Gimme Credit in the News

Epoch Times

Novosel was impressed by the rebound in iPhone sales. “The 6 percent increase in revenue posted by Apple for the fiscal fourth quarter that ended Sept. 28 was encouraging enough,” he said. “Still, the more impressive figure was the 5.5 percent increase in iPhone revenue. The Services segment continued its double-digit growth pace, although it was modestly lower than the growth in the first...read more

Barron's

“This triopoly has neither been able to reliably forecast demand for its chips nor have they been able to somehow coordinate their supply and inventories. This has led to incessant bouts of oversupply, further leading to sometimes violent decreases in revenue and Ebitda,” wrote Saurav Sen, an analyst at bond research firm Gimme Credit, in a recent research note.read more

Reuters

"The strength of the Mondelez brands suggests that private label products will have trouble making meaningful inroads into the company's market share," said Dave Novosel, analyst with Gimme Credit. Mondelez International (MDLZ.O), opens new tab on Tuesday beat third-quarter revenue and profit estimates, as the Cadbury parent's efforts to provide its products at different price points drove a...read more

Epoch Times

Novosel sees Netflix benefiting greatly from its advertising plans. They accounted for more than 50 percent of sign-ups offered, soaring by 35 percent in the third quarter and boosting the company’s free cash flow, which could be used for share buybacks. “Netflix continued its torrid growth in the third quarter, posting a 15% percent increase in revenue on year-over-year subscriber growth of...read more

SDX Central

Dave Novosel, who is a financial analyst with corporate bond analyst firm Gimme Credit, in a report tied to the refinancing move stated EchoStar “will be facing the same concerns Dish is now encountering – the expansion of cable, fiber, and fixed wireless that is overwhelming the satellite companies, leading to the loss of subscribers.” read more

MarketWatch

“Frankly, the bonds are already trading more like ‘good junk’ than ‘bad investment grade,’” said Carol Levenson, director of research at Gimme Credit. “The S&P action was just the final shoe to drop from the rating agencies.” It is “increasingly likely” that Boeing, out of an abundance of caution and to show its access to capital, will raise some cash in the near term, barring some huge market...read more

Barron's

Dave Novosel, a senior analyst at corporate bond research firm Gimme Credit, mentioned the huge amount of debt that Qualcomm could take on in a research note Wednesday. Such an enormous amount, in fact, that the debt could sink to junk levels. That got Barron’s to take notice. We asked him to walk us through a deal that may or may not even happen. The takeaway from the walk-through with...read more

MarketWatch

Novosel acknowledged some benefits of a deal, such as Intel’s strength in PCs and servers for data centers, which would complement Qualcomm’s mix of smartphone business, as handsets account for more than 70% of total revenue. “It would lessen Qualcomm’s reliance on Apple for a significant portion of its revenue,” he wrote. “In addition to the revenue synergies we would expect meaningful cost...read more

Casino.org

"Caesars’ debt reduction targets also suggest the company may address the significant amount of secured debt in the capital structure. Thus, we initiate coverage with a recommendation on the secured first lien debt, that we view as a better option than the unsecured debt in a weakening economy,” observed Noland.read more

Investing.com

The firm notes that the agricultural and construction equipment manufacturer has faced weakening demand across its markets, including its Construction & Forestry (CF) segment, which had been a bright spot earlier this fiscal year. However, they add that as of its third-quarter report, CF has also begun to show signs of slowing demand, joining Deere's agriculture and turf segments, which have...read more

IFR News

Any plans by the company to raise capital would likely be negotiated with the rating agencies, Carol Levenson, director of research at Gimme Credit, told IFR in emailed comments. If Boeing wants to maintain its investment-grade status then the US aerospace giant may have to rule out visiting the corporate bond market to refinance billions of dollars of upcoming maturities. Moody's said on...read more

Reuters

US Steel up after Cleveland Cliffs shows interest in unionized mills Analysts say the rise is in response to the market trying to calibrate the new break-up value after Cleveland Cliffs "Few equity analysts claim the sum of the parts analysis shows there is upside for the stock after the recent sell off" - Gimme Credit's bond analyst Evan Maan read more

Benzinga

Despite the stock pullback, U.S. Steel's credit remains stable, according to Evan Mann, senior high yield analyst with corporate bond research firm Gimme Credit. "While this news disappointed U.S. Steel shareholders with the stock dropping by double digits yesterday, it had little impact on the company's bond yields," Mann said Thursday in a note his firm kept its credit score for U.S. Steel at...read more

Barron's

Luckily, as Gimme Credit notes, companies that were able to successfully leverage low interest rates to their advantage are now reaping the rewards, which should give investors more confidence in their ability to service their debt as their profits and cash flow improve. A number of companies that took advantage of past years’ low interest rates “are now realizing merger synergies that are...read more

MarketWatch

Dave Novosel: “We assume most future deals will be rather small,” said Novosel. “With remaining debt of less than $8.5 billion and expected [earnings before interest, taxes, depreciation and amortization] approaching $80 billion, leverage is extremely low.” read more

Digital Commerce 360

C: Carol Levenson, a senior analyst at bond research firm Gimme Credit, said TJX’s performance mirrors that of another large retailer. “Midway through the retailing reporting season, TJX’s comparable store sales growth of 4% is up there with Walmart U.S. and well ahead of everybody else,” Levenson said.read more

Supply Chain Dive

Jay Cushing, an analyst with independent corporate bond research firm Gimme Credit, indicated in an investor note that “volume pressure at both railroads will be even more pronounced given the recent work stoppage” during the third quarter.read more

The Atlanta Journal Constitution

C: “The home improvement retailers did very well during the coronavirus pandemic, as their stores remained open and people staying at home with time on their hands turned to DIY projects,” said Carol Levenson, a bond analyst at Gimme Credit, a New York-based investment service. “More recently, sales are declining as consumers shift from spending on goods to spending on experiences.” Moreover,...read more

iMedia

"When the Fed eventually starts cutting rates, which could lead to a temporary depreciation of the dollar, the credibility of Asian central banks will be tested," said Saurav Sen, senior analyst at Gimme Credit. "Countries that have the ability to continuously increase their reserves to keep their currencies competitive against the US dollar will be able to control exchange rate fluctuations...read more

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