An Overview of the S&P 500 Retailers
US retail sales grew by 3.5% in the first half of 2019. The retail sector of the S&P 500 Index includes 29 stocks representing a broad variety of retailers.
How US Retail Sales Changed in Two Decades
The retail sales for 2018 were $4.3 trillion. From January to July 2019, the retail sales in this category rose 3.5% over the comparable period in 2018.
Data Is the New Crude, and Paradata Is Refining It
Everyone’s heard that data is the new oil. But Paradata shows that data is like crude oil—if you don’t refine it into something you can use, it’s useless.
S&P 500’s Top Losses: Twitter Fell on July 30
Twitter was the S&P 500’s top loss on July 30. Last week, Twitter declined for the third consecutive week. Twitter continued to decline on July 30.
Why Sysco Stock Rose 12.4% in the First Six Months of 2018
Shares of Sysco (SYY) gained 12.4% during the first six months of 2018 thanks to the company’s strong financial performance.
Consumer Staples Stocks: Separating the Wheat from the Chaff
The Consumer Staples Select Sector SPDR ETF (XLP) fell 9.4% in the first six months of 2018.
SuperValu’s Gross Margin Deteriorates in Fiscal 4Q18
SuperValu’s trailing-12-month gross margin stands at ~12.0% of sales and is among the lowest in the food wholesale group and its retail peer group.
Wall Street’s View of Supervalu ahead of 4Q18 Results
Though Supervalu’s (SVU) stock has delivered below-average performance this year, Wall Street believes there’s scope for revival.
A Look at Supervalu’s Stock Performance and Valuations
Supervalu’s (SVU) stock has failed to please investors for quite some time now. After losing about 70% of its value between 2015 and 2017, the stock has already shed more than 30% so far this year.
Consumer Sector Earnings Coverage for February 5–9
Yum! Brands announced its fiscal 4Q17 results on February 8. The revenue decreased 22.1% to $1.5 billion and missed the estimate by 1.0%.
Why Stocks of Meat Producers Are Declining despite Strong Demand
Demand for protein-rich food in the domestic market and increased exports have led meat producers Tyson Foods (TSN), Sanderson Farms (SAFM), and Pilgrim’s Pride (PPC) to report stellar sales growth in 2017.
Key Updates in the Consumer Sector: January 15–19
On January 16, 2018, Walmart (WMT) and H&R Block (HRB) announced their retail partnership.
Why Supervalu’s Margins Are Deteriorating
Supervalu’s margins are projected to fall more. The gross margin will likely fall by 270 basis points to 10.8% in 3Q18.
Reading SuperValu’s Northcoast Research Downgrade
SVU was downgraded by Northcoast Research to “neutral” from a “buy” rating on October 19. Four other firms lowered their target prices the same day.
Why Supervalu Stock Has an Upside of More than 75%
Ten Wall Street analysts cover Supervalu’s (SVU) stock. The company received a neutral rating of 2.5 from Wall Street. Ratings are on a scale of 1 (strong buy) to 5 (sell).
Why SVU’s Profitability Is Unlikely to Improve in Fiscal 2018
While the retail food industry has paper-thin margins, SUPERVALU’s (SVU) margins are among the lowest in its peer group.
Discussing SUPERVALU’s Slide
SUPERVALU (SVU) stock fell 50% between 2015 and 2016, and its share price continues to be in the red in 2017.
Comparing SuperValu’s 4Q17 Margins
SuperValu finally beats earnings estimates in 4Q17 SuperValu (SVU) reported adjusted EPS (earnings per share) of $0.13 in 4Q17, outperforming Wall Street expectations by $0.05. The first earnings beat for the company in 2017, it was largely driven by a better-than-expected top line and an improved gross profit rate. However, EPS were 7% lower than […]
SVU’s Wholesale Business Finally Enters Green Territory
The Wholesale segment’s fiscal 3Q17 sales got a boost from SVU’s recent agreements with new clients as well as from increased sales in its new stores.
Supervalu Wants to Boost Its Sluggish Wholesale Business
Supervalu (SVU) operates one of the largest wholesale distribution businesses in the US. Wholesale is Supervalu’s largest segment.
Emerson’s 15% Profit Drop in Q3 Mitigated by Its Solid Cash Flow
Despite a 15% decline in net profits, Emerson Electric (EMR) reported a solid cash flow performance in 3Q16.
Key Contributors to Emerson Electric’s Improving Margins in Q3
Emerson’s (EMR) operating margins expanded by 20 basis points YoY (year-over-year) to 13.9% in 3Q16.
Lost Customers Cost Supervalu’s Wholesale Segment Sales in 1Q17
Revenue from the Wholesale segment slid 7.6% YoY to $2.3 billion in fiscal 1Q17 since the segment lost business to other stores.
Why Is the Cash & Carry Banner Important to SFS?
Smart & Final’s Cash & Carry Foodservice (or C&C) stores focus exclusively on serving foodservice professionals.
Citigroup and Sysco Led High-Grade Bond Issuance Last Week
US corporates dominated the primary market for high-grade bonds in the week ending March 24, making up 41.7%, or $6.3 billion, of all issues.
Investment-Grade Corporate Bond Issuance Plummets: How Low?
Investment-grade corporate bonds worth $15.0 billion were issued in the primary market in the week ending March 24, 2016.
Did Smart & Final Stores Beat Earnings Estimates in Fiscal 4Q15?
Smart & Final Stores (SFS) topped revenue estimates by $12 million, reporting a top line of $997.7 billion in fiscal 4Q15.
Analysts Expect Positive Revenue Growth in Fiscal 2Q16
The revenue estimate for Farmer Brothers in fiscal 2Q16 isn’t as high. However, it’s still positive. Analysts predict revenue of $145.3 million for fiscal 2Q16
How Does Calavo Growers Compare to Its Peers?
Calavo Growers (CVGW) has mostly outperformed its peers SYY, FDP, UNFI, and CORE based on PE, PBV, and price-to-sales ratios.
Calavo Growers’ Revenue and Income Rose in Fiscal 4Q15
Yesterday, Calavo Growers (CVGW) reported its earnings for fiscal 4Q15, which ended October 31, 2015. After the report, CVGW fell by 2.3% to close at $49.51 per share.
Farmer Brothers Reports Declining Results in 1Q16
Farmer Brothers (FARM) reported net sales of $133.4 million for 1Q16, a decline of $2.6 million, or 1.9%, compared to $136 million in 1Q15.
Will Farmer Brothers Report Stable Results Like Last Quarter?
Farmer Brothers (FARM) recorded net sales for 4Q15 that increased by $2.4 million, or 1.8%, to $132.6 million. The company recorded $130.2 million in 4Q14.
UBS Group Funding Issues $4.3 Billion Worth of High-Grade Bonds
UBS Group Funding (Jersey) Limited (UBS), via its subsidiaries, issued BBB+-rated high-grade bonds worth $4.3 billion in three parts during the week ending September 25.
Investment-Grade Corporate Bond Issuance Rises
Investment-grade corporate bonds worth $32.35 billion were issued in the primary market in the week ending September 25, 2015. Fixed-rate issues made up 90.6% of the total issuance for the week.
How Does United Natural Foods Compare with Its Peers?
United Natural Foods’ peers outperformed the company based on the PE and PBV ratios. The performances are similar based on the gross profit margin and EPS.
How Has DVY’s Portfolio Performed?
The top five holdings of the iShares Select Dividend ETF (DVY) represent 13% of its total portfolio.
Trian’s Track Record and Sysco’s Opportunity Set
Trian Fund Management and Nelson Peltz bring significant experience to Sysco (SYY) in orchestrating turnarounds. Trian’s track record includes transforming several large-cap consumer companies.
Sysco’s Stock Performance and Record Year in Fiscal 2015
Trian Fund Management’s 7.08% stake announcement in Sysco (SYY) was well received by the markets. SYY stock rose 7.4% to $41.38 on August 14, the day Trian filed its interest in Sysco with the SEC.
Nelson Peltz’s Activist Fund Trian Is Biggest Sysco Shareholder
In an SEC filing on August 14, Trian Fund Management disclosed it has beneficial ownership of 42.1 million shares, or a 7.08% stake, in Sysco (SYY). Trian is now Sysco’s largest shareholder.
First Trust: A Smart Beta Fund with a Strong Performance
The First Trust Value Line Dividend Index Fund (FVD) is smart beta fund. It seeks to replicate the performance of the Value Line Dividend Index.
US Consumer Sentiment Likely to Weaken in August, XLY falls ~2%
The consumer sentiment composite index stands at 92.9 index points in August—a 0.2 point fall from July’s 93.1 points. Personal financial projections are weakening.