Micron, Crocs, Walt Disney and NVIDIA highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – May 10, 2017 –Zacks Equity Research Micron (NASDAQ: MU – Free Report ) as the Bull of the Day, Crocs (NASDAQ: CROX – Free Report ) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Walt Disney Company (NYSE: DIS – Free Report ) and NVIDIA (NASDAQ: NVDA – Free Report ).
Here is a synopsis of all four stocks:
Bull of the Day :
Over the last year there has been a huge jump in demand for chips and I don’t mean Pringles. The “Internet of Things” is connecting everyday items like coffee makers and crock pots to your home WiFi network. This new technology is introducing a large source of demand for an already very sought after technological device, the memory chip. One of the most attractive stocks out there in this space is today’s Bull of the Day,Micron (NASDAQ: MU – Free Report ).
Micron Technology, Inc. provides semiconductor systems worldwide. The company operates through four segments: Compute and Networking Business Unit, Storage Business Unit, Mobile Business Unit, and Embedded Business Unit. It offers DDR3 and DDR4 DRAM products for computers, servers, networking devices, communications equipment, consumer electronics, automotive, and industrial applications; mobile low-power DRAM products for smartphones, tablets, automotive, laptop computers, and other mobile consumer device applications; DDR2 and DDR DRAM, GDDR5 and GDDR5X DRAM, SDRAM, and RLDRAM products for networking devices, servers, consumer electronics, communications equipment, computer peripherals, automotive and industrial applications, and computer memory upgrades; and hybrid memory cube semiconductor memory devices for use in networking and computing applications.
The company is a Zacks Rank #1 (Strong Buy) in an industry that ranks as the top industry of all the 265 we rank at Zacks. A big reason for the rank is three analysts has increased their earnings estimates on Micron for the current quarter, next quarter, and current year over the last 60 days. The bullish sentiment has catapulted Micron’s current year EPS estimate from $1.83 to $3.67. Next year’s EPS consensus number has gone from $2.21 to $4.95 over the same period. That represents 35% year over year growth next year. That number pales in comparison to this year’s growth where EPS went from 6 cents last year to the whopping $3.67 number analysts are looking for now.
Bear of the Day :
There are some trends which emerge in the fashion world and stick around forever. But then there are others which are merely fads, likely to fade over time. Fortunes can be made for those smart enough to invest in the early stages of a fad, but one could just as easily lose a fortune betting an old fad will return. One fad with a loyal following but a terrifying stock right now is our Bear of the Day, Crocs (NASDAQ: CROX – Free Report ).
Crocs, Inc., together with its subsidiaries, designs, develops, manufactures, markets, and distributes casual lifestyle footwear and accessories for men, women, and children worldwide. It offers various footwear products, including clogs, sandals, flips and slides, shoes, and boots. The company’s primary trademarks include the Crocs logo and the Crocs word mark. It sells its products in approximately 90 countries through domestic and international retailers and distributors, as well as directly to end-user consumers through company-operated retail stores, outlets, e-commerce store sites, and kiosks. As of December 31, 2016, Crocs, Inc. operated 228 retail stores; 98 kiosks and store-in-stores; 232 outlet stores; and 12 company-operated e-commerce sites.
Crocs shares were a Zacks Rank #5 (Strong Sell) heading into earnings because analysts had gone out and recently dropped their earnings estimates for the current quarter, next quarter, current year and next year. Just a week before earnings, the drop in estimates took our Zacks Consensus Estimate for the current quarter from 10 cents to 3 cents.
The good news for Crocs is next quarter looks much more promising, with our Zacks Consensus Estimate rising from 18 cents to 22 cents. There is also some optimism for next year where the number has gone from 24 cents to 33 cents.
Additional content:
NVIDIA Beats & Raises, Disney Beats & Falls
After the closing bell today, two bellwether companies in their respective industries reported earnings results: The Walt Disney Company (NYSE: DIS – Free Report ) and NVIDIA (NASDAQ: NVDA – Free Report ). While both companies topped expectations on the bottom line, shares of the two companies are headed in different directions in late-trading.
Disney reported $1.50 per share, which amounts to a 5-cent beat. Revenues in the quarter, however, were below the Zacks consensus of $13.48 billion to $13.34 billion. A drop in its Media & Networks segment due to operating income falling 3% on account of higher programming costs at ESPN was the culprit. That said, Disney's Studio business posted a better-than-expected $2.03 billion in the quarter, topping Zacks expectations. Shares are trading below their normal Tuesday closing price by roughly 2%. For more, click here .
NVIDIA posted another big earnings beat -- its fifth in a row, averaging a more than 27% positive surprise in its trailing four quarters -- on sales of $1.94 billion in the quarter represents a 48.4% leap year over year, and topped the Zacks consensus of $1.91 billion. NVIDIA also guided revenues for next quarter above our consensus $1.89 billion to $1.95 billion. As a result, shares are off to the races in the after-market, up 11% since regular Tuesday close.
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About the Bull and Bear of the Day
Every day, the analysts at Zacks Equity Research select two stocks that are likely to outperform (Bull) or underperform (Bear) the markets over the next 3-6 months.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous analyst coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year. See these high-potential stocks free >>.
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Micron Technology, Inc. (MU): Free Stock Analysis Report
Crocs, Inc. (CROX): Free Stock Analysis Report
Walt Disney Company (The) (DIS): Free Stock Analysis Report
NVIDIA Corporation (NVDA): Free Stock Analysis Report
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