S&P/TSX Composite Index (TSX:^OSPTX) continued its month-long winning streak
last week with the equity gauge nearing a three-year high. However, there were
a number of important corporate reports for investors to shift through as well.
Here are the top five can’t-miss headlines from the past week.
of BlackBerry (TSX:BB)(NYSE:BBRY) rallied this week, up almost 8%, after a
series of interesting product announcements.
Chief Executive John Chen unveiled several new initiatives at the Mobile World
Congress in Barcelona including a new Q20 model that brings back its “classic”
keyboard and a cheaper Z3 BlackBerry that will cost under US$200. The company
is also releasing BBM for enterprise users and revamping its BlackBerry
Enterprise Server. These new initiatives suggest that Mr. Chen’s focus is
squarely on the corporate client.
Motor also admitted that it will be looking at switching the operating system
for its vehicle infotainment systems from Microsoft’s Sync to BlackBerry’s QNX.
And while this is far from a done deal yet, the possibility of finding QNX in
every new vehicle from America’s second largest automaker is an exciting
Pharmaceuticals (TSX:VRX)(NYSE:VRX) has returned to profitability and more than
doubled its revenues.
in large part to the acquisition of contact lens maker Bausch + Lomb Holdings,
Canada’s largest publicly traded drug company reported fourth-quarter revenue
reached $2.1 billion, up 109% year-over-year. Net income came in at $124
million or $0.36 per share, compared with a loss of $89.1 million or $0.29
during the same period last year.
has grown quickly over the past several years through acquisitions. Buying
small drug makers and pushing new products through the company’s large
distribution network has proven to be an incredibly profitable business model.
January, executives even predicted that the firm would join the world’s top
five pharmaceutical companies by market capitalization by the end of 2016.
After these recent quarterly results, that goal seems attainable.
President Barack Obama has signalled he will make a decision on TransCanada’s
(TSX:TRP)(NYSE:TRP) controversial Keystone XL pipeline before the summer.
a meeting on Monday between the president and several governors at the White
House, Mr. Obama indicated a decision would be made on the project once his
aides have had an opportunity to review the State Department’s environmental
assessment. The signal is dampening concerns the administration will delay the
controversial decision until after mid-term congressional elections in the
resolution to this issue will be a relief, not just for TransCanada
shareholders, but the entire oil sands industry.
Hortons (TSX:THI)(NYSE:THI) has its eyes set on expansion.
the company’s annual investor conference, management said that it will focus on
defending its turf in Canada from new rivals like McDonald’s and Starbucks and
called the United States a ‘must-win battle’. During the presentation
executives announced plans to open 800 restaurants in North America and 220 in
the Middle East over the next five years.
investors may want to question the wisdom of this strategy. With a coffee shop
on every corner of North American cities, how many more do we need? And with
margins in the sector beginning to decline, it’s becoming apparent that the
industry is saturated. Perhaps shareholders would be better off if that growth
capital was simply returned to them in the form of dividends and share
banking industry continues to pile on the profits.
signs of a cooling Canadian economy, the country’s largest lenders are
reporting stellar results. And shareholders get to share in the industry’s
success with another round of dividend hikes.
Bank of Canada (TSX:RY)(NYSE:RY) says its first-quarter net income was $2.09
billion, up $45 million or 2% year-over-year. Excluding some items, RBC’s
adjusted diluted earnings per share was $1.47, which was above the general
analyst estimate. And as a parting gift to shareholders, exiting Chief
Executive Gord Nixon also announced its quarterly dividend will increase by 6%
to $0.71 cents per share.
investors, TD Bank (TSX:TD)(NYSE:TD) and CIBC (TSX:CM)(NYSE:CM) also raised
their quarterly payouts by a hearty 8.5% and 2.1% respectively.