Bidness Etc - GoPro Experiences A Rise In Stock Value

The action camera makers have witnessed a rise in share price after going through a difficult financial time on the stock index.

In the most recent GoPro news, it was seen that the company traded right up after the action camera makers received a ‘buy’ rating from the analysts of Dougherty & Co. Previously, the same equity firm has given a ‘neutral’ rating to the stock of the company. The analysts have also presented the company with a price target of $55. This has been a surprising factor for the analysts as the share value of the camera making company has faced a serious downfall since the sales in the holiday season. The downfall has been recorded by the financial firms to have come around at 34%.

As for GoPro’s stock news, analysts at Wall Street have high expectations from GoPro as well as they have made predictions for the current year’s quarter earnings and they are expecting the earnings per share to come around at $1.38. The camera making company has been trading on a lower share price than expected and analysts believe that if the company continues to trade in this manner then a price target of $55 will be deemed as a fair target.

The diluted earnings of GoPro have increased over the period of time and it has been predicted that the revenue generated by the company might also increase. Previously, the diluted earnings of the company saw a rise by a massive 164% whereas the sales revenue increased by 41%. So far, Hero camera producers have been going through a difficult fiscal time which is why analysts have made predictions in which a rise of only 4.5% is expected in the growth of the earnings.

Analysts believe that GoPro is a company which is difficult to analyze as it does not have any company that works in its competition. Other cameras producing companies are Nikon and Canon who make cameras quite opposite to what the action camera makers are working on. These cameras are very different from the other kinds of the camera being produced in the industry as they are fast action cameras. According to analysts, at IDC, it is to be believed that the company currently owns around 57% of the action camera used all over the globe.

In the near future, it has been guided by analysts of Futuresource Consulting that GoPro will be witnessing a rise in demand in action cameras as the shipments are expected to rise massively before 2018.

It is to be noted that both Nikon and Canon were seen to step into the action camera making department but failed miserably to make a mark in the industry, bringing no change whatsoever in GoPro’s camera standing in the market.

Bidness Etc - Bed Bath & Beyond Rating and stock price update by Zacks’ and other research firms

Zacks reiterate its hold rating to the stock of Bed Bath and beyond

Bed Bath and Beyond stock once again received Hold rating from Zacks on Monday. Analyst at Zacks’ research firm wrote, “Bed Bath & Beyond posted solid third-quarter fiscal 2014 results, following which the company raised its earnings forecast for fiscal 2014. We are impressed with the company’s focus on strategic initiatives, including store expansion, enhancement of e-commerce capabilities and improvisation of customer services”.

Moreover, the debt free financial statements of the company are continuously creating space to provide more visibility to support future development. Though, the merchandise retail stores’ profit margin that has been adversely affected by an increase in interest expense and rise in net direct to customer shipping cost is still a distress for the company. Together with that it endures to witness macroeconomic headwinds.

Various analysts from different equity research firms have also written about the stock. Oppenheimer escalated its rating to Outperform from market perform and elevated the price objective to $85 from $69 on Monday. Canaccord Genuity research firm re-stated its Buy rating and assigned $88 price target to the stock of BBBY on Sunday. Standard and poor research demoted BBBY stock to Hold with $88 target price on Friday. In the end, Goldman Sachs set $73 price target with a rating of Sell in a research note on Friday. Sell rating by four analysts has been given to the stock along with ten hold and six buy ratings plus an overall price target of $72.62.

The Stock of Bed Bath and Beyond stood at $76.43 at market close on Monday. The retailer has a 52 week high and low of $79.64 and $54.96 respectively. It also had 200 day and 50 day moving average of $71 and $65 with $13.91 billion of market cap and 15.46 P/E ratios.

The company announced its last quarter results on 8th January Thursday. The retailer posted earnings of $1.23 per share for the previous quarter thrashing the consensus projections of $1.19 per share by 4 cents. Talking about revenue, it was able to pocket revenue of $2.94 billion in the parallel quarter. In the comparable quarter last year, BBBY dispatched earnings of $1.12 per share. Its revenue went up by 2.7% when linked with revenue performance of the same quarter prior year. Overall, according to the estimation by analysts Bed Bath and Beyond will report an EPS of 45.05 per share for the ongoing year of 2015.

Bed Bath & Beyond Inc. and holdings is a retailer which functions under the names BBBY, Christmas Tree Shop.

Bidness Etc - Best Buy To Enhance Shareholders' Rewards Amid Surge In Earnings

Company will reward shareholders by providing healthy dividends and initiating first buyback program since 2012

The largest electronic retailer in the world, Best Buy (NYSE: BBY), plans to enhance rewards for its shareholders after the earnings surged in the fourth quarter of financial year 2015. The company also plans to introduce cost-cutting measures, as it expects sales to decline this fiscal year.

Best Buy will reward its shareholders by providing healthy dividends and initiating its first buyback program since 2012. It will provide a special dividend per share of $0.51 ($180 million) and increase quarter DPS by 21% to $0.23. The company paid $0.19 DPS on 31st December 2014 for 4QFY15. Now it will give additional $0.04 DPS. The consumer electronics chain will also buy back shares worth $1 billion in next three years.

Shares of Best Buy were 3% up in pre-market trading on Tuesday.

“The announcement (of shareholder rewards) demonstrates our commitment to returning excess capital to our shareholders, while preserving our strong balance sheet and our ability to continue to invest in the growth of our business,” said President and CEO of Best Buy, Hubert Joly, in a statement today.

Last month, Best Buy said that its sales will either be flat or decline slightly in the first half of 2015 due to feeble computers’ demand and deflation, which resulted in a 14% decline in shares. To counter the effects of expected issues, Best Buy has decided to initiate its second phase of the cost-cutting scheme in FY16 and intends to save operational cost by $400 million.

Mr. Joly, who took a chief executive seat in 2012, has been striving to make operations more efficient. Although, he wasn’t fully successful in raising the revenues level, he has managed to increase same-store sales growth in two consecutive quarters. However, the company foresees a decline in same-stores' sale in the first half of FY16.

Selling, general and administrative costs plunged 1.77% to $2.22 in 4QFY15. In 4QFY15, the earnings of the company climbed due to strong holiday seasons' sale of mobile phones and home-theatre systems in the US. Revenue from domestic market mounted 2.8% year-on-year, mostly due to its online operations. Since Best Buy believes that consumers only visit retail stores for product testing and buy products online, it has been investing in online operations.

The electronics retailer reported that its earnings jumped 77.13% to $519 million ($1.46 per share) in 4QFY15, compared to $293 million ($0.83 per share) in 4QFY14. Adjusted earnings per share were $1.48. Revenues climbed 1.3% to $14.2 billion in the same period.

Best Buy thrashed $1.35 EPS estimates but missed revenues predictions of $13.35 billion, as the analysts included revenues of its closed operations in China during the quarter.