Why Tripadvisor, Valeant, and 3 Other Equities Are Making Noise This Morning

Valeant Earnings Dissapoint

Valeant Pharmaceuticals Intl Inc (NYSE:VRX) is 17% lower in the pre-market after reporting first quarter adjusted earnings of $1.27 per share on revenue of $2.37 billion, missing the consensus estimates by $0.10 per share and $10 million respectively. Adjusted earnings fell by 38% year-over-year despite revenue rising by 9.2% year-over-year. GAAP cash flow from operations rose by 14% year-over-year to $558 million. Soft guidance could also be a reason for the stock’s sharp decline. Management now expects 2016 adjusted EPS of $6.60-to-$7.00 on revenue of $9.9 billion-to-$10.1 billion, well beneath the previous guidance targets of $8.50-to-$9.50 per share in EPS on revenue of $11.0 billion-to-$11.2 billion. Bill Ackman‘s Pershing Square is a major shareholder of Valeant Pharmaceuticals Intl Inc (NYSE:VRX), as well as a board member.

Best Buy Co in the Spotlight After Insider Sale

Shareholders are paying more attention to Best Buy Co Inc (NYSE:BBY) after news broke yesterday that CEO Joly Hubert recently sold 398,000 shares of the company at around $32 per share, leaving Hubert with 511,139 shares. Although the sale might be construed as a sign of less confidence in the company, a PR person for Best Buy has said that the CEO’s sale is for diversification purposes. Best Buy Co Inc (NYSE:BBY) shares have rallied by 5% year-to-date and trade for 10.15-times forward earnings estimates. Of the 766 elite funds that we track, 28 funds owned $552.81 million worth of Best Buy Co Inc (NYSE:BBY) shares, which accounted for 5.30% of the stock’s float on March 31.

HD Supply Holdings Reports Mixed Earnings

HD Supply Holdings Inc (NASDAQ:HDS) reported mixed earnings for its first quarter of fiscal year 2016 ended May 1, with EPS coming in at $0.51 on sales of $1.78 billion, beating bottom-line expectations by $0.05 per share but missing top-line estimates by $60 million. Sales rose by 7.2% year-over-year, led by the company’s construction and industrial segment, whose revenue jumped by 9.8%. Adjusted EBITDA rose by 14% year-over-year to $215 million. The company anticipates adjusted earnings of $0.85-to-$0.90 per share on revenue of $2.00 billion-to-$2.05 billion for its fiscal second quarter. The number of elite funds in our database with holdings in HD Supply Holdings Inc (NASDAQ:HDS) rose by three quarter-over-quarter to 48 as of the end of March.

Disclosure: None