Why Fiat Chrysler, Coca-Cola, Anthem and 2 Other Stocks Are Moving Today

While Apple Inc. (NASDAQ:AAPL)’s positive earnings surprise has the Nasdaq firmly in the green today, the other indexes are being pulled down by tremulous sentiment ahead of an important policy statement from the Federal Reserve’s Chair Janet Yellen. Some of the stocks that are making headlines today include Anthem Inc (NYSE:ANTM), GlaxoSmithKline plc (ADR) (NYSE:GSK), Dr Pepper Snapple Group Inc. (NYSE:DPS), Fiat Chrysler Automobiles NV (NYSE:FCAU), and The Coca-Cola Co (NYSE:KO).  Let’s examine the important activity this is moving these stocks and also analyze hedge fund sentiment towards them.

Anthem Beats Estimates

Anthem Inc (NYSE:ANTM) is in the spotlight today after the company posted better than expected second quarter results. The Indiana-based health insurer reported EPS of $3.33 on $21.27 billion in revenue, beating analysts’ forecasts of $3.23 and $20.57 billion respectively. For the full 2016 year, Anthem expects $82.5 billion-to-$83.5 billion in revenue, a raise from its previous guidance of $82 billion. Medical enrollment increased by 3.2% year-over-year in the quarter, as the company has received a positive response to its Medicaid plans specially designed to cater low-income citizens. A total of 56 hedge funds in our database owned shares of Anthem Inc (NYSE:ANTM) at the end of the first quarter of 2016.

GlaxoSmithKline Beats Estimates, Plans to Invest in Britain

GlaxoSmithKline plc (ADR) (NYSE:GSK) has inched up by 1.74% so far today after the company posted impressive results for the second quarter. Britain’s biggest drug maker earned GBP0.25 ($0.33) per share, eclipsing estimates of GBP0.21 ($0.28). Revenue for the quarter came in at GBP6.35 billion ($8.32 billion), narrowly topping the forecasts of GBP6.34 billion ($8.31 billion). GlaxoSmithKline also announced that it will invest £275 million ($302 million) in its manufacturing sites in Britain to expand the production of its next-generation respiratory drugs and biotech medicines. The decision comes a month after the U.K voted to leave the EU, which left the financial markets stunned and risk-aversive. However, GlaxoSmithKline’s CEO Andrew Witty argued in a press statement that Britain remains an attractive place for drug manufacturing due to a skilled workforce and low tax rates. Among the hedge funds tracked by Insider Monkey, 28 funds were long GlaxoSmithKline plc (ADR) (NYSE:GSK) at the end of the March quarter.

On the next page we’ll discuss the news surrounding Dr Pepper Snapple, Fiat Chrysler, and Coca-Cola.

Dr Pepper Snapple Beats Q2 Estimates

Dr Pepper Snapple Group Inc. (NYSE:DPS)’s stock is in the limelight today after the company posted second quarter earnings that topped estimates. The soft drink maker earned $1.25 per share, beating estimates of $1.20. Revenue of $1.70 billion for the quarter also surpassed expectations of $1.68 billion. For the full year, Dr Pepper Snapple expects its EPS to be between $4.27 and $4.35, while the consensus estimate stands at $4.35. Andy Brown’s Cedar Rock Capital owns more than 10.98 million shares of Dr Pepper Snapple Group Inc. (NYSE:DPS) as of the end of March.

Fiat Chrysler Misses Revenue Estimates

Shares of Fiat Chrysler Automobiles NV (NYSE:FCAU) are down by more than 2% today after the auto manufacturer reported second quarter EPS of £0.45 ($0.49), missing the estimates of £0.50 ($0.55). Revenue for the quarter totaled £27.89 billion ($30.66 billion), also well below estimates of £31.77 billion ($34.92 billion). Worldwide consolidated shipments slipped by 1%, whereas worldwide combined shipments increased by 1%. The London-based automaker was also forced to revise its five-year sales figures after the Justice Department and Securities and Exchange Commission investigated the way the company reported its sales. As of the end of the first quarter, 28 funds tracked by us were long Fiat Chrysler Automobiles NV (NYSE:FCAU).

Coca-Cola Cuts Revenue Forecast

The Coca-Cola Co (NYSE:KO) shares have slumped by more than 3% today after the company cut its organic revenue forecast for the full year amid declining sales in Asia. Coca-Cola reported $11.5 billion in revenue for the second quarter, which also disappointed investors, who had been predicting $11.64 billion. However, EPS of $0.60 topped the consensus analyst estimate of $0.58. Coca Cola’s CEO Muhtar Kent said in a statement that strong performance in the U.S, Mexico, and Japan were counterbalanced by difficulties in emerging markets like China and Argentina. Hedge funds increased their hold on The Coca-Cola Co (NYSE:KO) in the first quarter, as 62 funds in our system were long the company, up from 51 funds a quarter earlier.

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