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TSG

Consumer Sector Update for 04/06/2018: TSG, LUV,NEWM

Top Consumer Stocks

WMT -0.75%

MCD -1.00%

DIS -0.77%

CVS -1.27%

KO -0.48%

Consumer stocks were lower this afternoon, although shares of consumer staples companies in the S&P 500 have been outperforming most other industry sectors, falling less than 0.3% while shares of consumer discretionary firms in the S&P 500 were dropping almost 1.2%.

Among consumer stocks moving on news:

- The Stars Group Inc. ( TSG ) was fractionally lower, paring roughly half of a 1% decline soon after the opening bell after the video poker company said it has increased its U.S. dollar- and Euro- denominated first lien term loans by $2.17 billion and EUR500 million, respectively. It also negotiated an extension for the loans until April 6, 2025, and reduced its interest cost by 50 basis points to LIBOR plus 3.00% and Euribor plus 3.25%, respectively. The company's revolving credit facility grew to $225 million from $100 million previously and was priced at LIBOR plus 2.75% with a new April 6, 2025, due date. The Stars Group used $95 million from the new term loans to fully repay its existing, higher-cost dollar-denominated term loan and also is expecting to use another $250 million to pay for its purchase of another 18% equity stake in Crownbet Holdings Pty Ltd and Crownbet's acquisition of William Hill Australia Holdings Pty Ltd.

In other sector news:

- Southwest Airlines Company ( LUV ) had its wings clipped on Friday, with shares of the discount airline falling almost 2%, although the company reported a 3.7% increase in revenue passenger miles during March, rising to 11.7 billion miles flown from 11.3 billion miles in March 2017. Available seat miles last month climbed 2.4% over year-ago levels to 13.8 billion miles. For Q1, revenue passenger miles grew 3.71% to 30.4 billion miles from 29.3 billion miles flown during the first three months of 2017. It also flew 37.4 available seat miles during Q1, rising 1.8% over year-ago levels while its Q1 load factor added 1.6 percentage points to 79.9% during Q1 2017.

- New Media Investment Group ( NEWM ) dropped nearly 8% on Friday after the newspaper publisher said it has priced a public offering of 6 million shares of its common stock at $16.50 a share, or a 4.3% discount to Thursday's closing price. Underwriters also received a 30-day option to buy another 900,000 shares. Net proceeds will fund general corporate activities.

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

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

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