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Boeing’s Price Target Boosted at Bank of America/Merrill Lynch (BA)

Aircraft maker The Boeing Company ( BA ) on Thursday saw its price target lifted by analysts at Bank of America/Merrill Lynch. The analyst raised its price target for BA to $77 from $65, noting that the stock normally outperforms as we head into the summer Air Shows season. Bank of America/Merrill Lynch maintained its “Buy” rating on the stock. Boeing shares, which had closed at $70.01 on Wednesday, were mostly flat in premarket trading Thursday. The Bottom Line We have been recommending shares of BA since Aug.27, when the stock was trading at $47.82. The company has a 2.40% dividend yield, based on last night’s closing stock price of $70.01. The Boeing Company ( BA ) is a “recommended” dividend stock, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Boeing’s Price Target Boosted at Bank of America/Merrill Lynch (BA)

March 11, 2010   No Comments

Dr Pepper Snapple Group Now Rated a “Buy” at UBS (DPS)

Beverage giant Dr Pepper Snapple Group Inc. ( DPS ) was upgraded to “Buy” on Thursday by analysts at UBS. The analyst also set a $42 price target on DPS shares, which had closed at $33.65 on Wednesday. In addition, UBS said it raised its earnings estimates for the company, citing strong fundamentals and future share buybacks. Dr Pepper Snapple Group shares rose 55 cents, or +1.6%, in premarket trading Thursday. The Bottom Line We have been recommending shares of DPS since Nov.20, when the stock was trading at $26.69. The company has a 1.78% dividend yield, based on last night’s closing stock price of $33.65. Dr Pepper Snapple Group Inc. ( DPS ) is a “recommended” dividend stock, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Dr Pepper Snapple Group Now Rated a “Buy” at UBS (DPS)

March 11, 2010   No Comments

Men’s Wearhouse Swings to Q4 Loss (MW)

Mens dress clothing retailer The Men’s Wearhouse, Inc. ( MW ) said late Wednesday that it swung to a fourth quarter loss, hurt by one-time charges, but adjusted results beat expectations. The Houston-based company reported a fourth quarter net loss of $18.9 million, or 36 cents per share, compared with a profit of $1.5 million, or 3 cents per share, in the year-ago period. Excluding one-time charges, its adjusted loss was 11 cents per share. Revenue fell 4% from last year, to $457.2 million. On average, Wall Street analysts expected a worse loss of 16 cents per share, albeit on higher revenue of $465.9 million. Looking ahead, the company forecast first quarter earnings of 12 to 16 cents per share, which would beat analysts’ current estimates for 9 cents per share. Still, Men’s Wearhouse shares plunged $1.68, or -6.8%, in premarket trading Thursday. The Bottom Line We have avoided shares of MW since our early June 2008 coverage began, when the stock was trading at $19.80. The company has a 1.45% dividend yield, based on last night’s closing stock price of $24.83. The stock has technical support in the $20 price area. If the shares can gain on this morning’s momentum, we see overhead resistance around the $27-$28 price levels. We would remain on the sidelines for now. The Men’s Wearhouse, Inc. ( MW ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Men’s Wearhouse Swings to Q4 Loss (MW)

March 11, 2010   No Comments

American Eagle Q4 Profit Surges 81%, Matching View (AEO)

Teen clothing retailer American Eagle Outfitters ( AEO ) said Wednesday that its fourth quarter profit jumped 81% from last year, matching analyst estimates. The Pittsburgh-based company reported fourth quarter net income of $59.3 million, or 29 cents per share, compared with $32.7 million, or 16 cents per share, in the year-ago period. Excluding one-time charges, adjusted profit was 33 cents per share. Sales rose more than 7% from last year, to $972 million, while same-store sales were up 5%. On average, Wall Street analysts expected a matching profit of 33 cents per share, on lower revenue of $952.3 million. Looking ahead, the company forecast first quarter earnings to range from 15 to 17 cents per share, which would meet or exceed analysts’ current estimates of 15 cents per share for the quarter. American Eagles shares rose $1, or +5.8%, in premarket trading Wednesday. The Bottom Line We had removed shares of AEO from our “recommended” list last Sept.29, when the stock was trading at $15.90. The company has a 2.33% dividend yield, based on last night’s closing stock price of $17.15. The stock has technical support in the $14 price area. If the shares can firm up, we see overhead resistance around the $19-$20 price levels. We would remain on the sidelines for now. American Eagle Outfitters ( AEO ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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American Eagle Q4 Profit Surges 81%, Matching View (AEO)

March 10, 2010   No Comments

Kraft Foods’ Price Target Boosted at Citigroup (KFT)

Packaged foods giant Kraft Foods Inc. ( KFT ) saw its price target raised on Tuesday by analysts at Citigroup. The analyst lifted its price target for KFT shares, which had closed at $29.17 on Monday, to $36 from $33, citing bullish sentiment from the Cadbury ( CBY ) acquisition. Citigroup set its 2010 and 2011 EPS estimates for the company at $2.10 and $2.35, respectively, and reiterated its “Buy” rating on the stock. Kraft Foods shares rose 20 cents, or +0.7%, in premarket trading Tuesday. The Bottom Line We have been recommending shares of KFT since May 5, when the stock was trading at $24.26. The company has a 3.98% dividend yield, based on last night’s closing stock price of $29.17. Kraft Foods Inc. ( KFT ) is a “recommended” dividend stock, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Kraft Foods’ Price Target Boosted at Citigroup (KFT)

March 9, 2010   No Comments

Best Buy’s Price Target, Earnings Estimates Cut at Goldman Sachs (BBY)

Electronics retailer Best Buy Co., Inc. ( BBY ) on Tuesday saw its price target and earnings estimates lowered by analysts at Goldman Sachs. The analyst cut its price target for BBY shares, which had closed at $39.35 on Monday, to $44. Goldman also lowered its earnings estimates for the company, citing lower expected margins, and maintained its “Neutral” on the stock. Best Buy shares were mostly flat in premarket trading Tuesday. The Bottom Line We removed shares of BBY from our “recommended” list last May 13, when the stock was trading at $37.06. The company has a 1.42% dividend yield, based on last night’s closing stock price of $39.35. The stock has technical support in the $35 price target. If the shares can firm up, we see overhead resistance around the $43-$45 price levels. We would remain on the sidelines for now. Best Buy Co., Inc. ( BBY ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Best Buy’s Price Target, Earnings Estimates Cut at Goldman Sachs (BBY)

March 9, 2010   No Comments

FBR Capital Raises Estimates for Franklin Resources (BEN)

Investment manager Franklin Resources, Inc. ( BEN ) saw its earnings estimates boosted on Tuesday by analysts at FBR Capital Markets. The analyst raised its estimates for BEN through 2011, citing higher global bond asset flows. FBR Capital currently rates the stock as a “Market Perform” with a $118 price target. Franklin Resources shares, which had closed at $108.32 on Monday, fell 69 cents, or -0.6%, amid a broad market sell-off in premarket trading Tuesday. The Bottom Line We have avoided shares of BEN since our early June 2008 coverage began, when the stock was trading at $99.63. The company has a .81% dividend yield, based on last night’s closing stock price of $108.32. The stock has technical support in the $97-$103 price area. If the shares can firm up, we see overhead resistance around the $115 price level. We would remain on the sidelines for now. Franklin Resources, Inc. ( BEN ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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FBR Capital Raises Estimates for Franklin Resources (BEN)

March 9, 2010   No Comments

Texas Instruments Raises Low End of Q1 Guidance (TXN)

Microchip maker Texas Instruments Incorporated ( TXN ) late Monday raised the low end of its first quarter guidance, and said it was struggling to keep up with higher-than-expected chip demand. The company said it now expects first quarter earnings of 48 to 52 cents per share, compared with prior guidance for 44 to 52 cents per share. It also forecast first quarter revenue to range from $3.07 billion to $3.19 billion, up from earlier estimates of $2.95 billion to $3.19 billion. On average, Wall Street analysts currently expect 49 cents per share for the quarter, on revenue of $3.084 billion. Despite the raised guidance, Texas Instruments shares fell 34 cents, or -1.4%, in premarket trading Tuesday. The Bottom Line We have avoided shares of TXN since our early 2008 June coverage began, when the stock was trading at $31.24. The company has a 1.94% dividend yield, based on last night’s closing stock price of $24.69. The stock has technical support in the $20-$22 price area. If the shares can firm up, we see overhead resistance around the $26-$27 price levels. We would remain on the sidelines for now. Texas Instruments Incorporated ( TXN ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Texas Instruments Raises Low End of Q1 Guidance (TXN)

March 9, 2010   No Comments

H&R Block Q3 Profit Rises, but Filed Returns Plunge 9% (HRB)

Tax preparation company H&R Block, Inc. ( HRB ) said late Monday that its fiscal third quarter profit rose 7% from last year, despite fewer tax returns filed. The Kansas City-based company reported fiscal third quarter net income of $50.6 million, or 15 cents per share, compared with $47.4 million, or 14 cents per share, in the year-ago period. Revenue fell 6% from last year, to $934.9 million. On average, Wall Street analysts expected a slightly smaller profit of 14 cents per share, albeit on higher revenue of $949.6 million. The company said that the total number of tax returns it prepared through Feb. 28 were down 9.4% from last year. As a result, HRB refused to provide fourth quarter or full-year guidance. That refusal seemed to worry investors, as H&R Block shares fell 84 cents, or -5%, in premarket trading Tuesday. The Bottom Line We had removed shares of HRB from our “recommended” list last Oct.6, when the stock was trading at $23.72. The company has a 3.58% dividend yield, based on last night’s closing stock price of $16.74. The stock has technical support in the $15 price area. If the shares can firm up, we see overhead resistance around the $20 price level. We would remain on the sidelines for now. H&R Block, Inc. ( HRB ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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H&R Block Q3 Profit Rises, but Filed Returns Plunge 9% (HRB)

March 9, 2010   No Comments

McDonald’s Feb. Same-Store Sales Rise 4.8% (MCD)

Fast food giant McDonald’s Corporation ( MCD ) said Monday that its February global same-store sales rose a better-than-expected 4.8%. On average, Wall Street analysts had expected a smaller same-store sales increase of just 2.1%, according to two analysts surveyed by FactSet Research. Same-store sales are considered a key indicator of a retailer’s health, since they measure the performance of stores open at least 13 months. In the U.S., same-store sales rose 0.6%, and jumped 5.4% in Europe. The biggest jump was in the company’s Asia, Middle East and Africa segment, where same-store sales surged 10.5%. Total sales rose 11.2% from last February, or by 6.4% when excluding the impact of currency fluctuations. McDonald’s shares rose 61 cents, or +1%, in premarket trading Monday. The Bottom Line We have been recommending shares of MCD since Aug.12, when the stock was trading at $56.02. The company has a 3.46% dividend yield, based on Friday’s closing stock price of $63.67. McDonald’s Corporation ( MCD ) is a “recommended” dividend stock, holding a Dividend.com DARS™ Rating of 3.5 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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McDonald’s Feb. Same-Store Sales Rise 4.8% (MCD)

March 8, 2010   No Comments

U.S. Steel Upgraded to “Buy” at Goldman Sachs (X)

Steel maker United States Steel Corporation ( X ) caught a big upgrade on Monday from analysts at Goldman Sachs. The analyst raised its rating on X to “Buy” from “Neutral,” and lifted its six-month price target on the stock to $79 from $55. U.S. Steel shares had closed at $58.90 on Friday. Goldman noted that “Raw material prices continue to move up with scrap now in the lead and likely soon to be followed by higher iron ore and coking coal prices, which should provide support for higher steel prices.” U.S. Steel shares rose $1.90, or +3.2%, in premarket trading Monday. The Bottom Line Shares of U.S. Steel ( X ) have a dividend yield of .34%, based on last night’s closing stock price of $58.90. The stock has technical support in the $50 price area. If the shares can firm up, we see overhead resistance around the $65 price level. We would remain on the sidelines for now. United States Steel Corporation ( X ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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U.S. Steel Upgraded to “Buy” at Goldman Sachs (X)

March 8, 2010   No Comments

Macy’s Upgraded to “Buy” at Soleil Securities (M)

Famous retailer Macy’s, Inc. ( M ) saw its rating, price target, and earnings estimates all boosted on Monday by analysts at Soleil Securities. The analyst raised its rating on M to “Buy” from “Hold,” and lifted its price target on the stock to $28 from $19. Macy’s shares had closed at $20.45 on Friday. Soleil noted that “Our estimates are being increased by $0.15 for this year and $0.20 for next to $1.75 and $2.05. Industry trends are improving, and Macy’s monthly sales results have exceeded plan for 3 consecutive months. We see estimates and the share price going higher…Company has topped comp expectations for 3 straight months, including 3.7% increase in February. Results for the month were negatively impacted by 1.3% from snowstorms…Expenses are expected to grow only about 1% this year following a 2-year $400 million cost-cutting program, producing significant leverage opportunity if sales beat management’s 1%-2% growth plan. Our estimate is 3%-4%.” Macy’s shares rose 40 cents, or +2%, in premarket trading Monday. The Bottom Line We had removed shares of Macy’s from our “recommended” list back in September of 2008, when the stock was trading at $20.17. The company has a dividend yield of .98%, based on Friday’s closing stock price of 20.45. The stock has technical support in the $16 price area. If the shares can firm up, we see overhead resistance around the $22-$25 price levels. We would remain on the sidelines for now. Macy’s, Inc. ( M ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Macy’s Upgraded to “Buy” at Soleil Securities (M)

March 8, 2010   No Comments