HP Jumps on Positive Outlook, Constellation Brands Beats Estimates

Mukesh Buch
04 Oct, 2018
New York City

Constellation Brands beats earnings estimates. HP issued positive earnings outlook. International Speedway tumbled on lowered fiscal outlook. Synnex net declined 8%.

[R]11:55 AM New York City, New York – Constellation Brands beats earnings estimates. HP issued positive earnings outlook. International Speedway tumbled on lowered fiscal outlook. Synnex net declined 8%.[/R]

Tollbooth Index declined 233.20 or 1.4% to 16,385.81 but for the year-to-date soared 19.1%.

Earnings Review

Canadian Pacific Railway Limited ((CP)) advanced 2.2% or $4.69 to $216.35 after Canada-based railroad operator forecasted third-quarter revenues growth of 19% to $1.9 billion and diluted earnings per share of about $4.35.

Constellation Brands Inc ((STZ)) jumped 4.6% or $9.61 to $220.37 after the beer, wine, and spirits maker reported revenues in the second-quarter ending in August soared 10% from a year ago to $2.3 billion.

Net income in the quarter doubled to $1.1 billion or $5.41 per diluted share from $501.6 million or $2.30 in the same quarter last year.

The beer, wine, and spirits maker said sales in the beer segment surged 11% and in the wine and spirits business jumped 9%. Shipment volume of beer advanced 8.7% and wine and spirits soared 8.8%.

Constellation Brands reaffirmed fiscal 2018 sales growth in the beer segment in the range of 9% to 11% and in wine and spirits growth between 2% to 4%.

HP Inc ((HPQ)) soared 3.1% or 80 cents to $26.86 after the computers and printers maker forecasted fiscal 2019 diluted net earnings per share in the range of $2.04 to $2.14 and estimated free cash flow of about $3.7 billion and the company also increased quarterly dividend by 15% through the year.

International Speedway Corp ((ISCA)) tumbled 11.5% or $4.84 to $37.42 after the motorsports events organizer stated total revenues in the third-quarter ending in August surged 20.8% from a year ago to $159.3 million.

Net income in the quarter soared to $12 million or 27 cents per diluted share from $0.3 million or 1 cent in the same quarter last year.

The events organizer lowered fiscal 2018 revenues forecast to between $675 million and $680 million and operating margin in the range of 15.0% to 15.5% and diluted earnings per share in the range of $1.90 to $1.95, reaffirming the previous guidance.

Jefferies Financial Group Inc ((JEF)) gained 1.6% or 37 cents to $22.61 after the diversified financial services provider estimated preliminary net income in the range of $180 million to $210 million and diluted earnings per share in the range of 51 cents to 60 cents.

Synnex Corporation ((SNX)) soared 4.5% or $3.81 to $88.71 after the technology and outsourcing services provider reported revenues in the third-quarter ending in August soared 14.7% from a year ago to $4.9 billion.

Net income in the quarter declined 7.9% to $69.3 million or $1.74 per diluted share from $75.2 million or $1.87 in the same quarter last year.