|Bid||11.32 x 1400|
|Ask||11.49 x 1000|
|Day's Range||11.28 - 11.44|
|52 Week Range||11.00 - 17.27|
|Beta (3Y Monthly)||0.42|
|PE Ratio (TTM)||N/A|
|Earnings Date||Mar 26, 2019 - Apr 1, 2019|
|Forward Dividend & Yield||1.52 (13.42%)|
|1y Target Est||12.27|
Kellogg Co. (K), Goodyear Tire & Rubber Co. (GT), GameStop Corp. (GME) and AGNC Investment Corp. (AGNC) have declined to their respective three-year lows
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
GameStop is severely undervalued; should immediately repurchase at least $500M in stock via tender offer PITTSBURGH , Feb. 12, 2019 /PRNewswire/ -- Hestia Capital Management, LLC ("Hestia Capital") ...
Amazon Updates: Cloud, Advertising, Prime, and HQ2Amazon seeking cloud customers Amazon (AMZN) is making a powerful pitch to retailers to use its cloud services, according to a report from Business Insider. This move appears to be an effort by the
Electronic Arts (NASDAQ:EA) has desperately needed good news of late. Electronic Arts stock touched a two-year low in December, at which point EA had shed half of its value. Even with some dip-buyers arriving in the past few weeks, EA remained well off its highs.A third-quarter earnings report that disappointed -- as even EA management admitted -- sent Electronic Arts shares tumbling again. The success of Epic Games' Fortnite continued to weigh on EA as well as public rivals Activision Blizzard (NASDAQ:ATVI) and Take-Two Interactive (NASDAQ:TTWO).But EA finally has received the good news it was looking for. The company's Apex Legends -- a battle royale-style game in the mold of Fortnite -- looks like a hit. And it's done wonders for EA stock.InvestorPlace - Stock Market News, Stock Advice & Trading TipsAs of this writing, Electronic Arts stock has bounced 25% in three-and-a-half trading sessions. The strength isn't coming from the sector -- TTWO and ATVI remain at the lows -- and it isn't coming from the rest of the portfolio given the weak fiscal Q3 report. The early strength of Apex Legends simply has driven that much optimism toward EA stock. * Buy These 5 Stocks to Play the Megatrend of the Century Some optimism is merited. But the 25% gain here looks to be too much. It already prices much -- if not all -- of the game's potential success. And it ignores the fact that the rest of Electronic Arts' portfolio has some very real concerns. Apex Legends Drives EA Stock HigherTo be sure, Apex Legends is a big potential mover for Electronic Arts stock. The game has signed up more customers faster than Fortnite did. Analyst firm Baird estimated potential 2020 revenue of $500 million. Bank of America estimated a high-side case of $600 million.Against trailing-twelve-month revenue of $5.3 billion, the game could drive an additional 10% in revenue. Considering the high margins on incremental revenue, meanwhile, the profit contribution could be even higher.Estimating the exact potential of Apex Legends remains a guessing game, but the impact on EA stock could be huge. Fortnite, according to one source, generated $2.4 billion in revenue last year. According to another, Epic Games booked some $3 billion in profit. (That latter figure seems aggressive, however, given a reported valuation of $15 billion for Epic.)Apex Legends, then, doesn't have to be the 'next' Fortnite to have a material impact on EA financials. Even a second-place standing would provide solid growth against EA's current totals of about $5.3 billion in revenue and a little over $1 billion in adjusted net income. Has the Rally Gone Too Far?That said, the rally of late has incorporated quite a bit of upside from Apex Legends. EA stock has added roughly $5 billion in market value in the last four sessions. There may have been some help from a "dead cat bounce" following the disappointing Q3 report. But whatever the exact figure, the market already has added at least a few billion dollars to EA's valuation based on the early returns from the game. In other words, a solid second-place standing relative to Fortnite already looks close to priced in.Meanwhile, "early returns" is the operative figure there. The game itself still has a long way to go. And Electronic Arts itself has to figure out how to monetize the game wisely. That will require some nimble movements, considering that EA undermined consumers' trust with its ham-handed efforts around Star Wars Battlefront II. EA also has to make sure not to cannibalize Apex Legends with the March launch of the battle royale update for Battlefield V.At the least, given its experience with Battlefront, EA is likely to go slow in terms of managing in-game monetization. And so investors expecting a big boost to near-term financials from Apex Legends may be disappointed. The Other Risks to Electronic Arts Stock PersistAfter the rally past $100, there is a case for caution here. Apex Legends is a potential hit -- but investors have noticed, and bid EA stock up accordingly. And EA still needs to capitalize on the early momentum -- and properly manage its revenue and profit potential going forward.Meanwhile, in the rest of the portfolio, nothing has changed since the Q3 report. Growth concerns persist. FIFA 19 -- historically the company's largest game, at 11% of revenue -- sales were below expectations. The sports portfolio on the whole, per the Q3 conference call, is expected to see revenue flat to up 5% in 2020. Battlefield V, too, has disappointed.That's not changing any time soon. Overall, according to the call, bookings are supposed to grow just low single-digits in fiscal 2020. So are earnings. Margin benefits from the shift to digital -- as EA sold games direct instead of through retailers like GameStop (NYSE:GME) -- are moderating. In-game monetization revenue growth is slowing substantially.There's simply not a lot of growth left in the legacy portfolio -- which is why investors have punished EA stock over the past few months. And yet EA stock, against current FY20 estimates, trades at 25x this year's adjusted EPS guidance even backing out net cash.That's a multiple that already assigns quite a bit of success to Apex Legends. So does the 25% rally in EA stock. To keep the rally going over the long-term, EA is going to have to succeed with Apex Legends and find more growth elsewhere.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks That Every 20-Year-Old Should Buy * 10 Best Dividend Stocks to Buy for the Next 10 Months * 10 Monster Growth Stocks to Buy for 2019 and Beyond Compare Brokers The post Don't Count on Apex Legends to Save Electronic Arts Stock appeared first on InvestorPlace.
Electronic Arts Surges as Apex Legends Continues Its Strong RunApex LegendsElectronic Arts (EA) is trading much higher in premarket trading today. The stock has seen significant buying interest on optimism over Apex Legends, its first free-to-play
Why Wall Street Fell in Love with Electronic Arts StockWall StreetElectronic Arts (EA) gained 6.8% today as of 10:45 AM EST. Other gaming stocks are in the red with Activision Blizzard (ATVI), Take-Two Interactive Software (TTWO), and GameStop (GME)
NEW YORK, Feb. 11, 2019 -- In new independent research reports released early this morning, Fundamental Markets released its latest key findings for all current investors,.
The layoffs, first reported by Bloomberg on Friday, is in response to sluggish sales as the company faces steep competition and a decline of brick-and-mortar sales.
GameStop Corp NYSE:GMEView full report here! Summary * ETFs holding this stock have seen outflows over the last one-month * Bearish sentiment is high Bearish sentimentShort interest | NegativeShort interest is extremely high for GME with more than 20% of shares on loan. This means that investors who seek to profit from falling equity prices are currently targeting GME. Money flowETF/Index ownership | NegativeETF activity is negative. Over the last one-month, outflows of investor capital in ETFs holding GME totaled $3.82 billion. Additionally, the rate of outflows appears to be accelerating. Economic sentimentPMI by IHS Markit | NeutralAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Consumer Services sector is rising. The rate of growth is weak relative to the trend shown over the past year, however. Credit worthinessCredit default swapCDS data is not available for this security.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Turtle Beach (NASDAQ:HEAR) surged in Tuesday trading on no news from or about the gaming headset maker. This 7% move higher represents the latest in a series of extreme shifts that have defined HEAR stock over the last year.That the stock rose by about 780% in 2018 makes the interest understandable. However, the fundamental question is how Turtle Beach stock will fare as peers offer competing products. Ultimately, Turtle Beach will have to maintain its market share amid intense audio technology competition to ensure its future. HEAR Stock Bolstered by "Battle Royale" GamingIn a previous article, I referred to HEAR stock as a "compelling trade," but only for those who can take the volatility. And, volatile it has been. In mid-January, it spiked by more than 11% in a single day only to give back that entire gain over the following four days. Most credit a GameStop (NYSE:GME) report with the temporary surge. The games retailer saw a 29% increase in accessories sales over the holidays.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * The 9 Best Stocks to Invest In During a Manic Market This comes off the almost eight-fold surge in the stock in 2018, as sales of Turtle Beach's gaming headsets became a necessary component of one hot online game -- Fortnite. The title, developed by North Carolina-based Epic Games, is a so-called "battle royale" game, a genre involving "last man standing" type games.Additionally, an increased interest in esports has also helped HEAR stock. About 43 million viewers watched the League of Legends championship last year, about equal the viewership of an NBA championship game. Much like those games inspire kids to want basketballs, the gaming contests spark similar interest in top-end headsets. HEAR's Strong FinancialsThis focus has likely inspired rising profit forecasts in Turtle Beach stock. When HEAR reports earnings on March 5, analysts expect earnings of $2.60 per share for 2018, a substantial improvement from 2017's loss of 28 cents a share. It also leaves HEAR stock with a compelling 6.4 price-to-earnings (PE) ratio.However, volatility again comes in. Profit forecasts for 2019 so far come in at a much lower $1.65 per share level. This would leave HEAR with a forward PE of 10x. Although that may appear cheap, it calls into question the sustainability of profit growth. Maintaining a Competitive Moat is KeyAll this only reminds investors of a much bigger worry. Despite the renewed interest in Turtle Beach stock, its key product still maintains only a narrow moat. HEAR's success will inevitably see challenges from competing headsets. Large gaming equipment manufacturers such as Sony (NYSE:SNE) or Microsoft (NASDAQ:MSFT) have every intention of matching or surpassing Turtle Beach. Microsoft's cash hoard alone is over 500 times that size the market cap of HEAR stock. This weighs on the minds of many who would otherwise buy Turtle Beach stock. * 7 Stocks That Won Super Bowl Sunday Still, HEAR stock could find a model for success if management follows the lead of Roku (NASDAQ:ROKU). Roku acts as a neutral player among streaming services such as Netflix (NASDAQ:NFLX) or Prime from Amazon (NASDAQ:AMZN). In the same respect, Microsoft or Sony game controllers and headsets will likely favor games on their platform. Maintaining such a neutral reputation could prove helpful. They will still need to innovate to stay ahead of the competition. However, from that position Turtle Beach could expand its narrow moat. Without such a differentiator, HEAR stock could easily become a flash in the pan. Bottom Line on HEAR StockTurtle Beach will have to maintain the moat it has built in order to succeed. The massive growth in HEAR stock, as well as the low 6.1x PE ratio, will inspire some buying.However, HEAR remains small, particularly compared to the large and mega-cap companies in the gaming space. The popularity of esports could give Turtle Beach staying power. Still, it will have to maintain its reputation as larger and better-resourced companies seek to compete. Although companies such as Roku have thrived under such conditions, without a differentiator, the headset maker's future could become bleak.Cheap valuation and NBA-sized viewing audiences could further bolster HEAR stock. However, Turtle Beach's small size and tenuous competitive moat make it a speculative play at best.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Are These 7 Dividend Aristocrats ETFs Fit for a King? * 7 of the Best Emerging Markets Stocks to Buy * 5 Gold Stocks That Should Glitter in 2019 Compare Brokers The post Turtle Beach Stock Needs To Win In The Game Of Moat Expansion appeared first on InvestorPlace.
Gaming Industry Struggles Continue with EA’s Top-Line MissGaming industry Electronic Arts (EA) released its fiscal 2019 third-quarter earnings yesterday after markets closed. The stock was trading sharply lower in after-hours trading yesterday.
Tupperware Brands Corp, Signet Jewelers Ltd., Papa John's International Inc. and GameStop Corp. have declined to their three-year lows
While this call may seem a bit early in terms of earnings momentum and Brexit uncertainty, we are upgrading our rating for the shares of the bargain airline from Market Perform to Outperform, with an $85 target price, as the risk-reward at current levels is too compelling to ignore. Due to a combination of broader European airline industry issues, self-inflicted wounds, and calendar timing, fiscal 2019 has been an exceptionally challenging year for (RYAAY) But challenge is not always a bad thing. Admittedly, we would expect the market to become more bullish on Ryanair if a somewhat more challenging macro environment were to prevail (outside of an outright recession) as it would likely squeeze out weaker players and accelerate industry consolidation.
GameStop Corp. (NYSE: GME ) said earlier this week it will no longer seek offers to sell itself to a strategic buyer, which removes the "cleanest way" the company could have generated value to ...
Shares of GameStop Corp. plunged Tuesday after the videogame and consumer electronics retailer said it has ended efforts to sell the company after its suitor was unable to secure financing at a rate that made business sense.
The National Football League is the most successful sports league in the world. How does the NFL make money, and what is its strategy to stay on top?
Shares of GameStop (NYSE:GME) tumbled nearly 30% to decade lows on Tuesday, Jan. 29, after the archaic video game retailer announced that it had abandoned plans to sell the company. Those sales plans -- coupled with a Wall Street Journal report, which said that a buyout could happen as soon as February -- led to GME stock rallying from $11 and change on Christmas Eve 2018, to $16 by late January. Click to Enlarge Source: Shutterstock All those gains were wiped out in a single day. Following the "we aren't selling the company" announcement, GME stock dropped back to $11 and change. GameStop stock might bounce here. It's technically oversold, and you could get a mini-rally back to non-oversold levels. But, that mini-rebound rally won't last long. InvestorPlace - Stock Market News, Stock Advice & Trading Tips With the M&A catalyst gone, GME stock is a dead duck. The need for a physical video game retailer is becoming increasingly obsolete, even on the video game hardware side, thanks to cloud gaming. As such, this company does have Blockbuster written all over it. The bleed in Blockbuster stock didn't stop until the company and the stock found themselves in the graveyard. The GameStop narrative will play out in a similar manner. As such, so long as management isn't looking to sell GameStop, investors shouldn't look to buy GME stock. ### M&A Catalyst Is Off the Table For a while, it looked very possible that GME stock was going to be taken out at $20 per share by private equity firm Apollo Global Management. * 10 Stocks to Sell in February In 2016, Apollo saved Outerwall, the parent company of DVD-rental business Redbox. Much like GameStop, Redbox was a physical retail business that was being disrupted by the widespread streaming trend. Yet, despite those challenges, Apollo bought Redbox, betting that the company would produce enough cash flow on its way to the graveyard to produce a suitable return on investment. As such, when the Wall Street Journal mentioned in early January that Apollo was interested in buying GameStop, all the dots connected. Such an acquisition fits into the Apollo wheelhouse, and GameStop desperately needed to do something to save underwater shareholders. It would've been a great deal for all involved parties. But, it's not happening. The Board at GameStop announced that the for-sale process is over. Now, it's back to business as usual for GameStop. Unfortunately, business as usual for GameStop isn't good business. It's the sort of business that will lead to continued weakness in GME stock. ### Not Much Value Left The overarching bear thesis on GME stock is that the company's main business (selling physical video games) is quickly becoming less relevant in the era of downloadable games. Eventually, that business would go extinct, and GME stock would fall to zero. The bull thesis, meanwhile, was predicated on the fact that even though the physical video game business was heading for the graveyard, the hardware business was not. The rationale was that there will always be demand for video game consoles, and those can't be sold digitally. That rationale is flawed. To be sure, video game consoles can't be sold digitally. But, video game consoles themselves will become extinct within the next decade due to the widespread emergence of cloud gaming. Cloud gaming is the ability to stream video games through the cloud. Think Netflix (NASDAQ:NFLX) for video games. * 7 Stocks to Buy With High ESG Momentum For a long time, cloud gaming was thought to be impossible. Now, though, everyone from Electronic Arts (NASDAQ:EA) to Apple (NASDAQ:AAPL) is jumping head-first into cloud gaming. Eventually, this dream will become a reality. When it does, consumers won't need physical video game consoles, and they won't have any need at all to go to GameStop stores. As such, it is only a matter of time before GME stock finds itself in the graveyard. That's a ride investors should avoid at all costs. ### Bottom Line on GME Stock Cloud gaming will inevitably make GameStop's operating model entirely irrelevant. As that happens over the next several years, GME stock will only trend lower. Thus, with a potential M&A catalyst off the table, there's no reason to own GME stock here and now. As of this writing, Luke Lango was long NFLX, EA and AAPL. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Smart Money Stocks to Buy for the Rest of the Year * 10 Best Consumer Stocks to Buy in 2019 * 10 Triple-A Stocks to Buy in February Compare Brokers The post GameStop Isn't Selling, So GME Stock Isn't a Buy appeared first on InvestorPlace.
We saw more stagnation for stocks yesterday, with traders waiting for this week's hard-hitting earnings reports. Apple (NASDAQ:AAPL) was the biggie, of course, and it was mostly good news. The consumer-tech giant saw its stock lose ground headed into the close, but was up in after-hours action after topping last quarter's sales and earnings expectations. The biggest movers on Tuesday, however, weren't the market's most-watched names. PG&E (NYSE:PCG) jumped 16.5% after officially filing for bankruptcy protection. The terms of the petition suggest the company will survive. Meanwhile, GameStop (NYSE:GME) shares plunged to the tune of 27.2% after the struggling company announced it wasn't putting itself up for sale after all. Between the extreme volatility at both ends of the spectrum and the hesitation to do much of anything until Microsoft (NASDAQ:MSFT) posts its numbers (and the FOMC makes its interest rate decision -- both slated for today), stocks weren't prepared to go much of anywhere on Tuesday. And, they didn't. The S&P 500 fell, but only by 0.15%. InvestorPlace - Stock Market News, Stock Advice & Trading Tips As Wednesday's action kicks off what's hopefully a more fruitful trading session, the stock charts of Molson Coors Brewing (NYSE:TAP), Home Depot (NYSE:HD) and A.O. Smith (NYSE:AOS) are in focus. All three have sidestepped the recent extreme volatility, and are setting up what could be some great moves. ### Molson Coors Brewing Co (TAP) Molson Coors Brewing shares have been sliding lower since the middle of 2016. Just when it looks like they may finally turn the ship around, the stock finds a way of moving to lower lows. The company's modest earnings growth hasn't been able to overcome investor pessimism. * 7 High-Dividend Stocks Yielding More Than 5% (Plus a Bonus) That may be on the verge of changing though. Thanks to yesterday's gain, TAP has cleared a major hurdle and is knocking on the door of another huge resistance line. There's still a little work that needs to be done, but there's a potential, major recovery effort brewing that few people even think might be coming. Click to Enlarge • Tuesday's big clue was the cross of the 200-day moving average line, plotted in white on both stock charts. This is the first time TAP stock has been above its 200-day average since early 2017. • Simultaneously, Molson Coors shares are now testing straight-line resistance, plotted with a yellow dashed line on the weekly chart, that has capped the stock since early 2017. • A move above these two technical ceilings will be more of a process than an event. So, even if TAP breaks out and then falls back below those lines, don't count it out. Watch how it reacts when firmly tested. ### A.O. Smith (AOS) Like most other stocks, A.O. Smith lost ground yesterday. Unlike most other stocks, however, the stall here is actually unsurprising, and even a little constructive. The pause better defined where a big line in the sand is, and more than that, it confirmed the bulls aren't going to be intimidated. They're trying to stage a breakout move. Click to Enlarge • Tuesday's high of $48.70 is essentially in line with the peaks from the latter part of last year, marked with a yellow dashed line. And, the prior couple of days confirm that the gray 100-day moving average line is going to be a tough ceiling as well. • Though it closed at a loss, yesterday's close was still well above the open and well above the blue 200-day moving average line, which rekindled the rally effort when tested. The fact that the buyers continue to swing suggests the wall the bears have built may not hold much longer. • Given how well defined the ceiling at $48.70 is, don't dismiss the possibility that even a modest move above it could incite a major thrust that blasts right past the white 200-day average line around $54.70. There's a lot of pent-up bullishness that can be unleashed here. ### Home Depot (HD) Finally, Home Depot has been anything but immune to recent trouble for the broad market. Not only is it vulnerable to economic stagnation stemming from a tariff war with China, it's even more vulnerable to the slowdown that some say is already impacting the housing construction market. Slowly but surely, though, clues are piling up that say HD is ready and able to unwind the rout it suffered during the fourth quarter of last year. One more good day could do the trick, though it would take a few great days in a row to seal the deal. • The near-term hurdle is the $180.80 mark, plotted in yellow on the daily chart. That's where Home Depot has topped for the past three weeks. • More than that, however, the recent push up and off of support provided by the blue 20-day moving average line has completed a decent (albeit not perfect) upside-down head-and-shoulders pattern. Once the neckline around $181 is broken, would-be buyers could start to flood in. • Beyond that, the 100-day and 200-day moving average lines at $188.66 and $184.26, respectively, stand as potential roadblocks. There's more underlying bullish momentum brewing up than it currently seems though. As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can follow him on Twitter, at @jbrumley. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Smart Money Stocks to Buy for the Rest of the Year * 10 Best Consumer Stocks to Buy in 2019 * 10 Triple-A Stocks to Buy in February Compare Brokers The post 3 Big Stock Charts for Wednesday: A.O. Smith, Home Depot and Molson Coors Brewing appeared first on InvestorPlace.