Diamonds and Dogs
Papa Johns (PZZA) gets a Shaq. The struggling pizza chain retailer is up 4% after Shaquille O'Neal agreed to invest and endorse the company. Founder John Schnatter, whose image had once been deeply ingrained in the pizza chain's marketing, agreed earlier this month to resign from the board and dismiss a lawsuit related to his departure last year as chairman. The controversial executive used a racial slur on a conference call last year. Hopefully, Shaq can change things up.
Nike (NKE) taking a hit following earnings. The world's largest sportswear maker actually beat earnings estimates as revenue rose 7.0% to $9.61 billion, but an important North American sales metric missed expectations. The analysts were out defending the stock, but with a stock trading for 26 times earnings which are growing in the mid-teens, it's hard to justify that the stock is cheap.