For Immediate Release
Chicago, IL – January 25, 2013 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Yahoo! Inc. (YHOO - Analyst Report), Facebook (FB - Analyst Report), Google Inc. , Microsoft (MSFT - Analyst Report) and Hibbett Sports, Inc. (HIBB - Analyst Report).
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Thursday’s Analyst Blog:
Yahoo Acquires Snip.it
Yahoo! Inc. (YHOO - Analyst Report) recently announced the acquisition of social news start-up Snip.it. First reported by AllThingsD, the news was later confirmed in a Snip.it blog post. The terms of the acquisition have not been disclosed, but media reports suggest that it will cost Yahoo more than $10 million.
Founder Ramy Adeeb started the company in 2011 with funds from True and Khosla Ventures as well as other investors. Snip.it is a social platform that allows users to collect, organize and share articles. Users can check other collections, add another collection into their own and share their collection on other social media platforms like Twitter, Facebook (FB - Analyst Report), Google Inc.’s Google+ and others.
Following the acquisition, Snip.it’s 10-member team will be working with Yahoo. The service from Snip.it will be shut down but users have the option of downloading their data up to Feb 21, 2013.
Yahoo is marching ahead with its plan to acquire struggling start-up companies. Before Snip.it, it acquired another small startup, OnTheAir specializing in broadcasting video chats or interviews to online audiences.
The idea behind acquiring these start-ups is to pick up engineering talent, key technologies and products offered by them. These acquisitions could help Yahoo get into the emerging social marketing segment, where its rivals have already made a play.
In fact, Yahoo’s leadership position in display advertising has been lost to Facebook and Google. With search advertising revenues on a secular decline – not only because of Google but also Microsoft (MSFT - Analyst Report), Yahoo needs to focus on the other major growth area. As per an Internet survey, it was found that 65.0% of Internet users in the U.S. used social networking sites, an indication of the growing popularity of the platform.
In the third quarter of fiscal 2012, Yahoo generated revenue of $1.20 billion, which was down 1.3% sequentially and 1.2% year over year. Traffic acquisition cost (TAC) was down 17.7% sequentially and 22.2% from last year. Excluding these costs in all periods, net revenue was essentially flat on a sequential basis and up 1.6% from last year, in line with the consensus estimate.
Yahoo has a Zacks Rank #1 (Strong Buy).
Outperform Stance on Hibbett
We have maintained our long-term ‘Outperform’ recommendation on Hibbett Sports, Inc. (HIBB - Analyst Report). Our recommendation is based on the company’s better-than-expected bottom-line performance in 9 back-to-back quarters and enhanced outlook for fiscal 2013.
The company’s quarterly earnings have been outperforming the Zacks Consensus Estimate for the past 9 consecutive quarters with an average surprise of 9.3%. Hibbett’s most recently reported earnings of 71 cents per share for third-quarter of fiscal 2013, comfortably beat the Zacks Consensus Estimate of 68 cents and climbed 20% from the year-ago quarter earnings of 59 cents. The company’s bottom line was primarily benefitted from robust sales growth and operational efficiencies.
Boosted by strong business from back-to-school buyers, net sales escalated 9.6% year over year to $202.9 million and surpassed the Zacks Consensus Estimate of $201.0 million.
Buoyed by better-than-expected results, continued sales strength along with improved cost management and margins, the company raised its expectations for fiscal 2013. It now forecasts earnings in the range of $2.66–$2.71 per share, versus the prior guidance of $2.57–$2.67 per share. The current Zacks Consensus Estimate for the fiscal is pegged at $2.71 per share. Comparable store sales for the year are expected to increase in the mid-single digit range.
Apart from strong third-quarter results, Hibbett’s growth story looks compelling. We believe that the company’s sharp focus on expanding its store network in mid-sized and smaller markets, as well as better product mix are the key growth drivers.
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Zacks Investment Research
800-767-3771 ext. 9339