Alcoholic beverage, security products, and golf products maker Fortune Brands, Inc. ( FO ) on Thursday posted lower-than-expected second quarter earnings, as the company presses on with the sale of its golf unit.
The Deerfield, IL-based company reported second quarter net income of $328.6 million, or $2.09 per share, compared with $227.4 million, or $1.48 per share, in the year-ago period. Excluding items and the divestiture of its golf unit, adjusted operating earnings were 93 cents per share.
Net sales edged higher from last year to $1.59 billion.
On average, Wall Street analysts expected a higher profit of 98 cents per share, on much higher revenue of $1.94 billion, which may not be comparable to FO's reported results.
Fortune Brands shares were unchanged in premarket trading Thursday.
The Bottom Line
Shares of Fortune Brands ( FO ) have a 1.31% dividend yield, based on last night's closing stock price of $57.94. The stock has technical support in the $53-$55 price area. If the shares can firm up, we see overhead resistance around the $60-$65 price levels.
Fortune Brands, Inc. ( FO ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.
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