United States

• Booking Holdings, a prominent player in the global online travel market, reported its second quarter 2024 financial results, highlighting a performance that exceeded expectations in various key metrics including room nights, revenue, and adjusted EBITDA.
• Room nights booked during the quarter grew by 7% year-over-year, achieving a total of 287 million.
• Revenue and adjusted EBITDA both rose by 7% to $5.9 billion and $1.9 billion respectively, while adjusted earnings per share experienced an 11% increase.

• The second quarter earnings report for ConocoPhillips presented a mixed scenario, affirming the company’s continued operational strength along with areas that may trigger concern for prospective investors.
• On a positive note, ConocoPhillips announced a 34% increase in its ordinary dividend, signaling confidence in sustainable financial health and a strong commitment to returning value to shareholders.
• Furthermore, the acquisition of Marathon Oil was a highlight, poised to enhance ConocoPhillips’ operational scale and resource base, which could lead to improved efficiencies and broader market reach.

• The second quarter 2024 financial results for Amazon.com Inc. showcased both growth and challenges as the company continues to navigate a complex global economic environment.
• Overall, Amazon.com reported an 11% year-over-year increase in revenue, totaling $148 billion, which excludes the effects of foreign exchange rates.
• The operating income notably increased by 91% year-over-year to $14.7 billion, and the free cash flow adjusted for leases surged by 664% to $51.4 billion.

• Apple reported an impressive fiscal third quarter with revenue reaching $85.8 billion, marking a 5% year-over year increase and setting a new record for the June quarter.
• This growth in revenue was accompanied by a double-digit increase in earnings per share (EPS) to $1.40, also a record for the period, reflecting robust financial performance amidst challenging market conditions.
• On the product forefront, iPhone sales were slightly down by 1% at $39.3 billion compared to last year, although there was growth on a constant-currency basis.

• AutoNation’s second quarter of 2024 experienced significant disruptions due to an outage at CDK, a key operational systems provider, which considerably affected their results.
• Despite these challenges, AutoNation’s CEO, Mike Manley, acknowledged that the quarter began positively, with new vehicle sales up by approximately 5% during April and May.
• However, the CDK outage in June severely impacted multiple business operations, leading to a direct negative impact of about $1.55 per share on their quarterly results.

• In the second quarter of 2024, Bausch + Lomb demonstrated notable performance across its diverse business segments and geographic regions, sustaining a trajectory of robust growth.
• The company reported a significant year-over-year constant currency revenue growth of 20%, reflecting increases in both product volume and geographic expansion.
• Revenue growth was consistently robust across various segments, with Surgical, Vision Care, and Pharmaceuticals growing by 9%, 11%, and 61%, respectively.

• Coinbase’s Q2 2024 earnings presentation revealed several vital insights into the company’s current financial health and its strategic initiatives moving forward.
• As an investment consideration, the company disclosed robust endeavors in regulatory clarity, product development, and a diversified revenue stream along with advances in subscription and services reaching an all-time high despite a decline in transaction revenue from the previous quarter.
• On the regulatory front, Coinbase continues to emphasize significant advancements, noting active participation in shaping cryptocurrency legislation—an undertaking likely to have profound effects on not only the company’s operations but also the broader crypto ecosystem.

• Etsy, during the company’s Second Quarter 2024 Earnings, reported a Gross Merchandise Sales (GMS) of $2.9 billion, reflecting a slight year-over-year decline of 2.1% on a consolidated basis.
• Despite the dip in GMS, revenue saw an uptick of 3%, totaling $648 million.
• Moreover, Etsy maintained a robust adjusted EBITDA margin of approximately 28%.

• Intercontinental Exchange demonstrated strong financial performance in the second quarter of 2024, achieving record net revenues of $2.3 billion, which is a 7% increase year-over-year on a pro forma basis.
• Adjusted operating expenses were controlled effectively, bringing them to a total of $947 million, which is only a 1% increase from the previous year, also on a pro forma basis.
• The company’s balance sheet showed resilience with adjusted leverage reducing from 3.9x at the end of the first quarter to 3.7x pro forma EBITDA by the end of the second quarter.

• Motorola Solutions has posted a robust performance in its second quarter of 2024, reflecting notable strides in revenue and earnings amidst varied operational outcomes.
• The company demonstrated a commendable 9% revenue growth, surpassing their initial projections, primarily fueled by significant contributions across all three technological divisions despite facing headwinds such as a $5 million impact from foreign exchange rates.
• In the breakdown of revenues, the Products and Systems Integration (SI) segment witnessed a substantial 15% increase, buoyed by robust demand and improved supply chain conditions for Land Mobile Radio (LMR) products.

• Chevron’s Q2 revenue grew 4.7% YoY but its net profit fell by 26.2%. Revenue beat estimates by 1% while EPS missed expectations by 13%.
• Production grew 11% YoY, driven by record output in the Permian, strong growth in the DJ Basin, and successful PDC Energy integration.
• Q2 capex rose 5.2% YoY to USD 4 billion from higher upstream investments and PDC asset spending. Free cash flow dropped 8% YoY to USD 2.3 billion.

• Tracy and Joe discuss their favorite chat GPT and Claude prompts and how they use them for both serious and fun purposes
• They acknowledge the limitations and risks of using AI in professional settings, especially in large companies like Goldman Sachs
• Marco Argenti, Chief Information Officer at Goldman Sachs, explains his role in ensuring the smooth operation of technology within the company and the evolving use of AI in the financial industry

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• US crude inventories fell for the sixth straight week by 3.7 mb, exceeding the 1.6 mb decline expected by analysts. However, gasoline stocks rise by 1.3 mb.
• For the week ending 02/Aug, US natural gas inventories were up 8.2% YoY and 14.9% above the 5-year seasonal average.
• Occidental shares surged as it beat Q2 EPS estimates by 32.5%. Exxon and Aramco also exceeded EPS forecasts, while Chevron fell short.

• Discussion on the recent market volatility, particularly in metals markets
• Gold being a standout performer, while other commodities struggle
• Challenges in finding solid investment opportunities and concerns about earnings for gold companies

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• Reddit (RDDT US) is ineligible for inclusion for the upcoming August review because of fcap failing the fcap threshold if it qualifies for the standard segment. 
• Reddit (RDDT US) is ineligible for inclusion for the upcoming September review because of failing the minimum public voting rights threshold.
• The IPO lock-up expiry increases the probability for inclusion in November and December review for US and Global indices. Forecasted demand in December is ~$360m and 2.1 ADV. 

• Chesapeake Energy Corporation’s second quarter 2024 earnings underscore a strategic balance between operational efficiency and financial stewardship amidst the dynamic conditions of the natural gas market.
• The company has effectively reduced its operating costs and improved capital efficiency, pivotal in maneuvering through low-price environments.
• Chesapeake has achieved a 50% improvement in Marcellus drilling performance since 2022, attributed to a 50% increase in daily drilling over the past two years and an extension in average lateral well length by nearly 3,000 feet in Q2.

• Sprouts Farmers Market’s second quarter 2024 results demonstrate both growth and resilience amidst varying market conditions.
• The company reported a significant increase in sales—up 12% year-over-year to $1.9 billion, propelled by a robust 6.7% growth in comparable store sales.
• Key drivers of this growth include increased e-commerce sales, which surged by 30%, and now constitute 14% of total sales, and the company’s strategic expansion through new stores.

• FMC Corporation reported its second quarter 2024 earnings with what can be described as a mixed but cautiously optimistic outlook amidst a complex market environment.
• CEO Pierre Brondeau, after reassuming his role, provided a comprehensive reassessment of the company’s position and future expectations.
• During the earnings call, FMC Corporation outlined both achievements and challenges, as well as strategic adjustments aimed at long-term ustainability and growth.

• Last El Niño was one of the strongest on record, and typically are followed by La Niña, but this transition has yet to occur. 
• Latest ONI Reading and trend shows possibility of La Niña developing in August-October, could coincide with winter. 
• Historically, adverse weather changes and high hurricane incidence are likely to spoil bearish bets against corn and lead to sustained price recovery.

• BNED’s trading price reflects potential turnaround in profitability, reduced financing risks, and potential for acquisition
• Past disappointments with FDC offering and capital structure reshuffling have affected shareholder confidence
• However, current low leverage and growth in profitability make BNED a potentially attractive long-term investment opportunity

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Super Micro Computer, Inc. has garnered attention with its strong financial performance in Q4 2024, reporting record revenue growth driven by its AI server and data center infrastructure solutions.
• The company’s transition to direct liquid cooling (DLC) technology and AI-focused strategies have positioned it as a key player in the rapidly evolving technology landscape.
• With a 143% year-over-year revenue growth to $5.31 billion, SMCI has demonstrated its capability to scale and meet the increasing demand for AI infrastructure.

• Exxon Mobil’s Q2 revenue grew 12.2% YoY and net profit increased by 17.3%. Revenue missed estimates by 0.4% while net profit exceeded expectations by 6.2%. v
• Exxon Mobil’s Q2 oil production hit a record high since the 1999 merger, driven by strong output in Guyana and the Permian basin.
• Exxon Mobil expects full-year expenditures to total USD 28 billion, including USD 25 billion for ExxonMobil and USD 3 billion for Pioneer.

• Black Sesame Technologies Inc., a Chinese system-on-a-chip designer focused on autonomous driving systems, is seeking to raise up to HK$1.12 billion ($143 million) from its initial public offering (IPO) in Hong Kong.
• The listing will be the second IPO under the new Chapter 18C listing rules introduced in March 2023, which allow companies engaged in specialty technologies to list in Hong Kong even if they are not yet profitable or unable to meet the Main Board’s earnings requirements.
• QuantumPharm Inc., a Shenzhen-based AI drug researcher backed by Tencent Holdings Ltd., debuted on June 13 as the first, raising HK$1.13 billion.

• Unforeseen Volatility: Global risk markets plummeted, driven by external factors, showing crypto’s vulnerability to broader market trends.
• Unique Opportunity: Crypto’s market fundamentals remain strong, presenting unique investment opportunities amidst the global risk asset purge.
• Macro Influences: Japan’s carry trade unwind and weak jobs report led to extreme volatility, impacting both traditional and crypto markets significantly.

• ADEA signed several renewals in the second quarter extending out terms with current licensees and showing to investors that there is value from the portfolio of more than 11,500 patents. 
• The deals ADEA signed in the quarter were not the headline grabbing nature, unlike those in prior quarters and those we expect the Company to sign in coming quarters. 
• ADEA generating annual free cash flow of approximately $150 million should become a bigger factor to valuing the equity as the debt balance becomes visually smaller to investors.

• Xylem’s performance in the second quarter of 2024 has exceeded expectations across several key metrics.
• The company has demonstrated strong financial and operational results, driven by strategic initiatives and market expansion efforts, particularly with the integration of Evoqua.
• This synergy has not only strengthened their market position but also brought about cost efficiencies.

• PAR had previously issued its quarterly sales update making the second quarter results more of an update on how the business is shaping out for the remainder of the year. 
• IPAR used the Q2 earnings call to disclose its intention to enter the luxury fragrance market with its own brand in 2025. Owning a brand is not new for IPAR.
• The consumer continuing to purchase fragrances undisturbed should create the opportunity to grow sales in the second half of the year ahead of new launches scheduled for 2025.

• SDRL reported second quarter results with similar commentary as its peers had previously provided. Current market conditions have resulted in contract awards being delayed even though day rates hold steady
• The shift in the environment has meant SDRL is no longer expecting short-term drilling work in the second half for two of its vessels, Sevan Louisiana and West Phoenix. 
• In 2025, SDRL is set to enhance its operations in Brazil with the addition of two vessels operating at high day rates.

• Corning Inc. reported strong second quarter results for 2024, surpassing its sales and EPS guidance.
• This positive performance was largely driven by the rapid uptake of its new optical connectivity products designed for generative AI applications.
• These products cater to a new network within data centers which requires significantly higher bandwidth to connect GPUs, resulting in roughly ten times more fiber connections compared to traditional setups.

• Boeing has long been a dominant player in the aerospace industry, but recent developments suggest that the company may be facing turbulent times ahead.
• Despite its strong market position and a robust backlog of orders, Boeing is grappling with significant technical and safety challenges that are raising red flags for investors.
• The company’s ongoing issues with manufacturing defects, regulatory scrutiny, and delays in key programs are casting a shadow over its future prospects.

• Palantir Technologies continues to establish itself as a leading force in the world of data analytics and artificial intelligence.
• The company’s recent financial results reveal a mixed but overall positive picture, showcasing strong revenue growth and solidifying its position as a key player in both the government and commercial sectors.
• Palantir’s focus on leveraging AI to solve complex problems at scale is clearly paying off, with impressive strides in revenue and customer acquisition.

• Crude oil prices ended Monday lower but fell less than other commodities and equities. WTI dropped 0.79% and Brent fell 0.66%, while the S&P 500 declined 3%.
• Crude oil prices were supported by rising Middle East tensions, the shutdown of Libya’s largest oil field, and a sharp decline in the DXY.
• Henry Hub futures fell 1.27% due to surplus stockpiles, cooler US weather forecasts, and the impact of Hurricane Debby.

• Wheat, Corn and Soy gained on Monday even as US indices and commodities tumbled over recession woes. 
• Weaker dollar supports stronger US exports of agri-commodities. Grains and oilseeds rise as dollar weakens.
• Technical indicators and fundamental outlook remains bearish for agri-commoties. IV remains subdued at multi-month lows. 

• S&P Global demonstrated a robust performance in the second quarter of 2024, marking significant milestones and strategic advancements, achieved amidst a backdrop of market variability.
• The company reported a 16% increase in total revenue, adjusted for divestitures, with highlights including a notable spike in transaction revenue in the Ratings division by over 60%.
• This division’s success was propelled by increased activity in the public and private markets, notably a 70% boost in private market rating services.

• Apple achieved a record $85.78B in Q3 revenue, up 5% YoY, and earnings per share rose 11% to $1.40, exceeding expectations and reflecting strong financial health. 
• IPhone revenue was $39.3B, surpassing the $38.81B estimate. Despite a 1% YoY decline, iPhone sales showed growth on a constant currency basis, contributing significantly to overall revenue.
• Services revenue reached a record $24.2B, growing 14% YoY. The gross margin was 46.3%, slightly above estimates, despite challenges from foreign exchange and product mix changes.

• The milder drop in crude oil prices was reflected in energy stocks on Monday, with most major oil and gas companies, outperforming the S&P 500.
• Most of the oil companies’ volume PCR was elevated on Monday and Friday, with Haliburton’s volume PCR exceptionally high at 3.66 on Monday (5/Aug).
• On 5/Aug, all major energy companies saw a rise in implied volatility due to recession fears, except Shell, whose IV dropped slightly to 20.01% from 20.28% on Friday.

• IGT announced split with slot machine operator merging with EVRI
• Lottery business retains ownership, manages lotteries for 92 customers worldwide
• EVRI to borrow $3.7bn for debt refinance, distribute $2.2Bn to Lottery business; estimated tax leakage of $100m for taxable accounts

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Ferrellgas is the second-largest retail propane distributor in the United States, serving various customer segments such as residential, commercial, industrial, agricultural, and wholesale.
• The company has a strong logistics network and holds a significant market share in the domestic tank exchange business through the Blue Rhino brand.
• Founded in 1939 in Atchison, Kansas, Ferrellgas has a history of growth through organic expansion and acquisitions, successfully navigating a post-bankruptcy reorganization and currently led by Executive Chairman James Ferrell.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Aon plc has delivered a robust performance for the second quarter of 2024, marked by a clear focus on delivering on its three-dimensional, three-year strategic plan known as the “3×3 plan.” This approach underscores Aon’s commitment to strengthening offerings across risk capital and human capital solutions, all promoted through its Aon client leadership model.
• The acquisition of NFP, welcoming 7,700 new colleagues, has played a pivotal role, adding substantial scale and extending Aon’s capabilities in critical business areas.
• Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.

• Advanced Micro Devices (AMD) reported robust financial results for the second quarter of 2024, delivering a noteworthy performance across several key segments.
• As highlighted in the earnings report, AMD achieved a year-over-year revenue increase of 9%, totaling $5.8 billion.
• This growth was driven chiefly by strong sales in the Data Center and Client segments, which compensated for the declines in Gaming and Embedded segment revenues.

• NVIDIA Corp (NVDA US) and Apple (AAPL US) switched positions in June setting off huge flows. Those flows could reverse in September if the current index methodology is used.
• To avoid frequent reverse turnover, S&P DJI have started a market consultation to change the index weighting methodology. We believe feedback will be positive and the proposals will be approved.
• Apple (AAPL US) will have inflows in September while there will be outflows from Microsoft Corp (MSFT US) and NVIDIA Corp (NVDA US). 

• July saw only 114,000 new jobs versus a forecast of 180,000. Unemployment rose to 4.3%, the highest since October 2021. 
• The S&P 500 fell 1.8% and dropped below its 50-day moving average, tech and semiconductor sectors led significant market declines. 
• Implied volatility surged as the S&P 500 saw high put options activity. Analysts expect a potential market rebound later in August.

• Palantir Technologies Inc. provides software solutions for government customers in national security and intelligence
• Facing competition in AI products in the commercial sector, which may affect stock performance
• Company founded in 2003, known for utilizing technology to extract insights from data for government operations, with significant impact on Western society.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Gold, silver, and copper futures fell by 3%, 6.7%, and 4.6% respectively on Monday amidst recession fears
• Gold and silver options showed bullish sentiment with significant call option buildup, while copper options saw mixed activity with high put interest in the front-month
• Implied volatility surged for gold, silver, and copper, with copper IV increasing by 7 percentage points to 27% post non-farm payroll report

• It has been a massive bloodbath across the financial markets, not just in crypto.
• The Japanese Nikkei 225 Index experienced its largest intraday percentage drop since 1987.
• The S&P 500 opened about 3.5% down, with the Magnificent Seven stocks plunging around 9% at the opening.

• We are downgrading our long-term outlook to neutral (had been bullish since early-November 2023) due to rapidly deteriorating market dynamics
• We still believe the S&P 500 is going through a 1- to 4-month consolidation phase, but odds have increased that this consolidation phase could be a topping pattern.
• SPX is initially holding at 5100-5191 as discussed last week, but we’re not interested in knife-catching or picking a bottom, want to see stabilization/price discovery before adjusting our still-defensive posture.

• FiscalNote is a legal data and analytics company with a $170 million market cap
• The company provides software and services in the public policy and geopolitical intelligence sector
• FiscalNote generates revenue through recurring subscription services and is seen as a compelling investment opportunity with potential for margin expansion.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Microsoft, a technology giant with a market-leading position across various sectors, finds itself at a crossroads.
• The company has demonstrated remarkable growth, with annual revenue surpassing $245 billion, driven largely by its cloud services and AI-driven innovations.
• However, recent events have cast a shadow over its future prospects.

• Dun & Bradstreet’s exploration of potential sale stems from numerous strategic motivations typically involved in such decisions, including efforts to maximize shareholder value, capitalize on market opportunities, or strategic repositioning for future growth.
• In certain instances, companies may explore sales if they believe a buyer could offer more resources, technology, or market presence that could significantly amplify the existing operations or drive deeper market penetration than could be achieved independently.
• Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.

• Titan International is a global manufacturer of off-the-road tires, wheels and undercarriages.
• The company serves the agricultural, earthmoving / construction, and consumer markets.
• Recent strategic actions have created higher margins in recent years and brought the leverage ratio down to 1.8x.

• The Technology Select Sector SPDR (XLK US) ETF tracks the Technology Select Sector Index and has an AUM of over US$65bn.
• The recent drop in NVIDIA Corp (NVDA US) has taken its market cap and free float market cap lower than Microsoft Corp (MSFT US) and Apple (AAPL US). 
• If that continues to be the case on 13 September, there will be huge outflows for NVIDIA (NVDA) and huge inflows for Apple (AAPL) at the close on 20 September.

• China’s state grid is increasing spending by 13% this year, which could boost sentiment in the copper sector
• Chinese steel rebar standards are changing, leading to concerns about obsolete inventories and potential pressure on steel prices
• India’s rising demand for metals, particularly in steel production, could have a significant impact on the global market by 2030

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Flex Ltd. reported solid financial results, reflecting a combination of strategic positioning and operational resilience.
• The company delivered $6.3 billion in revenue for the quarter, slightly exceeding expectations, while achieving an adjusted operating margin of 4.8%.
• This translated into an adjusted earnings per share (EPS) of $0.51, which is a 9% increase year-over-year.

• The S&P 500 INDEX is massively oversold WEEKLY (and DAILY).
• Our models indicate the index is trading in the “Tails” area of the LONG model, a reversal is probably imminent, but forecasts in this  price area are less reliable.
• Accumulation can start from Monday’s low prices (around 5100), the reversal will probably come next week.

• The US oil and gas rig count declined by three to 586 for the week ending 02/Aug, following two consecutive weeks of increases. 
• The US oil rig count held steady at 482, after rising by 5 last week. Gas rigs decreased by three to 98, marking a second consecutive weekly decline.  
• In May, US crude oil production experienced its first monthly decline since January, while natural gas output dropped to its lowest level since February 2023. 

• Royal Caribbean Group has reported a robust set of results for the second quarter of 2024, showcasing strong demand and positive momentum across its portfolio of offerings.
• The company’s success is evident in the achievement of its ‘Trifecta’ financial targets 18 months ahead of schedule.
• This three-year financial performance program aimed to deliver triple-digit adjusted EBITDA per APCD, double-digit adjusted earnings per share (EPS), and a return on invested capital in the teens, all of which have been met.

• Quest Diagnostics delivered a mixed yet overall positive performance in its recent financial results.
• The company reported a 2.5% increase in total revenues, with base business revenues growing by nearly 4%.
• This growth is attributed to the expansion of new physician and hospital customers and an improved test mix, with advanced diagnostics seeing greater adoption and healthcare utilization remaining strong.

• Financial markets are a humbling mechanism.
• The past two weeks remind us just how difficult predicting the future can be.
• Since our market cycle indicator signalled a crypto slowdown on June 2nd, we have been risk-off.

• Kellanova, a renowned snack food manufacturer known for brands like Cheez-It and Pringles, has recently attracted the interest of Mars, the global confectionery giant behind M&M’s and Snickers.
• With a market value of approximately $27 billion, including debt, Kellanova is a significant player in the packaged food sector.
• Despite its robust market presence and diverse product portfolio, Kellanova’s shares have underperformed relative to peers, presenting a potential acquisition opportunity.

• In the second quarter of 2024, 3M Company reported a robust financial performance, characterized by a 40% increase in non-GAAP earnings per share to $1.93 and modest organic revenue growth of 1%.
• The adjusted free cash flow for the period was $1.2 billion, showcasing a conversion rate of 109%.
• These results reflect the company’s ongoing efforts to navigate significant structural changes and market challenges, leveraging operational efficiencies, and recent strategic adjustments, including the spin-off of its Health Care business and the organizational shift to a global business unit structure.

• Q2 revenue of $64.73 billion and EPS of $2.95 surpassed expectations of $64.39 billion and $2.93, respectively. Intelligent Cloud revenue reached $28.52 billion but below analysts’ $28.68 billion expectation. 
• Activision acquisition boosted revenue by 3 points but cut EPS by $0.06 due to lower operating income.
• While Microsoft’s core cloud business slowed, it increased capex significantly. Uncertain GenAI monetization might shift wealth from Microsoft shareholders to Nvidia shareholders.

• ADM’s Q2 results underperformed analyst expectations with both EPS and revenue missing analyst estimates.
• Operating profit declined for Ag Services & Oilseeds (ASO) and Nutrition, while Carbohydrate Solutions saw an uptick, driven by margin and volume expansion in Starches and Sweeteners.
• ADM expects weak Q3 for AS&O and Carbohydrate Solutions, with improvements expected in H2 2024. Nutrition is expected to perform strongly due to cost efficiency and volume expansion.

• Copper declined below the 9,000 USD/ton levels (WoW by -0.5%) due to weakness in financial markets caused by the Federal Reserve’s slowness in cutting rates. 
• Positive signs for copper were the Yangshan Copper Premium inflecting into positive territory and combined inventory on all exchanges being drawn down by almost 5%. 
• Lundin Mining (LUN CN) and BHP Group Ltd (BHP AU) will acquire Filo (FIL CN) for 4.1 bn CAD and develop the Josemaria project in Argentina. 

• In a shocking turn of events, Intel Corporation, a long-standing leader in the semiconductor industry, witnessed one of its worst days on Wall Street, losing over a quarter of its market value in a single trading session.
• The drastic drop followed the company’s announcement of a $1.6 billion net loss for the second quarter of 2024, a stark contrast to the $1.47 billion profit reported in the same period the previous year.
• Intel’s share price plummeted by 27%, marking its steepest decline since 1974, as the company grappled with disappointing earnings, a bleak forecast, and a massive restructuring plan.

• North Dakota accounts for 51% of total US spring wheat production. The region’s projected 2024 crop yield 15% higher YoY at an average of 54.5 bushels per acre.
• Large old-crop corn inventories record yield of 183-185 bpa collectively dragging corn prices down.
• Wheat vols rebounded last week after falling the prior week. Prices face uncertainty as strong exports, lower production in EU & China provides support against massive US harvest.

• In a dynamic and evolving media landscape, Paramount Global finds itself the subject of takeover speculation, igniting interest among investors.
• Reports suggest that Edgar Bronfman Jr., the former CEO of Warner Music and Seagram, is considering a bid for Paramount’s parent company, National Amusements, with backing from Bain Capital.
• This development emerges just as Paramount is concluding a 45-day “go-shop” period related to a potential deal with Skydance Media, expiring on August 21st.

• BP’s operating revenue declined by 2.55% YoY, falling short of estimates by 9.78%, while underlying net profit increased by 6.45% YoY, exceeding EPS estimates by 8.75%.
• Strong performance from the Oil Production & Operations and Customers & Products segments drove underlying net profit growth.
• BP announced a 10% increase in its interim dividend to 8 cents/share and completed USD 1.75 billion in share buybacks in Q2.

• Q224 revenues of $12.8 billion, in line with their updated May outlook, ~flat QoQ and down 1% YoY.
• Gross margin (non-GAAP) was 38.7%, down 1.1 points YoY but down a whopping 4.8 points from the April outlook.
• Shares tanked >24% in after hours trading. What’s really going on at Intel? 

• Waste Connections demonstrated strong financial performance in the latest quarter, driven by solid waste pricing and effective cost management.
• The company’s revenue grew by over 11%, with core solid waste pricing contributing significantly to this growth.
• Despite a slight decline in volumes, the company’s strategic approach to pricing and contract renewals has maintained revenue quality, offsetting the negative impact of lower special waste volumes and other cyclical challenges.

• United Rentals recently discussed its financial performance and strategic direction, presenting a mixed but robust picture of its operational and financial health.
• The company reported a notable increase in total revenue, which rose by 6% year-over-year to $3.8 billion in the second quarter, with rental revenue climbing 8% to $3.2 billion.
• This growth was bolstered by fleet productivity, which also saw an improvement of 4.6%.

• Whirlpool Corporation reported its second quarter earnings for 2024, reflecting a mixed performance amid a challenging macroeconomic environment.
• The company showed strong sequential global margin expansion and reiterated its net sales guidance at $16.9 billion.
• However, it faced downward pressure on discretionary demand due to the soft housing market, particularly affecting the North American market.

• Ford Motor Company’s second quarter 2024 performance offers a comprehensive snapshot of a transitional phase in the company’s long-standing history.
• The quarter reflects their advancing Ford+ strategic plan which aims to refine operational efficiencies and bolster profit margins through structural adaptations and technological advancements.
• Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.

• Fortive Corporation’s recent earnings report underscores its strategic focus and financial agility in today’s economic environment.
• The firm showcased a robust display of financial discipline and strategic execution, achieving earnings and free cash flow at the high end of expectations.
• Despite facing a low growth environment, Fortive demonstrated a remarkable 90 basis points of adjusted operating margin expansion and a 9% growth in adjusted earnings, which highlights its operational efficacy and resilience.

• Newmont Corporation reported strong second quarter results, keeping the company well-aligned with its 2024 guidance and reinforcing its position to improve financial performance as the year progresses.
• In the quarter under review, Newmont achieved a production of 1.6 million ounces of gold, alongside 477,000 gold equivalent ounces from other minerals including copper, leading to a solid cash flow generation of $1.4 billion from operations and $594 million in free cash flow.
• These figures underscore the company’s robust operational achievements despite the usual challenges faced in the mining sector.

• O’Reilly Automotive, Inc. faced a challenging second quarter in 2024, with performance below expectations due to broader industry demand headwinds.
• Despite these challenges, the company reported a 2.3% increase in comparable store sales, continuing to outperform the industry.
• Adjustments in full-year outlook for operating profit and earnings per share were made following these results.

• Republic Services has reported robust second quarter results, continuing its positive momentum with strategic execution in key areas including customer engagement, digital transformation, and sustainable practices.
• Revenue growth in the quarter stood at 9%, while adjusted EBITDA grew by 13%, reflecting strong operational performance and efficient management strategies.
• This growth was driven by a focus on high-quality customer service and organic growth, maintaining a customer retention rate above 94%.

• Tenet Healthcare Corporation delivered robust financial results in the second quarter of 2024, surpassing expectations with net operating revenues recorded at $5.1 billion.
• The performance was marked by a notable 12% year-over-year growth in consolidated adjusted EBITDA, which reached $945 million, translating to an adjusted EBITDA margin of 18.5%.
• This growth is primarily attributed to strong operational execution and strategic expansions across its segments.

• Amazon anticipates a 13% YoY rise in Q2 2024 revenue to $148.67 billion and a 58% YoY jump in EPS to $1.03, highlighting robust earnings.
• AWS is expected to see a $1 billion increase in quarterly revenue, reflecting an 18% year-over-year growth, driven by custom AI chips and model training services.
• Analysts have reaffirmed buy ratings for Amazon, with an average target price of $228, reflecting strong confidence in the company’s growth prospects.

• US crude inventories fell for the fifth consecutive week by 3.4 mb, exceeding the 1.6 mb decline expected by analysts. Gasoline stocks also decreased by 3.7 mb.
• As of the week ending 26/Jul, US natural gas inventories were up 8.4% YoY and 15.7% above the 5-year seasonal average.
• European oil majors beat Q2 profit estimates. BP’s Q2 underlying net profit beat estimates by 7.7%. Shell’s Q2 EPS beat estimates by 5.1%. 

• ExxonMobil anticipates a USD 1.1 billion to USD 1.5 billion dent on its Q2 earnings due to the industry-wide contraction in refining margins.
• Exxon Mobil anticipates the USD 300 million to USD 700 million negative impact on earnings from lower gas prices to be offset by gains from higher oil prices.
• Since acquiring Pioneer, Exxon more than doubled production to 1.3 mboepd from 2023. Full merger effects are expected in Q3.

• Meta’s Q2 revenue of $39.1B surpassed expectations, up 22% YoY. EPS jumped 73% YoY to $5.16, beating estimates.
• Ad revenue within the Family of Apps rose 22% YoY, driven by online commerce and strong performance in Europe and the Rest of the World.
• Q3 revenue forecasted between $38.5B and $41B. Meta’s AI investments are set to enhance ad delivery and support long-term growth, despite increasing CapEx.

• Sharecare is a data-driven healthcare platform with three segments and access to a large amount of data from claims and eligibility information for 13 million covered lives
• The company has a market cap of $243 million and generates around $445 million in revenue, with an adjusted EBITDA breakeven
• Sharecare has a strong cash position, no debt, and a promising outlook for their life sciences segment, making it a potentially valuable investment opportunity

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Laureate is a branded consumer business in the private higher education market in Mexico and Peru with strong growth potential
• The company has a solid balance sheet, is trading at low earnings multiples, and has untapped growth opportunities
• Laureate’s shares are undervalued due to potential association with the troubled for-profit education sector, but management may explore selling assets if shares remain undervalued, providing downside protection for investors

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• American Tower is a leading owner, operator, and developer of communications real estate with a large portfolio in the US
• The author sees the current trading in American Tower as an attractive entry point for investors
• The tower business is described as having valuable real estate, organic growth driven by data consumption, and strong demand for communication infrastructure

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Despite significant improvements in financial performance, Radiant Logistics’ share price has not reflected the company’s growth over the past seven years.
• The company’s strong balance sheet, free cash flow generation, and potential for growth through acquisitions make the stock appear undervalued.
• Radiant, a provider of third-party logistics services, may be an attractive acquisition target for larger logistics companies in the future.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• HWKN reported fiscal first quarter (June) where the water treatment business surpassed the industrial segment in sales and helped HWKN exceed our earnings estimate. 
• The water treatment business has grown through acquisition to a point where the segment has become a dominant portion of HWKN’s sales. 
• A higher earnings profile for HWKN and earnings continuing to grow in fiscals 2025 and 2026 leads us to raise our price target to $122 from $96.

• We are reiterating our Buy rating and $24 price target and raising our 2024 and 2025 projections for JAKKS Pacific after the company handily beat our 2Q24 projections, as gains in the core business offset expected material weakness in content-led (i.e. movie driven) offerings.
• Further, with the recent launch of The Simpsons and Authentic Brands driven licensed offerings, the upcoming launch of key Holiday movie properties (Moana 2 and Sonic the Hedgehog 3), new owned properties and a continued focus on international expansion, we view our projections, even after our top and bottom line increases, as conservative.
• Further, with JAKK continuing to trade at a material discount to their peers, we believe the risk/reward in the name remains impressive, and we reiterate our Buy rating and $24 price target.