Each of Northlake’s models shifted for September. The Market Cap model is now recommending large cap and the Style model is at neutral. Each of these signals moved after just one month and went back to the prevailing themes that began in June. Given the new signals, client positions in the S&P 400 Mid Cap […]
Liberty Global (LBTYK) reported another quarter of mixed results. Headline numbers continue to track to guidance that assumes acceleration in growth in the second half of 2018. There is evidence in the first half results that the acceleration will occur. However, there is still quality of earnings issues and the company’s overall growth profile beyond […]
Nexstar Media Group (NXST) reported another solid quarter, further cementing the company as the most consistent, highest quality local TV broadcaster. A boom in political TV advertising and excellent expense control led to the company beating expectations for EBITDA, the key valuation metric for the industry. Critical to NXST and the industry is converting EBITDA […]
Disney reported mixed 3Q18 results with theme parks and broadcast TV excelling and cable networks, the film studio, and consumer products lagging. Revenue and EPS were a little under consensus estimates leading the stock to decline 1-2%. The shares have been quite strong since March, reaching their highest level since May 2017. This may have […]
MGM Resorts (MGM) reported decent results for 2Q18 albeit against expectations that were lowered just 90 days ago. When management lowered guidance dramatically for the rest of 2018, investors were very disappointed, sending the shares down 10% over a two day period. The only real good news here is that by almost any measure the […]
CBS is performing well compared to other TV centric media companies. Smart management decisions have the company building a successful presence in in OTT video with Showtime and CBS All Access. A strong lineup of sports and marquee entertainment event programming like the Grammy’s is keeping advertising to low single digit declines even as prime […]
Both of Northlake’s thematic models sent new signals for August. The Market Cap model shifted from large cap to mid cap, while the Style model moved from neutral back to growth. As a result of the new signals, client positions in the S&P 500 (SPY) and Russell 1000 Value (IWD) were sold and proceeds reinvested […]
Apple (AAPL) reported solid 3Q18 results and issued slightly better than expected guidance for the September quarter. The stock should be in good shape heading into this fall’s new iPhone launch. Northlake intends to hold AAPL shares in client accounts but some small sales could occur due to position size management. A move up to […]
Facebook (FB) shares are down 18% this morning following slightly weaker than expected 2Q18 earnings and more significantly a dramatic and totally unexpected slashing of its revenue growth and profitability outlook over the next several years. Northlake sees FB shares trading in a range of $160-$200 looking ahead to the rest of the year with […]
If I told you Comcast had more almost 3% more subscribers today than a year ago, I bet you would think I was crazy. Well, that is the truth. Yes, the company is losing video subscribers to cord cutting in favor of Netflix, Hulu or skinny streaming cable-like channel bundles. But broadband is still growing […]
