Some positive news in Evine’s stumble
Multichannel retailer Evine Live reported lackluster third-quarter earnings on Wednesday but also said it has started to dial in a more profitable mix of products to showcase on its home shopping and online channels.
The Eden Prairie-based company reported a third-quarter net loss of $5.2 million, or 9 cents per share, compared to analysts’ expectations of a 4-cent loss per share. Investors weren’t happy, dropping the stock 18 percent on Wednesday.
But Mark Argento, an analyst for Minneapolis-based Lake Street Capital Markets, is optimistic that Evine is closing in on the optimal mix of products heading into the holiday season and beyond.
Indeed, the company did deliver stronger revenue.
Analysts were expecting third-quarter revenue to be $157.5 million; the company reported $162.3 million.
“We continue to believe Evine’s re-branding and merchandising strategy is starting to bear fruit this holiday [Q4] and is the right one for long-term value creation,” Argento wrote.
Argento is maintaining his “buy” rating on Evine and projects a 12-month price target of $4 per share.
3M, Medtronic named to top innovators list
Thomson Reuters last week published its fifth annual “Top 100 Global Innovators” list.
The report looks at a company’s patent volume, patent grant success rate, global reach and invention influence.
It also looks at a company’s ability to defend those ideas from patent infringers and turn those ideas into profitable products.
Maplewood-based 3M Co. has been a constant on the top innovators list, appearing all five times.
3M said it invests about 5.6 percent of its total revenue on R&D, which helps produce nearly 3,000 patents a year. Roughly one-third of 3M’s annual revenue comes from products introduced in the past five years.
Thomson Reuters asked CEOs from each company how they encourage a culture of innovation. 3M’s CEO Inge Thulin said: “We make sure our people have the freedom to take risks and learn from mistakes.”
Medtronic made the list for the second year in a row.
Thomson considers Medtronic — with its headquarters in Ireland but top-executive offices in Fridley — a U.S. company, one of 35 U.S. companies on the global list.
Thomson Reuters says the companies on the list have consistently outperformed other indexes in total revenue and research and development spending.
(The full report is at http://stateofinnovation.thomsonreuters.com.)