Hedgefund News Wrap: Week Ending 10/23/15

(MarketWatch) – A congratulations is in order for Under Armour, as it posts $1.2 billion in revenues for the third-quarter, the first time it has posted over a billion dollars. The active wear giant credits its success to the combination of apparel sales climbing 23% to $865.5 million and footwear sales jumping 61% to $196 million. On account of the increases, the company has raised its forecast for full-year net revenues to about $3.91 billion from $3.84 billion.

CEO Kevin Plank said in the statement, “Our ongoing success in 2015 has been driven by innovative, head-to-toe product, combined with game-changing performances by our athletes. Leveraging these great successes throughout 2015, our current Rule Yourself global marketing campaign highlights the training and dedication that drives our athletes to be their best on the biggest stages. The campaign features Tom Brady, Misty Copeland, Stephen Curry, and recently named PGA Tour Player of the Year Jordan Spieth.”

Overall, Under Armour has had a fantastic year, surpassing Adidas and now riding shotgun next to Nike. Along with great sales figures, the company also stated that it has added 20 million unique users to the digital-fitness platform it has built through acquisitions this past winder. With that addition, there are now around 140 million unique users across the company-acquired networks of MapMyFitness, Endomondo and MyFitnessPal.

Read the entire article at MarketWatch
More coverage: Fox Business and Business Insider


(The Wall Street Journal) – McDonald’s Corp is rallying and it’s efforts are showing positive results, as it is up the most in almost seven years after third quarter profits topped analysts’ estimates. The burger joint’s shares surged to an all-time high Thursday, up 7% to $109.66 a share.

Impressively, the all-day breakfast is not credited with the success of returning to domestic growth during the third quarter, as it didn’t launch until earlier this month. As reported, changes to bolster operations in its home market, including streamlining its menu, allowing regional markets to develop their own products and placing greater emphasis on the quality and freshness of ingredients, was just the right medication to bring the company back to life.

“While still in the early stages, we believe our turnaround plan is starting to generate the change needed to reposition McDonald’s as a modern, progressive burger company,” said Steve Easterbrook, McDonald’s CEO.

Read the entire article at The Wall Street Journal
More coverage: CNN Money and Bloomberg


(ABC News) – The most patriotic of all airlines, American Airlines, has it’s best quarter in history. The airline returned $1.9 billion in profits at $2.77 per share, beating analysts expectations of $2.72. For the quarter, they had pretax margins of 17.7%, a record for them.

Operating costs were $8.7 billion, a decrease of 11.9% compared to last year, but the drop in overall expenses is credited to the cost of fuel falling 43.7% when compared to the same period last year, saving $1.2 billion in cash. Showing off its green thumb, the world’s largest airline sent 30 older, fuel guzzling Boeing 757, 767 and MD80 aircraft’s to their graves, while embracing 16 new pieces.

American is really stepping up its game, as it aims to be “the best airline in the world.” Along with a record-breaking third quarter, they have also developed an industry leading baggage-tracking technology for customers and were widely recognized for providing the charter service for Pope Francis’ visit to the U.S., in attempt to beat-out the competition.

Read the entire article at ABC News
More coverage: Business Insider and USA Today