Diamonds and Dogs
9/6/12
VeriFone Systems Inc. (PAY)VeriFone Systems' card was declined today, down 13.65% at $30.55. The electronic payment system company saw its shares sink after releasing a poor quarterly earnings report. For the third quarter, VeriFone missed estimates on the top line, with revenues of $489.1 million versus the consensus of $498 million. Management cited unfavorable currency movements, intensifying competition in Europe, and a fire in Brazil for the revenue shortfall. These issues also caused VeriFone to cut their full year guidance; another reason for the decline in share price. The company sees fourth-quarter adjusted EPS of $0.75 to $0.77 on revenue of just $495 million to $500 million, versus analyst estimates of $0.74 and $521 million. VeriFone is down on a very positive day for the market; trading just $0.50 above its 52-week low.
The Men's Wearhouse Inc. (MW)
Men's Wearhouse investors are "going to like the way they look, I guarantee it." Shares are trading higher today, up 18.71% at $37.80. The company saw shares dress up after improved second quarter results and better than expected full year guidance. Men's Wearhouse reported net income of $59.4 million, or $1.15 per share, up from $57.1 million, or $1.09 per share, in the same quarter last year. CEO Dough Ewert said sales trends were better than expected as shoppers bought more men's clothing both at full and sale prices. The positive quarter allowed management to increase its full year expected profit to between $2.74 and $2.80 per share, while analysts expected $2.71 per share. Men's Wearhouse is dressed to impress today trading up closer to their 52-week high.
Diamonds and Dogs market commentary is a journal of daily observations on anything that happens to be of interest to our author. Obviously, our primary focus is the stock market and world economic events, but for this page we have no defined topics. We want this page to be dedicated to the interests, concerns, and possibly to the financial gain of our clients and friends. All comments contained herein are for informational purposes only, and should not be considered as a solicitation to buy or sell any security. The firm does not guarantee the accuracy or completeness of the information or make any warranties regarding results from it's usage.