Diamonds and Dogs
The job market must be strong. Corp and employee uniform maker, Cintas (CTAS) is jumping 7% to new highs following strong earnings. The company easily beat earnings estimates as sales rose 7.4% to $1.79 billion. A healthy economy has helped drive business formation and add new customers to Cintas' client base. Cintas raised their mid-point for full year guidance due to acceleration of uniform rental and facility services.
CSX (CSX) is not chugging along. The railroad operator fell 10% today to a five month low on disappointing earnings. CSX missed earnings estimates as revenue fell 1.4% to $3.06 billion. The company also lowered guidance for the full year. Management made comments they are baffled by the US economy. Lower natural-gas prices have hurt demand for domestic and exportation of coal which CSX transports. The trade tariffs are also hurting CSX as industrial customer volumes are showing weakness with no signs of changing. Looks like we are in wait and see mode for CSX.
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.