Diamonds and Dogs


New grub at Grubhub (GRUB). The online and mobile platform for restaurant pick-up jumped 23% to new highs following earnings and an acquisition. Revenue skyrocketed 51% to $240 million, helped by a 70% increase in active diners to 15.6 million, and 29% growth in gross food sales to $1.2 billion. GrubHub's adjusted net income nearly doubled to $46.3 million, or $0.50 per share, beating estimates. Grubhub also announced it has agreed to acquire mobile diner engagement and payment solutions company LevelUp for $390 million, a move that will help Grubhub add online demand generation and fulfillment services.

Ma Bell looking a little bruised. AT&T (T) dropped 4.5% to a new 52 week low following earnings last night. AT&T actually beat estimates and raised guidance, but investors were concerned with the quality of earnings. The legacy businesses are declining across the board. The Time Warner merger offers some hope, but the company has a heavily leveraged balance sheet with a 163 billion in debt. The good news is the dividend yield is 6.3% as long as they don't have to cut it.

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.