The price at the cash register ticked higher in October, though it was driven by the cost at the pump and on the lot.

Energy prices and new car sales (the highest in 28 years) pushed consumer prices upward in October, they're still cheaper than they were a year earlier. The Labor Department reports that consumer prices edged up 0.3% last month, a tad higher than the 0.2% anticipated. Take food and energy out of the equation, and inflation rose 0.2%, again ahead of the 0.1% that analysts expected.

Continue reading Energy, auto sales push consumer prices higher in October

Energy, auto sales push consumer prices higher in October originally appeared on BloggingStocks on Thu, 19 Nov 2009 13:00:00 EST. Please see our terms for use of feeds.

BJ's Wholesale Club (BJ), whose competitive colleagues include Costco Wholesale Corporation (COST) and Wal-Mart Stores, Inc. (WMT), issued Q3 results earlier today. According to TheStreet.com, adjusted earnings of 45 cents per share met expectations.

And apparently that wasn't good enough for the traders. As of this writing, shares of BJ's were trading down 3% on above-average volume. Was the BJ's story that bad?

Continue reading BJ's posts Q3 report, stock drops

BJ's posts Q3 report, stock drops originally appeared on BloggingStocks on Wed, 18 Nov 2009 17:30:00 EST. Please see our terms for use of feeds.

If you are hitting Costco Wholesale (COST) for your Monday Night Football party or Thanksgiving celebration, you won't be able to get those cases of Diet Coke. The warehouse-style retailer, which operates more than 550 locations, is no longer carrying Coca-Cola (KO) products in its U.S. stores. That means no Coke, Diet Coke, Sprite, or Dasani water, among other products.

Evidently, the retailer and the beverage giant are embroiled in a pricing dispute. A statement on the Costco website indicated that "Coca-Cola has not provided Costco with competitive pricing so that we may pass along the value our members deserve."

Continue reading Costco Wholesale stops carrying Coke

Costco Wholesale stops carrying Coke originally appeared on BloggingStocks on Tue, 17 Nov 2009 12:40:00 EST. Please see our terms for use of feeds.

Net sales went up only 1%. They were inhibited by the currency environment. But total sales aren't as relevant as same-store sales when it comes to this sector. If I were a shareholder of Wal-Mart, I would be very disappointed by the comps number, since it is the older locations which indicate how well a retailer is truly doing.

Continue reading Wal-Mart grows profit and cash flow in Q3, but comps still ailing

Wal-Mart grows profit and cash flow in Q3, but comps still ailing originally appeared on BloggingStocks on Thu, 12 Nov 2009 15:20:00 EST. Please see our terms for use of feeds.

Consumer borrowing fell for the eighth straight month in September. This record-setting streak is due largely to tightening by lenders, unemployment and the conservative preference to pay down debt rather than spend. This widespread fit of fiscal responsibility, economists fret, could prevent a recovery from taking root, since consumer spending is responsible for 70% of the U.S. economy. This conventional thinking, of course, overlooks the fact that an eventual increase in spending that isn't fueled by consumer spending will yield a recovery that's more likely to last.

According to the Federal Reserve, borrowing fell at an annual rate of $14.8 billion in September -- it's biggest drop since July and much larger than the $10 billion predicted by economists. The behavior is exactly what you'd find in people worried about losing their jobs or focused on rebuilding safety funds and investment portfolios. Those who want to borrow are finding banks won't be complicit this time, as they clamp down on lending practices.

Continue reading Consumer spending falls victim to debt repayment

Consumer spending falls victim to debt repayment originally appeared on BloggingStocks on Sat, 07 Nov 2009 11:20:00 EST. Please see our terms for use of feeds.

There's a chill in the air and a slight up-tick in confidence. Holiday discounts are coming a bit earlier, too. For retailers, this has been a great combination, leading to the second consecutive month in which retail sales increased.

This follows more than a year of drops. Consumers aren't going crazy, but they are loosening their wallets a little bit. Consumer spending accounts for 70% of the U.S. economy, and the coming holiday season is where the action is -- for the retail sector and, consequently, for everyone else.

Continue reading Retail sales: Signs of life, but not yet a rising tide

Retail sales: Signs of life, but not yet a rising tide originally appeared on BloggingStocks on Fri, 06 Nov 2009 11:40:00 EST. Please see our terms for use of feeds.

Continue reading Halloween stocks offer investors a chance at financial treats

Halloween stocks offer investors a chance at financial treats originally appeared on BloggingStocks on Fri, 30 Oct 2009 14:40:00 EST. Please see our terms for use of feeds.

Continue reading Costco to start accepting food stamps at all U.S. locations

Costco to start accepting food stamps at all U.S. locations originally appeared on BloggingStocks on Thu, 29 Oct 2009 17:00:00 EST. Please see our terms for use of feeds.

People need to eat, and Wal-Mart (NYSE: WMT) sells food. People need to cover themselves, and Wal-Mart sells apparel. You get the idea - the biggest needs may be thin-margin, and their all sure things. Wal-Mart plays in the inevitable, which makes its latest market entry a little less surprising than you might think. Wal-Mart is pushing caskets and urns - depending on how you want your remains preserved. What is a bit shocking, however, is that the brick-and-mortar player is selling its death gear online.

Wal-Mart is using its low price strategy to beat funeral homes, which have seemingly forever been the biggest sales channel for caskets. Prices start at $999 for the low end models and go up to the Sienna Bronze Casket at $3,199. Except for this last one, all models sell for under $2,000 ... and all product ships within 48 hours. The funeral homes are over a barrel on this one, since federal law requires them to accept third-party caskets.

Wal-Mart is supplied by Star Legacy Funeral Network, and both are apparently happy with the first week's sales.

The Bentonville-based retail giant is not the first to get into the gloomy business of bodies. Discount retailer Costco (NASDAQ: COST) is already in the online casket business.

Wal-Mart's latest money-making scheme: Death! originally appeared on BloggingStocks on Thu, 29 Oct 2009 16:15:00 EST. Please see our terms for use of feeds.

Microsoft's (NASDAQ: MSFT) new operating system, Windows 7, is set to be released on October 22, 2009, but it's unlikely to have an impact on PC prices. So, if you're feeling the urge to rush out and buy a new box, try to hold out until the end of the month. You'll get a bit more life out of it.

Fortunately, PC prices aren't expected to get much lower, so the entire supply chain -- from chips to software -- has nowhere to go but up. The effect, though, has been to put some serious pressure on manufacturers and retailers to keep from screwing up the release.

Continue reading Inventories add pressure to Windows 7 release

Inventories add pressure to Windows 7 release originally appeared on BloggingStocks on Tue, 13 Oct 2009 10:50:00 EST. Please see our terms for use of feeds.

Here are some highlights from last week's earnings coverage from BloggingStocks:

• Alcoa Inc. (NYSE: AA) reported a surprise Q3 profit due to cost cutting; revenue topped estimates as well.
• Avis Budget Group Inc. (NYSE: CAR) said a proposed offering of $250 million in notes could reduce earnings.
• Clorox Co. (NYSE: CLX) earnings prospects garnered it an upgrade from one analyst.
• Coca-Cola Co. (NYSE: KO) earnings prospects resulted in an upgrade from one analyst.
• Costco Wholesale Corp. (NASDAQ: COST) lower Q4 earnings topped analysts' expectations, lifting shares.
• Family Dollar Stores Inc. (NYSE: FDO) higher Q4 earnings beat analysts' estimates but sales were just OK.

Continue reading Earnings highlights: Alcoa, Costco, Family Dollar, Marriott, PepsiCo, Yum! Brands ...

Earnings highlights: Alcoa, Costco, Family Dollar, Marriott, PepsiCo, Yum! Brands ... originally appeared on BloggingStocks on Sat, 10 Oct 2009 12:10:00 EST. Please see our terms for use of feeds.

Continue reading BJ's Wholesale Club (BJ) September sales dip

BJ's Wholesale Club (BJ) September sales dip originally appeared on BloggingStocks on Thu, 08 Oct 2009 13:20:00 EST. Please see our terms for use of feeds.

Continue reading Families tried to reign in the spending last year

Families tried to reign in the spending last year originally appeared on BloggingStocks on Wed, 07 Oct 2009 16:20:00 EST. Please see our terms for use of feeds.

In the wake of COST's report, analyst Brian Sozzi of Wall Street Strategies reiterated his Buy rating and $66 price target on the equity. "In our view, 4Q09 will go a long way in supporting a higher valuation for Costco," wrote Sozzi in a research note this morning. "The company has managed to control costs, drive traffic to its warehouses consistently throughout the economic downturn, paid $300 million in annual dividends in FY09 (payout ratio of 26.0% second to only Wal-Mart in the sector), and has catalysts on the horizon to showcase earnings power above currently modeled for consensus EPS."

Continue reading Costco Wholesale surges after topping 4Q expectations

Costco Wholesale surges after topping 4Q expectations originally appeared on BloggingStocks on Wed, 07 Oct 2009 14:20:00 EST. Please see our terms for use of feeds.

Costco's (NASDAQ: COST) profits are off 6% for its fiscal fourth quarter. A stronger dollar and increased employee benefits costs are cited as the reasons. Nonetheless, the retailer did beat analyst expectations.

The company, which operates warehouse clubs, pulled in earnings of $374 million (85 cents per share) for the quarter ending August 30, 2009. While this is down from $398 million (90 cents per share) a year earlier, it was good enough to top the 77 cents per share that analysts polled by Thomson Reuters had forecast.

Continue reading Costco beats the Street, though earnings declined

Costco beats the Street, though earnings declined originally appeared on BloggingStocks on Wed, 07 Oct 2009 10:40:00 EST. Please see our terms for use of feeds.

Costco Wholesale Corp. (NASDAQ: COST), the popular warehouse store that competes with BJ's Wholesale Club (NYSE: BJ) and Wal-Mart (NYSE: WMT), will report Q4 earnings on Wednesday, October 7. How will the company do?

Don't look for growth, my friends. According to Earnings.com, estimates from Wall Street say that Costco will produce 77 cents per share in income. Unfortunately, that represents a 16% drop in the metric. Surprising? Maybe a little. After all, we're still suffering a bad economy, and you figure that people would want to cut costs by leveraging the bulk buying power of the Costco business model.

Continue reading Costco's fourth quarter: Will Wall Street be surprised?

Costco's fourth quarter: Will Wall Street be surprised? originally appeared on BloggingStocks on Tue, 06 Oct 2009 11:30:00 EST. Please see our terms for use of feeds.

Here are some highlights from last week's earnings coverage from BloggingStocks:

• Activision Blizzard Inc. (NASDAQ: ATVI) shares rose after it reaffirmed its full-year earnings and sales outlook.
• Automatic Data Processing Inc. (NASDAQ: ADP) will have low double-digit EPS growth, predicts one analyst.
• AutoZone Inc. (NYSE: AZO) posted a decline in earnings but a small rise in sales, sending shares lower.
• Bed Bath & Beyond Inc. (NASDAQ: BBBY) posted better-than-expected Q2 earnings and higher revenue.
• CarMax Inc. (NYSE: KMX) rallied to a new 52-week high after topping analysts' Q2 earnings expectations.
• Carnival Corp. (NYSE: CCL) reported better-than-expected Q3 results and raised its full-year guidance.

Continue reading Earnings highlights: AutoZone, Carnival, CarMax, ConAgra, General Mills, RIM ...

Earnings highlights: AutoZone, Carnival, CarMax, ConAgra, General Mills, RIM ... originally appeared on BloggingStocks on Sat, 26 Sep 2009 13:10:00 EST. Please see our terms for use of feeds.

Analyst upgrades:

• Roth Capital upgraded MicroStrategy (NASDAQ: MSTR) to Buy from Hold and raised its target to $90 from $70, citing encouraging Q2 results, new product cycle catalysts, a lift from Europe, and cost reductions.
• William Blair upgraded Costco (NASDAQ: COST) to Outperform from Market Perform after meeting with management as it believes sales and earnings could beat expectations over the next year.
• Credit Suisse upgraded Novellus (NASDAQ: NVLS) to Outperform from Neutral and raised its target to $29 from $23. The firm cites higher Samsung capex forecast, high leverage, and low expectations.
• Home Properties (NYSE: HME) and Equity Residential (NYSE: EQR) were upgraded to Outperform from Market Perform at FBC Capital, while Douglas Emmett (NYSE: DEI) and Duke Realty (NYSE: DRE) were raised to Market Perform from Underperform.
• Agilent (NYSE: A) was upgraded to Overweight from Equal Weight at Barclays.
• Cytec Industries (NYSE: CYT) was upgraded to Buy from Hold at KeyBanc.

Continue reading Analyst upgrades, downgrades and initiations: AAPL, COST, HPQ, JACK, MOS, NVLS, WMT ...

Analyst upgrades, downgrades and initiations: AAPL, COST, HPQ, JACK, MOS, NVLS, WMT ... originally appeared on BloggingStocks on Mon, 21 Sep 2009 12:00:00 EST. Please see our terms for use of feeds.

Costco's stock has trended up nicely, from $47.21 when first recommended on May 19, 2009, hence it's not as cheap as it was then, but a case can be made to establish/add to a position on a pull-back to $53-55. Therefore, I'm reiterating my Buy rating.

Costco (NASDAQ: COST) remains a value-oriented consumer warehouse with an appropriate middle-income, near-upscale product mix that's likely to draw in many "suddenly just middle class" consumers whose incomes have been constrained/lowered by the current economic era. Translation: market share gains for COST.

Continue reading Costco is on-track for market share gains

Costco is on-track for market share gains originally appeared on BloggingStocks on Sat, 19 Sep 2009 10:40:00 EST. Please see our terms for use of feeds.

From TheStreet.com Network

• More ETFs Get Sued
• Kraft Seeking Financing for Cadbury Bid

Continue reading Cramer on BloggingStocks: Fundamental distortion

Cramer on BloggingStocks: Fundamental distortion originally appeared on BloggingStocks on Wed, 09 Sep 2009 10:00:00 EST. Please see our terms for use of feeds.