Hedgefund News Wrap: Week Ending 02/26/2016


(Bloomberg Business) – Sears Holdings Corp. (SHLD) posted a $580 million fourth-quarter net loss and boom goes the dynamite and dust settles as another retail giant gets crushed.

Sears, the department-store run by hedge fund manager Edward Lampert, has been shrinking in an effort to strengthen its online presence and rewards programs. But that hasn’t stopped the slide, as the company’s cash balances were $238 million at the end of the quarter on January 30, down from $250 million a year prior.

The stock has lost nearly half of its value over the past year. If you’re looking for a beacon of hope, I’m not sure there is one as stores in operation fell from 1,725 to 1,672.

Read the entire article at Bloomberg Business
More coverage: InvestorPlace and Vanguard Tribune


(The Wall Street Journal) – The cloud computing company taking over corporate America is at it again, according to 4th quarter results from Salesforce. The stock was up 8.05 percent to $67.53 in late-morning trading on Thursday and they have increased its cash faster than revenue, generating $459 million. That accounts for a 38 percent year-to-year growth, resulting in $2.73 billion sitting in the bank. 

Salesforce has has three major releases in one year and have stated that revenue should rise 25 percent from last year to range between $1.885 and $1.895 billion. It looks like clear blue skies for the #1 CRM platform.

In a call after the release, Salesforce CFO Mark Hawkins HWKN -2.81% told FORBES that Salesforce saw “Breadth of excellence across geographies and the cloud,” with a “Triple-play” of strong top-line, bottom-line and cash results. But the questions remains, is Salesforce going to take over SAP and Oracle customers at this rate? Word on the street is that Salesforce is easier and cheaper, cha-ching.

Read the entire article at The Wall Street Journal
More coverage: Forbes and TheStreet


(Rueters) – Happening right now (Friday AM) – Honeywell International Inc. (HON.N) has offered to buy United Technologies Corp. (UTX.N) for $108 per share in cash and stock.

According to Rueters, Honeywell had offered $42.63 share in cash and 0.614 of its shares for each United Tech share, the company said.

These are the only details to report at this time.

Read the entire article at Reuters