Shares in Tractor Supply (TSCO) surged 9% in Tuesday’s after-hours trading, after the company pre-announced surprisingly impressive Q2 trends, featuring +24-29% sales growth and +20-25% comparable store sales growth.“Our outlook for record-breaking sales and earnings in the second quarter demonstrates the potential for Tractor Supply to emerge stronger than before as we continue to gain market share and build our business for the future,” said Hal Lawton, Tractor Supply’s CEO.Notably, TSCO’s e-commerce business has experienced substantial growth quarter-to-date with many customers choosing Buy Online, Pickup At Store and the new contactless curbside delivery option, the company stated.And while there is still a significant portion of the second quarter ahead, Tractor Supply is now forecasting net sales growth of 24% to 29% and comparable store sales growth of 20% to 25%.Building on first quarter momentum, the company’s gross profit performance continues to be strong with gross margin expansion anticipated for the second quarter.“For the second quarter, the net incremental operating expenses related to the COVID-19 pandemic are estimated to be at the high end of the Company’s previous guidance range of $30 million to $50 million” Tractor Supply said, with diluted earnings per share forecast at $2.45 to $2.65.Following the news Wells Fargo analyst Zachary Fadem exclaimed “Holy cow… reason to believe comps could be even better.” He continued: “Considering the timing of today’s release, we believe sales likely accelerated throughout the month of May, and with all of June remaining in Q2, we believe comps could be tracking even higher today (+30%).”In a category comprised of many sub-scale players, he sees TSCO as increasingly advantaged, and clearly benefitting from robust category demand (lawn/garden, pet, etc.), Omnichannel investments and its recently launched national ad campaign.“While we can’t help but think about next year’s tough compare, we continue to view TSCO a core holding in today’s market, favoring its staples-like offerings, high quality execution, and ample long-term comp drivers” he concluded. As a result, Fadem ramped up his price target to $130 from $105 previously.Similarly, Oppenheimer’s Brian Nagel boosted his price target from $110 to $135 on the news, while Baird’s price target rose to $130 from $115 previously. Overall the stock scores a Moderate Buy analyst consensus rating and $107 average analyst price target. Shares are currently trading up 19% on a year-to-date basis. (See Tractor Supply stock analysis on TipRanks).Related News: Autodesk Earnings: Here’s What To Expect Today Tilray To Shut Ontario Cannabis Greenhouse In Money-Saving Move Uber In Partnership With MoneyGram For Driver Discount During Pandemic More recent articles from Smarter Analyst: * Domino’s Pizza Delivers Strong US Sales; Top Analyst Boosts Estimates * Walmart Partners With ThredUp To Enter Fashion Resale Market * Regeneron, Sanofi Get FDA Nod For Dupixent Treatment In Children * Six Flags Set to Partially Reopen in June, Stock Jumps on News
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Regeneron Pharma (REGN) has now announced the pricing of the underwritten public secondary offering of 11,831,496 shares of its common stock held by French drugmaker Sanofi at a price of $515 per share.Regeneron has also agreed to purchase 9,806,805 shares directly from Sanofi, at a price of $509.85 per share (representing the price paid by the underwriters in the offering), for an aggregate purchase amount of $5 billion.In connection with the offering, the underwriters have a 30-day option to purchase up to an additional 1,183,150 Regeneron shares from Sanofi, the statement revealed. If the underwriters fully exercise their option to purchase additional shares, following the offering and share repurchase by Regeneron, Sanofi will have disposed of all of its shares, other than 400,000 shares it intends to retain.Regeneron will not receive any of the proceeds from the sale of shares in this offering, the company said. The offering will occur simultaneously in the United States and internationally through underwriters led by BofA Securities and Goldman Sachs as joint book-running managers.Shares in the biotech giant are currently trading at $545, after surging 45% year-to-date as investors grow more confident in its experimental antibody cocktail for Covid-19. “Progress on the development of a COVID-19 antibody cocktail remains on track – and a source of substantial investor interest” notes JP Morgan analyst Cory Kasimov.He has a hold rating on the stock and low $429 price target, writing that “Although we admittedly missed a great opportunity in REGN (shares up 50%+ YTD), we are finding it difficult to pull additional levers in our DCF model based on available data.”Overall, REGN shows a cautiously optimistic Moderate Buy analyst consensus, with a $559 average price target indicating 2.5% upside potential in the coming 12 months. (See Regeneron stock analysis on TipRanks).Related News: Gilead’s Remdesivir Most ‘Beneficial’ In Covid-19 Patients Who Need Extra Oxygen, Study Shows Gilead and Galapagos Score Positive Topline Results For Ulcerative Colitis Trial Regeneron To Repurchase $5 Billion Stake From Sanofi More recent articles from Smarter Analyst: * Regeneron, Sanofi Get FDA Nod For Dupixent Treatment In Children * Six Flags Set to Partially Reopen in June, Stock Jumps on News * Tesla Is Said to Cut Car Prices In North America, China To Jumpstart Demand * Jamie Dimon Likes JPMorgan at Current Levels – and Investors Pounce
Asked at a financial services conference on Tuesday morning about JPMorgan Chase's (JPM) valuation, CEO Jamie Dimon answered that it was “very valuable” at its current price. That was all investors needed to hear, as shares in the nation's largest bank rocketed up by as much as 9% during Tuesday's trading, closing up 7% for the day at $95.82.Dimon's words carry weight among investors, as he famously bought $26 million in JPMorgan shares in February 2016 – a much-publicized and prescient move at what later proved to be a market trough.“I’m not trying to predict the bottom,” Dimon said yesterday, adding that “you cannot be a bank and be immune to what goes on in the world out there.” JPMorgan has previously said that its 2020 earnings will be impaired, as it expects significant loan defaults throughout the year.Dimon remarked that he is hopeful that the rest of the year will see improving fundamentals. “I give it some pretty good odds,” Dimon said. “The government has been very responsive, the Federal Reserve has been very responsive. Large companies have a huge wherewithal, hopefully we’ll keep the small ones alive long enough that most of them get back into business.”Dimon added that the Federal Reserve’s actions to prop up financial markets were like “water that fills every crevice.”Recent analyst reports have been bullish on JPMorgan. In one released last week, Susan Roth Katzke from Credit Suisse maintained a Buy rating on JPMorgan Chase & Co., with a price target of $122, even as she noted that low interest rates and an expected increase in credit losses will weigh on JPMorgan’s earnings this year and next. Overall, the Moderate Buy analyst consensus and 12-month analyst price target of $110 represents 15% upside from JPMorgan's current level. (See JPMorgan Chase & Co. stock analysis on TipRanks).Related News: Autodesk Earnings: Here’s What To Expect Today Google, Apple Roll Out Coronavirus Contact Tracing Technology Why Aurora Cannabis (ACB) Stock Looks Attractive More recent articles from Smarter Analyst: * Six Flags Set to Partially Reopen in June, Stock Jumps on News * Regeneron Announces Secondary Offering Pricing At $515/Share * Tesla Is Said to Cut Car Prices In North America, China To Jumpstart Demand * ‘Holy Cow’ Exclaims Analyst On Tractor Supply’s Record Guidance; Shares Surge 9%