Bloomberg the Company

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Follow Us

Industry Products

Markets & Finance

Analyst Actions: Google, CEC Entertainment


From Standard & Poor's Equity ResearchTHINKEQUITY CUTS GOOGLE TO SOURCE OF FUNDS FROM ACCUMULATE

ThinkEquity analyst William Morrison says Google (GOOG) shares have risen 27% in the past three weeks (vs. S&P 500's 3% rise), reflecting a second half 2009 recovery he thinks is unlikely to materialize.

Morrison says his research suggests paid clicks and costs-per-click have continued to deteriorate in the first half. He now expects 3.8% growth in 2009 net revenue (0.6% rise in gross margin), vs. Street consensus of 10.3%. He also now sees $19.85 2009 pro-forma EPS, vs. Street consensus of $21.20.

He believes GOOG stock will fall into the $300 range as investors come around to his point of view.

MORGAN KEEGAN KEEPS OUTPERFORM ON CEC ENTERTAINMENT

Morgan Keegan analyst Robert Derrington says CEC Entertainment (CEC) fourth quarter EPS of $0.11 missed his $0.15 estimate on lower-than-expected same-store sales and weaker-than-expected restaurant margin from higher self-insured reserves, offset somewhat by lower general and administrative expenses.

He notes the company cut its 2009 EPS view to $2.53-$2.65 from $2.72-$2.78. As such, he expects to cut his $2.74 2009 EPS view to about $2.60.

But despite the tough economic environment, Derrington expects CEC's free cash flow to remain substantial, fueling either debt retirement or its ongoing repurchase plan.


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus