The stars and dogs of the Globe for the week

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A humorous look at the companies that caught our attention, for better or for worse, this week

L brands (STAR)

In a world gone mad, sometimes all it takes is lighting eucalyptus mint candles and pouring yourself a lavender and vanilla bubble bath. L Brands shareholders enjoyed the calming experience of seeing their shares rise after the company said sales of Bath & Body Works – which sells these and other refined products – are expected to climb 10% in the second quarter , even though many of its stores have been temporarily closed due to the pandemic. With L Brands also announcing US $ 400 million in cost cuts and 250 ailing Victoria’s Secret store closings – which L Brands plans to split into a separate company – investors suddenly feel much more relaxed.

LB – NYSE

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Stuart Olson (DOG)

Normally, when a company receives a takeover bid, its shares go up. Unfortunately for Stuart Olson shareholders, his battered stock is even lower. Bird Construction announced the acquisition of the Calgary-based construction services company for $ 96.5 million in cash and stock. But given what Stuart Olson CEO has called the company’s “balance sheet and leverage metrics challenges”, almost all of the money will go to Stuart Olson’s lenders, with just $ 4 million ending up in their pockets. shareholders. So much for a redemption premium.

SOX – TSX

Procter & Gamble (STAR)

Disadvantage of staying home during the coronavirus pandemic: More time to clean your house, do your laundry, and practice good dental hygiene. Shares of Procter & Gamble – whose brands include Tide laundry detergent, Mr. Clean household cleaners and Crest toothpaste – surged after the consumer products giant posted a 4% net sales growth at $ 17.7 billion for the three months ending June 30, as profit of $ 2.8 billion or $ 1.07 per share exceeded expectations. Investors are cleaning up.

PG – NYSE

Eastman Kodak (STAR)

Two things you might not know about Eastman Kodak: 1) The company still exists; 2) He’s about to get into the drug business. Shares of the company – which filed for bankruptcy in 2012 and largely withdrew from mainstream photography to focus on corporate digital imaging – soared after the Trump administration granted Kodak a loan of US $ 765 million to start producing generic pharmaceutical ingredients under the Defense Production Act. . Why choose a camera company that failed to get the job done over a generic drug maker? Good question. “We are baffled by the Trump administration’s decision,” SVB Leerink analysts said in a note.

KODK – NYSE

Cameco (DOG)

You say Cam-ee-co, I say Cam-e-co, let’s undo it all. Some Cameco investors have called on him to step down after the uranium producer posted a larger-than-expected quarterly loss of $ 53 million, including $ 37 million in costs related to shutdowns and an addiction increased to spot uranium purchases during the coronavirus pandemic. Cameco said it has “the tools we need to face the current uncertain environment,” including $ 878 million in cash and current assets and an untapped $ 1 billion credit facility. . But with the stock struggling for years, some investors are obviously getting impatient.

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CCO – TSX

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