Market Overview

Motley Fool Analysts Talk Holidays For Wal-Mart, A Breakdown On Twitter And More

Motley Fool Analysts Talk Holidays For Wal-Mart, A Breakdown On Twitter And More

Chris Hill, host of Motley Fool Money, sat down with analysts Jason Moser, Jeff Fischer and Matt Argersinger to chat recent financial news.

On the show's latest installment, they discussed:

Wal-Mart Stores, Inc.'s (NYSE: WMT) recent third-quarter win,

Hasbro, Inc.'s (NASDAQ: HAS) interest in purchasing DreamWorks Animation Skg Inc (NASDAQ: DWA),

Warren Buffett's play for batteries and Twitter Inc (NYSE: TWTR).

Holidays At Wal-Mart

Wal-Mart hit a new all-time high after Q3 profits surpassed analysts expectations. This is amid the closing of many stores in Japan while investing in e-commerce in hopes to grow.

Related Link: Film Franchises: The Art Of The Long Game

Wal-Mart was also able to increase same-store sales by 0.5 percent, the first time its increased in seven quarters. Foot traffic, however, dipped by 0.7 percent, with high-priced purchases coming in to offset the number, noted Fisher.

"They have their work cut out for them as the lowest-cost retailer," said Fisher. "They're hoping that the falling gas prices will help them; lower unemployment will help them, but it's been a trail. The market laggard the past five years, and 10 years, and it's hard to see it becoming an exceptional investment again anytime soon."

Hasbro Wants DreamWorks?

DreamWorks Animation was in talks with the toy company Hasbro.

"I feel like if DreamWorks can become part of larger studio, or a larger company; a more diversified company, they can focus on making movies without worrying about he public markets all of the time. That might be a good move," said Argersinger.

For Hasbro, he's unclear. On one hand, Hasbro had some movie success with the first two "Transformers" films, but also had big flops with "Battleship," and to a lesser extent "G.I. Joe." It also means more creative properties to create toys out of, from "Shrek" to "How To Train Your Dragon" and more. On the other hand, it could murk the waters for their other toy deals.

Hasbro just signed a deal with Walt Disney Co to take on all of the princess toys and dolls, along with other imprints, which formerly belong to Mattel.

Buffett's New Batteries

Berkshire Hathaway Inc. (NYSE: BRK-A) bought the Duracell battery division from Procter & Gamble Co (NYSE: PG) recently, in a creative move where they used shares that they already had in Procter & Gamble and traded them in for Duracell and cash to the tune of $1.8 billion to boot. This also made the sale tax-free, avoiding a total of $1.5 billion in payments.

According to Argersinger, this gives Buffett a chance to move on from Procter & Gamble while establishing his own management team at Duracell.

Related Link: Hasbro-DreamWorks Merger Is 'Interesting' And 'Irrational'

A Word From Twitter

Twitter had some words for Wall Street and let their voice be heard when they reveled their growth strategy last week.

"This is a company that's being run with a very long timeframe in mind," said Moser.

He highlighted that the growth will come along with an even wider adoption of mobile tech from Internet users. Moser said that new apps and other capabilities and products will extend their reach significantly.

"They're already in the right place as far as where attention spans are going," Fisher added.

Jason Papallo had no position with the mentioned entities while writing this article. Visit Jason on Twitter at @JasonPapallo.

Posted-In: Chris Hill Duracell holidays Motley Fool Warren BuffettTop Stories Media Best of Benzinga


Related Articles (DWA + BRK-A)

View Comments and Join the Discussion!