Category Archives: Warren Buffett Stocks

[ February 11, 2016 | Author: admin | Views: 62444 | Weather: | Mood: normal]

JPMorgan analyst Phil Gresh and team explain what they got wrong about Marathon Petroleum (MPC), as they cut its rating to Neutral from Overweight following yesterday’s disastrous financial results from MPLX (MPLX): Gerald Herbert/Associated Press We (somewhat painfully) downgradeMarathon Petroleum to Neutral from Overweight, cut our Dec-16 price target to $44 (from $62) and remove the stock from our Analyst Focus List. When we upgradedMarathon Petroleum back in August, our view had been that it was being (1) given no credit for the high likelihood that the MPLX/MWE deal would close and related GP cash flow potential, and (2) overly punished for a weak refining 2Q result. The stock subsequently rallied into the analyst day, as these two catalysts played out. However, at the analyst day, which ended up being the peak stock price, capex guidance was well above expectations and shares began to fade. We defended the stock (click … Continue reading

[ February 11, 2016 | Author: admin | Views: 76458 | Weather: | Mood: normal]

Shares of Chipotle Mexican Grill(CMG) are tumbling in after-hours trading after the burrito purveyor beat earnings forecasts but disclosed that it was on the receiving end of a Justice Department subpoena. Victor J. Blue/Bloomberg News Chipotle reported a fourth-quarter profit of$2.17 a share, beating forecasts for $1.86 a share, on sales of $997.5 million, missing forecasts for $1.008 billion. The company said same-store sales dropped 14.6%, while profit margins fell to19.6%, down from 26.6%. In the company’s press release, Chipotle founder Steve Ellscalled the fourth quarter “the most challenging period in Chipotles history.” It’s not gong to get much better. “2016 will be a very difficult year relative to our past performance,” co-CEO Monty Moran said in the same press release. Among the reasons why: The U.S. Attorneys office for the Central District of Californiaserved Chipotle with a subpoena “broadening the scope of the previously-announced criminal investigation.” Top Promising Companies … Continue reading

[ February 11, 2016 | Author: admin | Views: 95034 | Weather: | Mood: normal]

Argentina’s new president ‘rushing’ to fix poverty Argentina and a group of American hedge funds may soon end a 15-year battle. Negotiating through a mediator, Argentina offered to pay six hedge funds that own the country’s debt a total of $6.5 billion of the $9 billion it owes. The hedge funds are referred to as “vultures” in Latin America because they buy bonds extremely cheaply, sue the countries for full repayment and often make a big profit once they’re paid. Two firms, Montreux Partners and Dart Management, agreed in principal to the terms of the deal Friday, according to the Argentine finance ministry. The firms could not be immediately reached for comment. 10 Best Biotech Stocks To Invest In Right Now: Starbucks Corporation(SBUX) Starbucks Corporation purchases and roasts whole bean coffees. It operates approximately 16,858 stores, including 8,833 company-operated stores and 8,025 licensed stores. The company offers approximately 30 blends … Continue reading

[ February 11, 2016 | Author: admin | Views: 26553 | Weather: | Mood: normal]

It might be harder than ever for hedge funds to raise money. Their market is crowded with competitionand many clients arent interested any more. Others are demanding more specialization, and bigger staffs of financial and compliance executives, said several fund managers and marketers at Context Summits, an investor conference in Miami. To help, many funds pay for brokers and other companies that make introductions. Otherwise it can take dozens of phone calls and emails a day to find someone who is interested. And often that is just a low-level analyst who starts of process of going through several layers of decision-makers, all with their own worries about regulators and a shaky economy. Blake Hirschbach has spent the past year marketing for The Waterfield Group, a Miami Beach fund that picks small company stocks. Working through phones and emails leads to a success rate of only about 1% to 2%, he … Continue reading

[ February 11, 2016 | Author: admin | Views: 69142 | Weather: | Mood: normal]

JPMorgan’s Cory Kasimov and team offer their advice on playing the biotech selloff, which has continued today with the iShares Nasdaq Biotechnology ETF (IBB) having tumbled more than 3% today: Biotech stocks remain volatile and are down meaningfully relative to the broader markets (Nasdaq Biotech Index: -22%; S&P 500 -6%) with the Big 4 clearly outperforming the group (down only 8-15% YTD) but still underperforming the market, and many SMIDs are off 25-50%. To put this move in context, theNasdaq Biotech Index is now trading at levels not seen since the fall of 2014; moreover, large-cap biotech multiples are down to 13x 2016 consensus EPS vs. 16x for the S&P and 17x for major pharma. We maintain that fundamentals have not meaningfully changed (broadly speaking), and this move is largely the result of fund flows in the midst of a messy macro backdrop and after a multi-year run of outperformance … Continue reading