Category: Stock Option Investment Advice

New York based Paychex (PAYX) met Wall Street estimates by netting 39 cents per share during its fiscal 3rd quarter. Profits were up 13% for the quarter, which matched analyst expectations. The company, known as a payroll processor, is fast turning into a full service human resource specialist. Revenue for its third quarter was $532.2 million, just off the $533.3 million anticipated. While revenue rose 10% from last year’s second quarter, investors were especially excited about the company’s modest 3% cost rise. This helped lead to a 39.5% increase in operating margin. This is a great business signal.

San Jose based Adobe Systems Incorporated (ADBE) has seemed invincible to economic trouble as the company continues to operate with a steady resolve and constant ability to make money. As one of the earlier fiscal first quarter earnings announcers, the company helped inspire hope in the stock trading markets that some companies thrived during the treacherous first quarter of 2008. Adobe, widely known for their Adobe Acrobat software portfolio, said first quarter revenue increased 37%, while earnings jumped an incredible 52%, from the first quarter of 2008. Revenue climbed from $649.4 million to $890.4 million, while income was up from $143.9 million to $219.4 million.

Blockbuster Video (BBI) has been generating a lot of business among stock research analysts as of late. The company recently reported a strong fourth quarter earnings season. Analysts had widely expected 17 cents per share profit for the company, and it beat those estimates with 18 cents per share earnings. The leading contributor to the surprise earnings was a larger than anticipated revenue number. Analysts had suggested a consensus revenue estimate of $1.437 billion. The company reported actual revenue of $1.567 billion.

IBM has helped inspired strong equities buying the last couple days by announcing a strong outlook for its 2008 earnings as well as an increase in its stock repurchase program. Both of these announcements helping ignite stock trading as they gave the stock help from investors looking to be inspired. The strong earnings come in light of economic uncertainty and the increase stock buyback shows company financial support for the strength of the company’s future. IBM is expecting earnings per share of $8.25 during 2008. This is slightly higher than the Thomson Financial analyst expectation of $8.22 per share. The company had previously suggested a range from $8.20-8.30.

SanDisk Corporation (SNDK), a Milpitas, California based company saw a huge fourth quarter profit boost. The company reported an income of $105.81 million for the fourth quarter, which amounts to 45 cents per share. The news was especially good for SanDisk who experienced a $35.14 million, 17 cents per share, loss during the fourth quarter last year. The company credited market demand for flash memory as the leading driver of the strong turnaround. Cell phones and digital cameras continue to evolve and see new generations of products, which require flash memory technology provided by companies like SanDisk.

As the US nears a potential recession, many consumer markets have seen dwindling demand. Leading printer maker Lexmark International (LXK) has certainly not been unaffected by the market struggles. The Kentucky based company saw sales decline during the fourth quarter. Despite the sales drop. The company did manage to post a 10% growth in profits, surprising the stock trading markets.

TD Ameritrade Holding Corp. (AMTD) said its quarterly net income jumped 65% as volatile markets contributed to higher client trading, while the online broker also lifted its profit outlook. The company said its fiscal first-quarter earnings rose to $240.8 million, or 40 cents a share, from $145.6 million, or 24 cents a share, a year earlier, boosted in part by higher average client trades per day and higher fee-based balances. The Omaha-based online brokerage company said net revenue for the quarter ended Dec. 31 increased to $641.6 million from $535.2 million. TD Ameritrade also increased the midpoint of its fiscal 2008 forecast to $1.32 a share and adjusted its outlook to $1.23 to $1.41 a share.

General Electric Co. (GE) fourth-quarter net income rose 4%, amid continuing strength in its infrastructure and commercial finance divisions. The Fairfield conglomerate reported net income of $6.7 billion, or 66 cents a share, versus $6.44 billion, or 62 cents a share, a year earlier. Excluding discontinued operations, earnings from continuing operations rose to 68 cents a share from 58 cents. The company had predicted earnings from continuing operations of 67 cents to 69 cents a share. Revenue grew 18% to $48.59 billion, with more than half coming from outside the U.S.

IBM (IBM) reported a better-than-expected 24 percent rise in preliminary quarterly earnings on Monday on strong sales in overseas markets. In the third quarter, IBM posted higher earnings as continued strength in the consulting and services unit offset a slide in hardware sales.

Tata motors (TTM), an Indian auto manufacturer whose name is becoming ever more ubiquitous, is likely to unveil an exciting new car this week at the annual auto show in Delhi. Sure the stock plummeted 5.5% in trading today and the car is reported to have the power of an aging Chihuahua, but there is a palatable excitement in the air.