Diamonds and Dogs

2/5/19

Oil continues to shine. British Petroleum (BP) is up 3% to a three month high following earnings. BP beat by 91 cents as sales rose 11.6% to $75.68 billion. As one analyst put it, BP is firing on all cylinders and continues to see improving efficiencies leading to better cash flows and profits over time. BP sports a 5.7% dividend yield. South American oil company, Geopark (GPRK) is up 8% to a four month high after raising oil and gas reserves.

Gilead (GILD) sliding lower. The biotech giant is down 3% following earnings. Gilead missed earnings estimates by 26 cents as sales fell 2.6% to $5.8 billion. The good news is Gilead remains very profitable making over $8 billion and raised the dividend 11%, bumping the dividend yield up to 3.6%. The downside is there is no growth and investors speculate Gilead may make a large acquisition to acquire growth.