Michael Kors- KORS reported third fiscal quarter revenues rose 6% (10% on a constant currency basis) to $1.3 billion with net income down 3% to $294.5 million and EPS up 7% to $1.59 on lower shares outstanding. Revenue, comparable store sales and earnings growth came in ahead of management’s expectations thanks to an excellent holiday season. Solid performance was driven by strong consumer response to the company’s luxury fashion products, especially in accessories and footwear, the continue momentum of the digital flagship business and strong growth in international markets. Retail net sales increased 11.1% to $766.2 million driven primarily by e-commerce sales from the company’s digital flagships and 114 net new store openings since the prior year. Comparable store sales decreased .9%. On a constant currency basis, retail net sales increased 15.7% and comparable store sales increased 2%. Wholesale net sales increased .3% to $575.5 million and 3.0% on a constant currency basis. Licensing revenue increased 8.4% to $55.8 million.

Total revenue in the Americas increased .4% to $1.06 billion and grew 1.4% on a constant currency basis. European revenue grew 14.3% to $276 million and increased 29.1% on a constant currency basis. Revenue in Japan increased 59.1% to $25.5 million and grew 68% on a constant currency basis. China enjoyed double-digit comparable store sales increases as the brand is resonating well there. At the end of the quarter, the company operated 623 retail stores and had 234 additional retail stores operated through licensing partners. During the third quarter, the company repurchased 4.6 million of its own shares for $200 million at an average price of $42.72 per share. Management expects to continue to be aggressive with its share repurchases with $558.1 million remaining authorized for future share repurchases. For fiscal 2016, management reaffirmed its outlook for total revenue to approximate $4.65 billion, which on a constant currency basis represents low double-digit growth. The company expects a low single-digit decrease in comparable store sales on a constant currency basis for the year. Operating expenses are expected to increase approximately 230 basis points as a percentage of revenues due to investments in digital flagships, corporate talent, new stores, shop-in-shops, infrastructure and distribution. This should result in EPS in the range of $4.38-$4.42 for fiscal 2016.

Alphabet- GOOGL reported fourth quarter revenues rose 18% (24% on a constant currency basis) to $21.3 billion with net income from continuing operations up 33% to $4.9 billion, as operating margin expanded 100 basis points to 25%, and EPS rose 31% to $7.06. For the full 2015 year, revenues rose 14% to $75 billion with net income up 20% to $16.3 billion and EPS up 15% to $22.84. The very strong revenue growth in the fourth quarter was driven primarily by mobile search as well as YouTube and programmatic advertising.

For the first time, the company broke out the revenues and losses for its “other bets” which include areas such as fiber, Nest, self-driving cars, etc. For the year, these “other bet” businesses generated $448 million in revenues and $3.6 billion in losses. Google advertising revenues continue to generate the bulk of the company’s revenues and jumped 17% during the fourth quarter to $19.1 billion with Google other revenues (such as Google Play, cloud and apps) up 24% to $2.1 billion. Aggregate paid clicks increased 31%  during the fourth quarter with aggregate cost per click declining 13%, reflecting strong growth in mobile search. During this past holiday season, 30% of on-line purchases occurred on mobile devices as shopping moments replaced shopping marathons.  Google has more than one billion users using Google search, Android, Google Maps, YouTube, Google Play and gmail, which just crossed the billion user milestone this past quarter. Over 100 million hours are watched on YouTube daily with YouTube viewing more than doubling over the past year and reaching move viewers than cable TV. Android will be offered in 40 different car models this year as well as on a variety of TV’s. Management is very excited about prospects for machine learning, artificial intelligence and virtual reality to help solve problems for customers. Google’s free cash flow increased 41% during the year to $16.1 billion with nearly $10 billion spent on capital expenditures as the company continues to invest in data centers to support its cloud efforts. Google plans to invest more than $10 billion in capital expenditures in 2016 as they remain a leader in price/performance in the cloud. Google’s cloud boasts more than 4 million applications. During the fourth quarter, the company repurchased 2.4 million of its own shares for $1.8 billion at an average cost of $750 per share. Alphabet authorized an additional 514,000 shares to be repurchased in January 2016 with the total remaining authorization for future share repurchases of approximately $3.7 billion. The company ended the year with more than $73 billion of cash on its iron-clad balance sheet. Return on shareholders’ equity was 13.6% for the year or a very profitable 34.6% if Google’s substantial cash were excluded from the equity line.

Stryker- SYK announced a definitive agreement to acquire Sage Products, LLC ("Sage") from Madison Dearborn Partners in an all cash transaction for $2.775 billion.  The transaction includes an anticipated future tax benefit which is expected to exceed $500 million and to positively impact cash flows over approximately 15 years. Sage develops, manufactures and distributes disposable products targeted at reducing "Never Events," primarily in the intensive care unit and MedSurg hospital unit setting. Sage sales for fiscal 2015 totaled $430 million, up 13% over the prior year. Sage`s products include solutions for oral care, skin preparation and protection, patient cleaning and hygiene, turning and positioning devices and heel care boots.

"The company`s established leadership team and innovative products that help prevent hospital acquired conditions have driven consistent double-digit sales growth," stated Kevin A. Lobo, Chairman and Chief Executive Officer. "This acquisition aligns with Stryker`s focus on offering products and services that support a mindset of prevention, specifically in the area of "Never Events" such as hospital acquired infections. Today, through our Medical division, Stryker offers products that are complementary to those produced by Sage. Sage has a 45-year history of focus on patients and caregivers that is evident in their culture and fits well with our Medical division.  This business will also provide a consistent disposable revenue stream that will complement our capital equipment offerings. We look forward to welcoming the Sage team to Stryker." The transaction is expected to be accretive to Stryker`s 2016 adjusted net earnings per diluted share excluding acquisition, integration-related and intangible amortization charges and will continue to be accretive thereafter. Accordingly, ABT we are raising our full year 2016 adjusted EPS guidance by $0.05 to $5.55-5.75. The transaction is expected to close in the second quarter of 2016.

Abbott- ABT and Alere Inc. announced a definitive agreement for Abbott to acquire Alere, significantly advancing Abbott's global diagnostics presence and leadership. Under the terms of the agreement, Abbott will pay $56 per common share at a total expected equity value of $5.8 billion. Once the transaction is completed, Abbott will become the leading diagnostics provider of point of care testing. Abbott's total diagnostics sales will exceed $7 billion after the close. Abbott will be able to provide new, flexible, cost-effective, high-quality products to help health systems meet growing demand in both in-patient and out-patient settings. Alere's complementary portfolio of products will provide Abbott access to new channels and geographies, including entry into fast-growing outlets, such as doctors' offices, clinics, pharmacies and at-home testing. Upon completion of the transaction, the combined business will offer the broadest point of care menu of infectious disease, molecular, cardiometabolic and toxicology testing, expanding Abbott's platforms to include benchtop and rapid strip tests. Abbott will be able to better serve an expansive customer base around the world while also accelerating innovation in point of care diagnostics.

More than half of Alere's $2.5 billion in sales are in the U.S. Alere also has a growing presence in key international markets, where Abbott's capabilities and infrastructure will drive accelerated growth of Alere's portfolio. The transaction will be immediately accretive to Abbott's ongoing earnings per share upon close and significantly accretive thereafter, with approximately 12-13 cents of accretion in 2017 and more than 20 cents in 2018. The combination is anticipated to result in annual pre-tax synergies approaching $500 million by 2019 and increasing thereafter, including both sales and operational benefits. Under the terms of the agreement, Alere shareholders will receive $56 per common share in cash at the completion of the transaction, and Alere will become a subsidiary of Abbott. Alere's net debt, currently $2.6 billion, will be assumed or refinanced by Abbott.

Gilead Sciences- GILD announced  that the company’s Type II variation application for once-daily Truvada®  in combination with safer sex practices to reduce the risk of sexually acquired HIV-1 infection among uninfected adults at high risk, a strategy known as pre-exposure prophylaxis or PrEP, has been fully validated and is now under evaluation by the European Medicines Agency (EMA). Truvada was approved by the EMA in 2005 in combination with other antiretroviral agents for the treatment of HIV-1 infection in adults, and is currently the most prescribed antiretroviral treatment in Europe. “In Europe, 2014 saw the highest number of HIV diagnoses recorded in any given year – nearly 30,000 – highlighting the substantial need for additional strategies to help address the epidemic,” said Sheena McCormack, Medical Research Council Clinical Trials Unit, University College London. “We are excited by the potential public health impact Truvada for PrEP may have, as part of a comprehensive HIV prevention strategy, in lowering transmission rates among at-risk populations across Europe.”