Investor Beat -- February 28, 2014

The top business stories from Friday's market, for today's Foolish investor.

Feb 28, 2014 at 7:06PM

MercadoLibre is up big today after reporting earnings, beating on both the top and bottom lines. Nicknamed "The eBay of Latin America," the company has shown four straight years of more than 30% growth per year, but has had a very rough go of things during the past several months.

In this video from Friday's edition of Investor Beat, host Chris Hill and Motley Fool Million Dollar Portfolio analyst Ron Gross take a look at MercadoLibre, and its success despite its geographical headwinds. They also look at the incredible growth of the stock that eBay doesn't have, and whether or not the company can maintain this pace.

Then, guidance has proven to be more important to the market than earnings for Deckers Outdoor today, as the company reported good Q4 results, but surprised everyone by forecasting a loss for the upcoming Q1. The company has put the blame for the coming loss on the cost of opening new stores and increased marketing, but the market reacted poorly to the news. Ron notes that the business is doing well, but despite today's pullback, he still sees it as pricey. He's also concerned because the company still relies heavily on the trendy UGG brand footwear. As a result, he isn't interested in buying Deckers today.

Pier 1 Imports has cut full-year guidance for the second time in as many months. Like many other retailers, it blames the exceptionally severe winter weather for the reduced foot traffic the company experienced this winter. Pier 1 was even forced to close some of its locations temporarily, which hurt the company's sales even further. Chris and Ron discuss Pier 1 and the trend of retailers citing the weather for this quarter's troubles. They also talk about why the market gives some companies a pass with this excuse, but why it didn't let Pier 1 off the hook this time.

Finally, Ron takes a look at Costco. The company reports earnings next week, and Ron tells investors that this is one of his personal favorite stocks, but that the Million Dollar Portfolio service has had the stock as a "hold" for a while now after it ran up above $115. Ron will be watching the earnings closely, as he would love to have a reason to upgrade Costco back to a buy.

Two retailers still dominating in this rapidly shifting space
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Chris Hill owns shares of eBay. Ron Gross owns shares of Costco Wholesale. The Motley Fool recommends Costco Wholesale, eBay, and MercadoLibre. The Motley Fool owns shares of Costco Wholesale, eBay, and MercadoLibre. 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.

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