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Closing Bell: Bulls Taking Control Again? (KKD, BP, ARMH, AAPL, APWR, TRMA)

Today's market might have been sparked by jobs if you read around the web, but Chinese export gains and overseas market gains coupled with a Euro recovery probably added more fuel to the buying fire than anything.

Here were today's unofficial closing bell levels:

Dow 10,172.53 +273.28 (2.76%)
S&P 500 1,086.84 +31.15 (2.95%)
Nasdaq 2,218.71 +59.86 (2.77%)

Top Analyst Calls

Continue reading Closing Bell: Bulls Taking Control Again? (KKD, BP, ARMH, AAPL, APWR, TRMA)

Krispy Kreme Doughnuts: Worth a Trade After Q1?

Krispy Kreme KKDKrispy Kreme Doughnuts (KKD) is not a stock I'm likely to buy. It's a single-digit equity, and the company has had its problems over the years. And even though it has seen its share of run-ups in the recent past, as the this chart indicates, I still am reticent to trade it (although, as a trading vehicle, I'm sure some of the Wall Street pros love it).

What does the most recent fundamental data say about the business? Actually, it isn't too bad, for the most part. Net income went up 100% to 6 cents per share in Q1, and same-store sales rose 3.4%, according to this BusinessWeek.

Continue reading Krispy Kreme Doughnuts: Worth a Trade After Q1?

Earnings highlights: AutoZone, Ciena, Costco, FedEx, Krispy Kreme, Kroger, MetLife, 3M ...

Here are some highlights from this past week's earnings coverage on BloggingStocks:

  • Advance Auto Parts Inc. (AAP) was downgraded due to concerns about its 2010 earnings outlook.
  • Analogic Corp. (ALOG) received an analyst's downgrade after it reported weaker-than-expected earnings.
  • AutoZone Inc. (AZO) strong Q1 results beat earnings expectations, but shares rose only a little.
  • BWAY Holding Co. (BWY) received an analyst's upgrade following release of its Q4 results.
  • Casey's General Stores Inc. (CASY) topped Q2 earnings estimates but lower revenue fell short.
  • Ciena Corp. (CIEN) shares plummeted after it fell short of its earnings expectations for Q4.

Continue reading Earnings highlights: AutoZone, Ciena, Costco, FedEx, Krispy Kreme, Kroger, MetLife, 3M ...

Krispy Kreme reports better-than-expected quarterly results

Doughnut dean Krispy Kreme (KKD) baked up its third-quarter earnings, revealing a net loss of four cents per share. The quarterly earnings reflect provisions for the settlement of litigation and related legal costs, which totaled three cents per share. A year ago, Krispy Kreme lost nine cents per share in the third quarter.

Krispy Kreme's president and CEO noted, "Our results continued to improve year-over-year in the third quarter ... Our improved results are evidence of progress in implementing our strategic initiatives, which have us on a path toward building a growing, profitable business that is sustainable for the long term."

Continue reading Krispy Kreme reports better-than-expected quarterly results

The week in preview: Profit expectations for Costco, Kroger, Movado and others

The earnings season, like the calendar year, is winding down. The sprinkling of quarterly results scheduled for this coming week include S&P 500 components AutoZone (AZO), Ciena (CIEN), H&R Block (HRB) and National Semiconductor (NSM), as well as Dollar General (DG), Imperial Sugar (IPSU), Krispy Kreme Doughnuts (KKD), Men's Wearhouse (MW), Talbots (TLB) and others.

Analysts surveyed by Thomson Reuters expect to see strong year-over-year and sequential EPS growth from luxury watchmaker Movado Group Inc. (MOV). During its third quarter of fiscal 2010, this Paramus, N.J.-based company was recognized for its innovative use of technology and it reported a big profit decline for the second quarter.

Continue reading The week in preview: Profit expectations for Costco, Kroger, Movado and others

Earnings highlights: Ciena, Del Monte, Hovnanian, Krispy Kreme, Movado ...

Here are some highlights from last week's earnings coverage from BloggingStocks:

Continue reading Earnings highlights: Ciena, Del Monte, Hovnanian, Krispy Kreme, Movado ...

Krispy Kreme improves comps in Q2

Krispy Kreme Doughnuts (NYSE: KKD) reported results for the second quarter on Thursday after the bell. I haven't been a huge fan of this company, but I will concede that some of the data in the release is interesting. Maybe even encouraging.

The same-store sales went up 5.9% -- they were terrible last year at this time. Same-store sales are, as we all know, a very key metric for a business like Krispy Kreme. And the performance served as a positive counterargument to the 12% decrease in the top line.

Continue reading Krispy Kreme improves comps in Q2

Earnings highlights: Google, KKR, Krispy Kreme, Williams-Sonoma, Guess? and more

Here are some highlights from this past week's earnings coverage from BloggingStocks:

Continue reading Earnings highlights: Google, KKR, Krispy Kreme, Williams-Sonoma, Guess? and more

Krispy Kreme's stock is up this year -- buy after Q1 report?

Krispy Kreme Doughnuts' (NYSE: KKD) stock has had a nice run of late. It's doubled so far on the year-to-date frame. Is there something to this story? Before, there was nothing. Krispy Kreme has been a very troubled business, and it would be very difficult to convince me otherwise. But, have things changed?

Well, net income did drop in Q1. Krispy Kreme said it made t $0.03 per share. Last year at this time, the doughnut guru earned $0.06 per share. Although the profit decline isn't attractive, I liked the comps. Same-store sales at company locations increased over 2%.

Continue reading Krispy Kreme's stock is up this year -- buy after Q1 report?

Earnings highlights: Costco, Kroger, Krispy Kreme, Lululemon, FedEx, P&G and others

Here are some highlights from this past week's earnings coverage from BloggingStocks:

Continue reading Earnings highlights: Costco, Kroger, Krispy Kreme, Lululemon, FedEx, P&G and others

Krispy Kreme Doughnuts: Still a mess

Now, why on earth would anyone invest in Krispy Kreme Doughnuts (NYSE: KKD)? Sure, if you were bored one day and wanted to do some gambling because you couldn't make it to a casino, then you maybe could use a little bit of your risk capital to fool around with the everyday gyrations of the shares. Other than that, there's no reason to consider this once-hot stock of yesteryear.

As one might expect, Krispy Kreme reported a GAAP loss for the third quarter. The red ink was worth $0.09 per share, which was eight pennies worse than the previous year's quarter. The press release talks about a few factors that affected the dismal showing. Let's see, increased commodity costs led to higher doughnut-mix prices. Shortening was also more expensive. Then there was the increase in gasoline prices. Of course, the release was quick to point out that fuel prices did retreat recently, so I don't think the company will be able to use that excuse next time around. Krispy Kreme has a load of problems that go beyond the macro environment. Simply put, it's a mess of a company that needs to get its turnaround act in order.

Stepping away from the bleak GAAP picture for a moment, I will say that Krispy Kreme did improve its free-cash-flow prospects. Net cash from operations saw an increase, and capital expenditures saw a decrease. That may be a welcome improvement, but in no way does that mean I suddenly see value in this business. Krispy Kreme's brand equity needs a radical jumpstart, and I'm simply inclined to pass on the stock.

Disclosure: I don't own any company mentioned; positions can change at any time.

My latest big bet: Doughnuts on Obama

The clock is ticking and the pollsters are bouncing around faster than ever with varying results. My latest wager was not on a stock, but a box of 24 doughnuts with a friend who thinks McCain will win the election.

Given the post-Palin slide of the McCain campaign we have been hearing about for the past six weeks, I thought this was a sure thing. Then we learn -- not so fast folks! -- things can change.

Presidential Race Tightens, AP Poll Says Wow, I'll say, they can change. Is this a case of "better the devil we know than the angel we don't"? Although many voters have a throw the bums out mentality, putting Republicans out of favor for the moment, in times of crises perhaps people are rethinking whether they would not prefer the familiar to the enchanting.

This seems to be the election of the enchanted so far. Barack Obama and John McCain were underdogs at the beginning of the presidential primaries but have withstood their critics harshest blows and came out on top.


Continue reading My latest big bet: Doughnuts on Obama

The Coffee Stock: Five-cent coffees at Krispy Kreme franchises a sign of old-fashioned smarts

Brother, can you spare a nickel?

In a sign of the oh-so-like- the-Great-Depression times, Krispy Kreme Doughnuts (NYSE: KKD) franchises in Seattle, Washington and Portland, Oregon, along with other related franchisees in the Pacific Northwest and Hawaii, are selling coffee for five cents. The one-per-customer-per-visit bargain is being named the Krispy Kreme New Deal.

I love the concept. Dunkin Donuts has been offering lattes and breakfast sandwiches for 99 cents in the afternoons to boost traffic in the slow time; and Starbucks (NASDAQ: SBUX) is about to roll out a "gold card" good for 10% discounts on all products. The card, which carries a $25 annual membership fee, is not a credit card but is a parallel program with the regular Starbucks gift card, which allow you to receive bonuses (a free flavoring or other upgrade for your latte beverage, for instance).

Unfortunately, the two simultaneous and mutually exclusive card programs are confusing and a scant benefit. Customers used to buy 10, get one free punch cards at independent coffee houses will see quickly that paying for a 10% discount is hardly a great deal.

Continue reading The Coffee Stock: Five-cent coffees at Krispy Kreme franchises a sign of old-fashioned smarts

Dunkin Donuts beats Starbucks with better tasting coffee ... again

In a climate of disappearing disposable income on one hand, and a contingent of consumers that are always seeking out better and more sustainably-grown and traded coffee beans on the other hand, Starbucks (NASDAQ: SBUX) is losing in all fronts. Today, Dunkin Donuts announced that its coffee had beaten Starbucks' brew in independent taste tests across the country; 476 adults in Atlanta, Boston, Chicago, Cleveland, Dallas, Detroit, Los Angeles, Miami, New York City, and Seattle participated in a double-blind taste test, comparing Dunkin Donuts Original Blend against Starbucks House Blend. Exact numbers were not released, but the research firm said the customers "clearly indicated a preference" for the Dunkin.

This isn't the only blow against Starbucks in the media this week; last week, a story about the new Juan Valdez Cafe chain highlighted the pressure from the other end of the competition spectrum: quality and sustainability. Coffee sold at the 101 stores across Colombia and in New York, Seattle, Philadelphia, Spain, and Santiago, Chile is grown by 22,000 shareholders who are looking to market their beans; according to this article, they're not hoping to profit from the cafe enterprise, even though the collective plans to open 500 more stores across the U.S., Latin America and Europe in the next two years. What's more, coffee is slightly cheaper at Juan Valdez Cafe than at Starbucks in New York City.

Starbucks is being squeezed into an uncomfortable middle ground between the low-price, blue collar product on one end (Dunkin Donuts) and the eco-friendly, high-quality product on the other end (Juan Valdez). The only thing it has going to keep its profits from splattering all over the wall is customer loyalty ... and oatmeal. Will it survive?

Stock picks and pans for troubled times: Buy Johnson & Johnson, Monsanto, JPMorgan and closed-end funds

Another volatile week had passed over Wall Street, but by the end of it investors started breathing a sigh of relief in anticipation of the bailout plan. Those hopes were shattered Thursday night. Many believe that if the bailout plan doesn't get approved soon, the landscape on Wall Street will be very different, changing even more than it already has. The consequences of a financial meltdown would reverberate throughout the economy, here and globally.

Once again, BloggingStocks bloggers have looked at different stocks, trying to find the ones you may want to consider during these troubled times should you find yourself with some extra cash. Nerves of steel are a requirement for any investor these days.

Here are some picks from the past week:

Johnson and Johnson (NYSE: JNJ) - not only do Ron Rowland and Brandon Clay remind us that Johnson and Johnson was rated the world's most respected company, Cramer says that JNJ "is a super stock. Well managed, great earnings, good pipeline ..."

Monsanto (NYSE: MON) - as the undisputed leader in the genetically modified (GM) seed industry, Yiannis Mostrous and Roger Conrad think long-term-oriented investors will be rewarded handsomely with Monsanto.

Bank of America (NYSE: BAC) and JP Morgan Chase (NYSE: JPM) - Joe Lazzaro thinks these banks' sizes may be what would save them as the they are simply too big to fail. Cramer agrees both banks stand to gain much and will do very well if the bailout is approved. With the recent acquisition of Washington Mutual Inc. (NYSE: WM), Jon Berr thinks John Pierpont Morgan would have been proud of Jamie Dimon.

Continue reading Stock picks and pans for troubled times: Buy Johnson & Johnson, Monsanto, JPMorgan and closed-end funds

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