Facebook (FB) reported 1Q20 sales slightly better than recently reduced expectations, and earnings in line with lowered estimates. Sales and earnings estimates fell roughly 6% and 11% respectively throughout March as analysts grappled with quantifying the challenges FB faced from the COVID crisis. Advertisers pulled back sharply in the final three weeks of March, but […]
Activision Blizzard (ATVI) slightly beat expectations for 4Q19 results, with typically conservative guidance for 2020 falling a bit below consensus estimates. Interestingly, Jefferies analyst Alex Giaimo noted that ATVI has beaten initial EPS guidance by 15% on average over the last 4 years. Alongside the results, ATVI also increased the dividend paid to shareholders by […]
Facebook (FB) delivered 4Q19 sales and earnings above consensus estimates, and reiterated guidance for 2020. The stock traded lower, reflecting an appetite for a larger upside surprise. Since last quarter, FB climbed midway into Northlake’s $200-$250 target range based on reaching 20x-25x $10+ EPS this year or next. After the earnings selloff, FB is back […]
Activision Blizzard (ATVI) reported sales and earnings that were better than expected with typically conservative guidance for 4Q19. The restructuring effort underway at ATVI appears to be gaining traction as the company invests toward setting up a strong 2020. Such investments include increasing marketing spend behind successful franchises to expand the player base, developing content […]
Facebook (FB) reported 3Q19 sales slightly ahead of expectations with stronger earnings driven by disciplined expense growth. Guidance commentary was mostly positive with a warning of a pronounced revenue deceleration in 4Q19 due to difficult comparisons to the prior year being offset by an encouraging outlook for 2020. Northlake sees FB heading toward a positive […]
Activision Blizzard (ATVI) reported 2Q19 results that were overall slightly better than expected. Guidance for 3Q19 was underwhelming from the typically conservative management team, but 2019 guidance and expectations were largely unchanged. The current quarter faces a difficult comparison to last year, when ATVI benefitted from a strong contribution from the Destiny franchise that is […]
Activision Blizzard (ATVI) reported record 4Q18 earnings in line with expectations despite sales coming in weaker than hoped. Guidance for 2019 was poor, with sales now expected to be 13% below previous consensus estimates and earnings of $2.10 coming in 16% below consensus. Along with the disappointing guidance, ATVI announced a layoff of 8% of […]
Alphabet (GOOG/GOOGL) outperformed 3Q18 earnings estimates despite slightly missing on revenues for the first time since 1Q16. The sales shortfall was largely driven by foreign exchange losses in Brazil and Argentina due to the stronger US dollar. Revenues still grew 21%, or 22% after adjusting for the currency impact. Operating expenses were up 26%, pacing […]
For the third quarter in a row, Sherwin Williams (SHW) adjusted 2018 EPS guidance. In 1Q18, SHW dropped the estimate from $19.05 to $18.65 due to new investments in an expanded partnership with Lowe’s. Then in 2Q18, SHW turned around and increased EPS to $19.20 after a strong start to the year. Now in 3Q18, […]
Activision Blizzard (ATVI) reported 3Q18 revenues matching estimates with EPS ahead of expectations. However, implied 4Q18 guidance was weaker than expected, sending the shares sharply lower. While the guidance was likely conservative given the highly competitive holiday season this year, 3Q18 results were not good enough to support the stock in a punishing environment for […]
