Starbucks (SBUX) has been on a tear for the last year heading into earnings this afternoon. My concern is that at more than 30x current year EPS guidance shares are priced for perfection. Last quarter, SBUX guided FY23 global comps…
One of the things that I like to do to gain insight into the broader economy is to look at the results of economically sensitive companies. When consumers are flush, they spend more money on discretionary items like travel. So…
Cigarette producer Altria (MO) reported 1Q23 earnings Tuesday morning. While they confirm that smoking is in secular decline I still like the stock. Cigarette volume declined 11.4% year over year resulting in a 3% decline in revenue. Nevertheless, MO reaffirmed…
I believe that the middle class is thinning out and more and more this country is being divided into haves and have nots – and the have nots love eating at McDonald’s (MCD). This was borne out in MCD’s 1Q23…
Consider this Part III of a series of blogs about the perennial philosophy: buy high quality companies and hold them for the long term. I’ve linked to the previous two at the bottom of this post. Pepsi (PEP) reported stellar…
Embattled Silicon Valley bank First Republic (FRC) just reported 1Q23 earnings. FRC provided a nice summary of what you want to know in a section entitled “Recent Industry Events”. On March 9, deposits totaled $173.5 billion. On March 16, FRC…
I write about a lot of different things but on Friday I articulated the perennial philosophy: buy high quality companies and hold them for the long term (“PG And The Investment Lesson You Must Learn”, Top Gun Financial, 4/21). There…
It must be noted that your Chairman – always a quick study – required only 20 years to recognize how important it was to buy good businesses. In the interim, I searched for “bargains” – and had the misfortune to…
I have been expecting weakness in the housing market due to high mortgage rates and a weakening economy – but it isn’t showing up in the results of the home builders. DR Horton (DHI) reported earnings for the quarter ended…
Netflix (NFLX) reported 1Q23 earnings Tuesday afternoon and the results confirm for me that it is no longer a growth stock. NFLX’s hypergrowth phase is over – and the stock’s valuation multiple should start reflecting that. NFLX added 1.75 million…