Summary SJM recently reported Q2 results reflecting a marginal deterioration in adjusted gross profit margin and adjusted operating income margin relative to Q2 2017. Adjusted EPS revised downward for the second time subsequent to the release of FY adjusted EPS in June 2017 but FCF forecast remains consistent at $0.775B. SJM has a 4 pronged [...]
Summary NKE recently held its Investor Day in which it presented its strategy to improve results. Game changing innovation is expected to contribute to improved margins. Unlike many other companies, NKE is not using a significant amount of debt to financially engineer its stock price and EPS. NKE is suitable for a risk averse investor [...]
Summary This Home Depot Stock Analysis is based on Q3 results reported November 14, 2017 which includes increased diluted EPS guidance to $7.36 which is growth of approximately ~14% from fiscal 2016. It is one of a handful of companies with monster share buyback programs. A $15B share buyback program was authorized in early 2017. [...]
Summary This Paychex stock analysis is based on Q1 2018 result as at August 31, 2017. Paychex is a leading provider of payroll processing, human resources and benefits services. It is expensive at current the current price of ~$64.50. A price in the low $50s or below is more reasonable and is not totally out [...]
Summary Praxair reported strong Q3 2017 results on October 26, 2017 and provided an update on its proposed merger with Linde. The successful completion of the Praxair Linde merger in the 2nd half of 2018 will make the combined entity the largest player in the industry. Air Products reported strong Q4 and FY2017 results from [...]
Summary This Cintas Corporation stock analysis is based on Q1 2018 results released September 26, 2017. Cintas completed the transformative acquisition of one of its largest competitors (G&K Services, Inc.) earlier this year and integration is proceeding as planned. Valuation is stretched with a forward PE of ~27 versus the historical ~20 – 21 level. [...]
Summary This Emerson Electric stock analysis is based on Q4 and FY2017 results released November 7, 2017. FY2017 marks the 3rd year of EMR’s multi-year transformation. EMR has continuously increased its annual dividend for ~60 consecutive years. A $0.02 annual dividend increase announced November 7th marks the 3rd consecutive year with a ~1% increase. A [...]
Summary This Church & Dwight analysis is based on Q3 results released Nov 2nd and its September 7th Barclays Back to School Conference presentation. CHD’s ability to be a serial acquirer is the result of its strong free cash flow. It has tripled its free cash flow to ~$0.6B in a span of 10 years. [...]
Summary This MasterCard stock analysis is based on Q3 2017 results released October 31, 2017 and the September 7, 2017 Investor Day presentation. MA and V are the two highest convictions stocks amongst the ~50 companies in which my wife/I own shares. MA likely gets overlooked by many investors because of its sub 1% dividend [...]
Another month has gone by? Time really flies when you’re retired! In my September 2017 dividend income report I expressed confidence we would generate in excess of CDN$12,200 and in excess of USD$13,000 in dividends for all of 2017. Based on the dividends we can expect to receive in November and December I am confident [...]