The wide-moat company continues to benefit from housing dynamics like home price appreciation and a shortage in home inventory, despite rising mortgage rates.
We now project a sales decline of 6%.
We plan no change to our fair value estimate; shares fairly valued.
Fourth-quarter results were modestly ahead of our forecast.
We view the shares as undervalued, although we caution investors that the stock could intermittently come under pressure.
After better-than-expected sales and profit results from the company’s third-quarter print, the company's FVE will be raised.
Given the difficult year-over-year comparisons for the industry, we anticipate hearing similar rhetoric from other housing-related firms ahead.
We surmise some selling, general, and administrative scale gains will cede as Home Depot’s top-line growth normalizes.
We're increasing our fair value estimate after the firm's strong sales growth.
We are raising our fair value estimates for Carnival and Royal Caribbean.
We plan to modestly increase our fair value estimate.
We plan to increase our $210 fair value estimate but still see shares as rich.
We expect to modestly increase its $200 fair value estimate.
No-moat Carnival printed preliminary third-quarter results that included a $1.7 billion adjusted net loss.
We plan to raise our $184 fair value estimate for wide-moat Home Depot by a high-single-digit rate after the second quarter.
The no-moat firm did a bit better than we expected in the second quarter.
Its massive scale creates a low-cost advantage that is the basis of its wide moat.
We are maintaining our fair value estimate and long-term outlook for the wide-moat essential business.
We also lowered our fair value estimates for these companies and see their competitive advantages waning from the impact of COVID-19.
Sycamore is attempting unwind the deal for the narrow-moat firm.
We could lower our fair value estimate modestly but still see value in shares at current levels.
Shares of Carnival, Royal and Norwegian are undervalued and could remain depressed until the coronavirus passes.
Supportive housing market helps the wide-moat retailer.
We would expect to lower our fair value estimate in response to the transaction.
We plan to wait for more clarity on the persistence of the coronavirus before further altering our forward estimates.
The narrow-moat firm has updated the financial impact that it expects to its business.
We expect stabilizing pricing in 2020 despite ongoing economic struggles abroad.
Carnival, Royal Caribbean, and Norwegian are undervalued and worth a look.
No changes are planned to our fair value estimate, and we view shares as rich.
We view shares as overvalued, and we plan to increase our fair value estimate.
Solid brands, innovative products, and lean manufacturing contribute to Polaris' wide economic moat.
We have adjusted our fair value estimate for the wide-moat motorcycle manufacturer.
We think the company's strength in fragrance more than offsets weakness in lingerie.
Healthy margins trump the added cyclicality resulting from recent deals.
Equity value could be unlocked if the firm was to split in two.
We plan to modestly lift our fair value estimate but think full earnings potential may be constrained by pricing competition.
Returns on invested capital remain depressed, leading to the downgrade.
Closing stores and spinning off Old Navy will allow the firm to better capitalize on consumer trends and nurse the namesake business back to health.
Lower housing turnover is a headwind for the fairly valued home improvement retailers, but we still expect the companies to maintain their market leadership positions.
The wide-moat firm faces headwinds, but it is best positioned to continue to win modest share.
We think the shares are undervalued, but the road to improvement could be rocky.
The toymaker was hit by a decline in retail sales, but we see improvement after the first half of the year.
Earnings declines are slowing but profits remain depressed at the no-moat retailer.
Despite slower yield growth, we expect operating cash flow to still rise.
Profitability has waned, and we believe declining same-store sales will persist, prompting us to lower our fair value estimate.
We're not changing our fair value estimate as the firm faces a highly competitive retail industry.
Even with a housing slowdown, the wide-moat retailer is well positioned for continued growth.
Despite the Frances holding more than 70% of the voting power to affect the transaction, we believe there are a few mitigating factors that could delay a formal bid.
It isn't all good news, but we think the benefits outweigh the risks.
Despite company commentary suggesting that yield growth is slowing, nothing warranted imminent concern about Carnival's ability to drive demand creation or manage its cost structure.