Diamonds and Dogs


Delta Air Lines (DAL) flying higher. Delta is jumping 4% after releasing better than expected March metrics while also raising first quarter guidance. Delta expects 7% top-line growth with margin expansion while also accelerating a $1 billion in share repurchases in the quarter. Delta remains on target for $2.5 billion buyback for the full year. The company also extended their contract with American Express to leverage their co-brands.

Walgreens Boots Alliance (WBA) not helping the Dow. The U.S.'s biggest standalone drugstore chain is down 11% to a five year low after missing earnings estimates and guiding 2019 earnings below consensus. Walgreens now expects no earnings growth for 2019 verse previous guidance of 7 to 12% growth. Three factors are contributing to the underperformance including increased reimbursement pressure, volume as same-store growth in US is trending below plan and consumer conditions in UK remain challenging. In mid-2018, Walgreens replaced GE in the Dow Jones. Not the best move for the Dow Jones.

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.