Coty Acquisitions Drive Sales, Priceline Net Surge But Investors Sell

Mukesh Buch
10 May, 2017
New York City

Coty acquisitions drive sales increase. Cimarex Energy net swung to profit after US shale production surged. Disney profit jumped on strong performance in theme park segment. NVIDIA net surged on strong chip sales. Priceline booking soar but investors sell on sluggish growth.

[R]3:10 PM New York – Coty acquisitions drive sales increase. Cimarex Energy net swung to profit after US shale production surged. Disney profit jumped on strong performance in theme park segment. NVIDIA net surged on strong chip sales. Priceline booking soar but investors sell on sluggish growth.[/R]

Tollbooth Index slipped 33.70 or 0.3% to 12,167.50.

Earnings Review

Coty Inc ((COTY)) surged 13.5% or $2.41 to $20.24 after the cosmetics and perfumes maker said revenues in the third-quarter ending in March doubled from a year ago to $2 billion.

Net loss in the quarter widened to $164.2 million or 22 cents per diluted share from $26.8 million or 8 cents in the same quarter last year.

Cimarex Energy Co ((XEC)) advanced 2.8% or $3.30 to $122.15 after the oil and gas explorer said revenues in the first-quarter ending in March soared 85.9% from a year ago to $447.2 million.

Net in the quarter swung to profit $130.9 million or $1.38 per diluted share from a loss of $231.5 million or $2.49 in the same quarter last year.

The oil and gas producer said production in the quarter jumped 9% from a year ago to 1.06 billion cubic feet equivalent per day.

The Walt Disney Company ((DIS)) slumped 2.4% or $2.64 to $109.43 after the cable and broadcasting services provider reported revenues in the second-quarter ending in March increased 3% from a year ago to $13.4 billion.

Net income in the quarter surged 11% to $2.4 billion or $1.50 per diluted share from $2.1 billion or $1.30 in the same quarter last year.

Disney said revenues in the media network segment jumped 3% to $5.9 billion and revenues in the parks and resorts business soared 9% to $4.3 billion but revenues in studio entertainment business fell 1% to $2 billion.

Walt Disney added during the quarter, ESPN lost subscribers and the sports cable service was also hit by heavy programming costs after new and costly contract with the NBA. Disney is also preparing to launch subscription streaming service in ESPN.

“Disney delivered another quarter of double-digit earnings per share growth, driven by the strong performance of Studio and Parks and Resorts,” said chairman and chief executive officer Robert A. Iger.

NVIDIA Corporation ((NVDA)) surged 15.8% or $16.22 to $119.17 after the graphics processing unit maker reported revenues in the first-quarter ending in March jumped 46.1% from a year ago to $1.9 billion.

Net income in the quarter soared 143.7% to $507 million or 79 cents per diluted share from $208 million or 35 cents in the same quarter last year.

Nvidia said in the quarter, revenue in gaming graphics card jumped 50% to $1.03 billion, 53% of total revenue.

Priceline Group Inc ((PCLN)) declined 5.1% or $96.82 to $1,814.31 after the online travel services provider said revenues in the first-quarter ending in March surged 12.5% from a year ago to $2.4 billion.

Net income in the quarter soared 21.7% to $455.6 million or $9.11 per diluted share from $374.4 million or $7.47 in the same quarter last year.

Priceline forecasted second-quarter earnings per share in the range of $13.30 to $14, below the estimate of about $15 per share.

Sotheby’s ((BID)) increased 1.7% or 83 cents to $48.65 after the auctions operator said revenues in the first-quarter ending in March soared from a year ago to $187.5 million.

Net loss in the quarter widened to $11.3 million or 21 cents per diluted share from $25.9 million or 41 cents in the same quarter last year.

Time Inc ((TIME)) tumbled 14.7% or $2.23 to $12.88 after the media and publishing services provider reported revenues in the first-quarter ending in March declined 8% from a year ago to $636 million.

Net loss in the quarter widened to $28 million or 29 cents per diluted share from $10 million or 10 cents in the same quarter last year.

The Wendy''s Company ((WEN)) jumped 5.1% or 76 cents to $15.86 after the fast food restaurants operator stated total revenues in the first-quarter ending in March plunged 24.6% from a year ago to $285.8 million.

Net income in the quarter declined 12.2% to $22.3 million from $25.4 million and diluted earnings per share were flat at 9 compared to the same quarter last year.

Wolverine World Wide, Inc ((WWW)) soared 9.1% or $2.22 to $26.60 after the casual outdoor and athletic footwear, apparel designer said revenues in the first-quarter ending in March slumped 4.8% from a year ago to $591.3 million.

Net income in the quarter dropped 4% to $16.7 million or 17 cents per diluted share from $17.4 million or 18 cents in the same quarter last year.

Wolverine reaffirmed fiscal 2017 revenues estimate in the range of $2.27 billion to $2.37 billion and operating margin between 5.2% and 5.9% but lowered diluted earnings per share in the range of 73 cents to 83 cents from 89 cents in fiscal 2016.