Sophisticated Investors Should Avoid: 1-800-FLOWERS.COM Inc. (FLWS), YPF Sociedad Anonima (YPF)

1-800-FLOWERS.COM Inc. (NASDAQ: FLWS) shares are 121.17% up in the year-to-date (YTD) period and have moved 7.15% or $2.14 higher in the latest trading session. However, stock’s trailing 12-month performance remains nearly +187.62% lower. Comparatively, the stock is -0.90% down YTD and 37.76% over the trailing 3-month period. If we look at the shorter duration, its week performance is 6.83% and 8.64% over the month.

Analyst Recommendations

On June 02, 2020, DA Davidson recommended the FLWS stock is a Underperform, while earlier, DA Davidson had Upgrade the stock as a Neutral on August 28, 2020. 7 analysts offering the recommendations for the stock have a consensus rating of 2.00 to suggest that the FLWS stock is a “Moderate Buy. 0 of the 7 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 6 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $32.07 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $30.71. The forecasts give the 1-800-FLOWERS.COM Inc. stock a price target range of $40.00 on the higher side while at least one analyst think the stock could plunge to a low of $33.00. The two limits represent an upside potential of 19.82% or 2.82%.

Earnings Forecast

Analysts estimate the earnings to increase 5.30% in the current quarter to -$0.12, up from the -$0.24 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $1.16, up 15.80% from $0.95 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $1.19 and $1.49. Wall Street estimates earnings per share to be at an average of $1.4 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 18 over the last 12 months, while SEC filings reveal that there have been 14 insider sales over the same period. Insiders have purchases 228,528 shares while those sold by company executives and officers stand at 97,312. The last 3 months have seen insiders trade a total of 0 and 0 in purchases and sales respectively.

DeMark Eugene F, a Director at the company, sold 5,363 shares worth $69826.0 at $13.02 per share on Dec 11. The Director had earlier sold another 3,000 FLWS shares valued at $40830.0 on Dec 13. The shares were sold at $13.61 per share.

YPF Sociedad Anonima (NYSE:YPF), on the other hand, is trading around $5.64 with a market cap of $3.55B and analyst research firms have a positive stance on its shares. Analysts predict that the stock will reach $7.70 and spell out a more modest performance – a 26.75% return. Some analysts are even forecasting -$1.36 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the YPF Sociedad Anonima (YPF) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

YPF’s operating margin was negative on the trailing 12 months basis, remaining steady at -2.30%, while the operating expenses over the recent quarter were at $1.19 billion. This represented a 39.92% of the company’s total revenues which amounted $1.98 billion. With this in place, we can see that the company’s diluted EPS declined -$3.19 on the year-over-year period, shrinking to -$0.16 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $24.82 billion from $27.07 billion over the previous quarter. Short term investments amounted to $120.16 million while total current assets were at $4.84 billion. The cash flow from operating activities totaled $1.37 billion, significantly lower than the $1.9 billion reported in the year-ago quarter. The company’s free cash flow for the quarter was $365.77 million.

Major holders

Insiders own 99.50% of the company shares, while shares held by institutions stand at 16.10% with a share float percentage of 172.45M. Investors are also buoyed by the number of investors in a company, with YPF Sociedad Anonima having a total of 213 institutions that hold shares in the company. The top two institutional holders are Blackrock Inc. with over 11.56 million shares worth more than $66.48 million. As of Jun 29, 2020, Blackrock Inc. held 6.71% of shares outstanding.

The other major institutional holder is Brandes Investment Partners L.P., with the investment firm holding over 8.54 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $49.1 million and represent 4.96% of shares outstanding.