|By PR Newswire||
|January 3, 2014 09:30 AM EST||
CHICAGO, Jan. 3, 2014 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the Facebook Inc (Nasdaq:FB-Free Report), Netflix (Nasdaq:NFLX-Free Report), AOL Inc. (NYSE:AOL-Free Report), Blucora Inc. (Nasdaq:BCOR-Free Report) and Wyndham Worldwide Corporation (NYSE:WYN-Free Report).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Thursday's Analyst Blog:
Facebook Now a Strong Buy
On Jan 2, 2014, Zacks Investment Research upgraded Facebook Inc (Nasdaq:FB-Free Report)to a Zacks Rank #1 (Strong Buy). A strong return of 123.9% over the past six months, long-term expected earnings growth rate of 29.5%, impressive third-quarter results and a positive estimate revision trend make Facebook an attractive investment opportunity.
Why the Upgrade?
Facebook reported strong third-quarter results, beating the Zacks Consensus Estimate on both lines. Earnings of 17 cents per share improved considerably from 6 cents in the year-ago quarter. Revenues surged 60.0% from the year-ago quarter to $2.02 billion.
Mobile comprised 49.0% of ad revenues, up from 41.0% in the previous quarter. The sequential increase in mobile ad revenues was driven by an increase in average price per mobile ad, number of mobile users and ads shown per mobile user.
We note that the company has gained significant traction in its mobile ad business within a very short span of time. This, combined with its massive user base and its ability to track personal details over time, makes it a formidable force in the online ad market.
To boost Facebook usage among teenagers, the company decided to allow users in the age group of 13 to 17 to make public posts, which is a positive. The company also announced that it will restrict ad quantity in newsfeed in order to improve user engagement.
Moreover, the new products such as Video ads and Reader are expected to drive top-line growth, going forward. However, higher investments to expand mobile offerings and increasing competition are expected to hurt margins in the near term.
The Zacks Consensus Estimate for fiscal 2013 remained steady at 60 cents per share over the last 60 days. For fiscal 2014, the Zacks Consensus Estimate increased a penny to 87 cents per share over the same time frame.
Other Stocks to Consider:
Other players in the technology industry, which look attractive at current levels, include Netflix (Nasdaq:NFLX-Free Report), AOL Inc. (NYSE:AOL-Free Report) and Blucora Inc. (Nasdaq:BCOR-Free Report). All these stocks carry the same Zacks Rank as Facebook.
Wyndham Upgraded to Outperform
On Jan 2, we upgraded our recommendation on leading hotelier, Wyndham Worldwide Corporation (NYSE:WYN-Free Report), from Neutral to Outperform following its better-than-expected third-quarter 2013 results and increased earnings guidance.
Why the Upgrade?
Amid a challenging economic environment, Wyndham has succeeded in posting solid top-line growth and higher earnings for the past three quarters, driven by strong performance across all the three operating segments.
The company comfortably surpassed the Zacks Consensus Estimate for both revenues and earnings in the past two out of three quarters. In the recently concluded third-quarter 2013, Wyndham's earnings grew 25% year over year to $1.41 per share, benefiting from higher top line, improved EBITDA (earnings before interest, taxes, depreciation and amortization) and lower share count. Quarterly revenues also increased 13% year over year. Solid growth in all the operating segments aided the quarterly sales.
Following a better-than-expected performance in the third quarter, the Zacks Rank #2 (Buy) company raised the 2013 earnings guidance for the second time in a row. The company now projects adjusted earnings per share within the range of $3.78–$3.80 up from prior expectations of $3.66–$3.76.
Reasons for the Positive Bias
Along with the strong third-quarter results, the company's growth story looks attractive. Wyndham is engaged in offering individual and business customers a range of hospitality services across various accommodation alternatives and price ranges through its premier portfolio of 20 global brands.
With the economy beginning to improve gradually, system-wide occupancies in North America appear to be pretty steady and above the prior peak achieved in 2006. According to Smith Travel Research, the U.S. supplies are expected to be nearly 1.1% in 2014. With a low supply growth environment, the company will be able to raise its room rate, going forward.
Wyndham derives a substantial chunk of revenues from its vacation ownership or timeshare business, which has a solid long-term potential. This fee-for-service business reduces capital requirement, resulting in higher free cash flow. The company is focused on rebalancing its portfolio by increasing contributions from fee-for-service businesses, thus introduced a new initiative, Wyndham Asset Affiliation Model (WAAM) in 2009.
We believe the company's back-to-back acquisitions, substantial development pipeline and significant international exposure will boost growth, going ahead. Moreover, regular share repurchase activity and dividend distribution helped augment investors' confidence in the company.
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
SOURCE Zacks Investment Research, Inc.
In past @ThingsExpo presentations, Joseph di Paolantonio has explored how various Internet of Things (IoT) and data management and analytics (DMA) solution spaces will come together as sensor analytics ecosystems. This year, in his session at @ThingsExpo, Joseph di Paolantonio from DataArchon, will be adding the numerous Transportation areas, from autonomous vehicles to “Uber for containers.” While IoT data in any one area of Transportation will have a huge impact in that area, combining sensor...
Oct. 22, 2016 05:30 PM EDT Reads: 461
Established in 1998, Calsoft is a leading software product engineering Services Company specializing in Storage, Networking, Virtualization and Cloud business verticals. Calsoft provides End-to-End Product Development, Quality Assurance Sustenance, Solution Engineering and Professional Services expertise to assist customers in achieving their product development and business goals. The company's deep domain knowledge of Storage, Virtualization, Networking and Cloud verticals helps in delivering ...
Oct. 22, 2016 05:30 PM EDT Reads: 958
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
Oct. 22, 2016 04:00 PM EDT Reads: 3,578
Extreme Computing is the ability to leverage highly performant infrastructure and software to accelerate Big Data, machine learning, HPC, and Enterprise applications. High IOPS Storage, low-latency networks, in-memory databases, GPUs and other parallel accelerators are being used to achieve faster results and help businesses make better decisions. In his session at 18th Cloud Expo, Michael O'Neill, Strategic Business Development at NVIDIA, focused on some of the unique ways extreme computing is...
Oct. 22, 2016 04:00 PM EDT Reads: 3,839
In his general session at 18th Cloud Expo, Lee Atchison, Principal Cloud Architect and Advocate at New Relic, discussed cloud as a ‘better data center’ and how it adds new capacity (faster) and improves application availability (redundancy). The cloud is a ‘Dynamic Tool for Dynamic Apps’ and resource allocation is an integral part of your application architecture, so use only the resources you need and allocate /de-allocate resources on the fly.
Oct. 22, 2016 04:00 PM EDT Reads: 3,647
In the next five to ten years, millions, if not billions of things will become smarter. This smartness goes beyond connected things in our homes like the fridge, thermostat and fancy lighting, and into heavily regulated industries including aerospace, pharmaceutical/medical devices and energy. “Smartness” will embed itself within individual products that are part of our daily lives. We will engage with smart products - learning from them, informing them, and communicating with them. Smart produc...
Oct. 22, 2016 03:45 PM EDT Reads: 1,441
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smar...
Oct. 22, 2016 03:45 PM EDT Reads: 637
In his keynote at 19th Cloud Expo, Sheng Liang, co-founder and CEO of Rancher Labs, will discuss the technological advances and new business opportunities created by the rapid adoption of containers. With the success of Amazon Web Services (AWS) and various open source technologies used to build private clouds, cloud computing has become an essential component of IT strategy. However, users continue to face challenges in implementing clouds, as older technologies evolve and newer ones like Docke...
Oct. 22, 2016 03:30 PM EDT Reads: 2,243
WebRTC sits at the intersection between VoIP and the Web. As such, it poses some interesting challenges for those developing services on top of it, but also for those who need to test and monitor these services. In his session at WebRTC Summit, Tsahi Levent-Levi, co-founder of testRTC, reviewed the various challenges posed by WebRTC when it comes to testing and monitoring and on ways to overcome them.
Oct. 22, 2016 03:00 PM EDT Reads: 3,886
In his session at 19th Cloud Expo, Claude Remillard, Principal Program Manager in Developer Division at Microsoft, will contrast how his team used config as code and immutable patterns for continuous delivery of microservices and apps to the cloud. He will show the immutable patterns helps developers do away with most of the complexity of config as code-enabling scenarios such as rollback, zero downtime upgrades with far greater simplicity. He will also have live demos of building immutable pipe...
Oct. 22, 2016 02:45 PM EDT Reads: 1,495
Rapid innovation, changing business landscapes, and new IT demands force businesses to make changes quickly. In the eyes of many, containers are at the brink of becoming a pervasive technology in enterprise IT to accelerate application delivery. In this presentation, you'll learn about the: The transformation of IT to a DevOps, microservices, and container-based architecture What are containers and how DevOps practices can operate in a container-based environment A demonstration of how Docke...
Oct. 22, 2016 02:45 PM EDT Reads: 1,541
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Oct. 22, 2016 02:30 PM EDT Reads: 5,220
SYS-CON Events announced today that Coalfire will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Coalfire is the trusted leader in cybersecurity risk management and compliance services. Coalfire integrates advisory and technical assessments and recommendations to the corporate directors, executives, boards, and IT organizations for global brands and organizations in the technology, cloud, health...
Oct. 22, 2016 02:15 PM EDT Reads: 1,495
@ThingsExpo has been named the Top 5 Most Influential M2M Brand by Onalytica in the ‘Machine to Machine: Top 100 Influencers and Brands.' Onalytica analyzed the online debate on M2M by looking at over 85,000 tweets to provide the most influential individuals and brands that drive the discussion. According to Onalytica the "analysis showed a very engaged community with a lot of interactive tweets. The M2M discussion seems to be more fragmented and driven by some of the major brands present in the...
Oct. 22, 2016 01:45 PM EDT Reads: 11,262
So you think you are a DevOps warrior, huh? Put your money (not really, it’s free) where your metrics are and prove it by taking The Ultimate DevOps Geek Quiz Challenge, sponsored by DevOps Summit. Battle through the set of tough questions created by industry thought leaders to earn your bragging rights and win some cool prizes.
Oct. 22, 2016 01:45 PM EDT Reads: 3,747