U.S. markets regained some of what they lost Tuesday, as the Federal Reserve’s Beige Book revealed an economy that’s still expanding.
But while July’s factory orders rose 0.4%, this was well below expectations for an 0.9% increase. And Chinese markets were once again volatile, although the Shanghai Composite ended down only slightly following an earlier drop over 4%.
Oil, too, initially fell, after the Energy Information Administration said that crude oil stocks rose by 4.7 million barrels last week. But oil later recovered to finish near $46 a barrel.
The Dow Jones Industrial Average and S&P 500 Index both finished up 1.8%, while the Nasdaq Composite was a solid 2.46% higher. Sectors were mostly higher on the day, with technology and industrial stocks in the lead.
Earnings helped boost two of today’s three best stocks, while a new CEO and analyst upgrade helped the third. Here’s a look at what H & R Block Inc (NYSE:HRB), Vera Bradley, Inc. (NASDAQ:VRA) and The Fresh Market Inc (NASDAQ:TFM) did to boost their performance.
H & R Block Inc (HRB)
HRB stock was a solid winner Wednesday, after posting first-quarter earnings showing a loss of 35 cents a share, which is 5 cents less than in the year-ago period, and besting the Zacks consensus by 6 cents. Its revenue of $138 million was enough to put the kibosh on the Street’s $136 million estimate.
In addition, HRB announced a share repurchase plan that will work like a modified Dutch auction for $1.5 billion in stock.
Which would represent 16% of HRB’s total market value. H & R Block will also buyback as much as $3.5 billion over the next three years.
HRB stock closed over 7% higher on the day.
Vera Bradley, Inc. (VRA)
VRA stock gapped up 28% after reporting fiscal second-quarter profits of 15 cents a share, well ahead of the 10 cent estimate announced previously by analysts. In addition, revenue of $120.7 million far surpassed the street’s forecast for $115.4 million.
VRA was also ahead of estimates for the current quarter ending in November, with a range of $120 million to $123 million. Analysts were expecting only $118.1 million.
VRA stock was recently in a five-month downtrend — falling from $16 to $9.50 a share — but it appears that the manufacturer of handbags, luggage and accessories may have turned a corner, and its share price is heading north again.
The Fresh Market Inc (TFM)
Just one day after The Fresh Market named Richard Anicetti as its new CEO and President (the same positions he held with Food Lion for eight years), TFM stock was again moving higher by nearly 4%.
Also propelling TFM stock higher Wednesday was an upgrade by Goldman Sachs Group Inc to “neutral” from “sell.”
It’s not exactly a ringing endorsement, but it was enough to impress investors Wednesday.
As of this writing, Ethan Roberts did not hold a position in any of the aforementioned securities.
