More Earnings

Two more earnings reports to pass along. After the bell, Stryker (SYK) reported earnings of 70 cents a share, one penny better than estimates. This is such a great company; they deliver solid earnings like clockwork. Sales rose 14.7% to $1.63 billion from $1.43 billion. The company also forecast full-year earnings of $2.88 (no range?) which was inline with the Street. I think the stock is slightly overpriced here but not dramatically so.
Harley-Davidson (HOG) has a rotten earnings report yesterday. The company earned 79 cents a share compared with 74 cents a share last year. Last year’s first quarter was impacted by the strike.
The worst part was that Harley lowered its forecast. The company now sees an earnings pullback of 15% to 20% instead of the 4% to 7% it predicted before. BusinessWeek has a good article on the challenges facing HOG. This is one I’m not happy with.
This is probably a case of my Buy List rule of not being able to sell until the end of the year will probably help me. Honestly, I’d be tempted to sell HOG right now.

Posted by on April 18th, 2008 at 10:18 am


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