Yahoo Autos 5 Lucky Stocks Set to Get an ‘Oprah’s Favorite Things’ Boost
The Oprah’s Favorite Things list provides businesses and entrepreneurs a great chance to get some much-needed recognition. Whether it be through product sales or just public relations, this is one way that everyone can win.
Behind the clothes, gadgets and culinary products listed are entities that will get a substantial boost from being one of Oprah’s favorites. A few minutes on her show might mean millions in additional revenue for these firms — which means more money to spread around among investors.
Keeping this in mind, here are five stocks that will do well because of Oprah’s ringing endorsement:
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Deckers Outdoors (NYSE:DECK)
Starbucks (NASDAQ:SBUX)
Amazon (NASDAQ:AMZN)
Samsung (OTCMKTS:SSNLF)
Philips (NYSE:PHG)
Oprah’s Favorite Things: Deckers Outdoors (DECK)
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Uggs have been derided for being ugly or just a fad for years. However, Oprah has been a fan of Ugg boots for a long time. She gave them away on her first-ever Favorite Things show. On the latest list, she is very happy with the new Ugg Gertrude coat.
The company behind the product, Deckers Outdoor, is an excellent enterprise. It reported $721.9 million in revenue in its fiscal 2022 second quarter, a year-over-year (YOY) increase of almost 16%. Net income was $102.1 million, up sharply from the year-ago figure of $101.6 million and significantly more than analyst expectations.
Deckers is projecting full-year earnings per share (EPS) in the range of $14.15 to $15.15 per share for fiscal 2022, up from the previous forecast of $14.45 to $15.10 per share.
During the first half of this fiscal year, Deckers experienced a sales jump of 35% over last year. Diluted EPS rose to $5.37 compared to $3.30 in the year-ago period.
Starbucks (SBUX)
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While its products aren’t included on her Favorite Things list this year, Oprah and Starbucks have a long association with each other. Oprah and her boyfriend, Stedman Graham, love to start their morning with a cup of chai from Starbucks-owned Teavana. She especially enjoys the Maharaja Chai Oolong, which was included in her 2013 Favorite Things list.
In a move to bring more customers into the store, Starbucks announced that it would be partnering with Oprah Winfrey for her Chai tea in 2014. The new flavor was an all-natural herbal blend of Oprah Chai tea and was available for a limited time.
Interestingly, on a personal front, Oprah revealed she goes to grab her Starbucks herself when she was promoting A Wrinkle In Time alongside Reese Witherspoon and Mindy Kaling. A brand like Starbucks is ubiquitous, but that kind of star power does not hurt.
If we talk about the company itself and its fundamentals, Starbucks is not putting a foot wrong at the moment. It recently reported a fiscal fourth-quarter net income of $1.76 billion, or 1.49 per share. That’s up significantly from $392 million, or 33 cents per share, in the year-ago period.
Investors need to keep an eye on disappointing sales growth in China and increasing costs. It will take a couple of quarters for all these issues to clear up. In the meantime, keep SBUX stock on your radar.
Oprah’s Favorite Things: Amazon (AMZN)
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Amazon has featured heavily in Oprah’s Favorite Things list in the past. This year, its Echo Show 10 made an appearance.
