Diamonds and Dogs
General Mills (GIS) has the luck of the Irish. The cereal maker known for Cherrios, Lucky Charms, Cocoa Puffs and others is up 4% to a new 52 week high following earnings. General Mills easily beat expectations as revenue rose 8.1% to $4.2 billion. General Mills also raises estimates as they expect the recent acquisition of pet food company, Blue Buffalo to add to the bottom line.
FedEx (FDX) still suffering from the TNT Express merger. FedEx is down 6% following disappointing earnings and sales. FedEx also lowered guidance due to a lack of visibility in global growth and the lack of clarity with their struggling European division, TNT Express. TNT Express was the main reason for the fourth quarter preannouncement. The good news is, even with the lower guidance, FedEx trades for just 11 times reduced estimates.