Three club holdings made the news on Tuesday: Ford (France), Disney (DIS) and Starbucks (SBUX). Here’s our take on the headline. News: Ford He announced an 8.9% year-on-year sales decline in September. However, figures from the final month of the third quarter show that the company’s quarterly sales increased by nearly 16% from last year. Ford’s stock jumped about 7% on the news. Additionally, electric vehicle sales jumped 197.3% year-on-year in September. Its EV growth comes off a small base, but brings the automaker’s share to his 7% of the electric vehicle market. As noted by CNBC’s Phil LeBeau, the results speak to improved production rates throughout the third quarter. Club View: Supply He believes the results reflect strong demand for Ford’s lineup, although chain issues continue to hold back sales. As a result, we reiterated our view on Ford at Tuesday’s “morning meeting” until we get more indications of inventory problems and supplier costs that have slammed stocks last month despite solid demand. He said he didn’t think there was any rush to get a stake. get closer to a solution. Ford has a rating of 2. This means you want to see a pullback before buying more shares. Last Ford purchase was July 2021. We are reducing our position in 2022. News: A JP Morgan analyst cut his price target on Disney stock to $145 from $160 on Tuesday. He has two reasons. The first was a downward revision to Disney’s Parks, Experiences and Products (DPEP) operating profit forecast for fiscal 2023. After the correction, JP Morgan reiterated its overweight rating equivalent to a buy. Regarding the DPEP change, a JPMorgan analyst said he lowered his estimate of fourth-quarter operating income for the segment by $160 million. About $100 million in that fix is due to park closures in Florida as a result of Hurricane Ian. The remainder of the downward revision is due to a potential slowdown in US participation, a weakening macroeconomic background in the Eurozone, foreign exchange headwinds, and the ongoing “coronavirus/geopolitical issues in Asia”. It was due to many factors such as On the DTC front, analysts expect losses to dwindle more slowly than Street expects due to the impact of higher amortization associated with more content. However, analysts believe DTC will be profitable by the end of his 2024 fiscal year. Even with these corrections, which put JP Morgan’s estimates at levels below the Street’s consensus, analysts see the stock up about 45%. Disney has a rating of 1. This means that we consider it a buy at the current levels. The club added Disney stock to his 25th share last Thursday. News: Bank of America believes restaurant stock valuations remain ‘lower than historical averages and not well above recessionary lows’ as input cost inflation weighs on margins increase. However, analysts noted that input costs should fall as consumer spending slows. They believe the market will start pricing in a return to more normalized profit margins as the macroeconomic backdrop normalizes further and commodities and labor costs exit their previous peaks. As a result, valuations may return to normalized levels. They believe Starbucks is “best positioned” in its coverage universe to profit in this environment. CLUB OPINION: Encouraged by BofA’s investigation. As our members know, we love what we heard at Starbucks’ recent Investor Day event, and that lower commodity and labor cost inflation, combined with a gradual reopening in China, is driving sales growth. We believe it supports management’s goal of growing both revenue and earnings. Double-digit percentage points in the next few years. In late August he launched SBUX and has since increased his position with incremental purchases. (Jim Cramer’s Charitable Trust is Long F, DIS, and his SBUX. For a full list of stocks, see here.) Subscribers to Jim Cramer’s CNBC Investing Club will know that Jim trades Receive trade alerts before Jim waits 45 minutes after sending a trade alert before buying or selling shares in his charitable trust portfolio. If Jim talks about his stock on his CNBC TV, he will wait 72 hours after issuing a trade alert before executing the trade. The investment club information above is subject to our Terms of Use and Privacy Policy, along with our disclaimer. No fiduciary duty or obligation exists or is created by your receipt of information provided in connection with The Investment Club. No specific results or benefits are guaranteed.
Ford F-150 Lightning at the 2022 New York Auto Show.
Scott Mullin | CNBC
Three club holdings – Ford (France), Disney (DIS) and Starbucks (SBUX) – made the news on Tuesday.
https://www.cnbc.com/2022/10/04/3-of-our-stocks-including-ford-are-in-the-news-heres-the-clubs-take-on-the-headlines.html Three stocks are in the news, including Ford. Club headlines include:
