Wednesday, October 31, 2007

 

Missed Opportunity: WXS

Last Year, "The Fly" had a large position in WXS, but sold it--mainly due to boredom.

In short, the company helps the trucking industry manage expenses, particularly gasoline.

With oil above $90 and the trannies feeling the 'gas squeeze,' WXS can go significantly higher.

Click here to access this mornings conference call.

It's a great story that can gather momentum.

Comments:
too soon to buy any truckers?
 
why does this blog put a tracking cookie on my computer?
 
Bruce:

Not a trucker. They help fleets manage expenses.

Dick:

Because I track all of my reader and know where they live.
 
Nice Mastercard division too.
 
Mastercard division +40%

via the website:

In the simplest terms, Wright Express, along with its wholly owned subsidiary Wright Express Financial Services Corporation, is a leading provider of fleet and corporate charge cards. Flexible, pre-set cardholder limits and robust data capture from each card transaction provide users with valuable information to better manage corporate expenses. And the powerful back-end processing of those transactions helps streamline your entire process of tracking and paying for employee business expenses, be they for fuel, supply purchases or travel & entertainment.
 
FWIW, CSFB has WXS as an Outperform, citing Q3:07 EPS above estimates (+37% YOY) and mgmt raising FY07 EPS guidance to $1.88 - $1.91 from a previous range of $1.82-$1.88.

They have a $40 price target.

With it up $3 already today, what makes you think it can go significantly higher?
 
Look at this friggin AP headline. Every other headline reports beating by .04. and then they refer to a share buyback as a "scheme". A scheme? Never quite heard it put that way. Asshats.

Wright Express Profits Down on Cost Rise
AP
Posted: 2007-10-31 09:13:40
SOUTH PORTLAND, Me. (AP) - Payment processing company Wright Express Corp. said Wednesday its third quarter profit dropped 36 percent as non-recurring expenses offset an increase in revenue.

Profits dropped to $22.2 million or 55 cents a share from $34.4 million or 83 cents a share in the year-ago quarter.

However - excluding amortization, stock compensation and other expenses - profits rose 40 percent to $22.4 million or 55 cents a share from $16 million or 39 cents a share.

Revenue increased 10 percent to $87.7 million from $79.7 million.

Analysts were expecting earnings of 51 cents a share on revenue of $88.6 million, according to a poll by Thomson Financial.

A stock repurchase scheme cost the company $10 million.

Payment processing transactions increased 15 percent to $53.6 million. However, the company's transaction processing business dropped 35 percent to $9.8 million, mostly reflecting customer ExxonMobil 's switch to the company's payment processing system.

The company gained $300,000 by trading fuel-price derivatives it purchased to offset variable fuel prices.

Chief Executive Michael Dubyak said that financial results were better than we anticipated. "Taking into account fluctuations in fuel prices, revenue exceeded our forecast and the positive mismatch on our derivatives was larger than we expected," he said.

As a result, adjusted net income came in 2 cents per share higher than the top end of the company's guidance.
 
Cigs, could be the writer was British. They use the word "scheme" in a much less derogatory fashion than do we.

Surprised it got by the editor, however, especially in a business article.
 
Alpha:

Due to market penetration.

WXS only has 9% of the U.S., fleet market, with a booming mastercard division.

Why do all stocks go up, fuckface?

Answer: They beat earnings.
 
"Why do all stocks go up, fuckface?

Answer: They beat earnings."

Or, other fuckfaces buy them for no apparent reason other than to play the lottery, viz a vis the greater fool theory.
 
fly, any opinion on iiG? Is the maniac bidder still present?
 
this is a sick ass stock. thanks for tha connec
 
Post a Comment

Links to this post:

Create a Link



<< Home

This page is powered by Blogger. Isn't yours?

 Subscribe in a reader

DISCLAIMER: This is a personal web site, reflecting the opinions of its author. It is not a production of my employer, and it is unaffiliated with any FINRA broker/dealer. Statements on this site do not represent the views or policies of anyone other than myself. The information on this site is provided for discussion purposes only, and are not investing recommendations. Under no circumstances does this information represent a recommendation to buy or sell securities.