Meta Platforms (STAR)
META - Nasdaq
Big news! Meta Platforms Inc. just declared its first-ever quarterly dividend – a whole 50 U.S. cents. Gee, thanks, billionaire Mark Zuckerberg. Even as the inaugural dividend works out to a puny annual yield of less than 0.5 per cent, investors nonetheless welcomed it as a sign that the Facebook and Instagram owner – which also announced a US$50-billion share buyback this week – aims to return more cash to shareholders. Adding to investors’ cheer, the social media giant posted strong fourth-quarter results, as revenue jumped 25 per cent to US$40.1-billion and earnings tripled to US$14-billion or US$5.30 a share. A lousy 50 cents, huh? Dig a little deeper next time, Zuck.
Celestica (STAR)
CLS - TSX
Not content with notching the best return on the S&P/TSX Composite Index last year, Celestica Inc. is apparently aiming for a repeat in 2024. Shares of the company – which manufactures high-tech products for clients in computing, aerospace, health care and other industries – have leaped about 165 per cent in the past year, including a hefty gain this week after Celestica reported fourth-quarter results and first-quarter guidance above expectations. With the boom in artificial intelligence driving demand for the company’s enterprise storage and server products, it’s no wonder Celestica’s stock has been posting some celestial returns.
Allied Properties Real Estate Investment Trust (DOG)
AP.UN - TSX
Business quiz! Shares of Allied Properties Real Estate Investment Trust sank after the owner of urban office spaces a) announced it will convert roughly half of its buildings into indoor paintball and laser tag facilities; b) revealed plans to spend $100-million to install complimentary soft-serve ice cream machines in all its properties “to give people a reason to come back to the office”; c) announced a fourth-quarter net loss of $499-million, reflecting writedowns of properties in Toronto, Montreal, Calgary and Vancouver, reported a decline in occupancy to 86.4 per cent from 89.6 per cent a year earlier and warned that funds from operations and other metrics could fall by as much as 5 per cent in 2024. Answer: c.
United Parcel Service (DOG)
UPS - NYSE
Remember during the pandemic when you were on a first-name basis with the UPS delivery driver? Now, you hardly see his brown truck rumbling down the street any more. With consumers buying more items in stores instead of online, fourth-quarter revenue at United Parcel Service Inc. slumped 7.8 per cent to US$24.9-billion, missing Wall Street’s expectations. The delivery company’s 2024 sales and earnings forecasts also disappointed investors, hammering the shares. To shore up its sagging profits, UPS plans to cut 12,000 jobs to save an estimated US$1-billion in expenses. Hmm. Maybe that’s why you never see the UPS driver any more. He’s probably working at Tims.
Super Micro Computer (STAR)
SMCI - Nasdaq
Super Micro Computer Inc.? I’m confused – are we talking big computers here or small ones? One thing we know for sure is that there’s nothing micro about the returns the company is putting up for investors. Shares of Super Micro – whose high-performance server, software and storage products are used in cloud computing and artificial intelligence – rocketed to new highs after it handily beat expectations for its fiscal second-quarter results and raised its full-year sales guidance amid surging demand for AI computer systems. With the stock up about 600 per cent in the past year, investors are feeling super indeed.
John Heinzl