July News is in so far. On 7/6/10 I purchased EOS, FSC and PFE $8.00 each company. On 7/13/10 I purchased ED, IBM, BPT at $8.00 each. My june statement has arrived. Equities and stock for June $351.11 value at may end was $261.44. Dividends for the month Jumped to $2.25 from .79 cents the period before.
My top three holdings for June were GE 1.594 Shares $22.99, 2nd IGD 1.9271 shares $20.06, and #3 is AOD 3.7947 shares $18.78. Top 3 dividends in June were AOD .44 cents , FRO .25 cents, DO Special Dividend .13 cents Regular Dividend .01 cent. Total of 12 buys for June. Total 33 dividends collected in June.
Well thatis it for now cheers all.
Showing posts with label Consumer-Goods. Show all posts
Showing posts with label Consumer-Goods. Show all posts
Sunday, July 18, 2010
Sunday, June 20, 2010
Wowzers Were did da time go.............
I stumbled across my password the other day finally can do some updated. The wife had a heart attack I had to sell all that had at folio investing and recover the family. I now have a roth ira through sharebuilder.com Get ya own Account here. I am still using the same investing style as before. I put in 50.00 every payday and invest $5.00 for each day that I work (Kinda like a reward for having to go to work and deal with all the drama everyday that goes with work). With that being said my first deposit was on 4-16-2010. My account today stands at $346.21. I am a subscriber to the plan so I pay a flat $12.00 per month for 12 trades per month. I am long 52 different holdings in what I think is a pretty diversified portfolio. My current Holdings ranked by the amount held in the account 1 being my biggest holding and 52 being my smallest.
My current holdings include the following, AOD, IGD, MRK, WMT, TNH, FRO, DO, GE, XOM, INTC, PHK, EOS, PTY, DPD, IID, PHT, GDX, NLY, BMY, CTL, VNQ, CFP, CAH, KMB, O, PEP, SYY, CAT, PG, TPZ, ESD, LQD, EOI, ABT, PGX, JNK, PFF, VWO, GGN, MMM, IGI, BDX, XLF, BAX, FSC, SPY, PFE, ED, KMP, BPT, IBM, AND BP.Those are all my holdings that i plan to stick with for now and the ones I talk about on my blog. In my challenge to beat the company sponsored 401k.
I try to invest with a huge focus on dividends and reinvesting of the dividends you can not beat having your money working for you. Most of the time if a holding cuts its dividend I will sell it the next chance I get (however different in the case of bp). As this stock i am not sure what to do with so I will just hold it for the time being.
Dividends Paid this month include, INTC, PFE, WMT, DO on 6-1-2010, LQD, PFF on 6-7-2010, JNK on 6-9-2010, IBM on 6-9-2010, XOM, MMM on 6-14-2010, ED, IGD, IID, and O on 6-15-2010 and CTL on 6-21-2010. All dividends are automatically reinvested back into the same stock they come from.
I purchased DO, IGI, FRO, GDX and PHT on the 6-01-2010 value $5.00 each. On 6-8-210 I purchased AOD 2.05 shares for $13.00 and 1.1321 shares of IGD for $12.00. On 6-15-210 I purchased 0.3422 shares of MRK for $12.00 and 0.2525 shares of WMT for $13.00. And next week I plan to purchase on Tuesday $12.00 worth of IBM and $13.00 worth of ED.
It seems like it is taken for ever to get this going all over again, but I know Rome wasn't built in a day. So I be using this blog to share my thoughts and current investments. Feel free to follow along with me as I try to once again build a nest egg of money working for me.
My current holdings include the following, AOD, IGD, MRK, WMT, TNH, FRO, DO, GE, XOM, INTC, PHK, EOS, PTY, DPD, IID, PHT, GDX, NLY, BMY, CTL, VNQ, CFP, CAH, KMB, O, PEP, SYY, CAT, PG, TPZ, ESD, LQD, EOI, ABT, PGX, JNK, PFF, VWO, GGN, MMM, IGI, BDX, XLF, BAX, FSC, SPY, PFE, ED, KMP, BPT, IBM, AND BP.Those are all my holdings that i plan to stick with for now and the ones I talk about on my blog. In my challenge to beat the company sponsored 401k.
I try to invest with a huge focus on dividends and reinvesting of the dividends you can not beat having your money working for you. Most of the time if a holding cuts its dividend I will sell it the next chance I get (however different in the case of bp). As this stock i am not sure what to do with so I will just hold it for the time being.
Dividends Paid this month include, INTC, PFE, WMT, DO on 6-1-2010, LQD, PFF on 6-7-2010, JNK on 6-9-2010, IBM on 6-9-2010, XOM, MMM on 6-14-2010, ED, IGD, IID, and O on 6-15-2010 and CTL on 6-21-2010. All dividends are automatically reinvested back into the same stock they come from.
I purchased DO, IGI, FRO, GDX and PHT on the 6-01-2010 value $5.00 each. On 6-8-210 I purchased AOD 2.05 shares for $13.00 and 1.1321 shares of IGD for $12.00. On 6-15-210 I purchased 0.3422 shares of MRK for $12.00 and 0.2525 shares of WMT for $13.00. And next week I plan to purchase on Tuesday $12.00 worth of IBM and $13.00 worth of ED.
It seems like it is taken for ever to get this going all over again, but I know Rome wasn't built in a day. So I be using this blog to share my thoughts and current investments. Feel free to follow along with me as I try to once again build a nest egg of money working for me.
Wednesday, June 16, 2010
Why Wal-Mart Is Still a Growth Company
Wal-Mart Stores Inc. (WMT) has perhaps the largest “army” in the world when it comes down to people in uniform. With 2.1 million employees, 700,000 of which are employed internationally, Wal-Mart no doubt represents a centerpiece of the global economy. However, this giant is still growing and to no surprise, quite successfully.
The discount retail business only allotted Wal-Mart a 3.5% profit margin for the fiscal year ended Jan 31, 2010; however, the company returned 21% to shareowners’ equity. This indicates that Wal-Mart effectively leverages its cost-efficient structure and distribution capability to achieve very high asset and inventory turnovers. In fact, management even measures its performance by Wal-Mart’s cost structure, as the most recent Form 10-K states,
We believe growing operating income at a faster rate than net sales growth is a meaningful measure because it indicates how effectively we manage costs and leverage operating expenses. Our objective is to grow operating expenses at a slower rate than net sales.
From 2001 to 2010, net sales increased an average of approximately 11% annually while operating income grew an average of 15% annually. From this metric alone, it seems that Wal-Mart’s management is meeting its operational goals.
Moreover, the Wal-Mart growth story has yet begun. Currently, Wal-Mart is harnessing growth by expanding its geographic reach through its Asda discount chain subsidiary in the United Kingdom. In addition, Wal-Mart continues to move into grocery retail. The company derives 51% of all net sales from grocery already, while continuing to convert more discount stores to supercenters in order to widen its grocery reach. Wal-Mart’s Neighborhood Market, which began in 1998, also already has 158 stores and only a few closures in the twelve year period.
Wal-Mart is one of the world’s most powerful and largest retailers. However, there is more room to grow as they only operate 434 stores in Brazil and 279 in China. Perhaps India, where Wal-Mart operates just one store, will be the next focus for even more expansive growth.
Disclosure I am long WMT shares.
The discount retail business only allotted Wal-Mart a 3.5% profit margin for the fiscal year ended Jan 31, 2010; however, the company returned 21% to shareowners’ equity. This indicates that Wal-Mart effectively leverages its cost-efficient structure and distribution capability to achieve very high asset and inventory turnovers. In fact, management even measures its performance by Wal-Mart’s cost structure, as the most recent Form 10-K states,
We believe growing operating income at a faster rate than net sales growth is a meaningful measure because it indicates how effectively we manage costs and leverage operating expenses. Our objective is to grow operating expenses at a slower rate than net sales.
From 2001 to 2010, net sales increased an average of approximately 11% annually while operating income grew an average of 15% annually. From this metric alone, it seems that Wal-Mart’s management is meeting its operational goals.
Moreover, the Wal-Mart growth story has yet begun. Currently, Wal-Mart is harnessing growth by expanding its geographic reach through its Asda discount chain subsidiary in the United Kingdom. In addition, Wal-Mart continues to move into grocery retail. The company derives 51% of all net sales from grocery already, while continuing to convert more discount stores to supercenters in order to widen its grocery reach. Wal-Mart’s Neighborhood Market, which began in 1998, also already has 158 stores and only a few closures in the twelve year period.
Wal-Mart is one of the world’s most powerful and largest retailers. However, there is more room to grow as they only operate 434 stores in Brazil and 279 in China. Perhaps India, where Wal-Mart operates just one store, will be the next focus for even more expansive growth.
Disclosure I am long WMT shares.
Saturday, September 26, 2009
McDonald's (MCD) Approves Increase in Quarterly Dividend
McDonald’s (MCD) is the leading global foodservice retailer with more than 32,000 local restaurants in more than 100 countries. Thursday, the company raised its quarterly dividend 10% to $0.55/share. The dividend is payable on December 15, 2009 to shareholders of record at the close of business on December 1, 2009.
MCD’s Chief Executive Officer Jim Skinner said, “So far in 2009 we’ve returned nearly $4.0 billion to shareholders through dividends and share repurchases, bringing total cash returned since the beginning of 2007 to about $15.5 billion. With today’s dividend increase, we expect to end the year near the high end of our three-year, $15 billion to $17 billion total cash return target.”
Disclosure I will be selling my holding in KFT and using the cash to purchase MCD shares market open Monday.
Tuesday, September 8, 2009
Kraft, IBM, Costco, AIG in focus TUESDAY MORNING'S TOP STORIES
U.S. stock futures made a strong advance on Tuesday, with Kraft Foods' unsolicited $16.7 billion bid for Cadbury and a Group of 20 pledge to continue stimulus spending providing a boost after the Labor Day break. See Indications.
Global markets
European shares rose for a fourth straight session, with miners getting a lift from stronger gold prices. Australian shares were among the winners in Asia, buoyed by a jump in business confidence to its highest level since October 2003.
Morgan Stanley changed its tech-sector view, upgrading systems and PC hardware to attractive from in-line, while downgrading software to in-line from attractive. Among several rating changes, the broker cut Dell (DELL 15.72, +0.03, +0.19%) , IBM(IBM 118.17, +0.71, +0.60%) and Texas Instruments(TXN 24.86, 0.00, 0.00%) to equal-weight from overweight.
Credit Suisse downgraded American International Group (AIG 38.36, -1.69, -4.22%) to underperform from neutral and slashed its price target to $15 from $30, saying there could be little value left for common equity holders after AIG has sold off its core businesses.
Costco Wholesale Corp. (COST 56.95, +1.48, +2.67%) was upgraded to overweight from equal weight by Morgan Stanley, which said food deflation and other headwinds that had been pressuring the company are dissipating.
Kraft Foods Inc.(KFT 26.41, -1.69, -6.01%) said on Monday that it's pursuing a takeover of Cadbury (CBY 52.59, +15.13, +40.39%) after the U.K. chocolate maker rejected a $16.7 billion bid. Kraft said a combination of the two companies would create a "global powerhouse" in snacks and confectionery with annual sales of more than $50 billion. Analysts, however, said the U.S. giant may need to significantly raise its offer. A counter-bid from Nestle and Hershey (HSY 39.45, +0.82, +2.12%) is also considered a possibility.
Gold futures surged above $1,000 an ounce on Tuesday, propelled by weakness in the U.S. dollar. The December contract hit an intraday high of $1,009.40. Analysts said it's unclear how sustainable the rise above $1,000 will be, as the last two times it occurred it was followed by a sharp correction back below $900.
Chartered Semiconductor Manufacturing (CHRT 17.25, -1.53, -8.15%) said over the weekend that it has struck a deal to sell itself to Abu Dhabi's Advanced Technology Investment Co. for approximately $1.8 billion in cash.
Atheros Communications Inc. (ATHR 28.82, +0.84, +3.00%) said it will acquire Intellon Corp. (ITLN 7.15, +2.15, +43.00%) in a stock-and-cash deal valued at about $244 million, or $181 million net of Intellon's cash and short-term investments.
Disclosure I am long KFT shares.
Global markets
European shares rose for a fourth straight session, with miners getting a lift from stronger gold prices. Australian shares were among the winners in Asia, buoyed by a jump in business confidence to its highest level since October 2003.
Morgan Stanley changed its tech-sector view, upgrading systems and PC hardware to attractive from in-line, while downgrading software to in-line from attractive. Among several rating changes, the broker cut Dell (DELL 15.72, +0.03, +0.19%) , IBM(IBM 118.17, +0.71, +0.60%) and Texas Instruments(TXN 24.86, 0.00, 0.00%) to equal-weight from overweight.
Credit Suisse downgraded American International Group (AIG 38.36, -1.69, -4.22%) to underperform from neutral and slashed its price target to $15 from $30, saying there could be little value left for common equity holders after AIG has sold off its core businesses.
Costco Wholesale Corp. (COST 56.95, +1.48, +2.67%) was upgraded to overweight from equal weight by Morgan Stanley, which said food deflation and other headwinds that had been pressuring the company are dissipating.
Kraft Foods Inc.(KFT 26.41, -1.69, -6.01%) said on Monday that it's pursuing a takeover of Cadbury (CBY 52.59, +15.13, +40.39%) after the U.K. chocolate maker rejected a $16.7 billion bid. Kraft said a combination of the two companies would create a "global powerhouse" in snacks and confectionery with annual sales of more than $50 billion. Analysts, however, said the U.S. giant may need to significantly raise its offer. A counter-bid from Nestle and Hershey (HSY 39.45, +0.82, +2.12%) is also considered a possibility.
Gold futures surged above $1,000 an ounce on Tuesday, propelled by weakness in the U.S. dollar. The December contract hit an intraday high of $1,009.40. Analysts said it's unclear how sustainable the rise above $1,000 will be, as the last two times it occurred it was followed by a sharp correction back below $900.
Chartered Semiconductor Manufacturing (CHRT 17.25, -1.53, -8.15%) said over the weekend that it has struck a deal to sell itself to Abu Dhabi's Advanced Technology Investment Co. for approximately $1.8 billion in cash.
Atheros Communications Inc. (ATHR 28.82, +0.84, +3.00%) said it will acquire Intellon Corp. (ITLN 7.15, +2.15, +43.00%) in a stock-and-cash deal valued at about $244 million, or $181 million net of Intellon's cash and short-term investments.
Disclosure I am long KFT shares.
Monday, August 31, 2009
Disney to buy Marvel for $4 billion
The Walt Disney Co. announced Monday that it has agreed to purchase comic book and action hero company Marvel Entertainment for about $4 billion.
The deal pairs a comic book publisher that just recently began to produce its own movies with one of the largest international media companies in the world.
"This is perfect from a strategic perspective," Disney Chief Executive Robert Iger told CNNMoney.com. "This treasure trove of over 5,000 characters offers Disney the ability to do what we do best."
On a conference call with investors, Iger said the deal will allow Disney to sell Marvel's vast array of characters and properties across different media platforms and in many more markets. For instance, Iger said that Disney's Pixar animation unit was excited about the opportunities that a Marvel acquisition could yield.
"Spider-Man will appear in 'A Bug's Life' sequel," joked Barclays Capital analyst Anthony DiClemente.
The deal would give Disney some content that appeals more to boys, a market it has been looking to develop, Iger said. Disney XD, a television station and video game unit, already had a deal with Marvel to use some of the comic book company's action heroes in its content.
"Disney is the perfect home for Marvel's fantastic library of characters given its proven ability to expand content creation and licensing businesses," said Marvel Chief Executive Ike Perlmutter. "This is an unparalleled opportunity for Marvel to build upon its vibrant brand and character properties by accessing Disney's tremendous global organization and infrastructure around the world."
0:00 /5:30Disney bets $4 billion on Marvel
Disney Chief Financial Officer Tom Staggs noted that Marvel owns the rights to many action-hero characters that are not widely known, which Disney anticipates bringing to the forefront for future movies or TV shows should the deal go through.
If Marvel shareholders approve the deal, they would receive $30 per share in cash and 0.745 shares of Disney for each share of Marvel that they hold. The deal is valued at $50 per Marvel share, more than a 29% premium, based on Friday's closing price.
Disney said it will issue about 59 million shares as a result of a deal, but it will repurchase as many shares over the course of the 12 months following the deal's closing.
Marvel has launched a large number of action-hero movies over the past decade, including "Spider-Man," "X-Men," "The Fantastic Four" and "The Incredible Hulk."
Last summer's "Iron Man" blockbuster earned just under $100 million over three days, the second-best non-sequel opening ever, according to Entertainment Weekly. "Iron Man" was the first Marvel movie to be fully financed and produced by the comic book company.
But Marvel still holds deals with Paramount, Sony and Fox for future movies, including several more Spider-Man films. Marvel chairman Morton Handel estimated that the company has about five more films with Paramount and intends to honor the current contracts it has with other movie studios, even if the Disney deal is inked before the contracts expire.
Marvel pays Paramount, the comic book company's primary movie distributor, between $20 million and $60 million per movie in distribution fees, according to Barton Crockett, analyst at Lazard Capital Markets.
Crockett said Disney would likely become the sole distributor of Marvel's movies in the future, giving it a "full plate" of movie releases, including Pixar, Marvel and its own films.
Shares of Marvel (MVL) soared 26% in morning trading. Shares of Disney (DIS, Fortune 500) were down 3%.
Disclosure NONE
The deal pairs a comic book publisher that just recently began to produce its own movies with one of the largest international media companies in the world.
"This is perfect from a strategic perspective," Disney Chief Executive Robert Iger told CNNMoney.com. "This treasure trove of over 5,000 characters offers Disney the ability to do what we do best."
On a conference call with investors, Iger said the deal will allow Disney to sell Marvel's vast array of characters and properties across different media platforms and in many more markets. For instance, Iger said that Disney's Pixar animation unit was excited about the opportunities that a Marvel acquisition could yield.
"Spider-Man will appear in 'A Bug's Life' sequel," joked Barclays Capital analyst Anthony DiClemente.
The deal would give Disney some content that appeals more to boys, a market it has been looking to develop, Iger said. Disney XD, a television station and video game unit, already had a deal with Marvel to use some of the comic book company's action heroes in its content.
"Disney is the perfect home for Marvel's fantastic library of characters given its proven ability to expand content creation and licensing businesses," said Marvel Chief Executive Ike Perlmutter. "This is an unparalleled opportunity for Marvel to build upon its vibrant brand and character properties by accessing Disney's tremendous global organization and infrastructure around the world."
0:00 /5:30Disney bets $4 billion on Marvel
Disney Chief Financial Officer Tom Staggs noted that Marvel owns the rights to many action-hero characters that are not widely known, which Disney anticipates bringing to the forefront for future movies or TV shows should the deal go through.
If Marvel shareholders approve the deal, they would receive $30 per share in cash and 0.745 shares of Disney for each share of Marvel that they hold. The deal is valued at $50 per Marvel share, more than a 29% premium, based on Friday's closing price.
Disney said it will issue about 59 million shares as a result of a deal, but it will repurchase as many shares over the course of the 12 months following the deal's closing.
Marvel has launched a large number of action-hero movies over the past decade, including "Spider-Man," "X-Men," "The Fantastic Four" and "The Incredible Hulk."
Last summer's "Iron Man" blockbuster earned just under $100 million over three days, the second-best non-sequel opening ever, according to Entertainment Weekly. "Iron Man" was the first Marvel movie to be fully financed and produced by the comic book company.
But Marvel still holds deals with Paramount, Sony and Fox for future movies, including several more Spider-Man films. Marvel chairman Morton Handel estimated that the company has about five more films with Paramount and intends to honor the current contracts it has with other movie studios, even if the Disney deal is inked before the contracts expire.
Marvel pays Paramount, the comic book company's primary movie distributor, between $20 million and $60 million per movie in distribution fees, according to Barton Crockett, analyst at Lazard Capital Markets.
Crockett said Disney would likely become the sole distributor of Marvel's movies in the future, giving it a "full plate" of movie releases, including Pixar, Marvel and its own films.
Shares of Marvel (MVL) soared 26% in morning trading. Shares of Disney (DIS, Fortune 500) were down 3%.
Disclosure NONE
Tuesday, August 25, 2009
Procter & Gamble to Sell Drug Divison to Warner Chilcott
Procter & Gamble (PG-Quote) announced that it plans to sell its prescription drug division to Warner Chilcott (WCRX-Quote) on Monday, in a deal that will be worth $3.1 billion.
The move is in line with Procter & Gamble’s desire to shed non-core businesses that have experienced slower-than-average growth in recent years.
The deal marks a milestone for P&G’s new chief executive, Bob McDonald, who moved into his current position in July.
"We know that our shareholders don't reward us for size. They reward us for growth," said McDonald on a conference call. "We are going to do what we have to do to get the right portfolio of businesses together. We are focused on growth."
The sale is expected to be completed by the end of the year.
Disclosure I am long PG shares.
Tuesday, August 18, 2009
Whirlpool (WHR) Approve $0.43 Per Share Quarterly Dividend
The board of directors of Whirlpool Corporation (NYSE : WHR - News) declared today a quarterly dividend of 43 cents per share on the company's common stock. The dividend is payable September 15, 2009, to stockholders of record at the close of business on August 28, 2009.
About Whirlpool Corporation
Whirlpool Corporation is the world's leading manufacturer and marketer of major home appliances, with annual sales in 2008 of approximately $19 billion, 70,000 employees, and 67 manufacturing and technology research centers around the world. The company markets Whirlpool, Maytag, KitchenAid, Jenn-Air, Amana, Brastemp, Consul, Bauknecht and other major brand names to consumers in nearly every country around the world. Additional information about the company can be found at http://www.whirlpoolcorp.com.
Disclosure NONE
Sunday, August 16, 2009
3M (MMM) Declares $0.51/Sh Qtr Dividend
3M Co. said Monday its board of directors declared a regular quarterly dividend of 51 cents.
The manufacturing conglomerate said the dividend is payable Sept. 21 to shareholders of record on Aug. 21.
The ex-dividend date is August 19.
The dividend yield is 2.9%.
About 3mm
3M Company, together with its subsidiaries, operates as a diversified technology company worldwide. It operates in six segments: Industrial and Transportation; Health Care; Safety, Security and Protection Services; Consumer and Office; Display and Graphics; and Electro and Communications. The Industrial and Transportation segment offers tapes, coated and nonwoven abrasives, adhesives, specialty materials, filtration products, closures for hygiene products, and components and products that are used in the manufacture, repair, and maintenance of automotive, marine, aircraft, and specialty vehicles. The Health Care segment provides medical and surgical supplies, skin health and infection prevention products, drug delivery systems, dental and orthodontic products, health information systems, and anti-microbial solutions.
The Safety, Security, and Protection segment offers personal protection products, safety and security products, energy control products, cleaning and protection products for commercial establishments, track and trace solutions, and roofing granules for asphalt shingles. The Consumer and Office segment provides office supply products, stationery products, construction and home improvement products, home care products, protective material products, and consumer health care products. The Display and Graphics segment offers optical film solutions for electronic displays; computer screen filters; reflective sheeting for transportation safety; commercial graphic systems; and projection systems, including mobile display technology and visual systems products. The Electro and Communications segment provides electronic and interconnect solutions, microinterconnect systems, high-performance fluids, high-temperature and display tapes, telecommunications products, electrical products, and touch screens and touch monitors. The company was formerly known as Minnesota Mining and Manufacturing Company. 3M Company was founded in 1902 and is based in St. Paul, Minnesota.
Disclosure I am long MMM shares.
Tuesday, August 4, 2009
Pepsi (PEP)Reaches Deal to Buy Bottlers
PepsiCo (PEP) announced on Tuesday that it has agreed to purchase its two largest bottlers - Pepsi Bottling (PBG) and PepsiAmericas (PAS) - for a combined $7.8 billion, bringing the bottlers back under the wing of the company that divested them 10 years ago.
According to the terms of the agreement, PepsiCo will acquire both companies in a 50/50 cash and stock deal, which values Pepsi Bottling at $36.50 a share and PepsiAmericas at $28.50 a share. The deal will give Pepsi about 80% of its North American beverage distribution market.
PepsiCo said the deal will also the company to further streamline its production and distribution business, in hopes to provide better pricing against its primary competitor Coca-Cola Co. (KO). The deal is subject to shareholder and regulatory approval
"While the existing model has served the system very well, it is clear that the changing dynamics of the North American liquid refreshment beverage business demand that we create a more flexible, efficient and competitive system," said PepsiCo CEO Indra Nooyi in a statement.
For approximately 10 years, both Coke and Pepsi had publicly-traded subsidiaries that provided the distribution and bottling of their respective iconic products. Coke's owns a stake in its largest bottler Coca-Cola Enterprises (CCE), while PepsiCo owns about 33% of Pepsi Bottling and about 43% of PepsiAmericas.
However, as commodity prices and bottling costs have risen in recent years, Pepsi said an integrated approach would be more appropriate instead of outsourcing the expensive product distribution and packaging.
Ultimately, the transaction positions the entire Pepsi system to continue to win in he marketplace," said Pepsi Bottling CEO Eric Foss in a statement.
PepsiCo originally offered to purchase both bottlers earlier this year for a combined total of $6 billion, which was rejected by both companies as being too low.
Pepsi said the deal is being financed through debt financing provided by Bank of America-Merrill Lynch (BAC) and Citigroup (C), who also provided financial advising on the deal for PepsiCo. Pepsi Bottling was advised by Morgan Stanley (MS) and PepsiAmericas was advised by Goldman Sachs (GS).
Disclosure I am long PEP shares.
According to the terms of the agreement, PepsiCo will acquire both companies in a 50/50 cash and stock deal, which values Pepsi Bottling at $36.50 a share and PepsiAmericas at $28.50 a share. The deal will give Pepsi about 80% of its North American beverage distribution market.
PepsiCo said the deal will also the company to further streamline its production and distribution business, in hopes to provide better pricing against its primary competitor Coca-Cola Co. (KO). The deal is subject to shareholder and regulatory approval
"While the existing model has served the system very well, it is clear that the changing dynamics of the North American liquid refreshment beverage business demand that we create a more flexible, efficient and competitive system," said PepsiCo CEO Indra Nooyi in a statement.
For approximately 10 years, both Coke and Pepsi had publicly-traded subsidiaries that provided the distribution and bottling of their respective iconic products. Coke's owns a stake in its largest bottler Coca-Cola Enterprises (CCE), while PepsiCo owns about 33% of Pepsi Bottling and about 43% of PepsiAmericas.
However, as commodity prices and bottling costs have risen in recent years, Pepsi said an integrated approach would be more appropriate instead of outsourcing the expensive product distribution and packaging.
Ultimately, the transaction positions the entire Pepsi system to continue to win in he marketplace," said Pepsi Bottling CEO Eric Foss in a statement.
PepsiCo originally offered to purchase both bottlers earlier this year for a combined total of $6 billion, which was rejected by both companies as being too low.
Pepsi said the deal is being financed through debt financing provided by Bank of America-Merrill Lynch (BAC) and Citigroup (C), who also provided financial advising on the deal for PepsiCo. Pepsi Bottling was advised by Morgan Stanley (MS) and PepsiAmericas was advised by Goldman Sachs (GS).
Disclosure I am long PEP shares.
Monday, August 3, 2009
Kimberly-Clark (KMB) Approves $0.40 Per Share Quarterly Dividend
he board of directors of Kimberly-Clark Corporation (KMB - Quote) has declared a regular quarterly dividend of 60 cents per share. The dividend is payable on October 2, 2009, to stockholders of record on September 4, 2009.
Kimberly-Clark and its well-known global brands are an indispensable part of life for people in more than 150 countries. Every day, 1.3 billion people - nearly a quarter of the world's population - trust K-C brands and the solutions they provide to enhance their health, hygiene and well-being. With brands such as Kleenex, Scott, Huggies, Pull-Ups, Kotex and Depend, Kimberly-Clark holds the No. 1 or No. 2 share positions in more than 80 countries. To keep up with the latest K-C news and to learn more about the company's 137-year history of innovation, visit www.kimberly-clark.com.
Disclosure I am long KMB shares.
Kimberly-Clark and its well-known global brands are an indispensable part of life for people in more than 150 countries. Every day, 1.3 billion people - nearly a quarter of the world's population - trust K-C brands and the solutions they provide to enhance their health, hygiene and well-being. With brands such as Kleenex, Scott, Huggies, Pull-Ups, Kotex and Depend, Kimberly-Clark holds the No. 1 or No. 2 share positions in more than 80 countries. To keep up with the latest K-C news and to learn more about the company's 137-year history of innovation, visit www.kimberly-clark.com.
Disclosure I am long KMB shares.
Friday, July 31, 2009
Wayside Technology Group, Inc. Reports 2009 Second Quarter Results and Declares Quarterly Dividend
Wayside Technology Group, Inc. (WSTG - Quote) today reported financial results for the second quarter ended June 30, 2009. The results will be discussed in a conference call to be held on Friday, July 31, 2009 at 10:00 AM Eastern time. The dial-in telephone number is (866) 238-0637 and the pass code is "WSTG."
This conference call will be available via live webcast -- in listen-mode only -- at www.earnings.com. A replay will be available on our website at www.waysidetechnology.com.
Total net sales for the second quarter of 2009 amounted to $37.0 million, compared to $48.1 million for the same period in 2008. Sales for the second quarter of 2009 for our Lifeboat segment were $25.0 million compared to $35.0 million in the second quarter of 2008, representing a 28% decrease. Excluding VMware, Lifeboat's sales increased by $1.7 million, or 7% compared to the second quarter of 2008. Sales for the second quarter of 2009 for our Programmer's Paradise segment were $12.0 million, compared to $13.1 million in the second quarter of 2008, representing an 8% decrease.
Total gross profit for the second quarter of 2009 amounted to $4.1 million, compared to $4.3 million for the same period in 2008. Gross profit for the second quarter of 2009 for our Lifeboat segment was $2.5 million, compared to $2.8 million in the second quarter of 2008, representing a 13% decrease. This decrease in gross profit was due to the lower sales volume. Gross profit for the second quarter of 2009 for our Programmer's Paradise segment was $1.6 million, compared to $1.5 million in the second quarter of 2008, representing a 6% increase. This increase was primarily due to a shift in mix of order size. We sold more of our smaller, specialized software lines, which typically carry higher margins. As a result, gross profit increased 6% as compared to last year, despite the 8% decrease in revenue as compared to last year.
Total gross profit, as a percentage of net sales, for the quarter ending June 30, 2009, was 11%, compared to 8.9% in the second quarter of 2008.
Cash and marketable securities amount to $16.5 million, representing 68% of our equity as of June 30, 2009. We have no debt.
"During the second quarter of 2009 we delivered solid second quarter results despite the continued recessionary business climate impacting every segment of the economy," said Simon F. Nynens, Chairman and Chief Executive Officer.
Total selling, general, and administrative ("SG&A") expenses for the second quarter of 2009 were $2.9 million compared to $3.1 million in the second quarter of 2008.
Net income for the second quarter of 2009 amounted to $790,000 or 2.1% of net sales as compared to $823,000 or 1.7% for the same period in 2008.
On July 28, 2009, the Board of Directors declared a quarterly dividend of $.15 per share of its common stock payable August 20, 2009 to shareholders of record on August 13, 2009.
About Wayside Technology Group, Inc.
Wayside Technology Group, Inc. (WSTG) was founded in 1982 and is a unified and integrated technology company providing products and solutions for corporate resellers, VARs, and developers, as well as business, government and educational entities. The company offers technology products from software publishers and manufacturers such as Microsoft, CA, IBM, VMware, Quest Software, Embarcadero Technologies, SAP Business Objects, Intel, Compuware, Infragistics, ComponentOne, Acresso Software, and Adobe.
Additional information can be found by visiting www.waysidetechnology.com.
Disclosure I am Long WSTG shares.
This conference call will be available via live webcast -- in listen-mode only -- at www.earnings.com. A replay will be available on our website at www.waysidetechnology.com.
Total net sales for the second quarter of 2009 amounted to $37.0 million, compared to $48.1 million for the same period in 2008. Sales for the second quarter of 2009 for our Lifeboat segment were $25.0 million compared to $35.0 million in the second quarter of 2008, representing a 28% decrease. Excluding VMware, Lifeboat's sales increased by $1.7 million, or 7% compared to the second quarter of 2008. Sales for the second quarter of 2009 for our Programmer's Paradise segment were $12.0 million, compared to $13.1 million in the second quarter of 2008, representing an 8% decrease.
Total gross profit for the second quarter of 2009 amounted to $4.1 million, compared to $4.3 million for the same period in 2008. Gross profit for the second quarter of 2009 for our Lifeboat segment was $2.5 million, compared to $2.8 million in the second quarter of 2008, representing a 13% decrease. This decrease in gross profit was due to the lower sales volume. Gross profit for the second quarter of 2009 for our Programmer's Paradise segment was $1.6 million, compared to $1.5 million in the second quarter of 2008, representing a 6% increase. This increase was primarily due to a shift in mix of order size. We sold more of our smaller, specialized software lines, which typically carry higher margins. As a result, gross profit increased 6% as compared to last year, despite the 8% decrease in revenue as compared to last year.
Total gross profit, as a percentage of net sales, for the quarter ending June 30, 2009, was 11%, compared to 8.9% in the second quarter of 2008.
Cash and marketable securities amount to $16.5 million, representing 68% of our equity as of June 30, 2009. We have no debt.
"During the second quarter of 2009 we delivered solid second quarter results despite the continued recessionary business climate impacting every segment of the economy," said Simon F. Nynens, Chairman and Chief Executive Officer.
Total selling, general, and administrative ("SG&A") expenses for the second quarter of 2009 were $2.9 million compared to $3.1 million in the second quarter of 2008.
Net income for the second quarter of 2009 amounted to $790,000 or 2.1% of net sales as compared to $823,000 or 1.7% for the same period in 2008.
On July 28, 2009, the Board of Directors declared a quarterly dividend of $.15 per share of its common stock payable August 20, 2009 to shareholders of record on August 13, 2009.
About Wayside Technology Group, Inc.
Wayside Technology Group, Inc. (WSTG) was founded in 1982 and is a unified and integrated technology company providing products and solutions for corporate resellers, VARs, and developers, as well as business, government and educational entities. The company offers technology products from software publishers and manufacturers such as Microsoft, CA, IBM, VMware, Quest Software, Embarcadero Technologies, SAP Business Objects, Intel, Compuware, Infragistics, ComponentOne, Acresso Software, and Adobe.
Additional information can be found by visiting www.waysidetechnology.com.
Disclosure I am Long WSTG shares.
Kellogg profit rises 13 percent in 2Q, Pays 339th Straight Dividend
Kellogg Co. reported second-quarter profits that beat expectations Thursday, saying it expects full year results at the high end of its goal.
Recently, the company declared a dividend of $0.375/share, payable on September 15, 2009, to shareholders of record at the close of business on September 1, 2009. This is the 339th consecutive quarter since 1925 that Kellogg Company has paid a dividend. The current yield based on the new dividend is 3.15%.
Recently, the company declared a dividend of $0.375/share, payable on September 15, 2009, to shareholders of record at the close of business on September 1, 2009. This is the 339th consecutive quarter since 1925 that Kellogg Company has paid a dividend. The current yield based on the new dividend is 3.15%.
The world's largest cereal maker said its profit rose 13 percent to $353 million, or 92 cents per share for the quarter, from $312 million, or 82 cents per share last year.
Kellogg, which makes Frosted Flakes, Cheez-Its, Eggo waffles and other popular foods, said commodity prices for key ingredients stabilized, which helped its margins, though the stronger dollar hurt the company's sales.
Revenue fell 3 percent to $3.23 billion from $3.34 billion last year.
The results beat analyst expectations of 83 cents per share in profit, as measured by the Thomson Reuters poll, but fell short of analysts' average revenue forecast of $3.27 billion. Analysts estimates typically exclude one-time items.
Kellogg saw strong sales of cereal products, particularly in North America where the category grew 4 percent. North American frozen and specialty channels rose 5 percent and North American snacks rose 3 percent.
Internationally, sales fell 13 percent but rose 2 percent excluding the stronger dollar.
The Battle Creek, Mich.-based company said it is on track to save $1 billion annually by the end of 2011. It now expects to take a charge of 26 cents per share for the cost-cutting plan in 2009, up from the 14 cents it originally expected.
Some of the savings will be reinvested in advertising, which the food maker said it plans to step up in the near term. Kellogg also announced Thursday that it will modify some of its popular products with the addition of fiber to lines like Fruit Loops.
Kellogg's widely recognized brands have proved resilient during the economic downturn and CEO David Mackay said that the company expects that strength to carry through the year.
Kellogg now expects its earnings per share to grow 8 percent to 10 percent in 2009, sharpening its earlier forecast of high single-digit growth.
That implies earnings of $3.23 to $3.29 per share -- or $2.97 to $3.03 excluding the 26 cents per share related to its cost cutting plan. Analysts predict annual earnings of $3.11 per share.
It affirmed guidance of 3 percent to 4 percent growth in revenue, excluding the effect of the stronger dollar.
Standard & Poor's reiterated its "hold" rating on Kellogg and raised its 2009 earnings estimate to $3.08 from $3.05 and its 2010 estimate to $3.36 from $3.35.
S&P Packaged Foods Analyst Tom Graves said he expects the cereal category to benefit from more people eating at home during the recession and he expects cost pressures to ease in the second half of the year. But he expects the dollar's strength to keep cutting into Kellogg's profit.
Shares of Kellogg fell 38 cents to close at $47.66.
Disclosure I am long K shares.
Friday, July 24, 2009
Kellogg Co.(K) sets increased dividend
Kellogg Co. today announced it will pay a 37.5-cent dividend per share on common stock, up from 34 cents per share last quarter. The payments will be made Sept. 15 to shareholders of record as of Sept. 1. The company announced plans to increase the dividend in April.
Kellogg has paid dividends to common stock shareholders every quarter since 1925.
Disclosure I am long K shares in my Consumer Goods/Services Folio.
Kellogg has paid dividends to common stock shareholders every quarter since 1925.
Disclosure I am long K shares in my Consumer Goods/Services Folio.
Thursday, July 23, 2009
3M Profit (MMM)Down 17%; Increases 2009 Revenue Forecast
Demand for facemasks for protection against the H1N1 flu virus helped boost 3M’s (MMM - Quote) second-quarter results, but earnings fell by 17% compared to a year ago because of other demand for other products.
The Minnesota-based manufacturer of Post-Its and Scotch Tape and hundreds of other products said Thursday that second-quarter earnings excluding one-time items fell to $1.20 a share from $1.39 a share a year ago. Revenue fell 15% to $5.7 billion.
The results solidly beat the 94-cent profit expected by analysts, according to Thomson Reuters, sending shares up nearly 5% in New York Stock Exchange-based trading.
"We drove strong results in the second quarter, exceeding our own expectations for profits, sales and free cash flow," said 3M Chairman and CEO George W. Buckley in a statement. "Operating discipline was key to the quarter.”
3M raised its full-year earnings forecast to $4.10 to $4.30 a share, compared with its view in April for earnings of $3.90 to $4.30 a share.
Part of 3M’s operating results was driven by broad cost cutting measures across the entire company. In the first six months of the year, the company laid off or provided for early retirement for 2,800 employees.
Buckley said that he remains cautious about the forecast for the economy, and that cost cutting could continue throughout the firm.
“While the exact shape and timing of the economic recovery is unknown, we will move ahead efficiently and energetically so that 3M emerges from the downturn an even stronger company," he said in a statement.
Another one-time component to 3M’s results was the sale of masks related to the outbreak of swine flu earlier this year. Buckley said that orders for 3M’s facemasks were on backorder as a result of the outbreak, which helped offset what were double-digit declines in the company’s operations the company’s other divisions.
Disclosure I am long MMM in my consumer goods/services folio.
The Minnesota-based manufacturer of Post-Its and Scotch Tape and hundreds of other products said Thursday that second-quarter earnings excluding one-time items fell to $1.20 a share from $1.39 a share a year ago. Revenue fell 15% to $5.7 billion.
The results solidly beat the 94-cent profit expected by analysts, according to Thomson Reuters, sending shares up nearly 5% in New York Stock Exchange-based trading.
"We drove strong results in the second quarter, exceeding our own expectations for profits, sales and free cash flow," said 3M Chairman and CEO George W. Buckley in a statement. "Operating discipline was key to the quarter.”
3M raised its full-year earnings forecast to $4.10 to $4.30 a share, compared with its view in April for earnings of $3.90 to $4.30 a share.
Part of 3M’s operating results was driven by broad cost cutting measures across the entire company. In the first six months of the year, the company laid off or provided for early retirement for 2,800 employees.
Buckley said that he remains cautious about the forecast for the economy, and that cost cutting could continue throughout the firm.
“While the exact shape and timing of the economic recovery is unknown, we will move ahead efficiently and energetically so that 3M emerges from the downturn an even stronger company," he said in a statement.
Another one-time component to 3M’s results was the sale of masks related to the outbreak of swine flu earlier this year. Buckley said that orders for 3M’s facemasks were on backorder as a result of the outbreak, which helped offset what were double-digit declines in the company’s operations the company’s other divisions.
Disclosure I am long MMM in my consumer goods/services folio.
Monday, July 20, 2009
The J. M. Smucker Company (SJM) Declares Dividend of $0.35
The board of directors of The J. M. Smucker Company (SJM - Quote) declared a $0.35 per share dividend on the common shares of the Company to be paid on Tuesday, September 1, 2009, to shareholders of record at the close of business on Friday, August 14, 2009.
The Company will conduct its first quarter fiscal 2010 earnings conference call and webcast on Friday, August 21, 2009, at 8:30 a.m. Eastern Time. Earnings will be released on the morning of the call. The live webcast can be accessed from the Company's website at www.smuckers.com. The webcast replay, as well as a replay in downloadable MP3 format, will be available following the call. The audio replay can be accessed by dialing 888-203-1112 or 719-457-0820 and entering pass code 6204951. The replay will be available until Friday, August 28, 2009.
Disclosure I am long SJM in my consumer goods Folio.
The Company will conduct its first quarter fiscal 2010 earnings conference call and webcast on Friday, August 21, 2009, at 8:30 a.m. Eastern Time. Earnings will be released on the morning of the call. The live webcast can be accessed from the Company's website at www.smuckers.com. The webcast replay, as well as a replay in downloadable MP3 format, will be available following the call. The audio replay can be accessed by dialing 888-203-1112 or 719-457-0820 and entering pass code 6204951. The replay will be available until Friday, August 28, 2009.
Disclosure I am long SJM in my consumer goods Folio.
Sunday, July 12, 2009
Cal-Maine (CALM) egg facility damaged by fire
Cal-Maine Foods Inc. on Friday said that a fire has damaged its egg facility in Farwell, Texas. 
The company said a fire on Thursday destroyed four of the nine layer houses at the site as well as killing some hens at a fifth house. Cal-Maine said no people were hurt and only minimal physical damage was done to the rest of the complex as a result of the blaze.
An investigation is under way to determine the origin of the fire.
The complex accounts for approximately 3 to 4 percent of its production.
Fred Adams, chairman and chief executive, said he expects "minimal financial impact on our operations" as a result of the fire and the company does not exect "any long-term disruption to our customers."
Cal-Maine Foods said it is the largest producer and distributor of fresh shell eggs in the United States and sells most of its eggs in about 29 states in the southwestern, southeastern, mid-western and mid-Atlantic regions.
The company said it is fully insured to cover the costs of the fire.
Shares of Cal-Maine fell 10 cents to $24.86 in close Friday trading.
Disclosure I am long CALM shares in my consumer good folio, currently up 1.39% on this holding. Next dividend payment expected around the end of this month. Received $0.34 cents a share back on the 27th of April.
Friday, July 10, 2009
Colgate-Palmolive (CL) sets $0.44 cent quarterly dividend,Paid Dividends Since 1895 uninterrupted!
The Board of Directors of Colgate-Palmolive Company (NYSE:CL - Quote, NEWS) today declared quarterly cash dividends of $.44 per common share, payable on August 14, 2009, to shareholders of record on July 24, 2009. The Company has paid uninterrupted dividends on its common stock since 1895.
About Colgate-Palmolive: Colgate-Palmolive is a leading global consumer products company, tightly focused on Oral Care, Personal Care, Home Care and Pet Nutrition. Colgate sells its products in over 200 countries and territories around the world under such internationally recognized brand names as Colgate, Palmolive, Mennen, Softsoap, Irish Spring, Protex, Sorriso, Kolynos, Elmex, Tom's of Maine, Ajax, Axion, Soupline, and Suavitel, as well as Hill's Science Diet and Hill's Prescription Diet. For more information about Colgate's global business, visit the Company's web site at http://www.colgate.com.
Disclosure I am long CL shares in my consumer goods folio.
About Colgate-Palmolive: Colgate-Palmolive is a leading global consumer products company, tightly focused on Oral Care, Personal Care, Home Care and Pet Nutrition. Colgate sells its products in over 200 countries and territories around the world under such internationally recognized brand names as Colgate, Palmolive, Mennen, Softsoap, Irish Spring, Protex, Sorriso, Kolynos, Elmex, Tom's of Maine, Ajax, Axion, Soupline, and Suavitel, as well as Hill's Science Diet and Hill's Prescription Diet. For more information about Colgate's global business, visit the Company's web site at http://www.colgate.com.
Disclosure I am long CL shares in my consumer goods folio.
Tuesday, June 30, 2009
The BULLISH case for Hasbro(HAS) toys, Transformers ring a bell?
I recently researched and added to my consumer goods folio Hasbro(HAS) toys and games company stock. First off lets start with Hasbro owns the the rights to Transformers toys. The new Transformer movie blew out of the box office with overwhelming success. So is this going to hit Hasbro's bottom line you beat ya. There is plenty of time for commercials, for the new toys, then the dvd release then and only after all this comes Christmas. The kids will be driving us parents nuts over the new toys. Every kid will want one in one shape or another.
Which could mean better than expected sales for Hasbro. Currently a member of the S&P500 with a market cap of 3.42 billion, making it a midcap stock. Having annual sales of approx. 3.94 billion. Trading currently right now at $24.29 which is 15.71% from its 52 week low. Making it a excellent entry point. Slated to earn $1.89 per share in earnings this year and $2.11 per share next year. Giving is a P/E of 12.95 currently and a forward P/E of 11.60, not bad if I say so myself.
Currently paying a 3.27% dividend totaling $0.80 cents per share each year. Has $4.22 per share cash on hand. Peg of 1.44 and a Price to sales value of 0.87, leaning towards value. Insiders already own over 10% of the company, Instutions own 87.89% of the 139.84 million outstanding shares. The return on equity (ROE) is a impressive 21.83%. Eps is expected to grow at 95 for the next 5 years and has grown 16.26% over the last 5 years. The dividend payout ratio is 38.70 percent. Recently Raised its dividend in feb of 2008, has paid a quarterly dividend since December of 1996.
I see a target price of apporx $32.00, traded 692,700 shares yesterday. So volume is there. Next earnings report is due out July 20 before the market open. So you could buy now at this decent entry point and dump on the earnings day which I am pretty sure should be better than expected, sure to pick up a couple upgrades sounds like money in the bank to me.
Disclosure I am Long HAS in my consumer goods folio.
Which could mean better than expected sales for Hasbro. Currently a member of the S&P500 with a market cap of 3.42 billion, making it a midcap stock. Having annual sales of approx. 3.94 billion. Trading currently right now at $24.29 which is 15.71% from its 52 week low. Making it a excellent entry point. Slated to earn $1.89 per share in earnings this year and $2.11 per share next year. Giving is a P/E of 12.95 currently and a forward P/E of 11.60, not bad if I say so myself.
Currently paying a 3.27% dividend totaling $0.80 cents per share each year. Has $4.22 per share cash on hand. Peg of 1.44 and a Price to sales value of 0.87, leaning towards value. Insiders already own over 10% of the company, Instutions own 87.89% of the 139.84 million outstanding shares. The return on equity (ROE) is a impressive 21.83%. Eps is expected to grow at 95 for the next 5 years and has grown 16.26% over the last 5 years. The dividend payout ratio is 38.70 percent. Recently Raised its dividend in feb of 2008, has paid a quarterly dividend since December of 1996.
I see a target price of apporx $32.00, traded 692,700 shares yesterday. So volume is there. Next earnings report is due out July 20 before the market open. So you could buy now at this decent entry point and dump on the earnings day which I am pretty sure should be better than expected, sure to pick up a couple upgrades sounds like money in the bank to me.
Disclosure I am Long HAS in my consumer goods folio.
Monday, June 29, 2009
General Mills (GIS) Pumps Up Quartley Dividend by 9% to 0.47 cents per share
General Mills (GIS) is increasing its quarterly dividend by 9.3 percent. 
The Minneapolis-based food company said Monday that its board is raising the dividend by 4 cents to 47 cents per share. The new dividend is payable Aug. 3 to shareholders of record as of July 10.
The new annual dividend rate will increase to $1.88 from $1.72.
General Mills Chairman and CEO Ken Powell said the dividend increase is a reflection of the company's robust financial condition and future growth prospects.
Shares of the company fell 13 cents to $55.71 in aftermarket trading, having closed the regular session at $55.84.
Disclosure I am long GIS shares in my Consumer Goods Folio.
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