Marriott Global Corp (MAR) has announced a 21% increase in its quarterly dividend, reflecting the company’s strong financial performance and robust earnings growth. The new dividend rate is 63 cents per share, up from 52 cents previously. The dividend will be paid on June 28, 2024, to shareholders of record as of May 24, 2024.
Japanese stocks are expected to soar in the coming months, with the Nikkei 225 projected to reach new record highs. According to analysts at UBS, the Nikkei is poised to close the year at 45,000 points, while the TOPIX index is set to hit 3,120 points. Export-oriented businesses are expected to lead the market rally, and the yen is predicted to continue its downward trend.
UBS analysts have released a snippet on US stocks, projecting the strongest quarterly earnings growth in over two years. While the earnings season is still ongoing, UBS notes that earnings have surpassed estimates by 8.3% thus far. This is a significant improvement over the 9.7% growth witnessed in Q3 2021, marking the most robust performance since then. UBS anticipates further improvement in Q1 earnings as more data becomes available.
Lincoln Electric (NASDAQ: LECO) shares have witnessed significant gains recently, driven by strong business performance. However, despite a re-rating multiple, the company’s valuation remains at a premium. With choppy order trends and dynamic operating conditions expected in 2024, investors may want to consider alternative investment opportunities.
Veralto, a global leader in water and product quality solutions, announced positive first quarter results and updated its financial guidance for 2024. The Company reported year-over-year core sales growth led by strength in industrial markets and aggregate price increases. Operating margin expanded, and earnings growth reached high single digits. Veralto anticipates continued low-single-digit non-GAAP core sales growth and adjusted operating profit margin expansion of 50 to 75 basis points for the full year 2024. The Company raised its target for adjusted diluted earnings per share to a range of $1.13 to $1.17.
Hindustan Unilever (HUL) is expected to report muted earnings growth in its upcoming Q4 results, reflecting the challenges faced by the FMCG sector. Despite a narrowing gap between urban and rural growth, the company’s performance is yet to fully reflect this trend. The company is projected to report a 1.16% increase in revenue, with volume growth estimated at 3%. However, a hit of ₹75 crore on sales due to the expiration of the GSK consignment arrangement is expected to impact results. HUL’s Q4 net profit is anticipated to rise 2.71% to ₹2,538 crore, with EBITDA marginally increasing by 0.60% and EBITDA margins remaining flat at 23.2%. Despite higher ad spend and other expenses, gross margins are expected to expand due to lower raw material costs. HUL’s share price has declined over 15% in 2024, reflecting the challenges faced by the FMCG sector.
Wells Fargo analysts believe that Walt Disney (DIS) is poised for improved performance after emerging victorious from a challenging proxy fight. They anticipate better margins in the company’s direct-to-consumer business and stabilization in the sports segment. Disney is also expected to benefit from paid account sharing at Disney+, Hulu content integration, and potential full ownership of Hulu in 2023. Furthermore, ESPN’s valuation is projected to rise, supported by strong sports viewership. The bank has raised its earnings per share estimates for Disney in 2024 and 2025, leading to an increased price target of $141, implying significant upside potential.
Despite interest rate hikes and market turmoil, Bank of New York Mellon Corporation (BK) has proven its resilience. The bank’s diverse offerings and strong financial performance support an upgrade from hold to buy. Analysts forecast solid earnings growth and dividend increases, while the stock’s technical outlook has improved. Despite potential cyclical risks, BK’s growth trajectory and attractive valuation make it an appealing investment.
Goldman Sachs (GS) is poised to trade above its August 2021 all-time-high of $420. While the company’s EPS is expected to decline in the next two years, it remains a solid investment with a reasonable valuation of 11x PE and 1.3x price-to-book value. Goldman’s recent performance and strong bond issuance indicate potential for further growth. The financial sector has been performing well recently, suggesting that the Fed may be closer to reducing interest rates than anticipated.
