Consumer Discret Sel Sect SPDR® ETF

Las Vegas Sands (LVS) earns revenue through casinos, hotels, food and beverages, and convention or retail operations. The company’s main revenue driver is casino revenue. It’s generated from slot machines and table games. Casino revenue represents ~79% of the total revenues.

An aging population is likely to keep global economic growth muted in the years to come. This is primarily because the dynamics of the population are rapidly changing.

The occupancy rate is very important for casino resorts. The occupancy rate shows the relationship between the number of occupied rooms and the total number of rooms.

Hilton Worldwide Holdings is one of the largest hospitality companies in the world. It was founded in 1919 by Conrad Hilton. The company started when he bought his first hotel in Texas.

Casinos’ popularity is growing. This suggests that people like to gamble occasionally. Unfortunately, they don’t always win. For most of the people, the real fun is playing the game—not necessarily winning.

In fiscal 2014, Nordstrom’s operating margins declined by another 9.8% on the heels of a 10.8% decline in fiscal 2013.

Unit growth isn’t the only factor that drives revenue. A restaurant can keep adding more restaurants. Eventually, it can capture newer markets. This is what Chipotle is doing.

In the previous part of this series, we looked at the second-largest US automaker, Ford’s (F), sales in China in October. The company’s weakening Chinese sales are likely to continue.

In 2014, Dollar General reported net sales of $18.9 billion, an increase of 8% compared to sales of $17.5 billion in 2013.

McDonald’s (MCD) is scheduled to announce its 3Q16 results on October 21, 2016. As of October 13, 2016, it was trading at $115.40, a fall of 9.4% from July 25.

Philip Morris International (PM) announced its 3Q17 earnings on October 19. The company posted adjusted EPS (earnings per share) of $1.27 on revenues of $7.47 billion.

Macy’s (M) operating margins declined to 6.6% in 1Q15—ending May 2, 2015—from 7.1% in the same quarter last year. The operating income declined by 7.7%.

Last week, which ended October 13, 2017, Fiat Chrysler (FCAU) stock remained mixed and witnessed a minor rise of 0.90%.

A New York–based fine casual restaurant chain, Shake Shack (SHAK) announced its 4Q15 results on March 7, 2016. SHAK reported an overall revenue of $51.1 million and earnings per share of $0.08.

Texas Pacific Group and Apollo Management took Harrah’s Entertainment, now Caesars Entertainment, private in a leveraged buyout deal valued at $30.7 billion in 2008.

Yum! Brands develops, operates, franchises, and licenses the Pizza Hut, KFC, and Taco Bell brands. It’s set to announce its 3Q16 results on October 5, 2016.

The Board’s Consumer Confidence Index rose to 92.6 in December—compared to 91 in November. For November, the index was revised from an initially reported value of 88.7.

Marriott increased its fee income at a ten-year compound annual growth rate (or CAGR) of 7.6% to $1,543 million in 2013—from $742 million in 2003.

On October 20, Yum! announced that it will separate its China division from the rest of its business. It’s expected to complete this by the end of 2016.

Starbucks (SBUX) reported earnings per share of $0.46 for 1Q16, which exceeded Wall Street’s consensus estimates as well as management’s guidance of $0.45 per share.

Starbucks (SBUX) posted its fiscal 2Q17 earnings after the market closed on April 27, 2017. Its EPS was $0.45 on revenues of $5.3 billion.

CMG reported $372 million in food costs in 3Q14. Food costs accounted for 34.3% of the revenue. It was an increase of 70 basis points year-over-year (or YoY).

International brands such as Estée Lauder (EL), L’Oréal (LRLCY), Procter & Gamble (PG), Shiseido (SSDOY), and Nivea (BDRFF) dominate the cosmetics market in China.

The tails of the yield curve may provide more value due to low inflation.

As of April 5, Tesla stock had ~23% positive returns in the past year. According to analysts’ consensus, Tesla’s target price for the next year was $254.76.

Lowe’s (LOW) derived about 2.5% of its sales from the e-commerce channel, or an estimated $1.4 billion, in fiscal 2015.

To support its direct marketing initiatives, Coach has a database of 24 million households in North America and 10 million in Asia.

For the last three years, Ferrari (RACE) has been reporting gradual progress in EBITDA (earnings before interest, tax, depreciation, and amortization).

The ICSC-Goldman and Johnson Redbook indices both report consumer spending data each week, but people consider the ICSC-Goldman index to be more consistent.

About 47% of analysts have “buy” recommendations on Chipotle, 50% of analysts have “hold” recommendations, and 3% have “sell” recommendations on the company. Overall, the stock has a “buy” rating.

In this article, we’ll use the 12-month forward PE (price-to-earnings) ratio to assess Macy’s current valuation and compare it with its peers’.

Yum! Brands’ (YUM) division in China includes its business in mainland China. It’s the combined revenues from all the brands—KFC, Pizza Hut, East Dawning, and the Little Sheep.

Last week, Ferrari stock (RACE) continued to trade positively, rising 9.2% to $148.90.

Franchise revenues include royalties and franchise fees. Royalties are calculated as a percentage of franchise restaurant revenues, which are driven by same-store sales.

Dunkin’ Brands Group (DNKN) has three major costs of operations. The costs of operations include general and administrative expenses, cost of products sold, and occupancy expense. Dunkin’s general and administrative expenses accounted for $56 million in the second quarter. This was 30% as a percentage of sales—compared to $62 million, or 34%, as a percentage of sales.

Stable demand and strong brand image have kept Ferrari (RACE) moving forward, regardless of adverse global economic conditions.

Unit growth is a key driver that Starbucks is aggressively pursuing to grow the company’s sales. In the last 12 months, Starbucks has added 1,599 net new restaurants, or 8% growth in units.

Along with introducing new products like those we discussed in the previous part of this series, Tim Hortons (THI) is also testing different revenue channels and payment methods.

NIO (NIO) stock has been highly volatile since its listing on the New York Stock Exchange in September.

Revenue gains for Nike (NKE) in 1H15 were broad-based. Sales rose for almost all key product categories, with the notable exception of the golf category.

Adjusted property EBITDA shouldn’t be regarded as an alternative to looking at income from operations, which indicates operating performance. Nor is it an alternative to looking at cash flow from operations, which measures liquidity.

As an investor, you should know whether or not MGM’s (MGM) management is committed to its future. Management shows its commitment by owning shares.

Home Depot’s margins are ahead of those reported by the number-two home improvement (XHB) (ITB) retailer, Lowe’s (LOW), over the past twelve months.

Nike (NKE) has a positive earnings surprise history. In simple terms, the company has beat Wall Street’s earnings estimates in the past several quarters.

Shake Shack is conceptualized as a “new fine-casual” restaurant format. The fine-casual restaurant is a hybrid of the fine dining and fast-casual dining formats.

Year-to-date, Domino’s stock is up 8.7%, as of February 20. It has rocketed 21% since the company’s last earnings release in October 2014.

Nike is the world’s largest athletic footwear and apparel company. It dominates the sportswear market in Europe, China, and North America.

For six months ending June 2014, China’s division reported revenue of $3 billion, or 52% of Yum! revenues. China only represents 15% of the more than 40,000 Yum! restaurant units.

Food inflation can squeeze a restaurant’s operating margins, but a restaurant can adjust the menu pricing and pass the cost on to customers.

The casinos in the Las Vegas Strip clearly benefit from high-end Baccarat play. Over the last four years, Baccarat revenue ranged from 43.5% of table games revenue in 2011 to 48.2% in 2013.