Shares of Chipotle Mexican Grill (NYSE: CMG ) surged to a new 52-week high above $400 on Friday following a strong Q2 earnings report. Chipotle stock peaked around $440 last year, before losing nearly half of its value because of concerns that growth was petering out.
Chipotle Stock 2 Year Price Chart, data by YCharts
One big blow on the way down was the short thesis outlined by David Einhorn at the 2012 Value Investing Congress. Einhorn argued that Yum! Brands (NYSE: YUM ) would steal market share from Chipotle with its new Cantina Bell concept that offers higher-quality food than the typical Taco Bell menu but undercuts Chipotle on price.
Einhorn's argument has not found much support in Chipotle's recent performance. Chipotle restaurants are as busy as ever, and the company is still growing strongly. That said, I believe most of the profit has already been made for Chipotle investors. Chipotle stock now trades for more than 30 times forward earnings, and further multiple expansion is unlikely unless Chipotle shows investors that it can significantly increase its profit margin.
Hot Asian Stocks To Buy For 2015: Energizer Holdings Inc (ENR)
Energizer Holdings, Inc. (Energizer), incorporated on September 23, 1999, is the manufacturer and marketer of primary batteries, portable lighting and personal care products in the wet shave, skin care, feminine care and infant care categories. The Company manufactures and sells products in five product categories: wet shave, skin care, feminine care, infant care, battery and portable lighting products. On October 23, 2013, it completed the acquisition of the Stayfree pad, Carefree liner and o.b. tampon feminine hygiene brands in the United States, Canada and the Caribbean from McNeil PPC, Inc. and Johnson & Johnson, Inc., members of the Johnson & Johnson Family of Consumer Companies.
Personal Care
The Personal Care division includes wet shave products sold under the Schick, Wilkinson Sword, Edge, Skintimate and Personna brand names, skin care products sold under the Banana Boat, Hawaiian Tropic, Wet Ones and Playtex brand names, and feminine care and infant care products sold under the Playtex and Diaper Genie brand names globally. The Company manufactures and distributes Schick and Wilkinson Sword razor systems, composed of razor handles and refillable blades, and disposable shave products for men and women. The Company markets its wet shave products globally. The Company also manufactures, distributes and sells a complete line of private label and value-priced wet shaving disposable razors, shaving systems and replacement blades. These wet shave products are sold primarily under a retailer's store name or under value brand names such as Personna and GEM.
Household Products
Energizer's Household Products division manufactures and markets product portfolios in household batteries, specialty batteries and lighting products. In household batteries, the Company offers batteries using carbon zinc, alkaline, rechargeable and lithium technologies. The Company distributes its portfolio of household and specialty batteries and portable lighting products th! rough a global distribution network, which also provides a platform for the distribution of its personal care products.
The Company competes with Duracell International, Inc., Panasonic Corporation, Procter & Gamble Company, Bic Group, Kimberly-Clark Corp., Merck & Co., Inc. and Johnson & Johnson.
Advisors' Opinion:- [By Mike Deane]
Early on Tuesday morning, Wells Fargo downgraded Energizer Holdings (ENR) to “Market Perform” from “Outperform.” Wells Fargo maintained a range of $109 to $112 for ENR’s valuation.
Energizer’s shares have risen over 19% in the past three months, and Wells analyst Chris Ferrara believes that the stock run up now reflects the company’s upside. Ferrara believes that the biggest downside risk for ENR is at a more base level, as Wells Fargo is seeing more EPS upside to ENR’s latest deal with Johnson and Johnson than ENR is expecting.
Wells Fargo maintains its EPS estimate for 2014 to be $7.41 and its 2015 EPS estimate is $7.97.
Energizer stock was inactive in pre-market trading. It finished yesterday down 24 cents, or 0.23%.
- [By Seth Jayson]
Calling all cash flows
When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Energizer Holdings (NYSE: ENR ) , whose recent revenue and earnings are plotted below.
Best Heal Care Companies To Watch In Right Now: Plum Creek Timber Company Inc.(PCL)
Plum Creek Timber Company, Inc. is a publicly owned real estate investment trust (REIT). The trust owns and manages timberlands in the United States. Its products include lumber products, plywood, medium density fiberboard, and related by-products, such as wood chips. The trust also focuses on mineral extraction and natural gas production, communication, and transportation. Plum Creek Timber Company was founded in 1989 and is based in Seattle, Washington.
Advisors' Opinion:- [By Rich Smith]
Someone's yelling "timber!" at Plum Creek
Forest manager and forestry products seller Plum Creek Timber (NYSE: PCL ) beat analyst estimates (with a stick, of course) Monday. Earnings for the first fiscal quarter came in at $0.35 per share, or close to 10% better than expected. Revenue of $340 million also topped estimates. - [By Dan Caplinger]
Plum Creek Timber (NYSE: PCL ) will release its quarterly report on Monday, and thanks to the rebound in the housing market over the past year, makers of wood products for home construction have benefited from favorable economic tailwinds for the first time in years since the end of the housing bubble. Yet even though volatility in lumber prices might limit short-term growth in Plum Creek earnings, the long-term prospects for the company look favorable as it has a big competitive advantage over some of its peers in the space.
Best Heal Care Companies To Watch In Right Now: Anheuser-Busch InBev (BUD)
Anheuser-Busch InBev SA/NV, incorporated on August 2, 1977, is a brewing company. The Company produces, markets, distributes and sells a balanced portfolio of approximately 200 beer brands. These include global flagship brands Budweiser, Stella Artois and Beck��; multi-country brands, such as Leffe and Hoegaarden, and many local champions, such as Bud Light, Skol, Brahma, Quilmes, Michelob, Harbin, Sedrin, Klinskoye, Sibirskaya Korona, Chernigivske and Jupiler. The Company also produces and distributes soft drinks, particularly in Latin America. The Company operates in seven segments: North America, Latin America North, Latin America South, Western Europe, Central & Eastern Europe, Asia Pacific and Global Export & Holding Companies. On October 20, 2010, Companhia de Bebidas das Americas-AmBev (AmBev) and Cerveceria Regional S.A. closed a transaction pursuant, to which they combined their businesses in Venezuela, with Regional owning an 85% interest and AmBev owning the remaining 15% in the new company. On February 28, 2011, the Company closed a transaction with Dalian Daxue Group Co., Ltd and Kirin (China) Investment Co., Ltd to acquire a 100% equity interest in Liaoning Dalian Daxue Brewery Co., Ltd. The Company�� beer portfolio is divided into global, multi-country and local brands. Beer can be differentiated into the categories, such as premium brands; mainstream or core brands, and value, discount or sub-premium brands. The Company also has a presence in the soft drink market in Latin America through its subsidiary AmBev and in the United States through Anheuser-Busch Companies, Inc. (Anheuser-Busch). Soft drinks include both carbonated soft and non-carbonated soft drinks. Its soft drinks business includes both its own production and agreements with PepsiCo related to bottling and distribution. The brands that are distributed under these agreements are Pepsi, 7UP and Gatorade. AmBev has long-term agreements with PepsiCo whereby AmBev has the exclusive right to bottle, sell and distribute certain brands of PepsiCo�� portfolio of carbonated soft drinks in Brazil. In the United States, Anheuser-Busch also produces non-alcoholic malt beverage products, including O��oul�� and O��oul�� Amber, energy drinks and related products. In the United States, its indirect subsidiary, Metal Container Corporation, manufactures beverage cans at eight plants and beverage can lids at three plants for sale to its Anheuser-Busch beer operations and United States soft drink customers. Anheuser-Busch also owns a recycling business, which buys and sells used beverage containers and recycles aluminum and plastic containers; a manufacturer of crown liner materials for sale to its North American beer operations, and a glass manufacturing plant which manufactures glass bottles for use by its North American beer operations. Advisors' Opinion:- [By Alex Planes]
The king of brewers
Despite coming in second in its own corporate name, the Busch family has historically been the driving force behind Anheuser-Busch InBEV (NYSE: BUD ) . That central role became official on April 29, 1879, when Adolphus Busch and Eberhard Anheuser agreed to rename their thriving brewing company "Anheuser-Busch Brewing Association" from its earlier name of simply "E. Anheuser Company's Brewing Association." - [By Patricio Kehoe]
As the only brewer in Chile with a nationwide distribution network, United Breweries benefits from significant economies of scale, in addition to its brand power. The company�� product portfolio not only features the Cristal beer brand, but also includes wine, spirits and company-owned non-alcoholic beverages. In addition to this, the firm benefits from licenses to sell PepsiCo Inc. (PEP) and Heineken beverages, while also importing Anheuser Busch Inbev SA (ADR) (BUD)�� Budweiser beer to Chile and Argentina. This strong market position has allowed the firm to generate excess returns on invested capital above 20%, making it an attractive investment.
- [By gurujx]
Anheuser-Busch Inbev SA (BUD) Reached the 52-Week High of $105.40
Anheuser-Busch Inbev SA has a market cap of $169.73 billion; its shares were traded at around $105.60 with a P/E ratio of 13.30 and P/S ratio of 9.50. The dividend yield of Anheuser-Busch Inbev SA stocks is 2.40%. Anheuser-Busch Inbev SA had an annual average earnings growth of 9.50% over the past 10 years.
- [By Dan Caplinger]
The big news for Constellation during the quarter came in April, when Anheuser-Busch InBev (NYSE: BUD ) got government approval for its $20.1 billion buyout of Grupo Modelo. In order to satisfy antitrust regulators, Anheuser-Busch had to have Modelo sell its 50% stake in its Crown Imports joint venture to Constellation, as well as allowing Constellation to buy the Piedras Negras brewery that will serve as the primary production facility to deliver Corona beer and other Crown Imports products to the U.S. market. The Modelo buyout, and subsequent sales to Constellation, closed earlier this month.
Best Heal Care Companies To Watch In Right Now: Altec Holdings SA (AXY)
Altec Holdings SA the parent company of Altec Group, is a Greece-based company engaged in the information technology and telecommunications fields. The Company's range of activities includes the manufacture, import, export, trade, distribution, leasing and support of computers and telecommunication materials, as well as the design, production, development, import, export, leasing and trading of software for computers and electronic cash registers. Its hardware products include a range of personal computers, servers and related equipment. Its software products include systems for enterprise resource planning, customer relationship management, accounting, human resource management, payroll and data warehousing, insurance brokerage software and equipment for call centers. It operates a retail network under the brand Microland. The Company has established subsidiaries in Romania, Bulgaria and Cyprus. Advisors' Opinion:- [By John Udovich]
Yesterday, small cap geothermal stock U.S. Geothermal Inc (NYSEMKT: HTM) produced a geyser of a return when it surged 26.79%, meaning its worth taking a closer look at the stock verses the performance of other geothermal stocks like small cap Ormat Technologies, Inc (NYSE: ORA) and mid cap Calpine Corporation (NYSE: CPN).�First of all, I should mention there are some other geothermal stocks out there like Alterra Power Corp (CVE: AXY) and Ram Power Corp (TSE: RPG) who have their primary listing on Canadian exchanges with secondary ones on the OTC���meaning they may not be a good deal for American investors or easy to invest in. Second, U.S. Geothermal Inc itself is a good geothermal proxy as its�focused on developing, owning, and operating clean, sustainable electric power from geothermal energy resources and its�operating geothermal power projects at Neal Hot Springs, Oregon; San Emidio, Nevada; and Raft River, Idaho plus El Ceibillo, an advanced stage, geothermal prospect located within a 24,710 acre energy rights concession area near Guatemala City, the largest city in Central America.
Best Heal Care Companies To Watch In Right Now: WisdomTree LargeCap Dividend Fund (DLN)
WisdomTree LargeCap Dividend Fund (the Fund) seeks investment results that closely correspond to the price and yield performance of the WisdomTree LargeCap Dividend Index (the Index). The Index is a fundamentally weighted index that measures the performance of the large-capitalization segment of the United States dividend-paying market. The Index consists of the 300 largest companies ranked by market capitalization from the WisdomTree Dividend Index.
The Index is dividend weighted annually to reflect the proportionate share of the aggregate cash dividends each component company is projected to pay in the coming year, based on the most recently declared dividend per share. The Fund�� investment advisor is WisdomTree Asset Management, Inc., a wholly owned subsidiary of WisdomTree Investments, Inc.
Advisors' Opinion:- [By Todd Rosenbluth, Senior Director, S&P Capital IQ]
The smallest of the four ETFs is WisdomTree LargeCap Dividend Fund (DLN) which owns the 300 largest US dividend paying companies; their median market capitalization is $20 billion.
Best Heal Care Companies To Watch In Right Now: Gladstone Investment Corporation (GAIN)
Gladstone Investment Corporation specializes in buyouts and recapitalizations. It seeks to make debt and equity investments in small and mid-sized private businesses. The fund invests in junior subordinated loans, mezzanine debt, preferred stock, and warrants to purchase common stock of companies based in the the United States. It can also invest in senior secured loans and common stock. The fund prefers to invest between $3 million and $20 million. It invests individually as well as jointly with other buyout funds. The fund is treated as a business development company under the 1940 Act.
Advisors' Opinion:- [By Monica Wolfe]
Gladstone Investment Corporation (GAIN)
Over the past week two corporate executives made buys into Gladstone Investment Corporation. COO Terry Brubaker made three different buys over the past week and CEO David Gladstone made one.
- [By Monica Gerson]
Gladstone Investment (NASDAQ: GAIN) is projected to post its Q4 earnings at $0.17 per share on revenue of $8.90 million.
First Horizon National (NYSE: FHN) is expected to report its Q2 earnings at $0.17 per share on revenue of $286.98 million.
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