NewtekOne

NewtekOne Inc is a financial holding company engaged in providing financial solutions, It has developed a financial and technology-based business model that enables itself to acquire and process its clients in a very cost-effective manner. This capability is supported in large part by NewTracker, its patented prospect management technology software, that will allow NewtekOne clients to easily interact with NewtekOne subject matter experts in the areas of Banking, Lending, Payments, Technology, Payroll, and Insurance. It offers NewtekOne's clients a single online dashboard to access all of NewtekOne's business and financial solutions. It has four reportable segments Banking, Technology, NSBF, and Payments.

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$1.8M Bet On Singular Genomics? Check Out These 3 Stocks Executives Are Buying

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Wall Street&#39;s Most Accurate Analysts Weigh In On 3 Financials Stocks With Over 5% Dividend Yields

Earnings

Earnings Beats

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BLMN

MGM Resorts and Bloomin&#39; Brands Have Been Highlighted as Zacks Bull and Bear of the Day

NewtekOne Inc

NewtekOne, Inc. - 8.50% Fixed Rate Senior Notes due 2029

NewtekOne, Inc. - 8.625% Fixed Rate Senior Notes due 2029

NewtekOne, Inc. - 8.00% Fixed Rate Senior Notes due 2028

Newtek Business Services Corp 7.000% Nt 03/31/2021

NewtekOne, Inc. - 5.50% Notes Due 2026

NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) reported quarterly earnings of $0.69 per share which beat the analyst consensus estimate of $0.66 by 4.55 percent. This is a 30.19 percent increase over earnings of $0.53 per share from the same period last year. The company reported quarterly sales of $75.37 million which beat the analyst consensus estimate of $68.87 million by 9.43 percent. This is a 31.00 percent increase over sales of $57.53 million the same period last year.

NewtekOne Q4 EPS $0.69 Beats $0.66 Estimate, Sales $75.37M Beat $68.87M Estimate

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Core Scientific, Inc. - Class A Common Stock

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Earnings Scheduled For February 26, 2025

<a href="https://www.globenewswire.com/Tracker?data=8tNn1j9ObEWCbvh1uohycDdA52TyXFT1IPEA7_BFpJ1WkVbUN-p8B2ufGVHO-NjSrQ5F95wu7n7tk8KlsRqHJQ==">NewtekOne, Inc.</a> ("the Company") (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) announced today the following deposit metrics of <a href="https://www.globenewswire.com/Tracker?data=8tNn1j9ObEWCbvh1uohycK8Ogyk9uQIMs2x4-AGEVhZwYdHFPV_2t3D3xXp0E96utuNsiS_oEBEwP_XLpjL3lv3cEqLjLfL0sVUitJnhw3RoaN5MVQAinJnyrAIOcscHYKuIUaQ6vjv_wDhGsu43G4DgaqYS9l9bNJDXkRpREP29kEYdazmxWuEjGnv1sfRRO2_E7RgcsD3xuGmBgSA3CR-WAHpYcv1BkasNs65MhFZRv11o7MeCSS_w5M5dk2du7ZbNpmBfGc8arIxr4VVN8NT6LEg9yzF7bqFtldk024ljLvJmbdeBSQB3K-UZYyWFKv8oaLojfCw3ZuoZ3rxiHN1jrunP6chkDhFfB_qUtilMKmOE7HXf4PKqdLLsLIZZ">Newtek Bank, N.A.</a> ("Newtek Bank" or the "Bank"), its technology-enabled banking subsidiary, at December 31, 2024:
<ul>
<li>$1.03 billion in total deposits at December 31, 2024, which represents a 97.0% increase in total deposits over the year ended December 31, 2023, and growth of $884 million in total deposits since its acquisition in January 2023.</li>
<li>Insured deposits represent approximately 78% of total deposits at December 31, 2024.</li>
<li>Core business deposits were $216 million at December 31, 2024, an increase of $106 million, or 96%, over the same period in 2023.</li>
<li>In the fourth quarter of 2024, Newtek Bank added 950 new business checking accounts.</li>
<li>At December 31, 2024, Newtek Bank had a deposit base of approximately 15,000 bank accounts, compared to the approximately 1,400 accounts that existed at the time of the Bank's acquisition in January 2023.</li>
<li>Over the past two years, the Bank's incremental depository accounts were acquired via Newtek Bank's digital account opening process and serviced by U.S.-based representatives, who are available on camera 24/7/365.</li>
</ul>

Newtek Bank, N.A. Reaches $1.03B In Total Deposits At December 31, 2024, Which Represents A 97% Increase In Total Deposits YoY

B. Riley Securities analyst Bryce Rowe maintains NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) with a Neutral and raises the price target from $13 to $14.

B. Riley Securities Maintains Neutral on NewtekOne, Raises Price Target to $14

WIIM

NewtekOne shares are trading higher after Piper Sandler raised its price target on the stock from $13 to $15.

Piper Sandler analyst Crispin Love maintains NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) with a Neutral and raises the price target from $13 to $15.

Piper Sandler Maintains Neutral on NewtekOne, Raises Price Target to $15

Keefe, Bruyette &amp; Woods analyst Timothy Switzer reiterates NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) with a Market Perform and raises the price target from $13 to $15.

Reiteration

Keefe, Bruyette & Woods Reiterates Market Perform on NewtekOne, Raises Price Target to $15

NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) is looking for FY2025 GAAP EPS of $2.00-2.25 vs $2.12 analyst estimate..

Guidance

NewtekOne Sees FY2025 GAAP EPS $2.00-2.25 vs $2.12 Est

NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) affirms FY2024 GAAP EPS guidance from $1.85-2.05 to $1.85-2.05 vs $1.89 analyst estimate..

NewtekOne Affirms FY2024 GAAP EPS Guidance  to $1.85-2.05 vs $1.89 Est

NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) reported quarterly earnings of $0.45 per share which beat the analyst consensus estimate of $0.43 by 4.65 percent. The company reported quarterly sales of $62.832 million which beat the analyst consensus estimate of $61.398 million by 2.34 percent. This is a 23.26 percent increase over sales of $50.974 million the same period last year.

NewtekOne Q3 2024 GAAP EPS $0.45 Beats $0.43 Estimate, Sales $62.832M Beat $61.398M Estimate

Buybacks

NewtekOne BoardApproved New Stock Repurchase Program Granting The Company Authority To Repurchase Up To 1M Shares Of Company Common Stock During The Next Twelve Months

<a href="https://www.globenewswire.com/Tracker?data=eOhSg06dRVZqZ5MKdZ4Q9zUKkNvQraZ_5u2OGxZZLRzozZLbBcYTp5j2piOQtGR5ZZyy4Bi7_cm8Ktc7LFaVTg==">NewtekOne, Inc.</a> (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) announced today that it expects to report deposits at Newtek Bank, N.A. of $742 million as of September 30, 2024; an expected sequential increase of 11.7% over $664 million at June 30, 2024, and an increase of 43% over $519 million at December 31, 2023. Insured deposits are expected to represent approximately 75% of total deposits at September 30, 2024. In the all-important category of business core deposits, we expect to finish the third quarter 2024 at $119 million; an increase of $37 million, or 45%. Deposits received from our lending clients are expected to finish the third quarter 2024 at $78 million, an increase of $30 million sequentially from the prior quarter.

NewtekOne Expects To Report Deposits At Newtek Bank, N.A. Of $742M As Of September 30, 2024; An Expected Sequential Increase Of 11.7% Over $664M At June 30, 2024, And An Increase Of 43% Over $519M At December 31, 2023

Although U.S. stocks closed lower on Wednesday, there were a few notable insider trades.
When insiders purchase shares, it indicates their confidence in the company&#8217;s prospects or that they view the stock as a bargain. Either way, this signals an opportunity to go long on the stock. Insider purchases should not be taken as the only indicator for making an investment or trading decision. At best, it can lend conviction to a buying decision.
Below is a look at a few recent notable insider purchases. For more, check out <a href="https://www.benzinga.com/sec/insider-trades/">Benzinga&#8217;s insider transactions</a> platform.
<h3 class="wp-block-heading">Singular Genomics Systems</h3>
<ul>
<li>The Trade: Singular Genomics Systems, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OMIC#NASDAQ">OMIC</a>) 10% owner TANG CAPITAL PARTNERS LP <a href="https://www.benzinga.com/quote/ONEW/analyst-ratings">acquired a total of 122,416 shares at</a> an average price of $14.75. To acquire these shares, it cost around $1.81 million.</li>
<li>What's Happening: On Sept. 12, Singular Genomics announced it received a non-binding acquisition proposal from Deerfield.</li>
<li>What Singular Genomics Systems Does: Singular Genomics Systems Inc is a life science technology company that is leveraging novel next generation sequencing and multiomics technologies to build products that empower researchers and clinicians.</li>
</ul>
<h3 class="wp-block-heading">NewtekOne</h3>
<ul>
<li>The Trade: NewtekOne, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) Director Gregory L Zink acquired a total of 1,000 shares at an average price of $11.38. To acquire these shares, it cost around $11,380.</li>
<li>What's Happening: On Sept. 16, NewtekOne declared a quarterly dividend of 19 cents per share.</li>
<li>What NewtekOne Does: NewtekOne Inc is a financial holding company engaged in providing financial solutions, It has developed a financial and technology-based business model that enables itself to acquire and process its clients in a very cost-effective manner.</li>
</ul>
<h3 class="wp-block-heading">SR Bancorp</h3>
<ul>
<li>The Trade: SR Bancorp, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SRBK#NASDAQ">SRBK</a>) Director Thomas Lupo <a href="https://www.benzinga.com/sec/insider-trades/">bought a total of 5,000 shares</a> at an average price of $10.58. To acquire these shares, it cost around $52,885. The company's Executive Chair also bought 1,000 shares.</li>
<li>What's Happening: On July 30, SR Bancorp posted a second-quarter loss of 34 cents per share.</li>
<li>What SR Bancorp Does: SR Bancorp Inc principal business is to acquire deposits from individuals and businesses in the communities surrounding offices and to use these deposits to fund loans. </li>
</ul>
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<li><a href="https://www.benzinga.com/news/earnings/24/09/40925678/fedex-gears-up-for-q1-print-here-are-the-recent-forecast-changes-from-wall-streets-most-accurate-an">FedEx Gears Up For Q1 Print; Here Are The Recent Forecast Changes From Wall Street&#8217;s Most Accurate Analysts</a></li>
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<a href="https://www.globenewswire.com/Tracker?data=BD3ytx6oCClQaDRHrn6gseplnH1TodtmxaUPU-PSn5EgliujLTYoa9y8DNMCMTkNTBqZm0tDZTcdDd12cjWaZg==">NewtekOne, Inc.</a> (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) announced today that it is reconfirming its 2024 annual earnings per share ("EPS") forecast in a range of $1.85 to $2.05 per basic and diluted common share. &nbsp;
Barry Sloane, Chairman, President and Chief Executive Officer said, "Despite a challenging, volatile equity market for financially related businesses, we continue to be proud of our management team for executing on our goals and metrics, satisfying the needs of our business clients and fostering the continued growth of our business model. As a company that provides best-in-class financial and business solutions to make its clients more successful, we are continuing to witness a tremendous appetite from the small- and medium-sized business (SMB) community to engage with us about how we can help SMBs grow their revenues, reduce their expenses, reduce their risk, and improve their operational efficiencies. As such, we remain comfortable with our previously issued 2024 annual EPS guidance in a range of $1.85 to $2.05 per basic and diluted common share. Additionally, we anticipate providing our 2025 business projections during our third quarter 2024 earnings conference call in early November, which we believe will continue to illustrate the growth trajectory of our business model."

NewtekOne Reconfirms Its FY24 Annual EPS Forecast In A Range Of $1.85-$2.05 Vs $1.90 Est.

B. Riley Securities analyst Bryce Rowe downgrades NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) from Buy to Neutral and lowers the price target from $16 to $13.

Downgrades

B. Riley Securities Downgrades NewtekOne to Neutral, Lowers Price Target to $13

Paltalk, Inc. ("Paltalk," the "Company," "we," our," or "us") (NASDAQ:<a href="https://www.benzinga.com/stock/PALT#NASDAQ">PALT</a>), a communications software innovator that powers multimedia social applications, announced today that it has entered into a definitive agreement (the "Acquisition Agreement"), pursuant to which Paltalk will acquire (the "Acquisition") Newtek Technology Solutions, Inc. ("NTS"), a wholly owned subsidiary of NewtekOne, Inc. ("Newtek"). NTS provides dedicated server hosting, cloud hosting, data storage, managed security, backup and disaster recovery, and other related services including consulting and implementing technology solutions for enterprise and commercial clients across the U.S.
Pursuant to the Acquisition Agreement, Paltalk has agreed to (i) pay Newtek an amount in cash equal to $4,000,000, subject to customary purchase price adjustments (the "Closing Cash Consideration"), and (ii) issue Newtek 4,000,000 shares of a newly created series of Paltalk's preferred stock, the Series A Non-Voting Common Equivalent Stock (the "Preferred Stock" and such shares issued at the closing of the Acquisition, the "Closing Stock Consideration" and together with the Closing Cash Consideration, the "Closing Consideration") (in each case, subject to adjustment as further described below). The Preferred Stock will automatically convert into one share of Paltalk common stock (subject to certain customary anti-dilution adjustments) upon the occurrence of certain qualifying dispositions by Newtek.

Asset Sales

PALT

Paltalk Enters Into An Agreement To Acquire Newtek Technology Solutions From NewtekOne For A Cash Consideration Of $4M And Issue Newtek 4M Shares Of A Newly Created Series Of Paltalk's Preferred Stock, The Series A Non-Voting Common Equivalent Stock

NewtekOne Maintains Its FY24 EPS Forecast Of $1.85 - $2.05, Est $1.91

NewtekOne (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>) reported quarterly earnings of $0.43 per share which beat the analyst consensus estimate of $0.41 by 4.88 percent. This is a 59.26 percent increase over earnings of $0.27 per share from the same period last year. The company reported quarterly sales of $61.146 million which beat the analyst consensus estimate of $59.895 million by 2.09 percent. This is a 17.36 percent increase over sales of $52.101 million the same period last year.

NewtekOne Q2 2024 GAAP EPS $0.43 Beats $0.41 Estimate, Sales $61.146M Beat $59.895M Estimate

During times of turbulence and uncertainty in the markets, many investors turn to dividend-yielding stocks. These are often companies that have high free cash flows and reward shareholders with a <a href="https://www.benzinga.com/yield-investments">high dividend payout</a>. 
Benzinga readers can review the latest analyst takes on their favorite stocks by visiting our <a href="https://www.benzinga.com/analyst-stock-ratings">Analyst Stock Ratings</a> page. Traders can sort through Benzinga's extensive database of analyst ratings, including <a href="https://www.benzinga.com/analyst-ratings/analyst-color/22/09/28888638/exclusive-study-finds-benzinga-analyst-ratings-data-yields-market-beating-strategie">by analyst accuracy</a>.
Below are the ratings of the most accurate analysts for three high-yielding stocks in the financials sector.
<h3 class="wp-block-heading">NewtekOne, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NEWT#NASDAQ">NEWT</a>)</h3>
<ul>
<li>Dividend Yield: 5.28%</li>
<li>Keefe, Bruyette &amp; Woods analyst Timothy Switzer maintained a Market Perform rating and cut the price target from $16 to $13 on March 20. This analyst has an accuracy rate of 80%.</li>
<li>Piper Sandler analyst Crispin love maintained a Neutral rating and slashed the price target from $13 to $11 on March 18. This analyst has an accuracy rate of 63%.</li>
<li>Recent News: NewtekOne will report its second quarter financial results after the closing bell on Monday, Aug. 5.</li>
<li>Benzinga Pro's real-time newsfeed <a href="https://pro.benzinga.com/dashboard">alerted to latest NEWT news</a></li>
</ul>
<h3 class="wp-block-heading">Comerica Incorporated (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CMA#NYSE">CMA</a>)</h3>
<ul>
<li>Dividend Yield: 5.38%</li>
<li>Morgan Stanley analyst Manan Gosalia maintained an Equal-Weight rating and slashed the price target from $53 to $50 on July 22. This analyst has an accuracy rate of 72%.</li>
<li>RBC Capital analyst JonArfstrommaintained an Outperform rating and cut the price target from $58 to $56 on July 22. This analyst has an accuracy rate of 79%.</li>
<li>Recent News: Comerica posted better-than-expected quarterly results on July 19.</li>
<li><a href="https://pro.benzinga.com/dashboard">Benzinga Pro's charting tool</a> helped identify the trend in CMA's stock.</li>
</ul>
<h3 class="wp-block-heading">Valley National Bancorp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/VLY#NASDAQ">VLY</a>)</h3>
<ul>
<li>Dividend Yield: 5.45%</li>
<li>JP Morgan analyst StevenAlexopoulosmaintained a Neutral rating and cut the price target from $8.5 to $8 on June 27. This analyst has an accuracy rate of 70%.</li>
<li>Keefe, Bruyette &amp; Woods analyst Michael Perito downgraded the stock from Outperform to Market Perform and cut the price target from $12 to $8 on May 31. This analyst has an accuracy rate of 71%.</li>
<li>Recent News: On July 25, the company posted weaker-than-expected quarterly sales.</li>
<li>Benzinga Pro's signals feature notified of a potential <a href="https://pro.benzinga.com/dashboard">breakout in VLY shares</a>.</li>
</ul>
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Wall Street's Most Accurate Analysts Weigh In On 3 Financials Stocks With Over 5% Dividend Yields

<h3>For Immediate Release</h3>
Chicago, IL &ndash; June 5, 2024 &ndash; Zacks Equity Research shares MGM Resorts International (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/mgm#NYSE">MGM</a>) as the Bull of the Day and Bloomin&#39; Brands (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/blmn#NASDAQ">BLMN</a>) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on The Western Union Co. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/wu#NYSE">WU</a>), The Bank of N.T. Butterfield &amp; Son Ltd. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ntb#NYSE">NTB</a>) and NewtekOne, Inc. (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/newt#NASDAQ">NEWT</a>).
Here is a synopsis of all five stocks:
<h3>Bull of the Day:</h3>
MGM Resorts International is a Zack Rank #1 (Strong Buy) that owns and operates casino, hotel, and entertainment resorts in the United States and internationally.
The company&#39;s resort portfolio incorporates 31 unique hotel and gaming offerings, including some of the most familiar resort brands in the industry, such as Bellagio, MGM Grand, Mandalay Bay and The Mirage.
The stock continues to struggle in 2024, but investors might be overlooking the value opportunity that exists.
<h3>About the Company </h3>
MGM was incorporated in 1986, has a market cap of $12 billion, and employs over 58,000.
The company operates through three segments: Las Vegas Strip Resorts, Regional Operations, and MGM China.
The stock has a Zacks Style Score of &quot;A&quot; in Value and &quot;C&quot; in both Growth and Momentum. The stock has a Forward PE of 14, making it attractive for value investors.
<h3>Q1 Earnings</h3>
In early May, MGM reported a 23% EPS beat and a beat on revenues. Las Vegas Strip RevPar and occupancy were both up year over year and consolidated adjusted EBITDAR was $1.23B v $1.19B last quarter.
China impressed, seeing Net Revenues up to $1.1B v the $618M last year, while EBITDAR came in at $301M v the $169M last year.
The company bought 12M shares in Q1, which is part of its strategic growth plan to utilize free cash flow.
The stock reacted with volatility both up and down and the MGM currently sits around the same levels as when the company reported.
Since earnings, Nevada has reported casino gaming revenue +7%, which is a positive for the sector. Additionally, analyst have been taking their estimates higher since the earnings report.
<h3>Estimates Rising</h3>
Over the last 60 days, estimates for the current quarter have gone up by 23%, from $0.55 to $0.68.
For the current year, numbers have been taken from $2.48 to $2.82. This is a 13% move higher since EPS.
The trend continues for next year, with estimates going up 16% for that timeframe, moving from $2.70 to $3.11.
The stock has seen some upgrades since earnings, with JPMorgan reiterating their Overweight and $57 price target.
Susquehanna went to Net Positive from Net Neutral and took its target to $54 from $46.
<h3>The Technical Take</h3>
Looking at the chart, you can see the stock is at the same level that it was back in November of 2023. Since then, the overall stock market has been up over 20%, so this stock is being overlooked despite the solid earnings reports.
The bulls have some work to do, and investors should be watching the stock closely to see if a rally might be coming.
The first sign would be a move over the 200-day moving average resistance at $41.50. Right behind that is the 50-day MA $42.30.
There has been a lot of support in the $38.50-$40 area. This is the 61.8% Fibonacci zone that can be found by drawing from October lows to 2024 highs.
A continued defense of this area would signal long-term buying and a chance to return to those recent highs and beyond.
<h3>In Summary </h3>
MGM is generating free cash flow and buying its stock back. Earnings have been positive and earnings estimates have been going higher.
Yet despite these positives, the stock is teasing 2024 lows, clinging to long-term support.
The current situation in MGM is creating a long-term opportunity for value investors and this stock should be watched closely for a rally into the end of the year.
<h3>Bear of the Day:</h3>
Bloomin&#39; Brands is a Zacks Rank #5 (Strong Sell) that is a casual dining restaurant company with a portfolio of differentiated restaurant concepts.
The company has been underperforming as it struggles to meet market expectations and faces several strategic and operational challenges. Despite some positive signals in recent performance, the outlook remains clouded with uncertainties.
<h3>About the Company </h3>
Bloomin&#39; Brands was founded in 1988, employs 87,000, and is headquartered in Tampa, Florida.
Its restaurant portfolio has four concepts, including Outback Steakhouse, a casual steakhouse restaurant; Carrabba&#39;s Italian Grill, a casual Italian restaurant; Bonefish Grill; and Fleming&#39;s Prime Steakhouse &amp; Wine Bar, a contemporary steakhouse.
BLMN is valued at almost $2 billion and has a Forward PE of 9. The stock holds Zacks Style Scores of &quot;A&quot; in Growth and Value and pays a 4.5% dividend.
<h3>Q1 Earnings </h3>
In its most recent earnings report, BLMN missed earnings by 7%. Revenue came in at $1.20 billion, matching estimates, but this alone isn&#39;t enough to instill confidence in investors. The company&#39;s guidance for Q2 is particularly concerning, with an expected EPS range of $0.55 to $0.60, significantly below the consensus estimate of $0.69. Comparable restaurant sales are projected to be flat to up just 1.5% year-over-year, indicating minimal growth in the near term.
Margins and sales struggled, with the company&#39;s restaurant-level operating margin declining to 16.0% from 17.9% last year. U.S. combined same-store sales&nbsp;were down 1.6% year-over-year, further highlighting the struggles in maintaining growth.
While BLMN&#39;s marketing and operations initiatives have shown some success, particularly at Outback Steakhouse, these gains are not substantial enough to counteract the broader issues faced by the company.
Adding to the uncertainty is BLMN&#39;s announcement that it is exploring strategic alternatives for its Brazil operations. This move, while potentially beneficial in the long run, introduces short-term uncertainty and potential disruption.
<h3>Earnings Estimates Trending Lower </h3>
Over the last 30 days, earnings estimates for the current quarter have fallen from $0.69 to $0.59, or 14%.
For the current year, estimates have dropped from $2.55 to $2.44, or 4% over the last 30 days. And for next year, estimates have fallen 3% over that same time frame.
Analysts have reflected mixed sentiments about BLMN&#39;s future. JPMorgan Chase and Co. have reiterated a Neutral rating, with a reduced-price target of $24 from $26. UBS also maintains a Neutral rating but has cut the price target more drastically from $30 to $26. These ratings suggest a cautious stance on BLMN&#39;s ability to navigate its current challenges and achieve growth targets.
<h3>Technical Take</h3>
BLMN is trading at 2024 lows and is threatening to take out the 2023 lows set lats January. Below there, some investors might be beyond their pain threshold and start to sell. The 2022 July lows would then be in plat around the $16 level.
Those interested in the stock should be patient. The 50-day moving average gas just crossed the 200-day MA siganling a death cross. This is typically a bearish symbol and a sign to stay away until technical conditions improve.
<h3>In Summary</h3>
While Bloomin&#39; Brands has demonstrated some resilience in a challenging market, the numerous headwinds it faces cannot be overlooked. The earnings miss, disappointing guidance, declining margins, and strategic uncertainties in Brazil collectively paint a bearish picture for the stock.
Investors should approach BLMN with caution, as the company needs to prove its ability to overcome these hurdles and deliver sustained growth.
<h3>Additional content:</h3>
<h3>3 Best High-Yield Stocks to Sail Through Uncertainties in June</h3>
U.S. stocks are coming off a solid May, with all the major indexes ending in the green. However, the rally lost steam at the end of the month, with the broader S&amp;P 500 closing more than 1% below its record high, while tumbling chip stocks dragged the tech-laden Nasdaq down 1.1% last week.
The 30-stock Dow, on the other hand, started June&#39;s trading with a decline, with all the major cyclical sectors, including industrials, materials, and energy, closing in the red on Jun 3. Things aren&#39;t looking hunky-dory for the stock market. At the moment investors are grappling with weak economic data.
The manufacturing side of the economy contracted for the second successive month in May. The manufacturing index of the Institute of Supply Management came in at 48.7% in May, down from April&#39;s reading of 49.2%. Notably, any reading below the 50 mark signifies signs of contraction.
Economic growth, by the way, already slowed down in the first quarter, while price pressures continued to run hot. For the first three months of the year, the U.S. economy expanded at a lackluster annual pace of 1.3% as consumer outlays slowed down due to lower spending on cars and durable goods.
Meanwhile, as inflation remains elevated, consumer spending is unlikely to jack up for the rest of the year. The Federal Reserve&#39;s favored inflation measure, the personal consumption expenditure (PCE) index, was up 2.7% in April from a year earlier and remained higher than the central bank&#39;s annual inflation target of 2%.
With the economy cooling down, the stock market is expected to wobble. Also, the stock market may face bouts of volatility heading into the presidential election later this year. Hence, judicious investors should place their bets on high-yield stocks such as The Western Union Co., The Bank of N.T. Butterfield &amp; Son Ltd. and NewtekOne, Inc. for a steady income. This is because dividend payers have a solid financial structure that helps them remain unfazed by market gyrations.
These stocks have a Zacks Rank #1 (Strong Buy) and 2 (Buy).
Western Union is a leader in global money transfer. Western Union has a Zacks Rank #1. Western Union has a dividend yield of 7.3%, while its five-year average dividend yield is 5.3%.
In the past 5-year period, WU has increased its dividend 2 times. WU&#39;s payout ratio presently sits at 53% of earnings.
The Zacks Consensus Estimate for its current-year earnings has moved up 4.8% over the past 60 days. WU&#39;s expected earnings growth rate for the next year is 5.1%.
The Bank of N.T. Butterfield &amp; Son Limited offers bank and wealth management services. Bank of N.T. Butterfield &amp; Son has a Zacks Rank #2. The company has a dividend yield of 5.2%, while its five-year average dividend yield is 5.1%.
In the past 5-year period, NTB has increased its dividend once. NTB&#39;s payout ratio presently sits at 38% of earnings.
The Zacks Consensus Estimate for its current-year earnings has moved up 6.8% over the past 60 days. NTB&#39;s expected earnings growth rate for the next year is 7.1%.
NewtekOne is a financial holding company. NewtekOne has a Zacks Rank #1. NewtekOne has a dividend yield of 5.5%, while its five-year average dividend yield is 10.6%.
In the past 5-year period, NEWT has increased its dividend 12 times. NEWT&#39;s payout ratio presently sits at 49% of earnings.
The Zacks Consensus Estimate for its current-year earnings has moved up 4.9% over the past 60 days. NEWT&#39;s expected earnings growth rate for the current year is 12.9%.
Why Haven&#39;t You Looked at Zacks&#39; Top Stocks? 
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<a href="https://www.zacks.com/stock/news/2283841/mgm-resorts-and-bloomin-brands-have-been-highlighted-as-zacks-bull-and-bear-of-the-day?cid=CS-BENZ-FT-press_releases-2283841">To read this article on Zacks.com click here.</a>

MGM Resorts and Bloomin' Brands Have Been Highlighted as Zacks Bull and Bear of the Day

Press Releases

General

NewtekOne, Inc.'s, CEO, Barry Sloane, Interviewed at the LD Micro Main Event XVII Investor Conference

Newtek Bank, N.A. Launches Newtek Zero-Fee Business Banking™

Financing

NewtekOne, Inc. Forecasts Originating Approximately $1.4 Billion in Business Loans in 2024

Newtek Bank, N.A. and Apiture Honored for Most Effective Bank-Fintech Partnership in the IBSi Global FinTech Innovation Awards

NewtekOne, Inc. Declares a Quarterly Dividend of $0.19 per Share

NewtekOne, Inc. and Paltalk, Inc. To Hold Conference Call on January 2, 2025, To Discuss the Anticipated January 2, 2025 Closing of the Divestiture of Newtek Technology Solutions, Inc. to Paltalk, Inc.

Newtek Bank, N.A. Reaches Over $1.0 Billion in Deposits

NewtekOne, Inc. to Report Fourth Quarter and Full Year 2024 Financial Results on Wednesday, February 26, 2025, After the Market Closes

NewtekOne, Inc. Announces Newtek Advantage® Now Integrates with Intuit QuickBooks®

NewtekOne, Inc. Reports Full Year 2024 Earnings of $1.97 per Basic and $1.96 per Diluted Common Share

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