Here are 5 names that LikeFolio is watching for this week.
Last quarter, Avis Budget Group (CAR) reported a sizable revenue increase: +77% YoY and +27% vs. 2019.
Macro tailwinds have also pushed CAR’s earnings to a new all-time high. Rising demand for rental cars and favorable shifts in the used car marketplace resulted in a whopping +2272% YoY EPS gain in Q1’22.
Shares of CAR have benefited from the company’s recent outperformance, gaining nearly +450% in 2021 and maintaining a higher level in 2022.
Total Mentions for the car rental company show a slowdown in the current quarter, with Mention volume on pace for a quarter-over-quarter and year-over-year decline in the period ended 9/30.
Key trends which helped push CAR shares above $500 last year are slowing. Consumer mentions of rental vehicles being unavailable or out of stock are trending -14% YoY on a 90-day moving average.
Avis Budget Group is set to report earnings results for Q2’22 today after the close, and Wall St. expects to see record-high EPS and revenue.
Remote work has become increasingly common in the wake of the pandemic. Mentions of working remotely are up +52% YoY and more than +200% above pre-COVID levels (90d MA).
This trend has been incredibly beneficial for freelancers — Mentions of hiring a freelancer are up +46% YoY and mentions of working as a freelancer are up +28% YoY.
Demand for companies that connect freelancers with potential employers is rising. Fiverr (FVRR) serves as a prime example, with company PI at an all-time high level: +32% YoY on a 90-day moving average.
Fiverr has secured double-digit revenue growth in every quarter since its 2019 IPO, with revenue up +27% YoY in the recently reported Q1’22.
Fiverr has also maintained profitability, posting positive EPS results on 7 of its past 8 quarterly earnings reports.
FVRR reports earnings later this week (Thursday before market). We’re hoping for a more positive reaction than that seen for rival Upwork (UPWK) last week.
Shake Shack (SHAK)
Shake Shack (SHAK) is a surprisingly high-growth name in the restaurant industry, with double-digit sales improvements in the past 4 quarters.
The impressive rate of growth has come at a high cost. SHAK posted positive EPS for 2 consecutive quarters in 2021, but since then, SHAK’s bottom line has deteriorated, with the company reporting a net loss in the past 3 quarters.
Consumer Demand for SHAK is showing weakness in the current quarter — After rallying higher at the start of 2022, PI Volume is on pace to decline -18% QoQ and -7% YoY in the quarter ending 9/28.
Shake Shack’s premium price point could become a detriment, as inflation causes consumers’ preferences to shift towards lower-cost alternatives.
SHAK reports earnings on Thursday morning before market.
Consumer Demand for Funko (FNKO) is holding at an extremely high level, trending +29% QoQ and +5% YoY in the current quarter (ending 9/30).
FNKO’s sales have surged higher with underlying Demand — Average revenue growth for the past 4 quarters: +73% YoY.
Funko’s recent success is backed by prevailing trends in consumer behavior. Consumer Mentions of buying toys/collectibles made for adults are near an all-time high level in Summer 2022, on pace to increase +26% YoY.
Last quarter, the LoungeFly brand boasted triple-digit year-over-year sales growth. Consumer Mentions of Loungefly have continued to rise since then, up +51% YoY on a 90-day moving average.
Strong bottom-line improvements have helped Funko’s stock outperform the market in recent months. FNKO reported EPS up +200% YoY on its most recent earnings release.
FNKO shares have gained approximately +45% YTD, nearing the historic ATH price.
The company is set to report earnings for the second quarter of 2022 after the bell on Thursday.
We’re positioning for another surprise to the upside, and a potential new ATH for shares on Friday.
The investment will give PEP an 8.5% stake in Celsius, and includes a distribution partnership that will help the smaller retailer expand into more independent stores and gas stations.
This investment comes as no surprise to LikeFolio followers. Celsius has been a LikeFolio favorite for years now – in fact, we recently highlighted ongoing strength at the end of July, noting the company was just getting started.