What to Watch Next Week: Angry Activists, Humbled Big Brands, and Gamer Gewgaws

×

Next week is going to be as eventful as ever on Wall Street. Watch for angry activist investors, gaming unveilings, and big brands being humbled by the numbers they have to report. Here are some of the items that will help shape the week.

1. Commence whip-cracking at Cracker Barrel: Cracker Barrel Old Country Stores (CBRL) is known for its rustic gift shops and heaping servings of buttered biscuits between courses of Southern vittles. The inviting row of rocking chairs on its wooden front porch -- complete with checkerboard games waiting to get started -- is another signature feature.

Next week won't bring up those same carefree images, though. For starters, analysts expect Cracker Barrel to earn just $0.96 a share during the seasonally potent summer quarter, short of the $1.14 a share it rang up a year earlier.

More importantly, Biglari Holdings' (BH) Sardar Biglari has amassed a 9.3% stake in the company as he takes an activist role. His first shot at the chain was to ask it to break up its retail and restaurant performance so investors have a clearer snapshot of the business. It's a soft lob, but this activist shareholder battle is far from over. Expect the company to be asked about the matter during its conference call.

2. Blue and BlackBerry: BlackBerry continues to lose ground to Android and iPhone handsets in the smartphone market, and that's weighing on parent company Research In Motion (RIMM). After years of growth, earnings are now going the wrong way at Research In Motion.

The Ontario company reports Thursday. The stock has been beaten down so badly over the past year that even a whiff of good news would juice the shares. The numbers -- and more importantly its outlook -- will dictate the stock's direction.

3. There's a fine line between Nintendo and Ninten-don't : A test of gamer relevance comes to Tokyo Tuesday, as Nintendo (NTDOY.PK) hosts a 3DS event.

The Japanese gaming giant will hype some of its upcoming games, announce a few new accessories, and possibly even have a surprise or two up its sleeve. It will need everything in its arsenal to impress a growing army of critics, because the 3DS wasn't selling at the $250 price that it was introduced at back in March. Nintendo had to cut the price down to $169 last month.

It's not a coincidence that Nintendo is staging this event in September, hoping to restart the momentum that it desperately needs if it wants the 3DS to be a hot holiday item.

4. Pier 1 walks the plank: Have you ever wanted to see a 100-bagger? Shares of Pier 1 Imports (PIR) have popped 100-fold since bottoming out at $0.10 a share in March 2009. It's been a fun ride for investors who have gone from a dime to double digits, but it certainly was scary at the beginning.

A stock doesn't trade for penny-jar jingle unless investors think it's likely to go belly up. Pier 1 was in bad shape at the time. It's hard to sell crafty home furnishings when the housing market is crumbling.

Pier 1 reports its latest quarterly results Thursday. After losing a ton of money during the darkest recessionary stretch, the retailer has posted seven consecutive quarterly profits. Extending the streak to eight should be easy after all that Pier 1 has been through.

5. Best Buy used to be better: Things haven't gone well for Best Buy (BBY) lately. Even with Circuit City out of the picture, shoppers still aren't flocking to the blue and yellow the way they used to.

Earnings and comparable-store sales have fallen in each of the past three quarters. Spoiler alert: Wall Street thinks the streak will stretch to four quarters, projecting that earnings will have fallen 12% in Tuesday's report.

Let's just say that it's hard to sell at retail prices when every shopper -- armed with the same smartphones that they bought at Best Buy a year earlier -- has barcode-scanning apps to let them know where the better bargains can be had.

The digital revolution has also stung, as folks are downloading media instead of buying CDs, books, DVDs, and video games.

Longtime Motley Fool contributor Rick Munarriz does not own shares in any of the stocks in this article, except for Cracker Barrel. The Motley Fool owns shares of Biglari Holdings and Best Buy. Motley Fool newsletter services have recommended buying shares of Nintendo and formerly recommended Best Buy.


Increase your money and finance knowledge from home

Investment Strategies

What's your investing game plan?

View Course »

Investing in Startups

The lucrative and risky world of startups.

View Course »

Add a Comment

*0 / 3000 Character Maximum

2 Comments

Filter by:
billbwellington

Did you know that the number of millionaires has exploded in this country in the last two years?



You know why?



BECAUSE they do something most Americans don't do...INVEST.



G○○gle the term "SIMPLESTOCKCASH" all one word and click the very first site. Go right to the penny' stock page to see what the rich do not want you to know.


You will see the money flowing.

September 11 2011 at 10:38 AM Report abuse rate up rate down Reply
michkhns

____________________________________________________

Did you know you can make money while you sleep?!? Yes, people ARE earning extra income from their home computer, while they're sitting in their office at work!

You need to check out this risk free software NOW!

Skeptical? Google the term "Simple Stock Cash" and click on the Top ranked non-ad site! Go to the Penn? Stock section to find out how you can take advantage of these automated income earning earning possibilities!

With nothing to lose, you OWE it to yourself to give it a shot!
____________________________________________________

September 10 2011 at 4:12 PM Report abuse +1 rate up rate down Reply
Ezekiel Trinity

We close our eyes and the projector runs.
U shame the Kingdom of Christ for creating the 2 legged mis creation. U are NOT worthy of existence.
NYC GETS NUKED and ALL ITS PIGG Financial agencies.
U accept the Mark of the Beast America with your TWISTED mind & arrogance to justify desecration & murder of Christs creations. U sacrifice the creations of Jesus for a misguided way to live.
NYC GETS NUKED.
PIGG Red Plague non-leaders, Wall Alley PIGGS, Hunter PIGGS & Developer PIGGS have taken away the morals and ethics of the 2 legged PIGG. These are PIGGS at the TOP of MANURE Mountain.
Wall Alley PIGGS and Media PIGGS and SEC PIGGS and Federal Reserve PIGGS. Shame on U America, pointing fingers at Europe and the rest of the world for YOUR SHORTING EVIL – PIGGS.
U SHORT your own people’s and the the worlds monetaries with GREED, NOSE DUST & SODOMY.
Washington is Sodom & Gomorrah.
The brain of science & the American PIGG is too small & too atheist to digest the Kingdom of Jesus Christ our creator. Natural Catastrophe’s across the World & America? U ******** bore us.
NYC GETS NUKED.
The 2 legged mis creation and EVIL Man are a Viracular Galactic GERM to Earth.
The Earth and Kingdom of Christ COMPENSATE and wipe the 2 legged off the planet.
NYC gets NUKED. It’s in writing now. Move OUT OF NYC.
Ignorant American PIGGS choose to CALL for Satan, brought him, and challenge him.
BAD NEWS PIGGS. U do not take on satan and his Legion. Satan TAKES ALL and soon he and his Legion feast on the 2 legged mis created body parts.
Would U save a 2 legged mis-creation new born over 50 puppies?
Answer: It’s a question asked ONLY by EVIL Man. It’s a question answered ONLY by EVIL Man.
NYC GETS NUKED.
Those that have been here since the beginning and look down at us the way 2 legged looks at an amoeba watch and wait for the new restoration.
America and the World gets BUSH whacked.
YOUR END TIME SPECIALIST.

September 10 2011 at 9:46 AM Report abuse -1 rate up rate down Reply