Honeywell (HON)
Founded in 1920, Honeywell International (HON) is a diversified industrial giant operating in about 70 countries. The company invents and commercializes technologies that address some of the world’s most critical challenges around energy, safety, security, productivity, and urbanization. Honeywell operates through four segments: Aerospace (38% of revenue, 41% of profits): products are used on virtually every commercial and defense aircraft platform and in 100M+ vehicles worldwide and include aircraft propulsion, cockpit systems, satellite communications, and vehicle turbochargers. About a third of this business is dedicated to providing spare parts, repair, overhaul, and aftermarket maintenance services under long-term contracts. Home and Building Technologies (23% of revenue, 21% of profits):products, software, solutions, and technologies that help homeowners, commercial building owners, and [...]
BP (BP)
Founded in 1889 and based in London, British Petroleum (BP) is one of the largest integrated oil and gas companies in the world with sales in excess of $240 billion in 2017. The company operates in over 70 countries and has proven oil & gas reserves of 18.4 billion barrels of oil equivalent (about 20 years' worth of current production). BP has three business segments: upstream oil & gas production, downstream (refining, lubricants, fuels, and petrochemicals), and its 19.75% stake in Rosneft, the Russian oil giant. Upstream (39% of 2017 pretax profit): BP's activities in oil and natural gas exploration, field development, and production (2.5 million barrels per day of oil equivalent production, excluding Rosneft). This segment is very [...]
Cracker Barrel (CBRL)
Cracker Barrel Old Country Store (CBRL) has been in business since 1969 and operates a chain of more than 650 restaurants located throughout the U.S. The company’s country-themed, full-service restaurant served 7,000 guests per week in 2017, offering diners a variety of breakfast (24% of sales), lunch (39%), and dinner (37%) foods with meals costing about $10 on average. Each restaurant location also has a large gift shop, which offers over 4,500 decorative and functional items, such as apparel and accessories (30% of retail sales), packaged foods (18%), decor (13%), toys (11%), and bed and bath goods (8%). In 2017, about 80% of Cracker Barrel's revenue was generated from restaurants, with the remaining 20% from its gift shops. [...]
Raytheon (RTN)
Founded in 1922, Raytheon (RTN) is a defense contractor and technology leader specializing in defense, civil government, and cybersecurity solutions. The company operates through five segments: Missile Systems (29% of sales, 31% of income): develops and supports a range of weapon systems, including missiles, smart munitions, close-in weapon systems, projectiles, kinetic kill vehicles, directed energy effectors, and combat sensor solutions. Integrated Defense Systems (22% of sales, 28% of income): specializes in air and missile defense, large land- and sea-based radars, and systems for managing command, control, communications, computers, cyber and intelligence. It also produces sonars, torpedoes, and electronic systems for ships. Space and Airborne Systems (24% of sales, 26% of income): is a leading provider of radar and sensor systems [...]
Compass Minerals (CMP)
Compass Minerals (CMP) boasts an operating history dating back to 1844 and is a leading producer of essential minerals. Specifically, Compass Minerals primarily sells: Salt: used mainly by cities for deicing roads but has many consumer and industrial applications as well. Specialty potash: a premium fertilizer that improves the quality, yield, and shelf life of high-value crops. Micronutrients: essential minerals that maximize plant yields. Magnesium chloride: used in numerous ways including roadway deicing, dust control, and as plant nutrients for wheat crops. Compass Minerals owns a handful of salt mines (including the largest rock salt mine in the world in Canada) and solar evaporation facilities (including the only sulfate of potash production site in North America) that it uses to [...]
Bristol-Myers Squibb (BMY)
Bristol-Myers Squibb (BMY) traces its roots back to 1887 and is one of the world's largest biopharmaceutical businesses. The company offers drugs in the various therapeutic classes, such as oncology, cardiovascular, immunoscience, and virology, including human immunodeficiency virus (HIV) infection. Bristol-Myers' top 10 drugs account for 90% of sales and include the following major contributors: Opdivo (24% of 2017 sales), a biological product for the treatment of anti-cancer indications Eliquis (24% of 2017 sales), an oral inhibitor targeted at stroke prevention in atrial fibrillation Orencia (12% of 2017 sales), which treats adult patients with active rheumatoid arthritis Sprycel (10% of 2017 sales), a tyrosine kinase inhibitor for the treatment of adults with Philadelphia chromosome-positive chronic myeloid leukemia Yervoy (6% [...]
Bank of America (BAC)
Founded in 1874, Bank of America (BAC), with just over $2.3 trillion in total assets, is the world’s 9th largest bank and the 2nd largest U.S. megabank. The company operates over 4,400 branches in the U.S., as well as more than 16,000 ATMs. In total, Bank of America has 47 million U.S. consumer and business relationships. Source: Bank of America Investor Presentation Bank of America primarily operates in four main business segments, with the bulk of its income generated from its core consumer and corporate banking divisions: Consumer Banking (38% of revenue, 38% of profit): provides retail banking services such as checking, savings, and money market accounts, as well as credit and debit cards. Global Wealth & Investment Management (21% [...]
Energy Transfer Partners (ETP)
Founded in 1995, Energy Transfer Partners (ETP) is one of America's largest midstream master limited partnerships, or MLPs. The company is part of the larger Energy Transfer family of companies and MLPs, which is overseen by founder and CEO Kelcy Warren. Warren owns 17% of Energy Transfer Equity (ETE), the sponsor and general partner of Energy Transfer Partners. Energy Transfer Partners serves nine of America's largest 10 shale oil & gas formations via its large and vertically integrated network consisting of: Over 30,000 miles of natural gas, natural gas liquids (NGLs), refined products, and crude oil pipelines 11.5 billion cubic feet per day of gas gathering capacity 15 billion cubic feet per day of gas transportation capacity 3.8 million barrels [...]
Bank of Nova Scotia (BNS)
Founded in 1832, Bank of Nova Scotia (BNS) is one of Canada's dominant banking institutions. The firm provides a broad range of advice, products, and services, including personal and commercial banking, wealth management and private banking, corporate and investment banking, and capital markets. The bank, commonly referred to as Scotiabank, has about $900 billion in assets and serves over 24 million customers via approximately 3,000 branches operating in nearly 50 countries. Approximately 55% of the bank's revenue is generated from net interest income (i.e. lending operations), with the remaining 45% from non-interest income sources including credit card fees, mutual funds, investment management, underwriting fees, trading revenues, and more. Scotiabank has three primary business units: Canadian Banking: (46% of [...]
Costco (COST)
Costco (COST) was founded in 1976 and pioneered the wholesale warehouse retail business model. The company is one of the world’s largest sellers of groceries, alcohol, diamonds, electronics, prescription drugs, tires, gasoline, and even travel services. Costco operates nearly 750 store locations in 11 countries today. Source: Costco Investor Presentation While Costco is the world’s second largest retailer by sales (behind only Walmart), the firm generates the majority of its profits from its annual $60 and $110 executive membership fees which make up about 2% of total revenue but account for about 70% of income. The company has built up a base of 92.2 million cardholders around the world representing 50.4 million households. The company is working hard to [...]