Latest news with #stockmarket
Forbes
41 minutes ago
- Business
- Forbes
Sell UAL Stock Ahead Of Its Upcoming Earnings?
A United Airlines Boeing 737-8 MAX airplane prepares to takeoff at Ronald Reagan Washington National ... More Airport in Arlington, Virginia, on July 10, 2025. (Photo by SAUL LOEB / AFP) (Photo by SAUL LOEB/AFP via Getty Images) United Airlines (NASDAQ:UAL) is set to publish its earnings report on Thursday, July 17, 2025. For traders who focus on events, analyzing historical stock performance in relation to earnings announcements can be an effective strategy, though the actual results relative to consensus estimates will ultimately determine the stock's immediate response. Over the past five years, UAL stock has often posted negative one-day returns following earnings releases. In 60% of cases, the stock has dropped, with a median negative return of -4.0% and a maximum one-day decline of -10.2%. Traders can approach this event in two different ways: Current consensus forecasts indicate that United Airlines will report earnings of $3.88 per share on revenue of $15.33 billion. This is in contrast to the same quarter last year, which saw earnings of $4.14 per share on revenue of $14.99 billion. From a fundamental standpoint, United Airlines currently has a market capitalization of $29 billion. In the last twelve months, the company produced $58 billion in revenue, with $5.6 billion in operating profits and a net income of $3.7 billion, reflecting operational success. That being said, if you are looking for growth with less volatility compared to individual stocks, the Trefis High Quality portfolio offers an alternative, having surpassed the S&P 500 with returns exceeding 91% since its inception. Additionally, check out – Trump's Russia Math, Simplified. See earnings reaction history of all stocks United Airlines' Historical Odds Of Positive Post-Earnings Return Some insights on one-day (1D) post-earnings returns: Further details regarding observed 5-Day (5D) and 21-Day (21D) returns following earnings are compiled along with the statistics in the table below. UAL 1D, 5D, and 21D Post Earnings Return Correlation Between 1D, 5D, and 21D Historical Returns A relatively lower-risk strategy (though it may not be effective if the correlation is weak) is to assess the correlation between short-term and medium-term returns after earnings, identify the pair with the strongest correlation, and make the appropriate trade. For instance, if 1D and 5D demonstrate the highest correlation, a trader could take a "long" position for the next 5 days if the 1D post-earnings return is favorable. Here is some correlation data based on 5-year and more recent 3-year history. Note that the correlation 1D_5D denotes the relationship between 1D post-earnings returns and the following 5D returns. UAL Correlation Between 1D, 5D and 21D Historical Returns Is There Any Correlation With Peer Earnings? Occasionally, the performance of peers can affect the stock reaction following earnings. Indeed, the pricing might start prior to the earnings announcement. Here is some historical data regarding the post-earnings performance of United Airlines stock compared with the stock performance of competitors that announced earnings shortly before United Airlines. For a fair comparison, peer stock returns also represent one-day (1D) returns post-earnings. UAL Correlation With Peer Earnings Discover more about Trefis RV strategy that has outperformed its all-cap stocks benchmark (a combination of all three, the S&P 500, S&P mid-cap, and Russell 2000), delivering strong returns for investors. Additionally, if you desire growth with a smoother experience compared to an individual stock like United Airlines, consider the High Quality portfolio, which has outperformed the S&P and achieved over 91% returns since its inception.
Yahoo
an hour ago
- Business
- Yahoo
CrowdStrike (CRWD) Stock Downgraded: Why Morgan Stanley Is Stepping to the Sidelines
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the . On July 14, Morgan Stanley downgraded the stock to Equal-weight from Overweight and raised the price target on the stock to $495 from $490. Analysts led by Keith Weiss said that they were 'stepping to the sidelines given full valuation after ~50% run and rising growth expectations,' highlighting limited upside potential for the stock. The firm believes that even though acceleration expected in the second half seems to be well-priced into shares, Crowdstrike still offers a compelling story. The company remains a market leader in cybersecurity, poised to benefit from the increasing platform consolidation anticipated industry-wide. The rise of artificial intelligence is likely to boost this growth. The analysts stated that the second quarter 'print is unlikely to be a thesis-changing event given clear investor focus on 2H, and we continue to have limited visibility into Customer Commitment Package (CCP) renewals and Falcon Flex contract impacts on revenue recognition and margins.' Overall, the firm is optimistic about Crowdstrike's long-term growth potential. However, they are currently moving to the sidelines, waiting for better entry points to build positions. CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is a leader in AI-driven endpoint and cloud workload protection. While we acknowledge the potential of CRWD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and Disclosure: None.
Yahoo
an hour ago
- Business
- Yahoo
Loveholidays owner hires bankers to plot stock market getaway
The owner of Loveholidays, the online travel agent (OTA), has drafted in bankers to advise on a potential stock market debut. Sky News understands that Livingbridge, the private equity firm, has appointed Rothschild to help coordinate plans for an initial public offering (IPO) of Loveholidays. Sources said that Rothschild would oversee the appointment of other investment banks to work on a flotation in the coming weeks. Money latest: The London market has been hit by a steep decline in IPO activity, with data showing that the first half of 2025 was among the worst for decades in terms of proceeds raised. The timing of a Loveholidays IPO - which would be likely to value the company at well over £1bn - is still to be determined. Loveholidays has been backed by Livingbridge since 2018, and has seen its financial performance improve markedly since the COVID pandemic threw the travel industry into chaos. The company specialises in trips to the Mediterranean and Canary Islands, and boasts that its inventory of 35,000 hotels and 99% of all flights result in 500 billion possible holiday packages. It reportedly saw pre-tax profits rise by a fifth to £67.6m on sales of £284m in the year to October 2024. Along with OnTheBeach and TUI, Loveholidays ranks among the UK's biggest OTAs and has been a big winner from the post-pandemic resurgence in demand from holidaymakers. Last year, Sky News reported that bidders including CVC Capital Partners, the private equity giant, were in Loveholidays. When that process was curtailed, it is also said to have explored the sale of a minority stake. Read more from Sky News: Loveholidays was founded in 2012 by Alex Francis and Jonny Marsh, and now employs hundreds of people. Livingbridge declined to comment on Wednesday.
Globe and Mail
2 hours ago
- Business
- Globe and Mail
Here's Why Berkshire Hathaway Stock Is a Buy Before Aug. 2
Key Points Berkshire is scheduled to report second-quarter earnings on Saturday, Aug. 2. There are a few numbers that Berkshire investors will be watching closely. Berkshire's stock looks like a strong value right now. 10 stocks we like better than Berkshire Hathaway › Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) presents its earnings reports a little differently. For one thing, management doesn't hold quarterly earnings calls like most companies do. And CEO Warren Buffett insists on releasing earnings reports on Saturdays, so investors will have plenty of time to digest the numbers before the stock market opens. There are a few key numbers investors will be watching when Berkshire reports its second-quarter results, expected on Saturday, Aug. 2. Berkshire's operating earnings from its businesses is the most obvious example. There's also the company's cash stockpile, which reached an all-time high of $347.7 billion at the end of the first quarter. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » Finally, while we won't know what specific stocks Berkshire bought and sold until a few weeks after its earnings report when it has to file with the government, we can typically figure out if Berkshire was a net buyer or seller of stocks during the quarter by looking at the reported cost basis of its investment portfolio. And we'll also get details about whether Berkshire decided to buy back any of its own stock. In this article, I'll discuss why this trillion-dollar company could be a solid investment before earnings. Berkshire should be more valuable now During the second quarter, which is the period Berkshire is getting ready to report, the S&P 500 increased by 10.4%, and many of Berkshire's top stock holdings performed quite well. Although Apple (NASDAQ: AAPL) fell slightly during the quarter on tariff concerns, Berkshire's second- and third-largest investments, American Express (NYSE: AXP) and Bank of America (NYSE: BAC), increased by 20% and 15%, respectively, during the second quarter. Despite all of this, Berkshire's stock is significantly lower than where it started the quarter, mainly because CEO Warren Buffett announced his retirement at the company's May annual meeting. Also, while we won't know Berkshire's stock portfolio activity for the second quarter until mid-August, it's highly likely that Berkshire's already massive $348 billion cash stockpile has grown even larger. However, as I'll discuss in a bit, I also wouldn't be at all surprised to learn that Berkshire had resumed buybacks in the second quarter, which could limit the growth of the company's cash. Finally, Berkshire has a collection of (mostly) tariff-resistant businesses. Of course, there could still be some secondary impacts of tariffs on businesses that operate exclusively in the U.S., but Berkshire is more insulated from the impacts of import tariffs than most. A better value than you might think At the current stock price, Berkshire Hathaway has a market cap of about $1.02 trillion, which is significantly less than just a couple months ago, before Buffett announced his planned retirement. Meanwhile, the value of the stock portfolio has increased significantly, and Berkshire still has the same (or more) cash. Think of it this way. Berkshire's stock portfolio is worth approximately $292 billion as of this writing. Removing that and the $348 billion in cash shows a valuation of about $380 billion for Berkshire's operating businesses. We'll get updated numbers soon, but Berkshire has generated about $33 billion in operating profit from its businesses over the past four quarters, excluding investment income. This shows that the market is valuing Berkshire's businesses at just 11.5 times operating earnings. The last time I looked at the numbers was late May, and this ratio was 14. That's why I wouldn't be shocked if we find out Berkshire resumed buybacks. Is Berkshire a buy before earnings? To be sure, I have no idea what Berkshire Hathaway's earnings will be, and some parts of the report (insurance underwriting income, for example) can be rather unpredictable. But the bottom line is that this is a rock-solid business trading well below highs at a time when the S&P 500 is near its all-time peak. Warren Buffett's departure isn't likely to have any massive impact on the day-to-day business; Berkshire still has an excellent team of leaders; and the company has unmatched financial flexibility to pursue opportunities if and when they arise. Berkshire is already one of the largest stock investments in my portfolio, but if the current price level persists, I'm likely to add shares. It is a buy before earnings. Should you invest $1,000 in Berkshire Hathaway right now? Before you buy stock in Berkshire Hathaway, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Berkshire Hathaway wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $680,559!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,005,670!* Now, it's worth noting Stock Advisor's total average return is 1,053% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 15, 2025 Bank of America is an advertising partner of Motley Fool Money. American Express is an advertising partner of Motley Fool Money. Matt Frankel has positions in American Express, Bank of America, and Berkshire Hathaway. The Motley Fool has positions in and recommends Apple, Bank of America, and Berkshire Hathaway. The Motley Fool has a disclosure policy.
Sky News
2 hours ago
- Business
- Sky News
Loveholidays owner hires bankers to plot stock market getaway
The owner of Loveholidays, the online travel agent (OTA), has drafted in bankers to advise on a potential stock market debut. Sky News understands that Livingbridge, the private equity firm, has appointed Rothschild to help coordinate plans for an initial public offering (IPO) of Loveholidays. Sources said that Rothschild would oversee the appointment of other investment banks to work on a flotation in the coming weeks. The London market has been hit by a steep decline in IPO activity, with data showing that the first half of 2025 was among the worst for decades in terms of proceeds raised. The timing of a Loveholidays IPO - which would be likely to value the company at well over £1bn - is still to be determined. Loveholidays has been backed by Livingbridge since 2018, and has seen its financial performance improve markedly since the Covid pandemic threw the travel industry into chaos. The company specialises in trips to the Mediterranean and Canary Islands, and boasts that its inventory of 35,000 hotels and 99% of all flights result in 500 billion possible holiday packages. It reportedly saw pre-tax profits rise by a fifth to £67.6m on sales of £284m in the year to October 2024. Along with OnTheBeach and TUI, Loveholidays ranks among the UK's biggest OTAs and has been a big winner from the post-pandemic resurgence in demand from holidaymakers. Last year, Sky News reported that bidders including CVC Capital Partners, the private equity giant, were examining offers for a controlling stake in Loveholidays. When that process was curtailed, it is also said to have explored the sale of a minority stake. Loveholidays was founded in 2012 by Alex Francis and Jonny Marsh, and now employs hundreds of people.
