By coinnews 
00:00 Speaker A
It’s time now for some today’s trending tickers. We are watching Honeywell, Adidas and Amazon. First up, Honeywell raising its full year earnings guidance, incorporating the expected effective tariffs, the company’s mitigation actions and volatility and demand. This comes after the industrial conglomerate topped first quarter expectations, but sales up nearly 8% from a year ago. I’m joined by Bob Lane, explosive options technical analyst to discuss Bob a huge pop in the shares here to a degree of over 5% and interesting to see just the degree of ability the company had to raise its full year guidance, especially on its EPS. What does that signal to you?
00:54 Bob
Well, it tells me that they see a lot of strength coming out to the back half of the year and really not too much of effect from from tariffs, which is always going to be a concern now Maddie with uh with some of these companies that are reporting in this quarter right now. Um I’m looking at free cash flow. Free cash flow is huge for um for uh for Honeywell this quarter. Also, margins were enormous uh up close to 20%, which is uh for this quarter, which is much higher than normal. Um backlog grew 9% to uh with a high single digit order growth. So some of these metrics and some of these uh future earnings uh for uh and orders for Honeywell out there really give you a good uh clue as to what their business is like. And I think going to the out years, we’re talking about 2026 and even to 2027. The CEO said that their business looks robust.
02:19 Speaker A
Yeah, they certainly did and that is perhaps why you’re seeing that pop in the shares here. But we do want to move on to Adidas warning it will have to raise prices on all US products due to President Trump’s tariffs. The sports apparel company also holding off on boosting its financial guidance for the year because of the uncertainty, despite strong first quarter results. Interestingly here, the company’s chief executive saying since we currently cannot produce almost any of our products in the US. These higher tariffs will eventually cause higher costs for all of our products for the US market. So Bob, what’s interesting to me about this is a company you kind of have two versions of exposure exposure for the retailers, exposure to China and how much they can build in the United States. And this company is saying it’s not the exposure to China that’s the issue. It’s the inability to produce in the states.
03:28 Bob
That’s right. And I you know, I look at this drop in in Adidas here as as a huge opportunity. I I would I would take this opportunity to start buying some shares and I’ll tell you why because the competitors are really faltering right now and and they’re tripping over themselves trying to figure out, you know, uh where they’re going to be producing product. I think Nike is uh certainly, you know, obviously the the big player uh in shoes and in an athletic wear. They’re wondering where they’re going to be uh producing their their products also. Is it going to be China? Is it going to be India or elsewhere? And then when you talk about other companies like uh like Coca shoes, which are made by um uh I can’t remember which name of the company, but uh we got Hoka shoes which are you know, really ramped up their business about two years ago and they they managed to um take a lot of share away from Adidas and from Nike and from Puma and some of these other names. Um but I think they’re also running into an issue there um uh with with production as well too. So I think at least Adidas is coming out in front of the problem right now.
05:01 Speaker A
All right, Bob, we also want to get to Amazon’s Amazon slammed by the White House for reportedly planning to display the costs of President Trump’s tariffs next to the total price of products on its website. White House press secretary Karen Lever calling it a quote hostile and political act. But Amazon currently now denying the report that’s according to a reporter with the Washington Post citing an Amazon spokesperson saying this was never under consideration for the main Amazon website. Instead saying this was about Amazon hall. Remember Amazon hall is the competitor to Shean to Temu. We’ve seen Shean and Temu lifting prices significantly over the past couple of weeks and again, this is just report according to a Washington Post reporter who did say the team that runs our ultra low cost Amazon hall is considering listing import charges on products. Never a consideration for the main Amazon site. I am out to multiple people at Amazon to try and get clarity on this this morning. But Bob, as you can see, this hasn’t stopped Amazon stock from suffering a bit.
06:14 Bob
Right. And I’ll tell you what, if this is the reason why Amazon is down today, I I’m in there buying with both hands. They have earnings coming out later in this week. They usually first quarter is not their best quarter, but I think coming off of a huge holiday period for for Amazon, which was the fourth quarter. This first quarter, I think they’re going to come out lights out. I think their AWS business is finally made a huge turn last quarter and they’re ramping up their business. Um I think any any drop here in Amazon is a huge opportunity um for uh for investors and traders.
07:08 Speaker A
All right, Bob. Thank you so much for our audience. You can scan the QR code below to track the best and worst performing stocks with Yahoo Finances trending tickers page.