Latest Stock Buy or Sell? Make More Informed Decisions!
Today, Jim Cramer - Mad Money and Stockchase Insights commented about whether ASTL-T, S-T, ADBE-Q, SWK-N, HD-N, TOL-N, RH-N, DPZ-N, VALE-N, MSI-N, GEHC-Q, ORCL-N, SN-N, ELF-N, NOW-N, ADBE-Q, FL-N, SLB-N, LEN-N, FDX-N, CBRL-Q, DRI-N, GIS-N, FERG-N, REGN-Q are stocks to buy or sell.
- Page 4/4
- Next Page
The quarter was good but the outlook was muted. EPS was $4.65, beating estimates of $4.53. Revenue of $5.4B beat estimates by just under 1%. Adobe's guidance for its Digital Media unit's net new annual recurring revenue (ARR) of $550 million was around $11 million below consensus, which is likely due to a strong beat in 3Q, which outperformed Street expectations by $44 million. The 3Q metric was driven by the close of certain transactions that would have otherwise secured in 4Q. There was also a sense a bit of caution in the outlook, given heightened geopolitical uncertainty and lack of clarity on interest rates. The Digital Experience segment is another area where there could be continued pressure until 1H25, as more clarity emerges on enterprise IT budgets. Adjusted operating margin was up only 20 bps to 46.5% -- in line with expectations -- as Adobe ramps up investment in GenStudio and Adobe Express. Not great, but still a great company. HOLD.
Unlock Premium - Try 5i Free
It is certainly not beyond possibility. Bloomberg default ratio is 7.36%, which is very high for that indicator. Cash flow was negative in the last quarter, yet 12-month interest expenses were $36.1M net. With its small size and Cuban and other issues, we are not sure it could raise a lot of money with a dilutive equity issue. Most debt matures in 2026. Certainly any investment here needs to be considered extremely risky.
Unlock Premium - Try 5i Free
ALC is kind of a 'sleeper' stock, offering not much excitement but a low valuation and decent dividend. There is little growth, though, and 2025 estimated earnings will be below the level of 2021. It also has a fairly levered balance sheet. We have always thought it would make a good privatization candidate, but that is not enough reason to give it a strong endorsement. We would not miss it if sold.
Unlock Premium - Try 5i Free
Low Volatility Stocks Near Their 52-Week Highs:
- Pembina Pipeline Corporation (PPL): PPL is a leading energy transportation and midstream service provider in North America, and it is up nearly 24% year-to-date, with a one-year volatility level of 11.6. This indicates subdued levels of volatility, particularly compared with some of the high-growth tech names in Canada.
- Enbridge (ENB): ENB is an energy infrastructure company, specializing as a natural gas utility provider and distributor. It has a strategic asset base, strong cash flows, and on a year-ot-date basis, it is up a total 21% with a volatility level of 13.
- Royal Bank of Canada (RY): RY is a leading diversified Canadian bank, providing personal and commercial banking, wealth management, insurance, investor services, and capital markets services. It has a strong industry position and is up a total 27% year-to-date, with a one-year volatility of 14.5.
- Hydro One (H): Hydro One is a major electricity provider and distributor in Ontario, providing electricity for homes and businesses. It is a solid income name, with a dividend yield of 2.7%, a year-to-date total return of 19% and a one-year volatility of 14.8.
- Sun Life Financial (SLF): SLF is a life insurance and investment management services company, with a large asset base and a robust financial position. It is up a total 12% year-to-date with a volatility level of 15.7.
Is up 3.3% this year. Anything related to housing (and falling interest rates) is doing well. He expects a housing boom. So, SWK could enjoy a catch-up rally.