Steve, I still try to find stocks with consistent earnings and PE's which are not high. I guess TLF still fits the bill. The management doesn't seem to be the most sophisticated. UFPT has been a minor disappointment lately, and KTCC a bigger disappointment, although in this environment I still hold some and it might bear watching. I've really done well with JCTCF, but it too has been a disappointment lately. I love CBRL, I think they are kind of unique, but it is not a small stock, its valuation has gotten high, and sales were disappointing last quarter. ATRI has climbed a lot recently, but it might fall back. ESCA also has climbed a lot recently, but might well fall back. I have EGAS on my watch list, and plan to research it around next earnings release if price doesn't climb. If you research EGAS and find a problem, please post there or on SLI. EGAS has more earnings volatility than I like, and a poster cited a regulatory investigation, but it seems to be in a promising niche and is cheap.
I don't think having cash is that bad at the moment.
Has some interesting info on costs and projected benefits of the manufacturing consolidation in Grand Rapids. They expect to save 750k a year. Also they implemented ERP software this year, presumably without the big mishaps that can attend such implementation, and without calling it a non-recurring cost. On the other hand, incentive compensation went down 700k.
A tax gain was recorded in that quarter so that net income exceeded pre-tax income. That is why it will be hard to exceed last year's eps for the next 6 months. I like that ODC does not focus on a non-GAAP number, but in this case it might be useful.
They are concentrating on service improvement. What I think may be moving the market is a strong suggestion that they may leverage up some, but that is a rationalization on my part.
Here is my post of FEb 10 on same subject: Why is he still CEO? Two failed US chiefs. Initiatives which consistently fail. Worst of all is that they claim items like wings were test marketed: I suspect they were so desperate to reverse sales trends they either hurried test, or employees now tell management what they want to hear. MCD needs realistic goals, and managers who are not slogan oriented.
I'm assuming market is reacting to Feb sales, but weather was presumably a factor. Inventory growth was much lower than sales both for the quarter and year over year (given seasonal trends the latter is more relevant). They are expecting significant inventory growth this year due to addition of higher quality SKU's, but they claim customers have been asking for these products, so this would then be a plus. Lack of further international expansion is a bit disappointing. A special dividend is likely this year given cash on hand, but I know of a smaller, less traded company which has done buybacks.
That is strange as I am still having the problem, for example with TLF today. At one time Yahoo permitted some tailoring of news items you would see by source, but I cannot find that option anymore. Anyway, thanks for responding.
Relevant, but not explanatory, is that latest data on consumer expenditures shows that healthcare took a jump in January, which WSJ attributes to Obamacare, although expectation is that size of jump will moderate: some people would have put off elective expenditures until they got health insurance.
I've noticed that when using Yahoo portfolios, they no longer show company press releases! if you click on a particular stock in the portfolio, you then see the press releases but this is not acceptable. Does anyone have a better site for the purpose of tracking news?
What complacency. Their target return on capital is only 9%, they don't expect to meet it this year even excluding sugar, and they think they are doing a great job. Hopefully, they are being conservative, it does sound like that. 200 million buyback is all they can muster? I think the whole problem starts with the return on capital goal, for the entire industry.
Why is he still CEO? Two failed US chiefs. Initiatives which consistently fail. Worst of all is that they claim items like wings were test marketed: I suspect they were so desperate to reverse sales trends they either hurried test, or employees now tell management what they want to hear. MCD needs realistic goals, and managers who are not slogan oriented.
The Food and Drug Administration (FDA) is implementing a voluntary plan with industry to phase out the use of certain antibiotics for enhanced food production.
Is this one reason for recent ODC price rise as it makes the AMLAN products (see annual meeting slides) more important?
Viking, If you know how to edit out typo's after a message is posted, I am all ears. It is not like Amazon book reviews which can be edited.