Market Summary

 

Earning Reports

Total Companies: (61) Stock Center View

Symbol Price EPS
Est.
Reporting
Time
XLS 0.45 06:30 am ET
SHEN 0.34 07:00 am ET
PNM 0.23 07:30 am ET
ASCMA N/A After Mkt
BIOS 0.01 After Mkt
CNL 0.48 After Mkt
LXRX -0.03 After Mkt
QEPM 0.25 After Mkt
QUNR -0.45 After Mkt
ULTR 0.01 After Mkt
WG 0.09 After Mkt
YOKU -1.00 After Mkt
AKBA -0.66 Before Mkt
ARCP 0.26 Before Mkt
BVX N/A Before Mkt
CAS -0.43 Before Mkt
CETV N/A Before Mkt
CLMT 0.10 Before Mkt
CVT 0.02 Before Mkt
DCIX 0.01 Before Mkt
DFRG 0.41 Before Mkt
DRQ 1.34 Before Mkt
EPZM -0.53 Before Mkt
GDP -0.45 Before Mkt
GLOG 0.18 Before Mkt
GVA 0.70 Before Mkt
HHC 0.19 Before Mkt
HMSY 0.16 Before Mkt
HPT 0.78 Before Mkt
HZNP 0.22 Before Mkt
IEP 1.76 Before Mkt
ISIS 0.02 Before Mkt
KBR 0.21 Before Mkt
KERX -0.37 Before Mkt
LBY 0.48 Before Mkt
LOCM N/A Before Mkt
LUK N/A Before Mkt
NRF N/A Before Mkt
NRG 0.52 Before Mkt
NRZ N/A Before Mkt
NWN 1.11 Before Mkt
NYLD 0.48 Before Mkt
OCN 0.40 Before Mkt
PTCT -0.82 Before Mkt
RDC 0.89 Before Mkt
SJI 1.12 Before Mkt
SRI 0.21 Before Mkt
TESO 0.13 Before Mkt
TTI 0.08 Before Mkt
WEN N/A Before Mkt
WLB 0.37 Before Mkt
WMC 0.67 Before Mkt
AFC N/A Unknown
AP N/A Unknown
ASPS 0.04 Unknown
CHKR N/A Unknown
HTH N/A Unknown
PRGN -0.23 Unknown
STML -0.60 Unknown
VLCCF -0.03 Unknown
WUBA -0.12 Unknown

Lowest Yield Preferred Stocks Highlights

Symbol Name Last Change Volume Premium/
Discount
Est.
Yield
OCR-PA Omnicare Capital Trust I, 4% PIERS Trust Preferred Income Equity Red Securities 94.52 0.00 (0.00%) 0 0.22% 2.12%
OCR-PB Omnicare Capital Trust II, 4% PIERS Trust Preferred Income Equity Red Securities 94.26 1.53 (1.65%) 638 0.22% 2.12%
KSU-P Kansas City Southern, 4% Noncumul Preferred Stock 28.05 0.00 (0.00%) 0 12.20% 3.57%
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Clipping The Wings of Shutterfly

Posted on 2011-10-05 by Daniel Ho

ShutterflyBy releasing only an iPhone 4S instead of an iPhone 5, Apple (NASDAQ: AAPL) had greatly disappointed investors, and its stock dropped more than 5% in the next few hours following its announcement. The buy program at the last hour helped saved everyone, including Apple, which only lost less than 1% when the market closed. Lost in the news was the carnage on Shutterfly (NASDAQ: SFLY), an online photo printing company, when Apple announced its Cards app, a built-in iphone app that allows iphone users to send a physical greeting card to someone from the iPhone for $2.99 in the US, and $5.99 internationally. This little piece of news caused Shutterfly to drop almost 20% before rebounding to lose only ~2% for the day.

Shutterfly is one of the most successful online photo printing company, which went public in 2006, and had grown riding the wave of digital photography, the mirror image of Kodak (NYSE: EK) ruined by the same trend. IPO'ed at $15/share, it continued to rise to $35/share in 2007, before it declined to a low of $6.25/share in 2009 at the height of the financial crisis. Since then, like the stock market, it started rising and traded as high as $63.47 in July this year. However, it started to decline from that point, and not long afterwards, it lowered Q3 guidance on Jul 27 and the stocks accelerated its decline. It rebounded in September but could not defy the market's fall, and closed at $40.31 before Apple tried to ruin its stock.

We are not sure how Apple's Cards app will affect Shutterfly, but we know that investors are certainly jumpy on their investments. Online printing, while a growing market, is quite competitive, with many players in it, such as Kodak Gallery, Costco (NASDAQ: COST), Snapfish, etc. Currently trading at a P/E of 75 and a forward P/E of 37, Shutterfly is clearly a growth stock, and it will need all the growth it needs to sustain its stock price. Meanwhile, management has been selling the stocks since it started recovering from the financial crisis.

Although the recent market swoon has taken down many sectors, consumer retail is one that had performed much better than the others. There is high expectation that US consumer spending will keep up, but that can change in a heartbeat if Europe's debt problem cause European banks to lock up, and proceed to spread to the US. With the company reporting earnings at the end of October, we believe another disappointment like last quarter combined with high nervousness of investors will simply devastate the stock. For those who go long on Shutterfly, it'd be much better to hedge downside through options. For those who are adventurous, we believe shorting the stock can potentially deliver handsome return.

Position: Short SFLY

This article originally appears on benzinga.com

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