Wall Street closed higher on Thursday recovering some lost ground of previous day’s rout. The company’s standalone revenue came at Rs 4,318 crore against Rs 1,862 crore QoQ and Rs 4,435 crore YoY. NORTH CANTON, Ohio, Oct. 28, 2020 /PRNewswire/ — Diebold Nixdorf (NYSE: DBD), today reports its 2020 third quarter financial results. The earnings press release and a presentation used to accompany First Eagle Investment Management recently released its Q3 2020 Investor Letter, a copy of which you can download here. The First Eagle Global Fund A… NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES(Note: All dollar amounts in this news release are expressed in U.S. dollars except as otherwise noted. The financial results are prepared using the recognition and measurement requirements of International Financial NPR’s final electoral map still shows plenty of uncertainty. Federal agencies are not sharing key hospitalization data with the public. And, Wall Street weighs in on the election and the stock market.
Wall Street closed higher on Thursday recovering some lost ground of previous day’s rout. Better-than-expected economic and earnings data boosted market participant’s confidence on risky asset like equities. All the three major stock indexes ended in green.
The Dow Jones Industrial Average (DJI) gained 0.5% or 139.16 points to close at 26,659.11, reversing its fourth straight negative close. Notably, 12 components of the 30-stock index ended in the red while 18 finished in green. The index is 6.7% away to become green year to date. Moreover, the tech-laden Nasdaq Composite finished at 11,185.59, climbing 1.6% or 180.72 points due to strong performance by large-cap technology stocks.
Meanwhile, the S&P 500 surged 1.2% to end at 3,311.11, reversing its third straight negative close. The Energy Select Sector SPDR (XLE), the Consumer Discretionary Select Sector SPDR (XLY) and the Materials Select Sector SPDR (XLB) rallied 3.1%, 2.5% and 2.1%, respectively. Notably, ten out of eleven sectors of the benchmark index closed in positive zone and one in negative.
The fear-gauge CBOE Volatility Index (VIX) was up 6.8% to 37.59. A total of 9.74 billion shares were traded on Thursday, higher than the last 20-session average of 9 billion. Advancers outnumbered decliners on the NYSE by a 1.88-to-1 ratio. On Nasdaq, a 1.89-to-1 ratio favored advancing issues.
The U.S. economy has performed exceptionally well in the third-quarter 2020 surpassing market’s expectations. On Oct 29, the Department of Commerce reported that the GDP jumped a record high 33.1% at annualized pace after plunging 31.4% in the second quarter. The figure was also higher than the Zacks Consensus Estimate of 31.3%.
In the third quarter, personal consumption increased 40.7% annually after plummeting 33.2% in the second quarter. Quarter-over-quarter, the core personal consumption increased 3.5% in the third quarter after declining 0.8% in the second quarter.
Despite a record jump in the third-quarter GDP, the U.S. GDP came in at a seasonally adjusted annual rate of $18.58 trillion, lower than $19.24 trillion in the fourth quarter of 2019. Overall, economic activity is still $660 billion or 3.5% below the pre-pandemic level.
The Department of Labor reported that initial jobless claims dropped 40,000 to 751,000 for the week ended Oct 24, better-than the consensus estimate of 786,000. Previous week’s jobless claims were revised upward to 791,000 from 787,000. It was the lowest initial claims total since the week of Mar 14. For the nine consecutive weeks, initial claims stayed below 1 million.
The four-week moving average for initial claims decreased to 787,750 from 812,250. Continuing claims, which include those receiving unemployment benefits for at least two straight weeks, dropped by 709,000 to 7.75 million for the week ended Oct. 17.
The National Association of Realtors reported that the index for pending home sales dropped 2.2% in September after increasing 8.8% in August. Year-over-year, contract signing for pending home sales were up 20.5%.
Consequently, shares of The Kraft Heinz, Comcast and Alexion surged 2.8%, 2.6% and 2.9%, respectively. All the three stocks carry a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cabot Oil Q3 Earnings Top Estimates, Revenues Miss Mark
The upcoming election could be a massive buying opportunity for savvy investors. Trillions of dollars will shift into new market sectors after the election. The question is, which sectors will soar for each candidate? Zacks has put together a new special report to help readers like you target big profits.
The 2020 Election Stock Report reveals specific stocks you’ll want to own immediately after the results are announced – 6 if Trump wins, 6 if Biden wins. Past election reports have led investors to gains of +71%, +83%, even +185% in the following months. This year’s picks could be even more lucrative.
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Author: Zacks Investment Research
Rekha Jhunjhunwala sells minor stake in Titan; Should investors buy or sell post Q2?
Titan Company share price shed 4 percent in the early trade on October 29 after the company posted its September quarter earnings.
It has reported standalone net profit of Rs 199 crore for Q2FY21 against a loss of Rs 270 crore quarter-on-quarter (QoQ) and a profit of Rs 320 crore year-on-year.
The company’s standalone revenue came in at Rs 4,318 crore against Rs 1,862 crore QoQ and Rs 4,435 crore YoY.
The standalone EBITDA of the company came at Rs 294 crore against Rs 513 crore YoY. EBITDA margin stood at 6.8 percent against 11.6 percent YoY.
In the quarter ended September 2020, the big bull Rakesh Jhunjhunwala reduced stake in Titan Company after his wife, Rekha, sold 50,000 shares in the September quarter, according to a regulatory filing.
Also Read – Titan reports Q2 standalone profit at Rs 199 crore, meets expectations on revenue, profit front
Here are the brokerages views on the stock:
Credit Suisse has maintained neutral call on the stock and raised target to Rs 1,170 from Rs 1,070.
According to research house the recovery is likely to lag heightened expectations. It retain its neutral call & look for a better entry point, reported CNBC-TV18.
The company is emerging stronger from the crisis, while valuations already discount positives. Maintain FY21 earnings estimates but upgrade FY22 on higher margin expectations, said CLSA
The risk-reward is unfavourable with PE valuations at 61x FY22e. It has maintained sell rating and target raised to Rs 1,100 from Rs 931, reported CNBC-TV18.
Despite a relatively higher base for 3QFY21, outlook for the quarter remains positive due to (a) bunching up of postponed wedding demand, in addition to traditionally strong demand for wedding jewellery in 3Q, and (b) encouraging festive demand, which has already seen positive growth in the first 10 days of the festive season.
While FY22E multiples at 55x may appear expensive, it is primarily due to temporary impact of the pandemic in FY21, from which the rebound would be sharp over the next couple of years. Maintain Buy with target price of Rs 1,400 (55x Sep’22 EPS).
Titan posted good recovery in Q2FY2021 with 98% of the business recovering to pre-covid levels. Overall, Sharekhan expect Titan to benefit from people shifting to trusted brands and market share gains. This, along with a relatively stable balance sheet, makes it a better play in the retail space.
Sharekhan has by recommendation on the stock with a revised price target (PT) of Rs 1,350. The stock is currently trading at 50.7x and 42.9x its FY2022/FY2023E EPS (EV/EBIDTA of 32.4x/27.5xits FY2022/FY2023E).
Diebold Nixdorf Reports 2020 Third Quarter Financial Results
NORTH CANTON, Ohio, Oct. 28, 2020 /PRNewswire/ — Diebold Nixdorf (NYSE: DBD), today reports its 2020 third quarter financial results. The earnings press release and a presentation used to accompany the webcast are accessible by visiting the Investor Relations section of Diebold Nixdorf’s website, located at the following link: http://www.dieboldnixdorf.com/earnings.
As previously announced, Gerrard Schmid, president and chief executive officer, and Jeffrey Rutherford, senior vice president and chief financial officer, will discuss the company’s financial performance during a conference call today at 8:30 a.m. ET. Both the presentation and access to the call are available at http://www.dieboldnixdorf.com/earnings. A replay of the call will also be made available on the Investor Relations section of Diebold Nixdorf’s website for three months following the call.
(Note: If clicking on the above links does not open up a new web page, you may need to cut and paste the above URL into your browser’s address bar.)
About Diebold Nixdorf
Diebold Nixdorf, Incorporated (NYSE: DBD) is a world leader in enabling connected commerce. We automate, digitize and transform the way people bank and shop. As a partner to the majority of the world’s top 100 financial institutions and top 25 global retailers, our integrated solutions connect digital and physical channels conveniently, securely and efficiently for millions of consumers each day. The company has a presence in more than 100 countries with approximately 22,000 employees worldwide. Visit www.DieboldNixdorf.com for more information.
Author: Diebold Nixdorf, Incorporated
First Eagle is Betting on CH Robinson Worldwide (CHRW) Stock
First Eagle Investment Management recently released its Q3 2020 Investor Letter, a copy of which you can download here. The First Eagle Global Fund A Shares posted a return of 5.64% for the third quarter (without sales charge), underperforming its benchmark, the MSCI World Index which returned 7.93% in the same quarter. You should check out First Eagle’s top 5 stock picks for investors to buy right now, which could be the biggest winners of this year.
In the said letter, First Eagle highlighted a few stocks and C. H. Robinson Worldwide Inc. (NASDAQ:CHRW) is one of them. C. H. Robinson Worldwide Inc. (NASDAQ:CHRW) is a transport company. Year-to-date, C. H. Robinson Worldwide Inc. (NASDAQ:CHRW) stock gained 15.8% and on October 28th it had a closing price of $88.58. Here is what First Eagle said:
“As North America’s largest freight broker, C.H. Robinson benefited from a rebound in truck freight pricing, which continued to recover from the dislocations felt earlier in the year. Truck demand has spiked as consumers increasingly spend on hard goods that require distribution rather than experiences and services, while both truck and driver supply has remained constrained.”
In Q2 2020, the number of bullish hedge fund positions on C. H. Robinson Worldwide Inc. (NASDAQ:CHRW) stock decreased by about 13% from the previous quarter (see the chart here), so a number of other hedge fund managers don’t believe in CHRW’s growth potential. Our calculations showed that C. H. Robinson Worldwide Inc. (NASDAQ:CHRW) isn’t ranked among the 30 most popular stocks among hedge funds.
The top 10 stocks among hedge funds returned 185% since the end of 2014 and outperformed the S&P 500 Index ETFs by more than 109 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Below you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
Video: Top 5 Stocks Among Hedge Funds
At Insider Monkey we scour multiple sources to uncover the next great investment idea. For example, Federal Reserve has been creating trillions of dollars electronically to keep the interest rates near zero. We believe this will lead to inflation and boost real estate prices. So, we recommended this real estate stock to our monthly premium newsletter subscribers. We go through lists like the 10 most profitable companies in the world to pick the best large-cap stocks to buy. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. You can subscribe to our free enewsletter below to receive our stories in your inbox:
Disclosure: None. This article is originally published at Insider Monkey.
Author: Alex Smith
Fairfax India Holdings Corporation: Third Quarter Financial Results
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
(Note: All dollar amounts in this news release are expressed in U.S. dollars except as otherwise noted. The financial results are prepared using the recognition and measurement requirements of International Financial Reporting Standards, except as otherwise noted, and are unaudited.)
TORONTO, Oct. 29, 2020 (GLOBE NEWSWIRE) — Fairfax India Holdings Corporation (TSX: FIH.U) announces net earnings of $77.7 million in the third quarter of 2020 ($0.52 net earnings per diluted share), compared to net earnings of $89.2 million in the third quarter of 2019 ($0.58 net earnings per diluted share), reflecting decreased net unrealized gains on investments, partially offset by increased net foreign exchange gains and dividend income.
Highlights for third quarter of 2020 included the following:
- Net change in unrealized gains on investments of $74.4 million, principally from increases in market prices of the company’s investments in the public companies CSB Bank ($39.4 million), Privi Speciality (formerly Fairchem Speciality) ($34.9 million), 5paisa ($11.2 million), IIFL Finance ($6.1 million) and an increase in the fair value of the company’s investment in the private company NSE ($12.8 million), partially offset by decreases in market prices of the company’s investments in the public companies IIFL Wealth ($9.5 million), IIFL Securities ($5.2 million) and a decrease in the fair value of the company’s investment in private company NCML ($14.7 million).
- On August 12, 2020 Fairchem Speciality completed the spin off of its wholly-owned subsidiary Fairchem Organics Limited (“Fairchem Organics”) in a non-cash transaction. Fairfax India recorded the cost of its investment in Fairchem Organics at its estimated fair value of $34.9 million (approximately 2.6 billion Indian rupees). Subsequent to the spin off of Fairchem Organics, the remaining business (primarily Privi Organics) was renamed Privi Speciality Chemicals Limited (“Privi Speciality”) and continued to trade on the BSE and NSE of India. The shares of Fairchem Organics are expected to be listed on the BSE and NSE of India in the fourth quarter of 2020, subject to applicable regulatory conditions.
- At September 30, 2020 common shareholders’ equity was $2,346.8 million, or book value per share of $15.63, compared to $2,577.9 million, or book value per share of $16.89, at December 31, 2019, a decrease of 7.5%, primarily related to a net loss during the first nine months of 2020 and unrealized foreign currency translation losses as a result of the weakening of the Indian rupee relative to the U.S. dollar.
During this period of uncertainty, Fairfax India remains in strong financial health, with undeployed cash and marketable securities of approximately $185 million.
The company is continuing to buyback shares under its normal course issuer bid and during the first nine months of 2020 purchased for cancellation 2,492,546 subordinate voting shares at a net cost of $22.5 million ($9.04 per subordinate voting share).
There were 150.4 million and 152.6 million weighted average common shares outstanding during the third quarters of 2020 and 2019 respectively. At September 30, 2020 there were 120,138,935 subordinate voting shares and 30,000,000 multiple voting shares outstanding.
Fairfax India’s detailed third quarter report can be accessed at its website www.fairfaxindia.ca.
In presenting the company’s results in this news release, management has included book value per basic share. Book value per basic share is calculated by the company as common shareholders’ equity divided by the number of common shares outstanding.
Fairfax India Holdings Corporation is an investment holding company whose objective is to achieve long term capital appreciation, while preserving capital, by investing in public and private equity securities and debt instruments in India and Indian businesses or other businesses with customers, suppliers or business primarily conducted in, or dependent on, India.
For further information, contact:
John Varnell, Vice President, Corporate Affairs
This press release may contain forward-looking statements within the meaning of applicable securities legislation. Forward-looking statements may relate to the company’s or an Indian Investment’s future outlook and anticipated events or results and may include statements regarding the financial position, business strategy, growth strategy, budgets, operations, financial results, taxes, dividends, plans and objectives of the company. Particularly, statements regarding future results, performance, achievements, prospects or opportunities of the company, an Indian Investment, or the Indian market are forward-looking statements. In some cases, forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate” or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might”, “will” or “will be taken”, “occur” or “be achieved”.
Forward-looking statements are based on our opinions and estimates as of the date of this press release, and they are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements, including but not limited to the following factors: taxation of the company, its shareholders and subsidiaries; risk of substantial loss of capital; geographic concentration of investments; risks associated with the global pandemic caused by COVID-19, and the related global reduction in commerce and substantial downturns in stock markets worldwide; financial market fluctuations; control or significant influence position risk; minority investments; risks upon dispositions of investments; bridge financings; reliance on key personnel and risks associated with the Investment Advisory Agreement; effect of fees; operating and financial risks of investments; valuation methodologies involve subjective judgments; lawsuits; foreign currency fluctuation; unknown merits and risks of future investments; illiquidity of investments; competitive market for investment opportunities; use of leverage; significant ownership by Fairfax may adversely affect the market price of the subordinate voting shares; trading price of subordinate voting shares relative to book value per share; emerging markets; volatility of the Indian securities markets; political, economic, social and other factors; natural disaster risks; sovereign debt risk; economic risk; weather risk, oil price risk and adverse consequences to the company’s business, investments and personnel resulting from or related to the COVID-19 pandemic. Additional risks and uncertainties are described in the company’s annual information form dated March 6, 2020 which is available on SEDAR at www.sedar.com and on the company’s website at www.fairfaxindia.ca. These factors and assumptions are not intended to represent a complete list of the factors and assumptions that could affect the company. These factors and assumptions, however, should be considered carefully.
Although the company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The company does not undertake to update any forward-looking statements contained herein, except as required by applicable securities laws.
Author: Fairfax India Holdings Corporation
News Brief: Final Electoral Map, Hidden Coronavirus Data, Stock Market
NPR’s final electoral map still shows plenty of uncertainty. Federal agencies are not sharing key hospitalization data with the public. And, Wall Street weighs in on the election and the stock market.
Author: October 30, 20205:02 AM ET
Heard on Morning Edition