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

• Abercrombie & Fitch Co. (ANF) lower Q3 results still topped expectations and sent shares higher.
• Applied Materials Inc. (AMAT) posted much better-than-expected Q4 earnings, the first profit in a year.
• AstraZeneca (AZN) received an analyst's downgrade due to concerns over its earnings prospects.
• Blackstone Group (BX) received an analyst's upgrade following the company's Q3 results.
• Blockbuster Inc. (BBI) widened its net loss in Q3 and revenue and same-stores sales declined.
• Clean Energy Fuels Corp. (CLNE) shares declined after its Q3 numbers fell short of expectations.
• Consolidated Water Co. Inc. (CWCO) earnings prospects for 2010 earned it an analyst upgrade.

Continue reading Earnings highlights: Abercrombie, Blockbuster, Disney, Macy's, Walmart ...

Earnings highlights: Abercrombie, Blockbuster, Disney, Macy's, Walmart ... originally appeared on BloggingStocks on Sat, 14 Nov 2009 14:10:00 EST. Please see our terms for use of feeds.

Blockbuster (BBI) is a terrible company and stock. After perusing the third-quarter report, published Friday after the bell, I don't see any reason to modify such a rough statement.

Sorry about that, but what else can I say about a huge revenue decline and a wider loss coupled with a story that continues to deteriorate? According to the Q3 earnings release, Blockbuster experienced a 21% drop on the top line. On an adjusted basis, the company lost 20 cents per share, compared to 9 cents per share in the comparable period a year ago. Helping to drive this abject performance was a 14% contraction in same-store sales.

Continue reading Blockbuster: A bomb of a quarter

Blockbuster: A bomb of a quarter originally appeared on BloggingStocks on Fri, 13 Nov 2009 08:45:00 EST. Please see our terms for use of feeds.

Best Buy (NYSE: BBY) may be the world's largest electronics retailer, but it realizes that it faces a huge threat to a hefty chunk of its business. Apple (NASDAQ: AAPL) is moving plenty of movies and other soon-to-be former DVD fare through iTunes, staking a claim on a business that once belonged to Best Buy. The big box store is getting ready to fight back (finally?).

Using technology it's licensing from Sonic Solutions (NASDAQ: SNIC), Best Buy is opening an online store for movies and television shows. Best Buy CEO Brian Dunn says this move will expand the company's presence in services and will bolster company loyalty. That's the press release version, of course. The reality is that Best Buy needed to do something to protect this portion of its revenue and probably should have made the move several years ago.

Continue reading Best Buy follows Amazon into the clouds

Best Buy follows Amazon into the clouds originally appeared on BloggingStocks on Wed, 04 Nov 2009 08:40:00 EST. Please see our terms for use of feeds.

Late Wednesday, Blockbuster Inc. (NYSE: BBI) scored a ratings upgrade from Standard & Poor's. The ratings agency raised Blockbuster's corporate credit rating from "CCC" to "B-" with a stable outlook. S&P commented, "The stable outlook reflects our belief that liquidity will remain adequate over the near term despite continued operational weakness and moderate deterioration of the company's credit protection metrics."

S&P's new rating is still six notches into junk territory, but the upgrade is nevertheless a vote of confidence in Blockbuster's refinancing efforts. On Monday, the video rental firm announced plans to offer up to $340 million in senior secured notes due 2014, and yesterday, Blockbuster said it would close up to 40% of its brick-and-mortar stores during the next two years.

Continue reading S&P, Moody's grow more upbeat on Blockbuster

S&P, Moody's grow more upbeat on Blockbuster originally appeared on BloggingStocks on Thu, 17 Sep 2009 12:20:00 EST. Please see our terms for use of feeds.

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

• Applied Materials Inc. (NASDAQ: AMAT) posted better-than-expected Q3 results, sending shares higher.
• AutoDesk Inc. (NASDAQ: ADSK) reported better-than-expected Q2 earnings, sending shares higher.
• Blockbuster Inc. (NYSE: BBI) had another disappointing quarter as same-store sales declined.
• CIT Group Inc. (NYSE: CIT) delayed its Q3 report due to ongoing debt restructuring and a possible bankruptcy.
• Dr Pepper Snapple Group Inc. (NYSE: DPS) Q2 earnings came in well ahead of Wall Street expectations.

Continue reading Earnings highlights: Blockbuster, Walmart, Applied Materials, ING, Priceline ...

Earnings highlights: Blockbuster, Walmart, Applied Materials, ING, Priceline ... originally appeared on BloggingStocks on Sat, 15 Aug 2009 12:10:00 EST. Please see our terms for use of feeds.

The only really important bit of financial news today was the Reuters/University of Michigan consumer sentiment figure for August. It declined to 63.2 from 66 in May. The consensus among economists polled by MarketWatch was the August's figure would be 69. The portion of the poll called the "expectations index" hit its lowest level since March.

That is particularly bad news because March was the depth of the recession. Analysts were at a loss to explain why the consumer's picture of the economy had turned sour so fast. It is certainly a sign a rebound in spending may be well off in the future, which could be bad news for the upcoming holiday season.

Today's unofficial closing numbers:

Dow 9,321.40 -76.79 (-0.82%)
S&P 500 1,004.09 -8.64 (-0.85%)
Nasdaq 1,985.52 -23.83 (-1.19%)

Continue reading Closing bell: The consumer's retreat takes Wall Street down (BBI, BA)

Closing bell: The consumer's retreat takes Wall Street down (BBI, BA) originally appeared on BloggingStocks on Fri, 14 Aug 2009 16:04:00 EST. Please see our terms for use of feeds.

Blockbuster (NYSE: BBI) remains troubled. Just look at the second-quarter report that was released on Thursday after the bell. Net sales dropped over 20%, coming in at roughly $1 billion. The company lost 19 cents per share, one penny better than the loss reported in the year-ago period (to which I say, big deal!). According to the preview, the market wanted to see $1.1 billion for the top line and a loss of only 12 cents for the bottom line. A failure on both counts, I'm afraid.

Cash flow was the more attractive part of the Q2 story. The company calculated its free cash flow to be about $109 million. Okay, I'll give Blockbuster a good mark for having positive cash flow this year.

Continue reading Blockbuster reports sales drop, loss in Q2

Blockbuster reports sales drop, loss in Q2 originally appeared on BloggingStocks on Fri, 14 Aug 2009 09:30:00 EST. Please see our terms for use of feeds.

Last week offered mixed messages about whether an economic recovery is indeed underway. The unemployment figures were not as bad as feared, but July sales numbers were nothing to write home about, despite the wild popularity of the so-called cash-for-clunkers program.

The question is, where has consumer confidence (and consumer spending) been? Retail is a good place to look, and as it turns out, this week several shopping mall and strip mall favorites will be reporting earnings for the most recent quarter.

Continue reading The week in preview: Eye on retail -- Walmart, Macy's, Blockbuster ...

The week in preview: Eye on retail -- Walmart, Macy's, Blockbuster ... originally appeared on BloggingStocks on Sun, 09 Aug 2009 12:30:00 EST. Please see our terms for use of feeds.

Could this be the next logical step in the video war between Blockbuster (NYSE: BBI) and Netflix (NASDAQ: NFLX)?

A report contends that Netflix will soon offer its "Watch Instantly" video-streaming feature for the iPhone and the iPod Touch, as well as the Nintendo Wii gaming console. Netflix already allows subscribers to manage their movie queue and search for movies via their iPhones, so watching their choices on the smartphone would be the next logical step.

Continue reading Is Netflix developing an iPhone application?

Is Netflix developing an iPhone application? originally appeared on BloggingStocks on Wed, 05 Aug 2009 12:50:00 EST. Please see our terms for use of feeds.

Netflix (NASDAQ: NFLX) released its Q2 report on Thursday after the bell. You had to like what you saw. Revenues increased 21%. Total subscribers went up 26%. Growth in net subscribers on a year-over-year basis was impressive, as was the increase observed in the gross margin. Free cash flow was up. And now for the final piece of the performance puzzle: adjusted earnings per share increased 29% to 58 cents. Very good.

Consumers have really taken to the Netflix model. They love getting DVDs by mail. And Netflix has really done a job on its major competitor, Blockbuster (NYSE: BBI). No doubt about it, I'm sure a lot of Blockbuster shareholders are wishing they were invested in Netflix.

Continue reading Netflix delivers a Q2 that proves critics wrong

Netflix delivers a Q2 that proves critics wrong originally appeared on BloggingStocks on Fri, 24 Jul 2009 09:00:00 EST. Please see our terms for use of feeds.

Continue reading Closing Bell: A quiet day that didn't look quiet (BRK.A, BBI, SLM, SIRI, SWI, STT)

Closing Bell: A quiet day that didn't look quiet (BRK.A, BBI, SLM, SIRI, SWI, STT) originally appeared on BloggingStocks on Mon, 29 Jun 2009 16:00:00 EST. Please see our terms for use of feeds.

Netflix (NASDAQ: NFLX) CEO Reed Hastings says his biggest competitor isn't the one that his company is most often grouped with. It's not Blockbuster (NYSE: BBI), the largest brick-and-mortar rental chain, and it's not the internet -- where technological gains are making streaming video the wave of the future.

No, according to Mr. Hastings, the biggest competitor is Coinstar (NASDAQ: CSTR), the coin counting business that also happens to own Redbox, the network of 15,400 vending machines that rent movies for $1 per night. Redbox is installing another machine every hour.

Continue reading Netflix says pesky little Redbox is its biggest competitor

Netflix says pesky little Redbox is its biggest competitor originally appeared on BloggingStocks on Sun, 28 Jun 2009 14:40:00 EST. Please see our terms for use of feeds.

With listed stocks getting knocked around, the New York Stock Exchange is considering extending temporary relief from listing requirements. Once a company is dropped from the exchange, it runs risks ranging from market cap loss to limited liquidity. But NYSE Euronext (NYSE: NYX) CEO Duncan Niederauer was clear that the moves are not permanent. For now, the goal remains to protect companies that are at risk of being delisted. This comes after the S&P 500 fell 38% last year -- its worst performance since 1937.

The two rules that have been relaxed are the maintenance of a share price of at least $1 and a market cap of at least $15 million. The return of both measures was delayed back in April. Currently, 31 companies on the NYSE are at risk, including Blockbuster Inc. (NYSE: BBI) and Lear Corp (NYSE: LEA).

Continue reading NYSE may extend listing rules relief

NYSE may extend listing rules relief originally appeared on BloggingStocks on Thu, 25 Jun 2009 09:30:00 EST. Please see our terms for use of feeds.

Netflix (NASDAQ: NFLX), a DVD-rental business that competes with Blockbuster (NYSE: BBI), was upgraded yesterday by Michael Pachter, an analyst with Wedbush Morgan Securities. He sees good tidings ahead for the company. He believes that Netflix will see higher margins and a healthy stream of earnings. His thesis centers on the fact that the subscriber base is likely to grow and that streaming movies will lower the cost of delivery.

Upgrades are tricky beasts. Ideally, an investor or, more likely, a trader, wants to be in the stock before the upgrade occurs. Buying a company after it's been upgraded requires a lot of due diligence. And you have to get over the fact that you might be buying at a high price.

Continue reading Netflix upgraded: What does this mean for investors?

Netflix upgraded: What does this mean for investors? originally appeared on BloggingStocks on Thu, 18 Jun 2009 08:00:00 EST. Please see our terms for use of feeds.

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

• Abercrombie & Fitch Co. (NYSE: ANF) reported dismal Q1 numbers as same-store sales plunged.
• Applied Materials Inc. (NASDAQ: AMAT) dismal Q2 results were in line with analysts' expectations.
• Bankrate Inc. (NASDAQ: RATE) reported lower earnings and revenue for Q1 and offered no guidance.
• Blockbuster Inc. (NYSE: BBI) earnings, revenue, and same-store sales all fell in the first quarter.
• Dr Pepper Snapple Group (NYSE: DPS) Q1 earnings declined but still topped analysts' expectations.

Continue reading Earnings highlights: Walmart, JCPenney, Freddie Mac, Playboy, Whole Foods and more

Earnings highlights: Walmart, JCPenney, Freddie Mac, Playboy, Whole Foods and more originally appeared on BloggingStocks on Sat, 16 May 2009 09:40:00 EST. Please see our terms for use of feeds.

Continue reading Closing Bell: Profit taking to hibernating bulls (ANF, AXP, BBI, DRYS, NKE, YHOO)

Closing Bell: Profit taking to hibernating bulls (ANF, AXP, BBI, DRYS, NKE, YHOO) originally appeared on BloggingStocks on Fri, 15 May 2009 16:00:00 EST. Please see our terms for use of feeds.

You know you're probably looking at a tough business situation when the first thing you see on an earnings release is a pair of bullet points related to financing strategies that are clearly meant to show the reader that a company is getting its house in order.

Such was the case with Blockbuster (NYSE: BBI) and its Q1 report, which came out Thursday after the bell. Remember, this is the company that, not long ago, received a notice about its woes.

Liquidity is the name of the game these days for Blockbuster. Too bad it isn't the company's business model. As far as that goes, the video-rental chain is still having its difficulties. Revenues dipped 19% to $1.1 billion. On an adjusted basis, net income came out to 19 cents per share versus 21 cents per share in the year-ago period.

Continue reading Blockbuster beats in Q1, but stock is too big a gamble

Blockbuster beats in Q1, but stock is too big a gamble originally appeared on BloggingStocks on Fri, 15 May 2009 08:50:00 EST. Please see our terms for use of feeds.

Netflix (NASDAQ: NFLX) did a spectacular job in Q1. The famous DVD-rental-by-mail entity issued its quarterly numbers on Thursday after the bell. On an adjusted basis, Netflix delivered 40 cents per diluted share. That represented bottom-line growth of over 70%. I guess movies truly are resistant to recessions, huh? Revenues advanced over 20%.

According to earnings.com, that 40-cent figure means that management destroyed expectations since Wall Street was looking for somewhere around 31 cents per share. I should point out, however, that I've noticed that some other sources listed the expectations as being a little higher than 31 cents. No matter, Netflix beat the bottom line.

Continue reading Netflix beats in Q1, but investors sold stock after report -- bad sign?

Netflix beats in Q1, but investors sold stock after report -- bad sign? originally appeared on BloggingStocks on Fri, 24 Apr 2009 08:30:00 EST. Please see our terms for use of feeds.

Blockbuster Inc. (NYSE: BBI) became the latest company to get a vote of no confidence from its auditor yesterday as a declining economy, tight capital markets, and better-managed competitors have put the company in a tough spot.

In its report attached to the company's 10-K, the company's independent auditor PricewaterhouseCoopers wrote:

"The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern. As discussed in Note 1 to the consolidated financial statements, the risk the Company may not successfully complete a refinancing of its credit facility scheduled to mature in August 2009 and obtain related amendments of financial covenants included therein, and/or the risk the Company may not have adequate liquidity to fund their operations raise substantial doubt about the Company's ability to continue as a going concern."

Continue reading Blockbuster gets a going concern notice

Blockbuster gets a going concern notice originally appeared on BloggingStocks on Tue, 07 Apr 2009 08:30:00 EST. Please see our terms for use of feeds.

In any normal universe, the market would have collapsed on news that unemployment went to 8.5%. To make matters worse, it is obviously going much higher.

The market shrugged all of that off and went nowhere. Most financial stocks were up. A number of tech and telecom stocks were down. Whatever bump the G-20 gave the market seems to have dissipated in a day.

The numbers:

DJIA:Dow 8,017.59 +39.51 (0.50%)
S&P 500 842.47 +8.09 (0.97%)
Nasdaq 1,621.87 +19.24 (1.20%)

Analyst upgrades
Analyst downgrades

Continue reading Closing bell: no reaction to jobs report (JAVA, RIMM, BBI, DIS)

Closing bell: no reaction to jobs report (JAVA, RIMM, BBI, DIS) originally appeared on BloggingStocks on Fri, 03 Apr 2009 16:00:00 EST. Please see our terms for use of feeds.