Eric Novinson

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  • Fresh Juice Could Make The Difference For This Restaurant

    By Eric Novinson - August 12, 2013 | Tickers: SNAK, JMBA, SBUX

    Jamba Juice (NASDAQ: JMBA) may present an opportunity right now. Although Jamba posted underwhelming same store sales this quarter, the company has figured out what health oriented customers want. Jamba has developed new juice drinks that could bring in additional revenue from both retail outlets and grocery stores.

    Same Store Sales

    Jamba still achieved same store sales growth this quarter. Overall, the restaurant reported 1.7% higher same store sales more »

  • What the Sprouts IPO Tells Investors About Whole Foods

    By Eric Novinson - August 8, 2013 | Tickers: NGVC, SFM, TFM, WFM

    Grocery stores that sell organic food remain popular with investors. Sprouts Farmers Market (NASDAQ: SFM) more than doubled in price on its first trading day. Whole Foods (NASDAQ: WFM) now has another publicly traded peer that could attempt aggressive price competition to capture market share. Sprouts also helps illustrate the current opportunities and threats for Whole Foods.

    The Health Food Market

    Sprouts' prospectus supports the argument that the health food more »

  • The Real Attraction of Movie Theaters

    By Eric Novinson - August 1, 2013 | Tickers: CKEC, CNK, RGC, MCS

    When movie theater visitors buy tickets, theater stockholders can receive rewards. Movie theater chains Regal Entertainment Group, (NYSE: RGC) Cinemark Holdings, (NYSE: CNK) and The Marcus Corporation (NYSE: MCS) all pay out dividends. Recent results suggest that business has picked up, which could make movie theater stocks more appealing dividend picks.

    The Top Dog

    Regal shows lots of movies. This company boasts that it's the largest theater chain in more »

  • The Fast Part of Fast Casual Gains Importance for Panera

    By Eric Novinson - July 25, 2013 | Tickers: CMG, PNRA, YUM

    Fast casual remains very popular with diners. Chipotle (NYSE: CMG) has demonstrated once again that diners remain concerned about what they're eating, and they don't want to wait for their meals. Now the fast casual chains face another challenge: high comparable store sales growth expectations. Panera (NASDAQ: PNRA) could be an attractive investment here if its efficiency plans succeed.

    Comparable Store Sales

    Comparable store sales figures show that more »

  • Five Things to Know About This Healthy Grocer

    By Eric Novinson - July 11, 2013 | Tickers: NGVC, TFM, WFM

    Shares of Natural Grocers (NYSE: NGVC) have recently skyrocketed. Like its larger peers Whole Foods (NASDAQ: WFM) and The Fresh Market, (NASDAQ: TFM) Natural Grocers benefits from demand for healthier products. Natural Grocers isn't just a smaller version of another health food store, though. This grocery store has its own strengths and weaknesses, and five topics hold particular importance.

    Insider ownership

    The Isely family took Natural Grocers public last more »

  • A New Contender in Fast Casual

    By Eric Novinson - July 1, 2013 | Tickers: CMG, NDLS, PNRA

    Noodles & Company (NASDAQ: NDLS) offered investors a relatively rare opportunity in a hot sector last week. The restaurant chains Chipotle (NYSE: CMG) and Panera (NASDAQ: PNRA) have proven that the fast casual business model can deliver excellent results. Noodles also has a skilled leader: Kevin Reddy served as the COO for Chipotle before he became the CEO of Noodles. Now, this noodle restaurant has to justify its high share price more »

  • Movie Theaters and Hotels for an Uncertain Future

    By Eric Novinson - June 27, 2013 | Tickers: MAR, RGC, MCS

    The Marcus Corporation (NYSE: MCS) offers a decent dividend payout and a resilient business model. This company owns both hotels and movie theaters, so it benefits from diversification. Marcus has a limited geographic footprint, with many of its properties in the Midwest, so it has room to expand. The company has also invested in modern theater technology, such as 3D-capable screens. Marcus could be a better long term pick than more »

  • Shopping For An Auto Dealership

    By Eric Novinson - June 22, 2013 | Tickers: AN, KMX, PAG

    Auto sales have already risen in 2013, and automakers expect the high demand to continue, reports the Tampa Bay Business Journal. Recent results from auto dealers Penske, (NYSE: PAG) AutoNation, (NYSE: AN) and most recently CarMax (NYSE: KMX) could indicate the satisfaction of pent up auto demand. Cars can be expensive, especially new ones, so it can pay to shop around. The same concept holds for auto dealership stocks. CarMax more »

  • A Closer Look at This Software Company's Recent Results

    By Eric Novinson - June 19, 2013 | Tickers: AAPL, IBM, NUAN

    Nuance Communications (NASDAQ: NUAN) specializes in speech recognition. This software company has defended its market by purchasing smaller rivals. Nuance can't buy MicrosoftGoogle, or IBM (NYSE: IBM) though, so competition remains a risk factor. Nuance also reported weak results for the fiscal second quarter of 2013. Surprisingly, these results may help make the bull case for Nuance.

    Latest Results

    Nuance admitted that its second quarter went poorly. The more »

  • Is This Pharmacy's Turnaround Done?

    By Eric Novinson - June 17, 2013 | Tickers: CVS, RAD, WAG

    Bulls who backed the struggling pharmacy Rite Aid (NYSE: RAD) last year have been rewarded. This pharmacy's turnaround efforts proved the naysayers wrong. Rite Aid is priced like a profitable company now, although by one metric it's still a major bargain. Now investors wonder whether this pharmacy stock's rally can continue. Drug industry trends and other pharmacies' recent moves could help answer this question.

    Macro Trends

    CVS more »

  • Why Lululemon Can Survive a CEO Exit

    By Eric Novinson - June 14, 2013 | Tickers: GPS, LULU, UA

    Lululemon (NASDAQ: LULU) may have solved its pants problems, but now the company's losing its CEO. When the yoga clothing seller reported its results for the first quarter of 2013, it also announced that Christine Day planned to leave the company. This CEO will leave a strong niche retailer behind, though. Lululemon still retains strengths in management, margins, individual store performance, and overall market positioning. 

    Management

    Lululemon investors definitely more »

  • Go Big With This Stock

    By Eric Novinson - June 7, 2013 | Tickers: BRK-B, HXL, BA, ZOLT

    Big airplanes and big wind turbines could both produce big profits for Hexcel (NYSE: HXL). This manufacturer looks like it's doing fine in both areas. In early June, Boeing (NYSE: BA) explained that its new, larger 787-9 model has entered the final assembly process. In May, Berkshire Hathaway's (NYSE: BRK-B) MidAmerican Energy announced a large wind turbine project in Iowa.

    Airplanes

    The 787-9 could be very appealing for more »

  • This Fashion Boutique May Be Underestimated

    By Eric Novinson - June 6, 2013 | Tickers: FRAN, LULU, URBN

    Fashion boutique chain Francesca's (NASDAQ: FRAN) reported 1Q 2013 results that included unimpressive comparable store sales and weaker margins, but this miss could be an opportunity.

    This clothing and accessories retailer employs business strategies that have been very effective for other stores. Like other fashion retailers that share these strengths, Francesca's carries a premium valuation.

    Scarcity

    Francesca's uses a compelling strategy to sell clothing, jewelry, and accessories more »

  • A World Full of Labels

    By Eric Novinson - May 26, 2013 | Tickers: CL, LABL, PG

    Shoppers need to buy household products in every country. Toothpaste, laundry detergent, shampoo, and other consumables also have buyers even when the economy's weak. Investors know the companies that sell these products, and follow their expansion into foreign markets. Consumer products makers aren't the only companies that benefit when shoppers buy household items, though. A bar of soap or a container of detergent needs a label, which could more »

  • GMROI and the Department Stores

    By Eric Novinson - May 24, 2013 | Tickers: JCP, KSS, M, JWN

    Gross margin and inventory turnover both help show how well a department store's doing, but each metric has weaknesses when used alone. A high margin doesn't mean as much when clothing sits on the shelf for months. High turnover doesn't mean as much when the store barely earns a profit, or even incurs a loss, on the clothing it sells. The gross margin return on investment metric more »

  • This Brewer Could Beat the Bears

    By Eric Novinson - May 21, 2013 | Tickers: BUD, SAM, BREW

    Boston Beer (NYSE: SAM) lost some ground to other craft brewers last quarter as Sam Adams sales dipped. Nevertheless, this brewer's investment in hard cider beverages continues to pay off. The brewer also funds a research organization that has other craft beers under development. Investors remain concerned about Boston Beer's valuation, though. Here are three reasons Boston Beer could still be a promising investment at this level.

    Overall more »

  • This Exercise Equipment Company's Turnaround Continues

    By Eric Novinson - May 17, 2013 | Tickers: BC, LTM, NLS

    Back in 2007, Sherborne decided that exercise equipment seller Nautilus (NYSE: NLS) could get in better shape. The activist investor group had a difficult task ahead. Sherborne bought a company that made home fitness equipment -- right before the housing market collapsed. Here's how Sherborne nevertheless got Nautilus back on track.

    The Takeover

    Nautilus entered 2007 with rising sales. The exercise equipment company reported revenue of $524 million in 2004 more »

  • Whole Foods' International Plans

    By Eric Novinson - May 9, 2013 | Tickers: HAIN, UNFI, WFM

    Whole Foods (NASDAQ: WFM) got attention with its stock split, but this health food store's international expansion potential could be the most important part of its 2Q 2013 earnings release. The grocer mentioned that it might add stores in Britain and Canada. This strategy could help Whole Foods keep growing while keeping its long term strategy on track, and recent results from Hain Celestial (NASDAQ: HAIN) suggest that this more »

  • This Web Wedding Company Is a Cash Cow

    By Eric Novinson - May 2, 2013 | Tickers: M, MSO, XOXO

    XO Group (NYSE: XOXO) has an interesting story. This Internet company, founded by a husband and wife team who still run it, was originally called the Knot and still owns TheKnot.com web site. The company got its start in wedding planning, later moving into other areas such as household and pregnancy planning. The name change showed that the wedding planning company had entered new business areas. Now that the more »

  • Four Areas To Consider With Cintas

    By Eric Novinson - April 30, 2013 | Tickers: CTAS, GK, UNF

    Uniform supplier Cintas (NASDAQ: CTAS) may offer defensive potential. Uniforms help represent a company's image to the public, and Cintas has a strong brand in the uniform business. This company has also branched out beyond uniforms by offering fire, safety, and first aid services, as well as document protection. Competitors in the uniform rental business have gained efficiency recently though, which could be a potential source of trouble for more »

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