For Immediate Release
Chicago, IL – April 01, 2015– Zacks Equity Research highlights Ryman Hospitality (RHP-Free Report) as the Bull of the Day and Stonegate Mortgage (SGM-Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Tesla Motors, Inc. (TSLA-Free Report), Tata Motors Limited (TTM-Free Report), General Motors Company (GM-Free Report) and Wabash National Corp. (WNC-Free Report).
Here is a synopsis of all six stocks:
Bull of the Day:
Ryman Hospitality (RHP-Free Report) has seen its estimates rise due to strong Q4 results in both earnings and revenues, increased advanced bookings, and positive 2015 guidance. These factors combined with management’s success in marketing and sales since 2013 have made Ryman Hospitality Zack’s Bull of the Day.
This Zacks Rank #1 (Strong Buy) is a Real Estate Investment Trust specializing in group-oriented destination hotel assets in urban resort markets. The company also operates a number of media and entertainment assets that includes the Grand Ole Opry, the Ryman Auditorium and WSM-AM.
Currently, management is encouraged by prospective and tentative bookings, which have seen tentative bookings up 10% year over year, and prospective bookings up 8% year over year. Further, management has seen 2016 bookings increase 5% year over year due to an improved pricing environment. Further, management stated that they plan on repurchasing 4.7 million warrants by the completion of the first quarter 2015; this would eliminate all overhangs from their business transition in 2013.
Bear of the Day:
Stonegate Mortgage (SGM-Free Report) has seen its estimates fall due to several factors; Q4 14 earnings and revenues missed the Zacks Consensus Estimates, revenues dropped 58% quarter over quarter, revenues dropped 39% year over year, a heavy cost base, and high difficulty to grow earnings.
This Zacks Rank #5 (Strong Sell) company operates as a non-bank integrated mortgage company focused on originating, financing, and servicing Agency and Non-Agency residential mortgage loans.
According to the company, “lower interest rates and a flattening in the yield curve resulted in lower GAAP revenue primarily in interest income, payoffs and principal amortizations of MSR’s and fair market value adjustments.” Due to these factors the company saw revenues significantly decrease quarter over quarter and year over year. So with the FED looking at June the earliest for an interest rate hike, the next few months will continue to be difficult for Stonegate Mortgage.
Additional content:
Tesla to Unveil Home Battery Next Month?
Tesla Motors, Inc.’s (TSLA-Free Report) CEO Elon Musk tweeted that the company will launch a new product line at its Hawthorne Design Studio on Apr 30. Musk’s specification that the new product line is not a car has sparked widespread speculation about what the product may be.
The most common hypothesis is that Tesla will launch a solar energy battery storage unit for home and business use as Musk had revealed that the company is developing one, in its last earnings conference call in February. He had also said that the home battery would be unveiled within one or two months of the conference call, which makes Apr 30 an ideal date for its launch.
A media report also revealed that Tesla is hiring several employees for its stationary storage business unit. The company expects the business to generate billions of dollars every year.
Nearly a year ago, Musk said that Tesla’s home battery will be flat and similar in appearance to the Model S battery pack. He also said that it will be an integrated bidirectional inverter, which means that the electricity can flow in both directions.
The battery will be able to store solar energy during the day for use at night. If Tesla’s home battery proves to be a successful launch, it would reduce people’s reliance on utility companies, affecting their revenues in turn.
Musk’s tweet led to a 3% gain in Tesla’s stock that closed at $190.57 on Mar 30. Tesla currently carries a Zacks Rank #3 (Hold).
Better-ranked automobile stocks include Tata Motors Limited (TTM-Free Report) and General Motors Company (GM-Free Report) and Wabash National Corp. (WNC-Free Report). While Tata Motors sports a Zacks Rank #1 (Strong Buy), General Motors carries a Zacks Rank #2 (Buy).
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About the Bull and Bear of the Day
Every day, the analysts at Zacks Equity Research select two stocks that are likely to outperform (Bull) or underperform (Bear) the markets over the next 3-6 months.
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RYMAN HOSPITLTY (RHP): Free Stock Analysis Report
STONEGATE MORTG (SGM): Free Stock Analysis Report
TESLA MOTORS (TSLA): Free Stock Analysis Report
TATA MOTORS-ADR (TTM): Free Stock Analysis Report
GENERAL MOTORS (GM): Free Stock Analysis Report
WABASH NATIONAL (WNC): Free Stock Analysis Report
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