How Alphabet Grows Its Operating Margins
Alphabet’s (GOOG) operating margins have increased on a year-over-year basis over the last few quarters. This is the partially a result of Google’s healthy revenue growth, which is providing the leverage.
To improve its mobile UX, Google launched its Accelerated Mobile Pages (or AMP) product in 2015. AMP provides users with an efficient reading experience of content from third-party providers.
Mobile ad rates have declined because of a number of factors such as geographic mix and property mix.
Mobile searches have become the most important growth driver for Google (GOOG). More than half of Google searches take place on mobile—and this ratio continues to increase.
Google’s Universal App Campaigns allow advertisers run their advertiser campaigns on Google Play, Search, YouTube, and Display Network.
Late in 2015, Google launched its Customer Match product, which allows advertisers to provide Google with a list of customer email addresses. Google matches these customers with signed-in customers on Google Search, YouTube, or Gmail.
Costco Wholesale (COST) reported earnings per share (or EPS) of $1.24 in fiscal 3Q16, up by nearly 6% compared to the $1.17 reported in fiscal 3Q15.
Costco (COST) has revealed it intends to open 29 net new warehouses (XRT) this fiscal year, with square footage growth projected at 4.5%.
Costco also reported better-than-average growth in e-commerce sales. Costco’s online sales grew by 14% year-over-year on a reported basis and by 13% on a comparable basis.
Costco’s (COST) sales growth in fiscal 3Q16 was tempered by adverse currency movements arising from a higher US dollar, as well as gasoline price deflation.
Costco Wholesale (COST) reported revenue of $26.8 billion in fiscal 3Q16, an increase of 2.6% year-over-year.
On May 25, 2016, Costco Wholesale (COST) declared its results for fiscal 3Q16. Although Costco’s performance was mixed, the retailer beat the consensus Wall Street analysts’ adjusted EPS estimate by $0.02, or 1.6%.
ResMed (RMD) is another mid-cap stock within the iShares U.S. Medical Devices ETF (IHI) that outperformed with a return of 0.9%.
Offshore drilling companies are cyclical and volatile in nature. These companies are capital-intensive and have high levels of depreciation and amortization.
Of the 35 analysts covering Diamond Offshore Drilling (DO), 5% gave it a “buy,” 58% gave it a “hold,” and 37% gave it a “sell” recommendation.
Allergan (AGN) reported a rise of 48% in its revenue to ~$3.8 billion in 1Q16. The company reported a net profit of $1.2 billion in 1Q16.
Allergan’s (AGN) Anda distribution segment distributes generic pharmaceutical products, vaccines, and over-the-counter products in the US markets.
Allergan’s (AGN) international brands segment includes revenues from both branded and aesthetics products outside of the US markets.
Allergan’s US medical aesthetics segment includes facial aesthetics, medical dermatology products, and a wide range of silicone and saline breast implants.
Allergan (AGN) has classified its business into four segments. The company’s US brands segment is its largest revenue contributor.