Back to top

Bull of the Day

Amid a sluggish recovery in the economy, OfficeMax, Inc. (OMX) posted better-than-expected second-quarter 2012 results. The quarterly earnings of $0.12 per share beat the Zacks Consensus Estimate by $0.05 and rose substantially from $0.07 earned in the prior-year quarter, on the back of effective cost management.

OfficeMax now projects sales to remain flat or marginally higher for the third quarter, and to be flat for fiscal 2012 compared with the prior year. OfficeMax is repositioning itself to keep afloat in a difficult consumer environment. The company is containing costs, closing underperforming stores and focusing on providing innovative products and services, which should all contribute to margin improvements.

Management expects operating margin to come in line for the third quarter, and to be even with or marginally higher for fiscal 2012. The company also reinitiated its dividend payout after suspending it three and a half years ago. Consequently, we adopt a bullish stance on the stock.

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
RPC INC RES 24.91 +8.35%
LITHIA MOTO… LAD 94.59 +4.60%
DELTA AIR L… DAL 39.15 +3.90%
FLAMEL TECH… FLML 14.51 +3.50%
SOUTHWEST A… LUV 28.87 +2.92%