This week's biggest % winners & losers : Oct 7 - 11, 19 (wk 41)

The following are this week's top percentage gainers and losers, categorized by sectors (over $300 mln market cap and 100K average daily volume).

This week's top % gainers

• Healthcare: RARX (46.54 +92.55%), AKCA (19.75 +30.54%), RETA (95.81 +19.4%)
• Industrials: SALT (7.28 +16.11%), FAST (36.34 +14.35%)
• Consumer Discretionary: BBBY (12.98 +28.59%), AOBC (6.89 +19.62%), ADNT (23.01 +17.34%), PRTY (6.77 +14.55%), ROKU (121.6 +13.89%)
• Financials: LYG (2.93 +14.9%), RBS (5.54 +13.99%)
• Energy: TK (4.84 +30.81%), MDR (2.04 +25.15%), EURN (11.33 +13.87%)
• Consumer Staples: RAD (9.13 +20.29%)

This week's top % losers

• Healthcare: PBYI (7.13 -28.77%), DBVT (6.75 -24.24%), AUPH (4.11 -20.14%), TBIO (8.11 -17.5%), ACB (3.68 -16.36%), QGEN (27.08 -16.29%), FIXX (13.85 -15.45%), CGC (19.43 -15.23%)
• Materials: KRA (21.47 -32.89%)
• Industrials: JELD (16.11 -16.01%)
• Information Technology: FSCT (25.44 -36.19%), ADTN (9.04 -21.32%)
• Financials: JRVR (37.92 -24.94%)
• Utilities: PCG (8.02 -26.22%)

Fastenal (FAST) reported earnings on Fri 11 Oct 19 (b/o)

** charts after earnings **

 

Fastenal beats by $0.01, reports revs in-line 
Fastenal increases quarterly dividend to $0.22/share from $0.215/share

Forward Dividend & Yield

0.88 (2.84%)

Reports Q3 (Sep) earnings of $0.37 per share, $0.01 better than the S&P Capital IQ Consensus of $0.36; revenues rose 7.8% year/year to $1.38 bln vs the $1.38 bln S&P Capital IQ Consensus.

"We continue to expect our net capital expenditures in 2019 to be within a range of $195.0 to $225.0, an increase from $166.8 in 2018. This increase is a result of higher spending for property and equipment to expand our hub capacity, vending devices, and hub vehicles. The progress of our investments in hub capacity will likely be the primary determinant of where we fall within our range."

Earnings this week : Oct 7 - 11, 19 (wk 41)

Monday (October 7)

• None

Tuesday (Oct 8)

• Morning: AZZ DPZ HELE
• Afternoon: LEVI

Wednesday (Oct 9)

• None

Thursday (Oct 10)

• Morning: DAL

Friday (Oct 11) 

• Morning: FAST INFY

Fastenal (FAST) reported earnings on Thur 11 July 19 (b/o)

• Fastenal (FAST) as a distributor—and as one of the first industrial companies to report numbers this earnings season—its numbers will hold a lot of clues for investors regarding the health of the industrial economy

** charts before earnings **

 

** charts after earnings **

Fastenal increases quarterly dividend to $0.22/share from $0.215/share (split adjusted)
Fastenal misses by $0.01, reports revs in-line

• Reports Q2 (Jun) earnings of $0.36 per share, $0.01 worse than the S&P Capital IQ Consensus of $0.37; revenues rose 7.9% year/year to $1.37 bln vs the $1.38 bln S&P Capital IQ Consensus.
• "Our gross profit, as a percentage of net sales, declined 180 basis points to 46.9% in the second quarter of 2019 from 48.7% in the second quarter of 2018. The most significant factors behind the decline in our gross profit percentage in the period were the impacts of customer and product mix and net inflation on product margins, the latter of which had a larger negative impact on our margin than in the first quarter of 2019. While we successfully raised prices as one element of our strategy to offset tariffs placed to date on products sourced from China, those increases were not sufficient to also counter general inflation in the marketplace. We have taken additional actions in the third quarter of 2019 to counter the broader pressures we are experiencing on our costs as well as the additional tariffs that were levied on China-sourced products in May 2019."

Earnings this week : July 8 - 12, 19 (wk 28)

Just a few stragglers are due in before the launch of Q2 earnings season the week of July 15.
We are in the calm before the storm as second quarter earnings season picks up next week.
Big banks JPM, WFC and GS in addition to JNJ report on July 16, next Tuesday morning.

Monday (July 8)

• Morning: AZZ

Tuesday (July 9)

• Morning:  LNN PEP
• Afternoon: HELE KSHB WDFC

Wednesday (July 10)

• Morning: ANGO MSM
• Afternoon: AIR BBBY PSMT YRD

Thursday (July 11)

• Morning: DAL FAST

Friday (July 12) 

• Morning: INFY

Notable earnings reports: 

• PepsiCo (NASDAQ:PEP) and Levi Strauss (LEV) on July 9; 
• Bed Bath & Beyond (NASDAQ:BBBY) and AAR Corp. (NYSE:AIR) on July 10; 
• Delta Air Lines (NYSE:DAL) and Fastenal (NASDAQ:FAST) on July 11 and 
• Infosys (NYSE:INFY) on July 12.

Fastenal (FAST) reported earnings on Wed 10 Oct 2018 (b/o)

The Winona, Minnesota-based maker of industrial and construction fasteners is first to report in the S&P 500?

** charts after earnings **

 

Fastenal beats by $0.02, reports revs in-line 

• Reports Q3 (Sep) earnings of $0.69 per share, excluding non-recurring items, $0.02 better than the S&P Capital IQ Consensus of $0.67; revenues rose 13.0% year/year to $1.28 bln vs the $1.27 bln S&P Capital IQ Consensus.  "We believe the combined effects of discrete tax items and the lower tax rate resulting from the impact of the Tax Act benefited our basic and diluted earnings per share by $0.12 in the third quarter of 2018."
• "We signed 5,877 industrial vending devices during the third quarter of 2018, an increase of 23.2% compared to the third quarter of 2017, and signed 17,093 industrial vending devices during the first nine months of 2018, an increase of 13.3% compared to the first nine months of 2017."

Earnings this week : Oct 8 - 12, 18 (wk 41)

Earnings confirmed to report this week

Tuesday (Oct 9)

• Morning: AZZ, HELE

Wednesday (Oct 10)

• Morning: FAST

Thursday (Oct 11)

• Morning: CBSH DAL  DAVA  WBA

Friday (Oct 12)

• Morning: C JPM  PNC WFC FRC

Fastenal (FAST) reported earnings on Wed 11 July 2018 (b/o)

• First S&P500 company to report this earning season

** charts before earnings **

 

** charts after earnings **

 

Fastenal beats by $0.08, reports revs in-line

• Reports Q2 (Jun) earnings of $0.74 per share, $0.08 better than the Capital IQ Consensus of $0.66; revenues rose 13.1% year/year to $1.27 bln vs the $1.26 bln Capital IQ Consensus.
  • This increase in revenues was driven by higher unit sales related primarily to continued strength in underlying market demand and contribution from the co's growth drivers, most notably industrial vending and Onsite locations.
• "Our gross profit, as a percentage of net sales, declined 110 basis points to 48.7% in the second quarter of 2018 from 49.8% in the second quarter of 2017. We instituted a modest price increase in the second quarter of 2017 ahead of inflationary pressures that we were seeing in our supply chain, which produced an unseasonably strong gross profit margin in the three-month period. As inflation in the marketplace began to move through our income statement, it began to reduce the gross profit margin benefit we saw in the second quarter of 2017. Additional components that adversely affected our gross profit percentage during the second quarter of 2018 included higher freight expenses and changes in product and customer mix. Relative to the first quarter of 2018, our second quarter of 2018 gross profit percentage was flat. Challenges from product inflation and mix were offset by improvements in our freight management and leverage related to growth."

FAST — is it a buy?

• April 27:  Is FAST a buy? 

• 10 weeks later

Fastenal (FAST) reported earnings on Tue 11 Oct 2016 (b/o)

** charts after earnings **

Fastenal misses by $0.01, reports revs in-line  :

• Reports Q3 (Sep) earnings of $0.44 per share, $0.01 worse than the Capital IQ Consensus of $0.45; revenues rose 1.8% year/year to $1.01 bln vs the $1.01 bln Capital IQ Consensus. July sales +2.1%, August +0.3%, Sept +2.8%.

***********

3 days later:

 

Fastenal (FAST) reported earnings on Tue 12 July 2016 (b/o)

** charts before earnings **

** charts after earnings **

Fastenal misses by $0.02, reports revs in-line :

• Reports Q2 (Jun) earnings of $0.46 per share, $0.02 worse than the Capital IQ Consensus of $0.48; revenues rose 1.7% year/year to $1.01 bln vs the $1.02 bln Capital IQ Consensus. 
• "While our customers value the capabilities we bring to the table, in the last eight quarters this group of customers has seen a contraction in its production and therefore its need for fasteners. During this time frame, our fastener product line has seen its daily growth decrease from about 10% growth in the last six months of 2014 to about 6% contraction in the fourth quarter of 2015 and about 2% contraction in the first half of 2016. Our market share gains continue to be strong, but the contraction in purchases from our existing customers, plus some price deflation, has eliminated our growth and led to contraction."