Rising Fuel Prices Result In Lower Earnings Estimates For CST Brands
Tristan R. Brown
Tristan R. Brown
The End Of The Powerball Run Doesn't Hurt The Outlook For CST Brands
Tristan R. Brown
Tristan R. Brown
Tue, Aug. 16, 3:48 PM
- Alimentation Couche-Tard (OTCPK:ANCUF) confirms it's in talks with a third party over an acquisition.
- The development follows very closely on yesterday's Wall Street Journal report indicating that the company has serious interest in CST Brands (CST +6.7%).
- Buzz over a deal helped push CST to an all-time high of $48.31.
- Previously: WSJ: Couche-Tard near deal to buy CST Brands (Aug. 15)
Fri, Aug. 5, 7:09 AM
- CST Brands (NYSE:CST) reports U.S. retail merchandise and services revenue rose 21.2% to $474M in Q2.
- Canadian retail merchandise and services revenue grew 4.5% to $70M.
- U.S. merchandise and services gross margin rate improved 110 bps to 33.8%.
- Company-operated retail store base increased 19% Y/Y through acquisitions and new-to-industry store construction.
- U.S. retail store count +232 Y/Y to 1,225.
- Q3 Guidance: U.S. retail merchandise and services gross margin: 33.5% to 34.5%; U.S. retail merchandise and services sales per store per day: $4,400 to $4,500; Canadian retail merchandise and services gross margin: 30.5% to 31.5%; Canadian retail merchandise and services sales per store per day: $2,550 to $2,650.
Tue, May 24, 2:34 PM
- Retail stocks continue to do a reset ever since Wal-Mart reported strong earnings at odds with some of its peers.
- A category that performed well for Wal-Mart in Q1 was grocery in what some investors are seeing as more of a read on consumer spending habits than a market share grab from the retail giant.
- Grocery store stocks and a few convenience store names are notably out in front of broad market averages today. The list of gainers includes Village Super Market (VLGEA +6.1%), Weis Markets (WMK +2.5%), Ingles Markets (IMKTA +3.3%), Supervalu (SVU +4.3%), Kroger (KR +1.8%), Casey's General Stores (CASY +2.9%), and CST Brands (CST +2.1%),
Mon, May 16, 3:11 PM
Fri, May 6, 6:39 AM
- CST Brands (NYSE:CST) reports U.S. retail merchandise and services revenue rose 20% to $413M in Q1.
- Canadian retail merchandise and services revenue were flat Y/Y at $57M.
- The company saw same-store merchandise and services sales growth of 2.2%in the U.S. & 5.6% in Canada (excluding foreign currency impact).
- U.S. merchandise and services gross margin rate improved 160 bps to 34.1%.
- Acquisition and organic growth added 173 stores to the company's network.
- U.S. retail store count +184 Y/Y to 1,219.
- Q2 Guidance: U.S. retail merchandise and services gross margin: 33% to 34%; U.S. retail merchandise and services sales per store per day: $4,300 to $4,400; Canadian retail merchandise and services gross margin: 31.5% to 32.5%; Canadian retail merchandise and services sales per store per day: $2,400 to $2,500.
Fri, Mar. 4, 9:23 AM
- Gainers: SUNE +25%. CRC +18%. SDRL +17%. [[PBR-A]] +16%. CKEC +16%. SID +15%. PBR +14%. GGB +13%. BCEI +12%. BBD +12%. UPL +11%. CST +11%. CPE +10%. HPE +9%. CLNE +9%. ITUB +9%. BSBR +9%. CIG +%. [] +%. [] +%.
- Losers: MTW -77%. VTAE -41%. NMBL -19%. SYMC -18%. HRB -11%. ERJ -9%. TACT -9%. FBR -8%. AMBA -8%. SPLS -5%.
Thu, Mar. 3, 7:03 PM
- Convenience-store fuel and goods firm CST Brands (CST +1.4%) has jumped 5.9% after hours on news that the firm is exploring strategic alternatives.
- The firm will use a committee of outside, independent directors to review options, specifically including "a fresh look at several of CST's previously announced strategic initiatives and plans." It's hired BofA Merrill Lynch and JPMorgan Chase to advise.
- "We believe there continues to be a disconnect between CST's intrinsic value and the price of our common stock in the public equity markets," says CEO Kim Lubel.
- In addition, the company agreed with activists JCP Investment Management to appoint Tad Dickson to the board, and with Engine Capital to name Rocky Dewbre as a director.
- JCP and Engine agreed to withdraw plans for their own slates.
- CST Brands has an annual meeting expected in June.
- Previously: Board fight on tap at CST Brands (Feb. 25 2016)
Sep. 16, 2015, 8:30 AM
Jun. 15, 2015, 3:48 PM
- CST Brands (CST +0.6%) announces two dropdown transactions with CrossAmerica Partners (CAPL +1.9%), including 29 recently constructed CST stores for $135.5M and an additional 12.5% of CST Fuel Supply, CST's U.S wholesale supply business, for $126M.
- CAPL owns 5% of limited partnership interest in CST Fuel Supply L.P. and will lease the acquired stores to CST.
- Mizuho maintains its Buy rating for CST, as the asset dropdowns further show the potential earnings power from both fuel and new-to-industry sales, and CST's solid execution allows for diversification away from volatile fuel margins (Briefing.com).
Dec. 11, 2014, 10:03 AM
- The S&P Retail ETF (NYSEARCA:XRT) is up 2.3% off of today's strong read on retail sales in the U.S.
- While the big boys are holding their own - Wal-Mart (NYSE:WMT) +1.1%, Target (NYSE:TGT) +2.0%, Costco (NASDAQ:COST) +1.0% - it's the apparel chains and specialty retailers doing the heavy lifting.
- Retail standouts: Barnes & Noble (NYSE:BKS) +3.3%, CST Brands (NYSE:CST) +3.3%, Ascena Retail (NASDAQ:ASNA) +3.2%, Williams-Sonoma (NYSE:WSM) +3.0%, Express (NYSE:EXPR) +2.9%, Stein Mart (NASDAQ:SMRT) +2.7%.
- Previously: Retail Sales report, highlights
Dec. 10, 2014, 10:22 AM
- The S&P 500 Retail ETF (NYSEARCA:XRT) is up 0.3% today despite the negative action in the broader market.
- A forecast for sustained lower oil prices is the major reason for the upswing.
- Top 20 XRT holdings showing gains: Limited Brands (LB +0.6%), Whole Foods Markets (WFM +0.4%), Casey's General Stores (CASY +0.3%), Ross Stores (ROST +0.7%), Kroger (KR +0.9%), Advance Auto Parts (AAP +0.4%), Target (TGT +0.4%), Zumiez (ZUMZ +0.3%), CST Brands (CST +1.3%).
Nov. 18, 2014, 8:17 AM
- CST Brands (NYSE:CST) +4.4% premarket after Jim Cramer suggested Marathon Petroleum (NYSE:MPC) should acquire the company.
- Cramer thinks CST would be worth as much as $4.8B at enterprise value in a takeover situation, or $53.40/share, based on what MPC paid for Hess Retail and what Energy Transfer Partners paid for Susser.
- Even if CST does not catch a bid, Cramer believes the fundamentals are so strong that the stock should be bought.
Aug. 7, 2014, 9:21 AM
Aug. 6, 2014, 6:55 PM
- CST Brands (NYSE:CST) agrees to acquire the membership interests of Lehigh Gas GP, the general partner of Lehigh Gas Partners (NYSE:LGP), for cash and stock valued at ~$85M.
- CST, a retailer of motor fuels and convenience merchandise, expects the deal will provide access to capital through a growth-oriented MLP vehicle to execute its long-term strategic plan.
- The deal does not involve any of the common or subordinated units of LGP, which will continue to operate as a separate, publicly-traded MLP.
- Also, CST's board authorizes the repurchase of $200M of company shares.
- CST +14.8%, LGP +11.6% AH.
Aug. 6, 2014, 5:41 PM
Apr. 28, 2014, 12:48 PM
CST Brands, Inc. operates as a holding company that conducts substantially all of its operations through its subsidiaries. It is an independent retailer of motor fuel and convenience merchandise items in the U.S. and eastern Canada. The company's operations include the sale of motor fuel at... More
Industry: Specialty Retail, Other
Country: United States