Welcome to John Ransom’s Stocks in the News where the headlines meet the trendlines:
Stock number one: lululemon athletica inc
Lululemon shares dogged downward by another warning- Yahoo Finance
Lululemon (LULU) getting bootstomped this morning after the company guided estimates lower for the fourth quarter. It’s hard to call the news a shock given the recent trends in the business except for the fact that it blamed the miss on traffic and sales in January. How one of the slowest months of the year could be so bad as to justify a warning less than two weeks into the new year is a mystery.
Forward PE: 22; Trailing PE 27;
Estimate Trend: Down
Ransom Note Trendline: Sell Lululemon
Stock number two: Ericsson
Peace initiative launched in Mexico with Forest Whitaker, Ericsson, UNESCO, - Thompson-Reuters
Blah, blah, blah, UN, blah, blah, blah, peace…..
Forward PE: 14 Trailing PE: NA
Estimate Trend: Flat
Ransom Note Trendline: Hold Ericsson
Stock number three: The Wendy's Company
Why Wendy's (WEN) Is Up Today —The Street.com
Wendy's Co.(WEN_) was rising 7.6% to $9.09 Monday morning after the fast-food chain offered investors its 2014 earnings forecast that beat analysts' expectations. The Dublin, Ohio-based company projected full-year adjusted earnings of 34 to 36 cents per share, well above the average analyst projection of 29 cents per share. Wendy's also announced that it expects company-owned same-restaurant sales to increase by 2.5% to 3.5% for the full year.
Forward PE: 31; Trailing PE: 95
Estimate Trend: UP
Ransom Note Trendline: Avoid Wendy’s
In Other News: Verizon Releases Statement on FCC’s “1930’s Era Regulations” in Morse Code | Michael Schaus