Thursday, September 16, 2010

Earnings Update for 9/16/10

Today we say another interesting day of earnings by: Fedex (FDX), Oracle (ORCL), and Research in Motion (RIMM).

First up, Fedex.  FDX missed estimates...the good news: international sales rose 24%...the bad news: 1,700 trucking jobs will be cut.  Fedex may have missed numbers but I am impressed with its growth in the international setting.  Ultimately, I wouldn't buy it nor short it.  Lets wait until we see a more clear picture of a downtrend or uptrend.

Oracle: Reported great numbers, including 20% raise in net income.  Oracle has made some great decisions in last year that have really made Oracle a threat to rivals IBM, Dell, HP.  These are the acquisition of Sun Microsystems and hiring of Mark Hurd.  Larry Ellison has really stepped up his game and the stock's performance shows.  Buy ORCL on a pullback.

Research in Motion: How? How did RIMM post a gain that shocked all the analysts and traders alike?  The blackberry is a dying breed.  The numbers still show RIMM to have lost a lot of market share to the android smartphone system.  RIMM is still not a good stock to own because it is losing market share.  I am bearish on shares of RIMM and would be a seller.

On a side note, Balchem Corp, the Stock of the Month, hit a new 52-week high yesterday. 

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