A humorous look at the companies that caught our eye, for better or worse, this week
Contrary to what you may have heard, Canada is producing plenty of new jobs. Problem is they’re all at Dollarama. Fuelled by new store openings – the discount chain is adding about 80 locations a year – the company posted a 20-per-cent jump in earnings, beating analyst expectations. With the stock hitting record highs, investors are filling their baskets with the $3 items.
Sep. 13 close: $81.07, up $5.83 or 7.7% over week
What’s worse than owning 100 shares of Reitmans? Owning 200 shares. Da-da-dum. Investors were in no mood for jokes after the apparel retailer announced second-quarter results: Hammered by weak consumer spending and “slower than anticipated acceptance … of the company’s repositioning and rebranding efforts,” same-store sales skidded 6.8 per cent and earnings plunged 63 per cent. The stock’s been marked down to clear.
Sep. 13 close: $7.94, down $1.80 or 18.5% over week
People you never want to see in Lululemon stretchy pants:
1) Prime Minister Stephen Harper;
2) North Korean leader Kim Jong-un;
3) Any member of the Hells Angels.
For an equally disturbing picture, check out Lululemon’s stock chart. Hurt by shipping delays and rising expenses following the see-through pants debacle, the company trimmed its full-year sales and profits forecasts, causing the shares to sag. Bummer, you might say.
Sep. 13 close: $68.37 (U.S.), down $1.12 or 1.6% over week
After months of anticipation, Apple finally unveiled a less expensive iPhone – for the low, low price of just $549 without a contract (about $200 more if you live in China). Not exactly a price that will take emerging markets by storm, which is why analysts downgraded the stock and the shares plunged. With Apple seemingly more concerned about preserving margins than winning back market share from Samsung and others, investors are getting iRate.
Sep. 13 close: $464.90 (U.S.), down $33.22 or 6.7% over week
Pop quiz! Rosia Montana is
a) Tony Montana’s sister in the movie Scarface;
b) A town just south of Billings;
c) The location of Gabriel Resources’ proposed gold mine in Romania.
Answer: c. With thousands of Romanians protesting over the mine’s proposed use of cyanide, the government now wants to kill the project, sending Gabriel’s shares south and prompting threats of a retaliatory lawsuit. All this fuss over some shiny bits of metal.
Sep. 13 close: 93 cents, down 54 cents or 36.7% over week