Friday, February 28, 2014

Hot Retail Companies To Buy For 2015

Despite Walmart's (NYSE: WMT  ) success with prepaid debit cards through partnerships with Green Dot (NYSE: GDOT  ) and American Express (NYSE: AXP  ) , the retail giant has never quite been able to break into the ranks of the big boys through the launch of its own retail bank. Now, an article on Bloomberg makes this conundrum crystal clear: Banks advising the Federal Reserve have lobbied against making such a plan a reality.

Concerns about regulation
According to meeting minutes of the Federal Advisory Council unveiled through a Freedom of Information Act inquiry, the group of 12 banking representatives expressed concern over Walmart's banking ambitions and endorsed more oversight over the retailer's debit card programs.

It's not hard to understand why banks such as BB&T (NYSE: BBT  ) , PNC Financial (NYSE: PNC  ) , and Discover Financial Services (NYSE: DFS  ) might fear Walmart's entry into full-blown banking. As it turns out, this trepidation is long-lived, and the industry has worked tirelessly over the years to keep the giant retailer out of its neck of the woods.

Hot Retail Companies To Buy For 2015: Nordstrom Inc.(JWN)

Nordstrom, Inc., a fashion specialty retailer, offers apparel, shoes, cosmetics, and accessories for women, men, and children in the United States. It offers a selection of brand name and private label merchandise. The company sells its products through various channels, including Nordstrom full-line stores, off-price Nordstrom Rack stores, Jeffrey? boutiques, treasure & bond, and Last Chance clearance stores; and its online store, nordstrom.com, as well as through catalog. Nordstrom also provides a private label card, two Nordstrom VISA credit cards, and a debit card for Nordstrom purchases. The company?s credit and debit cards feature a shopping-based loyalty program. As of September 30, 2011, it operated 222 stores, including 117 full-line stores, 101 Nordstrom Racks, 2 Jeffrey boutiques, 1 treasure & bond store, and 1 clearance store in 30 states. The company was founded in 1901 and is based in Seattle, Washington.

Advisors' Opinion:
  • [By Caroline Bennett]

    Brad Smith, president and CEO of Intuit, is joining the board of directors for fashion specialty retailer Nordstrom (NYSE: JWN  ) .

    Smith brings the total number of Nordstrom directors up to 12, and has served in previous leadership positions for a number of technology-based companies. He will serve for one year, and will be subject to an annual election following his first term.

  • [By Andrew Marder]

    Although a report in yesterday's New York Times highlighted the practice, the truth has been out there for months. Nordstrom (NYSE: JWN  ) had a trial program where it used video surveillance and Wi-Fi signals in smartphones to track customers in the store. It wanted to use the data to help it connect with customers, and then to sell them more things. The company posted announcements about the program in stores, and after complaints, it ended the program in May this year.

Hot Retail Companies To Buy For 2015: Arch Therapeutics Inc (ARTH)

Arch Therapeutics, Inc. (Arch), formerly Almah, Inc., incorporated on September 16, 2009, operates as a life science company developing polymers containing peptides intended to form gel-like barriers over wounds to stop or control bleeding. Arch is a medical device company offering an approach to the rapid cessation of bleeding (hemostasis) and control of fluid leakage (sealant) during surgery and trauma care. Arch�� products are in preclinical development. The first product, AC5, is designed for hemostasis in minimally invasive (laparoscopic) and open surgical procedures.

AC5

AC5 is a synthetic peptide consisting of naturally occurring amino acids. When squirted or sprayed onto a wound, AC5 intercalates into the nooks and crannies of the connective tissue where it builds itself into a physical, mechanical structure. That structure provides a barrier to leaking substances, including blood and other bodily fluids, regardless of type of surgery or, based on early data, clotting ability.

Advisors' Opinion:
  • [By Bryan Murphy]

    When traders think of post-surgical wound management stocks, they may first think of names like Cytomedix, Inc. (OTCBB:CMXI) or Alliqua Inc. (OTCMKTS:ALQA). And well they should. Both companies have something of a history in the arena. ALQA is the purveyor of SilverSeal and Hydress antibiotic bandages, while CMXI is the developer of the AutoloGel system, which induces an affected patient's on body to do what it's supposed to do if there's a wound that won't heal. Cytomedix also makes the Angel platelet-rich plasma (PRP) delivery system. There's a relatively new name to add to the list of game-changing stocks in wound-management industry, however.... Arch Therapeutics Inc. (OTCBB:ARTH). The company is developing - well, has developed - a product called AC5 that nips post-surgical bleeding in the bud, largely negating the need for other post-surgical bleeding-control measures.

Top 5 Growth Companies For 2015: Tim Hortons Inc.(THI)

Tim Hortons Inc. develops, franchises, and operates quick service restaurants primarily in Canada and the United States. Its restaurants serve coffee and other hot and cold beverages, baked goods, sandwiches, soups, and other food products. As of April 03, 2011, the company and its restaurant owners operated 3,169 restaurants in Canada and 613 restaurants in the United States under the Tim Hortons name; and had 274 primarily self-serve licensed locations in the Republic of Ireland and the United Kingdom Tim Hortons Inc. was founded in 1964 and is based in Oakville, Canada.

Advisors' Opinion:
  • [By Nickey Friedman]

    Growth continues to turn from good to better for Tim Hortons' (NYSE: THI  ) competitors Starbucks (NASDAQ: SBUX  ) , Dunkin' Brands Group (NASDAQ: DNKN  ) , and Krispy Kreme Doughnuts (NYSE: KKD  ) . Though Little Timmy has lagged behind, that could change, beginning with the five-year strategic plan the company will outline on Feb. 25.

Hot Retail Companies To Buy For 2015: Group 1 Automotive Inc. (GPI)

Group 1 Automotive, Inc., through its subsidiaries, engages in the marketing and sale of automotive products and services. It sells new and used cars, light trucks, and vehicle parts. The company also provides vehicle financing services; service and insurance contract services; and automotive maintenance and repair services. The company has operations located in metropolitan areas in the states of Alabama, California, Florida, Georgia, Kansas, Louisiana, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, Oklahoma, South Carolina, and Texas in the United States; and in the towns of Brighton, Hailsham, and Worthing in the United Kingdom. As of October 25, 2012, it owned and operated 121 automotive dealerships, 158 franchises, and 30 collision centers in the United States and the United Kingdom that offer 32 brands of automobiles. The company was founded in 1995 and is headquartered in Houston, Texas.

Advisors' Opinion:
  • [By Ning Jia]

    In 2001, Advance Auto Parts acquires Carport Auto Parts, a regional retail chain with 29 stores in Alabama and Mississippi. The combination of Advance and Carport locations establishes Advance Auto Parts as the market leader in Alabama and Mississippi. In November of 2011, Advance acquires 671 Discount Auto Parts, Inc., a regional auto parts chain in Florida, Alabama, Georgia, South Carolina, and Louisiana. The acquisition strengthens the company's position as the market leader in Florida. Upon completion of this merger, Advance Auto Parts becomes a publicly traded company, listed as a common stock on the New York Stock Exchange under the symbol AAP. After the Company went public in 2001, AAP continued to expand both organically and through acquisition. On October 16th 2013, Advance Auto Parts entered into a definitive agreement to acquire General Parts International, Inc. (GPI), a leading privately held distributor and supplier of original equipment and aftermarket replacement products for commercial markets operating under the CARQUEST and WORLDPAC brands, in an all-cash transaction with an enterprise value of $2.04 billion. The transaction has been approved by the boards of directors for both companies. The deal creates the largest automotive aftermarket parts provider in North America, with annual sales of more than $9.2 billion and more than 70,000 employees.

Hot Retail Companies To Buy For 2015: Starbucks Corporation(SBUX)

Starbucks Corporation purchases and roasts whole bean coffees. It operates approximately 16,858 stores, including 8,833 company-operated stores and 8,025 licensed stores. The company offers approximately 30 blends and single-origin premium arabica coffees. It also provides handcrafted beverages, such as fresh-brewed coffee, hot and iced espresso beverages, coffee and non-coffee blended beverages, Vivanno smoothies, and Tazo teas; and merchandise products, including home espresso machines, coffee brewers and grinders, coffee mugs and accessories, packaged goods, music, books, and gift items. In addition, it offers fresh food items, which comprise baked pastries, sandwiches, salads, oatmeal, yogurt parfaits, and fruit cups. Further, it also provides VIA ready brew coffee, bottled frappuccino beverages, discoveries chilled cup coffee, doubleshot espresso drinks, iced coffee, whole bean coffee, and ice creams. The company?s brand portfolio includes Tazo tea, Ethos water, Seatt le?s Best Coffee, and Torrefazione Italia Coffee. Starbucks Corporation sells its products in approximately 50 countries worldwide. Starbucks Corporation was founded in 1971 and is based in Seattle, Washington.

Advisors' Opinion:
  • [By Dan Caplinger]

    The controversy has reached worldwide scope, as European leaders have taken up the issue after outrage over techniques that Google (NASDAQ: GOOG  ) , Starbucks (NASDAQ: SBUX  ) , and Amazon.com (NASDAQ: AMZN  ) have used to try to recognize taxable income in the most favorable jurisdictions possible.�In particular, the U.K. has increased its scrutiny of those three companies following reports that their British business units have paid minimum taxes despite having substantial sales, and European Union officials estimate that overall, national governments lose more than $1 trillion from both legal techniques and illegal tax evasion.

Hot Retail Companies To Buy For 2015: Express Scripts Holding Co (ESRX.O)

Express Scripts Holding Company, incorporated in 2011, provides healthcare management and administration services on behalf of its clients, which include health maintenance organizations (HMOs), health insurers, third-party administrators, employers, union-sponsored benefit plans, workers compensation plans, and government health programs. The Company operates in two segments: Pharmacy Benefit Management (PBM) and Emerging Markets (EM). PBM services include network claims processing, home delivery services, patient care and direct specialty and fertility home delivery to patients, benefit plan design consultation, drug utilization review, formulary management, drug data analysis services, distribution of injectable drugs to patients homes and physicians offices, bio-pharma services, and fulfillment of prescriptions to low-income patients through manufacturer-sponsored patient assistance programs. EM segment provides distribution of pharmaceuticals and medical supplies t o providers and clinics, healthcare account administration and implementation of consumer-directed healthcare solutions. In September 2013, it announced the acquisition of the SmartD Medicare Prescription Drug Plan (PDP).

On July 20, 2011, Express Scripts, Inc. (ESI) entered into a merger agreement (the Merger Agreement) with Medco Health Solutions, Inc. (Medco). During the year ended December 31, 2011, it reorganized its FreedomFP line of business from its EM segment into its PBM segment. On April 2, 2012, the Company completed the Merger Agreement, and after which ESI and Medco became the wholly owned subsidiaries of the Company. The Company�� customers include HMOs, health insurers, third-party administrators, employers, union-sponsored benefit plans, government health programs, office-based oncologists, renal dialysis clinics, ambulatory surgery centers, primary care physicians, retina specialists and others.

Hot Retail Companies To Buy For 2015: Express Scripts Holding Co (ESRX)

Express Scripts Holding Company, incorporated in 2011, provides healthcare management and administration services on behalf of its clients, which include health maintenance organizations (HMOs), health insurers, third-party administrators, employers, union-sponsored benefit plans, workers compensation plans, and government health programs. The Company operates in two segments: Pharmacy Benefit Management (PBM) and Emerging Markets (EM). PBM services include network claims processing, home delivery services, patient care and direct specialty and fertility home delivery to patients, benefit plan design consultation, drug utilization review, formulary management, drug data analysis services, distribution of injectable drugs to patients homes and physicians offices, bio-pharma services, and fulfillment of prescriptions to low-income patients through manufacturer-sponsored patient assistance programs. EM segment provides distribution of pharmaceuticals and medical supplies to providers and clinics, healthcare account administration and implementation of consumer-directed healthcare solutions. In September 2013, it announced the acquisition of the SmartD Medicare Prescription Drug Plan (PDP).

On July 20, 2011, Express Scripts, Inc. (ESI) entered into a merger agreement (the Merger Agreement) with Medco Health Solutions, Inc. (Medco). During the year ended December 31, 2011, it reorganized its FreedomFP line of business from its EM segment into its PBM segment. On April 2, 2012, the Company completed the Merger Agreement, and after which ESI and Medco became the wholly owned subsidiaries of the Company. The Company�� customers include HMOs, health insurers, third-party administrators, employers, union-sponsored benefit plans, government health programs, office-based oncologists, renal dialysis clinics, ambulatory surgery centers, primary care physicians, retina specialists and others.

Advisors' Opinion:
  • [By Adam Levine-Weinberg]

    Strong results, modest outlook
    Rite Aid's profit was driven by three major one-time or short-term impacts. First, the company gained a number of new customers from Walgreen's dispute with pharmacy benefits manager Express Scripts (NASDAQ: ESRX  ) . Walgreen's stores rejoined the Express Scripts network as of Sept. 15, and customers are beginning to trickle back, but Rite Aid still saw a significant benefit from the dispute in fiscal year 2013. On Rite Aid's Thursday morning conference call, executives estimated the full-year benefit at $70 million�-- more than half of the company's fiscal year 2013 profit.

  • [By Seth Jayson]

    Express Scripts Holding (Nasdaq: ESRX  ) is expected to report Q2 earnings on July 29. Here's what Wall Street wants to see:

    The 10-second takeaway
    Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Express Scripts Holding's revenues will wither -7.9% and EPS will grow 25.0%.

  • [By Keith Speights]

    The aftermath of the dispute with Express Scripts (NASDAQ: ESRX  ) also continues to play a factor for Walgreen. After the two sides couldn't come to an agreement, Walgreen allowed its contract with Express Scripts to expire at the end of 2011.

Hot Retail Companies To Buy For 2015: American Eagle Outfitters Inc (AEO)

American Eagle Outfitters, Inc. (AEO, Inc) is a specialty retailer that operates in the United Sates and Canada, and online at ae.com. AEO, Inc operates under the American Eagle (AE), aerie by American Eagle (aerie), and 77kids by american eagle (77kids) brands. Through the Company�� family of brands, it offers clothing, accessories and personal care products. As of January 28, 2012, the Company operated 1,090 stores in the United States and Canada under the American Eagle Outfitters, aerie and 77kids brands. The Company also had 21 franchised stores operated by its franchise partners in 10 countries. During the fiscal year ended December 31, 2011, the Company opened 33 new stores. As of December 31, 2011, it operated in all 50 states, Puerto Rico and Canada. During fiscal 2011, the Company remodeled and refurbished a total of 106 AE stores.

AE Brand

The American Eagle Outfitters brand targets 15 to 25-year old men and women. Denim is the cornerstone of the American Eagle product assortment, which is complemented by other categories including sweaters, graphic t-shirts, fleece, outerwear and accessories. As of January 28, 2012, the Company operated 911 American Eagle Outfitters stores. During fiscal 2011, it opened 11 AE stores.

aerie by American Eagle

The Company�� aerie is a collection of Dormwear, intimates and personal care products for the AE girl. The collection is available in aerie stores throughout the United States and Canada, online at aerie.com and at select American Eagle stores. As of January 28, 2012, AEO, Inc operated 158 aerie stores. During fiscal 2011, it opened 10 aerie stores.

77kids by american eagle

77kids offers clothing and accessories for kid�� ages 2 to 14 and babies under the brand name little77TM. As of January 28, 2012, the Company operated 21 77kids stores. All 77kids clothing is backed by the brand�� 77wash and 77soft. During fiscal 2011, AEO, Inc opened 12 77kids stores.

AEO Direct

The Company's online business, AEO Direct, ships to 77 countries worldwide. The Company sells merchandise via its e-commerce operations, ae.com, aerie.com and 77kids.com, which are extensions of the lifestyle that it conveys in its stores. As of December 31, 2011, AEO Direct shipped to 77 countries worldwide. In addition to purchasing items online, customers can experience AEO Direct in-store through Store-to-Door. Store-to-Door enables store associates to sell any item available online to an in-store customer in a single transaction. The Company accepts PayPal and Bill Me Later as a means of payment from its ae.com, aerie.com and 77kids.com customers.

Advisors' Opinion:
  • [By Lisa Levin]

    American Eagle Outfitters (NYSE: AEO) shares fell 9.24% to reach a new 52-week low of $12.99 after the company reported that its CEO Robert Hanson is leaving the company. Stifel Nicolaus downgraded the stock from Buy to Hold.

  • [By Shauna O'Brien]

    Shares of apparel retailer American Eagle Outfitters (AEO) fell over 7% on Friday morning after the company posted Q4 guidance that was well below estimates. The company also reported that its third quarter earnings plunged from last year.

    AEO’s Earnings in Brief
    -AEO’s Q3 earnings fell to $24.9 million, or 13 cents per share, from $78.61 million, or 39 cents per share, a year ago.
    -Adjusted earnings were 19 cents per share, which matched analysts’ estimates.
    -Total revenue was $857 million. Analysts expected to see revenue of $844.76 million.
    -Looking ahead, the company expects to see fourth quarter earnings between 26 and 30 cents, which would fall below analysts’ estimate of 39 cents per share.

    CEO Commentary
    Robert Hanson, CEO of AEO, commented: ��ur financial performance is clearly unsatisfactory and not consistent with our objectives. As we continue to navigate through an intensely promotional North American retail landscape, we are making improvements in merchandising and marketing, while aggressively pursuing efficiency gains, expense reductions and ensuring disciplined inventory management. We are continuing to invest in important areas of growth including omni-channel, global expansion and factory stores — all high-return segments, which diversify our business and will be key drivers of our future growth and success.��/p>

    AEO’s Dividend
    AEO made no mention of its next quarterly dividend, but the company will likely declare a 13 cent dividend in the near future. The company paid its last dividend on October 16.

    Stock Performance
    American Eagle shares were down $1.20, or 7.32%, during pre-market trading Friday. The stock is down 20% YTD.

  • [By Rich Smith]

    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 downgrade for American Eagle Outfitters (NYSE: AEO  ) , an upgrade for ANN (NYSE: ANN  ) , and a brand new buy rating for a little company called Mazor Robotics (NASDAQ: MZOR  ) . Let's dive right in, beginning with why ...

Thursday, February 27, 2014

Jobless claims: Four-week average holds steady

WASHINGTON — The number of people applying for U.S. unemployment benefits rose 14,000 last week to a seasonally adjusted 348,000, though the broader trend in applications remained stable.

But the four-week average was unchanged at 338,250, the Labor Department said Thursday. Applications are a rough proxy for layoffs. The average is not far above pre-recession levels, a sign companies are laying off few workers.

STOCKS THURSDAY: How markets are doing

Applications have been mostly steady in recent weeks, even though hiring faltered in January and February. That suggests employers may be reluctant to add many jobs, but they aren't worried enough about future growth to step up layoffs.

Nearly 3.5 million people received unemployment aid in the week ending Feb. 8, the latest data available. That's about 25,000 fewer than the previous week.

Harsh winter weather has chilled hiring in recent months. Employers added just 113,000 jobs in January. That followed a gain of only 75,000 in December. Those figures are about half the monthly pace of the past two years.

On the positive side, the unemployment rate fell in January to a five-year low of 6.6% from 6.7%, as more of those out of work found jobs. And hiring rose in manufacturing and construction, two higher-paying industries that are key drivers of growth.

Still, the bitterly cold weather has contributed to a run of disappointing economic data since the start of the year. Sales of existing homes plummeted in January to the slowest pace in 18 months, held back by the weather, higher interest rates and rising home prices.

Builders broke ground on 16% fewer homes in January compared with December, the Commerce Department said this week. That was the second straight decline. Developers also requested fewer permits in January for the third straight month, a sign homebuilding will remain lackluster in the near future.

And Americans cut back on their spending in retail stores and restaurants in January, the seco! nd straight drop.

With consumers cautious and the housing recovery slowing, economists have scaled back their forecasts for the January-March quarter. Most now expect growth in the first three months of the year to be 2% at an annual rate or below, down from forecasts of about 2.5% at the beginning of the year. Most expect growth to then pick up and reach nearly 3% for the full year, up from under 2% in 2013.

Friday, February 21, 2014

6 Industry Trends On Display At The 25th North American International Auto Show In Detroit

The general public will soon be able to check out some of the latest upgrades, changes and trends when the North American International Auto Show opens up January 18 at Detroit's Cobo Center.

Some of the major executives and representatives were on hand to describe what advancements had been made to previous models for the upcoming year.

Here is a look at some of the trends on hand.

Light-Weight

Ford Motor (NYSE: F) opened up the week with the unveiling of the 2015 F-150, at one point the best-selling U.S. vehicle for 17 straight years. The modern look of the truck as evident, but the biggest advancement was its new 95 percent aluminum body. The military-grade alloy will take up to 700 pounds (compared to the 2014 model) off the new F-150. Alcoa (NYSE: AA) was used for early-testing of aluminum parts and recently completed a $300 million expansion to meet demand. Novelis was picked up in 2010 and converted a New York plant to help meet demand. Ford's website says that the aluminum scrap can be reclaimed and sent back into the manufacturing process to minimize waste.

The company put a 2.7L EcoBoost engine in the truck, that could bring in a new customer to its truck market.

Related: Detroit Auto Show Unveilings Underscore Auto-Makers' Retooling Efforts

Smarter vehicles

Ford also introduced the 360-degree cam view with the F-150, which they called an industry-first. Joe Hinrich, executive vice president and president of the Americas, said the new model is to attract it's not tech-savvy truck customers. Chrysler Brand President and CEO Al Gardner touted how the new Chrysler 200 replaced the standard shift lever to a fully-electronic rotary dial. Additionally, the UConnect System uses a hands-free, voice-activated command center that, for example, can activate a driver's Pandora app and a voice-to-text feature. "The 200 charts a new course for the Chrysler brand," Gardner said Tuesday morning. "It's athletic, and soulful with fluid surfaces drivers will want to touch and feel." The mid-size sedan's Lane Sense Departure Warning-Plus, which alerts the driver when the car is about to drift out of its lane, displays the continued advancement of smart vehicles. Additionally, the car's ParkSense allows the driver to step back and allow the car to park in both parallel or perpendicular spaces.

Related: Panasonic, Major Automakers Evolving With Mobile & Infotainment

Electrification

Tesla Motors (NASDAQ: TSLA), the industry's hottest name, dealt with its latest 'recall' issues, but was also able to display why they have shot up the list of top domestic automakers. Jerome Guillen, vice president of worldwide sales and service, stressed the company's plan to continue "reckless growth." Sales and service centers will double both domestically and globally. The company has added seven supercharging sites so far in 2014. Once Tesla fills in a gap in the northeast of the U.S., creating an "S" like path across the country, Guillen said that Model S drivers will be able to drive across the country for free. Ford COO Mark Fields, said that the automaker doubled its electrified vehicle market share in 2013, with hybrids, plugin hybrids and all electric vehicles. Executive chairman Bill Ford Jr. added that the C-Max solar energy concept channels electricity from solar panels on roof, marking the "next step in electrified vehicles." Volkswagen (OTC: VLKAY) Group of America CEO and president Michael Horn introduced the E-Golf, an electric vehicle that has already made waves in Europe. Despite the company's strong stance on electromobility, Horn was cautious when discussing e-cars future.

"If governments are putting much more effort into this, [electric cars]could be a big market, like in major cities," Horn told reporters on Monday afternoon. "If not, with the high cost of batteries, it's very difficult to reach customers."

Posted-In: Al Gardner Cobo Center Detroit Ford F-150 Michael Horn North American International Auto ShowNews Commodities Management Events Economics Markets Tech Best of Benzinga

(c) 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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Thursday, February 20, 2014

Best High Dividend Companies To Watch For 2015

Actionable Items:

Highest Positive Spread: ING Emerging Markets High Dividend Equity Fund (IHD)Focus Stock: Central Securities Corporation (CET)Last Week's Focus Stock: Central Securities Corporation

Junk Bonds Debacle: The $85 billion monthly bond-purchase program has produced a selloff for "junk" bonds. The U.S. Treasurys jumped 0.18% to 4.39% on Wednesday. The benchmark 10-Year Treasury note has risen 0.5% in the past month.

About $187 billion of junk bonds have been issued in the U.S. so far this year, a year-to-date record in data going back to 1995. This may be a sell-off of the "junk" bonds. The break in the pattern could mean high yield ("junk") investors may be threatened.

CEF "Junk" Bond Investors: Of the 73 CEFs of "HiYldBndFnds" it is only seven (7) CEFs without leverage. The leverage is 24% of net asset value, which will have to be leveraged again. Of "HiYldBndFnds" the premium is 0.9% and the average monthly yield is 7.2%. For the CEF industry (without HiYldBndFnds), the discount is -3.1% and the distribution yield is 6.0%.

Best High Dividend Companies To Watch For 2015: Alhambra Resources Ltd. (ALH.V)

Alhambra Resources Ltd., through its subsidiaries, engages in the acquisition, exploration for, and development of mineral properties, primarily gold. It holds a 100% working interest in the 2.4 million acre Uzboy Project located in north central Kazakhstan. The company is headquartered in Calgary, Canada.

Best High Dividend Companies To Watch For 2015: SmartHeat Inc.(HEAT)

SmartHeat Inc. manufactures, sells, and services plate heat exchangers (PHE) in the People?s Republic of China. It offers PHE units, which combine PHEs with various pumps, temperature sensors, and valves and automated control systems; heat meters for use in commercial and residential buildings; and spiral and tube heat exchangers. The company?s products are used in various applications that include energy conversion for heating, ventilation, and air conditioning; and industrial use in petroleum refining, petrochemicals, metallurgy, food and beverage, and chemical processing. SmartHeat sells PHE units under the brand name of Taiyu; and PHEs under the brand names of Taiyu and Sondex. It sells its products through sales force and a network of national distributors. The company is headquartered in Shenyang, the People?s Republic of China.

10 Best Stocks To Invest In Right Now: SPX Corporation(SPW)

SPX Corporation provides flow technology products, test and measurement products, thermal equipment and services, and industrial products and services worldwide. The company?s Flow Technology segment provides products and solutions that are used to process, blend, filter, dry, meter, and transport fluids. This segment?s primary offerings include engineered pumps, mixers, process systems, heat exchangers, valves, and dehydration and drying technologies for food and beverage, general industrial, and power and energy markets. Its Test and Measurement segment provides diagnostic service tools, fare-collection systems, and portable cable and pipe locators for the transportation, telecommunications, and utility industries. The company?s Thermal Equipment and Services segment engineers, manufactures, and services cooling, heating, and ventilation products, including dry, wet, and hybrid cooling systems for the power generation, refrigeration, HVAC, and industrial markets, as well as boilers, heating, and ventilation products for the commercial and residential markets. This segment also provides thermal components and engineered services. Its Industrial Products and Services segment designs, manufactures, and markets power systems; industrial tools and hydraulic units; precision machine components for the aerospace industry; crystal growing machines for the solar power generation market; television, radio, and cell phone and data transmission broadcast antenna systems; communications and signal monitoring systems; and precision controlled industrial ovens and chambers. SPX Corporation markets its products through various channels, including stocking distributors, manufacturing representatives, third-party distributors, direct sales, and retailers. The company was formerly known as Piston Ring Company and changed its name to SPX Corporation in 1988. SPX Corporation was founded in 1911 and is headquartered in Charlotte, North Carolina.

Advisors' Opinion:
  • [By Damon Churchwell]

    These companies manufacture processing products used by industries such as food and beverages, oil & gas, and wastewater treatment, among others. They serve a wide range of end markets that are mostly poised for increased earnings and are likely to spend on capital projects. While these positive trends persist, flow technology companies' prospects ought to remain favorable. Let's�highlight several sector participants, starting with a top selection,�SPX�(NYSE: SPW),.

  • [By CRWE]

    SPX Corporation (NYSE:SPW) reported that Jeremy Smeltser, currently transitioning into the CFO role at SPX, will present at the Nomura Inaugural U.S. Industrials Summit in New York City on Wednesday, May 9, 2012 at 12:00 p.m. Eastern time.

Best High Dividend Companies To Watch For 2015: American Electric Technologies Inc.(AETI)

American Electric Technologies, Inc., through its subsidiaries, provides power distribution and control products, electrical services, and construction services in the United States and internationally. It operates through three segments: Technical Products and Services (TP&S), Electrical and Instrumentation Construction (E&I), and American Access (AAT). The TP&S segment develops, manufactures, markets, and provides low and medium voltage switchgears, generator control and distribution switchgears, motor control centers, powerhouses, bus ducts, variable frequency alternating current drives, variable speed direct current drives, program logic control based automation systems, human machine interface, and specialty panels to distribute the flow of electricity and protect electrical equipment, such as motors, transformers, and cables. It also provides services, such as electrical equipment retrofits, upgrades, startups, testing and troubleshooting of substations, switchgear, drives, and control systems. The E&I segment provides a range of electrical and instrumentation construction and installation services to land and marine based markets of oil and gas, water and wastewater facilities, and other commercial and industrial markets; and services, including electrical and instrumentation turnarounds, maintenance, renovation, and new construction. The AAT segment manufactures and markets zone cabling and wireless telecommunication enclosures, and manufactures formed metals products; operates a precision sheet metal fabrication and assembly operation; and provides services, such as precision computer numerical controlled stamping, bending, assembling, painting, powder coating, and silk screening to engineering, technology, and electronics companies, primarily in the Southeast. American Electric Technologies, Inc. is headquartered in Houston, Texas.

Best High Dividend Companies To Watch For 2015: TORAY INDUSTRIES INC NPV (TKK.L)

Toray Industries, Inc. engages in the manufacture, process, and sale of chemical products worldwide. Its Fibers and Textiles segment offers filament yarns, staple fibers, and woven and knitted fabrics of nylon, polyester, and acrylic fibers; and non-woven fabrics, man-made suede, and apparel products. The company�s Plastics and Chemicals segment provides nylon, ABS, PBT, polyphenylene sulfide, and other resins and molded products; polyolefin foam; polyester, polypropylene, and other films and processed film products; raw materials for synthetic fibers and other plastics; zeolite catalysts; fine chemicals for pharmaceuticals and agrochemicals; and veterinary medicines. Its IT-related Products segment offers films and plastic products for information and telecommunications related products; materials for electronic circuits and semiconductors; color filters for LCDs, and related materials and equipment; materials for plasma display panels; magnetic recording materials; and graphic materials and related equipment. The company�s Carbon Fiber Composite Materials segment provides carbon fibers, carbon fiber composite materials, and related molded products. Its Environment and Engineering segment offers comprehensive engineering; condominiums; industrial equipment and machinery; environment related equipment; water treatment membranes and related equipment; and materials for housing, building, and civil engineering applications. The company�s Life Science segment provides pharmaceuticals and medical products; and analysis, physical evaluation, and research services. Toray Industries products are used in apparel, interior products, home appliances, and electronic products, as well as in materials and parts for automobiles and aircraft, IT products, and water treatment facilities. The company was formerly known as Toyo Rayon Co., Ltd. and changed its name to Toray Industries, Inc. in 1970. Toray Industries, Inc. was founded in 1926 and is headquart ered in Tokyo, Japan.

Best High Dividend Companies To Watch For 2015: Aussie Q Resources Ltd(AQR.AX)

Aussie Q Resources Limited engages in the exploration for base metals in Queensland, Australia. The company primarily explores for copper and molybdenum, as well as for gold and zinc deposits. It holds interest in 10 copper/molybdenum exploration permits for minerals located in the Rawbelle district of Monto in south eastern Queensland. The company?s principal project at Rawbelle district includes the Whitewash/Gordons project. Aussie Q Resources Limited was incorporated in 2006 and is headquartered in Bundall, Australia.

Best High Dividend Companies To Watch For 2015: Magellan Petroleum Corporation(MPET)

Magellan Petroleum Corporation, together with its subsidiaries, engages in the exploration for, development, production, and sale of oil and gas reserves in Australia, the United States, Canada, and the United Kingdom. Its principal assets include 2 petroleum production leases covering the Mereenie oil and gas field, 1 petroleum production lease covering the Palm Valley gas field, and 1 retention license for the Dingo Field located in the Amadeus Basin in the Northern Territory of Australia; and 13 licenses in the United Kingdom. The company also has a 28.3% working interest in the East Poplar Unit and Northwest Poplar in Montana. Magellan Petroleum Corporation was founded in 1957 and is based in Portland, Maine.

Best High Dividend Companies To Watch For 2015: Allscripts Healthcare Solutions Inc.(MDRX)

Allscripts Healthcare Solutions, Inc. provides clinical, financial, connectivity, and information solutions and related professional services to hospitals, physicians, and post-acute organizations primarily in the United States and Canada. The company?s integrated clinical software applications include acute care electronic health records, clinical and practice management solutions, revenue cycle management software, clearinghouse services, stand-alone electronic prescribing, and document imaging solutions, as well as various solutions for home care, hospice, skilled nursing, and other post-acute organizations. It also provides electronic medical records software; practice management software; electronic claims administration services; related installation and training services; hosting services for its software and outsourced solutions; and information technology outsourcing services. In addition, the company also resells related hardware products. Allscripts Healthcare Solutions, Inc. is headquartered in Chicago, Illinois.

Advisors' Opinion:
  • [By Keith Speights]

    As you might expect, large EHR systems vendors enthusiastically welcomed passage of HITECH. What company wouldn't enjoy having the government pay customers to buy its products and fine them if they didn't? Allscripts (NASDAQ: MDRX  ) reported total revenue of $548 million in the fiscal year ending in May 2009. At the end of 2012, the company's annual revenue topped $1.4 billion -- thanks in no small part to Uncle Sam.

  • [By Sean Williams]

    What: Shares of Allscripts Healthcare Solutions (NASDAQ: MDRX  ) , a health care information technology company, jumped as much as 10% after the company announced better-than-expected preliminary second-quarter booking results.

  • [By Dan Caplinger]

    One big opportunity that Quality Systems will try to cash in on this year is the trend toward medical professionals switching their electronic-health-records vendors. With one survey showing that as many as 1-in-6 of every users wanting to make a change, the industry could go through a big upheaval. Unfortunately for Quality Systems, its customer rankings are relatively low, and it appears that rival athenahealth (NASDAQ: ATHN  ) could end up drawing business away from Quality Systems and peer Allscripts (NASDAQ: MDRX  ) based on their respective perceptions by customers.

Best High Dividend Companies To Watch For 2015: American Patriot Corp (APAT.PK)

American Patriot Corp., formerly Midwest Uranium Corporation, incorporated in July 2003, is a development-stage company. The Company was formerly engaged in the distribution of deck products in the states of Michigan, Ohio, Pennsylvania and New York.

The Company was also granted distribution rights by Thruflow, Inc. in Canada and the states of Indiana, Illinois, Iowa and Wisconsin. As of December 31, 2008, the Company had no commercial operations. The Company is seeking business opportunity with entities which have recently commenced operations.

Wednesday, February 19, 2014

Americans crazy about mail, but can't say why

usps mail truck

Americans said they wanted the post office to stay the way it is for "nostalgia."

WASHINGTON (CNNMoney) Americans dearly love getting their mail daily. But they can't say what they'd miss if the U.S. Postal Service disappeared.

"People seemed to sense that the Postal Service disappearing would be a bad thing, but they had trouble articulating more specifically how this would affect them personally," the report from the U.S. Postal Service Office Inspector General says.

The inspector general's office commissioned the report, which posed questions to 101 people in 10 focus groups nationwide. It summed up the answers in the white paper called: "What America Wants and Needs from the Postal Service."

The findings offer some insight into Americans' complicated relationship with the financially strapped Postal Service.

Americans said they wanted the post office to stay the way it is for "nostalgia" and a "desire to see it continue to provide services because of its importance to the American people."

Only two people said they wouldn't be "negatively affected" if the postal service closed in five years. One of them was 92-year-old Mary from Bethel, Maine, who visits her local post office every day.

"I'll be dead by then," she said, according to the report.

Still, as the people interviewed learned more about the way the agency works and its financial struggles, they became more willing to consider cuts in mail delivery days or post office hours, and even moving away from at-your-door delivery to cluster boxes -- if it saves the institution.

Once people in the survey understood that the agency is not taxpayer-funded and runs on its own revenue, people also "lowered their service level expectations."

People gave a thumbs up to the idea that the post office offer more products and services, like hunting and fishing licenses, or paying traffic tickets. But interestingly enough, none of them imagined themselves going to the post office to use any of those services.

That sentiment seemed to capture the conundrum facing the Postal Service. The agency is in a financial bind because fewer people are using its services to mail letters and pay bills.

The agency also continues to be hamstrung by a mandate to pay billions into a fund that will pay for the health care for future retirees.

So even though junk mail services are booming and people are starting to mail more package! s, the retiree mandate puts it in a bind.

In the most recent financial quarter, the Postal Service posted an operating profit of $765 million. But even a handsome profit isn't enough to pull the agency out from under the $5 billion payment owed to the retiree fund.

No Saturday mail? USPS chief responds   No Saturday mail? USPS chief responds

The focus groups were conducted from August through November 2013 with people participating from 11 states.

U.S. Postal Service spokeswoman Toni DeLancey said the agency was still evaluating the report and had no comment yet. To top of page

Tuesday, February 18, 2014

Nadex Looks To Expand Forex Binary Expirations After Volume Doubles Year-Over-Year

The Nadex average daily volume on contracts increased 106 percent in 2013 compared to 2012. See release HERE. Traders are realizing the benefits of trading binaries on a regulated exchange and the benefits Nadex price ladder binaries offer. Nadex already expanded its forex offerings so far in 2014 by adding around the clock expirations almost every hour of the day on EUR/USD and USD/JPY. This past week, they added intraday two-hour binary contracts on Nikkei 225.  Now as binary traders continues to grow, they are adding AUD/USD and GBP/USD to their around the clock binary schedule. The additional binary contracts for GBP/USD and AUD/USD are scheduled to be released for trading effective March 3, 2014.  The intraday AUD/USD and GBP/USD binary contracts that are being added have narrow strike widths of 10 ticks than the 20 tick wide dailies. This offers greater precision and more opportunities for traders to take advantage of trading during the Asian and London trading sessions. They have also added post-market hours of 4 P.M. and 5 P.M. ET.

Related: Evening Traders Rejoice! Nadex Adds Nighttime Intraday Nikkei 225 Contracts

If you trade in the evening or even later in the day, or maybe you have a day time job and are looking for a low-risk way to trade in the evening, this may be a solution for you. You can trade small or medium market moves, news, strangles, iron butterfly/iron condor, exit when strike hit via limit order touch strike strategies and more. What Markets and Expirations Are Availble On Nadex Binary Contracts? Below is a chart of the expirations for Nadex binary contracts. (Effective March 3 GBP/USD and AUD/USD will have the evening 8 P.M., 9 P.M. 10 P.M., 11 P.M., 12 A.M., 1 A.M., 2 A.M., 3 A.M., 4 A.M., 5 A.M., 6 A.M., 7 A.M., 8 A.M., 9 A.M., 4 P.M., and 5 P.M. expirations availble that are shown on the chart below).   Nadex Binary Expiration Schedule From ApexInvesting.com   Who is Nadex?

The North American Derivatives Exchange is based out of Chicago and is regulated by the U.S. Futures Tradingicon1.png Commission (CFTC). Nadex allows traders to trade binaries and spreads on foreign exchange (forex) markets, U.S. and International Stock Indices, and Commodities like gold and oil. Trades can be opened and closed before expiration and NADEX is not trading against you.

How Can Nadex Binary Contracts Be Used?

These contracts can be used to trade strangles on GBP and AUD news, directionally, range bound and premium (time) collection strategies.

For example, you could buy a strike under the price; if the market moves up stays flat or even down some, you can profit.

You could buy a strike above the price risking $5.00 to make $95. Or risking $500 to make $9500.

Examples Of Nadex Trades

To see examples of trading the news on Nadex binaries and spreads, see these articles posted on Benzinga, click here.

Learn More About Nadex Binaries

On Nadex, the markets are open from as early as 6:00 P.M. ET to as late as 5:00 P.M. the next day, giving the ability to trade day and/or night on intraday, daily and weekly contracts. 

If you would like to learn more about trading Nadex binaries, check out this 16-video course, absolutely for free, on 

Monday, February 17, 2014

Report: Snapchat hires lobbyists in wake of data…

SAN FRANCISCO -- Snapchat has hired Washington lobbyists after a data breach last week exposed millions, according to a report.

Venice Beach-based Snapchat's messaging service left an opening for hackers to obtain a reported 4.6 million user names and phone numbers, posted to an online database.

The startup has enlisted lobbyist firm Heather Podesta + Partners, according to a report in The Hill, to help with communications. Snapchat will work with the firm toward "educating policymakers regarding the application's operation and practice," according to its lobbying disclosure.

Snapchat's hiring of lobbyists comes as privacy experts called for an investigation from the Federal Trade Commission, which could levy fines.

Snapchat enables people to send disappearing photo and video messages.

Snapchat disclosed in a blog post last month vulnerabilities had been reported to it by a security group. The exploit was discovered in its Find Friends feature, which allows people to upload contact lists to Snapchat.

The company said it had implemented safeguards making an exploit "more difficult to do."

Snapchat's disappearing messaging services has rode a massive wave of popularity among younger audiences.

Facing waning teen audiences, social networking behemoth Facebook offered more than $3 billion in an effort to acquire the startup last year.

Snapchat's 23-year-old co-founder, Evan Spiegel, spurned the offer amid multiple bids, sources told USA TODAY.

The fledgling Snapchat, just over two years old, has been approached with offers including an investment from China's Tencent Holdings that would value the start-up at $4 billion.

Investors have piled $123 million in funding into Snapchat for its promise as a next-generation messaging attraction.

Saturday, February 15, 2014

BNP Paribas hit by $1.1 billion legal provision

PARIS—BNP Paribas SA Thursday announced an unexpected slump in fourth-quarter profit after it set aside a $1.1 billion provision against possible penalties for allegedly violating U.S. laws that restrict financial transactions with countries under economic sanctions.

The Paris-based lender said that during an internal probe conducted by the bank over the past few years it had found "a significant volume of transactions that could be considered impermissible under U.S. laws and regulations including, in particular, those of the Office of Foreign Assets Control."

The surprise provision pushed fourth-quarter net profit down 76% to €127 million ($172.8 million) from €519 million a year earlier, well short of analyst forecasts putting the figure at €959 million.

"The bank has presented the findings of this review to U.S. authorities and commenced subsequent discussions with them," the bank said.

Bloomberg

The amount of the potential fines has, however, not yet been discussed with U.S. authorities, it said, and could be "different, possibly very different, from the amount of the provision." The timing too, is "uncertain," the bank said.

BNP Paribas is one of several banks that over the past year have disclosed talks with regulators about potential sanctions breaches. Many such investigations have involved alleged violations of U.S. sanctions on Iran, where the U.S. government has for decades restricted financial transactions.

U.K.-based Standard Chartered PLC agreed in December 2012 to pay $327 million in penalties for alleged violations of U.S. sanctions against Iran, Libya and other nations.

The French bank didn't say which countries these potential breaches involved.

As with many other lenders in Europe, muted economic growth and rising legal costs due to greater oversight by regulators have squeezed BNP Paribas's profit.

The bank plans to give further details Thursday of a new strategy aimed at lifting its return on equity to above 10% in 2016 from 7.7% in 2013.

An extended version of this story can be found in The Wall Street Journal.

Friday, February 14, 2014

Why I Recently Turned Bullish on Gold Mining Stocks

A friend of mine asked me the other day about the best way to build a long-term investment strategy. This is a great question, but it’s also one of the most difficult ones to answer.

Obviously, different people have various goals and objectives, especially when it comes to risks. For me, the way I put together an investment strategy is by looking to buy things when they are on sale, including stocks.

Over the past couple of months, if you’ve been following my articles, you’ve likely noticed that I’ve started to become quite bullish on gold mining stocks. This is the classic investment strategy of buying when most people are selling. When you consider the current sentiment, it’s clear that gold mining stocks haven’t experienced this much negativity in years.

Also Read: NYSE holidays 2014

Of course, you can’t simply have an investment strategy to buy any random stock or sector when it goes down; that’s doomed to fail. At some point, for the investment strategy to work, there must be some fundamental strength over the long term.

We all know about the pain felt by most gold mining stocks. But don’t forget: the market is a forward-looking mechanism. Your investment strategy should not focus on what’s happening today, but what is likely to occur over the next several quarters and even years.

Why did I recently become bullish on gold mining stocks?

I believe part of the reason for the significant weakness in the precious metal, especially in December, was due to institutions continuing to play the trends. You have to remember that large funds are measured by their performance (yearly and quarterly), and with a strong 2013, very few institutions would initiate an investment strategy of buying gold mining stocks right before year-end, as this could hurt their bonuses.

Over the last few months, we have also seen a large number of gold mining stocks write off bad investments and reduce expansion plans. This has naturally hurt the financial situation over the short term, but I believe most of the bad news has now been priced into the market.

When the stock market bottomed in March of 2009, it was a great time to buy, even though this was a very difficult investment strategy because of all the negativity around the state of the economy at that point. I think gold mining stocks are currently being met with a similar barrage of negativity, which is certainly warranted, considering the state of their businesses.

But as we all know, the business cycle oscillates, and I think gold mining stocks are now at a point where they have written off most of the bad assets and the stocks are pricing in a terrible environment. I’m considering gold mining stocks because very few investors are talking about an investment strategy in this sector, and I think there is the potential for a rise in the price of precious metals in 2014.

Market Vectors Gold Miners NYSE Chart

Chart courtesy of www.StockCharts.com

Above is a chart of the gold mining stocks exchange-traded fund the Market Vectors Gold Miners ETF (NYSE: GDX). Since gold mining stocks bottomed out in December 2013, the index has quickly moved up to the 200-day moving average. As I noted earlier, the investment strategy to accumulate at the end of 2013 was correct, as large institutions stayed out of the market.

With gold mining stocks moving up quickly to an initial area of resistance, we should see some consolidation before the market continues moving higher. I would keep my eye on the 50-day moving average, as a break below this technical indicator might trigger additional selling pressure and lower prices over the short term.

With gold mining stocks writing off bad assets, and physical demand still remaining quite strong, I think the risk/reward ratio remains in favor of having some allocation to this market sector as part of your investment strategy.

This article Why I Recently Turned Bullish on Gold Mining Stocks was originally published at Daily Gains Letter

The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.

Posted-In: Commodities Markets Trading Ideas

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Monday, February 10, 2014

Millionaires̢۪ Favorite Alt Investment: Real Estate

Millionaire U.S. investors by a wide margin favor real estate as an alternative investment, according to Morgan Stanley Wealth Management’s latest Investor Pulse Poll.

Seventy-seven percent of survey respondents said they owned real estate, and 35% said they owned real estate investment trusts.

GfK Public Affairs polled 1,004 U.S. investors, age 25 to 75, with $100,000 or more in investable household financial assets during the fourth quarter. A third of those interviewed had $1 million or more in household financial assets, and only this subset of households was asked about alternative asset classes.

The survey also found that 57% of investors who received advice from a financial advisor said they were knowledgeable about alternative asset classes, compared with 30% who had not received professional advice.

“This finding underscores the important role financial advisors play in providing information and education about the potential use of alternative asset classes by suitable investors in an appropriately diversified investment plan,” Andy Saperstein, head of investment products and services for Morgan Stanley Wealth Management, said in a statement.

After real estate and REITs, the next most popular alternative investment was collectibles — 34% of millionaires said they oened them. Twenty-eight percent own precious metals, 27% private equity, 17% real assets (oil, gas and mining), 16% private real estate funds, 16% hedge funds and 13% invest via venture capital.

As with actual ownership, real estate and REITs led the list of alternatives survey respondents expected to buy in 2014, followed by collectibles, private equity and precious metals.

Sixty-eight percent of investors who worked with financial advisors said their advisors were knowledgeable about alternative asset classes, and 41% said their advisors were “very knowledgeable.”

Friday, February 7, 2014

Stocks rise despite tepid jobs report

dow 12

Click on the chart for more market data.

NEW YORK (CNNMoney) Bad news may be good news again.

The Dow, S&P 500, and Nasdaq all rose Friday despite a tepid government jobs report showed that only 113,000 jobs were created in January. The unemployment rate ticked down to 6.6%.-- its lowest level in five years. Economists surveyed by CNNMoney expected the U.S. economy to have added 178,000 jobs.

While some economists warned that a weak jobs report could be expected due to unusually cold weather in January, Friday's number follows a weak December report in which the economy added a paltry 75,000 jobs.

"Colder than normal weather was a factor but that simply does not explain two consecutive months of poor performance," said Peter Morici, an economics professor at the University of Maryland. "These sad results are consistent with a broadly underperforming economy."

But the poor job growth could mean that the Federal Reserve will pause on pulling back, or tapering, its monthly bond purchases at its next meeting in March And that may be why markets were higher Friday, according to Justin Wiggs, a trader with Stifel Nicolaus.

"The thought process now is that bad can be good in the near-term," he said.

The Fed has cut the size of its so-called quantitative easing program twice since December: first from $85 billion per month to $75 billion, and then again to $65 billion.

Stocks have had a choppy week of ups and downs. After sinking over 300 points Monday, the Dow logged its biggest gain of the year Thursday.

Still, turmoil in emerging markets and concerns about the strength of the U.S. economy could mean more volatility in the months ahead, market strategists say.

On the corporate front, shares of Apple (AAPL, Fortune 500) rose after the Wall Street Journal reported ! that CEO Tim Cook said the company bought back a big chunk of its own stock after its disappointing earnings report last month.

Is Apple becoming IBM?   Is Apple becoming IBM?

But one StockTwits user pointed out that the buyback was announced previously.

"$AAPL they bought back stock which they said they would do...nothing new here," said eddyhooks.

Another StockTwits trader thought the buyback was a ploy by Apple to save face, considering some investors are worried about the company's ability to wow the market with new products.

"$AAPL running out of ideas," said bullvsbear.

LinkedIn (LNKD) shares dropped 7% after the professional networking site reported guidance that missed forecasts. That made the stock the worst performer in CNNMoney's Tech 30 index.

StockTwits user nancefinance lamented that Linkedin is the only game in town for social career networking.

"$LNKD Everyone uses it but does anyone really like it?," she said. "It's clunky, slow, and customer support is lame."

Other chatter on StockTwits focused on the stock's high valuation compared to its earnings.

" $LNKD...this is the real bubble," said mytfine.

News Corp (NWS) shares jumped following quarterly earnings that beat expectations.

Shares of Outerwall Inc. (OUTR), which produces Redbox and Coinstar dispensers, surged 12% on news that the company plans to buy back $350 million worth of stock.

And Expedia (EXPE) spiked 13% after the travel website company posted earnings that beat analysts' forecasts.

European markets finished higher. Asian markets ended the week with gains. The Nikkei in Japan was a standout performer, advancing by 2.2% Friday. The index is on the rebound after losing more! than 11%! since the beginning of 2014.

--CNNMoney's Annalyn Kurtz contributed to this report To top of page

Thursday, February 6, 2014

[video] Dicker: Overhaul Means Opportunity for U.S. Oil Firms

NEW YORK (TheStreet) -- I was talking today with Joe Deaux about legislation making its way through the Mexican Senate looking to end Pemex's monopoly of oil production in Mexico. If approved, it will allow foreign investment in Mexican oil and gas assets for the first time in more than 50 years.

The legislation has a long way to go and the public distrust of foreign oil companies is deep, but the legislation makes a lot of economic sense for Mexico -- the government is funded by almost 30% by the receipts from the oil and gas business run by Pemex and production has dropped for eight straight years despite a very robust global market for crude oil and natural gas.

That has helped increase the price for gasoline, heating oil and natural gas more than 30% in Mexico compared with its neighbor to the north, the United States -- and this is despite the fact that Mexico is one of the most abundant in potential fossil fuel supplies.

While the opportunity for production is clear in the Gulf of Mexico, where deep-water opportunities are relatively untouched, there is also a huge opportunity in shale natural gas reserves estimated at 480 trillion cubic feet. I talk more about the likelihood and results of this bill with Joe in the video above. At the time of publication the author had no position in any of the stocks mentioned. Follow @dan_dicker This article was written by an independent contributor, separate from TheStreet's regular news coverage.

Sorry Cleveland, United Continental’s Hub Closure is Good News for Airlines

On Monday, United Continental (UAL) announced that Cleveland would no longer be used as a hub. Imperial Capital’s Bob McAdoo and Scott Buck explain what United Continental stands to gain–and why it could be good news for American Airlines (AAL) and Delta Air Lines (DAL), too:

Associated Press

We view the reduction in service at Cleveland as an important step in closing [United Continental's] performance gap with industry leader Delta Air Lines. While there remains significant work to do, we believe the 4Q13 results highlighted the progress that United has already made…

We believe both American Airlines Group and Delta Air Lines will also be beneficiaries of this change in Cleveland. Passengers from cities that are losing regional connecting service through Cleveland will now be required to connect through other airports including hubs operated by both American Airlines and Delta. These connections could include Atlanta and Charlotte to the south, Chicago or Minneapolis to the west and Philadelphia to the east. As a result, we expect both American Airlines and Delta to benefit somewhat from incremental traffic driven by United's Cleveland reduction.

Shares of United Continental have dropped 1% to $43.53 at 3:11 p.m., while American Airlines has fallen 1.2% to $33.66 and Delta Air Lines has declined 0.1% to $29.92.

Wednesday, February 5, 2014

Video Ariel Investments and Causeway Capital Analysts Discuss Microsoft Stock

 


Also check out: John Rogers Undervalued Stocks John Rogers Top Growth Companies John Rogers High Yield stocks, and Stocks that John Rogers keeps buying Sarah Ketterer Undervalued Stocks Sarah Ketterer Top Growth Companies Sarah Ketterer High Yield stocks, and Stocks that Sarah Ketterer keeps buying

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Saturday, February 1, 2014

What’s Behind GrainCorp’s Latest Selloff?

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While we certainly would have enjoyed booking the gain that would have resulted had Archer Daniels Midland Co’s (NYSE: ADM) AUD3.2 billion bid to acquire GrainCorp Ltd (ASX: GNC, OTC: GRCLF) not been rejected by the Australian government, the deal was always somewhat bittersweet insofar as it meant we’d be foregoing the years of growth and income we’d hoped the stock would generate.

Now, of course, we have that opportunity again, though in the short term, the experience of owning GrainCorp’s shares since the deal fell through has been mostly bitter. The stock has fallen 32.1 percent since Treasurer Joe Hockey issued the politically motivated ruling that ADM’s acquisition of GrainCorp would be “contrary to the national interest.” That erased all of the deal’s premium, and for much of December and January, GrainCorp’s shares traded near where they’d been in late 2012 prior to ADM’s bid.

However, this week GrainCorp’s stock fell another 5.5 percent in local currency terms, which was 4.5 percentage points more than the broad Aussie market, as represented by the S&P/ASX 200. It also lagged more relevant benchmarks by similar amounts.

Though it’s reasonable to expect a stock to drop by the amount of the premium being offered once the bid for its acquisition is spurned, the additional selloff this week prompted understandable concern among some subscribers.

This week’s price decline appears to have been prompted by two news stories. The first was a report from Reuters detailing new competition the firm will face as emboldened competitors challenge its dominance now that it won’t necessarily be able to rely upon ADM’s deep pockets.

Western Australian grain exporter CBH Group is teaming with commodities trader Glencore Xstrata, among others, to build a new grains terminal on Australia’s east coast, not too far away from one of GrainCorp’s terminals, and it’s expected to open next month. CBH is also looking into the possibility of building storage sites in the country’s eastern states. Meanwhile, Reuters says tiny Melbourne-based Emerald Grain, which is partly owned by Japan’s Sumitomo Corp, is building up-country silos.

Despite this burgeoning competition, GrainCorp still holds the considerable advantage of incumbency in its territory. Indeed, the company’s network handles approximately 85 percent of the bulk-grains market trade in eastern Australia via its ownership of 280 up-country storage sites and seven grain port terminals.

Equally important, ADM still owns nearly 20 percent of GrainCorp’s shares outstanding and has the option to increase its holdings to 25 percent, which means the company is very much incentivized to ensure that it earns a proper return on its substantial stake.  The wording of the government’s ruling also suggested that it would be open to approving a deal in the future once the industry further matures–it only just deregulated in 2008–and should ADM make inroads into assuaging concerns that underpinned political opposition to the deal among rural constituents.

In the meantime, GrainCorp would definitely benefit from a financial infusion to help upgrade key infrastructure, such as rails. Management has acknowledged that without ADM’s superior financial backing, its growth will occur at a slower pace as it deploys its own capital toward upgrades while rationalizing its storage and logistics division. Perhaps GrainCorp’s newfound competition will motivate ADM to find a way to offer additional financial support. We wouldn’t rule it out.

The other story this week, courtesy of The Australian, detailed how compensation for the company’s executives had soared to AUD13.6 million from AUD6.9 million a year earlier, largely due to the jump in share price resulting from ADM’s bid. The departure of key executives, such as soon-to-be former CEO Alison Watkins, also triggered the payout of accrued bonuses. Any boost in pay resulting from the aborted deal will certainly cause ire among shareholders, and it sounds like the board will reverse any compensation schemes tied to that deal.

When a stock is already suffering from negative sentiment, stories like these can cause it to fall much harder than it would during more optimistic times. But GrainCorp’s dominance of the region in which it operates along with its exposure to emerging Asia mean that it should still reward long-term investors.