Stock Market Profiles

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...

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...

MSFT (MICROSOFT) P/E: 30.4 GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.11 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 1.45 DIVIDEND: 2.26% Microsoft is a ubiquitous company, and has a long history of successful products. In recent years, Microsoft has not been as innovative within the field of technology as companies such as facebook, tesla, apple, google, or netflix. However, I am typing this write-up on a windows system, and have only ever owned windows systems in my life. Microsoft makes a popular product, and the business is expanding into social media. In the last quarter, Microsoft posted a decline in revenue for products sold, with an increase in “service and other” revenue, with an increase in gross margin. The company also increased its R&D budget. The operating income increased, partially offset by a one-time expense and higher taxes in the comparable 2016 quarter. While the company increased their assets, the ratio of asset...

POST (POST HOLDINGS) P/E: 127.4 GAAP DILUTED Y-O-Y GROWTH LAST QUARTER: $1.07 SECTOR: CONSUMER NON-DURABLES ASSETS-LIABILITIES: 148 DIVIDEND: NONE Although famous primarily for its cereal, Post is rapidly expanding its business. Utilizing cost-cutting techniques in combination with the innovation of popular products, the company experienced exponential growth in its most recent quarter. Post has an opportunity to grow in competition with other US cereal leaders Kellogg, and General Mills. Post has only 1 cereal in the top 10 best-selling cold cereals and 2 in the top 10 best-selling warm cereals, and produces less than half the revenue of Kellogg last year. However, Post is diversifying its product base with the introduction of Premier Protein, and the expansion of its Dymatize protein powder. Dymatize is a leading brand in the whey protein market geared towards bodybuilders, while Premier Protein is marketed to casual fitness enthusiasts. Post al...

GOOG (ALPHABET INC) P/E: 31.7 GAAP DILUTED EPS GROWTH Q4 '15 to Q4 '16: $.50 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 5.8 DIVIDEND: NONE This stock is a new addition to my portfolio. The price-to-earnings multiple is higher than my target price-to-earnings multiple, but I decided to purchase the stock due to its solid year-over-year EPS growth, positive chart alignment, positive cash flow, ubiquitous market presence, and rapid growth in the technology sector. I believe this stock will head much higher, and that its earnings will keep up with the rapid pace of its growth to ensure its stability. Google became a popular product due to its excellent search engine. As a result of its success, with approximately 80.5% of global market share according to a recent survey, Google has built a strong revenue base through its advertising services. However, Google has taken the challenge of expanding its services beyond the search engine field i...

MHK (MOHAWK INDUSTRIES) P/E: 18.6 GAAP DILUTED EPS Y-O-Y GROWTH LAST QUARTER: $.44 SECTOR: CONSUMER DURABLES ASSETS-LIABILITIES: 2.312 DIVIDEND: none Mohawk industries is a stock you probably have not heard of, unless you are a DIY enthusiast or work in homebuilding. Mohawk is a supplier of carpet, wall tiles, and laminate. They have posted consistent revenue increases over the last 5 years. In 2016, the company spent a record amount on capital investing in order to continue the growth of its business, and plans to expand on that strategy in 2017. The company is dedicating itself to expansion of manufacturing capacity and development of new products, rather than acquisitions. This capital expenditure has not slowed the company's growth, however, as its operating income margin has also increased over the last 5 years. Jeffrey Lorberbaum, the company's CEO, is the son of the owners of a flooring company which was acquired by Mohawk. Lorberbaum...