Stock Market Profiles

CTAS (CINTAS CORPORATION) P/E: 26.8 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.02 SECTOR: CONSUMER SERVICES ASSETS-LIABILITIES: 2.09 DIVIDEND: 1.06% CTAS is a company providing uniforms to major companies. They report 7/20/17 after the market close. The company is profitable, and has acquired smaller businesses to grow its revenue, while selling a paper-shredding company it had previously acquired. The company has more cash than debt. Inventories increased by 9%, and revenue increased by 5.3%. Income before taxes grew 2.5%, and $642,000 in losses from discontinued operations and a $9 million acquisition expense reduced the profit improvement to just under 2%. The majority of revenue is derived from uniform rental services. According to wikinvest, CTAS has 30% of market share for uniform rentals due to its commitment to providing specialized products to fit customer needs. Cintas was founded as The Acme Industrial Laundry Company in 19...

STLD (STEEL DYNAMICS INC) P/E: 17 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH: $.56 SECTOR: NON-ENERGY MINERALS ASSETS-LIABILITIES: 1.81 DIVIDEND: 1.7% STLD is a company endeavoring in the production of steel. They are listed on the Nasdaq, and beat Wall Street expectations by 11% when they last report. The company will announce Q2 2017 earnings after market close 7/19/17. On a year-over-year basis, STLD increased its sales by 35%. Cost of goods increased only 27%, and income tax expense nearly tripled. With the exception of nickel, all steel raw resources have increased in price over the past year. Profit sharing rose by a similar margin as income tax expense. Net income increased by 27%, and the amount of shares was decreased minimally. Steel Dynamics has less than half of the value of its long-term debt in cash. Inventories increased only 6%. The company has commodity futures contracts shorting aluminum and copper. STLD has risen 2.6% year...

TDOC (TELADOC, INC) P/E: n/a GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.1 SECTOR: HEALTH SERVICES ASSETS-LIABILITIES: 22 DIVIDEND: none TDOC is the ticker for Teladoc, a telemedicine company specializing in subscription services. The company provides companies access to consult with licensed physicians 24 hours a day with the subscription model. A recent IPO, TDOC is not yet profitable, and has consistent revenue growth. TDOC increased its revenue 60% on a year-over-year basis when it reported last 5/8/17. They increased advertising budget nearly 50% to support strong revenue growth, while their “legal” budget was diminished significantly. “Technology and development” increased about 25%, and sales costs increased 50%. While overall net loss actually increased on a year-over-year basis, EPS was reported as increased due to an increase in the amount of shares outstanding. The reported EPS beat wall street expectations, and revenue beat...

CMG (CHIPOTLE MEXICAN GRILL, INC) P/E: 122 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $2.48 SECTOR: CONSUMER SERVICES ASSETS-LIABILITIES: 3 DIVIDEND: none CMG is the ticker for Chipotle Mexican Grill, incorporated. The company's share price has fallen substantially from its all-time highs, due in part to a disease outbreak at its stores, and is up 5% in 2017. The company's share price dropped substantially 7/11/17, and it will report again 7/26/17. Chipotle posted substantial gains last quarter on a year-over-year basis, rising from a loss of $.88 to a profit of $1.6 per share. Revenue increased by about 33%. Chipotle supplemented the revenue gains by cutting its “other operating costs” about 10%, increasing its “general and administrative expenses” only 10%, and decreasing the number of outstanding shares by about 3 %. Cash increased approximately 30%, while liabilities increased about 5%. Steve Ellis, who founded the company ...

PGR (PROGRESSIVE CORP) P/E: 21.7 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.25 SECTOR: FINANCE ASSETS-LIABILITIES: 1.35 DIVIDEND: 1.53% Progressive is an insurance company founded in 1937. Up 25% YTD, PGR will report earnings in mid July, looking to extend the streak. PGR dispenses its 1.53% dividend in one large yearly chunk. Progressive managed to increase underwriting margin by approximately 60% while increasing total revenue by 13% on a year-over-year basis. While the company claims to have more assets than liabilities, it has less than 8% of its debt in cash. However, because Progressive makes money by investing its revenue from premiums, it would lose profit capability by having the majority of its funds in cash. The revenue earned from premiums is nearly 60 times the company's investment income, which is concentrated in company debt securities and government obligations. While EPS has beat Wall Street expectations 6 out of...

ORLY (O'REILLY AUTOMOTIVE PARTS) P/E: 16.3 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: ASSETS-LIABILITIES: 2.06 SECTOR: RETAIL TRADE DIVIDEND: none ORLY is a chain of Auto Parts stores. The company's share price plunged almost 19% 7/5/17, after reporting a decline in its same-store sales numbers. A rapidly expanding company, ORLY has a disproportionate amount of debt on its balance sheet. In the last quarter, O'Reilly increased sales by almost 3%, while operating income decreased by almost 4%. However, the company did post an increase in EPS on a year-over-year basis by virtue of decreased taxation. Autozone has only 1% of the amount of cash as it does long-term debt. The company also reports that it has roughly twice as much assets as it does liabilities, with the majority of these holdings in inventory and property. Cash decreased from 4Q '16 to 1Q '17, coinciding with the rise in inventory, and property. O'Rei...

ISRG (INTUITIVE SURGICAL INC) P/E: 48 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $1.13 SECTOR: HEALTH TECHNOLOGY ASSETS-LIABILITIES: 7.05 DIVIDEND: none ISRG is the ticker for Intuitive Surgical Inc, a company endeavoring in the manufacture and distribution of robotic surgical devices. The company recently gained FDA approval for a lower-cost device. They have a clean balance sheet with a history of upside surprises against earnings expectations, and report again 7/20/17. Revenues increased nearly 14%, while EPS increased 32% compared to the Q1 '16 results. While liabilities decreased on a year-over-year basis, assets decreased by a larger margin. R&D spending increased 36%, and administrative costs rose 16%. Taxes were cut in half, although the revenues increased, due to modified accounting principles, and tax benefits for the employee share-based compensation.. The ratio of assets-liabilities decreased from 9.14 to 7.05, which is...

EXEL (EXELISIS INC) P/E: 800 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.31 SECTOR: HEALTH TECHNOLOGY ASSETS-LIABILITIES: 1.24 DIVIDEND: none Exilixis is a pharmaceutical company specializing in cancer drugs. The company is up already over 60% YTD. It is heavily owned by the major institutions. In each of the last 4 quarters, EXEL has beat Wall Street expectations, according to Estimize. The last two quarters have been profitable, and the company has set its expectations for profitable quarters in the future. Previously, the company posted consistent losses. Revenue increased approximately 550% on a year-over-year basis, while collaborative revenue doubled. EXEL has partnerships with Roche and GlaxoSmithKline. Cabometyx, a rectal cancer drug, is its largest revenue source in the latest quarter and most recent drug launch for the company. Exelixis announced that their R&D budget decreased due to decreased costs in one of their drug s...

JWA (JOHN WILEY AND SONS) P/E: 31.4 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.15 SECTOR: Consumer Services ASSETS-LIABILITIES: 3.29 DIVIDEND: 2.28% John Wiley and Sons is a company that provides research resources, online project management, and publishing services. The company is best known for its 'For Dummies' series, and reported after the bell 6/13/17. JWA beat EPS estimates by $.11. A close analysis of the earnings report released 6/13/17 shows EPS increased at a significantly higher rate than revenue. JWA significantly cut administrative costs, and revenue did increase, leading to a sizable increase in EPS. The company has a large share buyback and dividend program. While it has over three times as much assets on the book as it does liabilities, the company does not include long-term debt in its accounting for liabilities. JWA has approximately 15% as much cash as it does long-term debt. The company cut its long-term deb...

ONE UP ON WALL STREET PETER LYNCH SUMMARY Lynch opens the book with the contention that the average investor can perform as well as most experts.  He dubs stocks that earn ten times of initial investment amount as "tenbaggers."  Money for investing can be saved through minor lifestyle adjustments.  Although the author attends many functions with high-level market professionals, he still finds many of his stock picks in his everyday life.  The novel is divided into three portions: preparing to invest, picking winners, and long-term view.  He states that there is no such thing as a born stockpicker, and that picking stocks is an art rather than a science, and as such cannot be quantified. The author worked as a caddy in his youth and traded golfing advice for stock picks.  He utilizes the term "street lag" to describe the amount of time between when consumers recognize a good product and when wall street recognizes the company.  Some stock...

LRCX (LAM RESEARCH CORP) P/E: 20 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $2.28 SECTOR: ELECTRONIC TECHNOLOGY ASSETS-LIABILITIES: 2.4 DIVIDEND: 1.15% Lam Research Corp is a technology company focused on wafer semiconductor processing equipment. The company is trading near its 52-week high, and has increased in price 48% YTD. It will look to build on exponential EPS growth and high expectations in the next quarter. In the last quarter, revenue increased by approximately 64% on a year-over-year basis, and 14% from the prior quarter. Gross margin decreased slightly on increased R&D and administrative costs. Assets and available cash decreased in Q1 along with liabilities, while investments increased, and the ratio of assets-liabilities also increased. EPS beat wall street expectations in the last quarter, and the company set guidance below wall street expectations for the upcoming quarter reporting in late July 2017. Founded in Californ...

TTC (THE TORO COMPANY) P/E: 31.6 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.06 SECTOR: PRODUCER MANUFACTURING ASSETS-LIABILITIES: 2.8 DIVIDEND: 1.05% TTC is the symbol for Toro, a manufacturer of lawnmowers, irrigation and lighting systems, and other tools for residential and professional landscaping. They utilize high-quality products and deliver them in a reliable package to their customers. Toro reports 5/25/17, and will attempt to demonstrate business growth in line with expectations. In the most recent quarter, Toro reported a 6% boost in revenue and an increase in operating costs by just under 6%. The company utilized some of its 35% increase in cash to repurchase stock. Inventories and receivables were cut on a year-over-year basis, signifying that the company is fulfilling orders more rapidly. Professional services make up the bulk of the company's revenue at approximately 80%. While residential revenue decreased on a year-over...

Bitcoin is an online currency operating as a peer-to-peer network. Miners produce, and sell bitcoins, and the price rises as more bitcoins are bought. The commodity 's price has skyrocketed recently, rising over $1000 per bitcoin between 4/25/17-5/25/17. Satoshi Nakamoto is the anonymous name of the creator(s) of bitcoin. The currency was created in January 2009. Nakamoto's motivation for creating bitcoin was to create a currency which was not controlled by a centralized body such as a government susceptible to turmoil, but rather by a computer program. As such, bitcoin is impervious to foreign exchange rates, and can be used for international trade without the requirement of changing currencies. The currency is generated through bitcoin mining. Bitcoins are “mined” by solving mathematical tasks which increase with difficulty as the number of bitcoins grows. As of the time of this post, approximately 16,350,000 bitcoins exist. To put the rate of growth in perspecti...

TOL (TOLL BROTHERS) P/E: 17.3 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.22 SECTOR: CONSUMER DURABLES ASSETS-LIABILITIES: 1.83 DIVIDEND: .84% Toll Brothers, INC, (TOL), is a housing manufacturer. Although their stock posted a beat on EPS and revenue expectations in Q2 '17, which reported today, the stock went down due to concerns over the housing market, as housing sales slumped unexpectedly in April. The share price is linked to housing market expectations, and it will be difficult for the stock to trade up should the housing market falter. While revenues increased 22% in Q2 '17 from the comparable '16 quarter, revenues in Q1 were down on a year-over-year basis. Costs increased and gross margin shrank slightly while the company delivered a substantial EPS growth of $.22 per share to $.73. The company's backlog of orders grew 25%. Total debt increased, and the company increased its cash pile to cut net debt. In each ...

PCLN (THE PRICELINE GROUP) P/E: 40.6 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $1.64 SECTOR: CONSUMER SERVICES ASSETS-LIABILITIES: 2 DIVIDEND: none Priceline is a vacation-booking company, offering services for flight reservation, hotel reservation, and car rental in one convenient place. In recent years, Priceline's revenues have grown above Expedia's, another major competitor in the field. They recently reported earnings on 5/9/17, and the recent market dip has provided an opportunity to buy shares at a discounted price. Compared to the comparable 2016 quarter, Priceline increased revenue by 13%. GAAP net income also increased by a substantial amount. The company also increased spending across the board, from advertising to “general and administrative.” Part of the growth in income is a substantial decrease in what the company reports as “cost of revenues.” Glenn Fogel, former investment banker and Harvard Graduate, is t...

SQ (SQUARE INC) P/E: N/A GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $0.25 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 1.5 DIVIDEND: none Square Inc is the company behind the popular cash app, Square Cash. Square Cash's largest competitor is Venmo. Square's main business, however, is in its subscription segment, which provides business services, primarily to the food industry. Square increased its revenue on a year-over-year basis by 21% in the 1st quarter, driven by a 100% increase in subscription revenue, and partially offset by a reduction in hardware revenue. Square's only hardware product is its chip readers. Additionally, the company spent 40% less on “general and administrative” costs due to a one-time, $50 million expense suffered in the comparable quarter last year; despite an increase in their 'product development', and 'sales and marketing' budgets, they saw reduced operating expenses of approximately 1...

ICHR (ICHOR HOLDINGS, INC) P/E: 24.2 GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: N/A SECTOR: ELECTRONIC TECHNOLOGY ASSETS-LIABILITIES: 2 DIVIDEND: none Ichor is a recent IPO that went public 12/9/2016, founded in 1999, and re-incorporated in 2012. The company is producing semiconductor equipment, process equipment for LED lights, flat panel displays, and alternative energy systems. Their revenue is growing rapidly, and the company is already profitable. In the most recent quarter, it is impossible to track GAAP y-o-y growth as the company did not have shares utilized to calculate EPS. However, the company did double their net sales from $64 to $131 million and maintain a gross profit rate of 16.3%. Obviously, the company doubled its cash pile after their IPO. The company increased R&D by 60%, and long-term debt borrowings were also decreased from the comparable quarter of last year. Tom Rohr, the company's CEO, has 27 years of executive expe...

TLND (TALEND SA) P/E: N/A GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.16 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 1.14 DIVIDEND: none Talend is a software company producing products to integrate mass data, and information from the cloud. Founded in 2005, the international company went public 7/29/2016. Talend is valued based on expectations, as it is not yet profitable, and the company is growing at a fast rate. In the most recent quarter, Talend increased its revenue by 45% on a year-over-year basis. The company substantially reduced the net loss per share with its IPO, as there has been a large increase in the amount of shares outstanding. Adjusted for the increase in shares, the company reduced their losses $.16 per share, or 50%, in the last quarter. With the IPO, the company increased its cash pile by 13 times the amount they had previously. The company reported its “borrowings” decreased to an almost negligible level, and they announc...

TTD (THE TRADE DESK) P/E: 54.58 GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.11 SECTOR: COMMERCIAL SERVICES ASSETS-LIABILITIES: 1.44 DIVIDEND: none The Trade Desk, or TTD, is an online advertising company. TTD also hosts an online advertising marketplace. The industry for this company is rapidly expanding, and it currently has the highest percentage of market share by a large margin. In the most recent quarter, TTD increased revenue 70% year-over-year. Operating expenses also grew across the board, as the company nearly doubled its spending on sales, marketing, technology and development (the company does not track R&D), general/administrative costs, and “platform operations,” bringing the gross margin down slightly. Prior to the implementation of GAAP, TTD posted a $.05 gain in EPS, and $.11 afterward. The company reduced its debt, and doubled its assets from the last comparable quarter. Most of the increase in assets is located in the co...