Comcast remains a tale of three cities: cable, NBC Universal (NBCU), and Sky. Fortunately for investors, the dominant business – cable – is a clear COVID winner with attractive secular prospects. On the other hand, NBCU and Sky are COVID losers facing secular challenges. Results in 3Q20 were very strong in cable led by broadband. […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-10-29 15:54:272026-03-17 16:49:54Comcast: A Tale of Three Cities
IBM reported 3Q20 earnings last week that were largely in line with expectations and consistent with trends over the past few quarters. The report came on the heels of a major announcement from the company that it will be spinning a big piece of its slow-growing business to increase concertation on its cloud and artificial […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-10-26 16:42:322026-03-17 16:49:54IBM Moving in the Right Direction. Slowly.
The October model update results in moving to neutral on the growth vs value theme in the Style model. As a result, we have completed the sale of one half of client positions in the Russell 1000 Growth (IWF) and reinvested the proceeds into the Russell 1000 Value (IWD). We are sticking with the S&P […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-10-01 15:42:332026-03-17 16:49:54Neutral on Style for Further Risk Reduction
After reviewing our models, there are changes to both the Market Cap and Style exposure. The changes are driven by a shift in Market Cap exposure from small cap to mid cap. This change leads to a move from small cap growth to large cap growth. We only maintain small cap exposure in Style if […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-09-01 15:33:492026-03-17 16:49:54Shifting Away From Small Caps
Activision Blizzard (ATVI) reported better than expected 2Q20 earnings, beating on both the top and bottom line. EPS of 97 cents crushed the consensus of 69 cents. Despite the 28 cent beat, management raised 2020 guidance by 45 cents to $3.05. Management showed a high degree of confidence in trends for the rest of 2020 […]
ViacomCBS (VIAC) reported better than expected results in 2Q20. Revenues were down -12% but good cost controls and some expense timing benefits led to adjusted EBITDA +8%. Free cash flow was much better than expected even after the timing benefits. Overall, the quarter showed progress for a company that has been viewed very negatively by […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-08-24 19:06:452026-03-17 16:49:54Execution and Sentiment Improving at ViacomCBS
Home Depot shares are up about 50% since Northlake purchased them for clients in March. This is far beyond what we expected at the time. This also explains why the stock has sold off about -4% since reporting fantastic 2Q20 earnings. We have often discussed how in the short term stocks trade based on expectations. […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-08-21 16:48:542026-03-17 16:49:54Sticking With Home Depot As Consumers Spruce Up The Homes They Are Stuck In
Nexstar Media Group (NXST) reported better than expected results in 2Q20 across revenue, EBITDA, and FCF. The stock initially rallied sharply as would be expected but other traditional media companies that reported over the past 24 hours had lesser results and that eventually caught up with NXST and the shares traded down -4% which amazingly […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-08-07 00:20:012026-03-17 16:50:08Nexstar Reports Better than Expected Ahead of Political Tidal Wave
Disney had a truly awful quarter. But the stock is up 10% today! Investors have chosen to look past the pandemic’s devastating impact on theme parks, ESPN (no live sports last quarter), and inability to release blockbuster films. Instead, the focus is on the continuing massive success (as measured by subscribers) of Disney+ and newly […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-08-05 19:34:342026-03-17 16:50:08Disney Pivot to Digital Accelerates
There are no changes to the signals from Northlake’s Market Cap and Style models for August. Last month, we shifted to small caps and small cap growth and these signals remain in place. Client positions following the models will remain invested in the Russell 2000 (IWM) and the Russell 1000 Growth (IWO) for at least […]
Comcast: A Tale of Three Cities
Comcast remains a tale of three cities: cable, NBC Universal (NBCU), and Sky. Fortunately for investors, the dominant business – cable – is a clear COVID winner with attractive secular prospects. On the other hand, NBCU and Sky are COVID losers facing secular challenges. Results in 3Q20 were very strong in cable led by broadband. […]
IBM Moving in the Right Direction. Slowly.
IBM reported 3Q20 earnings last week that were largely in line with expectations and consistent with trends over the past few quarters. The report came on the heels of a major announcement from the company that it will be spinning a big piece of its slow-growing business to increase concertation on its cloud and artificial […]
Neutral on Style for Further Risk Reduction
The October model update results in moving to neutral on the growth vs value theme in the Style model. As a result, we have completed the sale of one half of client positions in the Russell 1000 Growth (IWF) and reinvested the proceeds into the Russell 1000 Value (IWD). We are sticking with the S&P […]
Shifting Away From Small Caps
After reviewing our models, there are changes to both the Market Cap and Style exposure. The changes are driven by a shift in Market Cap exposure from small cap to mid cap. This change leads to a move from small cap growth to large cap growth. We only maintain small cap exposure in Style if […]
Activision Blizzard Shows Strong Momentum
Activision Blizzard (ATVI) reported better than expected 2Q20 earnings, beating on both the top and bottom line. EPS of 97 cents crushed the consensus of 69 cents. Despite the 28 cent beat, management raised 2020 guidance by 45 cents to $3.05. Management showed a high degree of confidence in trends for the rest of 2020 […]
Execution and Sentiment Improving at ViacomCBS
ViacomCBS (VIAC) reported better than expected results in 2Q20. Revenues were down -12% but good cost controls and some expense timing benefits led to adjusted EBITDA +8%. Free cash flow was much better than expected even after the timing benefits. Overall, the quarter showed progress for a company that has been viewed very negatively by […]
Sticking With Home Depot As Consumers Spruce Up The Homes They Are Stuck In
Home Depot shares are up about 50% since Northlake purchased them for clients in March. This is far beyond what we expected at the time. This also explains why the stock has sold off about -4% since reporting fantastic 2Q20 earnings. We have often discussed how in the short term stocks trade based on expectations. […]
Nexstar Reports Better than Expected Ahead of Political Tidal Wave
Nexstar Media Group (NXST) reported better than expected results in 2Q20 across revenue, EBITDA, and FCF. The stock initially rallied sharply as would be expected but other traditional media companies that reported over the past 24 hours had lesser results and that eventually caught up with NXST and the shares traded down -4% which amazingly […]
Disney Pivot to Digital Accelerates
Disney had a truly awful quarter. But the stock is up 10% today! Investors have chosen to look past the pandemic’s devastating impact on theme parks, ESPN (no live sports last quarter), and inability to release blockbuster films. Instead, the focus is on the continuing massive success (as measured by subscribers) of Disney+ and newly […]
Still Expecting Rotation Toward Small Caps
There are no changes to the signals from Northlake’s Market Cap and Style models for August. Last month, we shifted to small caps and small cap growth and these signals remain in place. Client positions following the models will remain invested in the Russell 2000 (IWM) and the Russell 1000 Growth (IWO) for at least […]