Our timing on adding Sinclair Broadcast Group (SBGI) to Northlake’s portfolio proved poor. Over the past few weeks, we sold SBGI at a loss and reinvested in Nexstar Media Group (NXST). Like SBGI, NXST owns local TV stations around the country, generally in small to mid-size markets. The bull case is also similar: extraordinarily high […]
We have grown accustomed to lower volatility from Apple’s earnings and its stock price post-reporting. Well, what do you know? Apple (AAPL) reported better than expected 3Q17 results and the shares are responding favorably in initial trading, up about 5%. Guidance for the September quarter, a key focus point for investors, was better than expected […]
Northlake’s Style model flipped to neutral for August after spending three months on growth. The Market Cap model remains on large cap for the third consecutive month. To align client portfolios invested in the models with the neutral signal, one half of positions in the Russell 1000 Growth (IWF) were sold and the proceeds were […]
Despite lots of discussion of cord cutting and cord shaving and merger rumors, Comcast continues to produce good financial and operating results. Furthermore, management is careful with the balance sheet by keeping debt levels low and appears to be cautious about the need for a big acquisition. We like the steady growth and low risk […]
Alphabet (GOOG/GOOGL) shares seem likely to take a breather following the company’s 2Q17 earnings report. Overall, we would give the report a solid “B” but with the shares having soared 26% this year before the report an “A” was probably required to sustain the momentum. The report showed remarkable growth in Google’s mobile search, YouTube, […]
There are no changes to the signals from Northlake’s Market Cap and Style models for June. The Market Cap model is recommending large cap for the second consecutive month and the Style model is again recommending growth. With no changes, client positions following the models will continue to be invested in the S&P 500 (SPY) […]
Northlake’s Market Cap model flipped from mid cap to large cap for June. As a result, client positions following the model previously invested in the S&P 400 Mid Cap have been sold and proceeds reinvested in the S&P 500 (SPY). There is no change to the Style model, so current client positions in the Russell […]
Liberty Global (LBTYK) remains a troubled stock after reporting mixed 1Q17 results and lowering full year guidance for growth in operating cash flow. The shares performed poorly last year but bounced back strongly to start this year. Unfortunately, the sharp down move post the 1Q17 earnings report last week lost all of the year to […]
Formula One (FWONA/K) and Liberty Sirius (LSXMA/K) are tracking stocks of Liberty Media. FWON owns the Formula One racing circuit and LSXM owns a controlling interest in SiriusXM Satellite Radio (SIRI) representing approximately 70% of the shares outstanding. Consequently, when Liberty reports earnings and hosts a conference call the discussion is on these separate businesses. […]
Disney (DIS) reported first quarter earnings of $1.50, up 10% from a year ago, and ahead of Wall Street estimates of $1.41. Revenues grew just 3% and operating income just 5% as EPS benefited from a lower than expected tax rate and share repurchases. DIS shares have reacted negatively to the report, falling -2% to […]
