaction growth from our new loyalty program, inclusive of a benefit from Emergency Pizza, pricing of approximately 1% and a 0.4% sales mix from Uber. It will take us some time to determine just how much of that Uber mix is incremental. So more to come on that as we move through 2024 and into 2025. These tailwinds were partially offset by a slightly lower average ticket that was the result of higher carryout mix. Shifting to unit count. We added 92 net new stores in the U.S., bringing our U.S. system store count to 6854 stores at the end of the year. For the year, we added 168 net new stores, which was a strong increase over the 126 net stores we opened in 2022. U.S. company-owned store gross margin decreased 1.6 percentage points in the fourth quarter of 2023. Excluding the impact from higher insurance costs and an increase in our loyalty liability, due to the change in point structure following the relaunch of the Domino's Rewards program, margins would have expanded slightly. Domino's unit economics remained strong with continued EBITDA growth for our U.S. franchisees. We are expecting that our average franchisee profitability per store will come in at $162,000 in 2023, up $23,000 from the prior year. Shifting to international. Same-store sales, excluding foreign currency impact, increased 0.1%. The deceleration from the third quarter is being driven primarily by pressures in Europe and geopolitical tensions in the Middle East. Please note that the Middle East represents a relatively small portion of our profits at less than 3% of our operating income. Our international store count increased by 302 net stores in the fourth quarter. For the year, our net store growth in international was 702 units, excluding the Russia closures. In total for the year, we grew 870 net stores across the globe. Income from operations increased $8.4 million or 3.4% in the fourth quarter. Excluding the impact of the $21.2 million prior refranchising gain that we are lapping, income from operations would have been up approximately 13% in the fourth quarter and up approximately 10% for the full year. Now turning to our 2024 outlook, which remains in line with what we shared at Investor Day in December. Our guidance calls for the following in 2024. 7% or more of global retail sales growth excluding the impact of foreign currency. We are expecting our 2024 U.S. comp to be above the 3% long-term guide as a result of our expected outsized catalysts in Uber and loyalty. As we have communicated previously, we expect our sales with Uber to increase throughout the year as marketing and awareness increases, and we are expecting to exit the year with an overall sales mix of 3% or more. We expect sales with Uber to start ramping up after Q1, which will have only a partial tailwind from marketing. In the U.S., we are planning for a modest price increase in the low single digits. This is inclusive of California, where we're expecting to take pricing above that to offset the wage impacts from AB 1228. We expect our international comps to remain soft in the first half of the year, due to a continuation of the trends we saw in the fourth quarter but expect them to accelerate to our 3% or more long-term guidance to the back half of the year. Now shifting to net stores, where we are expecting 1,100 or more, which will be driven by 175 in the U.S. and 925 international. There was a meaningful uptick in our U.S. net store growth in the fourth quarter, which was slightly ahead of our expectations, and the pipeline continues to build. We are expecting net unit growth in the U.S. to be relatively flat to 2023 in the first half of the year and to accelerate slightly in the back half based on current visibility. Internationally, we are expecting to increase net store growth each quarter over the prior year as we lap the onetime closures we had in 2023 and to step up significantly in the back half of the year. As previously communicated, we are expecting slightly less than half of our growth to come from China and India. On profits, we are expecting an 8% or more year-over-year increase in operating income excluding the impact of foreign currency. We do not expect the impact of foreign currency to have a material impact in 2024 based on current FX rates. A few additional points of color on some of the profit components. We are expecting our food basket to be up 1% to 3%. This has been driven by continued moderation on cheese prices. From (inaudible) perspective, we expect the Q1 food basket to be deflationary as we lap the only quarter from 2023 when the basket increased, followed by moderate increases for the remainder of 2024. We are expecting our supply chain margins to be roughly flat for the year, barring any unforeseen shifts in the food baskets. We are expecting an increase in year-over-year supply chain margins in Q1, due to the expected negative food basket, followed by a slight moderation for the balance of the year. We expect supply chain margin dollars to grow in line with transaction growth throughout the year. We are estimating double (inaudible) rate inflation across the system, inclusive of California, will be in the mid-single digits, and this has been primarily driven by minimum wage increases. We are expecting our G&A as a percentage of retail sales to be approximately 2.4%, which is in line with 2023. We also wanted to provide an update on our technology fee for 2024. In Q2 2023, we increased this fee to $0.395 and temporarily lowered our advertising fund contribution percentage by 0.25% to 5.75% for a 12-month period. Starting at the beginning of Q2 2024 we are lowering the technology fee to $0.355 and increasing the ad fund back to 6%. As previously communicated, we are expecting operating income margins to be relatively flat compared to 2023. We do not expect to see cost leverage in 2024, due to investments we are making in consumer technology, store technology and supply chain capacity to support future sales growth in the U.S. We are expecting Q1 margin expansion, due to lower inflationary pressures as previously noted on our food basket. And we are expecting the Q2 margin rate to be down because of the timing of G&A spend, which will be partially driven by our Worldwide Rally, a gathering of our U.S. and international franchisees that takes place every 2 years. We expect margins in the back half of the year to be flat. As I conclude, I wanted to note that we announced a 25% increase in our dividend and increased our share repurchase authorization by $1 billion. All of this is being done in line with our capital deployment priorities. Thank you. We will now open the line for questions.Question and Answer SessionOperator(Operator Instructions) And our first question comes from the line of Brian Bittner from Oppenheimer.Brian John BittnerClearly, your underlying core business is showing very nice signs of improvement, positive traffic in both the carryout business and delivery business prior to any Uber benefits. And I understand improvements in the core business can continue moving forward, maybe even perhaps accelerate and they remain important. But now you are fully rolled out with Uber. And our conversations with the investment community suggests the expectations for Uber mix currently is still relatively low. Maybe that 1% to 1.5% range. And you talked about getting to 3% by the end of the year. So can you talk about how this improvement should unfold as the year unfolds? And maybe unpack the marketing that's getting turned on. How is that bolstering your expectations for where the Uber mix will go?Russell J. WeinerBrian, let me talk a little bit about what we're seeing as far as the cadence of the flow of orders from Uber. Sandeep talked about the 0.4 in Q4, and we're seeing a meaningful uptick in Q1, we just turned the marketing on and so it's essentially -- (inaudible) -- same with Uber. So essentially, what we expect to see as awareness grows, is that percent of sales grow, and we feel like we're still on line for the 3% exit rate that we spoke about.OperatorAnd our next question comes from the line of Lauren Silberman from Deutsche Bank.Lauren Danielle SilbermanI wanted to ask about value in January around the Weeklong Carryout promo, which I haven't seen before. Can you talk about the rationale behind that? Any commentary on how you saw that perform? And to the extent that you're willing to talk about January, just given a little bit of noise across the industry? And then more broadly, how you're thinking about value and any incremental value offers through '24.Russell J. WeinerLauren, when you think about our Hungry for MORE strategy, renowned value is a big piece of it. And the carryout special isn't something new. It's something we brought back. I think the last time we ran it was 2020. And frankly, that's going to be part of our portfolio moving forward as well as 50% off as well as our mix and match deal. Value is a key component not only price but value from a loyalty standpoint and value in the aggregator space. So yes, the Weeklong Carryout wasn't anything new, but what I will tell you, it performed extraordinarily well. I'm really happy with the way it went.OperatorOur next question comes from the lot. Gregory Francfort from Guggenheim.Gregory Ryan FrancfortJust looking at the unit growth this quarter. The domestic side, really strong pickup in terms of openings, international, maybe a little bit on the softer side. As you guys look out to next few year, can you maybe talk about your confidence in that accelerating on a global basis next year? And then maybe what that looks like from a domestic and international standpoint?Russell J. WeinerYes. We still feel really strongly about the guidance we gave, the 1,100-plus stores and 5,500 over the next 5 years. I mean you saw some really nice momentum at the end of the year in the U.S. in 2023. We expect to see more at the end of the year in 2024. Internationally, I think we've got a lot of closures behind us. That was probably one of the things that was driving down the number this year. But those closures really focused on 3 areas. Domino's Pizza Enterprises, and they talked about their number, Russia and Brazil. Those 3 were over 80% of our closures and no other market closed more than 5 stores. And so as we look forward, we feel really confident about openings. And I'm sure someone will ask a little bit later, but when you look at the profitability of our U.S. franchisees, you look at the fact that for the -- we had more new franchisees in 2023 than we have in the last 15 years. They're bullish about Domino's Pizza, and they're spending their money that way.Sandeep ReddyAnd Greg, I'm just going to add something in terms of the international store openings in particular. I think we provided some milestones to say that every quarter, we're expecting to actually grow against last year as we lap the closures and that significantly accelerate more in the back half of the year. So very confident in where we are with store openings international. And we've been talking to our master franchisees and have good visibility to our expectations there.OperatorAnd our next question comes from the line of Andrew Charles from TD Cowen.Andrew Michael CharlesRussell, within guidance for outsized U.S. '24 same-store sales, can you talk about your expectations for core traffic growth? Or what 2024 same-store sales will look like when you exclude the 3% mix for mover and the low single-digit pricing? What I'm trying to get at is that do you believe similar to 4Q that you can drive positive carryout and delivery transactions, excluding the impact of Uber?Russell J. WeinerYes. Andrew, absolutely. When I think about 2023, it was kind of a tale of 2 stories for us. The first part of the year was all about addressing the base and fixing things like delivery times and getting delivery times back to where they needed to be and getting franchisee profitability back where it needed to be. So that in Q4, we were able to really lean into the Hungry for MORE strategy. And you saw it all in action. Most delicious food with innovation. You saw a renowned value from a promotional standpoint with loyalty. And so all of those things are going to be able to continue throughout 2024 with this improved base that we've got. So yes, I expect both carryout and delivery orders to be positive.OperatorAnd our next question comes from the line of Dennis Geiger from UBS.Dennis GeigerAnd thanks for all of the color on the loyalty program. Wondering if you could just talk a little more about loyalty in the U.S. and sort of expectations for the program looking ahead. I think recently, you've kind of talked about that as being the biggest contributor to U.S. same-store sales growth this year. Curious if that expectation still holds.Russell J. WeinerYes, Dennis. The loyalty program was just off to -- it's off to a great start. I'll just repeat numbers that we had in the opening remarks because I just like them so much. We added 3 million folks last year, 2 million of them came with a new program. And so it's important to know because I'll talk about Emergency Pizza in a second and the effect on loyalty there. But the loyalty program out of the gate before even Emergency Pizza was doing exactly what we needed it to do, which was engage lower-frequency users, engage carryout users. Then we brought in this powerhouse of Emergency Pizza that continue to inflect those numbers. And we have ideas like that in the future that we'll be able to drive. There will be advantages and there are advantages to be in a Domino's Rewards customer. I'll give you a little bit more color about the users. It's doing exactly what we thought it would which is driving frequency, especially among the lower frequency customers. As I said before, also the carryout customers. And even though we have these lower tier levels, we're down to 2 purchases, now can get you a free item. Because of the food cost at these various tiers, it's actually positive for the franchisees. So really as I said, a win-win, a better program that's more engaging to customers and more profitable for our franchisees.OperatorOne moment for our next question. And our next question comes from the line of David Palmer from Evercore ISI.David Sterling PalmerI'm getting some feedback as I'm asking, so I'll try to get through this. Wanted to ask you about a couple of profit drivers for this upcoming year, that being company-owned stores and supply chain. And the company store line is probably the only area of the P&L that was slightly disappointing on the quarter. But for the year, it looked like the company stores' profitability was down maybe 10%. And your franchisees did a lot better than that. They were up double digits this last year. So any sort of call outs you would make in the quarter and for the year. And more importantly, how are you thinking about margins for company stores long term? They had been as high as 23.5% or so. Consensus for '24 is more like 18%. So I'm just wondering how you're thinking about company operated and then supply chain. Any comments there? Obviously, very strong on the supply chain in the fourth quarter. How you're thinking for '24.Sandeep ReddyThanks for the question, David. So I think on the company stores in the prepared remarks, I actually called out a couple of impacts in the fourth quarter that actually impacted our margins. One of them really was insurance costs. And the other one was the accrual because of the points that actually got generated with the new loyalty program. And I think when you take out those 2 impacts, our margins, that should be expanded. So the good thing about this is, I think the loyalty program has worked extremely well from a transaction perspective for company stores. And we expect this to be significantly driving profit dollars, and we expect to revert to margin expansion in 2024. And frankly, I think we expect to continue to build on our margins as we move forward even beyond 2024. And then I would go to the supply chain profit. We're really happy about our supply chain profitability that we generated in the fourth quarter. A big driver of supply chain profitability all year was the productivity improvements that we saw specifically driven by procurement and in food cost. And I think that was a big element of what we saw. As we pivot to 2024, the expectation on supply chain is it's going to be supply chain profit dollars because it's going to be driven by our transaction growth. And as Russell talked about earlier, we're expecting to see transaction growth before and after the impact of Uber. And all of that is going to fly through the supply chain P&L and expect that to actually drive significant profit dollar growth for the Supply Chain business.Russell J. WeinerYes, I'd just add those same transactions also add up to allow fees, online ordering fees as well, yes.OperatorOne moment for our next question. And our next question comes from the line of David Tarantino from Baird.David E. TarantinoVery nice to see the order counts in both delivery and carryout, but I wanted to ask specifically about the Emergency Pizza promotion and whether you could try to frame up how much of a lift that might have cause for the transaction growth. And I know there's a component about customer acquisition in there. So just wanting to sort of get a sense of how you're thinking about the trend coming out of that promotion, which ended, I think, recently?Russell J. WeinerDavid, I'll start. Maybe Sandeep, you can give some color to this one, too. Emergency Pizza was a resounding success. It really was. And when I look back and just, again, giving complements to our marketing team, this is your traditional buy one, get one free, that has been marketed in such a way that it really breakthroughs. We've done buy one, get one free before they've done nothing like this. And when I think about emergency pizza, what I like is not only what it did to order count, it also drove people into the loyalty program because you need to be a loyalty member in order to get your Emergency Pizza. I think last, we have a new thing in our arsenal now. Boost weeks have worked really well for us. We've got this Emergency Pizza piece now, and I expect this is ownable from our perspective. And so this is something we'll be able to use in the future as well. Sandeep, if you want to add some color?Sandeep ReddyYes. I think Russell is exactly right. And I think the thing about what's happening with Emergency Pizza, it's a brilliant marketing innovation from our marketing team. But I think the broader construct of it is thinking about Domino's Rewards against the loyalty program. And that essentially creates a key platform to our third pillar renowned value. So at the beginning of the quarter in the fourth quarter, we had Pepperoni Stuffed Cheesy Bread, which was a special offer that was actually being connected to the loyalty program. Then after that, we've got Emergency Pizza and there's a number of different promotions that we can continue to bring along on to Domino's Rewards. So the driver rather than looking at Emergency Pizza by itself, is really Domino's Rewards, and how much this can drive and transaction growth for us. This is a significant pillar of how we're going to drive transaction growth in 2024, both in delivery as well as carryout.Russell J. WeinerYes, that was a big learning from us for the first loyalty program we had. With Piece of the Pie Rewards we advertised on TV, "Hey, we have a rewards program." And what we learned over time is actually the best way to tell people the Ever Rewards Program is have a really compelling promotion, whether it's a new product or something like Emergency Pizza that the only way you can get it is if you sign up for the program. And once you sign up for the program, you're in this flywheel of frequency driving point levels that we've never had before. And so I think Emergency Pizza was a highlight. But as Sandeep talked about, that type of mechanism driving people into the loyalty flywheel is something we're going to continue to -- a play we'll continue to run.OperatorOne moment for our next question. And our next question comes from the line of John Ivankoe from JPMorgan. John, you might have your phone on mute.John William IvankoeApologize. Can you hear me now?OperatorYes.John William IvankoeOkay. Perfect. All right. You're on speaker, but all right, this will work. At first, in terms of the some of the slowdown that we saw the brand saw in Continental Europe. Were there any learning lessons that you could apply there, perhaps as Europe potentially being as a leading indicator to the U.S. of how you could get in front of an economic changes, that would actually allow the perform -- the brand to perform better in the U.S. than perhaps it has in Europe, at least in the last quarter is the first good question. And then secondly, obviously, there's no direct P&L impact in advertising allocation. But there is a direct P&L impact in terms of the online ordering fee. In terms of reducing that online ordering fee or cutting it, at least, marginally relative to what it was in '23. I mean what was the reasoning behind that? Was that really franchise driven? Obviously, the economics at the franchise level would suggest that they could bear that higher fee, but I just wanted to have a sense of why you felt that, that reduction was necessary to make?Russell J. WeinerJohn, I'll take the first question, maybe Sandeep will take the second one. Our European business is really strong, and we believe some of the pressures we're seeing there are generally transitory in nature. If you listen to the call from DPE, Domino's Pizza Enterprises, our master franchisee over several markets, but especially France. There have been some challenges there, and that's one of our larger markets in Europe. We're partnering closely with them right now on those challenges. What I'd point to for DPE in general, there are green shoots in a lot of the markets where they're really leaning in on. And so for example, Australia, New Zealand, the numbers there are fantastic. And one of the reasons why is they're leaning into the M, the Most Delicious Food part of Hungry for MORE. I mean I don't think anyone is doing it better than they are right now. They give a little insight into Japan into the first kind of 6, 7 weeks of the second half and how that seems to have turned a corner. Germany is positive. So we're working on France together, and that's certainly a business that needs to turn.Sandeep ReddyYes. And I'll just finish off on what Russell just said. And if you remember what I talked about in the prepared remarks, we expect to see pressure in the first half of the year on the international business. But exactly why we expect to see an improvement at the back half is because of all the more initiatives. Australia is one example. But taking those learnings and applying them across the international markets should enable us to offset any other headwinds that we have as we go into the back to our long-term guidance. And then specifically to your question on the advertising fund and the online fee. Now let's go back to about a year ago. And I think about a year ago, where we were was franchisee profitability was not in the best place. We had come off a big decline in franchisee profits in '22. And we saw an opportunity because of the buildup in the reserves of the ad fund to essentially take a 25 basis point 12-month hiatus from the advertising fund contributions. But we did want to continue investing in our technology solutions. And so we did take up the technology fee by $0.08. View that as a temporary increase and kind of an offset between the ad fund contribution and the technology fee. Now that we've actually come to the point where we think it needs -- it's time to restore the ad under 6%, we have actually adjusted the technology fee to $0.355. Another way to look at it is we actually went up from $0.315 to $0.355. And if you look back at our history, we've consistently increased our technology fee because we're making investments on technology for our franchisees, which drives the flywheel of their growth and eventually drives global retail sales and our royalty dollars as well. And so that is the rationale. I think where we are, all of this is included in the $170,000 or more in franchisee EBITDA that we're expecting for 2024, and we feel very good about it.OperatorOne moment for our next question. And our next question comes from the line of Chris O'Cull from Stifel.Christopher Thomas O'CullSandy, could you break down how much of the $23 million of the year-over-year supply chain profit dollar growth came from the productivity improvement versus the volume growth? And do you expect any productivity improvements to continue in that segment into '24?Sandeep ReddyThanks, Chris. Thanks for the question. a significant portion of the profit dollar growth that we saw in '23 came from the productivity improvement that we saw. It was pretty outsized. And I think it was it is probably a function of where the markets were, especially after the outsized inflationary period in 2022 that we were able to get such significant improvements in '23. And as we move forward in '24, this is definitely going to be a focus, but it's not going to be as outside as it was in '23. We do expect to get some benefits but I think we also have to make investments in capacity, like I talked about, both at Investor Day and earlier on the call today. So that's why I think as we look at '24, really expect profit dollar growth to be driven by transaction and productivity improvements that we can see, if anything should be an offset as some of the investments that we're making in the business.Russell J. WeinerBut the nice thing about what our supply chain team has done, the productivity we gained in 2023, it's not going back and so I would think about that as kind of accruing forward. So well done by Sandeep and NRG.OperatorAnd our next question comes from the line of Peter Saleh from BTIG.Peter Mokhlis SalehGreat. I want to come back to the loyalty conversation. Russell, I think you mentioned 2 million-plus new loyalty members since launch. And I think at the Investor Day in early December, you had mentioned there was about $1 million incremental. So just curious if you could comment, was there a meaningful acceleration in new loyalty members in December? Do you expect that trend to continue in '24? And then is there any way to parse out how many of those are coming or more carryout customers versus traditional delivery?Russell J. WeinerYes. Peter, there are -- I'd say a couple of meaningful moves in the loyalty program. First was just the launch of the loyalty program, right? We saw a meaningful increase, and that's what we talked about with you in December. And then building on top of that, we had some more momentum driven by Emergency Pizza. So I'd say Loyalty Program on its own did well is doing very well. We have added a little bit more gas on the fire with Emergency Pizza. And as we continue into Q1, now with Emergency pizza behind us, we're still very happy with the way that's growing. And we've got programs like Sandeep talked about earlier that we'll continue to drive that business. The other thing, and you talked about this, that I'm really happy with is the big objective here was to engage carryout customers and to engage light users. And we are absolutely doing that with the program. And we can see that even out of the gate so far.OperatorAnd our next question comes from the line of Sara Senatore from Bank of America.Sara Harkavy SenatoreI have a clarification and then a question. Just a clarification is Sandeep, you said company margins would have been up slightly, excluding insurance and loyalty liability. I guess given transaction growth and lower commodity costs and the shift to carryout, which I think is typically higher margin rate, I would have thought up more than slightly. So I guess as we think about that business, we should be focused now, I guess, increasingly on profit dollar growth as opposed to margin rate expansion sort of similar to how you think about supply chain? Or maybe my interpretation of up slightly is not quite right. And then the question is about the industry and the pizza segment. And so you often have better insights into the competitive dynamic than I do. Was any of this category improvement? Finally, I think back to maybe normalization in terms of sales mix, but anything you can say about what -- to what extent were share gains by Domino's versus finally seeing perhaps green shoots in the category?Sandeep ReddyThanks, Sara. So I'll take the first one and Russell will take the share question. So look, in terms of company margins, we specifically called out the impacts of those 2 and the margins expanding slightly outside of that. And I think it's been consistent. If you look at the first 3 quarters, our margins expanded. And I think in the fourth quarter, excluding the impact of those 2 items that we call out insurance and the loyalty liability, margins are expanded. So the great thing about the loyalty liability adjustment is it's because we expect to have incremental transactions or redemptions on the loyalty program. So you're right, look for profit dollar growth on the supply chain -- sorry, on the company stores. But I think we also do believe that there is an opportunity to expand margins, in addition to driving profit dollar growth as we leverage the fixed cost structure of the company stores. So look for both on company stores is my answer.Russell J. WeinerAnd on the state of the industry, I think and this is really even looking forward to 2024. A lot of what we expect is QSR there to be real pressure on orders and transactions. We don't expect that to be the case with Domino's, and I think will be unique in that area in 2024.OperatorAnd our next question comes from the line of Brian Harbour from Morgan Stanley.Brian James HarbourYes. I wanted to ask about just your international sales outlook as well. How much of this do you think is kind of market-specific execution issues? And I'm referring to just some of the countries that have been a little bit slower versus kind of macro pressures. And as you have that outlook for kind of improvement through the year, does that depend on some of those macro pressures easing, like, for example, if you think about India? Or can you maybe comment on some of the other markets that you didn't address before?Russell J. WeinerYes. Well, actually, maybe I'll start out talking about India because I was speaking over the weekend to Hari Bhartia, who's the Chairman of Jubilant. I mean that's a great example of both dynamics you talk about. And so obviously, they're pushing the business there. It's some headwinds. But what Hari talked about is what's going on in the rest of the industry and why he's bullish and while he's looking for the future. And while they're talking about 200 stores to grow in 2024 is because he's growing share. And so what I love about our franchisees is that they're future focused. And I think you see a lot of folks doing what they're doing in India. That's why we think the second half is going to return to that 3% that we talked about. Anything to add?Sandeep ReddyNo. I think Russell is exactly right. We think it's all tied back to the Hungry for MORE strategy is being applied across the entire system with the international markets. Learnings from markets like Australia being applied across DPE and essentially, all of the other markets as well have embraced Hungry for MORE, and that's really what we're looking to drive.OperatorAnd our next question comes from the line of Danilo Gargiulo from Bernstein. Your question, please.Danilo GargiuloI have a quick clarification and then a question. So the clarification is, Russell, you mentioned that you're expecting some real pressures in the industry, but not for Domino's. Can you clarify whether the increase in transactions that you've seen in the fourth quarter is across all the income cohorts? And then the question is, can you talk about the speed of delivery in the (inaudible) channel versus your own channel, understanding that you're using your own drivers anyway? And maybe how does the delivery timing compared versus your peers today?Russell J. WeinerOn the transactions piece, we believe that our transactions being positive is something that, like I said, is that is unique in the industry. We'll get more share information as that comes out, and we'll certainly share that with you. On speed of delivery, the biggest comparison -- the biggest comparison we have is versus ourselves. And every day, we expect to get better than the day before. So we're happy that we're back to 2019 levels. We're now moving more volume into that delivery network. And we're doing everything we can, not only to make sure that the delivery times or where they need to be. But more importantly, we haven't talked a lot about this is that the quality is there. And so when you think about our Hungry for MORE pillars, the first M is about Most Delicious Food and so just delivering a pizza on time is one thing. It's got to be great. And one of the things that I talk about, hopefully, there are no Boston Red Socks fans on the call today or a Yankee fan. And there's a famous player, Joe DiMaggio, who -- there's a quote, somebody asked him one time why he plays so hard every game. And what he said was, "There's going to be someone who sees me for the first time in that game, and so I'm playing for them." And that is how we need to approach making our pizza. Every pizza you're making is for your mom, right? And that's what some of these sprints are all about with more delicious operations. We're making promises in our advertising we need to deliver it, and it's more than just time. It's quality, it's consistency in all of those. And we like to say, down, we don't sell 1 million pizzas a day. Our goal is to sell 1 pizza a day 1 million times. And that's kind of the new thinking behind Delicious operations.OperatorOur next question comes from the line of Jeff Bernstein from Barclays.Jeffrey Andrew BernsteinJust following up from the Investor Day, you guys talked about your, I guess, Pulse 2.0 technology. And I think you mentioned there will be a complete overhaul throughout 2024 in conjunction with your Microsoft partnership talking about AI tools and whatnot, which are clearly very topical. So I'm wondering if you could talk a little bit about the greatest changes or the most likely incremental benefits to the front or the back of the house, and maybe the time frame to see those benefits . Obviously, it's been, like you said, a long time coming with this major overhaul. So just trying to get a sense for what we're going to see as we look through '24.Russell J. WeinerYes. Thanks for the question. It's a good time for me to clarify that. I think the future of the benefits of Pulse is actually now, right? We talked about DomOS and accelerating the areas within the circle of operations that make the biggest difference in our business. And so yes, next-generation pulse is in stores now, some stores in the U.S. will be rolling out to a bigger degree later on in 2024. But the most important element, the ones that are going to drive the Operational Efficiencies, the More Delicious Food, the improved atmosphere -- working atmosphere for our team members. Those are out in the DomOS tools and DomOS tools work with current pulse and the next-generation pulse. Hopefully, that clarifies it. The Microsoft the answer to your Microsoft question is we're working really in 2 areas with Microsoft and generative AI. One is on the consumer ordering side. We are not waiting for the new website to come in to see something on that. So you'll see something that in 2024. And then also on the store side and what can we do with Generative AI to make the experience better on our team members in store. And so we'll have more to talk about both of those in 2024.OperatorAnd our next question comes from the line of Andrew Strelzik from BMO Capital Markets.Unidentified AnalystThis is Joe Zinski on for Andrew Strelzik. So I'm curious how you would characterize the current competitive environment and what you're seeing from a promotional standpoint. And I was wondering if you could provide any incremental details regarding product innovation and the 2 new products that you are planning to launch this year?Russell J. WeinerYes, sure. I don't really like to talk a lot about competitors. I mean, a competitor we have is ourselves, and we try to get better than ourselves every day, and I think you see that in our Q4 results. I talked in general about it probably being a year that's less about order count. And we'll see how folks adjust to that. And when they do, we'll be happy to comment on that through the year. I didn't quite hear your second question. Can you repeat the second? Even though we're only supposed to ask one. I'm joking. Oh, yes, products. Thank you very much. Yes, on the product side. Couple of things. One is we're really happy that we've got our pan pizza out there now. But that's not a new product, and you should know that is not counted among the kind of 2-plus new products we're going to have this year. But what you do see with that is we haven't talked about pan pizza since 2014. So while I'm not counting it on my list of new products, it's something that's new to a lot of people and something that is really shot. If you look at the way we shot that commercial in the new way of kind of romancing the deliciousness of our pizza. So we're out with product news. News on a product for the first time in a long time, but that's not part of our 2 new product scheme for this year.OperatorAnd our next question comes from the line of Chris Carril from RBC Capital Markets.Christopher Emilio CarrilSo Russell, you mentioned the U.S. system added more than 60 new franchisees. I think that was the most in 15 years, you said. On the back of this, how are you thinking about the evolution of the domestic franchisee base? And just the balance of openings coming from new franchisees versus longer tenured franchisees going forward?Russell J. WeinerYes. Thanks a lot for the question. When we have calls like this and what I tell people is you're ever wondering how the Domino's Pizza brand is going to do in the future, you look at what your franchisees are doing. And franchisees right now from a profit standpoint, obviously, really positive versus where they were the year before. We opened up more stores really heavy towards the end of the year when things became clear there. Yet we're still very positive that we're going to beat that number in 2024 and hit our 175-plus algorithm. This 60 to me means that we've got young of encumbers within our system that for the first time in 15 years, it's bigger than -- or bigger than we have had in 15 years, which just means they see a really positive future. And the cool thing is as you look into '24, what I can tell you is 2 things. One is we already have 170 new potential franchisees that are either in or have graduated our franchise management school, which is the last step you do before you either build a store or buy a store. And we have 50 already waiting on open store transfers within the system. We're in February. And so I think some of the momentum you saw is going to continue. And that just shows what they are feeling about the brand where they want to invest.OperatorAnd our next question comes from the line of [Mary Jensen] from HSBC.Unidentified AnalystI know we've spoken about it a number of times in terms of the loyalty program. But given the mention of the liability, the loyalty liability from the relaunch, is there a way -- or how would you suggest we sort of track that and look at the breakage levels and sort of see where that may be going in the future and how we should sort of map that out? Obviously, as you mentioned, it's a positive thing so.Sandeep ReddyYes, Mary, thank you for the question. And look, I mean, I think the way to look at this is it's the appropriate accounting treatment if we're going to expect to see more redemptions, and that's the adjustment to the breakage accrual. But I think the whole point with this is our Domino's Rewards program is working as we intended. More transactions expected to come in, more redemptions are expected to come in. And I think Sara asked the question earlier. Look for profit dollar growth, in addition to margin expansion as we move forward, especially on the company stores in 2024. And we'll continue to provide disclosure as we move forward, but that's how I would actually measure performance on this.OperatorAnd our next question comes from the line of Brian Mullan from Piper SandlerBrian Hugh MullanJust a follow-up on the topic of Domino's advertising on Uber. Understanding it's just getting started, it will ramp throughout the year. Can you just discuss any learnings you've had here? Is it going how you would have thought? Has anything with the effectiveness surprised you either positively or negatively? And I ask in the context of just -- it's a new activity for Domino's, but I know you've been preparing to get ready for it. So just any thoughts on that strategy?Russell J. WeinerYes. Thanks, Brian. There's 2 advertising now for Domino's on Uber. One is Domino's and the other is Uber. And I think what we're seeing on that platform is very promotionally driven. And the nice place -- the nice thing is when you think of marketplaces and excelling on marketplaces, that's what we do, whether it's a Google marketplace or in this case, Uber. And so it's responding how you would think it's very much promotionally driven, but we know how to excel in those areas, which is why we are confident that a percent of sales for mover going to increase to that 3% exit rate we talk about.OperatorAnd our final question for today comes from the line of Jon Tower from Citi.Jon Michael TowerI appreciate it. Quick clarification on a question. Clarification, the loyalty liability. I'm assuming that was just a onetime true-up, but if you can clarify, that would be great. And then the question is on frequency shifts you're seeing in the loyalty program. Any way you can give us some sort of benchmarks as to where some of the more loyal customers were spending either frequency last year and what it's looking like so far since you made these shifts in late '23?Sandeep ReddySo I'll take the first part of the question, Jon. And it is a onetime thing because I think the significance of the change of the new program was what was the trigger. But that doesn't mean it's never going to happen also because I think you always have to continue to monitor your breakage. And if you do need to make a true-up, you will make a true up. But given the new program launching, I think this was much more of a onetime event because of the new program launching. And I think on the frequency shifts, Russell will take the question.Russell J. WeinerYes. What I can tell you, macro, we're still just a couple of months into this thing is what we thought we would see with regards to car customers and lighter user engagement, we are seeing. What we will do, Jon, is make sure throughout the year when we got more information under our belt, and we're able to give perspective because remember, loyalty programs are not just about the first use or the second. It's about lifetime value and use over time. And so as we get more color on that, we'll share.Greg LemenchickThanks, Jon. That was our last question of the call. I want to thank you all for joining our call today, and we look forward to speaking with you all soon. You may now disconnect. Have a great day.OperatorThank you, ladies and gentlemen, for your participation in today's conference. This does conclude the program. You may now disconnect. Good day.

Thomson Reuters StreetEvents

Q4 2023 Domino's Pizza Inc Earnings Call

https://finance.yahoo.com/news/q4-2023-dominos-pizza-inc-063036731.html

15631bbc-af06-3c5a-8738-4d6b4f027410

DPZ

Key InsightsSignificantly high institutional ownership implies Domino's Pizza Enterprises' stock price is sensitive to their trading actions51% of the business is held by the top 4 shareholdersUsing data from analyst forecasts alongside ownership research, one can better assess the future performance of a companyA look at the shareholders of Domino's Pizza Enterprises Limited (ASX:DMP) can tell us which group is most powerful. With 58% stake, institutions possess the maximum shares in the company. 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. Therefore, a good portion of institutional money invested in the company is usually a huge vote of confidence on its future.Let's delve deeper into each type of owner of Domino's Pizza Enterprises, beginning with the chart below. View our latest analysis for Domino's Pizza Enterprises ownership-breakdownWhat Does The Institutional Ownership Tell Us About Domino's Pizza Enterprises?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.Domino's Pizza Enterprises already has institutions on the share registry. Indeed, they own a respectable stake in the company. 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 Domino's Pizza Enterprises' 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. Domino's Pizza Enterprises is not owned by hedge funds. Our data shows that Somad Holdings Pty. Ltd. is the largest shareholder with 26% of shares outstanding. The second and third largest shareholders are Pinnacle Fund Services Limited and Hyperion Asset Management Limited, with an equal amount of shares to their name at 8.5%. In addition, we found that Donald Meij, the CEO has 1.9% of the shares allocated to their name.Story continuesOn looking further, we found that 51% of the shares are owned by the top 4 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company.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 plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too.Insider Ownership Of Domino's Pizza EnterprisesThe 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.Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.Shareholders would probably be interested to learn that insiders own shares in Domino's Pizza Enterprises Limited. It is a pretty big company, so it is generally a positive to see some potentially meaningful alignment. In this case, they own around AU$184m worth of shares (at current prices). Most would say this shows alignment of interests between shareholders and the board. Still, it might be worth checking if those insiders have been selling. General Public OwnershipWith a 11% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Domino's Pizza Enterprises. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.Private Company OwnershipIt seems that Private Companies own 26%, of the Domino's Pizza Enterprises stock. Private companies may be related parties. Sometimes insiders have an interest in a public company through a holding in a private company, rather than in their own capacity as an individual. While it's hard to draw any broad stroke conclusions, it is worth noting as an area for further research.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. Consider risks, for instance. Every company has them, and we've spotted 3 warning signs for Domino's Pizza Enterprises you should know about.If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.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 58% ownership, Domino's Pizza Enterprises Limited (ASX:DMP) boasts of strong institutional backing

https://finance.yahoo.com/news/58-ownership-dominos-pizza-enterprises-031723859.html

ab0a9622-4285-38ff-aee9-b3a207d59a6c

DPZ

In this article, we discuss the 30 US Cities with the Highest Fast-Food Consumption. If you want to read about some more US Cities with the Highest Fast-Food Consumption, go directly to 5 US Cities with the Highest Fast-Food Consumption.According to findings from Precedence Research, the global fast-food industry was valued at approximately $700 billion in 2022. Projections suggest that the sector is set to maintain steady growth at a compound annual growth rate (CAGR) of 3.70% from 2023 to 2032, potentially reaching a valuation of $1 trillion by the conclusion of the forecasted period. Additionally, the global fast-food restaurant industry achieved a figure of $978.4 billion in 2023.The expansion of globalized distribution networks has facilitated the establishment of fast-food franchises in foreign countries. Through this process, these companies adapt and innovate their product offerings to cater to diverse markets, expanding their customer outreach.In the dynamic and ever-evolving tapestry of American dietary preferences, the omnipresence of fast food has solidified its role as a defining element, shaping the eating habits of a considerable segment of the population. A recent in-depth report released by the US Centres for Disease Control and Prevention peels back the layers of this culinary phenomenon, exposing the deep-rooted love affair between Americans and fast food. Astonishingly, the findings reveal that approximately one-third of the nation's adults, representing a staggering 37%, partake in fast food on a daily basis. This statistical revelation underscores not just a casual dalliance but a habitual reliance on the convenience and allure of quick-service meals by a substantial portion of the population, amounting to about 84.8 million adults, showcasing the widespread impact of fast food on shaping dietary patterns across the United States.Millennials have notably become the generation most inclined toward frequenting fast-food establishments, with a substantial 54% reporting indulging in these convenient meals multiple times a week. A striking 23% of millennials take their fast-food habit a step further, making it a daily occurrence in their lives. Delving into the financial aspect of this trend, the average person allocates a monthly budget of $148 to satisfy their fast-food cravings, showcasing the economic impact of this dining preference. A significant 37% of adults across the nation found themselves reaching for fast-food options on any given day in 2020. This statistic emphasizes the widespread influence of quick-service meals and their integration into daily life.Story continuesThe younger demographic, particularly children and adolescents aged 2 to 19, also plays a substantial role in the fast-food phenomenon. Approximately 34% of this age group in the United States engage in fast-food consumption each day, underscoring the enduring appeal of these easily accessible and often enticing meals among the younger generation. In the context of young group of people who are also workers at fast-food restaurants, there’s good news for Fast-food workers in California, who will see their minimum wage increasing to $20 per hour from next month, April, 2024. This wage boost is the result of an agreement between the restaurant industry and labor groups regarding legislation in the state.Going back to our topic, we see Central and Southern states emerging as dominant players in this fast-food landscape, with Alabama claiming the number one spot in fast-food restaurant concentration. The Southern imprint on fast-food culture is palpable, with eight out of the top ten states with the highest number of fast-food restaurants per capita nestled in these regions. Conversely, the Northeastern states, led by Vermont, New Jersey, and New York, stand out for having the fewest fast-food restaurants per capita, showcasing a regional diversity in dietary preferences and culinary landscapes.Furthermore, fast-food prices surged by approximately 13% nationwide from 2021 to 2022, as reported by PriceListo data. Additionally, fast food is experiencing an uptick in popularity, with sales increasing by 5.75% in the second quarter of 2023 compared to the same period in the previous year, based on an analysis of company earnings reports for 43 major restaurant chains conducted by the Washington Post in August. Subway, McDonald’s, Dunkin, Starbucks and Pizza hut are some of the most popular names that arise in Americans’ minds when it comes down to a quick bite.Venturing into the competitive arena of fast-food giants, let us look at the key players in both, the burger and chicken segments. In the burger category, McDonald's reigns supreme, solidifying its status as the preeminent fast-food giant, closely trailed by Wendy's (NASDAQ:WEN), Burger King, and Sonic. In the realm of chicken-based delights, Chick-Fil-A emerges as the undisputed leader, asserting its dominance ahead of KFC, Popeye's, Raising Cane's, and Wingstop (NASDAQ:WING), boasting an impressive total of 2,732 units in 2023. During the second quarter of 2023, there was an average sales growth of 5.75 percent for fast-food and quick-service establishments such as McDonald’s and Starbucks (NASDAQ:SBUX) compared to the corresponding quarter in the previous year. Meanwhile Chick-fil-A recorded U.S. systemwide sales of $18.814 billion in the year 2022.As discussed above, some of the companies dominating this industry are McDonald's Corporation (NYSE:MCD), KFC, owned by Yum! Brands, Inc. (NYSE:YUM), and Domino's Pizza, Inc. (NYSE:DPZ).McDonald's Corporation (NYSE:MCD)McDonald's (NYSE:MCD), a leading global fast-food chain, operates in more than 100 countries with a customer base exceeding 69 million.In the twelve months ending December 31, 2023, McDonald's recorded revenue of $25.49 billion, showing a year-over-year growth rate of 9.97%. For the quarter ending December 31, 2023, the company's revenue amounted to $6.41 billion, reflecting a year-over-year growth of 8.09%.Earlier, in January 2024, McDonald's said it was seeing a "meaningful" hit to business, as customers in the Middle East and elsewhere boycott the firm for its perceived support of Israel. McDonald's also reported a rare sales miss in its-fourth quarter earnings report in February.KFCKFC, a subsidiary of Yum! Brands, Inc. (NYSE:YUM), has been in operation since 1952. The franchise has expanded to more than 150 countries, providing a diverse menu that includes Kentucky fried chicken and various other offerings.In the twelve months ending December 31, 2023, Yum! Brands (NYSE:YUM) reported revenue of $7.08 billion, reflecting a year-over-year growth of 3.42%. For the quarter ending December 31, 2023, the company's revenue was $2.04 billion, indicating a year-over-year growth of 0.84%.Domino's Pizza, Inc. (NYSE:DPZ)Domino's Pizza, Inc. (NYSE:DPZ), operates as a pizza company in the United States and internationally through its subsidiaries. The company offers pizzas under the Domino's brand name through both company-owned and franchised stores. Additionally, Domino's provides a variety of menu items including oven-baked sandwiches, pastas, boneless chicken, and chicken wings.In the twelve months ending December 31, 2023, Domino's Pizza reported revenue of $4.48 billion, showing a decrease of -1.27% year-over-year. For the quarter ending December 31, 2023, the company's revenue was $1.40 billion, indicating a modest year-over-year growth of 0.77%.In November 2023, Domino's unveiled an innovative new service with the introduction of a delivery bike that comes equipped with a built-in pizza oven and shock absorbers. This groundbreaking technology showcases Domino's commitment to revolutionizing the future of food delivery.This comprehensive analysis transcends mere statistics, offering a nuanced understanding of the multifaceted relationship between Americans and fast food. It not only provides insights into consumption patterns but also unveils regional preferences and illuminates the competitive landscape of renowned restaurants offering quick bites. As fast food continues to weave its way into the fabric of American dining culture, this article about 30 US Cities with the Highest Fast-Food Consumption serves as a compelling narrative, capturing the intricacies of a culinary phenomenon that has become an integral part of the nation's lifestyle.30 US Cities with the Highest Fast-Food ConsumptionA chef in a kitchen preparing a fast food meal of chicken, pizza and burgers.MethodologyTo curate the list of 30 US cities that eat the most fast food, we started with researching sources such as U.S. News, The Washington Post, EatThis, Apartment Guide, Fox Business, and Business Insider to identify the top cities in the U.S. for fast food, we compiled a list for evaluation. By utilizing LawnStarter's Access Metric, which factors in Fast Food Establishments per Square Mile, Fasties Award-Winning Locations per Square Mile, and the Number of Food Delivery Services, we ranked these cities.This proxy ranking goes from least consumption to most consumption, showcasing cities based on their fast-food consumption levels from lowest to highest i.e. the 30th city on our list is also ranked 30th on LawnStarter's Access Metric. This metric was chosen for its claimed capacity to provide insights into restaurant density within specific regions, aligning with demand levels and consumption patterns of fast food in those areas.  Based on this, we present to you 30 US Cities with the Highest Fast-Food Consumption.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.30 US Cities with the Highest Fast-Food Consumption30. Salinas, CAAt the start of our list of 30 US Cities with the Highest Fast-Food Consumption is Salinas. In Salinas, the convenience and affordability of fast food have made it a popular choice among residents on-the-go. Among the myriad of options, Jack in the Box (NASDAQ:JACK) stands out as a favourite fast-food destination, serving up a variety of burgers, tacos, and late-night munchies to satisfy Salinas' cravings.29. Sunnyvale, CASunnyvale boasts a vibrant fast-food culture, catering to the city's diverse tastes and busy lifestyles. Chipotle Mexican Grill (NYSE:CMG) holds a prominent spot as Sunnyvale's go-to fast-food joint, offering fresh and customizable burritos, bowls, and salads that keep locals coming back for more.28. Long Beach, CALong Beach has a thriving culture of fast-food consumption, with a wide array of options to satisfy residents' cravings for quick and tasty meals. Among the city's favourite fast-food spots, In-N-Out Burger reigns supreme, serving up delicious burgers, fries, and shakes that draw long lines of devoted customers.27. Baltimore, MDIn the bustling metropolis of Baltimore, the love for fast food runs deep, mirroring national trends with a significant portion of residents embracing the convenience and flavours of quick-service meals. The city's diverse culinary scene is punctuated by a robust appetite for fast food, where locals often find solace in familiar and easily accessible options. Among the array of choices, one fast-food heavyweight that stands out in Baltimore is Chick-Fil-A, capturing the hearts and taste buds of many with its beloved chicken-based menu offerings.26. Los Angeles, CALos Angeles is a bustling hub of fast-food consumption, reflecting the city's on-the-go lifestyle and diverse culinary preferences. In-N-Out Burger holds a special place in Angelenos' hearts, with its iconic burgers and secret menu items drawing loyal fans from all corners of the city.25. Tempe, AZTwenty fifth on our list of 30 US Cities with the Highest Fast-Food Consumption is Tempe. Tempe has a prominent fast-food culture, offering residents a variety of convenient dining options. Among the city's popular fast-food choices, Raising Cane's Chicken Fingers stands out as a go-to spot, known for its crispy chicken tenders and signature sauce that keep patrons coming back for more.24. Torrance, CAIn Torrance, the vibrant city in Southern California, fast food culture is embraced with gusto, reflecting the Golden State's affinity for quick and flavourful dining options. Among the plethora of choices, In-N-Out Burger holds a special place in the hearts of Torrance residents, with its iconic burgers and shakes reigning supreme as the city's most popular fast-food destination.23. Hialeah, FLHialeah, known for its love of quick and tasty eats, boasts a rich fast-food culture that caters to the city's on-the-go lifestyle. Pollo Tropical stands out as a beloved fast-food destination, serving up flavourful Caribbean-inspired dishes that have earned it a loyal following among Hialeah residents.22. Syracuse, NYIn Syracuse, the spirited city in upstate New York, fast-food fervour is alive and well, as locals appreciate the convenience of quick bites amidst their bustling lives. Dominating the fast-food scene in Syracuse is the beloved Wegmans, a regional favourite renowned for its diverse and delicious offerings, making it the go-to destination for residents seeking a satisfying and speedy meal.21. Santa Ana, CASanta Ana thrives on its fast-food scene, offering a range of convenient options for its bustling population. One standout favourite among locals is El Pollo Loco (NASDAQ:LOCO), renowned for its flame-grilled chicken and zesty Mexican-inspired flavours that keep Santa Ana residents coming back for more.20. Atlanta, GAIn Atlanta, a city known for its dynamic culture and Southern hospitality, fast-food cravings find a warm welcome among residents on the go. In Atlanta, there are 11.3 restaurants for every 10,000 residents, showcasing a vibrant dining scene for the local population to indulge in a variety of culinary delights. Boasting a significant presence in the heart of Atlanta's fast-food scene is Chick-Fil-A, celebrated for its signature chicken sandwiches and a commitment to excellent service.19. Dallas, TXDallas is at nineteenth on our list of 30 US Cities with the Highest Fast-Food Consumption. Dallas embraces the quick and flavourful allure of fast food, with a taste for variety that mirrors the city's diverse culinary landscape. Among the bustling array of options, In-N-Out Burger holds a special place in Dallasites' hearts, dishing out delectable burgers and freshly-cut fries with an undeniable Texas flair.18. Richmond, VAIn Richmond, the lure of quick and convenient fast food is ever-present. Fast-food giants dot the cityscape, but perhaps none more fervently than Chick-fil-A. With its signature sandwiches and unwavering popularity, this chain reigns supreme in the hearts - and stomachs - of Richmond's fast-food aficionados.17. Tampa, FLIn Tampa, where the Gulf breeze meets vibrant urban life, fast-food culture thrives as locals embrace convenient dining options. Standing out in the city's fast-food landscape is the ever-popular Publix Deli, a grocery store eatery beloved for its delectable subs and sandwiches, symbolizing Tampa's unique blend of convenience and flavour in the fast-food realm.16. Pittsburgh, PAIn Pittsburgh, a city steeped in industrial history and modern innovation, the fast-food scene resonates with a blend of tradition and contemporary taste. Primanti Brothers, an iconic establishment renowned for its signature sandwiches piled high with fries and coleslaw, stands as Pittsburgh's beloved fast-food gem, capturing the essence of local flavour and culinary innovation.15. Sacramento, CASacramento is at number fifteen on our list of 30 US Cities with the Highest Fast-Food Consumption. Sacramento, with its vibrant culture and agricultural richness, embraces the convenience of fast food, and at the forefront is In-N-Out Burger. The beloved chain, celebrated for its fresh and made-to-order offerings, has become synonymous with Sacramento's fast-food scene, drawing locals and visitors alike with its iconic burgers and secret menu delights.14. Las Vegas, NVIn the dazzling lights of Las Vegas, where excitement and convenience go hand in hand, fast food plays a central role in satisfying the city's on-the-go lifestyle. Las Vegas features a dining scene with 13.1 restaurants for every 10,000 residents, offering a wide array of culinary options for its population. Shake Shack (NYSE:SHAK), with its modern take on classic burgers, crinkle-cut fries, and hand-spun shakes, stands out as a popular fast-food destination, offering a flavourful retreat for both locals and visitors in the heart of the entertainment capital.13. Rochester, NYIn the heart of upstate New York, Rochester boasts a thriving fast-food culture, and Bill Gray's Regional Iceplex serves as a local favourite. Known for its Garbage Plate—a uniquely Rochester dish featuring a medley of meats, potatoes, and sauces—Bill Gray's captures the city's appetite for distinctive and hearty fast-food offerings.12. Fort Lauderdale, FLIn Fort Lauderdale, where sun-soaked beaches meet a lively urban atmosphere, the fast-food scene caters to the city's diverse and active population. With its coastal charm and seafood delights, the iconic fast-food choice is often Anthony's Coal Fired Pizza, renowned for its flavourful coal-fired pizzas and Italian-American specialties, adding a distinctive touch to Fort Lauderdale's culinary landscape and makes it number twelve on our list of US Cities with the Highest Fast-Food Consumption.11. Philadelphia, PAIn the historic city of Philadelphia, fast-food cravings find a home amidst the rich tapestry of cultural and culinary influences. A standout in the city's fast-food repertoire is Wawa, a beloved convenience store chain offering a variety of freshly prepared hoagies, coffee, and snacks. Wawa's widespread popularity embodies the local penchant for delicious, on-the-go fare in the City of Brotherly Love.10. San Francisco, CATenth on our list of 30 US Cities with the Highest Fast-Food Consumption is San Francisco. Amidst the tech innovation and eclectic neighbourhoods of San Francisco, fast-food enthusiasts have a diverse array of options to choose from. In San Francisco, the impact of inflation has led to fast food prices soaring to the point where burger meals now exceed $20, but fast-food consumption still remains high. One notable choice is In-N-Out Burger, capturing the city's attention with its fresh ingredients and classic menu items. As a Californian staple, In-N-Out embodies San Francisco's appreciation for quality, quick-service meals in a city that values both culinary innovation and simplicity.9. Chicago, ILIn the dynamic city of Chicago, where architectural wonders meet a rich cultural heritage, the fast-food scene reflects the city's diverse tastes. Portillo's (NASDAQ:PTLO), an iconic chain known for its Chicago-style hot dogs and Italian beef sandwiches, stands as a local favourite. Embracing the city's culinary traditions, Portillo's has become synonymous with fast-food indulgence in the Windy City, blending classic flavours with the fast-paced lifestyle of Chicagoans.8. Jersey City, NJJersey City is on number eight on our list of US Cities with the Highest Fast-Food Consumption. In the vibrant cityscape of Jersey City, just across the Hudson River from Manhattan, fast-food options cater to the diverse and dynamic community. One standout in this culinary mosaic is White Mana, an iconic diner-style establishment known for its classic sliders and nostalgic charm. As a local favourite, White Mana encapsulates the city's rich history and evolving palate, providing a timeless and satisfying fast-food experience for residents and visitors alike in Jersey City.7. Alexandria, VANestled along the Potomac River, Alexandria, Virginia, combines historic charm with a thriving culinary scene. Among its fast-food offerings, the Old Town staple, Five Guys, has garnered a loyal following. Renowned for its customizable burgers and hand-cut fries, Five Guys reflects Alexandria's appreciation for quality ingredients and a laid-back yet flavourful approach to fast-food dining in this picturesque and historic city.6. Washington, D.C.Sixth on our list of US Cities with the Highest Fast-Food Consumption, is Washington. In the political and cultural hub of Washington, D.C., the fast-food scene mirrors the city's diverse population and cosmopolitan atmosphere. Among the notable choices is &pizza, a homegrown fast-casual brand offering customizable pizzas with fresh, high-quality ingredients. As a symbol of Washington's commitment to innovation and individuality, &pizza provides a unique and flavourful option in the city's fast-food repertoire, catering to the tastes of both locals and the numerous visitors exploring the nation's capital.Click to continue reading and find out about 5 US Cities with the Highest Fast-Food Consumption.Suggested Articles:20 Fast Food Chains with the Most Locations in the World25 Most Popular Fast Food Restaurants in America13 Worst Rated Fast Food Restaurants in America According to RedditDisclosure: None. 30 US Cities with the Highest Fast-Food Consumption is originally published on Insider Monkey.

Insider Monkey

30 US Cities with the Highest Fast-Food Consumption

https://finance.yahoo.com/news/30-us-cities-highest-fast-203550011.html

a349f4e4-cad9-3b55-a059-554067436901

DRI

Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important.The earnings figure itself is key, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb even higher.2 Stocks to Add to Your WatchlistThe Zacks Expected Surprise Prediction, or ESP, works by locking in on the most up-to-date analyst earnings revisions because they can be more accurate than estimates from weeks or even months before the actual release date. The thinking is pretty straightforward: analysts who provide earnings estimates closer to the report are likely to have more information. With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure.Now that we understand what the ESP is and how beneficial it can be, let's dive into a stock that currently fits the bill. Darden Restaurants (DRI) earns a Zacks Rank #3 right now and its Most Accurate Estimate sits at $2.67 a share, just 27 days from its upcoming earnings release on March 21, 2024.DRI has an Earnings ESP figure of 1.11%, which, as explained above, is calculated by taking the percentage difference between the $2.67 Most Accurate Estimate and the Zacks Consensus Estimate of $2.64.DRI is part of a big group of Retail-Wholesale stocks that boast a positive ESP, and investors may want to take a look at Amazon (AMZN) as well.Amazon, which is readying to report earnings on April 25, 2024, sits at a Zacks Rank #1 (Strong Buy) right now. It's Most Accurate Estimate is currently $0.82 a share, and AMZN is 62 days out from its next earnings report.Story continuesThe Zacks Consensus Estimate for Amazon is $0.80, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of 2.49%.Because both stocks hold a positive Earnings ESP, DRI and AMZN could potentially post earnings beats in their next reports.Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>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 reportDarden Restaurants, Inc. (DRI) : Free Stock Analysis ReportAmazon.com, Inc. (AMZN) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

How to Boost Your Portfolio with Top Retail-Wholesale Stocks Set to Beat Earnings

https://finance.yahoo.com/news/boost-portfolio-top-retail-wholesale-140004989.html

3c8674d8-77d5-3b44-9432-5c3dd662c1b3

DRI

The stock is bargain-priced, but that should change as the company focuses on faster service and stepped-up marketing.Continue reading

Barrons.com

This Steakhouse Stock Is a Rare Find. It’s Primed for Gains.

https://finance.yahoo.com/m/c7550d9c-0f1c-3b0c-83d0-6806d387cc2c/this-steakhouse-stock-is-a.html

c7550d9c-0f1c-3b0c-83d0-6806d387cc2c

DRI

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to investors, even if it currently lacks a track record of revenue and profit. Unfortunately, these high risk investments often have little probability of ever paying off, and many investors pay a price to learn their lesson. Loss making companies can act like a sponge for capital - so investors should be cautious that they're not throwing good money after bad.So if this idea of high risk and high reward doesn't suit, you might be more interested in profitable, growing companies, like Darden Restaurants (NYSE:DRI). While profit isn't the sole metric that should be considered when investing, it's worth recognising businesses that can consistently produce it. See our latest analysis for Darden Restaurants How Quickly Is Darden Restaurants Increasing Earnings Per Share?If you believe that markets are even vaguely efficient, then over the long term you'd expect a company's share price to follow its earnings per share (EPS) outcomes. That means EPS growth is considered a real positive by most successful long-term investors. To the delight of shareholders, Darden Restaurants has achieved impressive annual EPS growth of 42%, compound, over the last three years. Growth that fast may well be fleeting, but it should be more than enough to pique the interest of the wary stock pickers.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. While we note Darden Restaurants achieved similar EBIT margins to last year, revenue grew by a solid 10% to US$11b. That's encouraging news for the company!You can take a look at the company's revenue and earnings growth trend, in the chart below. To see the actual numbers, click on the chart.earnings-and-revenue-historyIn investing, as in life, the future matters more than the past. So why not check out this free interactive visualization of Darden Restaurants' forecast profits?Story continuesAre Darden Restaurants Insiders Aligned With All Shareholders?Since Darden Restaurants has a market capitalisation of US$21b, we wouldn't expect insiders to hold a large percentage of shares. But thanks to their investment in the company, it's pleasing to see that there are still incentives to align their actions with the shareholders. Given insiders own a significant chunk of shares, currently valued at US$88m, they have plenty of motivation to push the business to succeed. That's certainly enough to let shareholders know that management will be very focussed on long term growth.It means a lot to see insiders invested in the business, but shareholders may be wondering if remuneration policies are in their best interest. Our quick analysis into CEO remuneration would seem to indicate they are. Our analysis has discovered that the median total compensation for the CEOs of companies like Darden Restaurants, with market caps over US$8.0b, is about US$12m.The Darden Restaurants CEO received US$8.5m in compensation for the year ending May 2023. That comes in below the average for similar sized companies and seems pretty reasonable. While the level of CEO compensation shouldn't be the biggest factor in how the company is viewed, modest remuneration is a positive, because it suggests that the board keeps shareholder interests in mind. Generally, arguments can be made that reasonable pay levels attest to good decision-making.Should You Add Darden Restaurants To Your Watchlist?Darden Restaurants' earnings per share growth have been climbing higher at an appreciable rate. The cherry on top is that insiders own a bucket-load of shares, and the CEO pay seems really quite reasonable. The drastic earnings growth indicates the business is going from strength to strength. Hopefully a trend that continues well into the future. Big growth can make big winners, so the writing on the wall tells us that Darden Restaurants is worth considering carefully. Don't forget that there may still be risks. For instance, we've identified 3 warning signs for Darden Restaurants that you should be aware of.There's always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a tailored list of companies which have demonstrated growth backed by recent insider purchases.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.

If EPS Growth Is Important To You, Darden Restaurants (NYSE:DRI) Presents An Opportunity

https://finance.yahoo.com/news/eps-growth-important-darden-restaurants-181211701.html

d4081623-20f5-387d-8970-21327a4d3a6c

DRI

Finding promising stocks is harder, given that the S&P 500 has risen by about one-third over 12 months.Continue reading

Barrons.com

The Stock Market Is Already Way Up. 8 Stocks That Can Still Outperform.

https://finance.yahoo.com/m/a3f60563-49c7-3499-8f72-285c769cb3a9/the-stock-market-is-already.html

a3f60563-49c7-3499-8f72-285c769cb3a9

DTE

Feb 23 (Reuters) - DTE Energy said on Friday that the utility is seeking proposals for renewable energy projects totaling about 1,075 megawatts (MW) to advance its decarbonization efforts."DTE is issuing a Request for Proposal (RFP) for new wind and solar projects and about 1,075 MW of projects are being requested to achieve commercial operation by March 31, 2027," the company said in a press release."Bids are due May 14, 2024, and the company anticipates executing contracts this fall."The operator also said the projects must be located in Michigan and interconnected with the Midcontinent Independent System Operator (MISO) or distribution-level transmission.The company plans to add 1,000 megawatts of new wind and solar power each year starting in 2026.The utility also plans to retire its coal plants in less than a decade and invest $11 billion over the next 10 years toward clean energy transition.The Detroit-based energy company's operating units include an electric company serving 2.3 million customers in Southeast Michigan and a natural gas company serving 1.3 million customers across Michigan. (Reporting by Rahul Paswan in Bengaluru; editing by Jonathan Oatis)

Reuters

DTE Energy seeks developers for new renewable projects

https://finance.yahoo.com/news/dte-energy-seeks-developers-renewable-004327945.html

8e72b5b7-fa9b-3354-99cb-ae14a3f7e956

DTE

Public Service Enterprise Group Incorporated PEG or PSEG reported fourth-quarter 2023 adjusted earnings of 54 cents per share, which beat the Zacks Consensus Estimate of 53 cents by 1.9%. However, earnings declined 15.6% from the prior-year reported figure.The company reported quarterly GAAP earnings per share (EPS) of $1.10 in the fourth quarter of 2023 compared with $1.58 in the corresponding period of 2022.For 2023, the company reported adjusted EPS of $3.48 compared with $3.47 in 2022. The full-year bottom line also beat the consensus estimate by a penny.Public Service Enterprise Group Incorporated Price, Consensus and EPS SurprisePublic Service Enterprise Group Incorporated Price, Consensus and EPS SurprisePublic Service Enterprise Group Incorporated price-consensus-eps-surprise-chart | Public Service Enterprise Group Incorporated Quote Total RevenuesOperating revenues in the fourth quarter totaled $2,605 million, which beat the Zacks Consensus Estimate of $2,005 million by 29.9%. The top line, however, declined 17% from the year-ago quarter’s $3,139 million.For 2023, the company generated operating revenues worth $11.24 billion, up from $9.8 billion in 2022. The full-year top line also beat the consensus estimate of $10.64 billion.Sales VolumeIn the reported quarter, electric sales volumes totaled 9,082 million kilowatt-hours, while gas sales volumes came in at 946 million therms.Under electric sales, residential sales volumes were 2,805 million kilowatt-hours, up 5% from the prior-year quarter’s figure. Its commercial and industrial sales volumes accounted for 6,181 million kilowatt-hours, registering a year-over-year decline of 5%.Other sales amounted to 96 million kilowatt-hours, down 1% from the year-ago quarter’s level.Total gas sales volumes witnessed a decrease of 9% in firm sales volumes and an increase of 13% in the non-firm sales volumes of gas from the year-ago quarter’s reported figure.Highlights of the ReleaseThe operating income came in at $692 million in the fourth quarter of 2023 compared with $964 million in the year-ago quarter, indicating a year-over-year decline of 28.2%. Total operating expenses were $1,913 million, down 12% from the year-ago quarter’s reported actuals.Story continuesSegmental PerformancePSE&G: This segment’s adjusted income totaled $296 million.PSEG Power & Other: Adjusted operating loss amounted to $25 million compared with $34 million in the prior-year quarter.Financial UpdateThe long-term debt (including the current portion of the long-term debt) as of Dec 31, 2023, was $20,233 million compared with $20,270 million as of Dec 31, 2022.PSEG generated $3,806 million in cash from operations during 2023 compared with $1,503 million in the prior-year period.2024 GuidanceThe company reaffirmed its 2024 guidance. PEG continues to expect its adjusted earnings in the range of $3.60-$3.70 per share. The Zacks Consensus Estimate for earnings is currently pegged at $3.67 per share, above the midpoint of the company’s guided range.Zacks RankPSEG currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Recent Utility ReleasesDTE Energy Company DTE reported fourth-quarter 2023 operating EPS of $1.97, which came in line with the Zacks Consensus Estimate. The bottom line, however, improved 50.4% from the year-ago quarter’s reported figure of $1.31.DTE Energy initiated its 2024 operating EPS projection. The company expects operating EPS in the range of $6.54-$6.83.Xcel Energy XEL reported fourth-quarter 2023 operating earnings of 83 cents per share, which lagged the Zacks Consensus Estimate of 85 cents by 2.3%. However, the bottom line improved 620.3% from the year-ago quarter’s figure of 69 cents.The fourth-quarter revenues of $3,442 million missed the Zacks Consensus Estimate of $3,972 million by 13.34%. The figure also declined 15.07% from the year-ago quarter’s level of $4,053 million.CMS Energy Corporation CMS reported fourth-quarter 2023 adjusted EPS of $1.05, which beat the Zacks Consensus Estimate of $1.04 by 1%. The bottom line also increased 75% from 60 cents reported in the prior-year quarter.Operating revenues totaled $1,950 million, which lagged the Zacks Consensus Estimate of $2,461.4 million by 20.8%. The top line also decreased 14.4% on a year-over-year basis.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 reportXcel Energy Inc. (XEL) : Free Stock Analysis ReportPublic Service Enterprise Group Incorporated (PEG) : Free Stock Analysis ReportDTE Energy Company (DTE) : Free Stock Analysis ReportCMS Energy Corporation (CMS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

PSEG (PEG) Q4 Earnings Beat Estimates, Revenues Down Y/Y

https://finance.yahoo.com/news/pseg-peg-q4-earnings-beat-181900196.html

08b289bc-3c79-389a-9664-e715ecf3a9a5

DTE

DTE Energy Company (NYSE:DTE) has announced that it will pay a dividend of $1.02 per share on the 15th of April. This takes the annual payment to 3.6% of the current stock price, which is about average for the industry. See our latest analysis for DTE Energy DTE Energy's Dividend Is Well Covered By EarningsWe like a dividend to be consistent over the long term, so checking whether it is sustainable is important. Based on the last payment, DTE Energy's earnings were much higher than the dividend, but it wasn't converting those earnings into cash flow. Since a dividend means the company is paying out cash to investors, this could prove to be a problem in the future.Looking forward, earnings per share is forecast to rise by 15.7% over the next year. If the dividend continues on this path, the payout ratio could be 53% by next year, which we think can be pretty sustainable going forward.historic-dividendDividend VolatilityThe company's dividend history has been marked by instability, with at least one cut in the last 10 years. Since 2014, the dividend has gone from $2.62 total annually to $4.08. This means that it has been growing its distributions at 4.5% per annum over that time. Modest growth in the dividend is good to see, but we think this is offset by historical cuts to the payments. It is hard to live on a dividend income if the company's earnings are not consistent.DTE Energy May Find It Hard To Grow The DividendWith a relatively unstable dividend, it's even more important to see if earnings per share is growing. DTE Energy hasn't seen much change in its earnings per share over the last five years. Growth of 1.8% may indicate that the company has limited investment opportunity so it is returning its earnings to shareholders instead. While this isn't necessarily a negative, it definitely signals that dividend growth could be constrained in the future unless earnings start to pick up again.Our Thoughts On DTE Energy's DividendOverall, this is probably not a great income stock, even though the dividend is being raised at the moment. With cash flows lacking, it is difficult to see how the company can sustain a dividend payment. Overall, we don't think this company has the makings of a good income stock.It's important to note that companies having a consistent dividend policy will generate greater investor confidence than those having an erratic one. At the same time, there are other factors our readers should be conscious of before pouring capital into a stock. Just as an example, we've come across 3 warning signs for DTE Energy you should be aware of, and 1 of them is a bit unpleasant. 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.

DTE Energy (NYSE:DTE) Has Announced A Dividend Of $1.02

https://finance.yahoo.com/news/dte-energy-nyse-dte-announced-183051587.html

0cdb97f1-f2ab-3be9-9eaf-1470be58ad6f

DTE

PPL Corporation’s PPL ongoing investments in infrastructure construction projects and fewer outages will help serve customers efficiently. Focusing on cleaner power generation and growth in domestic operations will increase the company’s overall performance.However, this Zacks Rank #4 (Sell) company has to face risks related to dependence on its subsidiaries and rising competition in the transmission business.TailwindsPPL has a capital investment plan of $3.1 billion in 2024 and a total of $14.3 billion for the period of 2024-2027. The company’s capital investment plan primarily focuses on infrastructure construction projects for generation, transmission and distribution. Customers have been experiencing fewer outages, courtesy of ongoing investments to strengthen PPL’s infrastructure.The company will invest in strengthening grid, electricity and gas distribution and electricity transmission and expand renewable generation capacity. It will also focus on new technology to serve customers more efficiently.The company is also working to reduce its operating and maintenance (O&M) costs. It has already lowered costs by $75 million in 2023 from 2021 baseline and expects $120-$130 million in savings in O&M costs in 2024, $150 million in 2025 and save $175 million in 2026. The company is focused on reducing total operating expenses in the coming years, due to decrease in fuel cost and energy purchases. These initiatives will boost the company’s margins and support earnings growth.HeadwindsPPL conducts all operations through its subsidiaries. The company’s consolidated assets are also held by its subsidiaries. Its ability to repay debt, guarantee obligations and pay dividends is largely dependent upon the earnings of those subsidiaries.The company’s Pennsylvania-regulated segment faces competition for transmission projects. To develop transmission projects and structure their costs, it must abide by certain rules of the Federal Energy Regulatory Commission.Story continuesStocks to ConsiderSome better-ranked stocks from the same industry are Avangrid AGR, NiSource Inc. NI and DTE Energy DTE, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Avangrid’s long-term (three-to-five-year) earnings growth rate is 24.37%. The Zacks Consensus Estimate for AGR’s 2024 EPS indicates an increase of 7.66% from the previous year’s reported number.NiSource’s long-term earnings growth rate is 7.15%. The Zacks Consensus Estimate for NI’s 2024 EPS implies an improvement of 6.88% from that recorded in 2023.DTE Energy’s long-term earnings growth rate is 6%. The Zacks Consensus Estimate for DTE’s 2024 EPS indicates an increase of 16.93% from the previous year’s reported number.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 reportPPL Corporation (PPL) : Free Stock Analysis ReportNiSource, Inc (NI) : Free Stock Analysis ReportDTE Energy Company (DTE) : Free Stock Analysis ReportAvangrid, Inc. (AGR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research

Zacks

PPL Corporation (PPL) Rides on Investments, Cost Management

https://finance.yahoo.com/news/ppl-corporation-ppl-rides-investments-124500964.html

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