EMC: Mostly In Line But Lacking Pizzazz

I alwasy have viewed EMC as a core holding. I am not expecting Apple or Google or Facebook or Qualcomm. Just nice steady growth with very high visibility and consistency. EMC’s storage products and solutions are absolutely critical to the world of internet based computing, communication, and entertainment. Storage is a high priority, mission critical […]

Qualcomm: Good Quarter, Fuzzy Guidance

Qualcomm (QCOM) exceeded its own guidance and analyst estimates with its March quarter results. Sales grew 28% and net income was up 21% indicating the underlying strength for QCOM’s technology and chips. Despite the strong quarter, the stock is down 5% today because the company guided revenues, earnings, and chip shipments slightly below consensus for […]

Google Looks Fine but Street Votes No

Despite Google (GOOG) stock getting a drubbing today I am more comfortable with the shares than I was before the earnings report last night. The report was largely in line. Revenues were as expected/ EPS upside was from tax rate and good expense control that juiced margins. I think expenses are a little lumpy at […]

Back to Mid Cap for April

For the month of April, Northlake’s Market Cap signals switched from favoring small cap to favoring mid cap. As a result, client positions in the Russell 2000 (IWM) have been swapped into the S&P 400 Mid Cap (MDY). The Style model remains on a growth signal so client positions in the Russell 1000 Growth (IWF) […]

From Virgin Media and England to Liberty Global and Germany

All Northlake client positions in Virgin Media (VMED) have been swapped into Liberty Global (LBTYK). Both companies are leaders in supplying cable TV, telephony, and internet. VMED operates solely in England, while LBTYK operates throughout Northern and Central Europe with a major focus on Germany. I think both stocks have similar upside of 20-30%. However, […]

Media Stock Earnings on the Mark

During the seocnd half of February, most major media stocks reported December quarter results and gave a look ahead to early 2012 business trends. In general, the results and outlook were good. This was definitely the case at CBS, Discovery Communications, Charter Communications, and Liberty Media, each of which is held in most Northlake client […]

Small Caps and Growth Still in Vogue

There are no changes to Northlake’s models for March. The Market Cap model is recommending small caps for the second consecutive month. The Style model continues to favor growth, as it has since August 2011. With no changes this month, Northlake client assets invested in the models will continue to own the Russell 2000 (IWM)) […]

Virgin Media Back on Track

Virgin Media (VMED) had a tougher than expected 2011 as the crisis in Europe included the UK economy. In addition, competition picked up as all of the company’s cable, satellite, and telecom competitors responded aggressively to the macro weakness. This environment led VMED to increase capital spending amid discounting form some competitors while its own […]

Small Cap Back in Favor

For the first time in 13 months, Northlake’s Market Cap model has a new signal. Beginning February, 2012, the model favors small cap. As a result, Northlake client holdings dedicated to the model have sold the S&P 400 Mid Cap (MDY) and proceeds were reinvested into the Russell 2000 (IWM). There were no changes to […]

Another Blowout from Apple Supports Mobile Broadband Theme

Apple continues to amaze. Relative to expectations this is one of the best quarters I ever remember by any company. Damn, I am pretty certain I wrote that about Apple previously! In calendar 2011, Apple earned $35 a share. Guidance for the March quarter is up 32% and is probably conservative. The company could earn […]