Why Palo Alto Networks, Tiffany, and YPF Soared Over a Flat Dow Today
Although we don't believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes -- just in case they're material to our investing thesis.
The Dow Jones Industrials managed to set another new record today, albeit only by the thinnest of margins. The Dow rose by just a quarter of a point, remaining at 16,073 but technically setting its fourth straight new all-time high, and the Nasdaq Composite climbed above the 4,000 for the first time since 2000. Even though the Dow lost its gains, Palo Alto Networks , Tiffany , and YPF all held onto their sharp upward moves. Let's take a closer look at all three stocks to see what's behind their bullish moves.
Palo Alto Networks climbed 7% after reporting better earnings results yesterday afternoon than investors had expected. The networking company said adjusted earnings came in at $0.08 per share, beating estimates by a penny on sales that jumped by almost half from the year-ago quarter. Palo Alto also guided its revenue estimates for the current quarter higher, giving investors confidence that the fast-growing company still deserves the premium valuation it currently enjoys. Still, uncertainty in spending on IT equipment has some shareholders nervous about Palo Alto's future prospects.
Tiffany soared 9% as earnings rose by half from year-ago levels, easily beating investors' expectations. Comparable-store sales rose by 7%, helping to push worldwide revenue up 11% excluding negative currency impacts. Strength in the Asia-Pacific region drove the jeweler's overall results, although Europe was also a modest bright spot for the company, as currency effects and strength in the U.K. helped overall sales rise 7% on the continent. Tiffany also raised its earnings guidance for the full year by $0.15 per share, predicting a solid holiday quarter that caused ripple effects throughout the retail industry.
Argentine energy giant YPF rose by more than 10% on news that Argentina's government might be close to resolving a dispute with Spanish counterpart Repsol, with the New York Times reporting that Repsol could receive $5 billion in government bonds as compensation for the 51% stake in YPF that Argentina seized last year. Repsol had been seeking more than $10 billion, but both parties have incentives to get a deal done. For Argentina, the effect on foreign investment has been severe as would-be investors fear similar nationalization moves in the future.
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The article Why Palo Alto Networks, Tiffany, and YPF Soared Over a Flat Dow Today originally appeared on Fool.com.
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