CHICAGO, Jan. 28, 2013 /PRNewswire/ -- Zacks Equity Research highlights Francesca's Holdings Corporation (Nasdaq: FRAN) as the Bull of the Day and Tiffany & Company (NYSE: TIF) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Vornado Realty Trust (NYSE: cronym>VNO), Starwood Property Trust Inc. (NYSE: cronym>STWD) and Digital Realty Trust Inc. (NYSE: cronym>DLR).
Full analysis of all these stocks is available at http://at.zacks.com/?id=2678.
Here is a synopsis of all five stocks:
There have been retail winners and losers emerging from the 2012 holiday season. One of the winners was Francesca's Holdings Corporation (Nasdaq: FRAN) which recently raised its fourth quarter guidance based on a strong holiday performance. It's a Zacks Rank #1 (Strong Buy).
Francesca's operates 360 small stores in 44 states in strip malls, shopping malls and neighborhoods which sell a mix of apparel, jewelry, accessories and gifts in a homey setting. It targets female shoppers aged 18 to 35 and brings in new merchandise every week to keep offerings fresh.
The company also has a website, francescas.com, which accounts for only 1.5% of sales but more resources are expected to be put into online sales this year.
There were retail winners and losers this holiday season. Tiffany & Company (NYSE: TIF) fell into the loser category as the company recently lowered fourth quarter guidance due to weak holiday sales. The stock recently fell to a Zacks Rank #5 (Strong Sell). Everyone knows Tiffany. The famous luxury retailer operates 274 stores across the globe, with 115 of them in the Americas.
There were high hopes going into this holiday season, especially for the luxury retailers. The theory went that the high end consumer would keep spending despite fears of the fiscal cliff and possible higher tax rates and those aspirational consumers, who want to be in the high end someday, would splurge on a number of key brands.
But on Jan 10, Tiffany reported flat holiday comps. Most disappointing of all, it was a 2% same store sales decline in the Americas which really hurt. Even Asia-Pacific, which included a supposedly slowing China, grew same store sales at 7%. Europe's same store sales were flat year over year, but that was expected given the economic climate there.
Latest Posts on the Zacks Analyst Blog:
Vornado to Cash In from LNR Deal
Vornado Realty Trust (NYSE: cronym>VNO) expects to reap around $241 million as net proceeds from the sale of LNR Property LLC, a company in which Vornado holds a 26.2% stake. The deal that LNR Property has penned would see Starwood Property Trust Inc. (NYSE: cronym>STWD) and Starwood Capital Group acquiring LNR Property for $1.05 billion in cash. It is anticipated to close in the second quarter of 2013, subject to customary closing conditions.
Notably, LNR is currently owned by affiliates of Aozora Bank Ltd, a subsidiary of certain investment funds managed by Cerberus Capital Management L.P., iStar Financial, a subsidiary of certain investment funds managed by Oaktree Capital Management, L.P., and Vornado Realty Trust.
New York-based Vornado Realty acquires, owns and leases office properties, retail space and temperature-controlled logistics and refrigerated warehouses. Besides its properties, the company has investments in other REITs, industrial buildings, retail assets, and Toys 'R' Us.
Vornado Realty has a strong asset portfolio in two of the best long-term office markets in the U.S. – New York City and Washington DC. This provides the company with a competitive advantage to continually increase rents. The company also has a healthy balance sheet and adequate liquidity. The recent LNR deal will further add to Vornado's financial flexibility and hence we remain encouraged.
Vornado Realty currently carries a Zacks Rank #3 (Hold). A number of companies that are also performing well in the same industry and deserve a look include Digital Realty Trust Inc. (NYSE: cronym>DLR), which carries a Zacks Rank #2 (Buy).
Get the full analysis of all these stocks by going to http://at.zacks.com/?id=2649.
About the Bull and Bear of the Day
Every day, the analysts at Zacks Equity Research select two stocks that are likely to outperform (Bull) or underperform (Bear) the markets over the next 3-6 months.
About the Analyst Blog
Updated throughout every trading day, the Analyst Blog provides analysis from Zacks Equity Research about the latest news and events impacting stocks and the financial markets.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous analyst coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=4582.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
SOURCE Zacks Investment Research, Inc.