Notable news items and price action from the past twenty-four hours along with our fundamental view on select names.

  • PNRA shares declined 2% on accelerating volume ahead of last night’s earnings.  The company missed top-line expectations.  The earnings call takes place at 08:30 am EST.
  • BWLD posted a strong quarter last night; see my post from earlier this morning for details.  Solid top-line performance coupled with favorable chicken wing prices and operational efficiencies during the quarter helped the company beat by 8 cents on EPS.
  • PFCB reported poor earnings results this morning, missing top-line expectations at the Bistro and at Pei Wei.  EPS came in at $0.46 vs $0.53.  Despite the miss, PFCB is pulling a CAKE-like "extend and pretend": maintaining EPS guidance for the year.
  • EAT declined on accelerating volume yesterday.  EAT reported a good quarter this morning.  3QFY11 EPS came in at $0.47 versus $0.45 and comps were -0.2% for company blended same-store sales versus -0.6% consensus.  Chili’s comps were down -0.3% versus consensus at -1.2%.  Maggiano’s posted +3.4% 3QFY11 comps versus consensus at +3%.  Restaurant operating margin was 18.3% versus consensus at 17.1%.  Chili's same-store sales were positive in February and March.
  • SBUX reports after the close today.
  • MCD Japan President Eikoh Harada said today that same-store sales will probably rise in April.
  • SONC gained 2.5% on accelerating volume - today it announced a refinancing.
  • MSSR management sent out a letter to shareholders urging them to vote for the current board of directors, stating that Tilman Fertitta, the Chairman of the Board and CEO of Landryr's, is attempting to interfere with MSSR's legitimate and important corporate governance procedure.




Howard Penney

Managing Director

Another French Revolution?

"Don't be complacent," writes Hedgeye Managing Director Neil Howe. "Tectonic shifts are underway in France. Is there the prospect of the new Sixth Republic? C'est vraiment possible."

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Cartoon of the Day: The Trend is Your Friend

"All of the key trending macro data suggests the U.S. economy is accelerating," Hedgeye CEO Keith McCullough says.

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A Sneak Peek At Hedgeye's 2017 GDP Estimates

Here's an inside look at our GDP estimates versus Wall Street consensus.

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Cartoon of the Day: Green Thumb

So far, 64 of 498 companies in the S&P 500 have reported aggregate sales and earnings growth of 6.1% and 16.8% respectively.

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Europe's Battles Against Apple, Google, Innovation & Jobs

"“I am very concerned the E.U. maintains a battle against the American giants while doing everything possible to sustain so-called national champions," writes economist Daniel Lacalle. "Attacking innovation doesn’t create jobs.”

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An Open Letter to Pandora Management...

"Please stop leaking information to the press," writes Hedgeye Internet & Media analyst Hesham Shaaban. "You are getting in your own way, and blowing up your shareholders in the process."

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A 'Toxic Cocktail' Brewing for A Best Idea Short

The first quarter earnings pre-announcement today is not the end of the story for Mednax (MD). Rising labor costs and slowing volume is a toxic cocktail...

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Energy Stocks: Time to Buy? Here's What You Need to Know

If you're heavily-invested in Energy stocks it's been a heck of a year. Energy is the worst-performing sector in the S&P 500 year-to-date and value investors are now hunting for bargains in the oil patch. Before you buy, here's what you need to know.

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McCullough: ‘My 1-Minute Summary of My Institutional Meetings in NYC Yesterday’

What are even some of the smartest investors in the world missing right now?

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Cartoon of the Day: Political Portfolio Positioning

Leave your politics out of your portfolio.

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Jim Rickards Answers the Hedgeye 21

Bestselling author Jim Rickards says if he could be any animal he’d be a T-Rex. He also loves bonds and hates equities. Check out all of his answers to the Hedgeye 21.

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Amazon's New 'Big Idea': Ignore It At Your Own Peril

"We all see another ‘big idea’ out of Amazon (or the press making one up) just about every day," writes Retail Sector Head Brian McGough. "But whatever you do, DON’T ignore this one!"

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