Alphabet (GOOGL) reported good fourth quarter and full year results to close out 2016. GOOGL beat sales estimates, but missed EPS targets due to a one-time equipment write-off and a higher than expected tax rate. The core Search business continued to perform well, with paid clicks growing 36% year-over-year compared to estimates of 27% growth. […]
In Northlake’s yearend letter, we stated “Admittedly, we have been too patient with ClubCorp. However, with oil prices rebounding and golf rounds played rising for the first time in several years, we feel if the stock is going to work it should do so as we approach the 2017 golf season.” Lo and behold, it […]
Disney (DIS) reported FY2016 results with sales and earnings modestly below expectations. While the results were slightly underwhelming, investors were more focused on the outlook for 2017 and beyond. Although DIS faces difficult comparisons next year, due largely to year ago strength in Frozen consumer products and Star Wars: Episode VII box office receipts, we […]
Liberty Media and Liberty Sirius reported earnings and held their annual analyst meetings last week. We attended the analyst meeting, one of our favorite events of the year given Liberty’s broad reach into the world of media and communications that is a focus of our investment strategy, The big news at Liberty Media has been […]
Activision Blizzard (ATVI) reported good quarterly results that beat investor expectations, while raising guidance for the fourth quarter. The stock reacted with a mild selloff, as the increased fourth quarter guidance did not quite meet Street expectations. Aside from the slightly conservative fourth quarter guidance, ATVI appears to be on track to benefit from several […]
MGM Resorts (MGM) reported its best quarter in a strong run of growth for the company and upside surprises to Wall Street estimates. When Northlake bought MGM for clients earlier this year, our investment thesis was based on strong management, unappreciated strength in Las Vegas, upside at soon to open regional gaming properties in the […]
CBS reported another solid quarter, supporting our view that it is among the best positioned traditional media companies in a challenging landscape as viewers use different devices to watch TV and new entrants like Netflix offer alternative viewing options. With the exception of Time Warner, which is being bought by AT&T, CBS has been the […]
Facebook reported another strong quarter with revenue growing 56% and operating income up 73%. Both figures exceed Wall Street estimates despite high expectations. As it has consistently since going public, management provided cautious commentary on revenue and operating expense growth looking ahead. Comments about revenue growth slowing next year and “aggressive investment” were almost verbatim […]
Google reported another good quarter. FX-neutral revenue grew 24%, better than expectations of 20%. Given the concern that Google was lapping a tough comparison to last year when the company first added another ad to searches, the sustained growth rate is the biggest takeaway from the quarter. Growth was driven by 33% growth in paid […]
Apple reported largely inline results for its 4Q16 ending September 30. Guidance for 1Q16, encompassing the very large holiday quarter, also was close to Wall Street expectations. The shares are trading off several percent this morning following last night’s report and conference call. We see this mostly as a result of the 25% move higher […]
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