Under Armour provided 2023 financial targets at an Investor Day.
The athletic apparel company has long-term plans for 10%+ operating margins.
Based on company projections and peer margins, my 2023 EPS projection approaches $2.
In a much anticipated event whereUnder Armour(UA,UAA) discussed long-term growth targets, the market was apparently disappointed with the updated 2023 projections. Mybullish investment thesishas long held that the athletic apparel company was under-delivering on margins, and their updated business model actually reinforces that thesis despite the initial 10% dip in the stock.
Aurora Cannabis was left out of the major deal making in 2018. The cannabis company updated FQ2 guidance to revenues of $50 to $55 million with a continued focus on pure production growth. The stock is down as the market is becoming less impressed with commodity farming operations due to the prime Oregon example. The stock is below key resistance at $5.40 as medical cannabis patient totals failed to impress. As the end of 2018 came and went, Aurora Cannabis ( ACB ) was a notable absentee from the deal making in the cannabis market. Just about all of the other major Canadian cannabis players got large investments or signed up powerful partnerships, but the related stocks didn't generally maintain rallies following the deals. Based on the early legalization data in Canada and Oregon, the best option for Aurora Cannabis might actually be selling production capacity while the Canadian market remains hot. Read the full article on Seeking Alpha. Disclosure: No
Kohl's has activists wanting the company to spin off the e-commerce division to unlock value. The company already has plans to grow the business and activists have yet to show how a full omni-channel business can operate as two different companies. The stock is absurdly cheap at 7x EPS targets and Kohl's will repurchase over 15% of the outstanding shares this year. Looking for more investing ideas like this one? Get them exclusively at Out Fox The Street. Learn More » After an outstanding quarter with business booming, Kohl's ( KSS ) faces activists wanting to break up the business. The omni-channel retailer is facing the same pressure as other department stores to separate the e-commerce business in what amounts to financial engineering. My investment thesis remains very bullish on the retailer as the company reinvents the shopping experience. Read the full article on Seeking Alpha. Disclosure: Long KSS. Please read the disclaimer page for more details. Update -
Pinterest reports a mixed picture for Q3'21 with MAUs again down 13 million sequentially. The stock is soaring AHs based on solid guidance and a return to user growth in January. The stock trades at ~6x sales targets making Pinterest appealing here with a return to user growth and a long path towards higher ARPUs. This idea was discussed in more depth with members of my private investing community, Out Fox The Street. Learn More » Following the horrendous Q4'21 results from Meta Platforms ( FB ), the market was fearing the worst from Pinterest ( PINS ) heading into their quarterly report. The company didn't exactly wow investors with the quarterly numbers , but the stock is soaring on better than feared guidance. My investment thesis is more Bullish on Pinterest in the low-$30s following a 50% decline in the stock heading into earnings. Read the full article on Seeking Alpha. Disclosure: No position mentioned. Please review the disclaimer page for more details.