Lowe’s, Madison Square Garden Sports, Nike, Salesforce and Microsoft highlighted as Zacks Bull and Bear of the Day

For Immediate Release

Chicago, IL – October 9, 2020 – Zacks Equity Research Shares of Lowe’s Companies, Inc. LOW as the Bull of the Day, Madison Square Garden Sports Corp. MSGS asthe Bear of the Day. In addition, Zacks Equity Research provides analysis on NIKE, Inc. NKE, salesforce.com, inc. CRM and Microsoft Corporation MSFT.

Here is a synopsis of all five stocks:

Bull of the Day:

As the Covid-19 pandemic stretches past its 200th day and Americans remain mostly in their homes as much as possible, there have been many winners and losers in the business world. The losers have been businesses that rely on in-person interactions for a significant portion of their revenues. Travel, leisure and entertainment have all suffered mightily.

Technology and technology services like video conferencing and file sharing companies that allow people to work at home more efficiently have been the obvious winners.

There have also been winners in lower-tech industries that suddenly find their goods and services in increased demand – and customers who’s lack of recent spending on recreational pursuits has left them with additional cash in their budgets.

Have you been to a home improvement store lately? With the exception of physical formats that have been tweaked to promote social distancing, you’ll probably find that it looks pretty much like business as usual.

For a huge retailer like Lowe’s Companies, a quick look at recent financials confirms that not only is it “business as usual,” in may respects, it’s better than usual. Suddenly consumers who have been confined to their homes have been embarking on a wide variety of home improvement projects.

The more time you spend in your home, the more likely you are to take on those nagging minor repairs that have been on your “to-do” list forever, as well as tackling bigger projects like painting and landscaping. Contractors have their schedules filled months into the future – and they shop at home improvement stores too – for plumbing, electrical, carpentry and concrete supplies.

With limited options for dining out, grills and other outdoor cooking equipment have been flying out of stores, along with larger appliances like refrigerators, stoves, washers and dryers. Though unemployment remains stubbornly above recent averages, most Americans do remain employed. With almost no money spent on things like airline tickets and restaurant meals, many are finding that they have extra cash to spend on improving their environments.

Low interest rates have kept the housing markets extraordinarily healthy, and increased spending on home improvement projects tends to accompany residential real estate transactions.

The Share Price

One possible knock on Lowe’s right now is that the shares have already seen remarkable appreciation this year. During the market panic in March, those shares traded as low as $60 – an incredible bargain!

Even at recent levels near $170/share however, Lowe’s remains quite reasonably valued at 20X forward 12-month earnings estimates. For comparison purposes, competitor Home Depot trades at 25X forward earnings.

13 recent upward earnings estimate revisions earn Lowe’s

Read more

Bear of the Day: Madison Square Garden Company (MSGS)

It’s one of the most famous sports and entertainment venues in the world. Known colloquially as simply “The Garden” and situated right in the middle of Manhattan, Madison Square Garden is the oldest stadium in both the NBA and the NHL and has also hosted countless music, arts and comedy events over the past 52 years. For athletes and performers, “playing at the Garden” is synonymous with having reached the top of their field. It’s truly iconic.

The Madison Square Garden Company (MSGS) doesn’t own the building – the property itself belongs to a related company.*

MSGS owns the NBA’s New York Knicks and the NHL’s New York Rangers – two teams who play in the building and have enjoyed a huge local market and loyal fans around the country who buy up licensed merchandise and watch televised broadcasts. They also own several minor league franchises in both sports, training centers and even an esports team.

*(For clarification: Madison Square Garden Entertainment (MSGE) owns not only that notable, hulking physical facility that looms over two city blocks between 7th and 8th avenue in the low 30s; it also owns Radio City Music Hall and the Beacon Theater in Manhattan, the Chicago Theater, The Forum in Inglewood, CA and Boston’s Wang Theater. All those venues are currently closed. MSGE is currently a Zacks Rank #4 [Sell].)

Live sporting events are a very tough business to be in right now. The NHL cancelled the remainder of the regular season at the beginning of the outbreak in the US in March and pulled together a modified playoff format so that they could still award the Stanley Cup – which was eventually won by the Tampa Bay Lightning. Most teams had played roughly 70 out of a planned 82-game regular season schedule.

It was a similar story in the NBA with the regular season cancelled and an elimination tournament held in an isolation “bubble” in Florida in which all players, coaches, staff and referees have been avoiding all contact with the outside world throughout the proceedings. (The Los Angeles Lakers will look to take the championship trophy home tonight when they take the court up 3 games to 1 against the Miami Heat.)

While sports franchises were able to salvage at least some broadcast revenue from the truncated seasons, it’s a far cry from what they’re accustomed to pulling in from a diverse set of revenue sources during a normal season.

The real concern is next season: 2020-2021.

It’s anyone’s guess when we’ll be gathering once again in public spaces. Under normal circumstances, the new seasons for professional basketball and hockey should be underway soon, but obviously that’s not going to happen. Even if the leagues are able to cobble together something, there will be a massive revenue hit for individual teams.

For MSGS – which has never made all that much in net profits – that’s a disaster. Over the past 60 days, the Zacks Consensus Earnings Estimate has fallen from a net

Read more

Madison Square Garden extends furloughs for 1,700 workers

There’s no indication of just how long temporary will be. Despite the rest of the city reopening, performances and events have been disallowed since March. When those types of large-scale gatherings will be safe again is anyone’s guess, and the Garden’s filing shows how that prolonged uncertainty is touching even the most well-known names in the city. Madison Square Garden Entertainment Group, the Garden’s parent company, reported just $9 million in total revenue in its most recent quarterly report, a 96% decrease on the $215.2 million it brought in for the same quarter in 2019. 

Many of the city’s other venues also are in financial distress. The Metropolitan Opera House said in September that it would not reopen for at least a year, and a similar filing with the Department of Labor shows it has furloughed or laid off more than 2,000 people. Broadway’s layoffs have surpassed 1,000, and Carnegie Hall has dipped into its endowment. 

Madison Square Garden Entertainment Group owns the Beacon Theatre and Radio City Music Hall in addition to its Penn Plaza site. The extended furloughs mainly hit its Penn Plaza workforce, although they also affect 54 workers at the Beacon Theatre and 140 workers at Radio City Music Hall. 

Source Article

Read more

Gates and Markowitz square off again for House District 28

In January, Republican Gary Gates defeated Democrat Eliz Markowitz in a special election for the position of state representative for House District 28. The vacancy was left by Rep. John Zerwas midterm, which opened the position again for this November. The two candidates are now running against each other for the same seat nine months later.

Both candidates participated in a question and answer series on their respective opinions on issues facing the district.

Tell us a little about yourself. What made you decide to run for House District 28?

Gates: This community has given me so much; I founded my business here and raised my family here; I want to do what I can to give back. Shortly after I was elected, COVID-19 began to devastate Texas, and Fort Bend County was on the front lines. We had the first case in the state. As businesses shut down and seniors were told to stay in, I went to work contacting residents to connect them with the information and resources they needed. We reached out to over 30,000 people and distributed care packets to over 15,000 residents here in Fort Bend

Together, we are weathering the storm, but COVID-19 will not be the last challenge we face. I want to help our community be prepared for what lies ahead and give our families and the next generation every chance to succeed.

Markowitz: I’m a Fort Bend County native with an educational background in computer science, business, healthcare, and education and a professional background in all of the aforementioned fields. I believe that my diverse educational and professional background provides me with a unique perspective on the issues that are most concerning to the constituents of HD 28 and Fort Bend County. I previously ran for the Texas State Board of Education because I wanted to work to improve Texas public schools. While running, I heard about all the challenges that face Texans beyond education, such as healthcare, economic development, criminal justice reform, disaster management and school safety. I also learned that Texans want an honest representative that will conduct herself with integrity and work to improve the lives of all Texans—not just a select few.

I am running because I believe that this district deserves a representative who puts the well-being of people over personal power or prestige and treats every individual with respect and dignity. I am ready to put forth whatever it takes to win this election and ensure that we elect individuals with honesty and integrity who are willing to work for a more equitable Texas.


You’ve both mentioned that education reform is among your top priorities for the district. What are some of the things you would work to change, and what is your plan for enacting those changes?

Markowitz: The pivotal role of our public education system has come to the forefront over the past year, and we must revamp the way

Read more

American Four Square, Updated Kitchen, Fireplace, Bonus Room

CHICAGO, IL — This stunning American Four Square blends historic character and charm with all the amenities of modern living in a much sought-after neighborhood. The 1911 home boasts a formal living room with hardwood floors, wood-beamed ceiling, original pocket doors and a wood burning fireplace. The remodeled, open concept kitchen opens to the dining room and features stainless steel appliances, huge island and concrete counters and walk-pantry (2010). There is a main level mudroom with lockers, office space and 4.5 spacious bedrooms, 2.5 ceramic baths, upper level laundry room and a huge third-floor bonus room or master suite with a balcony. The home comes with a full finished basement (2015), fresh paint, skylights, newer concrete, newer half bath (2010) and entire exterior of home stained in 2014. Fenced-in big yard, covered front sitting porch, deck (2010), playhouse, patios, 2-car detached garage.

  • Address: 10848 S Bell Ave, Chicago, Illinois
  • Price: $539,900
  • Square Feet: 3200
  • Bedrooms: 5
  • Bathrooms: 2 Full and 1 Half Baths
  • Built: 1911
  • Features: This stunning American Four Square home blends historic character & charm with all the amenities of modern living! Formal living room features hardwood floors, wood-beamed ceiling, original pocket doors, leaded glass windows, & woodburning fireplace. Completely remodeled open concept kitchen opens to dining room & features stainless steel appliances, huge island, concrete countertops, shiplap wall, & walk-in pantry (2010). Main level mudroom w/lockers (2012), office space, den, 4/5 spacious bedrooms, 2-1/2 ceramic baths, upper level laundry room, plus huge 3rd floor bonus room or master suite w/balcony! Full finished basement w/vinyl plank flooring & tons of storage (2015). Fresh paint, skylights, newer concrete, newer half bath (2010), & entire exterior of home stained in 2014. Outdoor space is absolutely UNMATCHED– from the covered front sitting porch to the balcony overlooking Crescent Park– this home’s exterior does not disappoint. Beautiful corner lot, stamped concrete walkways & patio, fully fenced backyard w/huge deck (2010), playhouse, patios, 2 car detached garage & driveway. A rare opportunity to own one of the most sought after homes in the neighborhood!

This listing originally appeared on realtor.com. For more information and photos, click here.

Source Article

Read more

How Judas Priest Got a Lifetime Ban From Madison Square Garden

Rob Halford recalls how Judas Priest received a lifetime ban from Madison Square Garden in an exclusive excerpt from his memoir Confess: The Autobiography.

The British band’s performance at the legendary New York venue in 1985 was its second visit, and singer Halford hoped it wouldn’t be the last. But after fans rioted and caused hundreds of thousands of dollars of damage, they’ve never been allowed to return.

A statement by the publisher calls Confess ”the story of an extraordinary five decades in the music industry” and “the tale of unlikely encounters with everybody from Superman to Andy Warhol, Madonna, Jack Nicholson and the queen. More than anything else, it’s a celebration of the fire and power of heavy metal.” Confess: The Autobiography is on sale now.

_____

We headed back down into America. In Madison, Wisc., we had to shelter 10,000 people under the bleachers of the Dane County Coliseum as a tornado approached. Glenn [Tipton] and I snuck a peek out of a back door and boggled at the low black, blue and vivid green clouds overhead as sirens wailed and the storm raged.

Then, just over a week later, our own tornado hit New York City. A second gig at Madison Square Garden, in a way, meant even more than our first: It hadn’t been a one-off! We had become a band who could play the Garden regularly! Or so we thought. Unfortunately, this was to be our last-ever show there.

It was a great, regular gig until the encore. As we came back on and I began wailing “Living After Midnight,” I caught sight, out of the corner of my eye, of a flying object. Huh? What was that? And here came another one … and another one … . As the song ended, I glanced behind me and saw a pile of foam seat covers from the auditorium cluttering the stage. I looked out into the venue, and the air was black with more seats flying toward us. One or two of them appeared to be alight.

I ran offstage and jumped on my Harley for “Hell Bent for Leather.” By the time I rode it onstage, it was like trying to motorbike through a floor-level soft-furnishings jumble sale. There were more seat cushions on the stage than in the arena. What the fuck? Two thoughts filled my head: a) This is fantastic! Our own riot! And b) They’re never gonna let us play this place again!

Glenn, Ken [Downing] and Ian [Hill] were by now bouncing on foam to play, as there was no bare stage left. Ken later said that it had been like playing guitar on a trampoline. After a quick “You’ve Got Another Thing Coming,” we scarpered offstage and hid.

Madison Square Garden later said, and the press repeated with great relish, that our fans had done $250,000 worth of damage. We didn’t do a thing to instigate the riot, but we got a lifetime ban from the venue. They

Read more

10-K: MADISON SQUARE GARDEN SPORTS CORP.

The MarketWatch News Department was not involved in the creation of this content.

(EDGAR Online via COMTEX) —
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations This Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In this MD&A, there are statements concerning the future operating and future financial performance of Madison Square Garden Sports Corp. (formerly The Madison Square Garden Company) and its direct and indirect subsidiaries (collectively, “we,” “us,” “our,” or the “Company”) including, the completion of the National Basketball Association (the “NBA”) and National Hockey League (the “NHL”) 2019-20 and 2020-21 seasons, and the impact of COVID-19 on our future operations. See “Part I – Item 1. Business” for further discussion of the MSGE Distribution (defined below). Words such as “expects,” “anticipates,” “believes,” “estimates,” “may,” “will,” “should,” “could,” “potential,” “continue,” “intends,” “plans,” and similar words and terms used in the discussion of future operating and future financial performance identify forward-looking statements. Investors are cautioned that such forward-looking statements are not guarantees of future performance, results or events and involve risks and uncertainties and that actual results or developments may differ materially from the forward-looking statements as a result of various factors. Factors that may cause such differences to occur include, but are not limited to: the duration and severity of the coronavirus pandemic and our ability to effectively manage the impacts, including the unavailability of the Madison Square Garden Arena (“The Garden”) and league decisions regarding the resumption of play;

the impact of the suspension or cancellation of the 2019-20 or 2020-21 NBA and NHL seasons on our ability to recognize revenue from national media rights fees;

the level of our revenues, which depends in part on the popularity and competitiveness of our sports teams;

costs associated with player injuries, waivers or contract terminations of players and other team personnel;

changes in professional sports teams’ compensation, including the impact of signing free agents and trades, subject to league salary caps and the impact of luxury tax;

the level of our capital expenditures and other investments;

general economic conditions, especially in the New York City;

the demand for sponsorship arrangements and for advertising;

competition, for example, from other teams, and other sports and entertainment options;

changes in laws, NBA or NHL rules, regulations, guidelines, bulletins, directives, policies and agreements, including the leagues’ respective collective bargaining agreements (each a “CBA”) with their players’ associations, salary caps, escrow requirements, revenue sharing, NBA luxury tax thresholds and media rights, or other regulations under which we operate;

any NBA, NHL or other work stoppage in addition to those related to COVID-19 impacts;

any economic, political or other actions, such as boycotts, protests, work stoppages or campaigns by labor organizations;

seasonal fluctuations and other variation in our operating results and cash flow from period to period;

the level of our expenses, including our corporate expenses;

business, reputational and litigation risk

Read more

10-K: MADISON SQUARE GARDEN ENTERTAINMENT CORP.

The MarketWatch News Department was not involved in the creation of this content.

(EDGAR Online via COMTEX) —
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations This Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In this MD&A, there are statements concerning the future operating and future financial performance of Madison Square Garden Entertainment Corp. and its direct and indirect subsidiaries (collectively, “we,” “us,” “our,” “MSG Entertainment,” or the “Company”), including the impact of the COVID-19 pandemic on our future operations, our anticipated operational cash burn on a go-forward basis, cost-cutting measures the Company may or may not pursue to preserve cash and financial flexibility, the potential for future impairment charges, the timing and costs of new venue construction, our plans to pursue additional debt financing and negotiate amendments to Tao Group Hospitality’s credit facility, increased investment in personnel, content and technology for the MSG Spheres, and increased expenses of being a standalone public company. Words such as “expects,” “anticipates,” “believes,” “estimates,” “may,” “will,” “should,” “could,” “potential,” “continue,” “intends,” “plans,” and similar words and terms used in the discussion of future operating and future financial performance identify forward-looking statements. Investors are cautioned that such forward-looking statements are not guarantees of future performance, results or events and involve risks and uncertainties and that actual results or developments may differ materially from the forward-looking statements as a result of various factors. Factors that may cause such differences to occur include, but are not limited to: our ability to effectively manage the impacts of the COVID-19 pandemic and the government actions taken in response;

the level of our expenses and our operational cash burn rate, including our corporate expenses as a stand-alone publicly traded company;

our ability to successfully design, construct, finance and operate new venues in Las Vegas, London and other markets, and the investments, costs and timing associated with those efforts, including the impact of the temporary suspension of construction and any other construction delays and/or cost overruns;

the level of our revenues, which depends in part on the popularity of the Christmas Spectacular Starring the Radio City Rockettes (“Christmas Spectacular”) and other entertainment and sports events which are presented in our venues;

the level of our capital expenditures and other investments;

general economic conditions, especially in the New York City, Las Vegas, Chicago and London metropolitan areas where we have (or plan to have) business activities;

the demand for sponsorship arrangements and for advertising;

competition, for example, from other venues and other sports and entertainment options, including the construction of new competing venues;

changes in laws, guidelines, bulletins, directives, policies and agreements, and regulations under which we operate;

any economic, social or political actions, such as boycotts, protests, work stoppages or campaigns by labor organizations;

seasonal fluctuations and other variations in our operating results and cash flow from period to period;

the successful development of new

Read more

Times Square Olive Garden losing $300G each week because of coronavirus restrictions

Olive Garden is losing hundreds of thousands of dollars every week from just one location in New York City because of the coronavirus pandemic.

The Times Square Olive Garden typically brings in $15 million a year, but now it’s losing $300,000 a week. That’s because of state restrictions on indoor dining, said Gene Lee, the CEO of Olive Garden’s parent company Darden Restaurants, on a Thursday call to investors.

“We start every single week $300,000 in the hole from a comp store basis,” Lee said about the Times Square location.

In fact, he said that location alone is costing the chain “50 basis points in comps.”

The Olive Garden in Times Square is losing $300,000 a week because of restrictions on indoor dining, Darden Restaurants CEO Gene Lee said Thursday. (Google Maps)

ALMOST 90% OF NYC RESTAURANTS, BARS COULDN’T PAY AUGUST’S RENT IN FULL, SURVEY FINDS

“That’s our best restaurant in the Olive Garden system,” he said. “We do over $15 million there and now we’re doing, you know, $2,500 a day.”

On Thursday, Darden Restaurants reported that Olive Garden’s same-restaurant sales were down 28.2 percent.

The Olive Garden locations that performed better during the quarter were restaurants that were allowed to offer indoor dining, Lee said.

SIZZLER RESTAURANT CHAIN FILES FOR BANKRUPTCY, SAYS MOVE IS A ‘DIRECT RESULT’ OF CORONAVIRUS PANDEMIC

“Overall, capacity restrictions continue to limit their top-line sales, particularly in key high-volume markets like California and New Jersey, where dining rooms were closed for the majority of the quarter,” Lee said. “In fact, restaurants that had some level of dining room capacity for the entire quarter averaged more than $75,000 in weekly sales, retaining nearly 80 percent of their last year’s sales.”

Ticker Security Last Change Change %
DRI DARDEN RESTAURANTS INC. 97.31 +7.31 +8.12%

GET FOX BUSINESS ON-THE-GO BY CLICKING HERE

Olive Garden isn’t the only restaurant to be negatively impacted by capacity restrictions on indoor dining. Earlier this week, a study from the NYC Hospitality Alliance found that 87 percent of restaurants, bars and nightclubs in New York City were unable to pay their full rent in August.

“Even before the pandemic when operating at 100 percent occupancy, these small businesses were struggling to stay open,” Andrew Rigie, the NYC Hospitality Alliance executive director, said in a statement.

“Now we’re seeing widespread closures, approximately 150,000 industry workers are still out of their jobs, and the overwhelming majority of these remaining small businesses cannot afford to pay rent,” Rigie added.

CLICK HERE TO READ MORE ON FOX BUSINESS

However, restaurants in the city — including the Times Square Olive Garden — will be allowed to reopen for indoor dining at 25 percent capacity starting on Sept. 30.

Source Article

Read more

Olive Garden’s Times Square restaurant is losing $300,000 every week

  • Olive Garden’s Times Square location is losing $300,000 every week. 
  • Olive Garden same-store sales fell by 28.2% in the most recent quarter, parent company Darden reported on Thursday. Fifty basis points — or 0.5% — can be linked to the Times Square location. 
  • New York City has been slower to reopen restaurants than the rest of the US, and has not yet allowed indoor dining rooms to reopen. 
  • “I went up to a rooftop deck and it was two deep at the bar,” Darden CEO Gene Lee told investors. “It’s just a different life in Georgia. I know it’s hard for you guys in New York to even imagine that.” 
  • Visit Business Insider’s homepage for more stories.

Olive Garden’s Times Square restaurant is burning through $300,000 every week, as New York City restaurants struggle to survive. 

Pre-pandemic, Olive Garden’s Times Square restaurant was the chain’s best-preforming location in the US, bringing in $15 million a year. Now the location is losing $300,000 every single week, according to Olive Garden parent company Darden’s CEO Gene Lee. 

“We start every single week $300,000 in the hole from a comp store basis … just from that one restaurant,” Lee said on a call with investors on Thursday. 

Olive Garden same-store sales fell by 28.2% in the most recent quarter, Darden reported on Thursday. According to Lee, 50 basis points can be linked to the Times Square location’s losses. 

While Olive Garden has higher costs as a massive, three-story restaurant in the heart of Times Square, most New York restaurants are struggling to turn a profit. According to a recent survey by the New York City Hospitality Alliance, 87% of the city’s restaurants, bars, and nightlife establishments could not pay full rent in August. 

New York City has been slower to reopen indoor dining than the rest of the country. Restaurants will not be allowed to reopen dining rooms at 25% capacity until September 30. 

Lee told Wall Street analysts that outside of cities “life is normal,” with people happy to return to restaurants inside. The majority of Olive Garden restaurants are now profitable, with sales being dragged down by restaurants in areas with greater restrictions, according to Lee.

“I landed at an airport the other day and not one person had a mask on. I was in a hotel, I went up to a rooftop deck and it was two deep at the bar,” Lee said. “It’s just a different life in Georgia. I know it’s hard for you guys in New York to even imagine that.” 

Source Article

Read more