U.S. Markets closed

Hawaiian Holdings, Titan International, DIRECTV Group, DigitalGlobe and RigNet highlighted as Zacks Bull and Bear of the Day

Zacks Equity Research

For Immediate Release

Chicago, IL – May 01, 2014– Zacks Equity Research highlights Hawaiian Holdings, Inc. (HA-Free Report) as the Bull of the Day and Titan International Inc. (TWI-Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on DIRECTV Group Inc. (DTV-Free Report), DigitalGlobe, Inc. (DGI-Free Report) and RigNet, Inc. (RNET-Free Report).
 
Here is a synopsis of all five stocks:

Bull of the Day:

Hawaiian Holdings, Inc. (HA-Free Report), the parent of Hawaiian Airlines, is seeing strong levels of demand. This Zacks Rank #1 (Strong Buy) is expected to see double digit earning growth in 2014 as consumers spend more money on travel.
 
Hawaiian Holdings is the largest and longest-serving airlines in Hawaii with 85 years of service. It flies nonstop to 11 U.S. gateway cities as well as internationally to Japan, South Korea, China, Australia, New Zealand, American Samoa and Tahiti.
 
It also operates about 160 jet flights internally around the Hawaiian Islands.
 
On Apr 22, Hawaiian reported its first quarter results and beat the Zacks Consensus by 9 cents. Earnings were a loss of $0.02 compared to the Zacks Consensus of a loss of $0.11.
 
Hawaiian wasn't as impacted by weather delays as other airlines that operate more flights in the Midwest and East coast. It ranked number one nationally for on-time performance in both January and February.
 
The company has been expanding service. In the quarter, it added 2 new A330-200 aircraft.
 
Bear of the Day:

The struggles continue for industrial tire-maker Titan International Inc. (TWI-Free Report). This Zacks Rank #5 (Strong Sell) recently withdrew 2014 guidance after a difficult first quarter which was impacted by the brutal North American winter.
 
Titan International supplies wheels, tires and assemblies for off-highway equipment used in agriculture and earthmoving/construction.
 
When agriculture and mining was booming, tire sales were too. In 2011, the farmers took home record income and Titan's earnings jumped 253%.
 
But excess inventory that has been dropped into the aftermarket from the mining industries has impacted pricing.
 
Titan's current outlook for mining tires continues to be negative. On Apr 24, in its first quarter press release, the company said the price of tires continued to drop and it saw further drops in the foreseeable future.
 
In agriculture tires, which is its larger segment, the aftermarket and OEM farm business declined in the first quarter and the OE construction business was also below the company's forecast.
 
In the first quarter, total sales fell 6.8% to $538.9 million from $578.4 million a year ago. Gross profit also fell to 10.1% of net sales compared to 16.7% in the first quarter of 2013.
 
Additional content:

3 Telecom Stocks Calling for an Earnings Beat

The telecommunications industry is identified as a major driver of global economic recovery. Robust growth in high-speed mobile Internet traffic, especially for wireless data and video, has radically altered the industry into the most evolving, inventive, and keenly contested space. Moreover, the advent of wireless broadband technology has opened up several service areas with substantial opportunities.

The GSM Association’s research wing, GMSA Intelligence, recently predicted the establishment of over 1 billion LTE global connections by 2017. Currently, there are approximately 200 million LTE links worldwide.

With the first-quarter results underway, we remain optimistic about some earnings surprises in the Telecommunication space.

Why Telecom is an Attractive Bet?

Currently, the U.S. Telecommunications industry is evolving around 5 broad factors. These include the growing popularity of wireless, which is gradually becoming the future of the industry, and the consequent popularity of spectrum. High-speed fiber-based network is projected to expand more aggressively, especially for video/TV offerings.

In addition, consolidation within the industry will continue mainly due to shortage of airwaves and attainment of economies of scale. Innovative products are likely to be launched in areas of m-Commerce, virtualization and cloud-based technology, high-speed metro Ethernet, to name a few. Apart from these, there still remains ample scope for expansion in the U.S. According to the Federal Communications Commission, nearly a fifth of rural American households lack broadband access.

In such a scenario, it might be a good idea to bet on a handful of telecom stocks that are poised to beat earnings estimates this quarter. An earnings surprise should help these stocks outperform in the near term.
 
How to Find a Top Pick

With the existence of a number of industry players, finding the right stocks that have the potential to beat earnings estimates could appear to be a difficult task, but our proprietary methodology makes it fairly simple for you. You could narrow down the list of choices by looking at stocks that have the combination of a favorable Zacks Rank –Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) – and a positive Earnings ESP.

Earnings ESP is our proprietary methodology for determining stocks having the best chance to surprise with their next earnings announcement. It shows the percentage difference between the Most Accurate estimate and the Zacks Consensus Estimate.
 
Our research shows that for stocks with this combination, the chance of positive earnings surprise is as high as 70%.
 
For investors seeking to benefit by applying this strategy to their portfolios, here are three telecom stocks that have the right combination of elements to post an earnings beat this quarter:
 
DIRECTV Group Inc. (DTV-Free Report): DIRECTV provides advanced communication services and develops a broad range of entertainment, information and communication services for home and business use, including video, data, voice, multimedia and Internet services.
 
The Zacks Consensus Estimates for first-quarter 2014 is pegged at $1.49, representing robust growth over the year-ago quarter. The company registered an average earnings surprise of 9.02% over the trailing 12 months. DIRECTV presently carries a Zacks Rank #3 and has an earnings ESP of +1.34%.
 
--The company is set to report its first-quarter 2014 results on May 6, before the opening bell.
 
DigitalGlobe, Inc. (DGI-Free Report): DigitalGlobe, Inc. is a global provider of commercial high-resolution earth imagery products and services. The company's products include DigitalGlobe System, QuickBird satellite, ImageAtlas and GlobeXplorer.
 
The company delivered an average earnings surprise of 125.75% over the past 12 months. DigitalGlobe has an Earnings ESP of +314.29% and retains a Zacks Rank #3.
 
--The company is slated to release its first-quarter 2014 results on May 1, after market closes.
 
RigNet, Inc. (RNET-Free Report): RigNet, Inc is engaged in providing data network infrastructure serving the remote communications needs of the oil and gas industry. The company delivers voice, data, video and other value-added services such as real-time management services through an Internet Protocol/Multiprotocol Label Switching, or IP/MPLS, global network.
 
Currently, the Zacks Consensus Estimate for the company’s first-quarter 2014 is pegged at 27 cents, with growth expectation of 22.7% from the prior-year quarter. The company boasts an average earnings surprise of 13.27% over the trailing 12 months. RigNet currently holds a Zacks Rank #3 and has an earnings ESP of +11.11%.
 
--The company is slated to report its first-quarter 2014 financial results on May 12, after market closes.
 
Get today’s Zacks #1 Stock of the Day with your free subscription to Profit from the Pros newsletter:
 
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 the Analyst Blog
 
Updated throughout every trading day, the Analyst Blog provides analysis from Zacks Equity Research about the latest news and events impacting stocks and the financial markets.
 
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.
 
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Click here to subscribe to this free newsletter today.
 
About Zacks
 
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.
 
Get the full Report on HA - FREE
Get the full Report on TWI - FREE
Get the full Report on DTV - FREE
Get the full Report on DGI - FREE
Get the full Report on RNET - FREE
 
Follow us on Twitter:  http://twitter.com/zacksresearch
 
Join us on Facebook:  http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
 
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
 
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com

 
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
 
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.


Read the analyst report on HA

Read the analyst report on TWI

Read the analyst report on DTV

Read the analyst report on DGI

Read the analyst report on RNET


Zacks Investment Research

  • How to approach Amazon’s marathon Black Friday sales bonanza
    Lifestyle
    Quartz

    How to approach Amazon’s marathon Black Friday sales bonanza

    Amazon would like you to go to Amazon.com—right now. You see, over at Amazon, Black Friday is not just a day. It’s 10 days, which kicked off on Friday (Nov. 17) and will escalate in a frenzy of offers until the actual Black Friday, and then Cyber Monday.

  • How to Quickly Estimate Your Social Security Payment at Various Ages
    Lifestyle
    Motley Fool

    How to Quickly Estimate Your Social Security Payment at Various Ages

    Deciding when to begin receiving Social Security is a personal decision, but that decision shouldn't be made without a clear understanding of the pros and cons associated with claiming early, on time, or late. A lot goes into figuring out how much money

  • Under Armour Inc Stock May Be a Buy Just Because Everyone Hates It
    Business
    InvestorPlace

    Under Armour Inc Stock May Be a Buy Just Because Everyone Hates It

    The last time I took a look at Under Armour Inc (NYSE:UAA) back in September, I didn’t pull any punches to protect owners of UA stock. It is, after all, still a powerful brand name, even if it’s been poorly managed.

  • Exclusive: Saudi prince detention holds up loan to investment firm - sources
    Business
    Reuters

    Exclusive: Saudi prince detention holds up loan to investment firm - sources

    Kingdom Holding's plan to borrow money to fund new investments has stalled because owner Prince Alwaleed bin Talal has been detained in Saudi Arabia's anti-corruption crackdown, according to four banking sources familiar with the matter. Kingdom had approached banks to obtain the loan, but the financing plan has been held up because the lenders are worried about potential repercussions if they lend to the prince's company, the sources said. One of the sources, who was approached for the loan, said it would have been worth roughly 5 billion riyals ($1.3 billion).

  • Two very different photos show why the US can't process mass shootings
    News
    Quartz

    Two very different photos show why the US can't process mass shootings

    At first glimpse, the Reuters photo above is acutely mundane. Taken outside the First Baptist Church in Sutherland Springs,Texas, it shows a law enforcement officer securing a fence around the site of a shooting rampage that left 26 dead earlier this month. There are plenty of reasons to erect a fence. It’s a crime scene. It begs modesty. It’s a buffer against pain. But I would argue that this photo defies those explanations. Why? Because the image itself is quirky, the “split screen” effect a little artsy. The officer’s body language could be mistaken for someone craning for a view. Mostly though, it’s because the angle floats us, the viewers, above the partition—making the the photo less about

  • Procter & Gamble Update: Doug Kass' Views
    Business
    The Street

    Procter & Gamble Update: Doug Kass' Views

    Here are Doug Kass' top thoughts on some of the biggest stories of the week. Update on What's Up with P&G I placed Procter & Gamble ( PG) on my Best Ideas List as a short on Aug. 31 at $92.56. The shares closed Thursday at $88.23 and, as of this writing, are up $1.57 in premarket trading. Thursday, it was announced that activist investor Nelson Peltz may have won his board seat. Frankly, if the proxy results stand, and Peltz secures his seat on the P&G board, I suspect he will have little impact and that the relationship with Peltz will remain contentious. I am a short seller in PG today based on my negative consumer packaged goods thesis. Originally published Nov. 16 at 9:13 a.m. EST Doug Kass

  • Maria Bartiromo: My comment was taken wildly out of context
    U.S.
    Fox Business Videos

    Maria Bartiromo: My comment was taken wildly out of context

    FBN's Maria Bartiromo clarifies her comments from last week about sexual harassment allegations against Sen. Al Franken (D-Minn.) and President Trump.

  • Airbus faces tricky hurdles over stalled A380 Emirates deal
    Finance
    Reuters

    Airbus faces tricky hurdles over stalled A380 Emirates deal

    A preliminary deal to sell 36 A380s to Emirates blew up in an Airbus hospitality chalet moments before the Gulf carrier was expected to shower $30 billion on the planemaker and its U.S. rival Boeing at the start of last week's Dubai Airshow. Two top Emirates officials broke the news to Airbus CEO Tom Enders and his sales chief John Leahy that the widely expected $16 billion deal would not be signed that day, leaving uncertainty over the future of the world's largest jetliner. The halt came so swiftly that Airbus PR executives who were already in place for a double-signing ceremony a hundred yards away found themselves awkwardly among the audience as Boeing walked away with the sole Emirates order, worth $15 billion.

  • 5 Best Medical Marijuana Stocks on the Market Today
    Business
    Motley Fool

    5 Best Medical Marijuana Stocks on the Market Today

    Medical marijuana has never been more popular. With 29 U.S. states plus the District of Columbia and a growing number of nations across the world now permitting legal use of cannabis for medical purposes, many investors are eager to pour money into the best companies in the industry. There are quite a few alternatives available for investing in medical marijuana.

  • Merck & Co., Inc. Stock’s Decline Is a Reason to Get In Now
    Business
    InvestorPlace

    Merck & Co., Inc. Stock’s Decline Is a Reason to Get In Now

    Merck & Co., Inc. (NYSE:MRK) did not finish last week well. MRK stock hit its 52-week low on the news. As I’ve said many times before, this is when contrarian investors need to take a deeper dive and see if a great long-term company like Merck stock has been oversold, or whether it’s being justly punished for its shortcomings.

  • Why Smart People Take Social Security at 62
    Lifestyle
    Motley Fool

    Why Smart People Take Social Security at 62

    It's true that if you're way behind in saving up for retirement, you may have to toil far longer than you'd like. Here's a look at why you might want to start collecting Social Security at age 62. The Social Security Administration assigns each of us a "full" retirement age at which we can start collecting our full benefits.

  • The Medicare Mistake That Could Cost 62% of Senior Enrollees a Fortune in 2018
    Business
    Motley Fool

    The Medicare Mistake That Could Cost 62% of Senior Enrollees a Fortune in 2018

    For many retired Americans, Social Security is probably the most important social program. According to the Urban Institute, a median income 65-year-old is expected to receive more in lifetime benefits from Medicare than Social Security by 2055.  That's less than four decades away, and it's a function of medical care expenses rising at a quicker pace than Social Security's annual cost-of-living adjustment. In other words, not only are seniors trying to maximize their lifetime benefit from Social Security, but they need to also ensure that their Medicare plan is offering them the best possible value.

  • Overstock CEO on the power of bitcoin
    Business
    Fox Business Videos

    Overstock CEO on the power of bitcoin

    Overstock.com CEO Patrick Byrne discusses his outlook for bitcoin and holiday shopping.

  • Business
    Reuters

    Baker Hughes' sell-off could mean buying opportunity -Barron's

    A recent sell-off in the stock of Baker Hughes, a GE-owned company, might mean a chance to buy the shares at a bargain, a report in Barron's financial newspaper said. The stock lost 7.4 percent over two days last week after General Electric outlined steps to shrink its array of businesses. It said it planned to get rid of its 62.5 percent stake in Baker Hughes.

  • Here's How Warren Buffett's Stock Portfolio Has Changed Over the Past 2 Years
    Business
    Motley Fool

    Here's How Warren Buffett's Stock Portfolio Has Changed Over the Past 2 Years

    Warren Buffett has famously said in regard to Berkshire Hathaway's (NYSE: BRK-A) (NYSE: BRK-B) stock portfolio that "our favorite holding period is forever." Buffett's ideal stock is one that he can buy and whose business continues to grow reliably over time. Having said that, Buffett does buy and sell stocks regularly, and Berkshire Hathaway's portfolio has changed considerably over the years.

  • As Earth's rotation slows, 2018 could see a spike in large earthquakes
    Science
    Quartz

    As Earth's rotation slows, 2018 could see a spike in large earthquakes

    Every so often, the Earth’s rotation slows by a few milliseconds per day. This is inconsequential to the average human, and causes only mild annoyance to the people whose job it is to measure Earth’s rotation with great precision. That may be about to change, if the hypothesis set out by two geologists proves true. In a study published in Geophysical Research Letters earlier this year, Roger Bilham of the University of Colorado and Rebecca Bendick of the University of Montana predict that, because of Earth’s slowing rotation, the world will see a significant spike in large earthquakes in 2018. To make this prediction, Bilham and Bendick studied every earthquake since 1900 that recorded more than

  • The stock market's 'split personality' could set off a correction at any moment, Art Cashin warns
    Business
    CNBC

    The stock market's 'split personality' could set off a correction at any moment, Art Cashin warns

    Investors may want to take cover soon.Art Cashin, UBS' director of floor operations at the New York Stock Exchange, says a "split personality" is manifesting itself in the stock market, and it could hit Wall Street where it hurts at any moment. "I'm troubled by the market internals, and I'm very cautious about what is going in Washington," he added.

  • Lifestyle
    Investopedia

    5 Money Decisions You Might Regret Later in Life

    The room for error in most money decisions can leave you feeling pressured to make all the right moves now. The good news is we can learn from other people’s experiences to help us make better choices today so we don’t end up saddled with regrets about

  • 3 Dividend Stocks That Pay Out Over $12 Billion a Year
    Business
    Motley Fool

    3 Dividend Stocks That Pay Out Over $12 Billion a Year

    Three of those huge dividend payers are Apple (NASDAQ: AAPL), AT&T (NYSE: T), and ExxonMobil (NYSE: XOM). How can these companies afford to be so generous to shareholders? Let's take a look at these members of the $12 billion dividend club.

  • Business
    Reuters

    As Venezuela pumps below OPEC target, oil rivals begin filling gap

    HOUSTON/DUBAI (Reuters) - As Venezuela's dilapidated energy sector struggles to pump enough crude oil to meet the country's OPEC output target, rival producers have started to plug the gap, according to OPEC and industry sources and U.S. government data. The South American country's oil output hit a 28-year low in October as state-owned oil giant PDVSA [PDVSA.UL] struggled to find the funds to drill wells, maintain oilfields and keep pipelines and ports working. Venezuela's oil production, which has been falling by about 20,000 barrels per day (bpd) per month since last year, is on track to fall by at least 250,000 bpd in 2017, according to numbers reported to the Organization of the Petroleum Exporting Countries (OPEC), as U.S. sanctions and a lack of capital hobble operations.

  • Marvell Technology to buy rival chipmaker Cavium for $6 billion
    Business
    Reuters

    Marvell Technology to buy rival chipmaker Cavium for $6 billion

    Shares of Marvell were down 0.8 percent to $20.14, while Cavium was up 7 percent at $81.14 in early trading. Chief Executive Matthew Murphy, who took the top job a year ago, has been focusing on Marvell's networking business to counteract declining demand for its chips used in hard disk drives of personal computers. Murphy last year replaced former CEO Sehat Sutardja and President Weili Dai - a husband-wife team who co-founded the company - after an audit committee questioned their management style and hedge fund investor Starboard Value LP made a host of demands.

  • A Foolish Take: Tax Cuts and Stock Prices
    Business
    Motley Fool

    A Foolish Take: Tax Cuts and Stock Prices

    The CEO of a major regional bank recently told me something interesting about the prospective tax reform making its way through Congress. If a tax reform bill passes, he believes it will give the economy two or three more years of expansion. Because earnings drive stock prices, moreover, it also makes sense that tax cuts would be good for stocks.

  • Why Baidu Inc (ADR) Stock Could See a 20% Rally
    Business
    InvestorPlace

    Why Baidu Inc (ADR) Stock Could See a 20% Rally

    Shares of Baidu Inc (ADR) (NASDAQ:BIDU) have been struggling since its late-October earnings report. While Baidu beat on earnings per share estimates, it came up short of revenue expectations. The BIDU stock price fell almost 8% in one day following earnings.

  • Go Long Palo Alto Networks Inc Into 2018 for Free
    Business
    InvestorPlace

    Go Long Palo Alto Networks Inc Into 2018 for Free

    Trading Palo Alto Networks Inc (NYSE:PANW) around its earnings report is not for the faint of heart. This week I want to go long PANW stock into earnings, but considering how much it moves, I will use options. Timing of entry points do matter especially in a momentum stock like this.

  • Avolon firms up deal for 75 Boeing jets, may order 20 more
    Business
    Reuters

    Avolon firms up deal for 75 Boeing jets, may order 20 more

    HONG KONG/PARIS (Reuters) - Chinese-owned aircraft leasing company Avolon has firmed up an order for 75 Boeing airplanes and may order 20 more, its parent Bohai Capital said on Sunday. The Dublin-based leasing group, founded by Chief Executive Domhnal Slattery, agreed to buy 55 Boeing 737 MAX 8 aircraft and 20 of the higher-capacity Boeing 737 MAX 10, Bohai said in a filing. It may order an additional 20 of the main 737 MAX 8 version, it added.