“Comcast’s 1Q20 2Q20 earnings report and conference call exposed sharp differences of how the COVID crisis is impacting the company’s three business segments. Already positive trends in the core cable business are getting a boost. NBC Universal and Sky, however, are in the direct path of the virus with little visibility for the pace or […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-07-30 16:15:562020-07-30 16:15:56Broadband Continues to Drive and Save Comcast
IBM reported modestly better than expected earnings against lowered, pandemic-impacted expectations. Revenue and EPS both fell year-over-year as growth in cloud-related business lines (including Red Hat) could not overcome secular decline in legacy software and hardware business and cyclical impacts from the pandemic. Importantly, we continue to see green shoots in IBM’s transition toward cloud […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-07-21 17:40:422020-07-21 17:40:42Green Shoots for IBM Amid Legacy and Pandemic Challenges
Northlake’s Market model shifted to small cap for the first time since 2017. This is the culmination of a gradual move in the model in favor small cap over the last four months. Client positions following the model will sell holdings in the S&P 400 Mid Cap (MDY) and reinvest the proceeds in the Russell […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-07-01 15:03:082020-07-01 15:03:08Market Cap Model Favors Small Cap for First Time Since 2017
There are no changes to the signals from Northlake’s Market Cap and Style models for June. Last month’s new recommendation of mid cap is in place for a second month, and growth remains preferred for the fifth consecutive month. With no changes, client positions following the models and invested in the S&P 400 Mid Cap […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-06-01 16:49:062020-06-01 16:49:06Good Balance Between Mid Cap and Growth For Reopening
Home Depot (HD) reported strong 1Q20 earnings especially when compared to most other companies, including other retailers that were hurt badly by the economic shutdown. HD stores were deemed essential and remained open, a huge advantage, but the big story in the quarter was digital sales up 79%, reaching 15% of sales. Comparable store sales […]
Activision Blizzard (ATVI) beat expectations for 1Q20 earnings and raised guidance for the remainder of 2020 from $2.35 to $2.60. Last quarter, Northlake noted that ATVI 2020 EPS could climb into the $2.50-$2.70 range as benefits from the well-timed restructuring efforts begin to pay off. Consensus estimates for 2020 have now climbed to $2.74, with […]
Shares of ViacomCBS (VIAC) performed poorly prior to the economic shutdown and COVID-19 crisis and have fallen further. The stock is now about 50% lower than its mid-February level even after rallying 70% from its March low. Of all the investments Northlake has owned over the past couple of years, VIAC has performed the worst […]
https://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gif00Steve Birenberghttps://northlakecapital.com/wp-content/uploads/2026/02/nl_logo.gifSteve Birenberg2020-05-15 12:25:282020-05-15 12:25:28ViacomCBS: Still Too Cheap
Few companies are more directly impacted by the economic shutdown related to the COVID-19 crisis than Disney (DIS). The company’s theme parks are closed. Movies theaters are shut denying Disney the ability to launch the massive blockbusters from its Marvel, Pixar, Disney, and Star Wars franchises. Sports are not being played, crippling viewership and ad […]
Nexstar Media Group (NXST) shares responded well to the company’s 1Q20 earnings report as investors gained a better understanding of the stability of the company’s free cash flow. Shares in NXST were pummeled in the initial stages of the COVID-19 crisis despite a much less cyclical financial profile than the company had in Great Financial […]
Apple reported better than expected 2Q20 earnings albeit after the company announced new guidance as COVID disruption closed the company’s stores in China, the U.S. and the rest of the world. The company did not provide its usual detailed guidance for the quarter ahead but did provide some big picture comments. iPhones and wearables will […]
Broadband Continues to Drive and Save Comcast
“Comcast’s 1Q20 2Q20 earnings report and conference call exposed sharp differences of how the COVID crisis is impacting the company’s three business segments. Already positive trends in the core cable business are getting a boost. NBC Universal and Sky, however, are in the direct path of the virus with little visibility for the pace or […]
Green Shoots for IBM Amid Legacy and Pandemic Challenges
IBM reported modestly better than expected earnings against lowered, pandemic-impacted expectations. Revenue and EPS both fell year-over-year as growth in cloud-related business lines (including Red Hat) could not overcome secular decline in legacy software and hardware business and cyclical impacts from the pandemic. Importantly, we continue to see green shoots in IBM’s transition toward cloud […]
Market Cap Model Favors Small Cap for First Time Since 2017
Northlake’s Market model shifted to small cap for the first time since 2017. This is the culmination of a gradual move in the model in favor small cap over the last four months. Client positions following the model will sell holdings in the S&P 400 Mid Cap (MDY) and reinvest the proceeds in the Russell […]
Good Balance Between Mid Cap and Growth For Reopening
There are no changes to the signals from Northlake’s Market Cap and Style models for June. Last month’s new recommendation of mid cap is in place for a second month, and growth remains preferred for the fifth consecutive month. With no changes, client positions following the models and invested in the S&P 400 Mid Cap […]
Home Depot: Keeping Eggs in This Nest
Home Depot (HD) reported strong 1Q20 earnings especially when compared to most other companies, including other retailers that were hurt badly by the economic shutdown. HD stores were deemed essential and remained open, a huge advantage, but the big story in the quarter was digital sales up 79%, reaching 15% of sales. Comparable store sales […]
Activision Blizzard Delivers Early Restructuring Benefits
Activision Blizzard (ATVI) beat expectations for 1Q20 earnings and raised guidance for the remainder of 2020 from $2.35 to $2.60. Last quarter, Northlake noted that ATVI 2020 EPS could climb into the $2.50-$2.70 range as benefits from the well-timed restructuring efforts begin to pay off. Consensus estimates for 2020 have now climbed to $2.74, with […]
ViacomCBS: Still Too Cheap
Shares of ViacomCBS (VIAC) performed poorly prior to the economic shutdown and COVID-19 crisis and have fallen further. The stock is now about 50% lower than its mid-February level even after rallying 70% from its March low. Of all the investments Northlake has owned over the past couple of years, VIAC has performed the worst […]
Disney Worth Waiting For
Few companies are more directly impacted by the economic shutdown related to the COVID-19 crisis than Disney (DIS). The company’s theme parks are closed. Movies theaters are shut denying Disney the ability to launch the massive blockbusters from its Marvel, Pixar, Disney, and Star Wars franchises. Sports are not being played, crippling viewership and ad […]
Less Cyclical Nexstar Sustaining Free Cash Flow
Nexstar Media Group (NXST) shares responded well to the company’s 1Q20 earnings report as investors gained a better understanding of the stability of the company’s free cash flow. Shares in NXST were pummeled in the initial stages of the COVID-19 crisis despite a much less cyclical financial profile than the company had in Great Financial […]
Apple Fundamentals and Stock Price Fairly Balanced
Apple reported better than expected 2Q20 earnings albeit after the company announced new guidance as COVID disruption closed the company’s stores in China, the U.S. and the rest of the world. The company did not provide its usual detailed guidance for the quarter ahead but did provide some big picture comments. iPhones and wearables will […]