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Just Another Manic Monday

The Dow is up another 125 points (0.5%) this morning.

The S&P is already up 22% for the year and, as you can see from this WSJ chart,  We've had lots of good years lately with the 2 down years in the last 10 combining for a total loss of less than 7% while the 8 positive years have added 142% but keep in mind that's cumulative, with the gains compounding each year – giving us the incredible new highs the market is at right now – despite having first dropped almost 40% in 2008.

On Fox News this morning, a guest was saying that we can't raise taxes now because the economy is so good that there's bound to be a recession coming so we need low taxes to fight off the recession.  Of course, when there is a recession – they'll tell us that they need to lower taxes too.  I've been watching a lot of Fox News this weekend as I'm on a ship and it's the only US news channel.  By the way, when are the Democrats going to stop harassing poor Presient Trump?

Our market rally has clearly been led by the Information Technology sector, which is up 36% and companies like Apple (AAPL), Chipotle (CMG) and Target (TGT) are up over 60% for the year, boosting the large-cap sector.  The S&P 500 is now trading at 20 times the earnings of it's components - another all-time high and significantly higher than other countries are trading.

When will the music stop – if it ever does?  The "normal" p/e ration for the S&P 500 is 16 – so we're 25% above that but "normally" there are other things you could do with your investment capital, like put it in the bank, bonds or housing but the banks and bonds now CHARGE YOU to hold your money in many countries and don't pay enough to keep up with inflation in the US while bonds are ridiculously low thanks to the Fed – certainly not a place you want to invest.

Real Estate is what led the last market correction so investors are sensibly gun-shy about tying up their assets in that sector again and that pretty much leaves equities so perhaps there's some sense to the premium equities are currently commanding but – just like the last bubble was fueled by unsustainable loans – this equity bubble is fueled by unsustainably Low Tax Rates, unsustainably high levels of Corporate and Consumer Borrowing and unsustainably low Fed Funds Rates.  

As I noted last week, the European Central Banks have already gone negative and the unintended consequences of low rates are already getting them to begin unwinding those.  The United States is the World's #1 borrower of money, needing $100Bn in loans each month just to finance our current annual Deficit but we're also borrowing $200Bn a month as we roll over our existing $23Tn in debt so, while we may WISH for low rates to continue – if other countries begin offering higher rates to attract lenders – we will be forced to do the same.

Unfortunately, when a country begins raising rates, the value of the existing low-rate bonds starts to decline.  If you have a 30-year bond that pays 2%, let's say $100,000 becomes $160,000 in 30 years – then a 30-year bond at 4% would become $220,000 in 30 years.  Your bond is literally now worth $60,000 less than a current bond, which can be purchased for the same $100,000.  So what happens to your bond?  You will be forced to sell it for a discount – possibly taking a very significant loss on your low-rate bond if you wish to cash it out.

As you can see from the chart above – it's been many, many years since bondholders have had significant losses but rates are not likely to keep going down forever and that day will eventually come and that's going to cause massive turmoil as $23Tn in US Bonds begin to lose their value.

Last Thursday, we discussed a short play on TLT for our Short-Term Portfolio but, if you are a bond-holder, you may want to consider using a short on TLT as a hedge to the value of your bonds.  That trade is already up $370 but that's nothing as our goal is +$5,750, so it's still good for a new trade.  Overall our STP is up 21.7% in its first month, led by a very nice recovery in our Booking (BKNG) short – despite the broad-market rally.

This week, we still have plenty of earnings reports and PLENTY of Fed Speak with 9 scheduled speeches in 4 days  and 4 on Wednesday around the 10-year note auction at 10am – so I think they may be a little worried about how that goes with the new, lower rates.  Today we begin with Factory Orders and tomorrow we have PMI Services and ISM Non-Manufacturing and Consumer Sentiment is Friday but not all that much exciting on the data front so earnings will remain the key focus and so far, so good with those.

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In 1999, the Nasdaq went up 100% even after a fantastic run in the past decade.  By the middle of 2000, it was half of where it started 1999 but were the people who sat out the 100% rally and the subsequent drop right or did they miss something?   I was one of those people and I still couldn't tell you whether or not it was the right move.  It's easy to say you should have caught the rally and magically assume you would have also optimized your exit.  I thought this market was too tricky to risk in September and it still seems that way to me.

While we're happy to do some earnings plays and short-term trades – even some dividend plays – it's still very hard to put together a premise for risking large sums of money in long-term positions at these high valuations.  Sure there are bargains to be had – and we'll see how earnings play out but we're still very Cashy and Cautious at the moment.

 


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  1. STJ,

    Russell small cap chart doesn't seem to be updating last 2 or 3 days. Please take a look… Thank you as always.


  2. Good Morning!


  3. Thanks Jasu! I have to check with StockCharts…


  4. Looks like I need to contact their support now – the chart is not updating anymore. 


  5. Comment content omitted because it is too long.


  6. Good morning from the middle of the ocean!

    Isn't technology amazing?  Other than a very poor selection of TV channels (poor Trump!), I'm pretty well connected somewhere in the Atlantic Ocean with nothing in site (sea day) as far as the eye can see.  Today is a work day for me but tomorrow I'll only be around a bit in the morning and then it's a family day and Wednesday we're back in Florida early so I'll have a place-setting post up in the AM and I'll join you guys about 10:30.  No Webinar though – too exhausting!

    Despite missing the last 50 points of Russell gains, the Big Chart looks very strong and even the NYSE is breaking up.

    Equities rose across the globe overnight, with Hang Seng climbing 1.7% to lead gains in Asia, the Europe Stoxx 50 up by 1% and DJIA futures pointing to another 100-point advance at the open.

    There's lots of optimism surrounding trade. U.S. Commerce Secretary Wilbur Ross said positive talks being held with automakers in Europe and Japan may mean tariffs could be avoided on cars being imported into the U.S., while licenses for American firms to sell to Huawei will be granted "very shortly."

    A surprise jobs number on Friday saw American employers add 128K jobs in October – comfortably beating an estimate of 89K – adding to upbeat market sentiment.

    Fed is 'effectively on pause,' Kashkari says

    • As hinted at in last week's Fed press conference, the central bank is "effectively on pause for a while," Minneapolis Fed President Neel Kashkari told CNBC in an interview.
    • Kashkari, who isn't a voting member on the FOMC this year, says he doesn't think the Fed shouldn't raise rates again until core inflation returns to a 2% annual growth rate.
    • It's "concerning" that inflation expectations appear to continue drifting lower, Kashkari said.
    • He doesn't want the U.S. to follow Europe and Japan to the downside "because then our tools would be very limited" in the event of a downturn, he said.

    Best-performing market of 2019: China

    • The 31% advance by the CSI 300 of major Shanghai and Shenzhen-listed stocks outshines the 8.5% climb of Britain's FTSE 100, the rise of 11.5% by Japan's Topix and the gain of 22.3% by the S&P 500.
    • Even after accounting for weakness in China's yuan, the stock benchmark is up more than 28% this year in dollar terms.
    • A rough 2018 saw the CSI 300 tumble 25% on the back of an intensifying trade war and a deleveraging campaign that tightened domestic liquidity.

    Microsoft agrees with me!

    Microsoft Japan (NASDAQ:MSFT) appears to have found the perfect recipe to Monday morning blues and it actually led to an almost 40% jump in productivity levels for its workforce.

    The firm experimented with a four-day workweek this past August – giving Fridays as paid leave – and 92% of employees said they were happy with the program by the end of its run.

    Printing 58.7% fewer pages and using 23.1% less electricity, Microsoft Japan is planning to conduct a similar work-life challenge this winter.

    AAPL agrees with me too – I used to do this with Accu-Search Employees:

    Apple commits $2.5B to California housing issues

    • Apple (NASDAQ:AAPL+0.7% commits the money as part of a "comprehensive" plan to address housing availability and affordability in California.
    • The $2.5B commitment will include a $1B affordable housing investment fund, a $1B first-time homebuyer mortgage assistance fund, $300M in Apple-owned and available land for housing, a $150M Bay Area housing fund, and $50M earmarked for supporting "vulnerable populations."
    • The funding commitments are expected to take about two years to be fully utilized. Capital returned to Apple will be reinvested in future projects over the next five years

    You know what's weird about Fox News – if you listen long enough you notice how much they repeat the same talking points.  Guest after guest tends to come around to make the same point – drumming it into the viewers heads and some of those viewers are GOP Congresspeople because this morning they are instructing them on how they are to answer impeachment questions.  The Whistleblower MUST be exposed!  If the Reps are allowed to do this, the whole concept of whistleblowing suffers and that's a very dangerous precedent – not just for government – but corporations too.  

    Oh, that was Ken Star himself hammering on it that time.  

     


  7. Monday's economic calendar

    Ryanair dashes hopes of Jan 737 MAX delivery

    • Ryanair (NASDAQ:RYAAY) now expects to take delivery of its first Boeing (NYSE:BA) 737 MAX in March at the earliest, pushing its passenger growth for next year to its lowest level in years. In July it said it hoped to receive it in January.
    • "The risk of further delay is rising," CEO Michael O’Leary said in a statement, adding that the plane has the potential to be a "game changer" despite its delayed return to service.
    • As a result, Ryanair forecasts the number of MAX planes it expects to be flying around the middle of next year to 20 from its July forecast of 30 (and its original plan of 58).

    General Electric: A Sign Of Hope 

    Under Armour tumbles after probe, results

    • Under Armour (NYSE:UAA) is being probed by the Justice department and the SEC for accounting practices, reports the WSJ.
    • At issue is the company's recognition of revenue, and whether numbers were shifted around to artificially improve results.
    • The DOJ is conducting a criminal probe and coordinatiing with the civil investigation at the SEC.
    • The company says it's been cooperating with the DOJ and SEC on this issue for a couple of years, and "firmly believes" its accounting practices and disclosures are appropriate.
    • UAA's earnings report is set for tomorrow morning before the opening bell.
    • Under Armour (NYSE:UAA) reports revenue were flat on a constant currency basis in Q3.
    • Wholesale revenue down 2% to $892M and direct-to-consumer revenue -1% to $463M.
    • North America revenue slipped 4% to $1B while International revenue grew 5% to $368M.
    • Apparel revenue up 1% to $986M; Footwear revenue fell 12% to $251M; Accessories revenue +2% to $118M.
    • Gross margin rate improved 220 bps to 48.3%, driven by channel mix, supply chain initiatives and restructuring charges in the prior period.
    • SG&A expense rate grew 190 bps to 38.5%.
    • Inventory declined 23% to $907M.
    • Total debt dropped 26% to $592M.
    • FY2019 Guidance: Revenue: +2% vs. prior outlook of ~+3% to +4%; Gross margin rate: ~+130 bps to +150 bps; Adjusted gross margin rate: ~+90 bps to +110bps; Operating income: High end of $230M to $235M; Interest and other expense net: ~$30M; Effective tax rate: ~22%; Diluted EPS: High end of $0.33 to $0.34; Capex: ~$180M.
    • Moving the stock though is news of dual probes by the DOJ and SEC in regards to the company's accounting practices. The leak of the probes comes just days after CEO Kevin Plank announced his departure from an operating role at the company.
    • UAA -12.87% and UA -11.95% premarket.
    • Previously: Under Armour EPS beats by $0.04, beats on revenue (Nov. 4)

    Image result for FERRARI cartoon wealthFerrari +5% after earnings topper

    • Ferrari (NYSE:RACE) is higher after the company beats Q3 revenue, EPS and EBIT estimates off deliveries growth of 9.4%. Sales of V8 models were up 9.5% during the quarter and V12 sales were 8.9% higher.
    • Ferrari also raised guidance, saying it now expects full-year revenue of €3.7B vs. €3.5B prior and €3.72B consensus. EBITDA of €1.27B is expected vs. €1.21B to €1.25B prior and €1.27B consensus.
    • Shares of Ferrari are up 4.78% in premarket trading to $169.10.
    • Previously: Ferrari EPS beats by €0.04, beats on revenue (Nov. 4)

    Porsche reports 13.1% rise in U.S. retail sales October

    • Porsche (OTCPK:POAHY) unit sales rose 13.1% to 5,447 units in October.
    • 911 sales increased 65% to 1,302 units.
    • 718 sales fell 24.6% to 239 units
    • Cayenne sales +0.1% to 1,216 units.
    • Panamera sales slipped 33.5% to 360 units.
    • Macan sales increased 19.2% to 2,330 units.
    • YTD Porsche U.S. sales grew 6.5% to 50,509 units.

    McDonald's -3% after CEO dismissal factored in

    • McDonald's (NYSE:MCDhas fired Steve Easterbrook as president and CEO for violating the company's policy over a relationship with an employee. Easterbrook will also exit the board.
    • "This was a mistake. Given the values of the company, I agree with the board that it is time for me to move on," writes Easterbrook.
    • He's been replaced by Chris Kempczinski, who previously ran McDonald's U.S. business. Kempczinski will also join the board.
    • Replacing Kempczinski atop the U.S. operation is Joe Erlinger, who previously was president, International Operated Markets.
    • Analysts are weighing in on the dismissal of McDonald's (NYSE:MCD) CEO Steve Easterbrook from the restaurant company.
    • On the cautionary side, MKM Partners cuts its price target to $225 from $240 as its warns on a period of uncertainty for investors and Piper Jaffray lowers its rating to Neutral from Buy. Meanwhile, Stephens calls today's dip in share price an attractive entry point for investors with McDonald's on firm ground fundamentally.
    • McDonald's is down 2.61% in premarket action to $188.87.

    White House delays hospital transparency rule

    • Citing its intent to expand its plan to include health insurers, the Trump administration is delaying the implementation of a rule requiring hospitals to disclose heretofore confidential rates for services. U.S. Centers for Medicare and Medicaid Services (CMS) chief Seema Verma says the administration prefers a less disjointed approach and will proceed expeditiously to release a combined plan this quarter.
    • The delay, even if short, is a reprieve for hospital operators since they consider negotiated rates as contractual trade secrets. They have stated publicly that they will sue to block the rule.
    • The White House has made price disclosure a cornerstone of its strategy to rein in ever-increasing healthcare costs.
    • Opinions vary on the rule's potential impact. Supporters claim that price transparency will drive down prices but a 2016 survey of 31 health plans (covering 140M members) that provided tools to access transparency information showed that only 19% of plans that evaluated the tools found that consumers switched to lower-cost providers based on enhanced disclosure (the modest impact could be result of the user-friendliness of the tools, however). Industry authorities counter that costs could rise if certain hospitals or doctors discover that competitors are getting better deals and demand the same, adding that consumers are focused on out-of-pocket costs and won't benefit from full disclosure of negotiated prices.

    Fracking halted across the U.K.

    • The U.K. has suddenly ordered a total freeze on fracking operations, citing public safety after a series of tremors.
    • It signals a major shift in policy for Boris Johnson's conservative government, which previously supported the fracking industry as a way to cut Britain's reliance on foreign energy imports.
    • Business Secretary Andrea Leadsom told BBC radio that the moratorium will stay in place for the foreseeable future, or until scientists say fracking can be done safely.

    Saudi Aramco kicks off long-delayed IPO

    • Shares are set to begin trading on the Saudi stock market in early December, while the IPO prospectus will likely be released on Nov. 10.
    • The Capital Market Authority did not list a time frame or say how much Aramco (ARMCO) would sell, but sources told Reuters the oil giant could offer 1%-2% of its shares on the local bourse, raising as much $20B-$40B.
    • Producing about one-tenth of the world's crude output, Saudi Aramco is the world's most profitable company, making $111B in net income in 2018.

    Berkshire's Geico underwriting earnings fall, railroad earnings rise

    • Taking a closer look at some of Berkshire Hathaway's (NYSE:BRK.B) (NYSE:BRK.A) operations, Geico's Q3 underwriting pretax operating earnings of $376M fell from $627M in the year-ago quarter.
    • Berkshire Hathaway Reinsurance Group, though, posted underwriting earnings of $52M vs. a $163M loss in the year-ago quarter.
    • Berkshire Hathaway Primary Group pretax underwriting operating earnings rose to $153M from $135M.
    • At its rail operations, BNSF, Q3 pretax operating earnings of $1.94B increased from $1.88B in the year-ago quarter.
    • During Q3, the company placed back into service all key routes impacted by flooding that occurred earlier in the year. Earnings in 2019 benefited from higher rates per car/unit, a curtailment gain related to an amendment to defined benefit retirement plans, and ongoing operating cost control initiatives.
    • Previously: Berkshire Hathaway Q3 earnings gain on insurance investment income (Nov. 2)

    Insurance investment income boosts Berkshire's Q3

    • Berkshire Hathaway (NYSE:BRK.B) (NYSE:BRK.AQ3 operating earnings of $7.86B rises 14% Y/Y, on gains in insurance investment income; railroad, utilities, and energy; and other. By segment:
    • Insurance underwriting was little changed at $440M vs. $441M in the year-ago quarter.
    • Insurance – investment income $1.48B, up 20% Y/Y.
    • Railroad, utilities, and energy $2.64B, up 6.4%.
    • Other businesses $2.46B vs. $2.41B, up 1.8%.
    • Other $835M, up 174%.
    • Update at 8:20 AM ET: Fair value of it stake in Kraft Heinz falls to $9.09B vs. $10.1B at June 30, 2019; carrying value at $13.8B vs. $13.5B at June 30, 2019.
    • Update at 8:13 AM ET: Cash and holdings in short-term Treasury bills increases to $128B from $122B at the end of Q2.
    • Bought back ~$700M of stock during the quarter.
    • At Sept. 30, 2019, insurance float was ~$127B, up $4B since the end of 2018.
    • Q3 net income of $16.5B fell from $18.5B in the year-ago quarter.
    1. Net income includes unrealized on equity security investments of $8.0B in Q3 2019 and $10.2B in the year-ago quarter.
    2. Also includes after-tax realized gains of sales of investments of ~$513M in Q3 2019 and $955M in Q3 2018.

     


  8. Fox is also running this SNL Sketch over and over as they consider it a colossal burn on Warren.  Apparently they love SNL when it makes fun of Dems….


  9. Phil – On a ship in the middle of the Atlantic with only Fox… self flagellation much?  ;)


  10. It really makes you appreciate living in a not-yet as fascist state when you get home! 

    Seriously I am getting worried that the Dems don't have a case for impeachment – they couldn't get ANY Republicans to vote for it – that proves they are making it up…

    Image result for fox news propaganda

    Image result for fox news propaganda

    Image result for fox news banned

    Image result for fox news banned


  11. Here’s the salary of every governor in all 50 US states



  12. How To Reach U.S. Net Zero Emissions By 2050: Decarbonizing Industry




  13. Energy really zooming:


  14. Dividend Portfolio holding up well in Week 2 – most things still playable:


  15. Earnings Portfolio is all on track but yawn….  Need to make a few shorter-term plays if we can find them so please suggest on upcoming stocks as I'm screen-limited today and tomorrow.


  16. I have a stock worth $9.08/share.   If I sell $9 calls expiring in a few month for $0.22/share would I get called away once the call price drops below $0.08 (assuming stock price has not changed) or not until expiration?


  17. Stock/Tangled – There's no certainty but it's a good rule of thumb that if the premium of the option is less than the dividend about to be paid – you have a high risk of being called away.  If there is no dividend and there is any premium at all to the options price, you are not likely to be called away.  This is, of course, why I prefer to sell long-term calls, even if we get called away, at least we collected a lot of premium up front.  


  18. Phil/FTR,

    Any earnings play on FTR. It seems that the options are pricing way high move than the average move? anything to note here…

    regards




  19. FTR/Pat – Not really an earnings play as we don't expect anything fast to happen but, over the long-term, I like playing FTR not to go BK, which is what they are priced for and, as a long-term play, you can:

    • Buy 10,000 shares of FTR for 0.96 ($9,600)
    • Sell 100 shares of FTR 2022 $1 calls for 0.70 ($7,000)
    • Sell 50 shares of FTR 2022 $1 puts for 0.70 ($3,500)

    So the worst case is you have a net $900 credit on 5,000 shares of FTR to net in for 0.82 ($4,100) if they do go BK – that's the max loss but break-even is about 0.30 as you own 1,000 shares for net $0 and, if assigned 500 more below $1, you have 15,000 shares for $4,100 or 0.2733/share.  On the upside, anything over $1 makes you $10,000 and hopefully you can roll the short callers if things start to turn around.

    FTR used to pay a huge dividend, by the way and I assume stocks that used to pay a dividend would like to again when things calm down.

    Year End 31st Dec 2013 2014 2015 2016 2017 2018 TTM 2019E 2020E CAGR / Avg
    Revenue $m 4,762 4,772 5,576 8,896 9,128 8,611 8,418 8,188 7,701 +12.6%
    Operating Profit $m 826.5 820.2 745 902 -1,656 828 -5,063     +0.04%
    Net Profit $m 112.8 132.9 -196 -373 -1,804 -643 -6,049 -5,505 -31.8  
    EPS Reported $ 1.66 1.95 -4.41 -7.60 -36.6 -8.36 -58.3      
    EPS Normalised $ 3.89 3.68 -2.29 -3.31 -11.3 -3.47 -16.9 -52.8 -1.74  
    EPS Growth % +5.6 -5.5                
    PE Ratio x           n/a n/a n/a n/a  
    PEG x           n/a n/a n/a n/a
    Profitability

    Yes, they are going to lose $5.5Bn this year but, if all goes well, small loss next year and hopefully profits after that yet, at $1, the whole company is $103M.  Sprint (S) lost $1.9Bn on $33Bn in sales and they have a $25Bn valuation.  If the truth is just a little in between the two – it could be a huge plus for FTR.



  20. Trump now has opening to pull US out of Paris climate pact


  21. Phil,

    What do you thing of SPG? Is it good for dividend portfolio?

    Gabor


  22. Phil,

    Any thoughts on IIVI 10%+ move up off lows (post FNSR deal)?

    Thanks


  23. SPG/Kgab – Probably unfairly knocked down with the REITs.  $157 is $47Bn and they made $2.2Bn so p/e about 20 is kind of high (historically) so I don't consider them a great bargain but they are a very steady dividend-payer, paying $8.40 per shares so better than 5%, which is nice.  The reason I don't play them is they've been expensive and SKT is only 13x profits and pays 8.5% (was 10%) and I feel SKT's model (outdoor outlet malls) has less risk than SPG's mega-mall, which would take a big hit if SHLD finally goes BK – or M or JCP….

    And, of course, we already have M with a p/e of 6 and a 10% dividend, so there would be no point in playing SPG as well as we already have risk exposure to M.

    IIVI/8800 – They are going to have a rough year absorbing FNSR but it was a nice bottom action at $32.  I prefer to see a couple of quarters of combined earnings before jumping into a combo like that but they are projecting a very swift integration. If I were going to play them, I'd just sell April $35 puts for $3.80 and see how that goes a $31.20 isn't a bad entry to work off and you can always add a bull call spread if you like the combined results.


  24. Phil,

    What are your thoughts on MCD? Also UAA?

    Thanks,

    hari


  25. Phil,

    Thanks for the thoughts on IIVI.





  26. Q3 GDP: A Slow Trudge Is The Best Case






  27. MCD/Harip – CEO just left so that didn't help.   I thought $200+ was very stupid as it was a $160Bn valuation for a fast food company making $6Bn a year (27x) and I know I sound old-fashioned and crazy when I say this but I just don't think these insane valuations are sustainable over the long-haul.  Now, just because MCD has dropped back to $147Bn at $187 – it doesn't make them a bargain.  Sales now are $21Bn and profits are $5.9Bn and in 2013 they were $28Bn and profits were $5.5Bn so essentially no improvement in 6 years other than in 2013 they were $100/share and now you are asking me if $200/share is a good price for the same company making the same money….

    UAA/Harip – They are in a major scandal – not that I've ever liked them anyway.  Even now, down 20% for the day, $17 is still $9.5Bn for a company that made $250M in it's best year (2016) and then lost $48M in 2017 and $46M in 2018.  In the first two Qs this year, they had a gain and a loss for net $5M and last Q4 they made $75M but even $100M is 95x earnings and for what?  What's so exciting about these guys?

    LULU, on the other hand, at $195 is $27.5Bn and makes $600M a year and is constantly growing at a 15% clip.  Still pricey (we haven't played them in ages) but a lot better chance of justifying $27.5Bn than UAA has of justifying $9.5Bn on 1/6th the sales (at best).

    Year End 03rd Feb 2014 2015 2016 2017 2018 2019 TTM 2020E 2021E CAGR / Avg
    Revenue $m 1,591 1,797 2,061 2,344 2,649 3,288 3,581 3,879 4,452 +15.6%
    Operating Profit $m 391.4 376 369.1 421.2 456 705.8 764.1     +12.5%
    Net Profit $m 279.5 239 266 303.4 258.7 483.8 534.5 619.9 728.6 +11.6%
    EPS Reported $ 1.91 1.66 1.89 2.21 2.33 3.67 4.11     +13.9%
    EPS Normalised $ 1.91 1.66 1.89 2.21 2.53 3.67 4.11 4.74 5.62 +13.9%
    EPS Growth % +3.2 -13.5 +14.2 +16.8 +14.5 +44.9 +31.0 +29.3 +18.4  
    PE Ratio x           54.7 48.9 42.3 35.7  
    PEG x           1.87 1.67 2.30 1.91
    Profitability

    And, of course, there's always HBI with $7Bn in sales and $600M in profits yet you can buy the whole thing for $5.6Bn at $15.71 but nooooooo – no one wants to own a boring company that actually makes money anymore, do they?


  28. We have been wasting the UBER falling knife!





  29. At Least 9 Members of Mormon Family Are Killed in Ambush in Mexico


  30. Impeachment bombshells highlight Trump’s power grabs