Will Expedia Increase Its Dividend Payout in 2016?
Expedia has been a consistent dividend payer since 2010. Its rivals Priceline, TripAdvisor, and Ctrip.com do not pay dividends at all.
Genesee & Wyoming (GWR) has fallen almost 40% in the past year. The company had a net debt-to-EBITDA multiple of 3.7x at the end of December 2015.
Following Genesee & Wyoming’s (GWR) announcement of its 4Q15 results, there has been no change in analysts’ opinions. About 73.3% of analysts have recommended a “buy.”
Genesee & Wyoming (GWR) operates on a lower operating margin. GWR’s North American operating margins are relatively higher compared to its Australian and European operations.
The revenues from Australian operations declined from $72.4 million in 4Q14 to $55.2 million in 4Q15, a fall of 31.2%., due to weakness in the Australian dollar and reduced iron ore revenues.
In this article, we’ll look at the performance of Genesee & Wyoming’s (GWR) UK and European operations as well as management’s insights.
The 4Q15 revenues from Genesee & Wyoming’s North American operations declined 11.7% compared to 4Q14. Revenues included $3.0 million from the Pinsly Arkansas division.
The health of railroads largely depends on better shipments and commodity prices. It seems Genesee & Wyoming (GWR) missed the mark and thus the revenues.
On February 9, 2016, Genesee & Wyoming (GWR) reported its 4Q15 and fiscal 2015 financial results. GWR surprised Wall Street with reported adjusted EPS of $0.85.
According to data compiled by Bloomberg, 30% of analysts rate ArcelorMittal (MT) a “buy,” while 20% have given the stock a “sell” rating. Almost half of the analysts rate the stock a “hold.”
Steel Dynamics has received the maximum “buy” recommendations from almost 90% of analysts. After its 4Q15 earnings release, only one analyst has downgraded the stock.
Nucor (NUE) boasts a strong balance sheet and is the only US steel company to carry an investment grade credit rating. Nucor has a history of generating profits across the business cycle.
Analysts have obvious reasons for not liking AK Steel. The company has a negative net worth, and the debt on its books is more than six times its current market capitalization.
The steel industry has been witnessing a terrible slowdown. Wall Street analysts have taken notice of this prolonged slowdown and cut their target prices for steel companies.
Although most steel companies reported better-than-expected earnings, analysts seem concerned about the industry’s near-term outlook.
As of February 5, 2016, Spirit Airlines was valued at 4.65x its forward EV-to-EBITDA ratio. This is lower than SAVE’s average valuation (since 2012) of 6.6x.
Of the 15 analysts rating Spirit Airlines’ stock, 80% (12 analysts) have a “buy” rating, 20% (three analysts) have a “hold” rating, and none of the analysts have a “sell” rating.
Spirit Airlines has historically followed a low-cost structure, and took numerous measures to keep its cost components the lowest in the industry.
Spirit Airlines had no debt until 4Q14. Since then, its debt-to-EBITDA ratio has increased from 0.72x at the start of 2015 to 1.1x at the end of 4Q15. This is still lower than most of its peers.
For 2015, Spirit Airlines’ profits grew at a faster rate of 33%, backed by lower fuel costs. The fuel costs helped lower operating expenses by about 3.6% year-over-year.