Saturday, August 31, 2013

Hot Blue Chip Stocks To Buy Right Now

Stocks are pushing up into record territory again, although today's gains are of the modest type a day after the Dow Jones Industrial Average (DJINDICES: ^DJI  ) closed above 15,000 for the first time. As of 2:15 p.m. EDT, the Dow has gained just 25 points, although a majority of members on the blue chip index are in the green. Several big names are picking up significant gains of more than 1% today. Let's check out the news and movers you need to know.

Stocks rising higher
Shares of UnitedHealth Group (NYSE: UNH  ) have surged higher today by a Dow-leading 2.5%. Despite the gains, UnitedHealth's facing hurdles: Obamacare's the big shadow on the company's radar, as the implementation of health care reform next year is still shrouded in uncertainty. More pressing, however, is that UnitedHealth's in hot water with the Department of Defense�over long medical care referral times for military personnel and families. UnitedHealth's acquisition of a contract worth more than $20 billion includes a clause indicating cost reimbursement for "poor performance," and the Pentagon is reportedly looking to get the insurer to reimburse it for the referral delays.

Hot Blue Chip Stocks To Buy Right Now: Chevron Corporation(CVX)

Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.

Advisors' Opinion:
  • [By Victor Mora]

    Chevron provides essential energy products and services to growing companies and consumers worldwide. The stock has been on a bullish run for many years that has taken it to all-time high prices. Over the last four quarters, earnings and revenue figures have been mixed, however, investors in the company have been mostly happy with earnings reports. Relative to its peers and sector, Chevron has been a year-to-date performance leader. Look for Chevron to OUTPERFORM.

  • [By Jonas Elmerraji]

    Oil and gas supermajor Chevron (CVX) is another name that's showing investors a bullish technical setup right now. Chevron is forming a textbook ascending triangle pattern, a price setup that we've seen a lot of on the way up in 2013. Here's how to trade it.

    Chevron's ascending triangle is formed by horizontal resistance above shares at $127.50 and uptrending support below shares. Basically, as CVX bounces in between those two technical price levels, it's getting squeezed closer and closer to a breakout above $127.50. When that breakout happens, we've got our buy signal.

    The energy sector spent the last quarter as a bit of a laggard, but it's been heating back up in the last month and change. With a breakout trade getting close to triggering here, Chevron offers one of the best-in-breed ways to play the trend this summer.

  • [By GuruFocus] Tom Gayner initiated holdings in Chevron Corp. His purchase prices were between $114.81 and $126.43, with an estimated average price of $120.86. The impact to his portfolio due to this purchase was 0.18%. His holdings were 43,000 shares as of 06/30/2013.

    New Purchase: Brookfield Property Partners LP (BPY)

    Tom Gayner initiated holdings in Brookfield Property Partners LP. His purchase prices were between $19.57 and $23.64, with an estimated average price of $21.67. The impact to his portfolio due to this purchase was 0.13%. His holdings were 175,122 shares as of 06/30/2013.

    New Purchase: ONEOK, Inc. (OKE)

    Tom Gayner initiated holdings in ONEOK, Inc.. His purchase prices were between $41.16 and $52.13, with an estimated average price of $46.98. The impact to his portfolio due to this purchase was 0.1%. His holdings were 70,000 shares as of 06/30/2013.

    New Purchase: Blackstone Group LP (BX)

    Tom Gayner initiated holdings in Blackstone Group LP. His purchase prices were between $19.1 and $23.45, with an estimated average price of $21.2. The impact to his portfolio due to this purchase was 0.09%. His holdings were 116,900 shares as of 06/30/2013.

    New Purchase: BlackRock Inc (BLK)

    Tom Gayner initiated holdings in BlackRock Inc. His purchase prices were between $245.3 and $291.69, with an estimated average price of $267.9. The impact to his portfolio due to this purchase was 0.08%. His holdings were 9,100 shares as of 06/30/2013.

    New Purchase: KKR & Co LP (KKR)

    Tom Gayner initiated holdings in KKR & Co LP. His purchase prices were between $17.8 and $21.15, with an estimated average price of $19.85. The impact to his portfolio due to this purchase was 0.08%. His holdings were 115,000 shares as of 06/30/2013.

    New Purchase: Eni SpA (E)

    Tom Gayner initiated holdings in Eni SpA. His purchase prices were between $40.39 and $48.96, with an estimated average price of $45.85. The impact to his portfolio due to this purchase was 0.04%. His ! holdings were 30,000 shares as of 06/30/2013.

    New Purchase: Ross Stores, Inc. (ROST)

    Tom Gayner initiated holdings in Ross Stores, Inc.. His purchase prices were between $59.26 and $66.5, with an estimated average price of $64.05. The impact to his portfolio due to this purchase was 0.04%. His holdings were 18,000 shares as of 06/30/2013.

    New Purchase: Carlyle Group LP (CG)

    Tom Gayner initiated holdings in Carlyle Group LP. His purchase prices were between $24.19 and $32.87, with an estimated average price of $29.56. The impact to his portfolio due to this purchase was 0.02%. His holdings were 20,000 shares as of 06/30/2013.

    Sold Out: EOG Resources (EOG)

    Tom Gayner sold out his holdings in EOG Resources. His sale prices were between $113.44 and $137.9, with an estimated average price of $128.22.

    Sold Out: State Street Corp (STT)

    Tom Gayner sold out his holdings in State Street Corp. His sale prices were between $56.51 and $67.44, with an estimated average price of $62.2.

    Sold Out: Bunge Ltd (BG)

    Tom Gayner sold out his holdings in Bunge Ltd. His sale prices were between $66.4 and $73.51, with an estimated average price of $70.39.

    Added: UnitedHealth Group Inc (UNH)

    Tom Gayner added to his holdings in UnitedHealth Group Inc by 45.25%. His purchase prices were between $58.54 and $66.09, with an estimated average price of $62.22. The impact to his portfolio due to this purchase was 0.4%. His holdings were 569,800 shares as of 06/30/2013.

    Added: Liberty Media Corporation (LMCA)

    Tom Gayner added to his holdings in Liberty Media Corporation by 102.38%. His purchase prices were between $108.75 and $130.01, with an estimated average price of $119.32. The impact to his portfolio due to this purchase was 0.2%. His holdings were 85,000 shares as of 06/30/2013.

    Added: National Oilwell Varco, Inc. (NOV)

    Tom Gayner added to his holdings in National Oilwell Varco, Inc. by 40.44%. His purchase prices were bet! ween $64.! 14 and $71.57, with an estimated average price of $68.35. The impact to his portfolio due to this purchase was 0.14%. His holdings were 191,000 shares as of 06/30/2013.

    Added: Google, Inc. (GOOG)

    Tom Gayner added to his holdings in Google, Inc. by 86%. His purchase prices were between $765.914 and $915.89, with an estimated average price of $849.25. The impact to his portfolio due to this purchase was 0.13%. His ho

Hot Blue Chip Stocks To Buy Right Now: Visa Inc.(V)

Visa Inc., a payments technology company, engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. The company owns and operates VisaNet, a global processing platform that provides transaction processing services. It also offers a range of payments platforms, which enable credit, charge, deferred debit, debit, and prepaid payments, as well as cash access for consumers, businesses, and government entities. The company provides its payment platforms under the Visa, Visa Electron, PLUS, and Interlink brand names. In addition, it offers value-added services, including risk management, issuer processing, loyalty, dispute management, value-added information, and CyberSource-branded services. The company is headquartered in San Francisco, California.

Advisors' Opinion:
  • [By Rebecca Lipman]

     Operates retail electronic payments network worldwide. Market cap of $82.48B. EPS growth (5-year CAGR) at 15%. According to Morgan Stanley: "Global penetration of electronic payments remains low with 85% of the world's transactions still cash-based, leaving ample runway to support healthy growth prospects through (at least) 2015."

  • [By Charles Sizemore]

    One of the “big picture” economic themes that I expect to play out over 2011 and beyond is the secular shift to a global cashless society.?Though the process is well on its way in the U.S. and Europe, roughly 40% of all transactions are still made with cash and paper checks according to Barron’s.

    This means that even in “boring” developed markets, there is ample room for growth in electronic payments. And there is no better company to benefit from this trend than credit card giant Visa (NYSE: V).

Top Undervalued Companies To Own For 2014: Apple Inc.(AAPL)

Apple Inc., together with subsidiaries, designs, manufactures, and markets personal computers, mobile communication and media devices, and portable digital music players, as well as sells related software, services, peripherals, networking solutions, and third-party digital content and applications worldwide. The company sells its products worldwide through its online stores, retail stores, direct sales force, third-party wholesalers, resellers, and value-added resellers. In addition, it sells third-party Mac, iPhone, iPad, and iPod compatible products, including application software, printers, storage devices, speakers, headphones, and other accessories and peripherals through its online and retail stores; and digital content and applications through the iTunes Store. The company sells its products to consumer, small and mid-sized business, education, enterprise, government, and creative markets. As of September 25, 2010, it had 317 retail stores, including 233 stores in the United States and 84 stores internationally. The company, formerly known as Apple Computer, Inc., was founded in 1976 and is headquartered in Cupertino, California.

Advisors' Opinion:
  • [By Stephen Quickel]

     Can Apple Inc. (AAPL) return to the $700 level? Whether its does or not, I suspect that the stock will be one of the outstanding comeback stories during the year ahead. 

    Indeed, even if it rebounds to $600 or so, that's a 20% gain. Most investors would settle for that. And chances are it will do much better over time, given Apple's knack for coming up with new products.

    Short sellers have cleaned up since they began bum-rapping Apple in late 2012. Three observations are appropriate: 

    1. The short positions, while rising rapidly early in the fall, never amounted to more than a few percent of the outstanding shares at their peak.
    2. The stock was probably overdue for correction, having zoomed 9-fold since March 2009.
    3. The consensus of 50-plus Wall Street analysts covering AAPL still calls for 20%-plus a year earnings growth going forward, with a target price of $762.

    Apple, in case you hadn't noticed, is selling iPads and iPhones at record levels while its stock has been under attack, in just about every corner of the world.

  • [By Victor Mora]

    Apple strives to provide innovative products and services that consumers and companies �love to own. Activist investor Carl Icahn has revealed that he has a big stake in the company. The stock has been surging higher in recent years and is now breaking above a base that was formed this year. Over the last four quarters, earnings have been mixed while revenue figures have been rising which has led to mixed feelings among investors in the company. Relative to its peers and sector, Apple has been a weak year-to-date performer. Look for Apple to OUTPERFORM.

  • [By Roberto Pedone]

    Finally, we're revisiting Apple (AAPL) this week. Last week, Apple was just starting to break out above it's the downtrending resistance line that's held shares lower for months. And sure enough, in the sessions that have followed, Apple has quietly made a move to test its last swing high at $466.

    That price is the nearest important resistance level for the stock; traders should treat a move through $466 as a buy signal. If Apple's downtrend is truly broken, we'll want to see the stock make a series of higher lows and higher highs. Now, the $436 billion firm is finally in a position where it can start to do that. This week's price action could get interesting for Apple bulls.

    I'm still recommending buyers keep a protective stop on the other side of the 50-day moving average; it should start looking like a decent proxy for support when a move through $466 happens.

Hot Blue Chip Stocks To Buy Right Now: Colgate-Palmolive Company(CL)

Colgate-Palmolive Company, together with its subsidiaries, manufactures and markets consumer products worldwide. It offers oral care products, including toothpaste, toothbrushes, and mouth rinses, as well as dental floss and pharmaceutical products for dentists and other oral health professionals; personal care products, such as liquid hand soap, shower gels, bar soaps, deodorants, antiperspirants, shampoos, and conditioners; and home care products comprising laundry and dishwashing detergents, fabric conditioners, household cleaners, bleaches, dishwashing liquids, and oil soaps. The company offers its oral, personal, and home care products under the Colgate Total, Colgate Max Fresh, Colgate 360 Advisors' Opinion:

  • [By ChuckCarlson]

    Colgate-Palmolive Company (CL), together with its subsidiaries, manufactures and markets consumer products worldwide. The company has raised distributions for 48 years in a row. The 10 year annual dividend growth rate is 12.40%/year. The last dividend increase was 9.40% to 58 cents/share. Analysts are expecting that Colgate Palmolive will earn $5.52/share in 2012. I expect that the quarterly dividend will be raised to 64 cents/share in 2012. Yield: 2.60%

Hot Blue Chip Stocks To Buy Right Now: Philip Morris International Inc(PM)

Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. Its international product brand line comprises Marlboro, Merit, Parliament, Virginia Slims, L&M, Chesterfield, Bond Street, Lark, Muratti, Next, Philip Morris, and Red & White. The company also offers its products under the A Mild, Dji Sam Soe, and A Hijau in Indonesia; Diana in Italy; Optima and Apollo-Soyuz in the Russian Federation; Morven Gold in Pakistan; Boston in Colombia; Belmont, Canadian Classics, and Number 7 in Canada; Best and Classic in Serbia; f6 in Germany; Delicados in Mexico; Assos in Greece; and Petra in the Czech Republic and Slovakia. It operates primarily in the European Union, Eastern Europe, the Middle East, Africa, Asia, Canada, and Latin America. The company is based in New York, New York.

Advisors' Opinion:
  • [By Louis Navellier]

    Philip Morris International (NYSE:PM) is involved with the manufacture and sale of cigarettes and other tobacco products in over 180 countries across the globe. Year to date, PM stock is up 16%, compared to a loss of nearly 2% for the Dow Jones.

Wednesday, August 28, 2013

OMVS Proceeds with Development of Groundbreaking Transportation Portal (OTCMKTS:OMVS)

omvs

On the Move Systems Corp. (OMVS)

Today, OMVS has shed (-21.43%) down -0.060 at $.22 with 281,521 shares in play thus far (ref. google finance Delayed: 12:47PM EDT August 28, 2013).

On the Move Systems Corp. previously reported it is forging ahead with plans to construct a next-generation online transportation portal designed to deliver more travel options to business and consumers than ever before.

OMVS recently signed a development partnership agreement with ByterDyne, an architect of scalable, custom software solutions across the energy, transportation/logistics and e-commerce industries. Together, the two companies are working to complete the development of OMVS' ISTx platform, the digital heart of an online portal designed to connect users with discounted transportation options from charter jet service to luxury ground shuttles and more.

Top Warren Buffett Companies To Buy For 2014

On the Move Systems Corp. (OMVS) 5 day chart:

omvschart

Tuesday, August 27, 2013

Daily ETF Roundup: FDN Rallies After Yahoo! Earnings, ...

Best Penny Stocks To Invest In 2014

After rallying throughout the earlier hours, U.S. equities drifted off session highs following Federal Reserve Chairman Ben Bernanke's testimony for Congress. Bernanke emphasized, "our asset purchases depend on economic and financial developments, but they are by no means on a preset course". The chairman also noted that while the bond buying program could be reduced somewhat more quickly if economic conditions improve, the central bank could still maintain its $85 billion monthly pace for longer if labor market conditions worsen. In other economic news, housing starts tumbled 9.9% in June to the lowest level since last August .



Global Market Overview: FDN Rallies After Yahoo! Earnings, IHI PopsFollowing Bernanke's commentary, all three major U.S. equity indexes managed to close in positive territory. The S&P 500 ETF traded 0.27% higher, while the tech-heavy Nasdaq ETF rose 0.28% – both the S&P 500 and Nasdaq finished lower for the first time in nine sessions. The Dow Jones Industrial Average ETF inched 0.10% higher.

In Europe, markets were broadly higher; the Stoxx Europe 600 gained 0.6%. Meanwhile, China's Shanghai Composite shed 1.0%, and Japan's Nikkei Stock Average rose 0.1%, marking its fourth straight gain.

Bond ETF Roundup

U.S. Treasuries rallied today after Bernanke emphasized that there is no "preset course" for the Fed's bond-buying program. Yields on 10-year notes fell 5 basis points, while 30-year bonds and 5-year note yields fell 2 and 7 basis points, respectively .

Commodity Roundup

Crude oil futures traded higher today, settling above $106 a barrel, after the U.S. Energy Information Administration reported a 6.9 million barrel fall in crude stockpiles for the week ended July 12. In other energy trading, gasoline futures fell slightly after the EIA reported supplies rising b! y 3.1 million barrels. Meanwhile, gold futures traded lower on Bernanke's testimony, settling at $1,277.90 an ounce.

ETF Chart Of The Day #1: The DJ Internet Index Fund was one of the best performers today, gaining 1.46% during the session. After Yahoo (YHOO) reported earnings that topped expectations, this ETF surged during the morning hours. FDN traded higher throughout the day, eventually settling at $49.50 a share .

Click To Enlarge

ETF Chart Of The Day #2: The U.S. Medical Devices ETF also posted a strong performance today, gaining 0.90% during the session. After St Jude Medical, Inc (STJ) reported better-than-expected earnings, this ETF gapped significantly higher at the open. IHI eventually settled at $81.51 a share .

Click To Enlarge

ETF Fun Fact Of The DayThe best-performing retirement strategy over the trailing 1-week period has been the Aggressive Portfolio, which has gained 2.34%.



Disclosure: No positions at time of writing.



Sunday, August 25, 2013

Coal Stocks Drop: Blame Natural Gas?

After a recent run of gains, coal stocks are falling today. Should investors blame failing natural-gas prices?

Reuters

At first, the two would appear to have little to do with each other. While both are fossil fuels, gas is gas, coal is coal, and that is that.

But in a report released yesterday, JPMorgan’s John Bridges notes the strong link between coal stocks and the price of natural gas. He writes:

US coal equities are normally most correlated with the price of natural gas. This correlation comes about because, at the margin, coal competes with gas for marginal sales. A high gas price means more sales for more affordable coal power.

The price of natural gas, however, has dropped 0.4% today, and wouldn’t you know it, coal stocks are weak. Cloud Peak Energy (CLD) has dropped 4.2% to $16.15, while Peabody Energy (BTU) has fallen 2.9% to $17.27. Arch Coal (ACI) is off 1.3% at $4.45, Alpha Natural Resources (ANR) has declined 1.4% to $5.76 and Consol Energy (CNX) has dipped 0.7% to $31.35.

Still, Bridges notes that the coal names could get a boost if China’s economy is indeed finding a bottom. He notes:

…as China appears to have stabilized and Europe may be exiting its recession, the better coal names may have become interesting for patient investors and the more levered names Alpha, Arch and Peabody appear to have broken their down trends. The difficulties in valuing ANR and ACI keep us Neutral on these names, but we remain positive on CNX as a special situation in coal.

Saturday, August 24, 2013

A Surprising Opportunity for Possible Yield

Even as markets deal with the infantile reaction to Ben Bernanke’s awkward comments about the end of QE, one thing is clear: The economy, however shaky, continues to improve.

And despite record bond fund outflows and high-profile hemorrhaging at famous equity firms, bank loan funds continue to thrive. Investors poured nearly $15 billion into bank loan mutual funds in the first quarter of 2013, according to Morningstar. 

Mark Okada“There are two reasons you’re hearing about them,” says Mark Okada (left), chief investment officer of Highland Capital and portfolio manager for the Highland Floating Rate Opportunities Fund (HFRAX). “The first is ongoing concern about monetary policy and interest rate risk across the portfolio. The second is that in an improving economy, investors need access to that economy, and it’s something the asset class offers.”

As to the former, Okada says it protects against downside risk from interest rates. Short-term rates are “not going up anytime soon,” he argues, meaning attendant coupons won’t rise, either. And when long-term rates begin to rise, the asset class typically outperforms fixed income.

As to the latter, because it’s below-investment-grade debt, it depends on the health of the underlying issuer, the particular industry and, hence, the overall economy. Below investment grade also translates to bigger spreads and more room for investors to maneuver, Okada adds.

“As the economy improves, they’re getting a credit spread that’s built into the asset class. So why is the asset class good?” he rhetorically asks. “How else can you get access to the improving economy? Equities are volatile; high-yield bonds have a spread premium, but it’s low and it’s largely offset by interest rate risk. Bank loan funds take interest rate risk off the table and don’t have the volatility of equities, high-yield bonds and certainly not emerging-market debt.”

Okada notes that surprisingly, “there’s no upside in bank loan funds.” Value comes from a return of principal plus the coupon, so the key is to identify problems before they happen (which is pretty much every manager’s objective and easier said than done).

 “What we’ve learned is that if a credit analyst is covering less than 30 issues, they know those issues and are on top of them,” he says. “It’s counterintuitive, but we add alpha and beat the market because we sell better than anybody else, rather than looking to buy at the right time.”

The key is those 30 issues. Many more and the only thing the investor captures is downside risk.

“At a certain point, diversification is not your friend,” Okada concludes. “You might not believe it, but a concentrated portfolio is actually less risky because it’s about better issues, not more issues."

---

Check out FINRA Whacks Wells Fargo, Merrill Lynch $5M Over Unsuitable Floating-Rate Bank Loan Funds on AdvisorOne.

Friday, August 23, 2013

Hot Canadian Companies For 2014

Canadian stocks rose, capping a fourth straight week of gains for the benchmark index, as an increase in metals prices boosted materials producers and China planned to remove the floor on lending rates.

Centerra Gold Inc. added 4.2 percent as the metal�� price climbed for a second week. Athabasca Oil Corp. jumped 6.7 percent as oil rose to a 16-month high. BlackBerry Ltd. fell 1.3 percent, reversing an earlier rally of as much as 2.2 percent.

The Standard & Poor��/TSX Composite Index rose 56.28 points, or 0.5 percent, to 12,685.13 at 4 p.m. in Toronto. The benchmark gauge rallied 1.8 percent for the week. Trading volume was 8.4 percent below the 30-day average at this time of day.

��aterials, energy and financials are really the main areas,��said John Kinsey, fund manager with Caldwell Securities Ltd. in Toronto. He helps manage about $1 billion ($953 million). ��here�� a large commodity factor in the Toronto market. Gold and energy or oil stocks are up and it is nice to see them following the commodities. Financials have had a nice run and are pausing a bit today but are still up.��

Hot Canadian Companies For 2014: Waste Management Inc.(WM)

Waste Management, Inc., through its subsidiaries, provides waste management services to residential, commercial, industrial, and municipal customers in North America. It offers collection, transfer, recycling, and disposal services. The company also owns, develops, and operates waste-to-energy and landfill gas-to-energy facilities in the United States. Its collection services involves in picking up and transporting waste and recyclable materials from where it was generated to a transfer station, material recovery facility, or disposal site; and recycling operations include collection and materials processing, plastics materials recycling, and commodities recycling. In addition, it provides recycling brokerage, which includes managing the marketing of recyclable materials for third parties; and electronic recycling services, such as collection, sorting, and disassembling of discarded computers, communications equipment, and other electronic equipment. Further, the company e ngages in renting and servicing portable restroom facilities to municipalities and commercial customers under the Port-o-Let name; and involves in landfill gas-to-energy operations comprising recovering and processing the methane gas produced naturally by landfills into a renewable energy source, as well as provides street and parking lot sweeping services. Additionally, it offers portable self-storage, fluorescent lamp recycling, and medical waste services for healthcare facilities, pharmacies, and individuals, as well as provides services on behalf of third parties to construct waste facilities. The company was formerly known as USA Waste Services, Inc. and changed its name to Waste Management, Inc. in 1998. Waste Management, Inc. was incorporated in 1987 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Tom Konrad]

    The only household name in this year's list, Waste Management is coming back for an encore performance in 2013.  WM is the North American leader in recycling and renewable biogas among waste and environmental services companies.  The industry has been in a cyclical downturn, and WM's well-covered 4.2% dividend makes it a solid anchor for this portfolio of small and micro-cap clean energy stocks.

  • [By Jonas Elmerraji]

    Investors think Waste Management (WM) is a garbage stock right now. Why else would WM's short interest ratio hover around 12.6? Of course, Waste Management is in fact a garbage stock of sorts -- it is the largest waste management service provider in the country. The firm boasts more than 270 landfills and a massive fleet of trash collection vehicles that spans the U.S.

    When I think garbage firms, the first thing that comes to mind is dividends: WM and its peers historically have generous, recession-resistant dividend payouts. Currently, Waste Management's yield adds up to 3.36% annually. Don't forget, dividends are like kryptonite to short sellers.

    WM's willingness to embrace innovation has big potential in the years ahead. Right now, the firm's portfolio includes 22 waste-to-energy plants that are designed to turn the waste that WM literally gets paid to collect into renewable energy that the firm gets paid for again. At this point, the firm's energy plants make up a very small part of its total business, but waste-to-energy projects and the recent acquisition of small oil service firms should look attractive to investors right now.

    Earnings in two months look like the next big catalyst for a short squeeze in WM.

  • [By Sam Collins]

    Houston-based Waste Management Inc. (NYSE: WM) is the largest trash hauling/disposal company in the United States. This company is a model for steady growth with earnings increasing steadily over many years.?

    S&P has a “four-star buy” on WM with a 12-month target of $42. WM pays an annual dividend of $1.36 for a yield of 3.7%.?

    Technically, the stock is in a powerful bull channel with support at $36 and resistance at $39. Buy WM as a long-term growth opportunity.

Hot Canadian Companies For 2014: Panhandle Royalty Company(PHX)

Panhandle Oil and Gas Inc. engages in the acquisition, management, and development of oil and natural gas properties. The company?s mineral and leasehold properties are located primarily in Arkansas, New Mexico, North Dakota, Oklahoma, and Texas. As of September 30, 2011, it owned 255,857 net mineral acres; leased 17,480 net acres; held working and royalty interests in 5,107 producing oil and natural gas wells; and operated 48 wells in the process of being drilled. It serves pipeline and marketing companies. Panhandle Oil and Gas Inc. was founded in 1926 and is based in Oklahoma City, Oklahoma.

10 Best Blue Chip Stocks To Own Right Now: AmerisourceBergen Corporation (HOLDING CO)

AmerisourceBergen Corporation, a pharmaceutical services company, provides drug distribution and related services to healthcare providers and pharmaceutical manufacturers in the United States, the United Kingdom, and Canada. The company distributes brand-name and generic pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, and related services to various healthcare providers, including acute care hospitals and health systems, independent and chain retail pharmacies, mail order pharmacies, medical and dialysis clinics, physicians, and long-term care and other alternate site pharmacies. It also offers various services, such as pharmaceutical packaging, pharmacy automation, inventory management, reimbursement and pharmaceutical consulting and staffing services, logistics services, and pharmacy management. In addition, AmerisourceBergen provides scalable automated pharmacy dispensing equipment, medication and supply dispensing cabinets , and supply management software to various retail and institutional healthcare providers. Further, the company offers distribution and other services to physicians, who specialize in various disease states; distributes plasma and other blood products, injectible pharmaceuticals, and vaccines; and provides drug commercialization, third party logistics, reimbursement consulting, data analytics, and outcomes research services for biotech and other pharmaceutical manufacturers, as well as practice management and group purchasing services for physician practices. Additionally, it delivers unit dose, punch card, unit-of-use, and other packaging solutions to institutional and retail healthcare providers; and offers contract packaging and clinical trial material services for pharmaceutical manufacturers. The company serves customers through a network of distribution and service centers, and packaging facilities. AmerisourceBergen was founded in 1985 and is headquartered in Chesterb rook, Pennsylvania.

Hot Canadian Companies For 2014: Hudbay Minerals Inc (HBM)

HudBay Minerals Inc., an integrated mining company, engages in the exploration and development of copper, zinc, and precious metals mines in North and South America. It primarily produces copper concentrates containing copper, gold, and silver; and zinc metal. The company principally owns underground 777 mine that covers an area of 4,400 hectares and is located in Flin Flon, Manitoba. It also owns ore concentrators and a zinc production facility in northern Manitoba and Saskatchewan. The company was founded in 1992 and is based in Toronto, Canada.

Hot Canadian Companies For 2014: Royal Caribbean Cruises Ltd.(RCL)

Royal Caribbean Cruises Ltd. operates in the cruise vacation industry worldwide. It owns five cruise brands, which comprise Royal Caribbean International, Celebrity Cruises, Pullmantur, Azamara Club Cruises, and CDF Croisi�es de France. The Royal Caribbean International brand provides various itineraries and cruise lengths with options for onboard dining, entertainment, and other onboard activities primarily for the contemporary segment. It offers surf simulators, water parks, ice skating rinks, rock climbing walls, and shore excursions at each port of call, as well as boulevards with shopping, dining, and entertainment venues. The Celebrity Cruises brand operates onboard upscale ships that offer luxurious accommodations, fine dining, personalized services, spa facilities, venue featuring live grass, and glass blowing studio for the premium segment, as well as resells computers and other media devices. The Pullmantur brand provides an array of onboard activities and serv ices to guests, including exercise facilities, swimming pools, beauty salons, gaming facilities, shopping, dining, complimentary beverages, and entertainment venues serving the contemporary segment of the Spanish, Portuguese, and Latin American cruise markets. The Azamara Club Cruises brand offers various onboard services, amenities, gaming facilities, fine dining, spa and wellness, butler service for suites, and interactive entertainment venues for the up-market segment of the North American, United Kingdom, German, and Australian markets. The CDF Croisieres de France brand offers seasonal itineraries to the Mediterranean; and various onboard services, amenities, entertainment venues, exercise and spa facilities, fine dining, and gaming facilities for the contemporary segment of the French cruise market. As of December 31, 2011, the company operated 39 ships with a total capacity of approximately 92,650 berths. Royal Caribbean Cruises Ltd. was founded in 1968 and is headqua rtered in Miami, Florida.

Advisors' Opinion:
  • [By Hawkinvest]

    Royal Caribbean Cruises (RCL) is one of Carnival's competitors in the cruise industry. Royal does not have the same issues as Carnival in terms of the Costa Concordia incident, but it could be impacted by discounting in cruise fares, as well as higher fuel costs. Royal Caribbean shares were recently downgraded to a strong sell by Zacks Investment Research, and a recent analyst report states:

    We are a bit doubtful about the cruising sector in the near term after Carnival's ship Costa Concordia ran aground in mid-January on Italy's west coast. The disaster hit the industry in the wake of the wave season between January and March. The recent tragedy resulted in subdued bookings. Royal Caribbean's overall booking volumes in North America came down. In Europe, where the incident took place, the cut in bookings has been steeper. Business in APMEA was also down slightly. The company expects a 20% decline in new bookings during the peak of wave season.

    This stock was trading below $26 in early January, but it has rallied with the markets. With oil prices trending higher, and the stock at the high end of the recent trading range, the shares look vulnerable to a pullback.

    Here are some key points for RCL:

    Current share price: $29.89

    The 52 week range is $18.70 to $45.45

    Earnings estimates for 2011: $2.32 per share

    Earnings estimates for 2012: $2.94 per share

    Annual dividend: 40 cents per share which yields about 1.3%

Sunday, August 18, 2013

Daily ETF Roundup: XLI Pops, XHB Rallies On Foreclosure Data

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U.S. equities ended in positive territory once again today after the second quarter earnings season kicked off on a relatively positive note. Yesterday, bellwether Alcoa reported adjusted earnings that were higher than expected, while revenues fell in line with expectations. In economic news, the National Federation of Independent Business reported that its small-business optimism index fell in June from the month before, while the Conference Board's employment trends index rose 3.8% from a year ago .



Global Market Overview: FDN and XLP Pop Ahead of Unofficial Start Of Earnings SeasonWith the second quarter earnings season on its way, all three major U.S. equity indexes managed to close in positive territory. The Dow Jones Industrial Average ETF rallied 0.51% after its underlying index was within 100 points of reaching its record close of 15,409.39. The S&P 500 ETF rose 0.72%, while the tech-heavy Nasdaq ETF gained 0.62% after its underlying index posted its best close since October of 2000.

In Europe, markets were broadly higher; the Stoxx Europe 600 rose 0.8%. Meanwhile, Japan's Nikkei Stock Average rallied 2.6% to close at its highest level since May, while China's Shanghai Composite tacked on 0.4%.

Bond ETF Roundup

U.S. Treasuries traded slightly higher today following a positive government auction of 3-year notes. Yields on 10-year notes fell 2 basis points, while 30-year bonds yields rose slightly to 3.644% and 3-year note yields fell 0.5 basis points .

Commodity Roundup

Crude oil futures traded higher today, settling above $103 a barrel to finish at their highest level in 14 months. In other energy trading, gasoline gained 4 cents while natural gas shed 3.4%. Meanwhile, gold futures rose to settle at $1,245.90 an ounce on Chinese inflation data.

ETF Chart Of The Day #1: The Industria! l Select Sector SPDR ETF was one of the best performers today, gaining 1.40% during the session. Industrial shares were among today's top performers, allowing this ETF to gap significantly higher at the open. XLI inched higher throughout the majority of the day, eventually settling at $44.03 a share .

Click To Enlarge

ETF Chart Of The Day #2: The SPDR Homebuilders ETF also posted a strong performance today, gaining 2.77% during the session. Following news that foreclosures in May were down 27% from a year ago, this ETF gapped higher at the open. XHB pushed higher throughout the day, eventually settling at $30.03 a share .

Click To Enlarge

ETF Fun Fact Of The DayThe best-performing themed strategy over the trailing 1-year period has been the Financials Free ETFdb Portfolio, which has gained 9.47%.



Disclosure: No positions at time of writing.



Saturday, August 17, 2013

July ETF Roundup: Launches, Filings And Closures

July was dominated by Q2 earnings reports, with low expectations going into the season. While trading was lackluster and earnings reports were mixed at times, Ben Bernanke has continued charging forward with his plans to work the economy off of QE and back into a self sustaining cycle. Ending the month was the GDP results for Q2, which came in better than expected, thoug the figure is still not rising at an outstanding rate .

July saw a number of new funds launch, with 15 new ETFs entering the ring and five different companies making plans with the SEC for new launches later in the year  .

New ETFsNew exchange-traded products that began trading in June include:

WisdomTree Japan Hedged SmallCap Equity Fund and United Kingdom Hedged Equity Fund : WisdomTree was first on the scene this month, launching two new single country ETFs that offer exposure to the equity markets while also neutralizing the effects of how the home currencies are impacted by the U.S. dollar.EGShares Emerging Markets Dividend Growth ETF : Also launching a product on July 1st was EG Shares, bringing an index of 50 dividend paying companies from emerging markets to the scene.SPDR Russell 2000 ETF : Building its own portfolio based on the Russell 2000, State Street released this new fund just after Independence day and already TWOK is making a dent in the existing Russell funds.iSharesBond 2016 Corporate Term ETF , 2018 Corporate Term ETF , 2020 Corporate Term ETF , 2023 Corporate Term ETF : iShares has once again expanded its already extensive lineup, focusing on global corporate bonds with a range of expiration dates.MSCI USA Quality Factor ETF : This iShares fund takes a factor-based approach in trimming down the starting universe by employing a series of fundamental metrics screens to narrow down to only the highest-quality of companies.BulletShares 2021 Corporate Bond ETF and 2022 Corporate Bond ETF :  Guggenheim is adding two new fixed income funds aimed at investors in search of more targ! eted maturities when it comes to corporate bonds exposure.Athena International Bear ETF : AdvisorShares is rolling out a one-of-a-kind product that should catch the attention of anyone wary of the market's steep run-up thus far on the year.CSI China Five Year Plan ETF :  The new issuer, KraneShares, is expected to focus exclusively on China-centric strategies, and KFYP is the very first of seven funds in total waiting in the development pipeline.WisdomTree US SmallCap Dividend Growth Fund : This new WisdomTree ETF will look to take advantage of the markets' growing optimism as it targets arguably the most volatile corner of the domestic market: small cap stocks.VelocityShares Equal Risk Weighted Large Cap ETF : The last addition for July comes from VelocityShares, which launched its solution to a low volatility view of the general U.S. market.Coming SoonA number of new issuers filed paperwork in July to join the ETF market, along with some industry veterans:

ALPS is backing the RiverFront strategy that has been in the making for over three years, and after submitting an updated prospectus earlier this week it seems the fund may soon make its way to marketETF newcomer, Syntax Analytics has submitted paperwork with the SEC in hopes of offering a range of actively managed ETFs.Last fall, LocalShares announced plans to create a Nashville ETF, and while many in the industry assumed the fund would never come together, the issuer has updated its regulatory paperwork and launched the fund on August 1st.Seasoned veteran to the ETF industry, Deutsche Bank's U.S. office sent paperwork to the SEC late last week, seeking permission to offer long/short and index creation rights for these funds.The firm behind the growing FactorShares ETFs, Gencap, has approached the SEC this week searching for approval to offer active funds. One of the first funds the company is hoping to launch under the active banner is a Mongolia equity ETF that the company has been working on for a while.ETF Closin! gsAfter a! number of closings in June, issuers have focused more on filling the pipeline than cutting dead weight, leading to no closures this month.

Top Financial Companies To Buy For 2014



Disclosure: No positions at time of writing.



Friday, August 16, 2013

Lockheed Wins $53.6M DoD Contract - Analyst Blog

Top 10 Oil Companies To Buy For 2014

Lockheed Martin Corp. (LMT), through its Mission Systems and Training unit, won a firm-fixed-price contract from the Department of Defense (DoD) for six B-2 line replaceable units, data, material lay-in, and overhaul management.

The contract has a total value of $53.6 million with the primary three-year period expected to wind up by Jul 2016. Lockheed Martin also has an additional two-year option period till 2018 to perform the work.

Lockheed has received numerous contracts in the last few months thanks to its diversified operations focusing on ISR, unmanned systems, force protection, cyber security, and missile defense.

Bethesda, Md.-based Lockheed Martin is a global security and aerospace company that is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services.

Earlier this month, a Lockheed Martin business wing, Mission Systems and Training, won a $295 million DoD contract for work on the Aegis missile defense. This is a sole-source, cost-plus-incentive-fee/cost-plus-award-fee/cost-plus-technical-schedule incentive fee contract modification, under which Lockheed Martin will provide system engineering and program management services. This is mainly intended for the development of Aegis Ballistic Missile Defense Baseline, which would support the 5.1 variant through the Critical Design Review and Increment-2 through the Preliminary Design Review. The company's work on the contract will continue through Mar 30, 2015.

Lockheed Martin's Mission Systems and Training division also won a $6.9 million cost-plus-incentive-fee, cost-plus-fixed-fee contract to perform additional Aegis development work for the U.S. Navy. The deal though minor has an option, which can boost the total value to $304.4 million, if exercised.

Despite ! the lurking fears of sequestration and its adverse impact on U.S. defense budgets, we expect Lockheed Martin to register a stable performance in the long run due to a leveraged presence in the Army, Air Force, Navy and IT programs.

Lockheed Martin is a Zacks Rank #3 (Hold) stock. Other stocks from the sector that are presently performing well include Embraer SA (ERJ), The Boeing Company (BA) and Northrop Grumman Corp. (NOC), all with a Zacks Rank #2 (Buy).

Thursday, August 15, 2013

Unusual Drawdown Risk: Hussman Weekly Market Commentary

In order to estimate likely returns and risks in the financial markets, our general approach is to identify a set of historical instances that match current conditions on a broad range of important dimensions (in practice, using an "ensemble approach" that randomizes over scores of subsets of historical data). We then look at various features of that cluster, including the average return that followed over various horizons, the deepest loss over various horizons, and the overall spread of those outcomes. In general, the clusters include a mix of both positive and negative outcomes, resulting in moderate estimates of expected return and moderate estimates of risk. In some cases, the average return across the cluster of instances is very positive, and the individual instances show few negative outcomes at all. That sort of condition justifies a very aggressive investment position. In contrast, since the late-1990's, the average returns of the clusters have been quite poor, with a preponderance of negative outcomes in historical instances having similar characteristics. There have been a few exceptions, including the bulk of 2003 (and on the basis of the ensemble methods we presently use, the period between early-2009 and early 2010 - see Notes on Risk Management for details on our unpleasant "miss" during that period). But generally speaking, market conditions since the late-1990's have supported a defensive investment stance much more often than is typical on a historical basis. Of course, the near-zero total return of the S&P 500 since the late-1990's, coupled with two separate market losses of more than 50%, is a reflection that on average, concerns about poor return and high risk during this period have been well-placed.

In reviewing market conditions this week, what strikes me most is the pattern that emerges when we look across various horizons, from 2 weeks out to 18 months. When we examine the average 2-week outcome that has historically followed periods that cluster with present con! ditions, the average outcomes are negative, but not strikingly so. Specifically, the expected return is in the lowest 26% of all historical observations, but that average return is only about -1%, a figure that is overwhelmed by typical short-term noise. That's another way of saying that guessing the market's outcome over the next couple of weeks is like guessing the throw of a very slightly biased pair of dice.

But the profile starts to change significantly as we move out the investment horizon. Looking out 5 weeks, for example, the prospective return falls into the lowest 8% of historical observations. Now, this could certainly change on the basis of shifts in various market conditions, but here and now, the 5-week horizon is more defensive than we've seen in the other 92% of historical data.

Most striking, though, is what we observe on the basis of prospective drawdown (the deepest loss the market experiences within a given horizon) looking out over the coming 18 months. On that front, the present drawdown estimate is in the worst 1.5% of all historical observations.

Keep in mind the distinction between the drawdown and the return over a given period. The drawdown over an 18-month period is the deepest loss experienced by the market from the current point to the lowest point within that horizon, even if the deepest loss occurs fairly early in that window. In contrast, the return over a given period is measured from the starting point to the ending point. Importantly, once we observe conditions that associate with a significant risk of drawdown, we can almost always find some point later on that provides a better entry opportunity to accept market risk.

Continue reading.

10 Best High Tech Stocks To Own Right Now

Sunday, August 11, 2013

Is Apple a Rotten Investment?

blue apple building modern

Everybody knows about Apple (NASDAQ:AAPL) and its products. However, the question on investors' minds is what the future holds for the company’s stock price. Apple is currently trading at around $400, far below its highs of more than $700 in September. With that said, is Apple an OUTPERFORM, WAIT AND SEE, or STAY AWAY?

C = Catalysts for the Stock's Movement

Apple's strength has always been innovation: creating new products that change the way we work and play. But Apple has failed to introduce a new product since November, and investors believe the company is losing its edge in innovation to competitors. CEO Tim Cook hoped to change this sentiment at Apple’s Worldwide Developers Conference several weeks ago. He referred to Apple’s new product offerings as "game changers,” but the conference only left investors wanting more. The only two products Cook unveiled were iOS 7, an update to existing iPhone and iPad operating systems, and iRadio, a music streaming service that hardly seems different from Pandora (NYSE:P) or Google’s (NASDAQ:GOOG) Play Music All Access service. While these new products may enhance the synergistic effects of the Apple ecosystem, neither will provide a big boost to Apple's bottom line in the near future.

The average selling price of Apple products has recently been in steady decline. A lower average selling price, especially for the iPhone and iPad, will most likely lead to a lackluster third-quarter earnings announcement. The company's quarter-over-quarter gross profit margin fell 10 percentage points in the second quarter. These declining margins are the result of consumers favoring the cheaper iPhone 4S over the iPhone 5 and the increasing popularity of the lower-margin iPad mini relative to the regular iPad. Increasing competition in the smartphone and tablet space from competitors like Samsung and Google have also reduced Apple's high profit margins.

Apple's share price is likely to remain neutral or even trend downward as we move toward its third-quarter earnings announcement, likely to come in late July. For the past two years, analysts have periodically cut Apple's quarterly estimates several weeks before the earnings announcement; these estimate reductions certainly don't help the share price, and reveal little about the actual performance of the company. Analysts that are highly optimistic on Apple will be few and far between until the company unveils a truly innovative new product.

H = High-Quality Products in the Pipeline?

As one of the most secretive companies on the planet, it is difficult to know for certain what types of features we can expect from Apple in new product offerings. At the All Things Digital conference last month, Cook hinted at entering the wearable technology market, saying it’s an "area ripe for exploration." It is difficult to estimate the success the iWatch or a similar product would have in the marketplace since, so few details are known, but a truly novel product offering is vital to restoring positive investor sentiment.

Another upcoming product release is a lower-priced iPhone, projected to cost $399 without a carrier subsidy. A lower-priced phone is an important weapon for Apple as it battles with another smartphone heavyweight, Samsung, for customers in emerging markets. Apple has lost sales to Samsung recently, but the introduction of a cheaper phone should be successful, especially as smartphones continue to gain popularity in emerging markets. Apple is in talks with China Mobile, China’s largest carrier, to reach a distribution deal that could allow Apple access to 700 million consumers in the Chinese smartphone market.

Let's now use some fundamental analysis to help determine whether Apple is an OUTPERFORM, WAIT AND SEE or STAY AWAY.

E = Exceptional Performance Relative to Peers?

Despite recent sentiment that the company has lost its luster, fundamentals are solid for Apple right now. Apple is sitting on a huge pile of cash that it plans to use to increase stock dividends and help fund a $50-billion share repurchase program. Both financial policy decisions will increase the desirability of the stock. Moreover, because of recent pullback in Apple's share price, new investors will enjoy higher yields from the new dividend and the stock buyback. Apple's dividend is currently yielding an attractive 3 percent, more than that of its competitors Microsoft (NASDAQ:MSFT) and Google.

Apple is cheap to own right now compared to its historical price-to-earnings ratio. It also is cheap to own relative to two other industry giants: Google and Microsoft. Generally, stocks with higher P/E ratios are more expensive because they have higher growth prospects; but if you believe that Apple will regain its innovative edge in the marketplace, it could be a good time to buy. Also, Apple trades at a much lower price to free cash flow multiple relative to its historical numbers and its competitors. It seems undervalued based on a comparison to its chief competitors and historical multiples.

Apple Google Microsoft
Trailing P/FCF* 9.68 22.74 13.86
Trailing P/E 9.61 25.89 17.37
QOQ EPS -17.95% 12.80% 19.51%
Dividend Yield 3.03% N/A 2.73%

*Trailing P/FCF = Trailing price to free cash flow.

**Quarter-over-quarter earnings per share.

***All data sourced from Reuters.

T = Technicals Are Weak

Apple is currently trading at around $401, below both its 50-day moving average of $440.20 and its 200-day moving average of $458.38. From the chart below, we can clearly see that Apple has been on a downtrend during the past six months. Investors should wait until the stock's 50-day moving average shows some sort of upward momentum before deciding to go long on Apple.

 

Conclusion 

Apple remains a fundamentally sound company with high-quality products. Despite its poor stock price performance, CEO Tim Cook has emerged from Steve Jobs's shadow while articulating a strong vision for the company. Cook and Jony Ive, Apple’s chief designer, need to release a blockbuster product this fall in order to change investor sentiment. While there is short-term downside based on Apple's shrinking average selling price and gross margins, there is tremendous medium-term upside, as Apple is due for at least one big product release this autumn.

In the short-term, investors should pay close attention to Apple's plans to increase its global marketing presence and the introduction of a lower-priced iPhone later this year. Apple and Samsung share a duopoly in the smartphone market, and establishing a strong presence in emerging markets is paramount to Apple's future financial success. Apple may see its profit margins take a hit, but the increased volume from selling lower-priced iPhones should more than make up for lower margins.

Domestically, the Fed's decision on whether to continue or halt its quantitative easing program exposes Apple to some downside risk. If the Fed ends its bond-buying program too abruptly, it’s likely that consumer sentiment will plummet, with consumers opting for lower-cost alternatives to Apple products, thus reducing company profits further.

For investors who were reluctant to buy Apple last year because of its high price, now may be a great opportunity to establish a long position in the stock; many believe that Apple's stock will hit a fresh 52-week low at around $360 before the company's fourth quarter begins. Apple definitely looks like a second-half story. For now, investors should wait until the price falls a bit before buying and see how Apple’s third quarter ends up. So for now, Apple is a WAIT AND SEE.

Using a solid investing framework such as this can help improve your stock-picking skills. Don't waste another minute — click here and get our CHEAT SHEET stock picks now.

Friday, August 9, 2013

4 Oil & Gas Stocks Under $10 Moving Higher

 DELAFIELD, Wis. (Stockpickr) -- At Stockpickr, we track daily portfolios of stocks that are the biggest percentage gainers and the biggest percentage losers.

Stocks that are making large moves like these are favorites among short-term traders because they can jump into these names and try to capture some of that massive volatility. Stocks that are making big-percentage moves either up or down are usually in play because their sector is becoming attractive or they have a major fundamental catalyst such as a recent earnings release. Sometimes stocks making big moves have been hit with an analyst upgrade or an analyst downgrade.

Regardless of the reason behind it, when a stock makes a large-percentage move, it is often just the start of a new major trend -- a trend that can lead to huge profits. If you time your trade correctly, combining technical indicators with fundamental trends, discipline and sound money management, you will be well on your way to investment success.

With that in mind, let's take a closer look at a several stocks under $10 that are making large moves to the upside today.

FX Energy

FX Energy (FXEN) is an independent oil and gas exploration and production company with principal production, reserves and exploration in Poland and oil production, oilfield service and exploration activities in the U.S. This stock closed up 5.7% to $3.69 in Thursday's trading session.

Thursday's Range: $3.34-$3.71

52-Week Range: $2.48-$8.78

Thursday's Volume: 524,000

Three-Month Average Volume: 672,515

From a technical perspective, FXEN bounced notably higher here right above some near-term support at $3.31 and back above its 50-day moving average of $3.66 with decent upside volume. This move is quickly pushing shares of FXEN within range of triggering a near-term breakout trade. That trade will hit if FXEN manages to take out some near-term overhead resistance levels at its 200-day moving average of $3.89 to more resistance at $3.98.

Traders should now look for long-biased trades in FXEN as long as it's trending above support at $3.31 and then once it sustains a move or close above those breakout levels with volume that hits near or above 672,515 shares. If that breakout triggers soon, then FXEN will set up to re-test or possibly take out its next major overhead resistance levels at $4.50 to $4.76. Any high-volume move above those levels will then put its recent high at $5 into range for shares of FXEN.

Pengrowth Energy

Pengrowth Energy (PGH) is engaged in the development, production and acquisition of, as well as the exploration for, oil and natural gas reserves in the provinces of Alberta, British Columbia, Saskatchewan and Nova Scotia. This stock closed up 1.6% to $5.69 in Thursday's trading session.

Thursday's Range: $5.60-$5.75

52-Week Range: $3.82-$7.49

Thursday's Volume: 1.06 million

Three-Month Average Volume: 1.62 million

From a technical perspective, PGH bounced modestly higher here right above some near-term support at $5.57 with decent upside volume. This stock recently pulled back after a solid uptrend, from $6.06 to that $5.57 low. Shares of PGH now look ready to resume its uptrend and potentially trigger a near-term breakout trade. That trade will hit if PGH manages to take out some near-term overhead resistance levels at $5.88 to $6.06 with high volume.

Traders should now look for long-biased trades in PGH as long as it's trending above support at $5.57 to more support at $5.40 and then once it sustains a move or close above those breakout levels with volume that hits near or above 1.62 million shares. If that breakout triggers soon, then PGH will set up to re-test or possibly take out its next major overhead resistance levels at 7 to $7.50.

McDermott International

McDermott International (MDR) is an engineering, procurement, construction and installation company engaged on designing and executing complex offshore oil and gas projects. This stock closed up 2.2% to $9.52 in Thursday's trading session.

Thursday's Range: $6.69-$6.95

52-Week Range: $6.68-$13.56

Thursday's Volume: 8.51 million

Three-Month Average Volume: 4.48 million

From a technical perspective, MDR bounced modestly higher here right off its recent low of $6.68 with heavy upside volume. This stock recently gapped down sharply from close to $9 to that $6.68 low with heavy downside volume. That move has now pushed shares of MDR into extremely oversold territory, since the stock has a current relative strength index reading of 19.84. Oversold can always get more oversold, but it's also an area where a stock can experience a powerful bounce higher form if buyers decide to step in.

Traders should now look for long-biased trades in MDR as long as it's trending above that $6.68 low and then once it sustains a move or close above its gap down day high near $7.50 with volume that hits near or above 4.48 million shares. If we get that move soon, then MDR will set up to re-fill some of its previous gap down zone that started near $9. Some possible upside targets for MDR if it gets into that gap with volume are $8 to $8.20.

Key Energy Services

Key Energy Services (KEG) provides well services to oil companies, foreign national oil companies and independent oil and natural gas production companies. This stock closed up 4.2% to $6.34 in Thursday's trading session.

Thursday's Range: $6.14-$6.47

52-Week Range: $5.61-$9.57

Thursday's Volume: 2.10 million

Three-Month Average Volume: 2.56 million

From a technical perspective, KEG bounced sharply higher here right above some near-term support at $6.06 and back above its 50-day moving average of $6.33 with decent upside volume. This move is quickly pushing shares of KEG within range of triggering a near-term breakout trade. That trade will hit if KEG manages to take out some near-term overhead resistance levels at $6.52 to its 200-day moving average at $7.01 with high volume.

Traders should now look for long-biased trades in KEG as long as it's trending above some key near-term support at $6.06 to $5.96 and then once it sustains a move or close above those breakout levels with volume that hits near or above 2.56 million shares. If that breakout triggers soon, then KEG will set up to re-test or possibly take out its next major overhead resistance levels at $7.35 to $7.89. Any high-volume move above those levels will then put its next major overhead resistance levels at $8.25 to $8.92 within range for shares of KEG.

To see more stocks that are making notable moves higher today, check out the Stocks Under $10 Moving Higher portfolio on Stockpickr.

-- Written by Roberto Pedone in Delafield, Wis.

Thursday, August 8, 2013

A Rare Opportunity To Own One Of Our Top 'Forever' Stocks While It's 'Hated'

Here at StreetAuthority, we love companies that have a wide moat around their operations and possess powerful long-term growth characteristics.

Investing in these companies is often quite simple. You buy shares -- and put them on the shelf. Year after year, they appreciate in value. Over the course of many decades, they deliver substantial investment returns. We call these "Forever Stocks."

Yet the ride isn't always quite so smooth for some "Forever Stocks." Even companies like GE (NYSE: GE) or IBM (NYSE: IBM) hit a rough patch, temporarily falling deeply out of favor with investors. And when that happens, savvy investors know to pounce, buying shares at marked-down prices.

Such an opportunity exists now with a company headquartered 5,000 miles south of the New York Stock Exchange. Brazil's CPFL Energia (NYSE: CPL) is a very good company having a very bad year. Shares are far from their recent highs, though as the dust settles, look for this stock to rotate back into favor.

Brazil's largest electric utility, CFPL was forced by the Brazilian government to roll back its rates in 2012 in an effort to lower consumer prices. Investors were none too pleased, as it became immediately apparent that the company's dividend couldn't be sustained: A $1.37 a share payout in 2011 had shrunk to $1 in 2012. This year, the dividend will likely be 80 to 90 cents a share. Yet that should mark a bottom, and in coming years, powerful demographic trends should help CFPL to again become a robust dividend grower.

Power To The People
Although the Brazilian economy is undergoing growing pains as it transitions from an emerging economy into a developed economy, the long-term trend of an expanding middle class implies an ongoing need: more power to run refrigerators, air conditioners, washing machines, TV sets and other appliances bought by folks who only recently developed the spending power to buy such goods.

 

And CFPL has been at the forefront of that trend. The utility's sales base has grown from $3 billion in 2004 more than $6.5 billion today. More importantly, the demographic trend is far from played out. 

Just as we saw here in the U.S. in the 1950s, a rising middle class creates a new wave of spending on goods and services that generates a further employment expansion. We saw that in Japan in the 1960s and '70s and in South Korea in the '80s and '90s -- and we're now only part of that way through that process in Brazil. Though the Brazilian economy is currently the seventh-largest in the world, it is likely to crack the top five by 2030.

By CFPL's own estimates, Brazil's power needs will grow at least 5% annually through 2019. That may not seem like much, but it's a 40% increase from 2012 levels. (To put that in context, total electric power demand in the U.S. has risen less than 10% over the past decade.) The Brazilian government agrees, and its Ministry of Mines recently approved a 10-year power generation expansion plan that will deliver an additional 167 gigawatts to the Brazilian grid. 

The Currency Kicker
Unlike U.S.-based "Forever Stocks," an investment in CFPL has an added wrinkle. Investors are exposed to currency movements, which can impinge or magnify stock price gains. Lately, it's been an impingement. 

Since the summer of 2011, the Brazilian real has lost more than 30% of its value against the U.S. dollar, which has had a direct negative impact on Brazilian share prices as they are converted back into dollars. This currency could fall further in the near term, but long-term trade flows suggest it is already becoming quite undervalued, and the stage is set for an eventual rebound in the real. That would provide a tailwind to CFPL's shares (and its dividend) as well.

Risks to Consider: The majority of Brazil's electricity is derived from hydroelectric power, and a drought in the country would put a severe strain on the nation's utilities.

Action to Take --> CFPL Energia reports second-quarter results Aug. 8. At that point, management is likely to focus on the state of the current dividend as well as potential future growth for the payout. Though this stock has fallen by more than a third over the past 18 months, its current dividend yield, in the 5% range, along with dynamic growth prospects, should help this stock to move back into favor in the quarters ahead. 

P.S. -- CPFL Energia isn't the only "Forever" stock I've got my eye on. My colleague Elliott Gue and his staff recently went looking for the absolute best stocks on the market -- those stocks good enough to buy, forget about and hold "Forever." After six months and $1.3 milllion worth of research, the team was successful. To learn more about the "Forever" stocks they uncovered -- including some names and ticker symbols -- click here.

Wednesday, August 7, 2013

An Organic Opportunity for Campbell's Stock

While Campbell Soup's (NYSE: CPB  ) stock has jumped 44% over the past year and is 30% higher so far in 2013, profit growth has been a much more tepid 6% over the last five years, like a bowl of soup left too long on a windowsill to cool off. That's why its purchase of organic baby foods and snacks maker Plum Organics holds the promise of getting sales and earnings back to a rolling boil.

The niche is hot, growing at 43% annually and already having become a $2 billion industry. Plum itself has followed that trajectory from its founding in 2007 to quickly become the No. 2 organic baby food in the U.S. and the No. 4 overall baby food brand, with $93 million in sales last year. The acquisition will push Campbell over $1 billion in revenue for its kid-centric food and drink menu, though not all of it is organic, or even mostly.

Hot Heal Care Companies To Watch For 2014

Whereas organic foods generally account for only about 4% of total U.S. food sales, organic baby food represents more than one-fifth of the segment, according to Hain Celestial (NASDAQ: HAIN  ) , which took a dive into the market itself with its acquisition of Ella's Kitchen earlier this month, adding it to its growing portfolio of organic businesses. That was followed by yogurt maker Danone, which also made a big splash, buying 92% of Happy Family, another leading U.S. maker of organic baby food.

Nestle's Gerber Foods is still the industry giant with more than 50% of the market share in baby food, and is the leader as well in the snack pouch space, where organics tend to thrive, but its focus is much broader, and that gives smaller players like Plum an opportunity to keep growing. And to that extent it's been very successful, with 86% of its product launches getting into the top third of the categories it enters.

It's clear that Campbell is not the only company that's noticed this trend, and its rivals have equally large marketing muscle, but as a purveyor of foods already seen as generally healthy and wholesome, its branding potential ought to allow investors to realize substantial gains for their own portfolios that are "mmm-mmm good."

The Motley Fool's chief investment officer has selected his No. 1 stock for the next year. Find out which stock it is in the special free report: "The Motley Fool's Top Stock for 2013." Just click here to access the report and find out the name of this under-the-radar company.

Tuesday, August 6, 2013

Top 10 Safest Companies To Invest In Right Now

Although business headlines still tout earnings numbers, many investors have moved past net earnings as a measure of a company's economic output. That's because earnings are very often less trustworthy than cash flow, since earnings are more open to manipulation based on dubious judgment calls.

Earnings' unreliability is one of the reasons Foolish investors often flip straight past the income statement to check the cash flow statement. In general, by taking a close look at the cash moving in and out of the business, you can better understand whether the last batch of earnings brought money into the company, or merely disguised a cash gusher with a pretty headline.

Calling all cash flows
When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Computer Task Group (Nasdaq: CTGX  ) , whose recent revenue and earnings are plotted below.

Top 10 Safest Companies To Invest In Right Now: Fluor Corporation(FLR)

Fluor Corporation, through its subsidiaries, provides engineering, procurement, construction, maintenance, and project management services worldwide. Its Oil & Gas segment offers design, engineering, procurement, construction, and project management services to upstream oil and gas production, downstream refining, chemicals, and petrochemicals industries. This segment also provides consulting services comprising feasibility studies, process assessment, and project finance structuring and studies. The company?s Industrial & Infrastructure segment offers design, engineering, procurement, and construction services to the transportation, wind power, mining and metals, life sciences, manufacturing, commercial and institutional, telecommunications, microelectronics, and healthcare sectors. Its Government segment provides engineering, construction, logistics support, contingency response, management, and operations services to the United States government focusing on the Departme nt of Energy, the Department of Homeland Security, and the Department of Defense. The company?s Global Services segment offers operations and maintenance, small capital project engineering and execution, site equipment and tool services, industrial fleet services, plant turnaround services, temporary staffing services, and supply chain solutions. Its Power segment provides engineering, procurement, construction, program management, start-up and commissioning, and operations and maintenance services to the gas fueled, solid fueled, plant betterment, renewables, nuclear, and power services markets. The company also offers unionized management and construction services in the United States and Canada. Fluor Corporation was founded in 1912 and is headquartered in Irving, Texas.

Top 10 Safest Companies To Invest In Right Now: Goldman Sachs Group Inc.(The)

The Goldman Sachs Group, Inc., together with its subsidiaries, provides investment banking, securities, and investment management services to corporations, financial institutions, governments, and high-net-worth individuals worldwide. Its Investment Banking segment offers financial advisory, including advisory assignments with respect to mergers and acquisitions, divestitures, corporate defense, risk management, restructurings, and spin-offs; and underwriting securities, loans and other financial instruments, and derivative transactions. The company?s Institutional Client Services segment provides client execution activities, such as fixed income, currency, and commodities client execution related to making markets in interest rate products, credit products, mortgages, currencies, and commodities; and equities related to making markets in equity products, as well as commissions and fees from executing and clearing institutional client transactions on stock, options, and fu tures exchanges. This segment also engages in the securities services business providing financing, securities lending, and other prime brokerage services to institutional clients, including hedge funds, mutual funds, pension funds, and foundations. Its Investing and Lending segment invests in debt securities, loans, public and private equity securities, real estate, consolidated investment entities, and power generation facilities. This segment also involves in the origination of loans to provide financing to clients. The company?s Investment Management segment provides investment management services and investment products to institutional and individual clients. This segment also offers wealth advisory services, including portfolio management and financial counseling, and brokerage and other transaction services to high-net-worth individuals and families. In addition, it provides global investment research services. The company was founded in 1869 and is headquartered in New York, New York.

Top 5 Performing Stocks To Buy For 2014: Under Armour Inc.(UA)

Under Armour, Inc. develops, markets, and distributes performance apparel, footwear, and accessories for men, women, and youth primarily in the United States, Canada, and internationally. It offers products made from moisture-wicking synthetic fabrics designed to regulate body temperature and enhance performance regardless of weather conditions. The company provides its products in three fit types: compression (tight fitting), fitted (athletic cut), and loose (relaxed) extending across the sporting goods, outdoor, and active lifestyle markets. Its footwear offerings comprise football, baseball, lacrosse, softball, and soccer cleats; slides; performance training footwear; and running footwear. The company also provides baseball batting, football, golf, and running gloves, as well as licenses bags, socks, headwear, custom-molded mouth guards, and eyewear that are designed to be used and worn before, during, and after competition. Under Armour sells its products through retai l stores, as well as directly to consumers through its own retail outlets and specialty stores, Website, and catalogs. The company was founded in 1996 and is headquartered in Baltimore, Maryland.

Advisors' Opinion:
  • [By Fernandez]

    Under Armour designs, develops, markets, and distributes performance apparel, footwear, and accessories for men, women, and youth primarily in the United States and Canada.

    You’ve probably seen the company’s “Protect This House” or “Click-Clack” commercials, and probably seen anyone from the weekend warrior to professional sports teams wearing the company’s moisture-wicking synthetic fabrics, which are designed to keep perspiration away from the skin, and regulate body temperature regardless of weather conditions.

    I must admit for full disclosure that I am an Under Armour nut, and own about 20 pairs of their shorts, shirts and shoes.

    I can attest from personal experience as a natural bodybuilder and athlete that the Under Armour apparel are the best workout clothing I have ever worn, and they look pretty darn cool too.

    Now let me make a clear distinction between a great company, and a great stock.

    Up until recently, Under Armour was the former, but not the latter.

    It has now entered into a zone where the valuation metrics, even in the face of a consumer slowdown, is looking more and more attractive.

    In fact, Under Armour just released earnings Monday.

    They were pretty much in line with analyst’s expectations, and then Under Armour slightly lowered their forward guidance for the remainder of 2008 based on those same consumer headwinds.

    The market liked what it heard sending shares up 20% (of course, the overall market was up 10%, so…). Shares have since rebounded further are now up almost 50% from their lows just last week!

    This leads me to my investment thesis in shares of Under Armour.

    I believe that Under Armour represents one of the quintessential brands of this decade when it comes to sports apparel, the way Under Armour’s fiercest rival Nike (NYSE: NKE) dominated the 90’s.

    Until now the valuation of the company was not commensurate with the! projected profit and growth, which I thought were way too high, and still might be, along with certain inventory related problems that the company now seems to be getting a handle on.

    Still, with the spike in share price, along with the uncertainty in the market and overall economy, I feel that we will still be able to purchase shares of this great company at a great price in the near future and that we’re seeing a bit of a short squeeze in shares of Under Armour.

    Why I Like the Company: One of the quintessential brands of this decade; Valuation is reaching reasonable to “cheap” levels depending on direction of consumer market and Under Armour’s stock price; Dedicated and fully invested founder with over 77% voting power via class B shares; Improved business fundamentals via better inventory controls and operational structure, and new product offerings; Further expansion available outside the U.S.; Relatively higher margins than competition

  • [By Glenn]  

    Current Price: $27.27 12-month target: $37

    I see potential in opportunities for new product adjacencies, and expanding distribution worldwide. Footwear growth will continue to increase. Revenues for these products have increased over 69% in 2009. Adding to this I still see growth in Under Armour’s apparel sales, which are up 8%. Under Armor had yet to even break into the international market, which offers a plethora of new opportunities for this growing brand. I believe sales will rise drastically in 2010 driven by international sales, new women’s clothing line, and expansion within their own footwear line.

Top 10 Safest Companies To Invest In Right Now: Petroleo Brasileiro S.A.- Petrobras(PBR)

Petroleo Brasileiro S.A. primarily engages in oil and natural gas exploration and production, refining, trade, and transportation businesses. The company?s Exploration and Production segment involves in the exploration, production, development, and production of oil, liquefied natural gas (LNG), and natural gas in Brazil. This segment supplies its products to the refineries in Brazil, as well as sells surplus petroleum and byproducts in domestic and foreign markets. Its Supply segment engages in the refining, logistics, transportation, and trade of oil and oil products; export of ethanol; and extraction and processing of schist, as well as holds interests in companies of the petrochemical sector in Brazil. The Gas and Energy segment involves in the transportation and trade of natural gas produced in or imported into Brazil; transportation and trade of LNG; and generation and trade of electric power. In addition, the segment has interests in natural gas transportation and d istribution companies; and thermoelectric power stations in Brazil, as well engages in fertilizer business. The Distribution segment distributes oil products, ethanol, and compressed natural gas in Brazil. The International segment involves in the exploration and production of oil and gas, as well as in supplying, gas and energy, and distribution operations in the Americas, Africa, Europe, and Asia. Further, the company involves in biofuel production business. Petroleo Brasileiro was founded in 1953 and is based in Rio de Janeiro, Brazil.

Advisors' Opinion:
  • [By ETF Authority]  

    Current Price: $47.68 12-month target: $80

    PBR plans to invest $174 billion by 2013 to support the largest oil discovery in 30 years. PetroBras has both the backing of the Brazilian government who invested over $30 billion and the Chinese private investors who have pledged over $20 billion to PBR’s discovery. Brazils government proposed to make PBR the only operator of all new offshore pre-salt oil fields yet to be exploited. PetroBras expects oil production to increased from 2.4 million barrels a day to around 5.7 million barrels a day by 2020. PBR has long-term views and have been expanding renewable energy programs such as solar, biofuel, and energy. Biofuel production is expected to increase 18% by 2013.

Sunday, August 4, 2013

The Sage Group Proposes 200 Million Special Dividend

LONDON -- The shares of Sage  (LSE: SGE  ) rallied 3% to 350 pence during early London trade this morning after the financial software company reported a 7% jump in six-month pre-tax profits to 185 pounds.

Sage -- which develops accountancy software for smaller businesses -- proposed a 200 million pound special dividend, worth 17 pence per share. The company also recorded an exceptional accounting charge of 196 million pounds relating to the disposal of "non-core products."

Sage has spent several years shifting toward a software-subscription business model, which now represents over 70% of the company's sales. Recurring revenue from subscriptions expanded 6%, while one-off software license sales declined 3%. Sage's total revenue for the period improved 5% to 708 million pounds.

Sage chief executive Guy Berruyer commented:

We delivered good growth in recurring revenues, in line with our strategy. We continue to drive significant change through the business, which is delivering results in the face of continued macroeconomic headwinds.

We are encouraged by our performance, which we expect to sustain for the remainder of the year, and we remain confident that we will deliver on our strategic and financial goals.

We are delighted to have returned almost £1 billion to shareholders since October 2011, without compromising our ability to invest.

With a market cap of 4 billion pounds, Sage's shares trade at 16 times expected earnings, and offer a prospective dividend yield of 3.2%.

Of course, whether that valuation, today's results, and the future prospects for small businesses all combine to make shares of Sage Group a buy remains your decision.

However, if you're looking for a higher-yielding investment opportunity, you may want to look at "The Motley Fool's Top Income Stock For 2013."

In fact, the Fool's choice recently revealed its dividend would increase "at least in line with the rate of U.K. inflation for the foreseeable future," and provides a market-beating 5.1% yield.

Just click here to download the free exclusive report!

Saturday, August 3, 2013

S&P Revises Outlook on Alcoa

Standard & Poor's has flipped its outlook on Alcoa (NYSE: AA  ) from "stable" to "negative," while maintaining its credit rating of BBB- on the aluminum producer. In the press release announcing the move, S&P expressed concern about the current market for the company's products. "Our outlook revision reflects our view that low aluminum prices will constrain 2013 operating performance and credit measures," the rating agency quoted its analyst Marie Shmaruk as saying.

S&P expects that those prices will increase in the near future, to over $0.90 per pound in 2014, from the current level of roughly $0.85.

More Expert Advice from The Motley Fool
The Motley Fool's chief investment officer has selected his No. 1 stock for the next year. Find out which stock in our brand-new free report: "The Motley Fool's Top Stock for 2013." I invite you to take a copy, free for a limited time. Just click here to access the report and find out the name of this under-the-radar company.

Best Undervalued Stocks To Own Right Now

After the impressive performance of Bank of America's (NYSE: BAC  ) stock last year -- it was the top-performing component of the Dow Jones Industrial Average (DJINDICES: ^DJI  ) -- it'd be tempting to conclude that the nation's second-largest lender didn't have much juice left in the proverbial tank. But according to a number of high-profile analysts, that simply isn't the case.

Roughly halfway through today's trading session, shares of Bank of America are higher by nearly 1.5%. This comes, moreover, on the heels of an impressive performance yesterday, when its shares were up by 1.3%.

There's no question that a growing number of analysts are becoming bullish on Bank of America stock. In the middle of last month, Meredith Whitney -- who famously foretold Citigroup's fall five years ago -- reiterated her view that Bank of America was one of the most undervalued bank stocks in the market. "Very rarely do these big banks have both value catalysts and momentum," Whitney noted. "Bank of America had all of that."

Best Undervalued Stocks To Own Right Now: Schlumberger N.V.(SLB)

Schlumberger Limited, together with its subsidiaries, supplies technology, integrated project management, and information solutions to the oil and gas exploration and production industries worldwide. The company?s Oilfield Services segment provides exploration and production services; wireline technology that offers open-hole and cased-hole services; supplies engineering support, directional-drilling, measurement-while-drilling, and logging-while-drilling services; and testing services. This segment also offers well services; supplies well completion services and equipment; artificial lift; data and consulting services; geo services; and information solutions, such as consulting, software, information management system, and IT infrastructure services that support oil and gas industry. Its WesternGeco segment provides reservoir imaging, monitoring, and development services; and operates data processing centers and multiclient seismic library. This segment also offers variou s services include 3D and time-lapse (4D) seismic surveys to multi-component surveys for delineating prospects and reservoir management. The company?s M-I SWACO segment supplies drilling fluid systems to improve drilling performance; fluid systems and specialty tools to optimize wellbore productivity; production technology solutions to maximize production rates; and environmental solutions that manages waste volumes generated in drilling and production operations. Its Smith Oilfield segment designs, manufactures, and markets drill bits and borehole enlargement tools; and supplies drilling tools and services, tubular, completion services, and other related downhole solutions. The company?s Distribution segment markets pipes, valves, and fittings, as well as mill, safety, and other maintenance products. This segment also provides warehouse management, vendor integration, and inventory management services. Schlumberger Limited was founded in 1927 and is based in Houston, Texas.

Advisors' Opinion:
  • [By Robert Holmes]

     Schlumberger has the most potential upside of any stock in this group of 50 that also makes the firm's Best Ideas list. Analyst Ole Slorer says Schlumberger has "what we consider the most advanced technology portfolio in the industry."

    "Its fundamentals are impressive, with what we think are some of the best field personnel, a pristine service and performance reputation, and leading market share in most of its product lines," Slorer writes.

    Though Slorer's price target is 42% above current levels, his most bullish scenario for Schlumberger over the next year would see shares climb a whopping 116%. On the downside, his most bearish scenario for the company would see shares slide 38% over the next 12 months.

  • [By Lowell]

    Schlumberger (NYSE:SLB) is a premier supplier of technology and oil-well services and equipment. S&P has upgraded SLB to a “buy,” and Credit Suisse upgraded it to an “outperform” rating because the company exceeded recent earnings forecasts and increased its view of future earnings for 2011. SLB’s fundamental target is $117 and is based on earnings estimates of $3.85 for 2011, $5.40 for 2012, and $6.05 for 2013.

    Technically SLB may become the object of profit-taking following a recent run to over $95. Positions are recommended at around $85 with a target of $115 before December 2011, assuming a breakout through a triple-top at $95.

  • [By Dug]

    Schlumberger(SLB) continues to lead the sector, particularly outside the U.S. in the growing markets for vertical drilling. Schlumberger remains my favorite. Another smaller company to look at with growing work in complex procedures is Helmerich & Payne(HP).

Best Undervalued Stocks To Own Right Now: Tupperware Corporation(TUP)

Tupperware Brands Corporation operates as a direct seller of various products across a range of brands and categories through an independent sales force. The company engages in the manufacture and sale of kitchen and home products, and beauty and personal care products. It offers preparation, storage, and serving solutions for the kitchen and home, as well as kitchen cookware and tools, children?s educational toys, microwave products, and gifts under the Tupperware brand name primarily in Europe, Africa, the Middle East, the Asia Pacific, and North America. The company provides beauty and personal care products, which include skin care products, cosmetics, bath and body care, toiletries, fragrances, nutritional products, apparel, and related products principally in Mexico, South Africa, the Philippines, Australia, and Uruguay. It offers beauty and personal care products under the Armand Dupree, Avroy Shlain, BeautiControl, Fuller, NaturCare, Nutrimetics, Nuvo, and Swissgar de brand names. The company sells its Tupperware products directly to distributors, directors, managers, and dealers; and beauty products primarily through consultants and directors. As of December 26, 2009, the Tupperware distribution system had approximately 1,800 distributors, 61,300 managers, and 1.3 million dealers; and the sales force representing the Beauty businesses approximately 1.1 million. The company was formerly known as Tupperware Corporation and changed its name to Tupperware Brands Corporation in December 2005. The company was founded in 1996 and is headquartered in Orlando, Florida.

Advisors' Opinion:
  • [By Sam Collins]

    Household name Tupperware Brands Corp. (NYSE:TUP) is a global direct seller of products with multiple brands through an independent sales force of 2.4 million people. Its product line focuses on kitchen storage and serving solutions, as well as personal-care products. Over 60% of sales in 2011 are expected to come from Europe and Asia, and the stock has appeal as an emerging markets story.

    S&P estimates that 2011 earnings will increase to $4.54 versus $3.53 in 2010, and it increased its rating to a “five-star strong buy” with a recently revised 12-month target of $81, up from $73. The 2005 purchase of Sara Lee’s (NYSE:SLE) direct-sales business, which has a high growth rate, should be a long-term benefit. TUP’s annual dividend yield is 1.92%.

    Technically TUP had a pullback following a new high at over $70 and is currently oversold. Buy TUP at the current market price with a trading target of $70, but longer term a much higher target will likely be attained.

10 Best Small Cap Stocks To Invest In 2014: Caterpillar Inc.(CAT)

Caterpillar Inc. manufactures and sells construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives worldwide. It operates through three lines of businesses: Machinery, Engines, and Financial Products. The Machinery business offers construction, mining, and forestry machinery, including track and wheel tractors, track and wheel loaders, pipelayers, motor graders, wheel tractor-scrapers, track and wheel excavators, backhoe loaders, log skidders, log loaders, off-highway trucks, articulated trucks, paving products, skid steer loaders, underground mining equipment, tunnel boring equipment, and related parts. It also manufactures diesel-electric locomotives; and manufactures and services rail-related products and logistics services for other companies. The Engines business provides diesel, heavy fuel, and natural gas reciprocating engines for Caterpillar machinery, electric power generation systems, marine, petrol eum, construction, industrial, agricultural, and other applications. It offers industrial turbines and turbine-related services for oil and gas, and power generation applications. This business also remanufactures Caterpillar engines, machines, and engine components; and offers remanufacturing services for other companies. The Financial Products business provides retail and wholesale financing alternatives for Caterpillar machinery and engines, solar gas turbines, and other equipment and marine vessels, as well as offers loans and various forms of insurance to customers and dealers. It also offers financing for vehicles, power generation facilities, and marine vessels. The company markets its products directly, as well as through its distribution centers, dealers, and distributors. It was formerly known as Caterpillar Tractor Co. and changed its name to Caterpillar Inc. in 1986. Caterpillar Inc. was founded in 1925 and is headquartered in Peoria, Illinois.

Advisors' Opinion:
  • [By Jim Cramer,TheStreet]

    Caterpillar (CAT) could be a monster in 2011, especially with the integration of Bucyrus International (BUCY), which I think will turn out to be a fantastic acquisition.

    Current earnings-per-share estimates of about $6 are, I think, way too low. I see this stock going to $120 in the next year. Too gutsy? Ask yourself what happens if the United States comes back as a growth nation? Right now almost all of the growth is overseas.

    Still a fantastic mineral play and a terrific call on world growth.

  • [By Jim Cramer]

    this stock could be a monster in 2011, especially with the integration of Bucyrus (BUCY), which I think will turn out to be a fantastic acquisition. Estimates, currently showing EPS at about $6, I think are way, way too low. I see this stock going to $120 in the next year. Too gutsy? Ask yourself what happens if the United States comes back as a growth nation. Right now almost all of the growth is overseas. Still a fantastic mineral play and a terrific call on world growth.

  • [By Roberto Pedone]

    Caterpillar (CAT) is staging a textbook breakout in May. Shares of heavy equipment maker haven't exactly been kind to investors year-to-date; CAT has barely broken even during a time when the broad market has been in a historic rally. But a textbook breakout should change that.

    CAT started forming an inverse head and shoulders pattern back in early April. The inverse head and shoulders is formed by two swing lows that bottom out around the same level (the shoulders), separated by a lower low called the head; the buy signal comes on the breakout above the pattern's "neckline" level, which was just below $86 for CAT. That puts this stock's upside target right around $92.

    Even though CAT has nearly hit its upside target already (the post-breakout buying has been very quick), the longer-term implication for investors is a break of the downtrend that had been haranguing shares this year. Now, with that downtrend broken, CAT should have more room to move higher. I'd just expect some consolidation first.

  • [By Dave Friedman]

    The shares closed at $91.37, up $1.56, or 1.74%, on the day. They have traded in a 52-week range of $63.34 to $116.55. Volume today was 10,450,473 shares, against a 3-month average volume of 9,960,260 shares. Its market capitalization is $59.03billion, its trailing P/E is 15.11, its trailing earnings are $6.05 per share, and it pays a dividend of $1.84 per share, for a dividend yield of 2.00%. About the company: Caterpillar Inc. designs, manufactures, and markets construction, mining, agricultural, and forestry machinery. The Company also manufactures engines and other related parts for its equipment, and offers financing and insurance. Caterpillar distributes its products through a worldwide organization of dealers.

Best Undervalued Stocks To Own Right Now: Dollar Tree Inc.(DLTR)

Dollar Tree, Inc. operates discount variety stores in the United States and Canada. Its stores offer merchandise primarily at the fixed price of $1.00. The company operates its stores under the names of Dollar Tree, Deal$, Dollar Tree Deal$, Dollar Giant, and Dollar Bills. Its stores offer consumable merchandise, including candy and food, and health and beauty care, as well as household consumables, such as paper, plastics, household chemicals, in select stores, and frozen and refrigerated food; variety merchandise, which includes toys, durable housewares, gifts, party goods, greeting cards, softlines, and other items; and seasonal goods, such as Easter, Halloween, and Christmas merchandise. As of April 30, 2011, it operated 4,089 stores in 48 states and the District of Columbia, as well as 88 stores in Canada. The company was founded in 1986 and is based in Chesapeake, Virginia.

Advisors' Opinion:
  • [By Sam Collins]

    Dollar Tree (NASDAQ:DLTR) is a leading operator of discount variety stores. The stock has hugged its 50-day moving average since mid-February. But a recent minor revision of earnings for this year by several analysts and the recent market sell-off have resulted in a fall from its high of the year at over $70 to under $66. However, Goldman Sachs (NYSE:GS) increased its price target to $73 from $69.

    Technically DLTR is oversold, according to MACD. A break below its 50-day moving average could result in a pullback to $64, but positions could be taken at the current market price. The trading target for DLTR is $72.