2 Business Models Creating Everlasting Investment Value

Running a business in its simplest explanation is taking inputs, adding value to the inputs, and then selling the output to make money. To that end, Brown-Forman (NYSE: BF-B  ) and Dunkin' Brands (NASDAQ: DNKN  ) have each found ways to take commoditized products and turn them into something consumers will pay a lot of money for, thus creating fantastic businesses.

Corn whiskey
Being a corn farmer is a rough business. You work long, hard hours, and then you basically have to sell your product for whatever the market is willing to pay you. That isn't an overly favorable situation.

Brown-Forman, on the other hand, buys that corn, dries it up, grinds it into cornmeal, mixes the cornmeal with water and yeast, boils ethanol out of the mixture, and lets it sit in a barrel for a couple of years -- and voila: Jack Daniel's. Of course, that was an overly simplistic version, but by going through this process it has created a product that consumers love and will pay plenty of money for.

Brown-Forman creates other liquor brands as well, but Jack Daniel's is the most prominent. Other factors that make Brown-Forman's business attractive from an investor standpoint are its highly regulated industry and its standing as one of the oldest and best-known players in its market.

Because of the nature of this business, it isn't feasible for someone to simply open up shop and begin to compete. There are many regulations, as well as a long waiting period after the initial investment, before any sales start to roll in. And there's the high level of competition from Brown-Forman and others.

These are all factors that have helped Brown-Forman achieve steady earnings growth of over 8.5% per year on average over the past 10 years, along with an average profit margin in the same time period of almost 17%.

The buzz on coffee
Dunkin' Brands has used a different method to create a similar outcome as Brown-Forman. Dunkin' sells coffee, which, like corn, is a commodity and is priced solely by the market. Again, not a favorable business.

Dunkin' doesn't convert the coffee into anything different, the way Brown-Forman turns corn into alcohol, but Dunkin' has added a fine brand and convenience to the commodity, which is something investors pay for.

Buying store-brand coffee in a tub and making it at home is obviously much cheaper than going out for coffee every morning. However, Dunkin' has succeeded in making consumers see value in the Dunkin' Donuts name on the side of the cup containing their freshly brewed, premium coffee every morning.

The company has also succeeded in creating a convenient option that consumers pay for. Just last week I stopped into a Dunkin' Donuts and ordered a medium coffee and bagel with cream cheese, and within one minute I had the coffee in my hand. Within another three minutes I was back in my truck and on the road again, with my wallet only around $3.50 lighter.

Dunkin' Brands also franchises nearly 100% of its stores, meaning the company gets a royalty fee based on sales from both its Dunkin' Donuts and Baskin-Robbins stores. This is just another factor investors should like, as Dunkin' Brands grows with the top line of its stores but is not exposed to store-level operations, which can be troubling in many cases.

Like Brown-Forman, Dunkin' has fared well, growing earnings over 33% a year the past five years on average, and sporting a profit margin over 20% in the past fiscal year.

Fool's take
If you're a true long-term investor, you wouldn't wnat to buy fad companies that don't have some sort of competitive advantage in their business model. Both Dunkin' and Brown-Forman have incredibly strong brands, which bring incredibly strong brand loyalty. They also both employ several other favorable advantages in their business models.

The market apparently likes both of these companies as well, as Dunkin' currently trades around 36 times earnings and Brown-Forman around 30 times, compared with a market average of 18.

So right now, even though they may be priced at a premium, you could still buy knowing you're getting pieces of excellent companies that will help your portfolio for many years to come. You could use each company's dividends to cost average further purchases at any price level and would most likely be satisfied holding these stocks for a long time to come.

Top dividend stocks for the next decade
The smartest investors know that dividend stocks simply crush their non-dividend paying counterparts over the long term. That's beyond dispute. They also know that a well-constructed dividend portfolio creates wealth steadily, while still allowing you to sleep like a baby. Knowing how valuable such a portfolio might be, our top analysts put together a report on a group of high-yielding stocks that should be in any income investor's portfolio. To see our free report on these stocks, just click here now.

Making A Play With Currency ETFs

With big swings in equity and bond prices becoming the norm, many investors have turned to alternatives to help smooth-out their rides. Realizing that a standard portfolio may not be enough to make to it the finish line, many have taking a page out of institutional investors' playbooks. Asset classes such as commodities and managed futures are creeping into more and more portfolios.

Yet, the world of currency trading or foreign exchange (FOREX) remains absent from many investor's assets. That's a shame as the asset class can provide a whole host of benefits.

However, with the boom in exchange traded funds (ETFs), regular retail investors now have the ability to add a dose of currency and its benefits to a long term portfolio.

Focusing On Forex
The currency sector remains the world's largest marketplace, trading trillions of dollars, 24 hours a day. Aside from a few traders opening margin accounts at a forex brokerage like FXCM (NASDAQ: FXCM), many retail investors exposure to the asset class has been limited. It's no wonder. The rapid-fire currency trading environment causes nearly 90% of individual investors to lose money. However, the exchange-traded fund boom has allowed investors to take advantage of the potential in currencies without much of that fast-pace margin trading risk.

And there is plenty of potential.

First, by investing in various notes, investors can increase their overall diversification. Currencies have low correlations versus more traditional securities. They provide the zig when domestic stocks, bonds and other money market instruments zag. According to research by investment manager Merk, a basket of foreign currencies would only have a 0.31 correlation to the S&P 500 and a negative 0.03 correlation o U.S. Treasury bonds. That low correlation even extends itself to other "alternatives" like gold or real estate.

SEE: Alternative Assets For Average Investors

Secondly, an allocation to currency also offers investors the ability to potentially reduce or eliminate certain undesired portfolio risk or provide additional return. If an investor holds too many international stocks, appreciating or deprecating currency values can hurt or boost returns. Adding a swath of forex via an ETF can smooth that ride.

Finally, currency itself can be a source of good returns. Since the end of 1989 through 2012, the Federal Reserve Major Currencies Index- which measures the strength of the U.S. dollar against a trade weighted basket of currencies- produced a 5.19% annual return. That actually bested developed market international stocks as well as a basket of commodity futures by more than a full percentage point.

Adding Some Exposure
There are now 28 different currency exchange traded funds on the market. For example, CurrencyShares Euro Trust (NYSE:FXE) can be used to make a direct bet on a rising euro versus the U.S. dollar, while the WisdomTree Brazilian Real (NYSE:BZF) can be used to bet on the Latin American nation. However, for most retail investors, broader is better.

SEE: Get Exposure And Diversification With A Currency ETF

A good starting place is the actively managed PIMCO Foreign Currency Strategy ETF (NASDAQ:FORX). The relatively new fund- launched in February of 2013- currently tracks 45 different currency holdings against the U.S. dollar. That means it'll do well if the greenback depreciates. The ETF's objective is to maximize total returns, meaning that the fund better suited as a long-term investment vehicle than individual currency ETFs that simply mimic a currency's movement. Expenses run a relatively cheap 0.65%.

With the variance of interest rates around the world, investors can profit by using a carry trade strategy. Essentially, an investor borrows money in a low-interest-rate currency and then invests the proceeds into higher yielding notes. Both the iPath Optimized Currency Carry ETN (NYSE:ICI) and PowerShares DB G10 Currency Harvest (NYSE:DBV) go long and short a basket of currencies from developed nations to profit from the spreads in interest rates. They both make it easy to add currency arbitrage to portfolio.

The Bottom Line
For investors looking for alternatives for their portfolios, currency remains a compelling addition. The exchange-traded fund boom has made it easy for regular retail investors to add currencies such as the Japanese Yen (NYSE:FXY) to a portfolio. Those who do, will be greatly rewarded with a host of diversification and return benefits.

Disclosure: At the time of writing, the author did not own shares of any company mentioned in this article.

Friday's Top Upgrades (and Downgrades)

This series, brought to you by Yahoo! Finance, looks at which upgrades and downgrades make sense, and which ones investors should act on. Today, we're focusing on tech stocks, as analysts pull back on Facebook (NASDAQ: FB  ) and Dolby Labs (NYSE: DLB  ) , but become more bullish on LogMeIn (NASDAQ: LOGM  ) . Let's start with that last one.

LogMeIn signs up some more fans
Remote computer access software maker LogMeIn released its second-quarter numbers yesterday, reporting a $0.06-per-share loss despite growing revenue by 20% (to $40.7 million). Management promised to reverse the quarter's loss as the year progresses, however, predicting full-year net income will at least match analyst estimates of $0.49 per share, and could come in as high as $0.52 per share.

Investors are therefore shrugging off news of the loss, and focusing on brighter days to come. Shares today are up more than 4%, helped in no small part by a series of three price-target hikes on Wall Street, from Wunderlich, Dougherty, and Maxim Group -- who posit share prices ranging anywhere from $28 to $38 on LogMeIn.

Unfortunately, it looks like only one of those analysts is close to the mark: Wunderlich, which has a hold rating on the stock, and sees its shares declining in value over the course of the year.

Why do I say this? Well, consider: From a GAAP perspective, the best case for LogMeIn this year is that it might earn $0.52 per share. That works out to about 57 times earnings... assuming the earnings come in at the very tippity-top of LogMeIn's predictions. Meanwhile, from a free cash flow perspective, the $15.6 million LogMeIn has generated over the past 12 months works out to a price-to-free-cash-flow ratio of 46.

So the free cash flow picture on this one is better than GAAP makes it appear. Still, whether you see the stock's multiple as 46 or 57 -- either way, that's too high a price to pay for a stock that grew revenue 20% last quarter, and that analysts see growing profits at a similar 20% rate over the next five years. In short, the problem with LogMeIn isn't the lack of GAAP profits -- it's the too high price you're being asked to pay for the profits LogMeIn will earn in the future.

Turning away from Facebook...
Turning now to the downgrades, we begin with Facebook, the beneficiary of a huge 30% run-up in share price after Wednesday's earnings release showed a 53% jump in revenue on surprising strength in mobile advertising. One analyst, however -- Argus Research -- seems to think Facebook's run-up in share price moved too far, too fast.

Going against the grain of the multiple upgrades and price target hikes we saw yesterday, Argus is downgrading Facebook to "hold" today -- and I have to say that I think Argus is calling this one right.

Once again, we're faced with a stock whose P/E looks totally out of whack -- this one being valued at some 150 times earnings, on 30% profits' growth estimates. Once again, a deeper dive into the numbers reveals the stock to be not as overvalued as it looks, since free cash flow at Facebook ($2 billion), is about 3.6 times as strong as the company's $557 million in reported profits might suggest. But once again, the price is just a bit too high.

Top Services Companies To Invest In Right Now

Valuing the company on its real free cash flow as opposed to its accounting earnings gets us to about a 42-times multiple. But that's still too much to pay for the 30% long-term growth that analysts predict for Facebook. Even if the stock's no longer as clearly overvalued as it was looking before Wednesday's earnings beat, it's still too expensive to buy.

...and tuning Dolby out
And finally, we come to Dolby. Like the other techs, Dolby surprised a lot of analysts yesterday with fiscal Q3 earnings of $0.47 per share -- more than half-again as good as the number Wall Street was expecting to see. Unfortunately, Dolby paired its "beat" with weaker-than-expected revenue, and a prediction that next quarter's profits will come in between $0.30 and $0.36 -- far short of the consensus number.

Analysts are reacting poorly to that prediction, with Dougherty & Co. downgrading to "neutral" this morning, and investors bidding Dolby down 3.5% in response. They're right to do so.

Priced at 17 times trailing earnings, Dolby looks to be on-its-face overvalued based on 10% long-term growth expectations. What's more, free cash flow at the firm is still lagging reported income badly, clocking in at less than $150 million, versus GAAP income of $195 million. That lifts the price-to-free cash flow ratio on this one north of 22 -- far too much to pay for 10% growth, if that's all Dolby will be able to produce.

As a former fan of the stock, and a former owner, I have to say... I'm glad I don't own this one anymore -- and I think that Dougherty is right to pull its buy rating as well.

Motley Fool contributor Rich Smith owns shares of LogMein and Dolby Laboratories. The Motley Fool recommends Dolby Laboratories and Facebook. The Motley Fool owns shares of Facebook.

Top Asian Companies For 2015

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of FARO Technologies (NASDAQ: FARO  ) are down over 11% today after the company reported underwhelming earnings for the fiscal first quarter.

So what: FARO clocked in with revenue of $65.4 million and earnings of $0.27 per share, both of which came in below Wall Street's consensus, which sought $67.6 million on the top line and $0.30 in EPS. The revenue result was essentially flat year-over-year, and FARO executives pointed out "sluggish European and Asian markets where order and sales levels remain somewhat weaker than expected" as reasons for the underperformance, but also noted intensifying competition as a challenge going forward.

Now what: FARO is now near the low end of its 52-week range, but has had difficulty making any progress in revenue or earnings over that period, so some share-price stagnation is to be expected. However, deteriorating operating margins (from 12.9% to 8.7% year over year) are worrisome, and at a P/E over 25, FARO isn't exactly cheap. I'd stay on the sidelines without more cause for optimism.

Top Asian Companies For 2015: WisdomTree LargeCap Dividend Fund (DLN)

WisdomTree LargeCap Dividend Fund (the Fund) seeks investment results that closely correspond to the price and yield performance of the WisdomTree LargeCap Dividend Index (the Index). The Index is a fundamentally weighted index that measures the performance of the large-capitalization segment of the United States dividend-paying market. The Index consists of the 300 largest companies ranked by market capitalization from the WisdomTree Dividend Index.

The Index is dividend weighted annually to reflect the proportionate share of the aggregate cash dividends each component company is projected to pay in the coming year, based on the most recently declared dividend per share. The Fund�� investment advisor is WisdomTree Asset Management, Inc., a wholly owned subsidiary of WisdomTree Investments, Inc.

Advisors' Opinion:

• [By Todd Rosenbluth, Senior Director, S&P Capital IQ]

  The smallest of the four ETFs is WisdomTree LargeCap Dividend Fund (DLN) which owns the 300 largest US dividend paying companies; their median market capitalization is $20 billion.

Top Asian Companies For 2015: Otelco Inc (OTEL)

Otelco Inc. provides a range of telecommunications services on a retail and wholesale basis. These services include local and long distance calling; network access to and from its customers; data transport; digital high-speed and dial-up Internet access; cable, satellite and Internet protocol television; wireless, and other telephone related services. The principal markets for these services are residential and business customers residing in and adjacent to the exchanges the Company serves in Alabama, Massachusetts, Maine, Missouri, Vermont and West Virginia. In addition, the Company serves business customers throughout Maine and New Hampshire and provides dial-up Internet service throughout the states of Maine and Missouri. In January 2014, the Company acquired Reliable Networks, a provider of cloud hosting and managed services for companies who rely on mission-critical applications.

Local Services

The Company is a provider of wireline telephone services in seven of the 11 RLEC territories it serves. Local services enable customers to originate and receive telephone calls. The amount that it can charge a customer for certain basic services in Alabama, Maine, Massachusetts, Missouri, Vermont and West Virginia is regulated by the Alabama Public Service Commission (APSC), the Maine Public Utilities Commission (MPUC), the Massachusetts Department of Telecommunications and Cable (MDTC), the Missouri Public Service Commission (MPSC), the Vermont Public Service Board (VPSB) and the West Virginia Public Service Commission (WVPSC). It also has authority to provide service in New Hampshire from the New Hampshire Public Utilities Commission (NHPUC). The revenue derived from local services includes monthly recurring charges for voice access lines providing local dial tone and calling features, including caller identification, call waiting, call forwarding and voicemail. It also receives revenue for providing long distance services to its customers, billing and collection services for o! ther carriers under contract, and directory advertising. The Company provides local services on a retail basis to residential and business customers.

The Company offers long distance telephone services to its local telephone customers who do not purchase a local service bundle. It resells long distance services purchased from various long distance providers. It derives revenue from other telephone related services, including leasing, selling, installing, and maintaining customer premise telecommunications equipment and the publication of local telephone directories in certain of its rural local exchange carrier territories. It also provides billing and collection services for interexchange carriers through negotiated billing and collection agreements for certain types of toll calls placed by its local customers.

Network Access

Network access revenue relates primarily to services provided by the Company to long distance carriers (also referred to as interexchange carriers) in connection with their use of its facilities to originate and terminate interstate and intrastate long distance, or toll, telephone calls. As toll calls are generally billed to the customer originating the call, network access charges are applied in order to compensate each telecommunications company providing services relating to the call. Network access charges apply to both interstate and intrastate calls. The Company�� network access revenues also include revenues it receives from wireless carriers for terminating their calls on its networks pursuant to its interconnection agreements with those wireless carriers. Blountsville, Hopper, Mid-Maine, Mid-Missouri, Pine Tree and War also receive Universal Service Fund High Cost Loop (USF HCL) revenue, which is included in the Company�� reported network access revenue.

Cable Television Services

The Company provides cable television services over networks with 750 megahertz of transmission capacity in or by Interne! t Protoco! l TV ( IPTV) in its Alabama service area. Its cable television packages offer from 20 to 200 channels. It is a licensed installer of satellite television and has deployed these services to customers in its Missouri territory. In 2011, it converted its Missouri cable customers to satellite television.

Internet Services

The Company provides a variety of internet access data lines to its customers, including bulk broadband data access to support large corporate users; digital high-speed data lines in varying capacity speeds for business and residential use; and residential dial-up connectivity. Digital high-speed Internet access is provided through digital subscriber line (DSL) cable modems or wireless broadband, depending upon the location, in which the service is offered and through fiber connectivity to business customers. The Company charges its Internet customers a flat rate for unlimited Internet usage and a premium for higher speed Internet services. In Maine and Missouri, it provides legacy dial-up Internet services throughout the state.

Transport Services

The Company�� competitive local exchange carriers (CLECs) receive monthly recurring revenues for the rental of fiber to transport data. and other telecommunications services in Maine and New Hampshire. Its businesses and telecommunications carriers are 423 mile owned and leased fiber route.

Network Assets

The Company�� telephone networks include carrier grade advanced switching capabilities provided by traditional digital, as well as software based switches, fiber rings and routes and network software supporting specialized business applications. Its networks enable the Company to provide traditional and Internet Protocol ( IP), wireline telephone services and other calling features; long distance services; digital Internet access services through DSL and cable modems and circuits; and specialized customer specific applications. It offers digital signals, high-d! efinition! program content, digital video recording capability through its traditional cable plant and IPTV.

The Company competes with AT&T, Verizon, Charter Communications, Inc. and Time Warner Cable.

Advisors' Opinion:

• [By Laura Brodbeck]

  Monday

  Earnings Releases Expected: Sotheby�� (NYSE: BID), Otelco (NASDAQ: OTEL), Rackspace Hosting, Inc. (NYSE: RAX), Red Lion Hotels Corporation (NYSE: RLH) Economic Releases Expected: Italian industrial production, Mexican industrial production, Portuguese trade balance

  Tuesday

Top Heal Care Companies To Own In Right Now: Westpac Banking Corp (WEBNF)

Westpac Banking Corporation is a banking company. It operates through three divisions: Australian Financial Services (AFS), Westpac Institutional Bank (WIB) and Westpac New Zealand. AFS consists of Westpac�� retail and business banking operations in Australia, and includes Westpac Retail & Business Banking (Westpac RBB), St.George Banking Group and BT Financial Group Australia (BFTG). Westpac RBB is responsible for sales and service for consumer, small-to-medium enterprise customers and commercial customers under the Westpac brands. St.George is responsible for sales, and service for its consumer, business and corporate customers in Australia under brands, such as St.George and BankSA. BTFG is Westpac�� Australian wealth management division. In January 2014, the Company completed the acquisition of Lloyds Banking Group Plc�� Australian asset finance business, Capital Finance Australia Limited, and its Australian corporate loan portfolio, BOS International (Australia) Ltd. Advisors' Opinion:

• [By MARKETWATCH]

  LOS ANGELES (MarketWatch) -- Australian stocks nudged modestly higher early Thursday, with a rebound for financials offsetting weakness in the resource space. The S&P/ASX 200 (AU:XJO) advanced 0.1% to 5,361.80, as banks and brokers gained after losing ground late in the previous session on concerns about the health of major Chinese banks. Commonwealth Bank of Australia (AU:CBA) (CBAUF) and Macquarie Group Ltd. (AU:MQG) (MCQEF) rose 0.7% apiece, Australia & New Zealand Banking Group (AU:ANZ) (ANEWF) added 0.5%, and Westpac Banking Corp. (AU:WBC) (WEBNF) improved by 0.5%. On the downside, losses for gold futures overnight sent Newcrest Mining Ltd. (AU:NCM) (NCMGF) down 1.3% and Evolution Mining Ltd. (AU:EVN) (CAHPF) 2.3% lower. The broader mining sector was also lower, with Alumina Ltd. (AU:AWC) (AWCMF) off 2.8%, BHP Billiton Ltd. (AU:BHP) (BHP) down 0.5%, and Fortescue Metals Group Ltd. (AU:FMG) (FSUMF)

Top Asian Companies For 2015: Emerge Energy Services LP (EMES)

Emerge Energy Services LP, incorporated on April 27, 2012, owns, operates, acquires and develops a diversified portfolio of energy service assets. The Company operates in two segments: Sand segment, and Fuel Processing and Distribution segment. Sand segment consists of mining and processing frac sand, a component used in hydraulic fracturing of oil and natural gas wells. The Company�� frac sand facilities are located in New Auburn, Wisconsin, Barron County, Wisconsin and Kosse, Texas. Fuel Processing and Distribution segment consists of acquiring, processing and separating the transmix that results when multiple types of refined petroleum products are transported sequentially through a pipeline. The Company�� Fuel Processing and Distribution segment consists of its operations in the Dallas-Fort Worth metropolitan area and Birmingham, Alabama.

Sand Segment

The Company�� Wisconsin sand reserves at its New Auburn and Barron facilities provide the Company access to a range of sand that meets or exceeds all API specifications and includes a concentration of 16/30, 20/40 and 30/50 mesh sands. The Company�� New Auburn dry plant facility has a rated production capacity of 4,200 tons per day, or roughly 40 rail cars, and has on-site rail car loading facilities capable of loading up to approximately 10,000 tons of frac sand into rail cars per day. The Company also has 4.5 miles of existing rail track that connects its facility to the Union Pacific rail line and provides the Company with shipping access to all of the shale basins in the United States and Canada with direct access to areas of oil production in Texas, Oklahoma, Colorado and the western United States. The Company�� Barron facility consists of a sand mine and a wet plant on land. This facility has a rated production capacity of 8,800 tons per day, or roughly 80 rail cars, and has on-site rail car loading facilities capable of loading up to approximately 10,000 tons of frac sand into rail cars per day. The Company ! also mine frac sand at its facility in Kosse, Texas that is processed into a high-quality, 100 mesh frac sand, generally used in dry gas drilling applications.

Fuel Processing and Distribution Segment

The transmix industry consists of businesses that process and separate transportation mixture, which is the liquid interface, or fuel mixture, that forms when multiple types of petroleum products are transported sequentially through a pipeline. Pipeline operators send large batches of different fuel products (such as gasoline, diesel and jet fuel) through the same pipeline, in sequence, to receiving terminals. The Company�� Fuel Processing and Distribution segment consists of its facilities in the Dallas-Fort Worth metropolitan area and in Birmingham, Alabama, which are operated by Direct Fuels and AEC, respectively.

Advisors' Opinion:

• [By Kyle Woodley]

  That won�� always be the case. I think Jon Markman and Best Stocks leader Emerge Energy Services LP (EMES) will be smelling Tesla�� nonexistent fumes when the ball drops to bring in 2015.

Top Asian Companies For 2015: AutoZone Inc.(AZO)

AutoZone, Inc. retails and distributes automotive replacement parts and accessories. The company?s stores offer various products for cars, sport utility vehicles, vans, and light trucks, including new and remanufactured automotive hard parts, maintenance items, accessories, and non-automotive products. Its automotive hard parts product line includes A/C compressors, batteries and accessories, belts and hoses, carburetors, chassis, clutches, CV axles, engines, fuel pumps, fuses, ignition, lighting, mufflers, starters and alternators, water pumps, radiators, and thermostats. The company?s maintenance items include antifreeze and windshield washer fluid; brake drums, rotors, shoes, and pads; chemicals, including brake and power; steering fluid, oil, and fuel additives; oil and transmission fluids; oil, air, fuel, and transmission filters; oxygen sensors; paint and accessories; refrigerant and accessories; shock absorbers and struts; spark plugs and wires; and windshield wiper s. Its discretionary product line comprises air fresheners, cell phone accessories, drinks and snacks, floor mats and seat covers, mirrors, performance products, protectants and cleaners, sealants and adhesives, steering wheel covers, stereos and radios, tools, and wash and wax products. The company also offers commercial sales program that provides the delivery of parts and other products to local, regional, and national repair garages, dealers, service stations, and public sector accounts. In addition, it sells the ALLDATA brand automotive diagnostic and repair software through the Website, alldata.com; and automotive hard parts, maintenance items, accessories, and non-automotive products through the Website, autozone.com. As of May 7, 2011, the company operated 4,467 stores in the United States and Puerto Rico, and 261 stores in Mexico. AutoZone, Inc. was founded in 1979 and is based in Memphis, Tennessee.

Advisors' Opinion:

• [By Jake L'Ecuyer]

  Top Headline
  AutoZone (NYSE: AZO) reported a gain in its fiscal second-quarter profit. AutoZone's quarterly profit surged to $192.8 million, or $5.63 per share, versus a year-ago profit of $176.2 million, or $4.78 per share. Its net sales rose to $1.99 billion versus $1.86 billion. However, analysts were expecting earnings of $5.57 per share on sales of $1.98 billion. AutoZone's US same-store sales jumped 4.3% in the quarter.

• [By Ben Levisohn]

  Heading into last night’s earnings report, O’Reilly had returned 50% this year including reinvested dividends, easily besting peers Autozone (AZO), which had returned 22%, Genuine Parts (GPC), which has returned 26%, and Advance Auto Parts (AAP), which had returned 38%,� thanks in large part to a 25% gain in the last month due to its purchase of General Parts International. Clearly, investors thought O’Reilly had something going for it its competitors did not.

• [By Jon C. Ogg]

  AutoZone Inc. (NYSE: AZO)
  > Cost for 100 shares: $44,000

  Does the great auto parts seller named AutoZone remind you of a stock that would trade above $400 per share? With its shares around $440, it has a 52-week trading range of $341.98 to $452.19. This industry leader has a $15.6 billion market capitalization as well. AutoZone has split its stock on a two-for-one basis twice, but back in 1994 and 1992. In today’s share price terms, that most recent split was around $27 back then, and that means its stock has risen sixteenfold since then. How many customers going into an AutoZone would think that a stock price of $440 or so seems right? We do not even see a dividend from AutoZone as it reinvests earnings into growth.

Top Asian Companies For 2015: Western Refining Logistics LP (WNRL)

Western Refining Logistics, LP, incorporated on July 17, 2013, owns, operates, develops, and acquires terminals, storage tanks, pipelines, and other logistics assets. As of December 31, 2012, the Company�� assets includes pipeline and gathering assets and terminalling, transportation, and storage assets in the Southwestern portion of the United States, which included approximately 300 miles of pipelines and approximately 7.9 million barrels of active storage capacity, as well as other assets. The Company's assets are integral to the operations of Western�� refineries located in El Paso, Texas, and near Gallup, New Mexico.

As of December 31, 2012, the Company owns and operates two refineries, in El Paso, Texas and Gallup, New Mexico, with a total crude oil throughput capacity of 153,000 barrels per day (bpd). The Company does not take ownership of the hydrocarbons or products (other than certain additives) that it handles or engages in the trading of any commodities.

Advisors' Opinion:

• [By Robert Rapier]

  Western Refining Logistics (NYSE: WNRL) debuted on Oct. 10. The partnership was formed by Western Refining (NYSE: WNR) to own, operate, develop and acquire terminals, storage tanks, pipelines, and other logistics assets. WNRL’s assets include 300 miles of crude oil pipelines, gathering systems, and 566,000 barrels of crude oil storage located primarily in the Permian Basin. Most of its revenue is expected to be derived from two 10-year, fee-based agreements with Western Refining.

• [By Aimee Duffy]

  It;s been a very robust year for master limited partnership IPOs to say the least. On Thursday, Western Refining (NYSE: WNR  ) successfully spun off its midstream logistics MLP, Western Refining Logistics (NYSE: WNRL  ) . The partnership became the 14th MLP to make its debut this year.

Top Asian Companies For 2015: MFA Financial Inc (MFA)

MFA Financial, Inc., incorporated on July 24, 1997, is engaged in the business of investing, on a leveraged basis, in residential Agency mortgage-backed securities (MBS) and Non-Agency MBS. Its business objective is to generate net income for distribution to its stockholders resulting from the difference between the interest and other income it earn on its investments and the interest expense it pays on the borrowings, which it uses to finance its leveraged investments and its operating costs. Its operating policies require that at least 50% of its investment portfolio consist of ARM-MBS, which are either Agency MBS or rated in two rating categories by at least one of rating agency, such as Moody�� Investors Services, Inc., Standard & Poor�� Corporation (S&P) or Fitch, Inc. The remainder of its assets may consist of direct or indirect investments in other types of MBS and residential mortgage loans; other mortgage and real estate-related debt and equity; and other yield instruments.

The mortgages collateralizing the Company�� MBS portfolio are Hybrids, ARMs and 15-year fixed-rate mortgages. The Hybrids collateralizing its MBS typically have fixed-rate periods ranging from three to 10 years. Interest rates on the mortgage loans collateralizing its ARM-MBS reset based on specific index rates, which include London Interbank Offered Rate (LIBOR) or the one-year constant maturity treasury (CMT) rate. The mortgages collateralizing its ARM-MBS have interim and lifetime caps on interest rate adjustments. The Company�� Non-Agency MBS have been at discounts to face/par value.

Advisors' Opinion:

• [By Dividend]

  MFA Financial (MFA) has a market capitalization of $2.68 billion. The company employs 37 people, generates revenue of $499.16 million and has a net income of $306.84 million. MFA Financial�� earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $289.95 million. The EBITDA margin is 58.09 percent (the operating margin is 57.14 percent and the net profit margin 61.47 percent).

• [By Dan Burrows]

  SAN stock also has some nice momentum early in the second quarter, breaking above both its 50- and 200-day moving averages.

  Cheap Dividend Stocks #5: MFA Financial (MFA)

  Share Price as of 4/4: $7.78
  YTD Stock Performance: 10%
  Dividend Yield: 10.4%

• [By Rich Duprey]

  After raising its payout last quarter by 10%,�residential mortgage-backed securities REIT�MFA Financial (NYSE: MFA  ) announced today it was keeping its second-quarter dividend steady at $0.22 per share.

• [By Jon C. Ogg]

  MFA Financial Inc. (NYSE: MFA) has an estimated $0.20 decline in book value. This is partially attributable to the company’s recent special dividend declaration. For the third quarter, Sterne Agee sees MFA with a core earnings per share of $0.19, yet the dividend of $0.50 is a combined $0.22 estimated and $0.28 special.

Top Asian Companies For 2015: PCM Fund Inc (PCM)

PCM Fund, Inc. (the Fund), formerly PIMCO Commercial Mortgage Securities Trust, Inc., is a non-diversified, closed-end bond fund. The Fund's primary investment objective is to achieve current income by investing in a portfolio comprising primarily commercial mortgage-backed securities (CMBS). These securities are fixed-income instruments representing an interest in mortgage loans on commercial real estate properties, such as office buildings, shopping malls, hotels, apartment buildings, nursing homes and industrial properties.

Capital gains from the disposition of investments are a secondary objective of the Fund. The Fund seeks to achieve its investment objective by investing under normal circumstances at least 80% of its net assets plus the amount of borrowings for investment purposes in CMBS. Pacific Investment Management Company LLC (PIMCO) is the Fund's investment manager.

Advisors' Opinion:

• [By Sally Jones]

  Founded in 1986 by the legendary investor Bill Miller, Private Capital Management (PCM) is now owned by portfolio manager and CEO, Gregg Powers. He is widely-known for his research skill and has been a key driver at PCM since 1988.

Top 5 Wireless Telecom Stocks To Buy For 2014

Top 5 Wireless Telecom Stocks To Buy For 2014: Lumos Networks Corp (LMOS)

Lumos Networks Corp. is a fiber-based service provider in the Mid-Atlantic region. The Company provides data, broadband, voice and Internet protocol (IP) services over fiber optic network. The Company offers a range of data and voice products supported by approximately 5,800 fiber-route miles in Virginia, West Virginia, and portions of Pennsylvania, Maryland, Ohio and Kentucky. Its products and services include metro Ethernet, IP services, business advantage bundle, managed router service, broadband, voice services and Web hosting. On October 14, 2011, NTELOS Holdings Corp. announced a distribution date of October 31, 2011, for the spin-off of Lumos Networks Corp.

The Company's broadband services include Business DSL, Dedicated Business Service, Managed Router Services, Business Broadband XL, Business PC Services and Web Hosting. Its IP services include Integrated Access, IP Trunking, IP Centrex and IP Phones. Its voice service include Business Voice, Busin ess Advantage Bundle, nTouch, Intelligent Messaging, Simultaneous Ring, Conference Calling and Long Distance. Its data services include Metro Ethernet and Quality of Service. Lumos Networks Business DSL provides up to six megabits per second downstream and one megabit per second upstream. Its managed router support service equipment includes staging, installation, configuration, and maintenance while support provides around-the-clock monitoring, management and trouble resolution and direct access to networking experts. Its Business Broadband XL offers a selection of high download speeds. Lumos Networks' Integrated Access solution can integrate local voice, long distance, voicemail, and broadband Internet access. Lumos Networks nTouch brings voicemail linking IP Centrex and nTelos Wireless phone.

Advisors' Opinion:

• [By Lee Jackson]!

  Lumos Networks Corp. (NASDAQ: LMOS) is a leading provider of fiber-based bandwidth infrastructure and IP services in key mid-Atlantic markets. It announced last month it had launched its cloud-based hosted call center solution, which provides best-in-class automated call distribution, integrated voice response and call reporting to help organizations manage call volumes more effectively and efficiently. The service operates over Lumos’s carrier-grade, premium optical network, which provides high-speed, resilient access to the call-center cloud service. The consensus price target for the stock is $20.50. Investors are paid a reasonable 2.7% dividend. Lumos closed Thursday at $20.77.

source from Top Stocks Blog:http://www.topstocksblog.com/top-5-wireless-telecom-stocks-to-buy-for-2014.html

Small Cap Synacor Inc (SYNC): At Least the Slide Has Slowed (SKYY, IGV & SOCL)

Small cap Synacor Inc (NASDAQ: SYNC) says its "where Tech, Hollywood and Madison Avenue meet in the cloud" but its not exactly been a blockbuster for investors – meanings its worth taking a closer look at the stock along with the performance of potential benchmarks like the First Trust ISE Cloud Computing Index (NASDAQ: SKYY), iShares North American Tech-Software (NYSEARCA: IGV) and Global X Social Media Index ETF (NASDAQ: SOCL).

What is Synacor Inc?

Small cap Synacor Inc calls itself a "Tech company at the intersection of Hollywood and Madison Avenue" or "where Tech, Hollywood and Madison Avenue meet in the cloud." More specifically, Synacor Inc's white-label platform enables cable, satellite, telecom and consumer electronics companies to deliver TV Everywhere, digital entertainment, cloud-based services and apps to their end-consumers across multiple devices, strengthening those relationships while monetizing the engagement. The company says it's the leading provider of next-gen startpages, homescreens, award-winning TV Everywhere solutions and cloud-based Identity Management (IDM) services, across multiple devices for cable, satellite, telecom and consumer electronics companies in the US and abroad

As for potential performance benchmarks, the First Trust ISE Cloud Computing Index tracks the ISE Cloud Computing Index through 41 holdings; the iShares North American Tech-Software tracks the S&P North American Technology-Software Index through 61 holdings; and the Global X Social Media Index ETF tracks the Solactive Social Media Index through 21 holdings. 

What You Need to Know or Be Warned About Synacor Inc

Synacor Inc debuted in early 2012 at $5 (sharply below its original plans of debuting at $10 to $12 a share), but it appears that shares quickly got way ahead of themselves thanks to the activities of certain promoters or traders plus the company has long warned that a growing number of consumers are using mobile devices instead of computers and software applications other than Internet browsers to access the Internet – hurting its search-and-display advertising (the company has been developing solutions to address these trends). Shares have largely been flat at the $2.50 level since early 2013.

In early March, announced financial results for the fourth quarter and fiscal 2013 with fourth quarter revenue coming in at $29.4 million verses $32.2 million as search and display advertising revenue came in at $24.0 million verses $27.1 million while subscription-based revenue came in at $5.4 million verses $5.1 million. For fiscal 2013, total revenue came in at $111.8 million verses $122.0 million for fiscal 2012 as search and display advertising revenue came in at $90.4 million verses $101.6 million and subscription-based revenue came in at $21.4 million verses $20.4 million. For the fourth quarter of 2013, Synacor Inc's net income came in at $0.2 million verses net income of $0.8 million while for the full fiscal year, the company's net loss came in at $1.4 million verses net income of $3.8 million for 2012. The CEO commented:

"Throughout 2013 and most intensively in our fourth quarter, Synacor made significant progress developing new multi-device touchscreen and mobile products for use in domestic and international markets. We're particularly excited about our latest Android homescreen, TV Everywhere search & discovery interfaces, and authentication offerings. We plan to aggressively rollout these new products during the next two quarters of this year and we're encouraged by the early market reception."

For fiscal 2013, it should be mentioned that Synacor generated $5.2 million in cash from operating activities verses $14.7 million in fiscal 2012, but the company ended the year with $36.4 million in cash and cash equivalents verses $41.9 million at the end of fiscal 2012. In addition, the earnings report noted a CEO succession plan plus announced a stock repurchase program under which the company may repurchase up to $5 million of its outstanding common stock.

Aside from earnings, investors should be aware of a large number of insider sales in recent months that are documented on Yahoo! Finances Insider Transactions page for the stock:

Insider Transactions Reported - Last Two Years

DateInsiderSharesTypeTransactionValue*

Apr 17, 2014	CHAMOUN GEORGEOfficer	10,000	Direct	Option Exercise at $0.20 per share.	2,000
Apr 15, 2014	CHAMOUN GEORGEOfficer	5,000	Direct	Automatic Sale at $2.54 per share.	12,700
Apr 9, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.50 per share.	28,750
Mar 27, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.45 per share.	28,175
Mar 18, 2014	CHAMOUN GEORGEOfficer	10,000	Direct	Option Exercise at $0.20 per share.	2,000
Mar 17, 2014	CHAMOUN GEORGEOfficer	5,000	Direct	Automatic Sale at $2.57 per share.	12,850
Mar 13, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.62 per share.	30,129
Mar 11, 2014	CHAMOUN GEORGEOfficer	20,000	Direct	Option Exercise at $0.20 per share.	4,000
Mar 10, 2014	CHAMOUN GEORGEOfficer	5,000	Direct	Automatic Sale at $2.59 per share.	12,950
Feb 12, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.49 per share.	28,635
Jan 30, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.42 per share.	27,830
Jan 15, 2014	CHAMOUN GEORGEOfficer	10,000	Direct	Option Exercise at $0.20 per share.	2,000
Jan 15, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.60 per share.	29,899
Jan 15, 2014	CHAMOUN GEORGEOfficer	5,000	Direct	Automatic Sale at $2.60 per share.	13,000
Jan 2, 2014	FRANKEL RONALD NOfficer	11,500	Direct	Automatic Sale at $2.48 per share.	28,520

 

Otherwise, it should be noted that Synacor Inc will hold a conference call to discuss financial results for its first quarter 2014 on Tuesday, May 13, at 5pm Eastern Time.

Share Performance: Synacor Inc vs. SKYY, IGV & SOCL    

On Tuesday, small cap Synacor Inc fell 0.79% to $2.51 (SYNC has a 52 week trading range of $2.13 to $4.17 a share) for a market cap of $68.95 million plus the stock is up 2.45% since the start of the year, down 12.5% over the past year and down 52.2% since February 2012. Here is a look at the long term performance of Synacor Inc verses potential ETF benchmarks First Trust ISE Cloud Computing Index, iShares North American Tech-Software and Global X Social Media Index ETF:

As you can see from the above chart, Synacor Inc peaked in the middle of 2012 when it began sliding but that slide largely dissipated several months ago.

Finally, here is a look at the latest technical charts for Synacor Inc, First Trust ISE Cloud Computing Index, iShares North American Tech-Software and Global X Social Media Index ETF:

The Bottom Line. While small cap Synacor Inc is definitely not for conservative investors, traders and anyone with a stomach for some risk might want to take a closer look at the stock.

Hot Machinery Companies To Buy For 2014

Hot Machinery Companies To Buy For 2014: Fidia SpA (FDA)

Fidia SpA is an Italy-based company primarily engaged in the production of numerical controls and machine tools. The Company's activities are divided into three main business lines. In the High-speed Milling Systems, it is involved in the production and sale of milling heads kits and cutting-edge equipment. Through the Numerical Controls, Dives and Software sector, it is active in the manufacture of numerical controls for milling systems, as well as in the development and distribution of computer-aided design (CAD) and computer-aided manufacturing (CAM) software. The After-sales Service sector includes the provision of technical services, sale of spare parts and scheduled maintenance contracts. The Company operates in Germany, France, Brazil, China, Poland and India, among others. Advisors' Opinion:

• [By Rahul Chattaraj]

  Every year more and more people are becoming health conscious and healthcare is one such industry which I feel can never be in slump. It's is just brilliant of Apple to embed a hardware in a smartphone which will be able to cash on this opportunity. The iPhone 5S already has the hardware components to support the Healthbook app and once the iOS 8 is released for the next iPhone model and upgrades are available for the iPhone 5S, Apple will be poised to see huge surge in the demand for its devices. Certain incidents such as the top Apple executives meeting the US Food and Drug Administration (FDA), and former Mashimo Corp. Chief Medical Officer Michael O'Reilly joining Apple are clearly hinting that the company's mobile health dreams will very soon turn into reality.

• [By Patricio Kehoe]

  Despite recent anti-tobacco laws passed by the European Union and the Food and Drug Administration (FDA) in the U.S, the company's pricing power has helped maintain its margins. In 2012, for exa! mple, Phillip Morris hiked prices on its products in Russia, Germany, Belgium, Canada, France, Greece and Spain, among others. Although the necessary measure caused substantial volume declines in these countries, consumers rapidly became accustomed to the increased prices, and returned to their habitual product consumption. Given the success of this strategy, the firm is likely to rely on it in Japan for 2014, where taxes are expected to increase yet again by 8%, after the 40% spike in October 2010.

source from Top Stocks Blog:http://www.topstocksblog.com/hot-machinery-companies-to-buy-for-2014-2.html

5 Best Electric Utility Stocks To Own Right Now

This series, brought to you by Yahoo! Finance, looks at which upgrades and downgrades make sense, and which ones investors should act on. Today, our headlines feature a pair of downgrades for lululemon athletica (NASDAQ: LULU  ) and Roadrunner Transportation (NYSE: RRTS  ) . But the news isn't all bad, so before we get into that news, let's find out first why one analyst thinks...

Green Dot hits the spot�
Shares of prepaid card provider Green Dot (NYSE: GDOT  ) are leading the market downturn this morning, dropping despite a price target hike from research shop Compass Point.

Compass thinks that's a mistake. Green Dot announced yesterday that it's taking over General Electric's (NYSE: GE  ) GE Capital Retail Bank role of supporting reloadable prepaid cards branded for Wal-Mart (NYSE: WMT  ) . Green Dot is buying the business's assets and taking control of all deposits underlying Wal-Mart's cards at par.

Compass Point likes the deal, for no sooner did the news come out than the analyst hiked its price target to $23. On top of the Wal-Mart deal, Compass Point notes that "1Q'13 EPS beat our expectations and the consensus earnings estimate." Meanwhile, Compass sees a buyout of Green Dot as distinctly possible, and at a higher valuation than the shares command today, based on the fact that "direct competitor NTSP was sold to TSYS in late February for $16 per share representing a valuation of 20x forward EPS and 13.9x trailing EBITDA."

5 Best Electric Utility Stocks To Own Right Now: Global X China Industrials (CHII)

Global X China Industrials ETF (the Fund) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the S-BOX China Industrials Index (the Underlying Index). The Underlying Index is a free float adjusted, liquidity tested and market capitalization-weighted index that is designed to measure performance of the investable universe of companies in the Industrials sector of the Chinese economy, as defined by Structured Solutions AG. Global X Management Company, LLC serves as the investment adviser to the Fund. Advisors' Opinion:

• [By pamatlarge]

  Investors looking to short a particular sector can choose from several Global X long ETFs. The Global X China Consumer ETF (CHIQ) concentrates its investments in consumer cyclical goods and consumer defense goods. The Global X China Energy ETF (CHIE) primarily holds stocks in coal, oil and utility companies. The Global X China Financials ETF (CHIX) only invests in financial services companies and real estate companies. The Global X China Industrials ETF (CHII) holds stocks in industrial companies and basic materials companies. The Global X China Materials ETF (CHIM) invests in basic materials stocks. The Global X China Technology ETF (CHIB) holds technology stocks as the core of its investments. All of these ETFs are particularly sensitive to sector downturns and general economic contractions.

5 Best Electric Utility Stocks To Own Right Now: H&Q Life Sciences Investors (HQL)

H&Q Life Sciences Investors (the Fund) is a diversified, closed-end management investment company. The Fund's investment objective is long-term capital appreciation through investment in life science companies (including biotechnology, pharmaceutical, diagnostics, managed healthcare and medical equipment, hospitals, healthcare information technology and services, devices and supplies) agriculture and environmental management. The Fund invests primarily in securities of public and private companies.

The Fund may invest in venture capital and other restricted securities if these securities would comprise 40% or less of net assets. The Fund may purchase and sell (or write) put or call options on any security in which it is permitted to invest. It may purchase and sell (write) options on stock indices (index options). H&Q Life Sciences Investors��investment advisor is Hambrecht & Quist Capital Management, LLC.

Advisors' Opinion:

• [By Nate Pile]

  This recommended fund��ambrecht & Quist Life Sciences Fund (HQL)��as also our top pick last year, and the fund rose 44% in 2013.

  In addition to rising in value, the fund has a dividend policy of paying out 2% of its net asset value of each quarter.

• [By Harry Domash, Publisher, DividendDetective and Winning Investing]

  Harry Domash: Yeah, in fact, H&Q Life Sciences, ticker (HQL), is actually a closed-end fund, but it invests entirely in biotech and pharmaceutical companies, and if you look around the world, the investing stocks right now—besides the social media stocks—that's really the one area that has had a lot of recent growth and we expect that to continue.

  I think the closed-end fund, and we'll get into that maybe a little bit later, but closed-end funds are a good way to cover it, when you're talking about a sector like that.

  Johnson & Johnson is an interesting case, because, as you know, Johnson & Johnson is a big company that invests, and that owns a lot of different companies itself in the medical field.

  You know, it owns hundreds of operating companies and it's primarily in the pharmaceuticals, and medical devices, and in consumer products, but Johnson & Johnson was a mismanaged company for a while and they were really underperforming their peers.

  In fact, some of their factories were closed, their pharmaceutical production factories were forcibly closed by the government because they didn't meet standards, but they were taken over by a new CEO a few years ago, two or three years ago, and now things are improving, so Johnson & Johnson is kind of coming from down and out to being a leading company again.

  They've got a lot of products, cancer-type products, and things on the pipeline and it just seems like things are going very well so we have hopes that Johnson & Johnson has reported the last two quarters are the first ones that have really been decent, they really showed growth, and then we expect that to accelerate so we're pretty hot on Johnson & Johnson now.

  Steve Halpern: One particularly interesting portfolio that you maintain that I haven't seen anywhere else is based on closed-end funds that pay monthly dividends&mdash

Top 10 Gas Companies To Own In Right Now: Ambassadors Group Inc. (EPAX)

Ambassadors Group, Inc. provides educational travel experiences and online education research materials worldwide. Its Ambassador Programs and Other segment offers educational travel services to students and professionals. The company�s BookRags segment provides online research in the form of book summaries, critical essays, study guides, lesson plans, film summaries, biographies, literary criticisms, and references to encyclopedia articles. It offers People to People Ambassador Programs for the development and conducting of programs to grade school and high school students; and for the development, marketing, and operation of programs for professionals, college students, and athletes. The company also provides People to People Student Ambassador Programs, which offer educational opportunities for grade school, middle school, and high school students to visit foreign destinations to learn about the history, government, economy, and culture of such countries, as well as pr ovides educational and entertaining travel experience. In addition, it offers People to People Sports Ambassador Programs; and People to People Leadership Summit and World Leadership Forum Programs that provide domestic travel experiences for grade school, middle school, and high school students emphasizing leadership, community involvement, and government education. The company also offers People to People Citizen Ambassador Programs, which provide professionals to travel abroad to meet and exchange ideas with foreign citizens. In addition, it offers Discovery Student Adventures, a teacher recruited student travel program that provides opportunities for grade school, middle school, and high school students to visit destinations emphasizing adventure and scientific exploration. Further, the company operates bookrags.com, an educational Website. Ambassadors Group, Inc. was founded in 1967 and is headquartered in Spokane, Washington.

Advisors' Opinion:

• [By CRWE]

  Ambassadors Group, Inc. (Nasdaq:EPAX), a leading provider of educational travel experiences, reported that its board of directors declared a quarterly dividend of $0.06 per share, which will be paid on June 7, 2012 to all common shareholders of record on May 24, 2012.

5 Best Electric Utility Stocks To Own Right Now: Corewafer Industries Inc (WAFR)

COREwafer Industries, Inc., formerly Action Products International, incorporated on January 7, 1981, is a holding company that acquires or merges with companies with growth opportunity. The company's business model is to bring together companies that deliver complimentary technology and services. The Company�� products and services include Logistics & Transportation and Software & Technology.

Logistics & Transportation

Northeast Expedite Logistics, LLC (NEEL) is a provider of global logistics services, which includes a domestic service center and exclusive and non-exclusive agents. The Company�� customers include retail and wholesale, electronics, and manufacturing companies around the world. With industrial production increasing year-over-year, the shortage of qualified drivers and trusted shipping partners is apparent in mid-markets for local deliveries. As the economy improves, orders for delivery and logistics. The Company provide foundational shipping and coordination services between suppliers and destination businesses and warehouses, and the Company operate efficiently through cloud based tracking.

Software & Technology

The Company has a particular focus within technology on semiconductor testing. To enable success of its software and technology vertical, the Company acquired Core Wafer Systems, Inc. Core Wafer Systems, Inc., a Nevada corporation, creates software, software algorithms, and hardware that are used in the testing and data mining of the commonly used semiconductor components. Core Wafer ensures these components, created by semiconductor manufacturers, leave the factory in a working state after having been tested. Core Wafer helps ensure that products are manufactured within specification and won't suddenly fail for the end consumer. The Company is working to integrate the operations and financial records of Core Wafer with those of the Company.

Advisors' Opinion:

• [By Peter Graham]

  Nyxio Technologies Corp (OTCMKTS: NYXO), COREwafer Industries Inc (OTCMKTS: WAFR) and NanoTech Entertainment, Inc (OTCMKTS: NTEK) are three small cap stocks in some very diverse industries. In fact, one of these stocks just bought a 3D ice sculpture business. So will investors see their investment melt with that small cap stock�along with the other two? Here is a closer look to help you decide for yourself:��

5 Best Electric Utility Stocks To Own Right Now: Pinnacle West Capital Corporation(PNW)

Pinnacle West Capital Corporation, through its subsidiaries, provides retail and wholesale electric services primarily in the State of Arizona. The company involves in the generation, transmission, and distribution of electricity through coal, nuclear, gas and oil, and solar resources. It also offers energy-related products and services, such as energy master planning, energy use consultation and facility audits, cogeneration analysis and installation, and project management with a focus on energy efficiency and renewable energy to commercial and industrial retail customers in the western United States. In addition, the company owns minority interests in various energy-related investments and Arizona community-based ventures; and develops residential, commercial, and industrial real estate projects in Arizona, Idaho, New Mexico, and Utah. As of December 31, 2010, it owned or leased approximately 6,290 mega watts of regulated generation capacity; and serviced approximately 1.1 million customers. Pinnacle West Capital Corporation was founded in 1920 and is based in Phoenix, Arizona.

Advisors' Opinion:

• [By David Dittman]

  Early solar movers have subtracted rate-payers, which eats at revenue. Utilities must continue to invest in infrastructure, and that requires rate increases. But higher electricity rates make solar installation seem less expensive, raising incentives to go solar and further eroding the rate-payer base. It’s a potentially vicious cycle for utilities.
  Arizona regulators recently ruled that Pinnacle West Capital Corp (NYSE: PNW) can charge customers who install solar panels a fee based on their continued reliance on the grid, a trend that could have legs around the US.

Union withdraws Volkswagen vote appeal

CHATTANOOGA — The UAW is withdrawing objections filed with the National Labor Relations Board regarding February's vote at the Volkswagen plant here, effectively terminating a government review process, the union said Monday.

President Bob King of the United Auto Workers said the decision was made in the best interests of Volkswagen employees, the automaker and economic development in Chattanooga, according to a release on the UAW's website.

The union based its decision on the belief that the National Labor Relations Board process potentially could drag on for months or even years, King said. Additionally, the UAW cited the refusal of Tennessee Gov. Bill Haslam's and Sen. Bob Corker, R-Tenn., to participate in a transparent legal discovery process.

"The unprecedented political interference by Governor Haslam, Senator Corker and others was a distraction for Volkswagen employees and a detour from achieving Tennessee's economic priorities," King said. "The UAW is ready to put February's tainted election in the rearview mirror and instead focus on advocating for new jobs and economic investment in Chattanooga."

STORY: UAW loss in Tennessee emboldens unions' foes
STORY: UAW asks labor board for new vote at Volkswagen

UAW Region 8 Director Gary Casteel, who directs the union's Southern region, echoed that the UAW's focus is advocating for Volkswagen to create more jobs in Tennessee by adding a new sport-utility vehicle line at the Chattanooga plant. The Haslam administration in August offered nearly $300 million in incentives to bring the new SUV to Chattanooga but attempted to make the investment contingent on ensuring that Chattanooga plant had no union.

The Haslam administration's contingency is contrary to Volkswagen's successful business model, which is premised on worker representation.

"The UAW wants to help create quality jobs and build world-class products for American consumers," Casteel said. "With this in mind, we urge Governor Haslam to immediately ex! tend the incentives that previously were offered to Volkswagen for this new SUV line, and do so unconditionally."

STORY: Appealing Volkswagen vote won't be easy for UAW
ANALYSIS: UAW faced tough sell with happy VW workers

The UAW has accomplished a major goal with its election objections, King said.

"The UAW's objections informed the public about the unprecedented interference by anti-labor politicians and third parties who want to prevent workers from exercising their democratic right to choose union representation," he said.

Outdated federal laws governing the NLRB never contemplated the level of extreme intimidation and interference that occurred in Chattanooga, King said. Even if the government ordered a new election — the board's only available remedy under current law — nothing would stop politicians and anti-union organizations from interfering again.

UAW officials said they believe that a congressional inquiry into the Haslam administration's incentives threat to Volkswagen provides the best opportunity for additional scrutiny. The union will ask Congress to examine the use of federal money in the state's incentives threat.

"Frankly, Congress is a more effective venue for publicly examining the now well-documented threat," King said. "We commend Congressmen George Miller and John Tierney for their leadership on this matter, and look forward to seeing the results of their inquiry."

Why American Vanguard's Shares Wilted

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of specialty chemical maker American Vanguard (NYSE: AVD  ) fell 17% today after cautioning about second-quarter earnings.

So what: Wet weather in the Midwest and Southeast will negatively affect the company's performance in the second quarter and the company doesn't expect to meet either top- or bottom-line expectations. Revenue is expected to top last year's $84.8 million but won't hit Wall Street's $106.8 million expectation.  

5 Best Quality Stocks To Own Right Now

Now what: American Vanguard didn't give an update on what profit would look like, but investors are expecting the worst. Some of these sales will not only be delayed but will also be lost altogether, and that's the biggest concern today. But long-term this isn't a blow to the company's market share and weather won't have this kind of impact every year. The stock trades at 14.7 time trailing earnings now, and considering that revenue will still grow despite bad weather, I think this is a buying opportunity for long-term investors.

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David Rolfe Comments on Varian Medical Systems

Varian Medical Systems (VAR) has been a staple in our portfolio since the fall of 2005. The stock has rebounded smartly, up +31% from its April 2013 lows through the first quarter. Varian continues to be the global market share and technological leader in the radiation oncology business. Unfortunately, the incidence of cancer continues its deadly growth. In the U.S. alone, the American Cancer Society projects that some 1.7 million people will be diagnosed with cancer. Expectations of new cancer cases around the world are approaching 25 million over the next three decades. Of these new cases, approximately two-­‐thirds will be treated with some sort of radiation therapy. Varian has been at the forefront of linear particle accelerator since the late 1940's. Today the Company's installed base numbers over 7,300 LINACS across the globe – a 60% market share. As impressive as that may sound, the availability of state-­‐of-­‐the-­‐art radiation therapy (radiosurgery and proton therapy) outside of the U.S. is woefully low. The developed world has access to 35 to 110 LINACS per million people over the age of 65. In the U.S., it's 110 LINACS per million. Western Europe and Japan is 35 to 65 per million. In India, Africa, Eastern Europe and Southeast Asia there are between 1 and 20 machines per million. In China there is less than 10 machines per million. Complementing the Company's long-­‐term growth opportunity in radiation therapy is the secular trend in the "digitization of radiology," which is a key driver of their lucrative software and flat-­‐panel services business, plus their X-­‐ray tube replacement business that sells into the installed base of competing LINACS. The Company's initiatives to drive greater productivity continue to bear fruit. In 2013 sales per employee increased 14% and operating income per employee increased 20% over 2012 levels. Such productivity has helped the Company offset the continuing losses as they rollout their proton therapy machines. Cutting edge tech! nologies such as proton therapy are one of the many reasons why cancer survivorship rates are up to nearly 70% from 50% from just the 1970's. You will be hearing much more about the marvels of proton therapy in the years to come. The key benefit of proton therapy over the latest x-­‐ray technology is that proton beams, due to proton's relatively larger sub-­‐atomic mass, can be controlled and stopped at the tumor. Conventional X-­‐rays particles cannot be 3 stopped and risk damaging surrounding healthy cells. Due to the exceptional accuracy of a proton beam, the oncologist can more safely deliver much higher doses of radiation (hypofraction), which kills cancer faster with fewer treatments. Furthermore, tumors that are close to vital organs are ideal for proton therapy. These include head and neck, breast, lung, gastrointestinal, prostate and spine. Proton therapy is also ideal for children to avoid longer-­‐term side effects of traditional radiation therapy. The advantages of this therapy have been known since the 1940's, but the cost of commercialization has been a nearly insurmountable hurdle. The Varian proton therapy equipped facility at the Scripps Proton Therapy center in San Diego just went online in January. This $220 million, 102,000 square-­‐foot, facility is only the 15th proton therapy facility in the U.S. At its core sits a 95-­‐ton superconducting cyclotron where the proton beam is generated using oxygen and hydrogen to create a plasma stream. Protons are then extracted and accelerated to roughly 100,000 miles per second. Such miracles of science and technology (Cincinnati Children's Hospital just recently placed a proton order) come at considerable costs. The Company needs to get the costs of such systems below $25 million in order to drive any meaningful growth and profitability from proton therapy. Given Varian's long and exceptional history of innovation with LINACS, combined with proton therapy's high barriers to entry, we believe the Company is well-­‐positioned! to event! ually reap a substantial proportion of any potential financial rewards generated by this ground-­‐breaking technology. Stericycle continued its steady streak of growth. Last quarter earnings per share were up 12%, driven by a 13% increase in revenues, compared to the December 2012 calendar quarter. Stericycle is able to methodically deliver such growth through a unique combination of organic and inorganic means. For instance, during the quarter they closed eight acquisitions that will generate roughly $34 million in incremental annual revenues. As for the Company's competitive positioning, the regulated medical waste industry market opportunity is roughly $10.5 billion spread across a highly fragmented competitive field, consisting of regional or local players, with none generating revenues above $100 million.From David Rolfe (Trades, Portfolio)'s Wedgewood Partners first quarter 2014 commentary.
Also check out: David Rolfe Undervalued Stocks David Rolfe Top Growth Companies David Rolfe High Yield stocks, and Stocks that David Rolfe keeps buying

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Judge: GM need not tell owners to park recall cars

A Texas judge has denied an order that would force owners to stop driving more than 2 million General Motors small cars under recall for defective ignition switches.

The lawsuit, filed in Corpus Christi, Tex., asked a judge to compel GM to issue a "park it now" order to owners of Chevrolet Cobalts abd HHRs, Saturn Ions and Skys, and Pontiac G5s and Solstices, mostly from 2003 through 2007 model years.

Defective ignition switches found in those vehicles have been linked to 31 crashes and 13 deaths. Ignition keys, especially when attached to key chains with multiple other keys, can can slip into accessory mode while the car is drive, shutting power to air bags, power steering and braking.

Judge Nelva Gonzales Ramos of Corpus Christi deferred the matter to the National Highway Transportation Safety Administration, which has been involved in the recall since mid-February or before.

GM CEO Mary Barra has repeatedly said the recalled vehicles are safe to drive if all but the ignition key is removed from the key chain.

Replacement parts have started arriving in dealerships, but it will take months to make repairs on all 2.6 million recalled vehicles.

GM has said it will take a $1.3 billion charge in the first quarter related to the cost of the recall.

Pontiac G6 and Chevrolet Malibus are shown at the Orion Assembly plant in Orion Township, Mich. Both models are being recalled, covering most model years from 2004 to 2009, as part of the 1.3 million vehicles that General Motors plans to fix to correct a power steering problem.  (Photo: Paul Sancya AP)View Fullscreen Chevrolet Malibu Maxx, including most 2004 to 2009 models. is being recalled. Here it's seen in an ad from 2003  (Photo: Chevrolet)View Fullscreen Chevrolet HHR's are seen on display at a Chevrolet dealership in San Jose, Calif.  (Photo: Paul Sakuma AP)View Fullscreen 2010 Chevrolet Cobalts are being recalled. This is a 2009 model  (Photo: Chevrolet)View Fullscreen 2008 Chevrolet Malibu LT. X08CH_MA023 (United States)  (Photo: GM Chevrolet)View Fullscreen 2009 Saturn Aura is among the vehicles being recalled  (Photo: GM Wieck)View Fullscreen This is the 2006 Saturn Ion, one of the models subject to the recall  (Photo: GM Wieck)View FullscreenLike this topic? You may also like these photo galleries:ReplayAutoplayShow ThumbnailsShow CaptionsLast SlideNext Slide

Some American Funds Clients Vulnerable to Heartbleed Bug

Capital Group Cos., the third-largest manager of U.S. mutual funds, urged 800,000 customers to change account passwords and other information to protect themselves from risk caused by the Heartbleed computer bug.

The bug may have exposed some customers who accessed their accounts on the website for the firm’s American Funds mutual funds between Dec. 12 and April 14, Chuck Freadhoff, a spokesman for the Los Angeles-based firm, said in a telephone interview. The company today recommended in an e-mail to those clients that they change their user information, password, security image and questions, and delete their browsing history and “cookies.”

“Through an outside vendor there was with Heartbleed a vulnerability that gave a view to information flowing through that vendor’s servers,” Freadhoff said. “We are doing this out of an abundance of caution,” he said, adding that the company had no information indicating accounts had been accessed by hackers.

Heartbleed, which was recently discovered by technology researchers and made public on April 7, prompted security experts to urge consumers to change their Internet passwords, even as Google Inc., Facebook Inc. and large banks said they weren’t affected. The bug can expose people to hacking of their passwords and other sensitive information.

Programming Error

The Federal Financial Institutions Examination Council, made up of representatives from the Federal Reserve Board of Governors, the Consumer Financial Protection Bureau and other U.S. regulators, said last week that systems operating a widely used encryption technology called OpenSSL are at risk of being hacked.

The flaw stemming from a 2-year-old programming mistake was discovered by researchers from Google and Codenomicon Ltd., a technology security firm based in Finland, and reported to OpenSSL, according to a blog post from Codenomicon. It isn’t known whether malicious hackers were aware of the bug and exploiting it, the researchers wrote.

Bloomberg News reported April 11 that the National Security Agency knew about the bug for two years and made it part of its hacking toolkit for information gathering. The NSA has since denied that it knew of the bug before an April 7 report by the private security researchers.

Capital Group manages $1.3 trillion for clients, including $1.1 trillion in its American Funds lineup, according to the company and data compiled by research firm Morningstar Inc. Only Vanguard Group Inc., based in Valley Forge, Pennsylvania, and Boston’s Fidelity Investments oversee more in mutual funds.

Capital Group’s largest fund is the $138 billion Growth Fund of America, according to data compiled by Bloomberg. The firm operates more than 50 million shareholder accounts, Freadhoff said.

--With assistance from Ed Dufner in Dallas.