01/18/18: Data released today by the U.S. Department of Commerce indicate that initial work on the construction of new, privately-owned homes (“new housing starts”) declined during December. Specifically, the Department of Commerce reported that, on a...read more
Stock of Week
Cleveland-Cliffs (CLF)Cleveland-Cliffs (CLF) is the largest producer of iron ore pellets, a key component of steel making, in the United States, operating four mines and pellet plants located in Michigan and Minnesota. The company also operates an iron ore mining complex in Western Australia. Cleveland-Cliffs was founded during the year 1847.
|Composite Fundamental Rating||Product||Sales & EPS Growth (Qtrly)||Profit Margins||Financial Liquidity||Long-term Debt||Institution Buys to Sells|
U.S. Stocks Poised to Move Lower Today on Decline in New Housing Starts and Slower Manufacturing ActivityJanuary 18, 2018 (9:00 am U.S. Eastern Time): After trading at extended and short-term overbought levels over the past two weeks, we expect U.S. stock prices, in general, to move lower today in response to a decline in new housing starts and slower economic activity in the U.S. manufacturing sector. In the event that the U.S. housing market were to continue to weaken and economic activity in the country’s manufacturing sector were to continue to slow, we would expect stocks to also continue to trend lower during the weeks ahead.
U.S. Economic Developments
U.S. Political Developments
12/22/17: President Trump approved today the first major legislation regarding changes to the U.S. tax code since 1986, signing the U.S. Congress’s Tax Cuts and Jobs Act. The $1.5 trillion tax cut lowers the statutory income-tax to 21 percent, from 35 percent, and...read more
01/17/18: Alcoa (AA) reported that its net loss widened to $129 million, from $56 million, on a 20.1% decrease in the company’s revenues and a 10.4% decrease in its operating expenses for the quarter ended December 31, 2017, as compared to the same period a year ago....read more
International Economic Developments
01/18/18: Japan’s Ministry of Economy, Trade and Industry reported today that industrial production at the country’s factories, mines and utilities slowed, on a year-over-year basis, for the second consecutive month during December, increasing by 3.6%, following a...read more
International Geopolitical Developments
11/30/17: The Organization of Petroleum Exporting Countries (“OPEC”) agreed today to extend their reduction of oil production by approximately 1.8 million barrels per day through the end of 2018. According to Saudi Arabia’s Oil Minister, Khalid al-Falih, Libya and...read more
Company and Stock News
- Apple (AAPL): Apple Inc. announced that it will contribute more than $350 billion over the next five years, excluding the company’s tax payments and sales of its products. Specifically, the company stated that it expects to invest more than $30 billion capital plant and equipment, including a new Apple campus and $10 billion in new U.S. data centers. Additionally, the company stated that it expects to create 20,000 new U.S. jobs over the next five years, to invest $4 billion in its Advanced Manufacturing Fund and to accelerate its efforts across the United States in support of computer coding education and programs focused on Science, Technology, Engineering, Arts and Math.
- La Quinta Holdings (LQ) and Wyndham Worldwide (WYN): La Quinta Holdings Inc. and Wyndham Worldwide Corporation announced that they entered into under a definitive agreement whereby Wyndham will acquire La Quinta’s hotel franchise and hotel management businesses for $1.95 billion in cash. The companies stated that they expect the acquisition to close during the second quarter of 2018.
- Tivo (TIVO): Tivo Corporation announced that Alphabet’s (GOOG) Google unit expanded its multi-year patent license agreement to expressly include YouTube TV. That agreement allows Google to use TiVo’s patented technologies worldwide and to license Tivo’s technology in its products and services across internet-based platforms and devices.
- Sprint (S): Sprint Corporation announced that, as part of a settlement of patent litigation between the parties, it entered into a new multi-year business agreement with Cox Communications that will enable Sprint to leverage Cox’s broadband infrastructure to accelerate an increase in the size of Sprint’s network.
Investors Monitor 20™
Investors Monitor Grade
|Company Name||Ticker Symbol||Sector / Industry||Composite Fundamental Rating||Product||Sales & EPS Growth (Qtrly)||Profit Margins||Financial Liquidity||Long-term Debt||Institution Buys to Sells|
|Alarm.Com Holdings||ALRM||Home Security||B-||A||B||C||A+||C||B|
|Applied Optoelectronics||AAOI||Fiber Optics||A-||A+||A+||B+||A+||A+||B+|
|Arista Networks||ANET||Network Apps||A+||A||A+||A+||A||A+||A|
|Control4 Corporation||CTRL||Home Devices||B-||A||C||C||A+||A+||A|
|Floor & Décor Holdings||FND||Home Flooring||B-||A||A+||C||B-||C-||B+|
|Kornit Digital, Ltd.||KRNT||Textile Printing||C+||A||C||N/A||A||A+||A|
|Malibu Boats||MBUU||Boat Mfg.||C+||A||C||B-||B-||C-||D|
|Masimo Corp||MASI||Medical Devices||A-||A||B||A||A+||A+||B|
|Momo Inc.||MOMO||Social Media||A+||A||A+||A+||A+||A+||A|
|Ollie’s Bargain Outlet||OLLI||Discount Stores||B+||B+||A||B+||A||A||C+|
|Sears Holdings||SHLD||Retail Stores||C+||B||Turn-Around||Turn-Around||B||D+||A|
|SolarEdge Technologies||SEDG||Solar Panels||A+||A||A||A||A+||A||A|
|The Trade Desk||TTD||Advertising||B+||A||A||C+||A+||A+||B|
|Weibo Corporation||WB||Social Media||A+||A||A+||A-||A+||A+||A|
|Winnebago Industries||WGO||RV Mfg.||C-||A||C||C||C+||D||C|
|Yelp Inc.||YELP||Online Review||B-||A||B-||N/A||A+||A+||C|