Healthy Volumes at Union Pacific Drive Second-Quarter Earnings

Railroad behemoth Union Pacific's (NYSE:UNP)�second-quarter 2018 earnings filing was characterized by a healthy bump in volumes, and related advances in revenue and earnings per share. However, the rail freight transportation provider continues to leave some profits on the table, as its efficiency metrics could use some improvement -- a point that management readily acknowledges. Below, I'll assess the company's raw results, examine the details that drove performance during the quarter, and discuss the state of its rail productivity.

Union Pacific results: The raw numbers Metric Q2 2018 Q2 2017 Year-Over-Year Change

Revenue	$5.7 billion	$5.3 billion	8%
Net income	$1.51 billion	$1.17 billion	29.1%
Diluted EPS	$1.98	$1.45	36.5%

Data source: Union Pacific.

What happened with Union Pacific this quarter?

The company's 8% revenue gain over the prior-year quarter was facilitated by a solid 4% increase in carload volume. Management cited volume strength in the company's industrial and premium segments, which offset lower volume in energy and agricultural products.

Firmer pricing and recovery of fuel increases through fuel surcharges, combined with the higher volume, helped overcome a lower-margin mix of traffic.�

Union Pacific's operating ratio rose 1.1 percentage points against the second quarter of 2017, to 63%. The operating ratio is a widely followed benchmark that gauges a railroad's efficiency. It's found by dividing operating expenses by total revenue; lower readings indicate higher efficiency. Thus, Union Pacific's operating efficiency backtracked a bit in the second quarter.

As I've written previously, the railroad is struggling to lift its productivity. Congestion issues in the company's southern region stretching back to last year have prevented it from making the type of efficiency leaps competitor CSX Corporation (NASDAQ:CSX) has recently achieved, wowing investors in the process. Current-quarter operating statistics point to sustained pressure on the railroad's traffic, even as it tries to improve network fluidity. Average train speed decreased by 3% to 24.7 miles per hour in the second quarter, while average terminal dwell (idle) time increased 4% to 29.5 hours.

Union Pacific's operating margin dropped 150 basis points to 37%, despite the organization's ample revenue increase. This is due to the impact of fuel expense, which jumped by $209 million, or 48%, against the prior-year quarter, to $643 million. The higher fuel burden absorbed the quarter's top-line lift, and offset favorable expense variances elsewhere on the income statement. The company reported paying $2.30 per gallon of fuel in the second quarter, an increase of 36% versus Q2 2017.

The railroad repurchased a massive $5.5 billion worth of its own shares during the quarter, bringing total year-to-date share buybacks to $6.7 billion.

The share-repurchase program has been funded with new borrowings -- Union Pacific has issued $6.9 billion in new debt this year. Net of $1.3 billion in repaid debt, the company has added roughly $5.7 billion of leverage to its balance sheet in the first six months of the year.

Image source: Getty Images.

What management had to say

In Union Pacific's earnings press release, CEO Lance Fritz provided a bit of context around current-quarter issues that have contributed to the marginal increase in operating ratio:

Overall, I am pleased with the effort put forth by the entire Union Pacific team; however, I recognize the results could have been better. ... Network performance improved significantly coming out of the first quarter, but a tunnel outage and train-crew shortages created a headwind in June. I am confident we have the right plans in place to drive improvement in our operations and a better service experience for our customers.

Management is seeking to reduce the railroad's operating ratio to 60% within the next two years, and executives have set a longer-term target of 55%.�In the near term, however, efficiency readings may remain elevated as Union Pacific continues to allocate resources to improve network fluidity.

Looking forward

Union Pacific doesn't provide detailed guidance, yet management typically offers qualitative commentary on the immediate future each quarter. As for the present outlook, CEO Fritz stated the following in the company's earnings press release: "Looking to the remainder of the year, we expect the strong business environment to continue as we regain our productivity momentum and improve the value proposition for all of our stakeholders."

JPMorgan Chase & Co. Reiterates “€72.00” Price Target for Gerresheimer (GXI)

JPMorgan Chase & Co. set a €72.00 ($84.71) price objective on Gerresheimer (ETR:GXI) in a report published on Wednesday. The firm currently has a neutral rating on the stock.

A number of other research firms have also issued reports on GXI. Kepler Capital Markets set a €65.00 ($76.47) price target on shares of Gerresheimer and gave the company a sell rating in a report on Thursday, July 12th. Goldman Sachs Group set a €70.00 ($82.35) price target on shares of Gerresheimer and gave the company a neutral rating in a report on Thursday, July 12th. Commerzbank set a €68.00 ($80.00) price target on shares of Gerresheimer and gave the company a neutral rating in a report on Thursday, July 12th. equinet set a €69.00 ($81.18) price target on shares of Gerresheimer and gave the company a neutral rating in a report on Thursday, July 12th. Finally, Hauck & Aufhaeuser set a €52.50 ($61.76) price target on shares of Gerresheimer and gave the company a sell rating in a report on Monday, July 16th. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and four have given a buy rating to the company. Gerresheimer presently has an average rating of Hold and an average price target of €70.13 ($82.50).

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GXI stock opened at €74.05 ($87.12) on Wednesday. Gerresheimer has a 52-week low of €59.97 ($70.55) and a 52-week high of €78.25 ($92.06).

Gerresheimer Company Profile

Gerresheimer AG manufactures and sells specialty glass and plastic products primarily for the pharma and healthcare industry worldwide. It operates through two divisions, Plastics & Devices, and Primary Packaging Glass. The Plastics & Devices division offers drug delivery systems, including inhalers, pen systems, and injection systems; sterile and non-sterile prefillable syringe systems for the pharmaceutical and biotech industries; and disposables for various analysis systems that are used in laboratories and medical practices, quick tests for patients in medical practices or hospitals, skin-prick aids and lancets for diabetics, disposables and components for dialysis machines, and catheters and surgical devices.

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State of Alaska Department of Revenue Has $3.14 Million Holdings in Cadence Design Systems Inc (CDNS

State of Alaska Department of Revenue boosted its stake in Cadence Design Systems Inc (NASDAQ:CDNS) by 29.5% in the second quarter, HoldingsChannel.com reports. The fund owned 72,440 shares of the software maker’s stock after buying an additional 16,500 shares during the quarter. State of Alaska Department of Revenue’s holdings in Cadence Design Systems were worth $3,137,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Campbell & CO Investment Adviser LLC purchased a new position in Cadence Design Systems in the 1st quarter worth approximately $204,000. Intact Investment Management Inc. purchased a new position in Cadence Design Systems in the 1st quarter worth approximately $206,000. United Capital Financial Advisers LLC purchased a new position in Cadence Design Systems in the 1st quarter worth approximately $206,000. Thompson Siegel & Walmsley LLC boosted its stake in shares of Cadence Design Systems by 114.8% during the 1st quarter. Thompson Siegel & Walmsley LLC now owns 5,800 shares of the software maker’s stock valued at $213,000 after buying an additional 3,100 shares during the last quarter. Finally, Point72 Asia Hong Kong Ltd boosted its stake in shares of Cadence Design Systems by 32,672.2% during the 1st quarter. Point72 Asia Hong Kong Ltd now owns 5,899 shares of the software maker’s stock valued at $217,000 after buying an additional 5,881 shares during the last quarter. Hedge funds and other institutional investors own 86.03% of the company’s stock.

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Cadence Design Systems stock opened at $45.66 on Wednesday. The company has a market cap of $12.71 billion, a PE ratio of 41.35, a price-to-earnings-growth ratio of 3.94 and a beta of 1.11. The company has a debt-to-equity ratio of 0.30, a current ratio of 1.24 and a quick ratio of 1.20. Cadence Design Systems Inc has a 52 week low of $34.51 and a 52 week high of $46.00.

Cadence Design Systems (NASDAQ:CDNS) last released its earnings results on Monday, April 23rd. The software maker reported $0.40 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.37 by $0.03. The company had revenue of $517.00 million during the quarter, compared to analysts’ expectations of $505.33 million. Cadence Design Systems had a return on equity of 29.43% and a net margin of 10.52%. The business’s revenue was up 8.4% on a year-over-year basis. During the same period in the prior year, the business posted $0.32 EPS. analysts forecast that Cadence Design Systems Inc will post 0.95 earnings per share for the current year.

Several research firms have recently commented on CDNS. DA Davidson upgraded Cadence Design Systems from a “neutral” rating to a “buy” rating in a research note on Thursday, April 5th. Zacks Investment Research upgraded Cadence Design Systems from a “hold” rating to a “buy” rating and set a $44.00 target price for the company in a research note on Thursday, April 26th. BidaskClub upgraded Cadence Design Systems from a “sell” rating to a “hold” rating in a research note on Wednesday, June 13th. JPMorgan Chase & Co. increased their target price on Cadence Design Systems from $34.00 to $42.00 and gave the company an “underweight” rating in a research note on Tuesday, April 24th. Finally, Needham & Company LLC upgraded Cadence Design Systems from a “hold” rating to a “buy” rating and set a $47.00 target price for the company in a research note on Tuesday, April 24th. One equities research analyst has rated the stock with a sell rating, three have given a hold rating and six have given a buy rating to the stock. Cadence Design Systems has a consensus rating of “Buy” and a consensus target price of $43.71.

In related news, CEO Lip Bu Tan sold 100,000 shares of the company’s stock in a transaction that occurred on Friday, June 15th. The stock was sold at an average price of $44.82, for a total transaction of $4,482,000.00. Following the sale, the chief executive officer now directly owns 502,813 shares of the company’s stock, valued at approximately $22,536,078.66. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Aneel Zaman sold 43,733 shares of the company’s stock in a transaction that occurred on Friday, April 27th. The shares were sold at an average price of $40.02, for a total value of $1,750,194.66. The disclosure for this sale can be found here. Over the last three months, insiders have sold 185,763 shares of company stock worth $7,914,544. Corporate insiders own 2.28% of the company’s stock.

About Cadence Design Systems

Cadence Design Systems, Inc provides electronic design automation software, emulation and prototyping hardware, system interconnect, and analysis worldwide. The company offers functional verification services, including emulation and prototyping hardware. Its functional verification offering consists of JasperGold, a formal verification platform; Xcelium, a parallel simulation platform; Palladium Z1, a verification computing platform; and Protium S1 field-programmable gate array prototyping platform.

Further Reading: Are Wall Street analysts’ stock ratings worth following?

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Audi Q5 vs. BMW X3: Which luxury SUV has the edge?

The Audi Q5 and the BMW X3 are two of the most popular compact luxury SUVs out today. Shoppers are typically drawn to the Q5 and the X3 because of their appealing mix of refinement, utility, safety and performance. Sales of both models in the United States easily surpass the companies' comparably priced Audi A4 and BMW 3 Series sedans, in fact.

Picking which one to buy can be difficult, however. Both models start at around $41,000 and offer a comprehensive set of features. Edmunds takes a look to find out which one has an edge.

Two of a kind

The Q5 and the X3 are both fully redesigned for the 2018 model year. Based on a casual glance at the spec sheet, you'd likely think Audi's and BMW's engineers were handed the same blueprints.

Each SUV comes standard with a turbocharged four-cylinder engine that makes about 250 horsepower and returns 25 mpg combined. They're also available in performance-oriented models that have larger and more powerful six-cylinder engines that generate more than 350 horsepower.

Inside, the Q5 and the X3 seat up to five passengers and have enough rear passenger space to meet the typical requirements of a small family. The Q5 offers 26.8 cubic feet of cargo space behind the rear seats, while the X3 offers 28.7 cubic feet. The BMW maintains its slim lead when you fold down the rear seats.

Each SUV has four-year/50,000-mile basic and powertrain warranties. Audi pays for the Q5's first scheduled maintenance, but BMW goes further and covers the X3's scheduled services for three years or 36,000 miles.

More: Daimler's Mercedes-Benz, Bosch to launch self-driving car service in Silicon Valley

More: Buying a new car: What tech features should you pay for and which can you skip?

More: Why you might want to wrap your car key fob in foil

This undated photo provided by BMW shows the 2018 BMW X3, a luxury compact SUV with more traditional design and a starting price of $41,995, including the destination fee. The Audi Q5 and the BMW X3 are two of the most popular compact luxury SUVs out today. Shoppers are typically drawn to the Q5 and the X3 because of their appealing mix of refinement, utility, safety and performance. (Photo: AP)

Differences in the details

The Audi Q5 and the BMW X3 provide a comfortable ride and secure handling on a variety of road surfaces. You can also fit them with an optional driver-adjustable and adaptive suspension that can soften the ride or firm it up for sportier handling. This feature is optional on all X3s, but Audi offers it on the priciest Q5 trim level only. When driving with more enthusiasm, we've found the X3 is a little more agile and engaging to drive than the Q5.

In regards to safety, each model has top scores from the Insurance Institute for Highway Safety for crash protection and effectiveness of crash avoidance technologies. But some of those crash avoidance features are easier to get on the BMW. For example, you can get lane keeping assist and adaptive cruise control on any version of the X3, but on the Q5 they're only available on the priciest trim level.

BMW gives you a little more choice in powertrains, too. The X3 is available with rear-wheel drive, whereas the Q5 comes standard with all-wheel drive. This rear-wheel-drive X3 configuration costs slightly less and improves combined fuel economy by 1 mpg. When it comes to towing, the Q5 and the X3 both offer 4,400-pound capacities. All X3s have an optional, factory-installed Class 3 hitch receiver that comes with integrated connecting hardware. The Q5 offers a similar setup, but only as a dealer-installed accessory on midgrade and higher trim levels.

This undated photo provided by Audi shows the 2018 Audi Q5, a modern-looking luxury compact SUV with a starting price of $42,475, including the destination fee. The Audi Q5 and the BMW X3 are two of the most popular compact luxury SUVs out today. Shoppers are typically drawn to the Q5 and the X3 because of their appealing mix of refinement, utility, safety and performance. (Photo: AP)

Inside look

Interior differences mostly relate to style. Both interiors offer large entertainment screens and high-resolution digital gauge clusters that host a range of adjustments. The X3's digital instrument cluster incorporates physical gauge housings into its screen, giving it a traditional appearance. The Q5's large panel looks modern and offers more dramatic configurations, including the ability to display the navigation map across the entire screen. Overall, we think the Audi's controls are easier to use, and the quality of its interior materials is higher.

Another difference is smartphone integration with Apple CarPlay and Android Auto. These systems can display select apps from your phone directly onto the car's infotainment screens. The X3 only supports Apple CarPlay, so Android users are out of luck. The Q5 comes with both. But iPhone owners will appreciate how cleanly their phone is integrated into the X3's infotainment system. The Q5's system lack of touchscreen functionality makes these systems more cumbersome to use at times.

CLOSE

USA TODAY's Nathan Bomey reports on the rise of gasoline prices as the summer approaches, driven in part by uncertainty surrounding President Trump's decision to pull the U.S. from the Iran nuclear deal, and OPEC's refusal to boost production. USA TODAY

EDMUNDS SAYS: Choosing between the Q5 and the X3 is difficult. They are comparably priced, deliver a pleasing driving experience and offer a comprehensive set of features. If you're looking for more flexibility to get the features you want without paying for stuff that you don't, the BMW X3 may be for you. If you're after a nicer interior and a more appealing infotainment system, the Audi Q5 could be your SUV of choice.

This story was provided to The Associated Press by the automotive website Edmunds. Carlos Lago is a senior writer at Edmunds. Twitter: @carloslago

Related links:

2018 Audi Q5 Video Review

2018 BMW X3 Video Review

Edmunds SUV Buying Guides

CLOSE

Audi reveals the Q8 luxury concept SUV on Monday, Jan. 9, 2017 during the 2017 North American International Auto Show at Cobo Center in Detroit. USA TODAY NETWORK

10 years ago: IndyMac collapses and starts a flood of bank failures

It was the moment the housing crisis hit home.

IndyMac, a California bank that had grown into one of the nation's largest mortgage lenders, failed 10 years ago Wednesday.

Even though most money in the bank was protected by the FDIC, the government agency that insures bank deposits, customers formed long lines outside IndyMac locations trying to withdraw their cash.

It was a scene reminiscent of the bank runs of the Great Depression. It was also a sign of things to come in the financial crisis.

In the year before IndyMac collapsed, only six banks had failed. In the year that followed, more than 10 times that many went under. By July 2011, more than 300 additional banks had failed, a rate of two per week. Rare was the Friday evening when regulators weren't seizing control of one more.

IndyMac wasn't the cause of the banking crisis. But it was the poster child.

For years, the overwhelming majority of homes in the United States had been purchased with mortgages that conformed to the strict underwriting rules of the two home loan giants, Fannie Mae and Freddie Mac.

But in the early 2000s, investors started looking for riskier loans for which borrowers would pay a higher interest rate.

Subprime loans went to borrowers with bad credit scores. IndyMac specialized in something different �� what became known as Alt-A mortgages. Those were initially loans to people who had good credit scores but couldn't prove a reliable stream of income, such as the self-employed.

Customers line up to try to get their money after the failure of IndyMac in July 2008.

By 2005 and 2006, for the first and only time, the dollar value of non-traditional loans such as subprime and Alt-A mortgages overtook the safer loans that Fannie and Freddie would accept.

IndyMac rode that boom.

The value of the loans it made more than tripled, from $22 billion in 2003 to nearly $90 billion three years later. A relatively small bank became the ninth-largest mortgage lender in the country, according to data from Inside Mortgage Finance.

IndyMac was growing fast by making loans to more and more questionable borrowers.

"There was a rush to the bottom in terms of underwriting," said Guy Cecala, CEO of Inside Mortgage Finance.

Many of those riskier loans were made not by banks but by mortgage lenders who were getting the money to lend out by selling the loans to investors.

What made IndyMac different from many of those lenders is that it was using bank deposits to come up with the cash to make the loans.

As long as home prices kept rising, as they did while the housing bubble was inflating, there were no problems. People could sell the home and walk away with more money than they owed. Once the bubble burst and prices started to decline, loan defaults started to mount.

As home prices started to fall in 2007, some subprime lenders filed for bankruptcy. In March 2008, Wall Street firm Bear Stearns essentially failed because of its bet on the riskier mortgages, and it was sold at rock-bottom prices. Even Fannie and Freddie were losing money.

But until IndyMac's failure, traditional commercial banks were mostly safe from the crisis.

Shelia Bair, the head of the FDIC at the time, said regulators knew well before July 2008 that IndyMac would probably fail. She thought that was months away. But when some members of Congress raised questions about the bank's future, it sparked a rush by the bank's larger customers to withdraw their money, causing a cash crunch that sped IndyMac's demise.

Once the FDIC took it over, things were even worse than its examiners had expected, she said.

"It was unbelievable what was going on," she said. She said so many loans had been made with questionable loan standards that the bank's failure had become inevitable.

The one major regret Bair said she has about the IndyMac failure was that the FDIC closed the bank early on the afternoon of July 11 because it wanted to notify members of Congress of the action before it got too late on the East Coast. That only fed the panic among IndyMac customers.

"If your deposits were insured, it was the safest place in the world to have your money. But people were confused and scared," she said. "It was a mistake to close early. From then on we never did that again."

IndyMac CEO Michael Perry insisted that he and other bank officers had done nothing wrong. He agreed to a $12 million civil settlement with the FDIC to help cover some of the losses. He only had to pay $1 million of that: The bank's insurance company paid the rest.

Perry declined a request for comment made through his attorney.

Bair said there was plenty of blame "across the board" for the problems that arose in the financial system.

"Industry greed played a role," she said. "The regulators' role was to be the cops on the beat, and we didn't what we needed to do."

"Congress fell down," she added. "We wanted legislation regulating lending standards. But everyone was making money and the banks lobbied against standards. The rating agencies handing out good ratings on securities backed by the loans �� shame on them."

She said she is concerned about more recent moves to undo regulations put in place after the crisis, including the Dodd-Frank financial reform law.

"The reforms put in place were incremental. A lot of people including me thing they could have farther," she said. "But there is a trend back towards deregulation that is troubling."

Koninklijke Philips (PHG) Downgraded by Zacks Investment Research

Koninklijke Philips (NYSE:PHG) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report released on Friday.

According to Zacks, “Philips’ is benefiting from strong sales in Diagnosis & Treatment businesses. The company’s expanding portfolio is driving share price momentum, which has outperformed the industry on a year-to-date basis. The company remains optimistic about the prospects of its Diagnosis & Treatment vertical. However, management also mentioned that growth of Ultrasound might not be as good as in the first quarter. Moreover, the company’s near-term profitability is likely to be hurt by the sluggish growth prospects of the healthcare market on a global scale. Also, high restructuring and acquisition-related costs are major headwinds.”

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A number of other research analysts have also recently commented on PHG. ValuEngine upgraded shares of Koninklijke Philips from a “hold” rating to a “buy” rating in a research note on Monday. Deutsche Bank upgraded shares of Koninklijke Philips from a “hold” rating to a “buy” rating in a research note on Tuesday, April 17th. One analyst has rated the stock with a sell rating, two have assigned a hold rating and five have given a buy rating to the stock. Koninklijke Philips presently has an average rating of “Buy” and an average target price of $48.00.

Koninklijke Philips traded up $0.53, reaching $43.50, during midday trading on Friday, according to Marketbeat. 58,702 shares of the company’s stock were exchanged, compared to its average volume of 647,221. The stock has a market cap of $39.68 billion, a price-to-earnings ratio of 35.08, a P/E/G ratio of 2.12 and a beta of 1.25. The company has a quick ratio of 1.13, a current ratio of 1.47 and a debt-to-equity ratio of 0.34. Koninklijke Philips has a one year low of $35.24 and a one year high of $43.45.

Koninklijke Philips (NYSE:PHG) last announced its quarterly earnings results on Monday, April 23rd. The technology company reported $0.20 EPS for the quarter. The firm had revenue of $4.84 billion during the quarter. Koninklijke Philips had a net margin of 8.76% and a return on equity of 7.08%. equities research analysts expect that Koninklijke Philips will post 2.13 EPS for the current fiscal year.

Hedge funds and other institutional investors have recently bought and sold shares of the company. Renaissance Technologies LLC increased its holdings in shares of Koninklijke Philips by 283.3% during the fourth quarter. Renaissance Technologies LLC now owns 1,085,178 shares of the technology company’s stock worth $41,020,000 after buying an additional 802,100 shares in the last quarter. Northern Trust Corp increased its holdings in shares of Koninklijke Philips by 4.7% during the first quarter. Northern Trust Corp now owns 850,663 shares of the technology company’s stock worth $32,589,000 after buying an additional 37,992 shares in the last quarter. Jefferies Group LLC increased its holdings in shares of Koninklijke Philips by 59.0% during the fourth quarter. Jefferies Group LLC now owns 64,439 shares of the technology company’s stock worth $2,436,000 after buying an additional 23,903 shares in the last quarter. SWS Partners acquired a new stake in shares of Koninklijke Philips during the fourth quarter worth approximately $1,528,000. Finally, HBK Investments L P increased its holdings in shares of Koninklijke Philips by 110.3% during the fourth quarter. HBK Investments L P now owns 40,584 shares of the technology company’s stock worth $1,534,000 after buying an additional 21,284 shares in the last quarter. 5.44% of the stock is owned by institutional investors.

Koninklijke Philips Company Profile

Koninklijke Philips N.V. operates as a health technology company worldwide. The company offers mother and child care, and oral healthcare products; male grooming and beauty products; kitchen appliance, coffee, air, garment care, and floor care products; and sleep, respiratory care, and respiratory drug delivery products.

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Amarin Co. plc (AMRN) Expected to Announce Quarterly Sales of $59.10 Million

Equities analysts predict that Amarin Co. plc (NASDAQ:AMRN) will post $59.10 million in sales for the current quarter, Zacks reports. Three analysts have made estimates for Amarin’s earnings, with the lowest sales estimate coming in at $56.80 million and the highest estimate coming in at $63.50 million. Amarin reported sales of $45.24 million in the same quarter last year, which would suggest a positive year over year growth rate of 30.6%. The company is scheduled to issue its next quarterly earnings results on Wednesday, August 1st.

According to Zacks, analysts expect that Amarin will report full-year sales of $237.17 million for the current financial year, with estimates ranging from $231.70 million to $247.30 million. For the next financial year, analysts forecast that the firm will post sales of $396.60 million per share, with estimates ranging from $283.10 million to $457.50 million. Zacks’ sales calculations are an average based on a survey of analysts that that provide coverage for Amarin.

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Amarin (NASDAQ:AMRN) last issued its quarterly earnings results on Wednesday, May 2nd. The biopharmaceutical company reported ($0.08) earnings per share (EPS) for the quarter, meeting the Zacks’ consensus estimate of ($0.08). The company had revenue of $43.80 million for the quarter, compared to analyst estimates of $43.75 million. During the same quarter in the previous year, the company posted ($0.08) EPS. The company’s revenue for the quarter was up 26.6% compared to the same quarter last year.

A number of brokerages have issued reports on AMRN. Cantor Fitzgerald set a $10.00 price target on shares of Amarin and gave the company a “buy” rating in a research note on Wednesday, May 30th. BidaskClub upgraded shares of Amarin from a “strong sell” rating to a “sell” rating in a research note on Friday, May 4th. ValuEngine upgraded shares of Amarin from a “hold” rating to a “buy” rating in a research note on Monday. Finally, Zacks Investment Research upgraded shares of Amarin from a “sell” rating to a “hold” rating in a research note on Monday, May 7th. One analyst has rated the stock with a hold rating and five have issued a buy rating to the stock. The company has a consensus rating of “Buy” and an average price target of $7.75.

Amarin stock traded up $0.06 during mid-day trading on Friday, reaching $3.00. 1,548,913 shares of the company traded hands, compared to its average volume of 2,162,999. The company has a current ratio of 1.74, a quick ratio of 1.45 and a debt-to-equity ratio of -2.30. Amarin has a fifty-two week low of $2.66 and a fifty-two week high of $4.60. The firm has a market capitalization of $859.41 million, a price-to-earnings ratio of -12.00 and a beta of 0.73.

In other news, General Counsel Joseph T. Kennedy sold 26,942 shares of the stock in a transaction on Monday, July 2nd. The shares were sold at an average price of $3.00, for a total value of $80,826.00. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 4.08% of the stock is owned by corporate insiders.

Several large investors have recently added to or reduced their stakes in the company. Alkeon Capital Management LLC acquired a new stake in shares of Amarin in the first quarter worth $5,869,000. Sofinnova Ventures Inc acquired a new stake in shares of Amarin in the first quarter worth $9,998,000. A.R.T. Advisors LLC increased its stake in shares of Amarin by 205.3% in the first quarter. A.R.T. Advisors LLC now owns 342,285 shares of the biopharmaceutical company’s stock worth $1,030,000 after acquiring an additional 230,185 shares during the period. Rock Springs Capital Management LP increased its stake in shares of Amarin by 1.3% in the first quarter. Rock Springs Capital Management LP now owns 4,000,000 shares of the biopharmaceutical company’s stock worth $12,040,000 after acquiring an additional 50,000 shares during the period. Finally, Farallon Capital Management LLC acquired a new stake in shares of Amarin in the first quarter worth $13,726,000. Hedge funds and other institutional investors own 42.51% of the company’s stock.

Amarin Company Profile

Amarin Corporation plc, a biopharmaceutical company, focuses on the development and commercialization of therapeutics for the treatment of cardiovascular diseases in the United States. The company's lead product is Vascepa, a prescription-only omega-3 fatty acid capsule, used as an adjunct to diet for reducing triglyceride levels in adult patients with severe hypertriglyceridemia.

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Top 5 Energy Stocks To Invest In 2019

tags:PAGP,SU,DVN,GPRK,MPC,

BidaskClub downgraded shares of MGE Energy (NASDAQ:MGEE) from a hold rating to a sell rating in a report issued on Friday.

Separately, ValuEngine cut shares of MGE Energy from a hold rating to a sell rating in a report on Wednesday, June 6th.

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NASDAQ:MGEE opened at $55.90 on Friday. The company has a current ratio of 2.34, a quick ratio of 2.00 and a debt-to-equity ratio of 0.50. The company has a market capitalization of $1.95 billion, a P/E ratio of 25.07 and a beta of 0.32. MGE Energy has a 12 month low of $51.05 and a 12 month high of $68.70.

MGE Energy (NASDAQ:MGEE) last posted its quarterly earnings results on Tuesday, May 8th. The utilities provider reported $0.58 EPS for the quarter. The company had revenue of $157.63 million for the quarter. MGE Energy had a net margin of 17.43% and a return on equity of 10.19%.

Top 5 Energy Stocks To Invest In 2019: Plains Group Holdings, L.P.(PAGP)

Advisors' Opinion:

• [By Shane Hupp]

  News coverage about Plains GP (NYSE:PAGP) has been trending somewhat positive on Sunday, according to Accern Sentiment Analysis. The research firm scores the sentiment of press coverage by monitoring more than 20 million news and blog sources in real time. Accern ranks coverage of publicly-traded companies on a scale of -1 to 1, with scores nearest to one being the most favorable. Plains GP earned a news impact score of 0.18 on Accern’s scale. Accern also assigned news coverage about the pipeline company an impact score of 46.0549967457103 out of 100, meaning that recent press coverage is somewhat unlikely to have an impact on the company’s share price in the near future.

• [By Joseph Griffin]

  Plains GP (NYSE:PAGP) was downgraded by equities researchers at Sanford C. Bernstein from an “outperform” rating to a “market perform” rating in a note issued to investors on Monday, The Fly reports.

• [By Matthew DiLallo]

  Two years ago, Plains All American Pipeline (NYSE:PAA) and Plains GP Holdings (NYSE:PAGP) took a step to simplify their corporate structure by eliminating the costly incentive distribution rights (IDRs) that Plains All American paid to Plains GP. In exchange, Plains GP acquired a 34.8% stake in the MLP. While that deal was certainly a step in the right direction, the companies could eventually take the next logical progression by combining into one entity.

• [By Stephan Byrd]

  TheStreet upgraded shares of Plains GP (NYSE:PAGP) from a d+ rating to a c- rating in a research report released on Monday morning.

  Several other analysts have also recently issued reports on the company. Stifel Nicolaus cut Plains GP from a buy rating to a hold rating and set a $24.00 price objective on the stock. in a report on Wednesday. Jefferies Group cut Plains GP from a buy rating to a hold rating in a report on Wednesday, April 25th. Wolfe Research cut Plains GP from a market perform rating to an underperform rating in a report on Tuesday, April 24th. Deutsche Bank began coverage on Plains GP in a report on Thursday, April 19th. They set a buy rating and a $29.00 price objective on the stock. Finally, SunTrust Banks raised Plains GP from a hold rating to a buy rating and set a $27.00 price objective on the stock in a report on Monday, April 9th. Two equities research analysts have rated the stock with a sell rating, eight have given a hold rating, ten have assigned a buy rating and one has assigned a strong buy rating to the company. The company presently has an average rating of Hold and a consensus price target of $25.65.

• [By Joseph Griffin]

  Here are some of the news articles that may have impacted Accern’s rankings:

  Get Plains GP alerts: Plains GP (PAGP) Posts Quarterly Earnings Results, Misses Expectations By $0.08 EPS (americanbankingnews.com) Plains GP (PAGP) Upgraded by TheStreet to C- (americanbankingnews.com) Plains GP (PAGP) Downgraded by Stifel Nicolaus (americanbankingnews.com) Plains GP Holdings (PAGP) Tops Q1 EPS by 5c, Beats on Revenues (streetinsider.com) Plains All American Pipeline, L.P. and Plains GP Holdings Report First-Quarter 2018 Results (finance.yahoo.com)

  Several research firms have commented on PAGP. TheStreet upgraded shares of Plains GP from a “d+” rating to a “c-” rating in a research report on Monday. Stifel Nicolaus cut shares of Plains GP from a “buy” rating to a “hold” rating and set a $24.00 target price for the company. in a research report on Wednesday. Jefferies Group cut shares of Plains GP from a “buy” rating to a “hold” rating in a research report on Wednesday, April 25th. Wolfe Research cut shares of Plains GP from a “market perform” rating to an “underperform” rating in a research report on Tuesday, April 24th. Finally, Deutsche Bank began coverage on shares of Plains GP in a research report on Thursday, April 19th. They issued a “buy” rating and a $29.00 target price for the company. Two research analysts have rated the stock with a sell rating, eight have issued a hold rating, ten have assigned a buy rating and one has given a strong buy rating to the stock. The stock currently has a consensus rating of “Hold” and a consensus target price of $25.65.

Top 5 Energy Stocks To Invest In 2019: Suncor Energy Inc.(SU)

Advisors' Opinion:

• [By Max Byerly]

  Suncor Energy (TSE:SU) (NYSE:SU) had its price target upped by Raymond James from C$60.00 to C$61.00 in a research report report published on Tuesday.

• [By Matthew DiLallo]

  Suncor Energy (NYSE:SU) recently put the finishing touches on two megaprojects that position it for significant production growth in the near term. However, the company's growth beyond this phase remains unclear because it can't sanction new oil sands projects until more pipelines come online, which won't happen anytime soon due to continued opposition. Because of that, the company needs to look elsewhere to drive future growth.

• [By Matthew DiLallo]

  Suncor Energy (NYSE:SU) has richly rewarded investors over the past year. Not only has the stock vastly outperformed both the S&P 500 and most other oil stocks, but it has returned a boatload of cash to shareholders through a higher dividend and share repurchases. Cash returns could rise some more in the coming months thanks two recently completed expansion projects and higher oil prices. These catalysts could be just the fuel this Canadian oil stock needs to continue outperforming.

• [By Tyler Crowe]

  I don't know if you have noticed, but oil prices have been on the rise lately, which has done miraculous things for the bottom lines at oil and gas companies. The same can be said for Suncor Energy (NYSE:SU), which was able to post a rather healthy earnings per share number considering one of its major oil sands facilities was shut down in the most recent quarter.

• [By Tyler Crowe, Reuben Gregg Brewer, and Travis Hoium]

  Clearly, investors should be at least looking at stocks in this industry, so we asked three of our investing contributors to each highlight a great company in the industry to help you get started. Here's why they picked Baker Hughes, a GE Company (NYSE:BHGE), Suncor Energy (NYSE:SU), and Total (NYSE:TOT).�

• [By Stephan Byrd]

  Suncor Energy (TSE:SU) (NYSE:SU) had its price target lifted by TD Securities from C$57.00 to C$58.00 in a report published on Friday. TD Securities currently has a buy rating on the stock.

Top 5 Energy Stocks To Invest In 2019: Devon Energy Corporation(DVN)

Advisors' Opinion:

• [By Matthew DiLallo]

  That ability to organically discover new shale plays has saved it a ton of money. The company was able to quietly gobble up 50,000 acres in Oklahoma over a four-year period for just $750 an acre. Contrast that with rivals�Devon Energy�(NYSE:DVN) and�Marathon Oil�(NYSE:MRO). Devon spent $1.9 billion to buy Felix Energy in late 2015 for the company's 80,000 acres in Oklahoma, paying a whopping $23,750 an acre. Meanwhile, Marathon paid $888 million for PayRock Energy and its 61,000 acres in the state, which amounted to roughly $14,500 an acre. EOG's�deep�knowledge of shale helps it know where to look so it can lock up land for next to nothing before rivals even know what's there.

• [By Tyler Crowe, Matthew DiLallo, and Reuben Gregg Brewer]

  So we asked three of our investing contributors to each highlight a company they think has a compelling investment case right now in the oil and gas industry. Here's why they selected Devon Energy (NYSE:DVN), Range Resources (NYSE:RRC), and ExxonMobil (NYSE:XOM).

• [By Matthew DiLallo]

  As expected, EOG Resources' U.S. oil output came in above the midpoint of its forecast and was up 15% year over year. Fueling that high-end result were the many wells EOG completed across its vast shale portfolio. The company completed 70 wells in the Delaware Basin during the quarter, with several producing more than 2,000 barrels of oil equivalent per day (BOE/D) in their first month. While the company didn't match Devon Energy's (NYSE:DVN) record-smashing 24,000 BOE/D two-well gusher, its wells were highly productive and generated excellent returns.

• [By Matthew DiLallo]

  As things stand right now, analysts anticipate that at least some Iranian oil will come off the market as a result of the sanctions. That lost output would further tighten an oil market that suddenly has little margin for error thanks to red-hot demand and tame supply growth. That's the recipe for higher oil prices and could make top-tier U.S. oil stocks Anadarko Petroleum (NYSE:APC), Devon Energy (NYSE:DVN), and ConocoPhillips (NYSE:COP) big winners in the coming years.

• [By Stephan Byrd]

  Devon Energy (NYSE:DVN) – Stock analysts at Capital One cut their Q2 2018 EPS estimates for Devon Energy in a report released on Wednesday, June 6th. Capital One analyst P. Johnston now anticipates that the energy company will earn $0.29 per share for the quarter, down from their previous estimate of $0.30. Capital One also issued estimates for Devon Energy’s FY2019 earnings at $2.19 EPS.

Top 5 Energy Stocks To Invest In 2019: Geopark Ltd(GPRK)

Advisors' Opinion:

• [By Max Byerly]

  Canaccord Genuity reaffirmed their buy rating on shares of Geopark (NYSE:GPRK) in a research note published on Tuesday morning.

  “We expect the Street to raise its estimates once again on the back of these strong results.”,” the firm’s analyst wrote.

Top 5 Energy Stocks To Invest In 2019: Marathon Petroleum Corporation(MPC)

Advisors' Opinion:

• [By Lee Jackson]

  Not only is Marathon Petroleum Corp. (NYSE: MPC) the newest member of the Franchise List, but it is a returning member. Also, the company has begun�of the long process of completing a massive purchase of another refining giant. Marathon agreed to buy rival Andeavor (NYSE: ANDV) for $23.3 billion in the biggest-ever deal for an oil refiner. That would create the largest independent fuel maker in the United States.

• [By Joseph Griffin]

  Get a free copy of the Zacks research report on Marathon Petroleum (MPC)

  For more information about research offerings from Zacks Investment Research, visit Zacks.com

• [By Chris Lange]

  The stock posting the largest daily percentage gain in the S&P 500 ahead of the close Thursday was Marathon Petroleum Corp. (NYSE: MPC) which rose about 5% to $80.85. The stock��s 52-week range is $49.30 to $83.27. Volume was about 9 million compared to the daily average volume of 5 million.

• [By Logan Wallace]

  Media stories about Marathon Petroleum (NYSE:MPC) have been trending somewhat positive this week, according to Accern Sentiment Analysis. Accern identifies positive and negative press coverage by reviewing more than 20 million blog and news sources in real-time. Accern ranks coverage of public companies on a scale of -1 to 1, with scores closest to one being the most favorable. Marathon Petroleum earned a news sentiment score of 0.17 on Accern’s scale. Accern also assigned news headlines about the oil and gas company an impact score of 46.2436065193767 out of 100, indicating that recent press coverage is somewhat unlikely to have an effect on the company’s share price in the next few days.

• [By JJ Kinahan]

  Energy was the other S&P sector in the green yesterday, helped by rising oil prices and excitement about the tie up between Marathon Petroleum Corp (NYSE: MPC) and Andeavor (NYSE: ANDV). Devon Energy Corp (NYSE: DVN) was the biggest gainer in the sector, rising more than 5 percent after the company raised its annual production forecast. (See more on oil below.)

• [By Maxx Chatsko]

  The combination of pipeline bottlenecks is now dragging down the price of West Texas Intermediate (WTI) crude oil to levels well below that of Brent crude. The difference between the two is called the Brent-WTI spread -- and it's now at levels last witnessed in 2015, and never before 2011. This single metric also explains why oil refinery stocks such as Marathon Petroleum (NYSE:MPC), Phillips 66 (NYSE:PSX), and Delek US Holdings (NYSE:DK) are up by as much as 51% this year.