-=Stamps.com (STMP) to be acquired by Thoma Bravo for $6.6 bln in cash

• Founded in 1996, Stamps.com provides Internet mailing and shipping solutions. The El Segundo, California company is an approved licensed vendor for the U.S. Postal Service. Customers, which include consumers, small businesses, and large enterprises, can print U.S. Postal Service postage for both domestic and international shipping. Individual users pay $17.99 a month and can ship items from anywhere as long as they have a ZIP Code.  

   

The sale to Thoma Bravo includes a 40-day go-shop, which expires on Aug. 18. This provision allows Stamps.com’s board and its advisors to actively seek out and consider alternative takeover offers from third parties. Go-shops, however, rarely result in a higher bid mainly because the parties lack time to conduct due diligence. 

The acquisition is the latest for Thoma Bravo, a software investor that is no stranger to big deals. In April, Thoma inked a $12.3 billion purchase of cybersecurity firm Proofpoint. The PE firm also completed that month its $10.2 billion acquisition of RealPage, a real estate software firm. In 2020, Thoma Bravo provided one of the biggest exits, when it sold Ellie Mae to the Intercontinental Exchange for $11 billion. The firm made four times its money on a holding of less than two years, Barron’s reported.

Stamps.com to be acquired by Thoma Bravo for $6.6 bln in cash, STMP shareholders to receive $330/share

• Under the terms of the agreement, Stamps.com stockholders will receive $330.00 per share in cash representing a premium of 67 percent over the Company's closing share price on July 8, 2021, the last full trading day prior to the transaction announcement. The premium is 71 percent over the Company's three-month volume-weighted average closing share price through July 8, 2021.
• Upon completion of the transaction, Stamps.com will become a private company with the flexibility and resources to continue to provide best-in-class global e-commerce technology solutions. Additionally, Stamps.com will benefit from the operating capabilities, capital support and deep sector expertise of Thoma Bravo -- one of the most experienced and successful software and technology investors in the world.
• The agreement includes a 40-day "go-shop" period expiring August 18, 2021 which allows the Board and its advisors to actively initiate, solicit and consider alternative acquisition proposals from third parties. The Board will have the right to terminate the merger agreement to enter into a superior proposal subject to the terms and conditions of the merger agreement. There can be no assurance that this "go-shop" will result in a superior proposal, and Stamps.com does not intend to disclose developments with respect to the solicitation process unless and until it determines such disclosure is appropriate or otherwise required.
• The transaction is expected to close in the third quarter of 2021, subject to customary closing conditions, including approval by Stamps.com stockholders and receipt of regulatory approvals. Upon closing of the transaction, the Company's common stock will no longer be listed on any public market. The Company will continue to be headquartered in El Segundo, California.

-=Stamps.com (STMP) reported earnings on Wed 19 Feb 20 (a/h)

• The company said it earned $2.12 a share in the fourth quarter, while Wall Street expected $1.03, and forecast $4.50 a share in 2020, above the Street’s $3.24.

Stamps.com beats by $1.14, beats on revs; guides FY20 EPS above consensus, revs above consensus

Reports Q4 (Dec) earnings of $2.12 per share, excluding non-recurring items, $1.14 better than the S&P Capital IQ Consensus of $0.98; revenues fell 5.5% year/year to $160.9 mln vs the $140.31 mln S&P Capital IQ Consensus.

"In 2019, we continued to make significant strides towards our goal of being the leading worldwide multi-carrier e-commerce software company. We continued to invest in our products and partnerships throughout 2019 to address the significant opportunities in the U.S. and internationally. We are very excited about our business prospects in 2020 and beyond," said Ken McBride, Stamps.com's Chairman and CEO.

Co issues upside guidance for FY20, sees EPS of ~$4.00-5.00, excluding non-recurring items, vs. $3.31 S&P Capital IQ Consensus; sees FY20 revs of $570-600 mln vs. $521.28 mln S&P Capital IQ Consensus. Expects non-GAAP adjusted EBITDA to be in a range of approximately $135 million to $155 million.

Earnings this week : Feb 17 - 21, 20 (wk 8)

Monday (Feb 17)

• Holiday: Presidents' Day (US stock, bond, and options markets and the Federal Reserve Bank will be closed on Monday, February 17, 2020. Futures markets will close at 1pm ET.

Tuesday (Feb 18)

• Morning: AAP AEIS ALLE ATH BLMN CEVA CHH CEQP ECL EXPD FLR FELE GSX INMD JELD LDOS MDT SFL SITE TSEM TRU USAC VG VMC WAB WMT WLK
• Afternoon: A AMED ACC TXG ACC AWK ATRC BKD CHE CXO DVN FANG WIRE ENPH EVBG EXR GRPN HCKT HVT HQY HSTM HLF IOSP INVH KAR KRG KNL LZB LC DOOR NP NTR PLMR QTS ROIC RPAI SGMS SCPL SSTI SOI SHO TX TIVO TRTX TPH WRSK WNO

Wednesday (Feb 19)

• Morning: ADI ATHM BHC BCOR APRN FUN DISH ELAN ENBL ETR FVRR FDP GRMN GEL THRM GPC GLDD HEP IART NHI DNOW OC STNG SSW SAH SMP VPG WING
• Afternoon: AGI ALB Y ALSN CRMT AROC CAR AXTI SAM BCOV CAKE XEC CDE CYH CONE ESRT EIG ET FARO FIVN LOPE GDOT HCR HNI HST H IAG ICLR IMAX INOV IVR NVTA JACK JBT KALU KBR KL LSI MX MANT MASI MOS MSA LASR NE NDSN OIS OGS OSUR OR OVV PAAS PE PRDO PXD QTWO O RETA RBBN RPT SNBR SM SED SPTN STMP SUI SUN SNPS TVTY TSLX TRN UCTT UFPI VMI HCC WMB ZG

Thursday (Feb 20)

• Morning: AAN AKS AEP ARD AAWW BRC CAMT CBZ CLF COMM CSTM COT DNR DPZ EPAM FOCS GIL HEES HSIC HFC HRL HPP IDA ITGR I IDCC LAMR LXP LKQ MD MFA NEM NCLH OPI PCRX PQG RCM RS RGEN SHLX SIX SO STFC SCL STOR SYNH TFX TNC TEN TXMD VTR VIAC VC WIX
• Afternoon: ADSW LNT COLD APPN ATR BAND BJRI BYD BVN BLDR COG CAI CATM CASA CWST CENX ED CNDT CORT CVA CUBE DRH BOOM DBX DCO EHTH EBS ENV EVRG FSLY FSLR FND GLPI GMED HTGC HBM LTHM MMI NBR NCMI NGHC NUVA OEC PEB PPC PRAH PRA PBYI RMAX RWT ROG SBAC SWM SEM SFM SSRM TXRH TMST TRUE OLED VAL VICI WK ZIXI ZS

Friday (Feb 21) 

• Morning: BCPC B CNK CFX DE ERF HSC HMSY ITT MGA PNW RY TECK WPC

Notable earnings reports:
Walmart (WMT), Agilent (NYSE:A), Herbalife (NYSE:HLF), Groupon (NASDAQ:GRPN) and Scientific Games (NASDAQ:SGMS) on February 18; IMAX (NYSE:IMAX), Blue Apron (NYSE:APRN), Wingstop (NASDAQ:WING), Albermarle (NYSE:ALB), Hyatt Hotels (NYSE:H), Sunoco (NYSE:SUN), Dish Network (NASDAQ:DISH) and Zillow (NASDAQ:ZG) on February 19; Norwegian Cruise Line Holdings (NYSE:NCLH), (NASDAQ:VIAC), Domino's Pizza (NYSE:DPZ), Universal Display (NASDAQ:OLED) and Dropbox (NASDAQ:DBX) on February 20; Diana Shipping (NYSE:DSX), Royal Bank of Canada (NYSE:RY) and Deere (NYSE:DE) on February 21.

This week's biggest % winners & losers : Oct 21 - 25, 19 (wk 43)

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: BIIB (288.04 +30.89%), RIGL (2.1 +28.44%), ANIK (73.36 +26.77%), DVAX (5.01 +22.79%), LXRX (3.87 +20.94%)
• Industrials: UFPI (50.26 +21.55%)
• Consumer Discretionary: PETS (25.81 +32.77%), TSLA (328.13 +27.7%), BJRI (43.35 +23.93%), PDD (40.84 +22.35%), STMP (92.01 +21.75%)
• Information Technology: TWTR(30.30  -22.29%) CISN (10.09 +20.26%), FSCT (30.59 +20.2%)
• Financials: ONDK (4.46 +25.99%)
• Energy: QEP (3.65 +34.69%), TK (5.53 +29.21%), CHK (1.56 +20.93%)

This week's top % losers

• Healthcare: OPK (1.44 -31.26%), TXMD (2.84 -22.51%), VCRA (19.12 -20.96%), MGNX (8.71 -20.82%)
• Industrials: REZI (9.36 -36.37%), GVA (26.25 -25.64%), TNET (50.31 -16.5%)
• Consumer Discretionary: SERV (42.2 -23.94%), HAS (96.01 -21.28%), SIX (43.16 -16%)
• Information Technology: NOK (3.78 -27.31%), CTS (27.89 -16.99%), NTGR (26.55 -16.59%), MXL (18.73 -16.31%)
• Utilities: PCG (5.00 -35.57%)

Stamps.com (STMP) and UPS to collaborate on shipping solutions to E-commerce sellers

Stamps.com and UPS to collaborate on shipping solutions to E-commerce sellers; UPS also announces multiple tech-enabled services, new customers and partners

UPS unveiled a new collaboration with Stamps.com to provide their customer base of more than 740,000 access to specially discounted UPS shipping rates. Stamps.com customers will have seamless UPS connectivity for e-commerce fully integrated within their familiar Stamps.com platforms. Stamps.com offers a portfolio of Internet shipping software solutions under the brand names ShipStation, ShippingEasy, ShipWorks, Stamps.com and Endicia. These solutions help small and medium-sized e-commerce businesses run their shipping operations more smoothly and successfully. This new collaboration with UPS will make UPS shipping services available to Stamps.com's customers at attractive discounts of up to 55 percent off daily rates, including various waived surcharges.

UPS also announced the expansion of its drone delivery service and announces plan to create drone delivery solutions with AmerisourceBergen (ABC), CVS Health (CVS) and Kaiser Permanente. UPS also announced today that customers in Germany, France, and the Netherlands will soon gain access to UPS Economy. This service offers businesses an economical and efficient shipping option to reach customers in countries outside the European Union.

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Stamps.com (STMP) reported earnings on Thur 21 Feb 2019 (a/h)

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Stamps.com beats by $0.83, beats on revs; guides FY19 EPS below consensus, revs below consensus

• Reports Q4 (Dec) earnings of $3.73 per share, excluding non-recurring items, $0.83 better than the S&P Capital IQ Consensus of $2.90; revenues rose 28.5% year/year to $170.23 mln vs the $160.0 mln S&P Capital IQ Consensus.
• Co issues downside guidance for FY19, sees EPS of $5.15-6.15, excluding non-recurring items, vs. $10.79 S&P Capital IQ Consensus; sees FY19 revs of $540-570 mln vs. $689.1 mln S&P Capital IQ Consensus.

Stamps.com: Earnings Preview

Stamps.com (STMP), a provider of Internet-based postage services, is set to report Q4 results today after the close (last quarter they released at 16:30 ET, or 30 minutes after the close) with a conference call to follow at 5pm ET.

• The CapitalIQ consensus estimate for Q4 non-GAAP EPS is $2.90. The revenue consensus estimate is $160 mln. STMP typically also guides for full year EPS and revenue in the press release.
• While the company's historical focus has been selling to individuals and small businesses, in recent years, STMP has focused intently on the more lucrative high-volume shippers (warehouses, fulfillment houses, and large volume retailers) and enterprise markets, which are more attractive in terms of margins, ARPU, and churn rates. To achieve this, STMP has been active on the M&A front. STMP now has five brands: Endicia, ShipStation, ShipWorks, ShippingEasy, Stamps.com and MetaPack. STMP's continued evolution and any possible M&A deals on the horizon will be important to listen for on the call.
• In terms of key operating metrics, investors look for growth in Mailing and Shipping revenue. Also, ARPU and churn levels are closely watched. Total paid customers is another key metric. However, keep in mind that growth has slowed here. However, this is consistent with STMP's strategic shift to focus more on high volume shippers, which are numerically fewer in number, but where each customer has a much higher lifetime value. With this shift in focus, revenue has been more driven by growth in ARPU than by paid customers. Shipping customers generally pay higher subscription fees than small business mailers.
• The thing with STMP is that it typically blows out consensus EPS and revenue analyst estimates. In the last 12 quarters, its smallest EPS beat was $0.36. The revenue upside tends to be more modest but STMP consistently beats. We are unsure as to why analysts keep their estimates so low with STMP. You would think analysts had learned that STMP consistently blows out their EPS estimates.
• With that said, despite the big beats, the stock performance has been more choppy. The stock price went from $280 in early August to a low of $141.38 in December. It has since bounced nicely since then with the overall market.
• However, investors should understand that this stock can be volatile around earnings. It may pop on the big upside and hold that, but sometimes the stock may trade lower in a day or two. Or it can even trade lower on a beat. Our sense is that investors have gotten used to the big beats from STMP, so they may not get the sustained pop that another company might get.

Earnings this week : Feb. 18 - 22, 2019 (wk 8)

Earnings confirmed to report this week:

Monday (Feb 18) 

• (Holiday) U.S. Market Closed

Tuesday (Feb 19)

• Morning: AAP ALLE WTR AAWW CLR CTB CEQP ECL FELE FDP GDI GPC HLX HIMX HEP HOLI JELD LDOS DOOR MDT NEO NBL SAGE SCI SITE TTS TSEM RIG USAC WMT
• Afternoon: ACC AWK CDNS CRMT CXW DVN  FIVN HLF HST HSTM HVT INST KAR KRG LC LMAT LNTH LZB NTB NVTA RARE SSTI TILE TVTY TXRH VRSK WIRE

Wednesday (Feb 20)

• Morning: ADI AROC BHC BDC CNDT CVS ETR FMS GCI GRMN GEL GVA HSIC HFC IPHS I LAMR NI OMI OC QUAD SAH SO TRGP VNTR VPG WIX WWW
• Afternoon: A ALB ATR AXTI CAI CAKE CAR  CBLK CDE CECO CHE CLI CONE CUTR CYH FLS FTI GDDY GDOT GHDX IAG ICLR INOV IVR JACK KALU LASR LOPE MANT MMI NDSN NE NTES NUVA O OR PAAS PEGA PI QEP RGR ROG RPT SAM SEDG TMST TRN TSLX TYL UFPI VIPS VMI WK WPG WPX WRI XEC Y

Thursday (Feb 21)

• Morning:  BRC DIN DLPH DPZ FND GIL GOGO HL HRL ITGR NCLH NEM PLAB PWR RGEN ROCK RS SFM SGMs STOR TFX VG WEN
• Afternoon:  AAOI ACIA ADSW AL AMH ANIK APPN ATUS BEAT BIDU BJRI BMRN BOOM BYD CASA CATM CBPX CENX CHSP COLD CUBE CWST CZR DBX DXCM EBS ECOL ED EGO  ENV EVRG EXAS FIX FLR FSLR GMED HALO HCC HPE HTGC INFN INT INTU IQ KEYS KHC LNT LPSN MATX MDRX NCMI NVRO OLED PAGS PBA PE PRA RMAX ROKU SBAC SEM SSRM STMP SWM TGH TTD TXMD UCTT VERI VLRS XOG

Friday (Feb 22)

• Morning: AN ASIX B CNK COG COT ERF ETM HMSY ITT MGA MNTA PNW RCM RUTH RY TDS TVPT USM W WPC

Stamps.com (STMP) reported earnings on Wed 2 Aug 2017 (a/h)

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EL SEGUNDO, Calif. (AP) _ Stamps.com Inc. (STMP) on Wednesday reported second-quarter net income of $31 million.

The El Segundo, California-based company said it had profit of $1.71 per share. Earnings, adjusted for one-time gains and costs, were $2.08 per share.

The results exceeded Wall Street expectations. The average estimate of four analysts surveyed by Zacks Investment Research was for earnings of $1.65 per share.

The online postage provider posted revenue of $116.1 million in the period, also beating Street forecasts. Four analysts surveyed by Zacks expected $99.2 million.

Stamps.com expects full-year earnings in the range of $7.50 to $8.50 per share, with revenue in the range of $435 million to $460 million.

Stamps.com shares have increased 32 percent since the beginning of the year. In the final minutes of trading on Wednesday, shares hit $151.30, a climb of 96 percent in the last 12 months.

Stamps.com (STMP) reported earnings on Thur 3 Nov 2016 (a/h)

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Stamps.com beats by $0.75, beats on revs :

• Reports Q3 (Sep) earnings of $2.33 per share, excluding non-recurring items, $0.75 better than the Capital IQ Consensus of $1.58; rev % to $92.6 mln vss. $79 mln consensus.