We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Copart and Cal-Maine Foods have been highlighted as Zacks Bull and Bear of the Day
Read MoreHide Full Article
For Immediate Release
Chicago, IL – July 31, 2023 – Zacks Equity Research shares Copart (CPRT - Free Report) as the Bull of the Day and Cal-Maine Foods (CALM - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Starbucks Corp. (SBUX - Free Report) , Arhaus (ARHS - Free Report) and Costco (COST - Free Report) .
Copart, a Zacks Rank #1 (Strong Buy), enjoys a dominant leadership position in the automotive auction market, commanding a roughly 40% market share. A set of bullish initiatives including new facility openings, elevated salvage auction volumes, and an industry-leading digital offering in Copart Max have helped the stock resume its long-term upward trajectory. CPRT stock hit an all-time high earlier this month as stocks have entered a new bull market. Shares continue to display relative strength as buying pressure accumulates in this market leader.
CPRT sports the second-highest Zacks Growth Style Score of 'B', indicating further upside is likely based on favorable earnings and sales growth metrics. The company is part of the Zacks Auction and Valuation Services industry group, which ranks in the top 1% out of more than 250 Zacks Ranked Industries. It's not a coincidence that this group has been steadily outperforming this year.
Historical research studies suggest that approximately half of a stock's price appreciation is due to its industry grouping. In fact, the top 50% of Zacks Ranked Industries outperforms the bottom 50% by a factor of more than 2 to 1. It's no secret that investing in stocks that are part of leading industry groups can give us a leg up relative to the market. By focusing on leading stocks within the top 50% of Zacks Ranked Industries, we can dramatically improve our stock-picking success.
Company Description
Copart is a global provider of online auctions and vehicle remarketing services. The company enables the processing and selling of vehicles over the internet through its virtual bidding, auction-style sales technology to vehicle sellers, insurance companies, banks, charities, dealers, and vehicle rental companies.
Copart's range of services includes online seller access, salvage estimation, end-of-life vehicle processing, transportation, vehicle inspection, title processing and procurement, flexible payment options, and dealer programs.
The company also enables the selling of vehicles through CashForCars.com; Copart Recycling service, which allows the public to purchase parts from salvaged vehicles; and Copart 360, an online technology platform for posting vehicle images. Copart sells its products to licensed vehicle dismantlers, rebuilders, repair licensees, used vehicle dealers, as well as to the public.
Earnings Trends and Future Estimates
CPRT has built up an impressive earnings history, surpassing earnings estimates in three of the last four quarters. Back in May, the company reported fiscal third-quarter earnings of $0.72/share, a 16.13% surprise over the $0.62 consensus estimate. CPRT has delivered a trailing four-quarter average earnings surprise of 5.61%.
The Dallas, TX-based company primarily has two revenue streams: service revenue and purchased vehicles. Both earnings and revenues have grown steadily despite previous economic headwinds.
For the current fiscal year, analysts have increased earnings estimates by 3.36% in the past 60 days. The Zacks Consensus EPS Estimate now stands at $2.46/share, reflecting potential growth of 10.31% relative to the prior year. Revenues are projected to climb 9.17% to $3.82 billion.
Let's Get Technical
CPRT shares have advanced nearly 46% in the past year. This is the kind of stock we want to include in our portfolio – one that is trending well and receiving positive earnings estimate revisions.
Notice how both the 50-day (blue line) and 200-day (red line) moving averages are sloping up. The stock has been making a series of higher highs. With both strong fundamentals and technicals, CPRT is poised to continue its outperformance.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. As we know, Copart has recently witnessed positive revisions. As long as this trend remains intact (and CPRT continues to deliver earnings beats), the stock will likely continue its bullish run this year.
Bottom Line
Solid institutional buying should continue to provide a tailwind for the stock price. CPRT enjoys a dominant market position, along with a strong balance sheet and high liquidity. Increasing volume at recent breakout levels is another bullish sign for the stock.
Robust fundamentals combined with an appealing technical trend certainly justify adding shares to the mix. Backed by a leading industry group and impressive history of earnings beats, it's not difficult to see why this company is a compelling investment. Investors would be wise to consider CPRT as a portfolio candidate.
Cal-Maine Foods produces, packages, and distributes shell eggs. The company offers specialty shell eggs such as nutritionally enhanced, cage free, organic, and brown eggs under recognized brand names including Egg-Land's Best, Land O' Lakes, Farmhouse Eggs, and 4-Grain. CALM markets and sells its products to national and regional grocery store chains, club stores, independent supermarkets, and foodservice distributors. Cal-Maine Foods was founded in 1957 and is based in Ridgeland, MS.
The Zacks Rundown
CALM, a Zacks Rank #5 (Strong Sell), is a component of the Zacks Agriculture – Products industry group, which ranks in the bottom 10% out of more than 250 Zacks Ranked Industries. As such, we expect this industry group as a whole to underperform the market over the next 3 to 6 months, just as it has throughout this year.
Candidates in the bottom tiers of industries can often be solid potential short candidates. While individual stocks have the ability to outperform even when included in a poorly-performing industry group, the inclusion in a weaker group serves as a headwind for any potential rallies and the journey forward is that much more difficult.
The odds are stacked against CALM, and the stock is agreeing with this notion. CALM shares experienced a climax top in December of last year and have been in a price downtrend ever since. The share price is hitting a series of lower lows and represents a compelling short opportunity as the stock continues to lag the major market indexes.
Deteriorating Outlook
Cal-Maine Foods has been on the receiving end of negative earnings estimate revisions as of late. For the current quarter (fiscal Q1), the Zacks Consensus EPS Estimate sits at a loss of -$0.01/share, reflecting a -100.39% decline relative to the same quarter last year.
For the current fiscal year, analysts have also revised their EPS estimates downward by 13.93% in the past 60 days. The Zacks Consensus Estimate is now $4.20/share, translating to negative growth of -72.94%. Falling earnings estimates are a huge red flag and need to be respected. Negative growth year-over-year is the type of trend that bears like to see.
Technical Trend
As illustrated below, CALM stock is in a sustained downtrend. Notice how the stock has plunged below both the 50-day and 200-day moving averages signaled by the blue and red lines, respectively. The 50-day moving average has recently acted as resistance and shares are currently testing that level. The stock is making a series of lower lows, with no respite from the selling in sight. Also note how both moving averages have rolled over and are sloping down – another good sign for the bears.
While not the most accurate indicator, CALM stock has also experienced what is known as a 'death cross', wherein the stock's 50-day moving average crosses below its 200-day moving average. CALM would have to make a serious move to the upside and show increasing earnings estimate revisions to warrant taking any long positions in the stock. The stock has fallen nearly 10% this year alone, widely underperforming the major indices.
Final Thoughts
A deteriorating fundamental and technical backdrop show that this stock is not set to hit new highs anytime soon. The fact that CALM is included in one of the worst-performing industry groups provides yet another headwind to a long list of concerns. Falling future earnings estimates will likely serve as a ceiling to any potential rallies, nurturing the stock's downtrend.
Potential investors may want to give this stock the cold shoulder, or perhaps include it as part of a short or hedge strategy. Bulls will want to steer clear of CALM shares until the situation shows major signs of improvement.
Additional content:
What's In Store for Starbucks (SBUX - Free Report) Earnings?
Starbucks Corp. is scheduled to report third-quarter fiscal 2023 results on Aug 1, after the closing bell. In the last reported quarter, the company delivered an earnings beat of 15.6%.
Q3 Estimates
The Zacks Consensus Estimate for earnings is pegged at 95 cents per share, indicating growth of 13.1% year over year. In the past 30 days, earnings estimates have witnessed downward revisions by 1%. The Zacks Consensus Estimate for revenues is pegged at $9.3 billion, suggesting an increase of 14% from the year-ago quarter.
Factors to Note
SBUX's focus on improving customer experience with innovative new store designs and upgraded product offerings, and supply-chain efficiencies has been contributing to its top line. Focus on store growth and robust loyalty program adds to its growth. During fiscal 2023, it expects store count in the United States and China to grow approximately 3% and 13%, respectively.
Robust comparable sales growth is likely to have aided the company's top line in the quarter. Our model predicts North America and International sales growth to increase 9% and 9.1% year over year, respectively.
In third-quarter fiscal 2023, our model estimates North America and Channel Development sales to be $6,934.2 million and $541.4 million, up 14.5% and 12.9% year over year, respectively. Starbucks is gaining from a rise in transactions and average ticket growth. We expect international sales to improve 12.1% year over year to $1,776.8 million.
The ongoing inflationary pressure is likely to have hurt SBUX's margin. Its ingredients are witnessing a significant uptick in price since the last few quarters. Our model suggests adjusted operating margin to be 16.8%, flat year over year. Our model anticipates total operating expenses to be $4,969.4 million, up 15.7% from the prior-year quarter.
What the Zacks Model Unveils
Our proven model doesn't conclusively predict an earnings beat for Starbucks this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat.
Earnings ESP: Starbucks has an Earnings ESP (the difference between the Most Accurate Estimate and the Zacks Consensus Estimate) of -0.53%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Zacks Rank: Starbucks currently carries a Zacks Rank #3.
Stocks Poised to Beat Estimates
Here are some stocks worth considering from the Zacks Retail-Wholesale space as our model shows that these have the right combination of elements to beat on earnings this season.
Arhaus currently has an Earnings ESP of +7.69% and sports a Zacks Rank #1. ARHS is expected to register a bottom-line decline when it reports second-quarter 2023 results. The Zacks Consensus Estimate for quarterly earnings per share of 26 cents suggests a fall of 7.1% from the year-ago quarter. You can see the complete list of today's Zacks #1 Rank stocks here.
Arhaus' top line is anticipated to rise year over year. The consensus mark is pegged at $325.7 million, indicating an increase of 6.3% from the year-ago quarter's reported figure. ARHS has a trailing four-quarter earnings surprise of 82.4%, on average.
Costco currently has an Earnings ESP of +0.73% and a Zacks Rank of 3. COST is likely to register bottom-line growth while posting fourth-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $4.73 indicates a 10.5% increase from the year-ago reported number.
Costco's top line is projected to ascend year over year. The Zacks Consensus Estimate is pegged at $78.85 billion, indicating 9.4% rise from the prior-year quarter. COST has a trailing four-quarter earnings surprise of 1.8%, on average.
Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Copart and Cal-Maine Foods have been highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – July 31, 2023 – Zacks Equity Research shares Copart (CPRT - Free Report) as the Bull of the Day and Cal-Maine Foods (CALM - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Starbucks Corp. (SBUX - Free Report) , Arhaus (ARHS - Free Report) and Costco (COST - Free Report) .
Here is a synopsis of all five stocks:
Bull of the Day:
Copart, a Zacks Rank #1 (Strong Buy), enjoys a dominant leadership position in the automotive auction market, commanding a roughly 40% market share. A set of bullish initiatives including new facility openings, elevated salvage auction volumes, and an industry-leading digital offering in Copart Max have helped the stock resume its long-term upward trajectory. CPRT stock hit an all-time high earlier this month as stocks have entered a new bull market. Shares continue to display relative strength as buying pressure accumulates in this market leader.
CPRT sports the second-highest Zacks Growth Style Score of 'B', indicating further upside is likely based on favorable earnings and sales growth metrics. The company is part of the Zacks Auction and Valuation Services industry group, which ranks in the top 1% out of more than 250 Zacks Ranked Industries. It's not a coincidence that this group has been steadily outperforming this year.
Historical research studies suggest that approximately half of a stock's price appreciation is due to its industry grouping. In fact, the top 50% of Zacks Ranked Industries outperforms the bottom 50% by a factor of more than 2 to 1. It's no secret that investing in stocks that are part of leading industry groups can give us a leg up relative to the market. By focusing on leading stocks within the top 50% of Zacks Ranked Industries, we can dramatically improve our stock-picking success.
Company Description
Copart is a global provider of online auctions and vehicle remarketing services. The company enables the processing and selling of vehicles over the internet through its virtual bidding, auction-style sales technology to vehicle sellers, insurance companies, banks, charities, dealers, and vehicle rental companies.
Copart's range of services includes online seller access, salvage estimation, end-of-life vehicle processing, transportation, vehicle inspection, title processing and procurement, flexible payment options, and dealer programs.
The company also enables the selling of vehicles through CashForCars.com; Copart Recycling service, which allows the public to purchase parts from salvaged vehicles; and Copart 360, an online technology platform for posting vehicle images. Copart sells its products to licensed vehicle dismantlers, rebuilders, repair licensees, used vehicle dealers, as well as to the public.
Earnings Trends and Future Estimates
CPRT has built up an impressive earnings history, surpassing earnings estimates in three of the last four quarters. Back in May, the company reported fiscal third-quarter earnings of $0.72/share, a 16.13% surprise over the $0.62 consensus estimate. CPRT has delivered a trailing four-quarter average earnings surprise of 5.61%.
The Dallas, TX-based company primarily has two revenue streams: service revenue and purchased vehicles. Both earnings and revenues have grown steadily despite previous economic headwinds.
For the current fiscal year, analysts have increased earnings estimates by 3.36% in the past 60 days. The Zacks Consensus EPS Estimate now stands at $2.46/share, reflecting potential growth of 10.31% relative to the prior year. Revenues are projected to climb 9.17% to $3.82 billion.
Let's Get Technical
CPRT shares have advanced nearly 46% in the past year. This is the kind of stock we want to include in our portfolio – one that is trending well and receiving positive earnings estimate revisions.
Notice how both the 50-day (blue line) and 200-day (red line) moving averages are sloping up. The stock has been making a series of higher highs. With both strong fundamentals and technicals, CPRT is poised to continue its outperformance.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. As we know, Copart has recently witnessed positive revisions. As long as this trend remains intact (and CPRT continues to deliver earnings beats), the stock will likely continue its bullish run this year.
Bottom Line
Solid institutional buying should continue to provide a tailwind for the stock price. CPRT enjoys a dominant market position, along with a strong balance sheet and high liquidity. Increasing volume at recent breakout levels is another bullish sign for the stock.
Robust fundamentals combined with an appealing technical trend certainly justify adding shares to the mix. Backed by a leading industry group and impressive history of earnings beats, it's not difficult to see why this company is a compelling investment. Investors would be wise to consider CPRT as a portfolio candidate.
Bear of the Day:
Cal-Maine Foods produces, packages, and distributes shell eggs. The company offers specialty shell eggs such as nutritionally enhanced, cage free, organic, and brown eggs under recognized brand names including Egg-Land's Best, Land O' Lakes, Farmhouse Eggs, and 4-Grain. CALM markets and sells its products to national and regional grocery store chains, club stores, independent supermarkets, and foodservice distributors. Cal-Maine Foods was founded in 1957 and is based in Ridgeland, MS.
The Zacks Rundown
CALM, a Zacks Rank #5 (Strong Sell), is a component of the Zacks Agriculture – Products industry group, which ranks in the bottom 10% out of more than 250 Zacks Ranked Industries. As such, we expect this industry group as a whole to underperform the market over the next 3 to 6 months, just as it has throughout this year.
Candidates in the bottom tiers of industries can often be solid potential short candidates. While individual stocks have the ability to outperform even when included in a poorly-performing industry group, the inclusion in a weaker group serves as a headwind for any potential rallies and the journey forward is that much more difficult.
The odds are stacked against CALM, and the stock is agreeing with this notion. CALM shares experienced a climax top in December of last year and have been in a price downtrend ever since. The share price is hitting a series of lower lows and represents a compelling short opportunity as the stock continues to lag the major market indexes.
Deteriorating Outlook
Cal-Maine Foods has been on the receiving end of negative earnings estimate revisions as of late. For the current quarter (fiscal Q1), the Zacks Consensus EPS Estimate sits at a loss of -$0.01/share, reflecting a -100.39% decline relative to the same quarter last year.
For the current fiscal year, analysts have also revised their EPS estimates downward by 13.93% in the past 60 days. The Zacks Consensus Estimate is now $4.20/share, translating to negative growth of -72.94%. Falling earnings estimates are a huge red flag and need to be respected. Negative growth year-over-year is the type of trend that bears like to see.
Technical Trend
As illustrated below, CALM stock is in a sustained downtrend. Notice how the stock has plunged below both the 50-day and 200-day moving averages signaled by the blue and red lines, respectively. The 50-day moving average has recently acted as resistance and shares are currently testing that level. The stock is making a series of lower lows, with no respite from the selling in sight. Also note how both moving averages have rolled over and are sloping down – another good sign for the bears.
While not the most accurate indicator, CALM stock has also experienced what is known as a 'death cross', wherein the stock's 50-day moving average crosses below its 200-day moving average. CALM would have to make a serious move to the upside and show increasing earnings estimate revisions to warrant taking any long positions in the stock. The stock has fallen nearly 10% this year alone, widely underperforming the major indices.
Final Thoughts
A deteriorating fundamental and technical backdrop show that this stock is not set to hit new highs anytime soon. The fact that CALM is included in one of the worst-performing industry groups provides yet another headwind to a long list of concerns. Falling future earnings estimates will likely serve as a ceiling to any potential rallies, nurturing the stock's downtrend.
Potential investors may want to give this stock the cold shoulder, or perhaps include it as part of a short or hedge strategy. Bulls will want to steer clear of CALM shares until the situation shows major signs of improvement.
Additional content:
What's In Store for Starbucks (SBUX - Free Report) Earnings?
Starbucks Corp. is scheduled to report third-quarter fiscal 2023 results on Aug 1, after the closing bell. In the last reported quarter, the company delivered an earnings beat of 15.6%.
Q3 Estimates
The Zacks Consensus Estimate for earnings is pegged at 95 cents per share, indicating growth of 13.1% year over year. In the past 30 days, earnings estimates have witnessed downward revisions by 1%. The Zacks Consensus Estimate for revenues is pegged at $9.3 billion, suggesting an increase of 14% from the year-ago quarter.
Factors to Note
SBUX's focus on improving customer experience with innovative new store designs and upgraded product offerings, and supply-chain efficiencies has been contributing to its top line. Focus on store growth and robust loyalty program adds to its growth. During fiscal 2023, it expects store count in the United States and China to grow approximately 3% and 13%, respectively.
Robust comparable sales growth is likely to have aided the company's top line in the quarter. Our model predicts North America and International sales growth to increase 9% and 9.1% year over year, respectively.
In third-quarter fiscal 2023, our model estimates North America and Channel Development sales to be $6,934.2 million and $541.4 million, up 14.5% and 12.9% year over year, respectively. Starbucks is gaining from a rise in transactions and average ticket growth. We expect international sales to improve 12.1% year over year to $1,776.8 million.
The ongoing inflationary pressure is likely to have hurt SBUX's margin. Its ingredients are witnessing a significant uptick in price since the last few quarters. Our model suggests adjusted operating margin to be 16.8%, flat year over year. Our model anticipates total operating expenses to be $4,969.4 million, up 15.7% from the prior-year quarter.
What the Zacks Model Unveils
Our proven model doesn't conclusively predict an earnings beat for Starbucks this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat.
Earnings ESP: Starbucks has an Earnings ESP (the difference between the Most Accurate Estimate and the Zacks Consensus Estimate) of -0.53%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Zacks Rank: Starbucks currently carries a Zacks Rank #3.
Stocks Poised to Beat Estimates
Here are some stocks worth considering from the Zacks Retail-Wholesale space as our model shows that these have the right combination of elements to beat on earnings this season.
Arhaus currently has an Earnings ESP of +7.69% and sports a Zacks Rank #1. ARHS is expected to register a bottom-line decline when it reports second-quarter 2023 results. The Zacks Consensus Estimate for quarterly earnings per share of 26 cents suggests a fall of 7.1% from the year-ago quarter. You can see the complete list of today's Zacks #1 Rank stocks here.
Arhaus' top line is anticipated to rise year over year. The consensus mark is pegged at $325.7 million, indicating an increase of 6.3% from the year-ago quarter's reported figure. ARHS has a trailing four-quarter earnings surprise of 82.4%, on average.
Costco currently has an Earnings ESP of +0.73% and a Zacks Rank of 3. COST is likely to register bottom-line growth while posting fourth-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $4.73 indicates a 10.5% increase from the year-ago reported number.
Costco's top line is projected to ascend year over year. The Zacks Consensus Estimate is pegged at $78.85 billion, indicating 9.4% rise from the prior-year quarter. COST has a trailing four-quarter earnings surprise of 1.8%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation.
See Stocks Free >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
https://www.zacks.com
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.