Consumer Sector Update for 03/12/2018: CLX,LGF.A,LGF.B,ADM

Shutterstock photo

Top Consumer Stocks

WMT -0.68%

MCD +0.58%

DIS +0.38%

CVS -0.41%

KO -0.51%

Consumer stocks were mixed Monday, with shares of consumer staples companies in the S&P 500 sinking just over 0.1% this afternoon while shares of consumer discretionary firms in the S&P 500 were climbing more than 0.4%.

Among consumer stocks moving on news:

- Clorox ( CLX ) was falling in Monday mid-day trading, reversing a 1% rise earlier in the session that initially followed the consumer and homewares company saying it was buying Nutranext, a health and wellness company selling Rainbow Light and Natural Vitality multivitamins, for $700 million. Clorox is expecting the acquisition will reduce its per-share earnings between $0.07 to $0.11 during its fiscal Q4 ending June 30. From there, the company is projecting the deal will trim its FY19 earnings by $0.08 to $0.12 per share before turning accretive in FY20. Nutranext generated around $200 million in sales during 2017, with about 90% of those sales coming from the United States. Clorox is expecting to fund the deal with a combination of cash and debt financing.

In other sector news:

+ Archer-Daniels-Midland Co ( ADM ) climbed as much as 4% on Monday, reaching a session high of $44.98 a share, after analysts at Goldman Sachs raised their investment rating for the food processor's stock to Buy from Neutral and also setting a $50 price target for the company's stock.

+ Class A and Class B shares of Lions Gate Entertainment (LGF.A,LGF.B) were hanging on to a slim rise Monday after saying its Lions Gate Capital subsidiary was beginning a $520 million private exchange of its outstanding 5.875% senior notes due 2024. The company said current noteholders will receive an equal amount of new, unregistered 5.875% senior notes also due 2024 plus $2.50 in cash for each $1,000 of notes they swap.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.

This article appears in: Business , Commodities
Referenced Symbols: CLX , ADM , LGF.A , LGF.B

More from MT Newswires


MT Newswires

MT Newswires

Market News, Commodities

Research Brokers before you trade

Want to trade FX?