游客发表
发帖时间:2024-09-29 12:28:16
Hey everybody,loan sharks las vegas Dave Bartosiak with Trending Stocks at Zacks.com. Most of you out there think you know what a
Ferrari RACE
is, but only a few of you actually know what a Ferrari is like. Growing up in Chicago, I think I saw a 360 Spider once downtown and thought I had won the lottery. Nowadays, even entry-level Ferraris like the Roma are going to set you back $300k with a decent spec. I know Ferrari Financial works wonders but most of us are not going to stroke a $4,000 check every month for the privilege of putting 150 miles a month on one. Go a little further up the food chain, and you’re talking three-quarters of a million for something like the SF90.
Who needs a real world Ferrari anyway when you can get the NFT? Non-fungible tokens were all the rage a few months ago. Ferrari, which loves to license its brand to ramp up profits, has partnered up with Swiss blockchain startup Velas Network to bring the next generation of Ferraris to life.
Velas is an open-source blockchain network with its own native token, Velas. Ferrari announced the deal Monday. It is a multi-year agreement with Velas to jointly issue exclusive digital content for Scuderia Ferrari, the racing arm of Ferrari.
This is exciting stuff for Ferrari as the Scuderia looks to be competitive in 2022. As long as the FIA doesn’t decide to change the rules mid-race next year again to hand Max the title, Ferrari should be in the hunt. They could be a big story in the metaverse and allow investors yet another opportunity to profit.
Let’s take a quick look at Zacks.com to see how Ferrari’s numbers have been stacking up.
Every time you share this video, somebody well deserving gets an allocation on a digital version of a Ferrari they’ve always wanted. Subscribe to the YouTube channel, Twitter @bartosiastics, and check out www.zacks.com/promo for this week’s deal on Finding #1 Stocks for free. With Trending Stocks, I’m Dave Bartosiak.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
Ferrari N.V. (RACE) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
View comments
相关内容
随机阅读
As shown below, the results in the quarter materially changed the trend in two-year stacked comps for each of the banners, along with a significant acceleration for consolidated comps.
The increase in consolidated comps was the primary driver of an 8% increase in revenues to $6.3 billion. The company ended the quarter with 15,370 locations, up less than 1% year-over-year. This reflects a 7% increase in Dollar Tree units, offset by a 4% decline in Family Dollar units.
The top-line results at each banner flowed through to their respective income statements, with Dollar Tree gross margins and operating margins declining year-over-year while Family Dollar gross margins and operating margins expanded year-over-year. On a consolidated basis, gross margins contracted by 120 basis points in the quarter to 28.5%, reflective of a shift to lower-margin consumables, tariff costs and the impact of markdowns from the Easter headwinds at the Dollar Tree banner. The company saw slight operating leverage on SG&A from higher comps, with the net result being an 80 basis point contraction in operating margins to 5.8%, with operating income declining 5% to $366 million. This is not adjusted for $73 million of pandemic-related costs, such as PPE supplies.
In the first quarter, the company opened 85 stores (net of closures) and completed 220 Family Dollar renovations to the H2 format. Importantly, comps at renovated Family Dollar stores continue to outpace the chain average by more than 10%. On the call, management indicated that they plan on reducing both the number of new store openings (from 550 to 500) and the number of H2 renovations (from 1,250 to 750) in 2020.
Personally, given the fact that Family Dollar is seeing material benefits to its business from the pandemic with new or lapsed customers coming into its stores, I think the company should try to get more aggressive with its renovation plans, not less. On the other hand, you could argue that renovations cause short-term disruptions and limit their ability to fully capitalize on the business momentum they are currently experiencing.
As a result of fewer new stores and remodels, management now expects 2020 capital expenditures to total $1.0 billion compared to previous guidance of $1.2 billion. In addition, the company has temporarily suspended share repurchases. At quarter's end, the company had $1.8 billion in cash on its balance sheet compared to $4.3 billion in total debt.
Conclusion
In recent years, Dollar Tree has been a tale of two cities. While its namesake banner has generally delivered impressive financial results, Family Dollar has been a persistent underperformer. This quarter, those results flipped, and given what we've seen in the weeks since quarter's end, there's a decent possibility that we will see something similar in the coming months. As the CEO noted, the second quarter is off to a very good start at Family Dollar.
Here's the important question: how useful is that information is in terms of making future predictions about the business? Will recent success at Family Dollar translate into long-term success for the banner? The optimistic take is that new or lapsed customers, especially those visiting the renovated stores, could become recurring business for the banner. The pessimistic take is that they have experienced short-term success out of necessity as people went to any store that was open to try and find essentials like toilet paper and hand sanitizer that were largely out of stock throughout the retail landscape. From that view, many of these customers could abandon the retailer when life returns to normal. As Philbin noted on the conference call, early on [during the pandemic], folks needed us. Will people still shop as much at Family Dollar when it's no longer a necessity?
Personally, I do not place too much weight on the recent results. I will need to see incremental data points that indicate that Family Dollar has truly won sustained business from these new customers. While I still believe that the Dollar Tree banner is a well-positioned retailer with attractive unit returns, I'm not yet willing to say the same thing for Family Dollar. For that reason, along with the recent run-up in the stock price, I plan on staying on the sidelines for now.
Disclosure: None
Read more here:
Under Armour: A Tough Start to 2020
Walmart: Continued Omni-Channel Progress
Match: An Impressive Start to 2020
Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.
This article first appeared on
GuruFocus
.
Warning! GuruFocus has detected 4 Warning Signs with DLTR. Click here to check it out.
DLTR 30-Year Financial Data
The intrinsic value of DLTR
Peter Lynch Chart of DLTR
View comments
热门排行
友情链接