Stock profit – Jamiron http://jamiron.net/ Tue, 30 Nov 2021 16:35:24 +0000 en-US hourly 1 https://wordpress.org/?v=5.8.1 https://jamiron.net/wp-content/uploads/2021/10/icon-20-120x120.png Stock profit – Jamiron http://jamiron.net/ 32 32 Sysco’s Industry-Leading Scale Drives Continuous Profit Growth https://jamiron.net/syscos-industry-leading-scale-drives-continuous-profit-growth/ Tue, 30 Nov 2021 14:22:34 +0000 https://jamiron.net/syscos-industry-leading-scale-drives-continuous-profit-growth/ Close-up of the logo and slogans on the back of the truck for the Sysco food distributor in Lafayette, California, … [+] July 16, 2019 (Photo by Smith Collection / Gado / Getty Images) Getty Images Sysco Inc. (SYY) joined my long list of ideas in December 2017, and I included it in the “See […]]]>

Sysco Inc. (SYY) joined my long list of ideas in December 2017, and I included it in the “See Through the Dip” thesis in April 2020. The stock outperformed the market before COVID but gained momentum. late since. However, the country’s largest food service provider is outperforming the competition and taking market share. As I will show in this report, the stock could be worth $ 103 / share today.

The advantage of scale gives more potential to Sysco’s actions

  • Sysco’s 3Q21 earnings reveal that the company’s “divide” is growing and could lead to years of earnings growth. An extensive and efficient distribution network coupled with a large base of existing customers are important drivers of Sysco’s value.
  • Sysco’s scale enables it to mitigate supply chain disruptions by serving its customers. Management notes that it is able to “provide higher fill rates for customers than the industry average”. The company added 25,000 points of service in fiscal 2021 and management said in the fiscal year 1Q22 earnings call “we are winning more new business than at any time in history. of the society “.
  • Assuming a return to pre-COVID margins and consensus earnings estimates, the stock is now worth $ 103 / share, or 41% above the current price.

Figure 1: Performance of long ideas: from publication date to 11/16/2021

What works for the business

Income is rising above pre-pandemic levels. Sysco exceeded expectations for the first quarter of fiscal year 1Q22, reporting a 40% year-over-year (YoY) revenue increase. Top quarter revenue 8% higher than pre-pandemic 1Q20 fiscal year levels (13 weeks ended September 28, 2019). The company also provided preliminary October sales results showing a 10% increase from 2019 levels.

Going back to Catering, on and off site, is driving demand. Returning customers to restaurants led to increased consumption of paper and disposables that drove Sysco’s year-on-year revenue gains. Sales of the company’s paper and disposables segment grew 29% year-on-year, while its overall foodservice business in the United States grew 46% year-on-year. Sales in the company’s SYGMA segment, which encompasses its distribution operations in the United States for quick-service restaurant chains, increased 12% year-on-year and are 18% above fiscal 1Q20 levels. .

Growing market share. I noted in my April 2020 report that the pandemic gave Sysco the opportunity to grow its market share through smart acquisitions. In fiscal 1Q22, Sysco acquired Greco and Sons as the company seeks to expand its presence in the fast growing industry specialty food segment. The company plans to expand Greco & Sons nationwide through the Sysco network and create an Italian segment platform nationwide. Management expects the acquisition to contribute $ 1 billion (2% of fiscal 2021 revenue) to fiscal 2022 revenue.

In addition to acquisitions, Sysco’s strong sales team and superior distribution network are integral to the growth of its existing operations. After adding 25,000 points of service in fiscal 2021, a 4% year-over-year improvement, the company continues to gain new customers at a rapid pace. In his call for the results of fiscal year 1Q22, the company said, “We are winning more new business than at any time in the history of the company,” resulting in market share gains. Sysco’s share of the US foodservice market has grown from 16% in 2019 to 17% in 2020. In addition, the company estimates that it is on track to grow by 1 , Twice the market in fiscal year 2022.

Sysco is bigger and more profitable than its peers. Sysco’s TTM after-tax net operating margin (NOPAT) fell from 1% in 3Q21 to 3% in 1Q22, while its invested capital improved from 2.8 to 3.6 during the same period. period. The increase in NOPAT’s margins and the rotations of invested capital increase Sysco’s TTM return on invested capital (ROIC) from 3% in 3Q21 to 10% in 1Q22. According to Figure 2, Sysco’s ROIC is twice that of its closest counterpart.

Figure 2: Profitability of Sysco vs. Peers: TTM

What doesn’t work for the business

International exposure slowed down the takeover of Sysco. The disruptions related to COVID-19 had a greater impact on the company’s international activities (16% of sales in fiscal year 2021) than on its other segments. Sysco’s international sales remain less than 1% below fiscal 1Q20 (pre-pandemic) levels, but grew 34% year-over-year in fiscal 1Q22.

Order fulfillment rates need to improve. Supply chain issues have plagued the entire restaurant industry, and Sysco admits its fill rates are below historical standards. However, given Sysco’s scale, the company experiences less disruption than its peers, and management notes that it is able to “deliver higher fill rates for customers than the industry average.” The company’s ability to serve its customers even in a tough environment contributes to the market share it has gained in each of the past 10 months.

A tough job market could disrupt operations. While the tough job market may pose a threat to Sysco’s operations going forward, the company is not experiencing a major staff shortage at this time. Before the tensions in the job market, Sysco already offered competitive salaries and has since streamlined its hiring process. The company’s efforts to attract employees appear to be paying off, and at a one-day national recruiting event in October, the company hired 1,000 employees.

However, if the labor market tightens further, labor costs could be a barrier to Sysco’s operations.

Inflation remains a threat. Higher inflation levels also create barriers to Sysco’s profitability if it is unable to pass higher costs on to its customers. So far, the company notes that it “hasn’t seen much of a pullback in our ability to pass prices” and recently rolled out a new pricing tool that can dynamically pass increases in inflation to items. specific customers. Management expects inflation to hold at current rates through fiscal 2Q22 before easing later in the year.

Sysco valued for historically low earnings growth

Below, I use my company’s Reverse Discounted Cash Flow (DCF) model to analyze future cash flow growth expectations built into a few stock price scenarios for Sysco.

In the first scenario, I assume that Sysco:

  • NOPAT’s margin is back to pre-pandemic levels of 3.7% compared to fiscal year 2022-2031, and
  • revenue increases by 8% compounded annually from FY 2022-2024 (compared to the consensus CAGR of 12% for FY 2022-2024), and
  • revenue increases 5% compounded annually from FY 2025-2031 (equal to Sysco’s 10-year pre-pandemic revenue CAGR for FY 2009-2019 and below expected industry growth until 2026)

In this scenario, Sysco’s NOPAT increases by 4% compounded annually from pre-pandemic fiscal year 2019 through fiscal year 2031 and the share is worth $ 76 / share today – close to the current price. Discover the math behind this reverse DCF scenario. As a benchmark, Sysco increased NOPAT by 6% compounded annually from fiscal year 2009-2019.

Sysco’s big divide means stocks could hit $ 103 or more

My company’s reverse DCF model allows me to take into account Sysco’s considerable gap, which is reinforced by its distribution network and existing customer base, by assessing its Appreciation Period for Growth (GAP). GAP represents the number of years that Sysco can grow while achieving ROI greater than its Weighted Average Cost of Capital (WACC). Warren Buffett calls the moat around a company’s castle GAP.

The following valuation scenario assumes a 15-year GAP, which may prove to be a conservative assumption due to the strength of Sysco’s expanding gap.

If I assume that Sysco:

  • NOPAT’s margin is back to pre-pandemic levels of 3.7% compared to fiscal year 2022-2031, and
  • revenue increases by 12% compounded annually from FY 2022-2024 (equal to the consensus CAGR of 12% for FY 2022-2024), and
  • revenue increases 4% compounded annually from FY 2025-2036 (lower than Sysco’s 15-year pre-pandemic revenue CAGR for FY 2004-2019), then

the share is worth $ 103 / share today, or 41% above the current price. Discover the math behind this reverse DCF scenario. In this scenario, Sysco’s NOPAT CAGR for fiscal year 2019-2036 is 4%. If Sysco’s GAP extends beyond 15 years, the title has even more potential.

Figure 3: Historical and implicit Sysco NOPAT: DCF valuation scenarios

Disclosure: David Trainer, Kyle Guske II, and Matt Shuler receive no compensation for writing about a specific stock, industry, style, or theme.


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Bangas returns to profit in the first quarter https://jamiron.net/bangas-returns-to-profit-in-the-first-quarter/ Sun, 28 Nov 2021 15:10:00 +0000 https://jamiron.net/bangas-returns-to-profit-in-the-first-quarter/ Bangas Ltd – the maker of several brands of cookies – posted profits in the first quarter of the current fiscal year. In the July-September quarter, the company’s earnings per share (EPS) amounted to Tk 0.06. Due to escalating costs during the pandemic period, it incurred a loss in the same quarter of fiscal year […]]]>

Bangas Ltd – the maker of several brands of cookies – posted profits in the first quarter of the current fiscal year.

In the July-September quarter, the company’s earnings per share (EPS) amounted to Tk 0.06.

Due to escalating costs during the pandemic period, it incurred a loss in the same quarter of fiscal year 21 and the loss per share amounted to Tk 0.12.

Its benchmark stock market company Olympic Industries reported declining profits for the same period of FY22.

Its EPS fell to 2.06 Tk in the July-September quarter, compared to 2.85 Tk in the same period a year ago.

But Bangas’ sales and profits had been declining in recent years. According to its published financial data for the first quarter, the net operating cash flow per share was 0.90 Tk, which was negative 0.55 Tk in the same period of the previous year.

Its net asset value (NAV) per share was Tk 21.08, compared to Tk 21.02 as of June 30, 2021.

Bangas Limited, which was listed on the stock exchange in 1984, produces sweet and savory cookies, as well as Bangas brand bread.

Bangas sells Grand Choice, Evening Touch, Lovely, Wonder, Glucose, and Lexus cookies in the local market.

The company produces five tonnes of cookies and five tonnes of bread every day.

In FY21, the company recommended a 4% cash dividend to its shareholders.

During this fiscal year, he made a profit of 17.54 lakh Tk while his EPS was 0.23 Tk.

A year ago the net profit was Tk 46 lakh and the company paid a 5% cash dividend to its shareholders.


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Purity Income Recovers, But Investors Are More Interested in Profit | Business https://jamiron.net/purity-income-recovers-but-investors-are-more-interested-in-profit-business/ Fri, 26 Nov 2021 13:31:22 +0000 https://jamiron.net/purity-income-recovers-but-investors-are-more-interested-in-profit-business/ Sale of bakery products are on track to re-enter the $ 1 billion gang at Consolidated Bakeries Jamaica, which operates as Purity Bakery, but the positive trajectory has failed to appease some profit-hungry minority investors. “If things continue like this, then we might reach a sweet spot,” Purity chief executive Anthony Chang said at the […]]]>

Sale of bakery products are on track to re-enter the $ 1 billion gang at Consolidated Bakeries Jamaica, which operates as Purity Bakery, but the positive trajectory has failed to appease some profit-hungry minority investors.

“If things continue like this, then we might reach a sweet spot,” Purity chief executive Anthony Chang said at the company’s annual general meeting on Wednesday.

“There are inflationary pressures in place when you look at wheat futures. It’s a headwind, but we’re dealing with it, ”Chang said.

However, three minority shareholders roasted the company for its loss-making performance during the latter part of its nearly decade of listing.

“This company did not pay a dividend. We see this business going nowhere, ”minority shareholder Lancel Bloomfield said. “You haven’t paid a dividend to shareholders for nine years,” he said. Purity went public and listed on the Jamaica Stock Exchange Junior Market at the end of 2012.

“There is nothing I can do to show you another set of results,” Chang replied. “We have the resources to play with and we have the talent, but we are also constrained. The turn of the company is necessary.

Purity began to diversify years earlier, moving from selling bread, which generates a low margin, to including individual snacks and crackers with higher margins. The company operates with a gross profit margin of one-third, but is making losses due to heavy depreciation charges on equipment in the production line and double-digit debt financing costs. For example, Purity paid $ 19 million in finance charges in its fiscal 2020, which is 10.6% of its $ 178 million in borrowing. When asked if the company would consider lowering financial costs by issuing an offer of preferred shares at lower interest rates, Chang responded without commitment: “Your comment is being taken into account,” he said. -he declares.

Since the start of the year, however, the financial costs of the business have tended to decline. Chang also told shareholders that the company is going in the right direction.

Sales for the July-September 2021 period were $ 266 million, up 18% year-on-year and 12% from pre-2019 pandemic levels. Losses in the quarter remained stable at $ 2.6 million from 2020, and were at half of 2019 levels, when losses were $ 5.2 million.

Small businesses in the market enjoy 10 years of tax breaks, the last five being a 50 percent corporate tax exemption. Purity will begin paying full income tax on profits generated from 2022, a situation that could exacerbate its losses if there is no turnaround.

Purity has recorded losses for two consecutive years, as well as the first nine months of its 2021 fiscal year. Losses for the January-September period amounted to $ 7.02 million, compared with a profit of $ 5.24 million in 2020.

This has resulted in lackluster action on stock prices as investors cannot easily assess the company based on its earnings path. Purity stock closed at $ 1.59 on Wednesday, up 50% year-on-year, but still well below its $ 4 range a few years earlier.

Purity’s market value exceeds $ 350 million, or about half of its book value of $ 688 million. In comparison, the market value of rival bakery stock Honey Bun is nearly five times its book value.

Purity Bakery sales hit a record $ 1.03 billion in 2019, but fell back to $ 994 million in 2020 amid a general decline in business under the pandemic.

steven.jackson@gleanerjm.com


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2 Canadian stocks under the radar will benefit from Black Friday https://jamiron.net/2-canadian-stocks-under-the-radar-will-benefit-from-black-friday/ Wed, 24 Nov 2021 16:10:00 +0000 https://jamiron.net/2-canadian-stocks-under-the-radar-will-benefit-from-black-friday/ Image source: Getty Images Black Friday is fast approaching. And you know what it means: Savings! Large… While Black Friday deals can be overrated, there’s no denying that people love them. Compared to the big discounts throughout the Boxing Week store, Black Friday almost looks like a scam. But a lot of best deals on […]]]>

Image source: Getty Images

Black Friday is fast approaching. And you know what it means:

Savings! Large…

While Black Friday deals can be overrated, there’s no denying that people love them. Compared to the big discounts throughout the Boxing Week store, Black Friday almost looks like a scam. But a lot of best deals on “big ticket” items are Black Friday, so it’s a good time to shop for electronics, for example.

The popularity of Black Friday means that many businesses could make money from it. You probably don’t need me to tell you Amazon, Shopify, and Best buy are going to make a massacre during Black Friday shopping this year. They sure will – and probably a much bigger murder than last year, no less. Recently, China had its own shopping extravaganza in November, 11/11, and its retailers have posted significant year-over-year increases in sales.

So we’re probably going to see all the big ecommerce companies making a lot of money. But there are some lesser known and under the radar companies that will also make money. You might not have heard of these companies, but you could make even bigger gains with these lesser-known players than the big players. In this article, I’ll explore two of these businesses and how they could profit from Black Friday sales.

Cargo plane

Cargo plane (TSX: CJT) is a large freight airline that specializes in shipping small overnight deliveries – the types of deliveries that tend to come from companies like Amazon and Shopify. CJT is a major player in e-commerce deliveries in Canada. Its stock skyrocketed in 2020 when other airlines collapsed as it saw an increase in business brought on by the e-commerce boom. Lately things have slowed down a bit, but Cargojet has a chance to make a lot of money from Black Friday.

The easing of COVID-19 retail restrictions has helped decelerate revenue growth for the largest e-commerce companies, and Cargojet’s inventory has predictedly fallen. But Black Friday is another story. It’s still a huge day for shopping, and the closest comparable event in China just posted record numbers. So there are many reasons for optimism here.

Trade at the speed of light

Trade at the speed of light (TSX: LSPD) (NYSE: LSPD) is a Canadian company retail / e-commerce software developer. It develops a number of products and services, including:

  • Lightspeed point of sale terminals, which help merchants accept payments.
  • The Ecwid ecommerce platform, which is like Shopify.
  • A variety of industry specific solutions.

This is exactly the type of business that could profit massively from Black Friday. It could see increased use of its point-of-sale terminals by in-store retailers, as well as an increase in e-commerce user activity. No matter how Black Friday goes (retail or online) Lightspeed makes money. It is therefore an action under the radar to watch next Friday.

Take away food

Black Friday is fast approaching and there has never been a better time to invest in stocks that sell to consumers. Whether you prefer retail or e-commerce, there are opportunities for profit this year. Heck, even the airlines are jumping into the action. The opportunities to take advantage of Black Friday are endless. So maybe the best Black Friday gift you can give yourself is the stock gift.


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Gold sees price pressure on more profit taking https://jamiron.net/gold-sees-price-pressure-on-more-profit-taking/ Mon, 22 Nov 2021 12:48:00 +0000 https://jamiron.net/gold-sees-price-pressure-on-more-profit-taking/ Editor’s Note: With such market volatility, stay on top of the daily news! In minutes, discover our quick summary of today’s must-see news and expert opinions. Register here ! (Kitco News) – Gold prices are slightly lower at the start of the US trading session on Friday, due to greater profit taking by short-term futures […]]]>

Editor’s Note: With such market volatility, stay on top of the daily news! In minutes, discover our quick summary of today’s must-see news and expert opinions. Register here !

(Kitco News) – Gold prices are slightly lower at the start of the US trading session on Friday, due to greater profit taking by short-term futures traders, as a result recent earnings. The recent massive selloff in the crude oil market and the strong US dollar index are also negative for the metals markets. December gold was down $ 9.50 to $ 1,842.10 and December Comex silver was down $ 0.001 to $ 24.78 an ounce.

Global stock markets were mixed in overnight trading. US stock indices show higher openings when the New York session begins. Trading week in the United States could be quieter as the Thanksgiving holiday falls on Thursday, with an abbreviated trading session on Friday being historically one of the busiest days of the year. European traders and investors remain concerned about Covid lockdowns as infections in Europe and Asia are on the rise.

The market event of the week could be President Biden’s choice for Federal Reserve chairman. Jerome Powell’s term expires in February. Reports indicate that Powell and Fed Governor Lael Brainard are Biden’s top candidates. Biden could announce his choice Tuesday during a speech on the US economy.

Major foreign markets today see the US dollar index slightly higher and not far from last week’s 15-month high. Nymex crude oil prices are up slightly and trading around $ 76.00 per barrel. Oil prices hit a six week low overnight and it looks like a market high is in place. The yield on 10-year US Treasuries is currently 1.56%.

US economic data due for release Monday includes the Chicago Fed’s national activity index and existing home sales.

Technically, the bulls in December gold futures have the overall short-term technical advantage. A seven week old bullish trend is in place on the daily bar chart. The Bulls’ next bullish price target is to produce a close above solid resistance at the November high of $ 1,879.50. The bears’ next short term bearish price target is pushing futures prices below the strong technical support at $ 1,800.00. First resistance is seen at the overnight high of $ 1,850.40 and then at $ 1,860.00. First support is seen at the overnight low of $ 1,838.30 and then at $ 1,830.00. Wyckoff Market Score: 6.5

24 hour live money graph [ Kitco Inc. ]

Silver bulls have the overall technical advantage in the short term. Prices are in a seven week uptrend on the daily bar chart. The next bullish price target for Silver Bulls is to close December futures prices above strong technical resistance at $ 26.13 an ounce. The next bearish price target for bears is to close prices below the solid support at $ 23.00. The first resistance is seen at $ 25.00 and then at $ 25.25. Next support is seen at the overnight low of $ 24.55 and then at $ 24.25. Wyckoff Market Rating: 6.0.

Disclaimer: The opinions expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is for informational purposes only. It is not a solicitation to effect an exchange of commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for any loss and / or damage resulting from the use of this publication.


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Why You Should Make a Profit on Persistent Systems Stock https://jamiron.net/why-you-should-make-a-profit-on-persistent-systems-stock/ Sat, 20 Nov 2021 14:58:09 +0000 https://jamiron.net/why-you-should-make-a-profit-on-persistent-systems-stock/ It has been a great year for India’s IT industry. The top and top companies skillfully maneuvered through the initial impact of Covid and then capitalized on the increased digitization spending in the Western world, specifically the United States. Persistent Systems is also one of those companies that has had an exceptional year. Thanks to […]]]>

It has been a great year for India’s IT industry. The top and top companies skillfully maneuvered through the initial impact of Covid and then capitalized on the increased digitization spending in the Western world, specifically the United States. Persistent Systems is also one of those companies that has had an exceptional year.

Thanks to good growth, the stock has returned 271% over the past year and around 475% from its pre-Covid highs in February 2020. After that rise, it is now trading at a rich valuation of 41 , 9. times its next twelve-month EPS, which now shows a significant premium of 140% over its 5-year average and 81% over its 2-year average. While growth has also accelerated in recent quarters and the outlook is solid for the current fiscal year and next based on recent trends, given the increased valuation, investors would be better off booking the profits and cash out the winnings. CY22 is shaping up to be a year of macroeconomic uncertainty. Inflationary pressures and the withdrawal of monetary stimulus are weighing on macroeconomic engines for the next two years. The impact of the unwinding of the stimulus measures on stock market valuations is also an important factor to consider. At current levels, the stock offers no margin of safety for the risks that may arise, making the risk / reward ratio unfavorable.

Business and outlook

The company’s business includes – one, the IT services segment (83 percent of FY21 revenue) – product engineering services and platform-based solutions; and second, the IP-based software product segment (17 percent of the business). Its product segment is a differentiator from some of its peers – revenues can be spotty but come with better margins. In terms of business verticals, BFSI accounts for 31 percent of revenue, Tech and Emerging Verticals (50 percent) and Healthcare (19 percent). It is heavily indebted in the United States with 79 percent of income coming from North America.

In FY21, the company reported revenue of 4,188 crore – USD revenue growth of 13% and INR revenue growth of 17% from FY20. EBIT margins improved by nearly 300 basis points, from 9.2% to 12.1%. This is mainly due to reduced sales and marketing spending, a trend seen across many IT companies in the year affected by Covid. Driven by revenue growth and expanding margins, profit increased 32% for the year to reach 451 crore.

The momentum also continued in FY 22 with revenue of 2,581 crore in the first half of FY 22 – growth of 30.7% in USD and growth in INR by 29.1%. The EBIT margin was 13.7% and PAT increased 63% year-on-year to 313 crore. For the Full Consensus of FY22 (Bloomberg), the expectation is that both revenue and PAT will increase by 33% and 55%, respectively. While business is expected to remain strong thanks to strong contracts won by the company in recent quarters, however, momentum is expected to falter with consensus forecasting revenue and PAT growth of 22% and 23% respectively over the course of the year. the FY23.

Given the acceleration of commercial dynamics compared to historical trends, a premium for historical valuation is justified. However, this is more than sufficiently factored in with a premium valuation of 140 percent over its 5-year average and with stock trades at a PE ntm of 41.9 times and a PE FY23 of 39 times. While growth is expected to remain good, there is not much clarity on how growth rates will move beyond FY 23 given macroeconomic uncertainties.

No safety margin

His five-year income CAGR between FY15-20 was 14%. The 20-23 fiscal year revenue CAGR is expected at 24%. According to a NASSCOM report, India’s IT services industry can reach $ 300-350 billion in annual revenue by fiscal year 25. This implies a 13 percent CAGR for the industry during this period. Against this backdrop, it would be difficult for the persistent FY20-23 CAGR growth to sustain beyond FY 23, given that the industry is expected to grow at around 13%. The current assessment can only be justified if growth will trend above 20% for a few more years beyond FY 23 and margins continue to improve. Both seem less likely.

Another potential factor to note is that while the company recently improved its EBIT margins to around 13 percent, they are significantly lower than those of Tier 1 players like TCS (26 percent), Infosys (22 percent ) and HCL Tech (20 percent). Firms with lower margins are at higher risk in the event of an economic downturn, currency volatility, or increased competition. For example, the growth of the Tier 1 IT service companies mentioned above is much lower than that of Persistent. But since their margins are higher, if competition intensifies, they are better equipped to sacrifice growth margins and gain market share.

Its current dividend yield is also low, at around 0.5%. Its return on free cash is expected to be just 1 percent for fiscal 22 and 2 percent for fiscal 23. Returns on capital to investors, which are generally based on free cash flow, will therefore be less than. the average. It also does poorly compared to Tier 1 IT companies like those that return a significant portion of their free cash flow to investors each year in the form of dividends and redemptions.

Considering the risks of lower margins and lower returns on capital, Persistent’s current valuation, which is higher than Tier 1 IT service companies (PE NTMs between 25 and 35), is also unsustainable and provides another reason for become cautious about the title.


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Gold and silver fall back to normal profit taking https://jamiron.net/gold-and-silver-fall-back-to-normal-profit-taking/ Thu, 18 Nov 2021 18:08:00 +0000 https://jamiron.net/gold-and-silver-fall-back-to-normal-profit-taking/ Editor’s Note: With such market volatility, stay on top of the daily news! In minutes, discover our quick summary of today’s must-see news and expert opinions. Register here ! (Kitco News) – Gold and silver prices are moderately lower Thursday at noon on Thursday due to routine downward corrections and slight profit taking by short-term […]]]>

Editor’s Note: With such market volatility, stay on top of the daily news! In minutes, discover our quick summary of today’s must-see news and expert opinions. Register here !

(Kitco News) – Gold and silver prices are moderately lower Thursday at noon on Thursday due to routine downward corrections and slight profit taking by short-term futures traders. December gold last lost $ 7.70 to $ 1,862.50 and December Comex silver lost $ 0.212 to $ 24.955 an ounce.

Global stock markets were mostly down in overnight trading. US stock indices are mixed at midday. Stock market bulls are keeping major indexes holding up amid bullish reports on corporate earnings. However, inflation concerns continue to increase. Gatherings in many commodity futures markets on Wednesday highlighted the idea that trading end users are already “stocking up” in advance, in order to counter perceived future price increases. This only shortens supplies and makes them more prone to price increases.

Major foreign markets are now seeing the US dollar index decline following a downward correction after hitting a 15-month high on Wednesday. Nymex crude oil prices are firmer and are trading around $ 78.75 per barrel. Oil prices hit a six-week low overnight as it appears the crude market has peaked in the near term. There is talk of the United States and China drawing on their strategic oil reserves to help reduce rising gasoline prices. The yield on 10-year US Treasuries is currently around 1.55%.

Technically, the bulls in December gold futures have the overall technical advantage of the company in the short term. Prices are in a six week uptrend on the daily bar chart. The Bulls’ next bullish price target is to produce a close above the solid resistance at $ 1,900.00. The bears’ next short term bearish price target is pushing futures prices below the strong technical support at $ 1,800.00. First resistance is seen at today’s high of $ 1,873.30 and then this week’s high of $ 1,879.50. First support is seen at this week’s low at $ 1,851.00 and then $ 1,839.00. Wyckoff Market Rating: 7.0.

24 hour live money graph [ Kitco Inc. ]

The December silver futures bulls have the overall short-term technical advantage amid a six-week uptrend in place on the daily bar chart. The next bullish price target for Silver Bulls is to close the price above strong technical resistance at $ 26.13 an ounce. The next bearish price target for bears is to close prices below solid support at the November low of $ 23.045. First resistance is seen at this week’s high of $ 25.49 and then $ 25.75. The next support is seen at today’s low at $ 24.73 and then at $ 24.50. Wyckoff Market Rating: 6.0.

December NY copper closed 430 points higher at 430.85 cents today. Prices closed closer to the session high today. Copper bears have the overall technical advantage in the short term. The next bullish price target for copper buyers is to push and close the price above strong technical resistance at 450.00 cents. The next bearish price target for the bears is to close prices below strong technical support at 415.00 cents. First resistance is seen at Wednesday high of 436.05 cents, then 440.00 cents. First support is seen at 425.00 cents, then this week’s low of 419.15 cents. Wyckoff Market Rating: 4.0.

Disclaimer: The opinions expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is for informational purposes only. It is not a solicitation to effect an exchange of commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for any loss and / or damage resulting from the use of this publication.


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Fundamentals to watch – Invest Chronicle https://jamiron.net/fundamentals-to-watch-invest-chronicle/ Tue, 16 Nov 2021 18:30:03 +0000 https://jamiron.net/fundamentals-to-watch-invest-chronicle/ For readers interested in the health of Troika Media Group Inc. (TRKA) shares. It is currently valued at $ 2.21. When trades were canceled in the previous session, Stock hit highs of $ 2.2199, having started with the price of $ 2.09. The value of the company’s shares fell to $ 1.98 during the day’s […]]]>

For readers interested in the health of Troika Media Group Inc. (TRKA) shares. It is currently valued at $ 2.21. When trades were canceled in the previous session, Stock hit highs of $ 2.2199, having started with the price of $ 2.09. The value of the company’s shares fell to $ 1.98 during the day’s trading. When trading was stopped, its value was $ 2.03. Recently in News on November 15, 2021, Troika Media published the results for the first quarter of fiscal 2022. The growth in revenues for the first quarter far exceeds the company’s expectations. You can read more details here

Price records that include historical low and high prices over a 52 week period can say a lot about the current state of the stock and future performance. Currently, Troika Media Group Inc. shares are registering -44.75% in the 52 week period from the high price, and 84.17% higher than the low price for the same period. The stock price range for the 52 week period managed to keep performance between $ 1.20 and $ 4.00.


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Shares of the company, operating in the communications services industry, managed to break above a trade volume of around 849,394 for the day, which was obviously lower compared to the average daily volumes of the shares.

Turning to the metrics since the start of the year, Troika Media Group Inc. (TRKA) recorded a market performance of -29.17%, with revenues of 47.33% on a quarterly basis compared to at the same period the previous year. At the time of this writing, the total market value of the company is set at 95.36 million euros, as it employs a total of 58 workers.

Analysts’ eyes on Troika Media Group Inc. (TRKA)

In the past month, 0 analysts rated Troika Media Group Inc. with a PURCHASE rating, 0 of analysts polled rated the stock as OVERWEIGHT, 0 analysts recommended KEEP this stock, 0 of them rated the UNDERWEIGHT rating and 0 of the analysts surveyed provided a SELL rating.

According to data provided on Barchart.com, the company’s moving average over the 100-day period was set at 1.88, with a noted price change of -0.47. Likewise, Troika Media Group Inc. posted a movement of -17.54% for the last 100 days, recording 1,793,087 in transaction volumes.

The ratio of total debt to equity (D / E) can also provide valuable information about a company’s financial health and market condition. The debt ratio can be calculated by dividing a company’s current total liabilities by equity. Debt-to-equity is therefore a valuable measure that describes the debt that the company uses to support its assets, correlated with the value of equity. The total debt to equity ratio for TRKA is 0.04 at the time of writing. In addition, the long-term debt-to-equity ratio is set at 0.03.

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Technical presentation of Troika Media Group Inc. (TRKA)

The gross stochastic average of Troika Media Group Inc. over the last 50 days is set at 44.10%. The result represents an improvement over the raw stochastic mean for the last 20 days of 39.90%. In the past 20 days, the company’s stochastic% K was 33.96% and its stochastic% D was recorded at 30.55%.

Considering the past performance of Troika Media Group Inc., several mobile trends are noted. Year-to-date, the company’s stock price performance looks encouraging, as the measure registers -29.17%. Shares are up around 12.18% in 7-day charts and are down 51.37% in the past 30 days. Common shares were driven by 47.33% in the last recorded quarter.


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Rivian’s pre-order customers made over $ 240 million in profit on pop IPO https://jamiron.net/rivians-pre-order-customers-made-over-240-million-in-profit-on-pop-ipo/ Thu, 11 Nov 2021 13:04:40 +0000 https://jamiron.net/rivians-pre-order-customers-made-over-240-million-in-profit-on-pop-ipo/ Rivian electric trucks are parked near the Nasdaq MarketSite building in Times Square on November 10, 2021 in New York City. Michael M. Santiago | Getty Images Rajiv Patel, an environmental consultant in Austin, Texas, deposited a $ 1,000 deposit on a Rivian electric SUV earlier this year. He has no idea when he will […]]]>

Rivian electric trucks are parked near the Nasdaq MarketSite building in Times Square on November 10, 2021 in New York City.

Michael M. Santiago | Getty Images

Rajiv Patel, an environmental consultant in Austin, Texas, deposited a $ 1,000 deposit on a Rivian electric SUV earlier this year. He has no idea when he will receive his vehicle, called the R1S, but his down payment pays off in a very different way.

As a pre-order client, Patel was able to participate in Rivian’s IPO on Tuesday night as part of the company’s directed equity program. He bought the maximum of 175 shares for $ 13,650 at the IPO price of $ 78. After the stock climbed 29% on Wednesday, Patel’s stake is now worth $ 17,628.

“When I invest in these companies I’m always a longtime guy,” said Patel, 45, adding that he invested in Tesla shortly after its IPO in 2010 and also bought shares. by Lucid Motors, which went public in July. “I’m definitely not a meme stock guy. With these three, I feel good about the tech.”

Technology is all Patel can bet on right now. After his Nasdaq debut on Wednesday, Rivian has a market cap of $ 86 billion, higher than Ford and roughly equal to General Motors, even though the company is forecasting revenues of between $ zero and $ 1 million for the third. trimester.

Rivian has reserved up to 7% of the IPO shares for DSP participants, as the company reported in its prospectus. Eligible investors fell into two categories: people who booked an R1S or R1T electric truck on September 30, and officers, directors and their affiliates. Deposits are refundable.

The program follows similar initiatives by Airbnb, Uber and Doximity, which reserve shares of their offerings for hosts, Conductors and doctors, respectively. What sets Rivian’s DSP apart is that the electric vehicle company does not yet have any actual customers, despite a backlog of 55,400 pre-orders as of October 31.

Assuming the DSP allocated all of its available shares, the participants collectively invested around $ 835 million in Rivian shares. As of Wednesday’s close, those shares are worth a total of nearly $ 1.08 billion, which is a paper gain of about $ 245 million.

Joshua White, a finance professor at Vanderbilt University, said it was a good deal for those who can participate, as hot IPO stocks almost always enjoy a pop on day one, and retail investors are generally left out. DSP investors can also sell immediately if they wish, as they are not subject to a post-IPO lock-in period.

“You kind of know this is going to be a really good deal for clients who sign up,” said White, who was previously an economist for the Securities and Exchange Commission. “Not having a product is a way to spread some goodwill up front so they can lock in those returns right away.”

Patel received his first email regarding Rivian’s DSP last month and was told he had to pre-register by October 25. The program was managed by Morgan Stanley, the main underwriter of the IPO.

After the stock was listed at $ 78 on Tuesday night, Patel was able to access his Morgan Stanley account and select the number of stocks he wanted, up to 175. He selected the maximum and transferred the money. .

Learn more about electric vehicles from CNBC Pro

Patel said that although he is a huge Tesla fan, the Rivian R1S will be his first electric vehicle, although he does not know when it will arrive. Rivian said he plans to deliver his overdue vehicles by the end of 2023. In the meantime, the company is developing delivery vehicles for Amazon, which has ordered 100,000 to be delivered by 2030, including 10,000 from next year.

Patel, who has two children, is ready to wait for the Rivian SUV.

“Having a family with two young children, an SUV is much more functional than the Y or the X,” Patel said, referring to Tesla vehicles. He also posted a refundable bond on a Lucid vehicle, “but I think I’m fully committed to Rivian at this point,” Patel said.

As for its investments, it focuses mainly on clean technology companies. However, he admitted to selling Tesla shares last year, missing the 2021 rally.

“I had to buy a house,” Patel said. “But the housing market in Austin is great, so no regrets there.”

Correction: An earlier version of this story had an incorrect number for the number of seats in Tesla vehicles. The number has been deleted.


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Canaccord Profits Increase 87% in Record Quarter for M&A Expenses https://jamiron.net/canaccord-profits-increase-87-in-record-quarter-for-ma-expenses/ Tue, 09 Nov 2021 15:03:18 +0000 https://jamiron.net/canaccord-profits-increase-87-in-record-quarter-for-ma-expenses/ (Bloomberg) – Canaccord Genuity Group Inc. traders had their best quarter in history after an influx of cheap capital to companies fueled an acquisition boom and boosted profits. Bloomberg’s Most Read Net income rose 87% from a year earlier to C $ 61.8 million ($ 49.7 million) in the three months to September 30, the […]]]>

(Bloomberg) – Canaccord Genuity Group Inc. traders had their best quarter in history after an influx of cheap capital to companies fueled an acquisition boom and boosted profits.

Bloomberg’s Most Read

Net income rose 87% from a year earlier to C $ 61.8 million ($ 49.7 million) in the three months to September 30, the company said on Monday. Earnings were 58 cents per share, excluding significant items, on a diluted basis.

CEO Dan Daviau said companies are bursting with capital, helped by low interest rates and rising stock markets, making it easier for them to spend money on strategic priorities at long term. Consulting revenues for the second quarter of the year reached a record C $ 139.4 million, including C $ 103.6 million from the United States, where Canaccord’s 2019 acquisition of Petsky Prunier Fusion Shop generates earnings.

“The M&A market is remarkably strong,” Daviau said in an interview. “What tends to drive M&A is access to money – and there’s tons of debt there, and there’s tons of equity there, so you have a fairly dynamic M&A market. “

The pipeline of acquisition activity is strong for the next two quarters for sure and possibly even for another full year, Daviau said.

Canaccord climbed 8% to C $ 16.43 at 9:39 a.m. in Toronto, the biggest intraday gain since November 2020. Shares of the company, which is legally based in Vancouver but largely run from Toronto, rose 42% this year. , beating the 24% gain of the S & P / TSX Composite Index.

Total revenues from Canaccord’s global capital markets operations increased 26% to C $ 304.9 million, with advising fee gains more than offsetting lower trading activities for clients and issuers.

Elsewhere, revenues from the global wealth management business increased 14% to C $ 166.2 million, driven by gains in the three main segments of North America, UK and Canada. Australia.

The period of higher profits throughout the pandemic and the C $ 218 million sale of a 22% stake in its UK wealth management business earlier this year left Canaccord 1.73 billion Canadian dollars in cash on its balance sheet at the end of the quarter, up 91% from the previous year.

Canaccord could use its additional capital to repurchase shares, strengthen its wealth management business in Canada and the UK, potentially through acquisitions, and strengthen its merger and acquisition business, Daviau said.

“In terms of the balance sheet, we are really, really strong,” said Daviau. “You will continue to see us use our balance sheet intelligently over the next few months. “

(Updates with share transfer in sixth paragraph.)

Bloomberg Businessweek Most Read

© 2021 Bloomberg LP


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