A humorous look at the companies that caught our eye, for better or worse, this week
Cogeco Cable’s previous foreign acquisition worked out so, um, well, it couldn’t resist making another one. Mere months after selling its Portuguese cable unit for about one-tenth of what it paid, Montreal-based Cogeco announced a $1.36-billion (U.S.) deal for Atlantic Broadband, the 14th largest U.S. cable operator. Judging by the plunging stock price and a series of analysts downgrades, folks don’t want to get burned again.
“Terrible, all this violence and turmoil in the Middle East.”
“So very unfortunate.”
“Say, how are our crude oil positions performing?”
“I believe the expression is ‘ka-ching.’”
Hey kids! What’s more fun than dousing a Hot Wheel in gasoline that you stole from your dad’s lawn mower, and then watching it go up in flames? Owning shares of Mattel, that’s what. The toy maker’s stock soared after second-quarter profit jumped a better-than-expected 20 per cent, lifted by strong sales of Hot Wheels, Barbie and other products. Cool!
With the recent heat wave scorching much of North America, you’d think swimming pool stocks would be surging. Nope. Shares of Pool Corp. went for a dunk after the company, which supplies swimming pool equipment and materials, posted lower-than-expected results for the second quarter and trimmed its full-year forecast, citing an uncertain economy and pricing pressures. Everybody out of the pool!
Chipotle Mexican Grill
Consequences of dining at Chipotle Mexican Grill: Heartburn, bloating, gas. Consequences of investing in Chipotle Mexican Grill: Massive financial losses, anxiety, depression. The restaurant chain spun off from McDonald’s in 2006 was hotter than a chili burrito, but when second-quarter sales came up short of expectations, investors asked for their cheques and headed for the exits. Somebody open a window.