BloggingStocks

Earnings highlights: Citigroup, eBay, IBM, Merrill Lynch, Microsoft and others

Trey Thoelcke — 2008-07-19T09:40:00+00:00

Filed under: Earnings reports, Microsoft (MSFT), eBay (EBAY), International Business Machines (IBM), Citigroup Inc. (C), Johnson and Johnson (JNJ), Cintas Corp (CTAS), Merrill Lynch (MER), Procter and Gamble (PG), Kimberly-Clark (KMB), Allegheny Technologies (ATI), Harley-Davidson (HOG), United Technologies (UTX)

Here are some highlights from this past week's earnings coverage from BloggingStocks:

Activision Blizzard Inc. (NASDAQ: ATVID) sees strong Q1 results driven by Guitar Hero.
Allegheny Technologies Inc. (NYSE: ATI) raised its Q2 earnings guidance ahead of its report.
Cintas Corp. (NASDAQ: CTAS) strong Q4 and full-year results included a record quarterly revenue.
Citigroup (NYSE: C) posted better-than-expected results despite a big loss on further write-downs.
eBay Inc. (NASDAQ: EBAY) reported better-than-expected results and offered a soft outlook (see transcript).
Fastenal Co. (NASDAQ: FAST) posted strong Q2 earnings despite the housing slump but lower revenues.
Grainger Inc. (NYSE: GWW) posted strong Q2 results on expansion in Mexico and China.
Harley-Davidson Inc. (NYSE: HOG) beat Q2 expectations despite profit and revenue declines.
International Business Machines Corp. (NYSE: IBM) easily topped Wall Street earnings expectations.
Johnson & Johnson (NYSE: JNJ) beat Q2 estimates and raised its full-year forecast (see transcript).
Kimberly-Clark Corp. (NYSE: KMB) warned of lower Q2 earnings due to energy and distribution costs.
Merrill Lynch & Co. (NYSE: MER) reported worse-than-expected Q2 results on further write downs.
Microsoft Corp. (NASDAQ: MSFT) earnings surged but investors were put off by its full-year guidance.
Procter & Gamble Co. (NYSE: PG) reaffirmed its guidance following the Kimberly-Clark warnings.
United Technologies Corp. (NYSE: UTX) beat Q2 estimates, lifting shares from a recent 52-week low.
ValueClick Inc. (NASDAQ: VCLK) posted weak results and warned about the second half of the year.

For more highlights from this week, see: Google, Intel, JPMorgan, Coca-Cola, Nokia and others

The earnings crunch continues next week. Among companies scheduled to report are Apple (NASDAQ: AAPL), Bank of America (NYSE: BAC), Merck (NYSE: MRK), Texas Intruments (NYSE: TXN), Caterpillar (NYSE: CAT), Halliburton (NYSE: HAL), United Parcel Service (NYSE: UPS), Wachovia (NYSE: WB), Yahoo! (NASDAQ: YHOO), Amazon (NASDAQ: AMZN), Anheuser-Busch (NYSE: BUD), AT&T Inc. (NYSE: T), McDonald's (NYSE: MCD), PepsiCo (NYSE: PEP), Pfizer (NYSE: PFE), Boeing (NYSE: BA), Hershey (NYSE: HSY), and Southwest Airlines (NYSE: LUV).

Visit AOL Money & Finance for more earnings coverage.

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Harley-Davidson rallies on Q2 earnings, but I'm not taking the ride

Steven Mallas — 2008-07-17T15:05:00+00:00

Filed under: Earnings reports, Ford Motor (F), General Motors (GM), Harley-Davidson (HOG)

I've never used a motorcycle before in my life and don't know much about the vehicles, but I recognize that Harley-Davidson, Inc. (NYSE: HOG) is an American icon whose product represents an aspirational brand. Even so, the company and its stock finds itself on hard times. The company's latest earnings report is reflective of the current economic malaise.

The first paragraph of the Q2 release tells me almost all I need to know. Revenues declined almost 3% to $1.57 billion. Net profit on a dollar basis dropped sharply by 23%, coming in at $222.8 million. Diluted earnings per share decreased by nearly 17% to $0.95. These numbers are not good. Also, in terms of cash flow, cash was used to fund operations for the first six months of the fiscal year as opposed to being generated. Yet another negative.

As I write this, Harley-Davidson's stock is up well over 7%. Am I impressed? Not enough to buy. Undoubtedly some of this rise can be attributed to the retreat in oil futures. But do I believe the economy will now be nice to Harley-Davidson? Not yet. The company, like General Motors Corporation (NYSE: GM) and Ford Motor Company (NYSE: F), will still have a rough time selling things that require fuel to run. According to this article, Harley-Davidson did better than expected, but that's little comfort to me. You can make an argument that the stock is cheap, but at the very least, anyone interested in buying it (again, I'm not) better wait till the euphoric rally of the day has faded.

Disclosure: I don't own any company mentioned; positions can change at any time.

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Harley Davidson museum aims to be one big biker rally

Gary E. Sattler — 2008-07-16T18:38:00+00:00

Filed under: Harley-Davidson (HOG)

In keeping with its typical marketing flavor, Harley Davidson Inc., (NYSE: HOG) wants its newly opened Harley Davidson museum to be more about the rider's experience than just the ride. The company wants its museum to be a lifestyle exploration adventure, rather than a commercial presentation. While the new attraction indeeds feature hundreds of motorcycles, reams of vintage Harley Davidson advertising and other Harley memorabilia, in an article published by Business Week, museum director, Stacey Schiesl is quoted as stating: "It's not just about what's inside."

It's always been that way with Harley Davidson. In strong years and lean years, the company had always taken the experience of its enthusiasts very seriously. That is why the museum was designed and constructed to be enjoyed in a manner that stimulates what Harley owners like most about their bikes. It's a feeling of camaraderie. It's a sharing of an experience. It's good will and good times on a piece of open road. Architects designed the site to reflect and embody a feeling of Main Street Americana, with accommodations for up to 15,000 bikes at any given time.

The Harley Davidson Museum is a testimonial to 105 years of American made motorcycle greatness. Even in the face of tough times, with the company forecasting slowed earnings and reduced production, it's good to see that it has maintained its successful focus: to create both a visual and a tangible motorcycling lifestyle experience for all motorcycle enthusiasts to enjoy.

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Most overvalued & undervalued tech stocks, best places to live 2008 & banks at risk - Today in Money 7/14

Allan Halprin — 2008-07-14T08:36:00+00:00

Filed under: Google (GOOG), Microsoft (MSFT), Yahoo! (YHOO), Cisco Systems (CSCO), Dell (DELL), Hewlett-Packard (HPQ), eBay (EBAY), Starbucks (SBUX), Amazon.com (AMZN), Intel (INTC), Money and Finance Today, Anheuser-Busch Cos (BUD), Federal Natl Mtge (FNM), Harley-Davidson (HOG), EMC Corp (EMC), IndyMac Bancorp (IMB)

In the News:

· U.S. Rescues Fannie Mae & Freddie Mac

· Another American Icon Falls as Belfium's InBev Buys Anheuser-Busch for $52 Billion

· Yahoo Rejects Microsoft's Latest Offer

· Golden Era of the Small Seller on eBay Comes to an End

· Microsoft Cuts Xbox Price by $50

· Steve & Barry's Collapse Hits Mall Owners

· Starbucks Turns to Smoothies

· The Harley Museum Goes the Whole Hog

Most Overvalued & Undervalued Tech Stocks
Foreign revenues and other factors that once offered safety are now threats, and investors are doubting the growth prospects of Internet giants. See if Amazon, Cisco, Dell, eBay, EMC, Google, HP, Microsoft, Intel, Yahoo are undervalued, fairly valued or overvalued.
What's Hurting Tech Stocks Overvalued or Undervalued? - BusinessWeek

Best Places to Live 2008
Topnotch schools, good jobs, affordable housing, low crime, an active outdoor culture help Plymouth, Minnesota to replace Middleton, Wisconsin on top of Money Magazine's annual list of the Best Places to Live in America. Other places in the top 10 include Ft. Collins, Colorado, Naperville, Illinois, Irvine, California, Franklin Township, NJ, Norman, Oklahoma, Round Rock, Texas, Columbia/Ellicott City, Maryland, Overland Park, Kansas and Fishers, Indiana.
Best places to live 2008 - from MONEY Magazine
Also: Texas is Home to Most Cities on Best Places List

Banks at Risk of Failing Almost Double Since 2006; Is Your Money Safe?
Rising losses from bad mortgages and low capital levels are threatening the viability of a small, but growing, number of U.S. banks. On Friday, IndyMac, a mortgage lender with $32 billion in assets, became the fourth-largest financial institution to be taken over by regulators. IndyMac is the fifth institution to fail this year and likely won't be the last victim of the credit crisis. See how bank failures happen and what it means to you.
Banks at risk of failing almost double since 2006 - USATODAY.com
Q&A: How bank failures happen and what they mean - USATODAY.com
From MainStreet - Are Your Banks FDIC Insured?

Buying Private Insurance Can Be Tricky
Think shopping home and auto policies is fun? Try buying your own health insurance. Like "Operation," private health insurance is a game where the smallest error can cause a huge (financial) shock.
Buying private health insurance -Bankrate.com

Unusual Ways Airports Are Making Money
Airports around the country are trying out surprising sources of income. Anyone want to buy some hay? Traditionally, airports have generated most of their money from airlines-in the form of landing fees and fees for the use of terminal facilities-and from non-aeronautical sources such as parking lots, concessions, and advertising. But while the costs to run an airport have risen significantly over the years, airlines, pinched by high fuel prices, have balked at paying increased fees. In the scramble for dollars, some airports, especially smaller and midsize ones more vulnerable to losing airlines because of higher fees, have turned to selling everything from branded products to natural-gas drilling rights.
Unusual Airport Income - Business Travel - Feature Articles - Portfolio.com

How to Cash in on Your Baby if You Aren't Angelina Jolie
Don't let the stars outshine you. You may not be able to command seven figures for your baby's photos, but there are tons of freebies waiting to be plucked by new parents. And MainStreet has a list.
How to Cash in on Your Baby If You Are Not Angelina Jolie | MainStreet

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The week in preview: Expectations as the earnings crunch begins

Trey Thoelcke — 2008-07-13T12:30:00+00:00

Filed under: Earnings reports, Forecasts, Google (GOOG), Microsoft (MSFT), eBay (EBAY), Coca-Cola (KO), Intel (INTC), International Business Machines (IBM), Schlumberger Limited (SLB), Nokia Corp. (NOK), Johnson and Johnson (JNJ), Advanced Micro Dev (AMD), Abbott Laboratories (ABT), Baxter Intl (BAX), Safeway Inc (SWY), Gannett Co (GCI), Yum Brands (YUM), Mattel, Inc (MAT), Nucor Corp (NUE), Contl Airlines'B' (CAL), Harley-Davidson (HOG), Economic data, Honeywell Intl (HON), United Technologies (UTX), Eaton Corp (ETN), Delta Air Lines (DAL)

As the second quarter earnings crunch begins in earnest this week, the bear market has investors jittery and prognosticators spinning out dire warnings. In the wake of mixed results from Alcoa (NYSE: AA) and General Electric (NYSE: GE) kicking things off last week, here's a look at what Wall Street is expecting from many of the companies scheduled to report this coming week.

Analysts surveyed by Thomson Financial are expecting the following companies to report a rise in earnings when compared to the same period of the previous year.

Nucor Corp. (NYSE: NUE): $1.80 EPS (36.6%) on sales of $6.4 billion (+53.0%)
Google Inc. (NASDAQ: GOOG): $4.74 EPS (24.9%) on sales of $3.9 billion (+41.6%)
Nokia Corp. (NYSE: NOK): 56 cents EPS (23.2%) on sales of $19.9 billion (+17.8%)
CSX Corp. (NYSE: CSX): 90 cents EPS (21.1%) on sales of $2.9 billion (+12.8%)
Altera Corp. (NASDAQ: ALTR): 27 cents EPS (18.5%) on sales of $346.7 million (+8.4%)
IBM (NYSE: IBM): $1.82 EPS (+17.6%) on sales of $25.9 billion (+9.0%)
eBay Inc. (NASDAQ: EBAY): 41 cents EPS (17.1%) on sales of $2.2 billion (+18.0%)
W.W. Grainger Inc. (NYSE: GWW): $1.46 EPS (17.1%) on sales of $1.7 billion (+8.0%)
Microsoft Corp. (NASDAQ: MSFT): 47 cents EPS (17.0%) on sales of $15.7 billion (+17.0%)
Honeywell International Inc. (NYSE: HON): 94 cents EPS (17.0%) on sales of $9.2 billion (+7.9%)

Eaton Corp. (NYSE: ETN): $1.95 EPS (12.8%) on sales of $4.1 billion (+27.5%)
Intel Corp. (NASDAQ: INTC): 25 cents EPS (12.0%) on sales of $9.3 billion (+7.4%)
Abbott Laboratories (NYSE: ABT): 79 cents EPS (12.7%) on sales of $7.2 billion (+13.2%)
Baxter International Inc. (NYSE: BAX): 82 cents EPS (12.2%) on sales of $3.1 billion (+7.7%)
Coca-Cola Co. (NYSE: KO): 96 cents EPS (11.5%) on sales of $8.9 billion (+15.6%)
Danaher Corp. (NYSE: DHR): $1.06 EPS (11.3%) on sales of $3.2 billion (+18.4%)
United Technologies Corp. (NYSE: UTX): $1.30 EPS (10.8%) on sales of $15.3 billion (+9.9%)
Schlumberger Ltd. (NYSE: SLB): $1.12 cents EPS (8.9%) on sales of $6.5 billion (+14.8%)
Illinois Tool Works Inc. (NYSE: ITW): 97 cents EPS (7.2%) on sales of $4.6 billion (+9.9%)
Yum! Brands Inc. (NYSE: YUM): 42 cents EPS (7.1%) on sales of $2.6 billion (+7.6%)
Johnson & Johnson (NYSE: JNJ): $1.12 EPS (6.3%) on sales of $16.0 billion (+5.7%)
Safeway Inc. (NYSE: SWY): 52 cents EPS (5.8%) on sales of $10.2 billion (+3.9%)
Genuine Parts Co. (NYSE: GPC): 79 cents EPS (3.8%) on sales of $2.9 billion (+2.8%)

Analysts are looking for a number of the big financials reporting next week to post declines in earnings, but I've focused on those companies in a separate post (see Financials expected to post earnings declines, losses this week). The companies below are also expected to post declines in profit.

Novellus Systems Inc. (NASDAQ: NVLS): 4 cents EPS (-91.1%) on sales of $251.5 million (-39.6%)
Delta Air Lines Inc. (NYSE: DAL): 11 cents (-84.3%) on sales of $5.4 billion (+8.3%)
Mattel Inc. (NYSE: MAT): 3 cents EPS (-50.0%) on sales of $1.0 billion (+3.9%)
Harley-Davidson Inc. (NYSE: HOG): 76 cents EPS (-33.3%) on sales of $1.4 billion (-12.4%)
Gannett Inc. (NYSE: GCI): $1.02 EPS (-17.7%) on sales of $1.7 billion (-10.0%)
Sherwin-Williams Co. (NYSE: SHW): $1.39 EPS (-8.6%) on sales of $2.2 billion (-0.3%)

Continental Airlines Inc. (NYSE: CAL) is expected to swing to a loss of 52 cents (from $2.10 EPS last year) on $4.1 billion (+9.3%). And Advanced Micro Devices Inc. (NASDAQ: AMD) is expected to narrow its loss to 52 cents per share (from 95 cents per share last year) on sales of $1.5 billion (+5.2%).

With expectations listed out this way Wall Street seems pretty optimistic about earnings (other than for financial companies; see Financials expected to post earnings declines, losses this week). But we'll see this week whether the companies above can live up to these expectations. Do you think they will?

Other economic data coming out next week include:

Producer price index (June 2008), Tuesday, 8:30 a.m. ET
Business inventories (May 2008), Tuesday, 10:00 a.m. ET
Consumer price index (June 2008), Wednesday, 8:30 a.m. ET
NAHB housing market index (July 2008), Wednesday, 1:00 p.m. ET
Housing starts (June 2008), Thursday, 8:30 a.m. ET

Visit AOL Money & Finance for more earnings coverage.

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Option Update: Harley-Davidson puts active into EPS

Paul Foster — 2008-07-09T14:48:00+00:00

Filed under: Harley-Davidson (HOG), Options

Harley-Davidson (NYSE: HOG) is recently down 71 cents to $35.88, near five-year low.

HOG is expected to report Q2 EPS on July 17.

HOG call option volume of 1,129 contracts compares to put volume of 5,082 contracts. HOG July option implied volatility of 61 is above its 26-week average of 40 according to Track Data, suggesting larger price risk.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

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Before the bell: F, VZ, IACI, GOOG, V, HOG, AAPL

Melly Alazraki — 2008-04-28T08:17:00+00:00

Filed under: Before the bell, Earnings reports, Deals, Launches, Consumer experience, Competitive strategy, Google (GOOG), Apple Inc (AAPL), Ford Motor (F), IAC/InterActiveCorp (IACI), Verizon Communications (VZ), Harley-Davidson (HOG)

Before the bell: Futures higher following deal news; investors await Fed move

Kirk Kerkorian's Tracinda Corp. is planning to offer $8.50 per share for up to 20 million shares of Ford Motor Co. (NYSE: F), a 13.3% premium over Friday's close. Tracinda now owns 100 million Ford shares, or 4.7% of the outstanding stock, which would increase to 5.6% when the offer is completed. Ford shares climbed over 6.5% in premarket trading. The deal, announced recently, is helping stock futures' upward movement.

Verizon Communications Inc. (NYSE: VZ) reported a 9.8% rise in its first-quarter earnings as its wireless division attracted more customers than other carriers. Excluding items, earnings were 61 cents per shares, inline with estimates. Revenue rose 5.5% to $23.8 billion, also inline with estimates. VZ shares are up 1.9% in premarket trading.

According to The New York Post, Barry Diller and Liberty Media (NASDAQ: LINTA) Chairman John Malone are continuing to talk about "a deal that would trade one or more of IAC Interactive (NASDAQ: IACI)'s assets for Liberty's ownership stake in IAC." Diller is also "expected to meet with his board this week to restart the process of breaking up his company into five separate pieces."

Visa Inc. (NYSE: V) shares are up nearly 2% in premarket trading as the world's largest credit-card processor is expected to post quarterly results late in the day and report strong profits for the second quarter.

Harley-Davidson, Inc. (NYSE: HOG) raised the quarterly dividend 10% to 33 cents a share, payable June 20 to holders of record June 5.

The New York Times reports that Google Inc. (NASDAQ: GOOG) researchers "have a software technology intended to do for digital images on the Web what the company's original PageRank software did for searches of Web pages." VisualRank is an algorithm that blends "image-recognition software methods with techniques for weighting and ranking images that look most similar."

And the latest on the 3G iPhone Apple Inc. (NASDAQ: AAPL) is expected to launch soon comes from a company, Foxconn Electronics (Hon Hai Precision Industry), which has reportedly landed orders for the assembly of the much talked about iPhone. Shipments, it is said, are to begin in June this year, for three million units, but total shipment is expected to be 24-25 million units throughout its life-cycle. Foxconn is currently the sole manufacturer of first-generation iPhones.

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Harley-Davidson (HOG) sinks on analyst commentary

Brent Archer — 2008-04-14T14:14:00+00:00

Filed under: Major movement, Analyst reports, Bad news, Harley-Davidson (HOG), Options, Technical Analysis

Harley-Davidson Inc. (NYSE: HOG) shares are falling today after a research report was released this morning by Soliel that indicated HOG may lower its guidance. If you think this stock won't be rising too far in the coming months, then it could be a good time to look at a bearish hedged play on HOG.

After hitting a one-year high of $66.00 last April, the stock hit a one-year low of $34.17 in March. This morning, HOG opened at $36.47. So far today the stock has hit a low of $35.34 and a high of $36.47. As of 12:40, HOG is trading at $35.80, down $1.26 (-3.4%). The chart for HOG looks bullish but deteriorating, while S&P gives the stock a negative 2 STARS (out of 5) sell rating.

For a bearish hedged play on this stock, I would consider a May bear-call credit spread above the $40 range. A bear-call credit spread is an options position that combines the purchase and sale of call options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make an 11.1% return in five weeks as long as HOG is below $40 at May expiration. Hershey would have to rise by more than 12% before we would start to lose money. Learn more about this type of trade here.

HOG hasn't been above $40 by more than a little bit since January and has shown resistance around $39 recently. This trade could be risky if the company's earnings (due out on Thursday) are a positive surprise, but even if that happens, this position could be protected by resistance HOG might find just above $40, where the stock has topped out a few times in the past three months.

Brent Archer is an options analyst and writer at Investors Observer.

DISCLOSURE: Mr. Archer owns and/or controls diversified portfolios of long and short stock and option positions that may include holdings in companies he writes about. At publication time, Brent neither owns nor controls positions in HOG.

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Early analyst calls (DNA) (BP) (HOG)

Douglas McIntyre — 2008-04-11T07:21:00+00:00

Filed under: Before the bell, Analyst upgrades and downgrades, BP p.l.c. ADS (BP), Genentech Inc (DNA), Harley-Davidson (HOG)

Genentech (NYSE:DNA) was cut to "market weight" from "overweight" at Thomas Weisel according to MarketWatch.

Broadpoint upgraded Aventine Renewable Energy (NYSE:AVR) to "neutral" from "under-perform" according to Briefing.com. The news service also reports that JP Morgan upgraded BP (NYSE:BP) to "overweight" from "neutral."

Harley-Davidson's (NYSE:HOG) sales will be hurt in Q1 by an overall 7 percent and 9 percent motorcycle sales drop nationwide according to Wachovia research quoted by the AP.

Douglas A. McIntyre is an editor at 247wallst.com.

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Chasing Value: Harley-Davidson born to be wild but not HOG wild

Sheldon Liber — 2008-04-04T14:14:00+00:00

Filed under: International markets, Management, Harley-Davidson (HOG), Chasing Value, Stocks to Buy

When last I looked at Harley-Davidson (NYSE: HOG) in 2007 the stock was trading a lot higher. I argued at the time that there was value in this quality company and investors should take a look. Others liked the company, but wisely said there was plenty of time to wait because profits would be coming down with the slowing economy.

Some commented that HOG was over-priced in the high $40's even though it had come down from it's 52-week high of $66 per share. It was trading at a sizable 26% discount when I posted Chasing Value: Harley-Davidson (HOG) profits down 15% -- beats Wall St. last November at $48.95. Having closed yesterday at $39.39 it is now down over 40%.

Many of the brightest minds in my circles feel the economy will not pick up significantly for another 18 months and that we will have fits and starts in between then and now. There does not appear to be any urgency to acquiring stocks that will be dependent on economic recovery to turn for the better. However, HOG might be one to dollar cost average into over time if you believe it will not turn into General Motors or fade like Levi Strauss.

It is currently paying over a 3% dividend yield and unlike other companies Harley has been raising it recently, not lowering it. The P/E ratio of 10 which is projected to hold going forward, the ROE over 36 which is substantial and the ROIC over 20 are more than respectable.

I have not heard even a whisper doubting its superior quality of management and they seem to have put any labor issues to rest as well. I thought there was value in HOG a few months ago so I have to believe the story is even better today with international markets growing and all types of motorcycles being considered for those trying to stretch their gas dollars.

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm. He writes the columns Chasing Value and Serious Money. Disclosure: I own shares of HOG.

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Expect a glut of HOGs

Gary E. Sattler — 2008-02-28T13:42:00+00:00

Filed under: Products and services, India, China, Harley-Davidson (HOG)

I don't normally watch the stock of Harley Davidson Inc. (NYSE: HOG). Lately though, I've had a look at how it's doing and things look pretty ugly right about now. Value investors might be tempted to buy in or to build on an existing position at this time, and that may be a good choice, but as far as a seasonal investment, this year HOG may be scheduled for intake to the slaughter house. In the face of a worsening economy and a kaleidoscope of consumer credit woes, that big bike maker probably won't be faring so well. It's my opinion that domestically, Harley Davidson is going to become it's own largest competitor, at least in the near term.

For the last 20 years, buying a Harley has been a purchase of status far more than an expenditure of need. As much as 85% of the Harley Davidson fleet has been purchased by pleasure riders rather than commuters or hard-core biker types. This reality puts those classy machines into the realm of consumer toys rather than consumer needs. Add to this the fact that Harley riders are getting older. They say: If you won't be able to pick up your bike when you lay it down, it's time to give up the ride.

My point here is that more and more Harley Davidson motorcycles are entering the secondary phase of their life cycles. First phase owners are beginning to sell off their bikes. I noticed the increase of used Harleys for sale beginning two years ago, and last year I noticed the start of a very slight decline in asking prices. This does spell good news if you're in the market for one, and if that's the case, I envy you. However, this signals tougher marketing domestically for that classic American icon, hence the Harley Davidson push into India and China.

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Earnings highlights: Bank of America, eBay, Ford, Motorola, Pfizer, and others

Trey Thoelcke — 2008-01-26T15:10:00+00:00

Filed under: Earnings reports, eBay (EBAY), Pfizer (PFE), Ford Motor (F), Motorola (MOT), AT and T (T), Bank of America (BAC), Hershey Co (HSY), Lennar Corp'A' (LEN), duPont(E.I.)deNemours (DD), Kimberly-Clark (KMB), Wachovia Corp (WB), UAL Corp (UAUA), Harley-Davidson (HOG), Honeywell Intl (HON), Delta Air Lines (DAL)

The earnings crunch is in full swing, and here are a few of the highlights of this past week's earnings coverage from BloggingStocks:

AT&T Inc. (NYSE: T) only met earnings expectations despite strong holiday iPhone sales.
Bank of America (NYSE: BAC) earnings plunged 95% due to mortgage-related write-downs.
Delta Air Lines Inc. (NYSE: DAL) narrowed its fourth quarter loss and beat expectations.
eBay Inc. (NADSAQ: EBAY) beat low expectations, but the CEO is to step down in March.
EI DuPont de Nemours & Co. (NYSE: DD) beat earnings expectations even thought profits fell 37%.
E*Trade Financial Corp. (NASDAQ: ETFC), posted a bigger-than-estimated fourth quarter loss.
Fifth Third Bancorp. (NASDAQ: FITB) missed estimates on acquistion costs and a one-time charge.
Ford Motor Co. (NYSE: F) missed low expectations, prompting further domestic cost reductions.
Harley-Davidson Inc. (NYSE: HOG) profit declined on weak domestic sales.
Hershey Co. (NYSE: HSY) profit sank due to rising costs, competition, and management shakeups.
Honeywell Internationl Inc. (NYSE: HON) only met estimates, despite growth in all business segments.
Kimberly-Clark Corp. (NYSE: KMB) profit slipped bet met expectations, due to increased paper costs.
Lennar Corp. (NYSE: LEN) reported a record quarterly loss due to the housing slump.
Motorola Inc. (NYSE: MOT) profit plunged due to loss of market share, and it forcasts a first quarter loss.
National City Corp. (NYSE: NCC) posted a bigger-than-expected loss, but shares rose anyway.
Pfizer Inc. (NYSE: PFE) profit plunged, but beat estimates, due to increased competition for generics.
UAL Corp. (NASDAQ: UAUA) narrowed its loss despite rising fuel prices and holiday cancellations.
Wachovia Corp. (NYSE: WB) earnings plunged 98% due to home loan write-downs.
WellPoint Inc. (NYSE: WLP) met earnings expectations and reaffirmed its 2008 outlook.

See additional earnings highlights.

Also, Jim Cramer's advice for what earnings should mean in your buy or sell decision. Both Peter Cohan and Georges Yared look at the part earnings have played in this week's volatility. And Aaron Katsman is bullish on tech stocks.

Upcoming results to watch for include Verizon (NYSE: VZ), Halliburton (NYSE: HAL), American Express (NYSE: AXP), McDonald's (NYSE: MCD), Yahoo! (NASDAQ: YHOO), Amazon.com (NASDAQ: AMZN), Starbucks (NASDAQ: SBUX), Altria (NYSE: MO), Boeing (NYSE: BA), United Parcel Service (NYSE: UPS), Procter & Gamble (NYSE: PG), Google (NASDAQ: GOOG) and Exxon Mobil (NYSE: XOM).

Visit AOL Money & Finance for more earnings coverage.

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Harley-Davidson (HOG) profit slips 26.3% in fourth-quarter

Eliza Popescu — 2008-01-25T12:29:00+00:00

Filed under: Earnings reports, Bad news, Management, Harley-Davidson (HOG)

The market continues to extend yesterday's rally, following an agreement by U.S. leaders to a stimulus plan to avoid a major slowdown in the country's economy, but motorcycle giant Harley-Davidson Inc. (NYSE: HOG) shares are in the red after posting a deep decline in its quarterly profit.

Harley-Davidson reported this morning a drop of 26.3% in its fourth-quarter profit, following weak motorcycles sales in the United States. The American market is its biggest and most important market.

Jim Ziemer, the company's chief executive, blames the "challenging" retail environment for the company's disappointing profit which fell to $186.1 million, or 78 cents per share. Harley-Davidson posted a net income of $252.4 million, or 97 cents per share in the same period a year ago. The results came in short of analyst estimates for a profit of 82 cents per share.

Taking a look at the company's quarterly sales, we see a drop of 7.7% to $1.39 billion from $1.50 billion a year ago. For the quarter, analysts, on average, were expecting the company show a revenue of $1.34 billion.

Harley-Davidson's revenue was hurt by lower U.S. bike sales, which lost 14.2%. The drop in the U.S. came as the slumping housing market and credit crisis put pressure on consumers' spending. However, sales outside the United States gained some ground during the quarter, led by a 45.9% rise in Canadian sales.

For the full year, the company's bike shipments fell 5.3% to 330,619 motorcycle units, from 349,196 bikes in 2006. The company trimmed its bike shipments to help dealers clear out inventory. For the first quarter of 2007, Harley-Davidson hopes for a rebound in its shipments which are expected to be between 68,000 and 72,000 bikes.

Looking ahead, Ziemer declared in a statement that the company "expects the U.S. economy to continue to be very challenging in 2008." Harley will monitor its wholesale shipments throughout the year and possibly cut back the production schedule even further if it seems to be the right decision for the company. Still, the company offered a modestly hopeful forecast, predicting a 4% to 7% gain in 2008 earnings and a moderate revenue growth.

Shares of HOG have sold off slightly over 3% today, trading down $1.15 to to $38.97. Let's take a look at a 12 month chart on the stock:

As you can see, its a definitely been a tough 12 months for Harley stock. What do you think? Will Harley be able to turn it around this year? Or will economic concerns continue to weigh on the stock?

Eliza Popescu is a financial writer for the online investment advisory service Investor's Observer.

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Fastest growing tech companies, richest people you've never heard of & retired at 40 - Today in Money 1/25

Allan Halprin — 2008-01-25T08:54:00+00:00

Filed under: Google (GOOG), Microsoft (MSFT), Caterpillar (CAT), Money and Finance Today, Hershey Co (HSY), Sun Microsystems (JAVA), News Corp'B' (NWS), Dow Jones and Co (DJ), Harley-Davidson (HOG), Honeywell Intl (HON), salesforce.com inc (CRM)

In the News:

· Stocks Look to Extend 2-Day Rally

· Microsoft Hits Home Run With Earnings

· Deal on Tax Rebates Reached...

· ... But Don't Spend Your Rebate Just Yet, It Will Be a Few Months Before You See It

· Rupert Murdoch Says WSJ.com Won't Go Free

· Honeywell Quarterly Profit, Sales Rise

· Caterpillar Profit Rises, 2008 Outlook Reaffirmed

· Harley-Davidson Hits the Breaks as Earnings Worst-Than-Expected

· Sun Micro Nearly Doubles Earnings

· It's Official: Home Prices Fell in 2007 for First Time in 4 Decades

· Economic Stimulus Plan Has 3 Prongs, But Housing Still Looks Iffy

· Hershey Agrees to Stop Production of Candy That Resembles Street Drugs

How Could One Man Cost a Company Over $7 Billion?
How could this possibly have happened? One of the biggest frauds in financial-services history apparently was carried out by a 31-year-old trader in Société Générale's Paris headquarters, whom multiple news sources have identified as Jerome Kerviel. Many are left to wonder about the lucrative but risky equity-derivatives business.
Société Générale's Fraud: What Now?

America's Fastest Growing Tech Companies
Even in a rough market, these companies are poised to soar. Topping the list is Google, followed by Salesforce.com, Ceradyne, Euronet Worldwide and Falconstor Software.
America's 25 Fastest-Growing Tech Companies - Forbes.com

Richest People You've Never Heard Of
Have you ever heard of Suzanne Klatten who is worth almost $10 billion or John Sall who is worth $4.4 billion? You might think enormous wealth guarantees instant notoriety. It doesn't. Mad money does not equal fame. These folks manage to skirt the public eye despite their billions.
The Richest People You've Never Heard Of - Forbes.com In Pictures: The Richest People You've Never Heard Of - Forbes.com

Meet the Nielsens: Retired at 40
The Nielsens planned to retire early from the day they got married. Now they've actually done it - and just might be able to make it stick. See how these military family who after more than 20 years of service - a period in which the family moved 15 times, lived in four countries and endured three deployments - Todd, 44, and Julie, 40, retired from the Air Force. Now they live in a four-bedroom house on a quiet cul-de-sac outside St. Louis, exulting in the ordinariness of their life.
Retired at 40 - MONEY

Cheapest Rooms in the World's Priciest Hotels
Want to travel like a billionaire but don't have the bank balance? Even as room rates soar to new heights, it is possible to find relatively affordable rooms at the world's most expensive hotels. Here's where to look.
Do Deals Exist at High-End Hotels? Photo Gallery: Cheapest Rooms in Priciest Hotels

Top Earning Musicians
The Police, Celine Dion, Josh Groban and Hannah Montana cleaned up during a tough year for the industry.
Music's Biggest Cash Kings - Forbes.com

Top 10 Role Models 18 And Under
Who says there's anything wrong with kids today? Here's a bunch your children can look up to. They include 8-year old trophy cart racer Hunter Stewart, 12-year old pencil bug entrepreneur Jason O'Neill, 16-year old Olympic-hopeful gymnast Shawn Johnson, 11-year old Oscar-nominated actress Abigail Breslin, 15-year old superstar Milley Cyrus and 18-year old soccer stary Freddy Adu to name a few.
Hot Role Models To Admire - Forbes.com

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Before the bell: AMGN, JAVA, CAT, HON, HOG ...

Melly Alazraki — 2008-01-25T08:16:00+00:00

Filed under: Before the bell, Earnings reports, Products and services, Apple Inc (AAPL), Caterpillar (CAT), Sun Microsystems (JAVA), Amgen Inc (AMGN), Harley-Davidson (HOG), Honeywell Intl (HON)

Before the bell: Making it three in a row? Futures point to a higher open

Amgen Inc (NASDAQ: AMGN) said on Thursday that fourth-quarter profit edged higher. The cost cut measure the world's largest biotechnology company by sales has taken helped it post a quarterly net profit of $835 million, or 76 cents per share, compared with a profit of $833 million, or 71 cents per share, a year ago. Excluding items, Amgen earned $1.00 per share, topping analysts' average expectations by 3 cents a share, according to Reuters Estimates. More importantly, though was Amgen's sales of the red blood cell booster Aranesp -- seen as its most important product -- which easily beat analysts expectation. Shares are up nearly 3.5% in premarket trading.

Caterpillar Inc. (NYSE: CAT) had just reported, saying its fourth-quarter earnings rose 11% to $975 million, or $1.50 per share on strong international growth, which offset weakness in the domestic market. Revenue rose 10% to $12.14 billion. Analysts were expecting a profit of $1.50 per share on revenue of $11.79 billion, according to a poll by Thomson Financial. Revenue outlook for 2008 was slightly below expectations. Stock is up 0.77% in premarket trading.

Honywell Internationl Inc. (NYSE: HON), also reported late Thursday, saying that fourth-quarter net income rose 18% to $689 million, or 91 cents per share, inline with analyst estimates. All its four business segments experienced growth. Fourth-quarter sales were up 12% to $9.3 billion. HON shares are up 1.4% in premarket trading.

Sun Microsystems Inc. (NASDAQ: JAVA) inched past Wall Street's estimates Thursday. Sun's net income leaped 95%, rising to $260 million, or 31 cents per share, for the three months ended Dec. 30. That was a penny higher than the average estimate of analysts surveyed by Thomson Financial. Sales inched up from last year's $2.57 billion to $3.61 billion this quarter, slightly higher than the $3.59 billion Wall Street was expecting. While content with the results, investors still worry about the competition and the server and software maker's ability to prosper. Shares were up 1.43% in premarket trading.

Harley Davidson Inc. (NYSE: HOG) said Friday its fourth-quarter profit tumbled 26.3% to $186.1 million, or 78 cents per share,due to slumping U.S. motorcycle sales amid a weakening economy. Revenue dropped 7.7% to $1.39 billion. Analysts had expected a profit of 82 cents per share on revenue of $1.34 billion.

Apple Inc. (NASDAQ: AAPL) shares seem to be in a recovery mood finally, indicating up 1.6% in premarket trading to $137.77. The new MacBook Air remains the talk of the town (or the blogosphere), this time Engadget. Engadget tested several Apple machines and found that MacBook Air is the slowest Apple machine on the block.

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Analyst downgrades: Harley-Davidson, JP Morgan, AMBAC

Eric Buscemi — 2008-01-17T11:58:00+00:00

Filed under: Analyst upgrades and downgrades, JPMorgan Chase (JPM), Adobe Systems (ADBE), Harley-Davidson (HOG), Wells Fargo (WFC)

MOST NOTEWORTHY: Harley-Davidson, JP Morgan Chase and AMBAC were today's noteworthy downgrades:

Citigroup downgraded shares of Harley-Davidson (NYSE: HOG) to Sell from Hold and lowered their target to $36 from $51 on expectations for sluggish U.S. retail sales in Q4. They expect U.S. retail sales to decline 10%-12% in the quarter.
JP Morgan (NYSE: JPM) was lowered to Perform from Outperform at Oppenheimer, citing the company's dramatic increase in consumer losses.
AMBAC (NYSE: ABK) was downgraded to Market Perform from Outperform at William Blair following news of the company's expected loss and CEO departure, given the lack of visibility.

OTHER DOWNGRADES:

Adobe (NASDAQ: ADBE) and McAfee (NYSE: MFE) Were downgraded to Neutral from Buy at UBS.
Lehman downgraded Decode Genetics (NASDAQ: DCGN) to Underweight from Equal Weight.
Oppenheimer downgraded Wells Fargo (NYSE: WFC) to Perform from Outperform.

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Before the bell: AMTD, CAL, AAPL, JSDA, HOG, YHOO ...

Melly Alazraki — 2008-01-17T08:33:00+00:00

Filed under: Before the bell, Earnings reports, Analyst reports, Analyst upgrades and downgrades, Deals, Yahoo! (YHOO), Apple Inc (AAPL), Dell (DELL), Hewlett-Packard (HPQ), Intel (INTC), JPMorgan Chase (JPM), Adobe Systems (ADBE), Alcoa Inc (AA), Altria Group (MO), Boeing Co (BA), TD AmeriTrade Holding (AMTD), Oracle Corp (ORCL), Jones Soda (JSDA), Contl Airlines'B' (CAL), Harley-Davidson (HOG), Wells Fargo (WFC), Time Warner Cable (TWC)

Before the bell: Futures flatten after Merril; investor awaits Bernanke

Notable analyst calls this morning:

Boeing (NYSE: BA) was upgraded by Bernstein from Market Perform to Outperform. However, Boeing said this morning, PrivatAir has ordered an additional 787-model airplane for $162 million.
Adobe Systems (NASDAQ: ADBE) and McAfee (NYSE: MFE) were downgraded from Buy to Neutral by UBS.
Harley Davidson (NYSE: HOG) was downgraded by Citigroup from Hold to Sell. Shares down over 4% in premarket trading.
Intel Corp. (NASDAQ: INTC) was downgraded by Charter Equity from Buy to Market Perform.
Oppenheimer downgraded JPMorgan Chase (NYSE: JPM) and Wells Fargo (NYSE: WFC) from Outperform to Perform.
Piper Jaffray downgraded Jones Soda (NASDAQ: JSDA) from Buy to Neutral. Shares down over 3% in premarket trading.
Friedman Billings, with its Outperform rating on Alcoa (NYSE: AA), lowered the aluminum maker's target price from $38 to $35.
Altria (NYSE: MO)'s target price was upped to $88 from $79 by Credit Suisse, which rates the stock Outperform.

TD Ameritrade Holding Corp. (NASDAQ: AMTD) reported a 65% rise in its fiscal first-quarter net income as trading activity increased and asset-based revenue continued to grow. The company reported $240.8 million net income, or 40 cents per share, beating estimates by a penny. AMTD shares are up 4% in premarket trading.

FORTUNE's Apple 2.0 reports that Acer has overtaken Apple (NASDAQ: AAPL) in both U.S. and worldwide computer sales, according to preliminary reports from Gartner and IDC. While Apple's domestic computer sales in the Christmas quarter were up about 30% YOY, triple the industry's average, Apple's share of the market actually fell during those three months, putting it in 4th place behind Dell (NASDAQ: DELL), HP (NYSE: HPQ) and Acer in U.S. personal computer sales.

Continental Airlines Inc. (NYSE: CAL) reported Thursday it had a pretax profit of $71 million for the fourth quarter on better-than-expected revenue of $3.52 billion. The airline carrier is delaying its report of its net income figures due to some accounting issues and should give a final report by mid-February.

Yahoo Inc (NASDAQ: YHOO) has agreed a deal to provide targeted display advertising on T-Mobile's Internet service Web 'n' walk in Britain.

Time Warner Cable (NYSE: TWC) "will experiment with a new pricing structure for high-speed Internet access later this year, charging customers based on how much data they download."

The ink didn't dry out on the BEA deal and Oracle (NASDAQ: ORCL) was at it again. The company announced yesterday it agreed to buy Captovation, a privately-held company that makes document imaging software.

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