Why Manitowoc, Chipotle Mexican Grill, and Wynn Resorts Soared Today

The topsy-turvy trend for the stock market continued, with major benchmarks ending on a down note. But Manitowoc jumped 15%, while Chipotle climbed 12%, and Wynn rose 8%. Find out more about what made these stocks soar.

Jan 31, 2014 at 8:02PM

Although we don't believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes -- just in case they're material to our investing thesis.

Friday's market moves certainly kept investors on their toes. The S&P 500 quickly plunged to a loss of more than 1% before eventually working its way back to the unchanged level with an hour to go in the session; but it then traded down for the rest of the day. Yet, the wave motion of the market didn't stop Manitowoc (NYSE:MTW), Chipotle Mexican Grill (NYSE:CMG), and Wynn Resorts (NASDAQ:WYNN) from giving shareholders big gains on positive earnings news.

Manitowoc soared 15% after reporting fourth-quarter results last night that impressed shareholders. Revenue fell 2%, continuing a trend that investors have seen throughout the industrial sector, but the crane-making company managed to boost its adjusted earnings by 74%, thanks to strong gains in margins and cost-cutting measures. One area that did particularly well was Manitowoc's food-service machine business and, given increasing optimism about the future of the construction industry, Manitowoc has room to post further gains both in the current quarter and throughout 2014.

Chipotle gained 12% as its earnings results, and future guidance, held up well with investors' high expectations. Same-store sales of 9.3% boosted revenue by almost 21%, with gains in operating margins helping drive profits higher. The restaurant operator expects to boost its store count by 200 this year, with more modest comps than it had in the fourth quarter, but with the possibility of a price hike at some point in 2014. Results like these are essential for Chipotle to justify its ample valuation.

Wynn Resorts rose 8% after its own earnings report showed substantial growth in its casino business. Overall revenue gained 18%, but as has been the case for years, the gaming giant's Macau-based business drove that growth with 25% gains in its revenue there. With net income almost doubling, the prospects for the future look even better, with its new Cotai Strip casino set to open in Macau in early 2016. Yet even domestically, the casino industry is looking better, as peer Boyd Gaming (NYSE:BYD) also posted solid stock gains on positive earnings news today. Overall, an improving economy is lifting Wynn's prospects, and as long as emerging market economies don't actually start shrinking, Wynn looks well-poised to keep benefiting from growth.

Get your share of growth in stocks
They said it couldn't be done. But David Gardner has proved them wrong, time, and time, and time again, with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently, one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.

Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool recommends Chipotle Mexican Grill. The Motley Fool owns shares of Chipotle Mexican Grill. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

©1995-2014 The Motley Fool. All rights reserved. | Privacy/Legal Information