Rite Aid Rallies, Weight Watchers Posts Big Gains

McDonald's declines with the Dow as eyes turn to the monthly jobs report tomorrow

May 1, 2014 at 6:51PM

The Dow Jones Industrial Average (DJINDICES:^DJI), a day after closing at all-time highs, retreated on Thursday, as the Russian-Ukrainian conflict continued to escalate, and investors waited for Friday's jobs report for guidance. Private-sector payrolls are expected to expand by 215,000 in April, after advancing by just less than 200,000 in February and March. The Dow itself lost 21 points, or 0.1%, to end at 16,558, as 22 of its 30 members declined. 

McDonald's (NYSE:MCD) stock was one of the many blue chip names to finish in the red on Thursday, losing 0.4%. The world's largest fast-food restaurant reported first-quarter results last Tuesday, and they painted a rather unflattering picture of the jubilant, burger-eating Ronald. In fact, U.S. sales actually fell by nearly 2% last quarter, underscoring an uncomfortable reality that investors must confront: McDonald's has reached full maturity in the U.S., and must now look abroad for growth. At the same time, Mickey D's needs to keep its domestic edge, and fend off fast-casual competition, which is becoming a larger and larger problem. 

Meanwhile, shares of Rite Aid Corporation (NYSE:RAD) are having no problem fending off rivals. Rite Aid stock rallied 5.5% today, hitting a 52-week high in intraday trading, as April same-store sales came in strong. The drugstore has seemingly been able to do no wrong on Wall Street in the last year, during which time shares have nearly tripled. The market actually somewhat saw April's blowout month coming a month ago, when the stock advanced after reporting a mere 0.7% increase in same-store revenue. Since Easter oddly occurred in late March last year, the bump was seen as a good omen for April's sales this year, and a 5% boost to same-store sales last month seems to validate that point. 


Source: company website

Finally, shares of Weight Watchers International (NYSE:WTW) weren't losing any ground on Thursday, surging 19.8%, even as profits cratered by more than 60%. Weight Watchers boosted its earnings per share estimates for the full-year from the $1.30 to $1.60 range to the $1.45 to $1.70 range. The company, which holds monthly meetings for paid members, is facing stiff competition from online and mobile-based rivals, but it's making inroads with its new mobile app and "Simple Start" program.

Top dividend stocks for the next decade
The smartest investors know that dividend stocks simply crush their non-dividend paying counterparts over the long term. That's beyond dispute. They also know that a well-constructed dividend portfolio creates wealth steadily, while still allowing you to sleep like a baby. Knowing how valuable such a portfolio might be, our top analysts put together a report on a group of high-yielding stocks that should be in any income investor's portfolio. To see our free report on these stocks, just click here now.

John Divine has no position in any stocks mentioned. You can follow him on Twitter @divinebizkid and on Motley Fool CAPS @TMFDivine.

The Motley Fool recommends McDonald's. The Motley Fool owns shares of McDonald's and Weight Watchers International. 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.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at www.fool.com/podcasts.

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to www.fool.com/podcasts, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.


Compare Brokers