Two Ways To Play: Coke's Fizzy Earnings
Strengthen your portfolio in good times and bad.
It's a KO!
According to Bloomberg, shares of Coca-Cola (KO) are higher this morning after third-quarter profits exceeded analyst estimates. The world's largest soft drink maker reported earnings of $0.83 per share -- $0.06 cents better than expectations -- while revenues rose 9.1% year-over-year to $8.39 billion.
Sales were higher overseas, as the company anticipated a cutback in spending by US consumers. The stock dropped yesterday after PepsiCo (PEP) fell shy of expectations, but shares are making back the losses this morning, trading up 6% in the pre-market. See Toddo's Random Thoughts for more color.
From the Bull Pen: Todd warned that the consumer staples could get hit and they did. But these stocks are still likely to outperform the broader markets headed into the end of the year. General Mills (GIS) may be the better upside choice; sell stops can be set in the $62-64 range.
From the Bear Cave: Bears can consider Lowe's (LOW) for a downside play if the stock can rally to near the $22-23 level. If and when.
Quick Check Around the World
Asian trading closed with the Hang Seng -4.96%, Nikbei 1.06%, Sensex -5.86%, Taiwan -0.86%, Shanghai -1.12% and ASX 200 -0.81%.
Glancing towards Europe, we see the CAC -3.50%, DAX -3.30%, FTSE -3.83%
As of 8:30 a.m. EST, S&P Futures are trading -26 to 976, and Nasdaq futures are -24 to 1341.
A Look At Commodities
Commodities are higher. Crude oil is -3.25 to 75.36. Gold is +0.50 to 839.80. Silver is -0.305 to 10.745, and copper is +8.15 to 240.95.
The dollar index is +0.109 to 81.472.
On the Radar
September PPI m/m -0.4% vs. -0.4% consensus, prior -0.9%
September PPI y/y +8.7% vs +8.6% consensus, prior +9.6%
September Retail Sales -1.2% vs -0.7% consensus; prior revised to -0.4% from -0.3%
September core PPI m/m 0.4% vs. 0.2% consensus, prior 0.2%
September Core PPI y/y +4.0% vs +3.8% consensus, prior +3.6%
September Retail Sales Ex-Autos -0.6% vs -0.2% consensus; prior revised to -0.9% from -0.7%
October Empire Manufacturing -24.6 vs -10.0 consensus, prior -7.4
Good luck today!
What are the pro traders saying about your stocks?
Minyanville's Buzz & Banter - 14 day FREE trial
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Daily Recap Newsletter