Check the background of this firm on FINRA's BrokerCheck.

Leigh Baldwin & Co.

112 Albany Street, Cazenovia, NY 13035 | Phone: (315) 655-2964 Toll Free: 1-800-659-8044

Check the background of this firm on FINRA's BrokerCheck.

Diamonds and Dogs

5/8/12

Fossil Inc. (FOSL)

Fossil Inc. is history today; getting buried, down 37.57% at $78.52. Fossil missed sales estimates for the second straight quarter and warned that a weak European market will continue to weigh on its results through the year. The news prompted investors to wipe off more than $3 billion of the company's market value. Chief Executive Officer Kosta Kartsotis said, "As we anticipate economic softness to continue in Europe we are reducing our previous (sales) growth expectations of mid-teens for the year (in Europe) down to low-to-middle single digits." Fossil, which sells jewelry, leather goods, belts, sunglasses and other apparel besides watches, cut its full-year earnings estimate to between $5.30 and $5.40 per share from $5.40 to $5.50. Maybe John Hammond (from Jurassic Park) can dig up this Fossil and bring it back to life for its investors.

Rosetta Stone Inc. (RST)

Rosetta Stone is speaking my language today, up 18.91% at $12.70. The company crushed analyst's estimates, causing the stock to get a nice bounce. Rosetta Stone reported revenue of $69.5 million and a loss of 9 cents a share, ahead of the Street consensus at $60.4 million and a loss of 42 cents a share. Furthermore, revenues were up 22% and bookings rose 17%. CEO Stephan Swad stated, "Improved Web visits and conversion in the direct-to-consumer channel drove U.S. consumer results, while retail sell-through and same-store kiosk sales recorded double-digit gains in the quarter." For the full year, Rosetta Stone is projecting sales of $270 million to $285 million, with a loss of 20-33 cents a share. Analyst's consensus had been $280.6 million and a loss of 64 cents a share. Un grande giorno per la stele di Rosetta, fino quasi a due dollari (A great day for Rosetta Stone, running up nearly two dollars).
Diamonds and Dogs market commentary is a journal of daily observations on anything that happens to be of interest to our author. Obviously, our primary focus is the stock market and world economic events, but for this page we have no defined topics. We want this page to be dedicated to the interests, concerns, and possibly to the financial gain of our clients and friends. All comments contained herein are for informational purposes only, and should not be considered as a solicitation to buy or sell any security. The firm does not guarantee the accuracy or completeness of the information or make any warranties regarding results from it's usage.