Wednesday, April 30, 2014

Andrew Ceresney: The 2014 IA 25 Extended Profile

When asked what challenges come with being the sole director of the Securities and Exchange Commission’s most high-profile division, Andrew Ceresney cited keeping pace with the “increased complexity of the misconduct” the enforcement division sees as it relates to products, the markets and “schemes.”

“Over time as matters have become more complex, we’ve been bringing on more industry experts, and we’ve gotten smarter about using technology,” Ceresney told IA in April. The division is dealing with “very complicated schemes where people are engaging in conduct that’s hard to unravel but we do it through hard work, smarts and the use of technology.”

In the SEC’s last fiscal year, the enforcement division, which includes roughly 1,300 employees nationwide, brought almost 700 cases and obtained orders for penalties and disgorgements of ill-gotten gains totaling $3.4 billion.

Ceresney said the division is also “litigating more cases,” specifically bringing cases that “are built to litigate.” However, Ceresney noted that the funding boost for the SEC under President Obama’s 2015 budget would help the division handle more complex cases. Financial reporting cases, for instance, “take a lot of time to investigate and you often have significant amounts of data to review.”

The division’s five specialized units, which Ceresney said are “all functioning well,” include the Asset Management Unit, which focuses on advisor enforcement. “The vast majority of advisors mean to do the right thing and try to comply with the law,” he said.

Ceresney said the division has “hesitated” to create additional units because doing so “creates challenges in terms of managing the division because you’re creating a new set of supervisors.” Instead, the division has created task forces to focus on specific areas, like the financial reporting and audit task forces, as well as the micro-cap and broker-dealer task forces.

When asked if enforcement actions would be an effective means to address fiduciary breaches, Ceresney replied: “I don’t know that [bringing more enforcement cases] addresses the broader policy debate” about whether the SEC should issue a rule to put brokers under a fiduciary mandate.

Sunday, April 27, 2014

How To Invest Like John Paulson

Going against the masses rarely pays off in investing. Finding an opportunity that the rest of the market is completely missing, identifying the right instruments, calculating the right amount of leverage and then staying patient while conditions evolve is one of the most sophisticated moves an investor can make. But even though contrarian investing is extremely risky, going against the grain also carries the potential to deliver huge returns.

Without that potential, legendary hedge fund billionaire John Paulson would have never been able to score a $12 billion profit in 2007, considered by many to be the greatest trade ever.

John Paulson's Biography
John Paulson was born in the New York borough of Queens in 1955. From an early age, Paulson displayed an incredible knack for numbers and academics. In 1978, Paulson graduated from New York University with a degree in finance, finishing at the top of his class and earnings the distinction of valedictorian. Paulson built on that success at Harvard Business School, graduating with an MBA and finishing in the top 5% of his class.

 

Paulson's professional career began at consulting firm Boston Consulting in 1980 before his desire to move into trading and investing led him a series of positions at investment banks in the next 14 years. 

Although Paulson was plenty successful early in his career, he was by no means a business or investing celebrity. His path to word-class wealth and recognition didn't begin in earnest until 1994, when he founded the hedge fund Paulson & Co. with $2 million in capital and one employee.

John Paulson's Invest Strategy
Before scoring an amazing $12 billion profit shorting the housing market, Paulson was known for an ultra-conservative style of investing called merger arbitrage. This strategy focuses on buying shares of companies that are takeover targets below the stated acquisition price in hopes that the deal will eventually close and give shares a boost. Merger arbitrage isn't the sexiest investment style on the Street, but picking up a sting of small winners with low risk is like consistently hitting singles and doubles instead of striking out three times before hitting a home run.

But Paulson is no one-trick pony. His rise to the ranks of the world's wealthiest people was founded upon his contrarian instincts. Paulson has displayed an acute ability to buck the masses and identify hugely profitable opportunities that most of the market is completely missing.

John Paulson's Big Wins
Paulson's contrarian instincts have led to his biggest victories. In 2005 the housing market was locked into a red-hot bull market. Prices were skyrocketing, Mom and Pop felt rich, and speculators were scoring big gains. The line of the Street was that real estate was in a new paradigm where prices would never decline. But Paulson's instinct for numbers and ability to break complex ideas downs into simple terms led him to a very different conclusion.

     
   
  In 1994, Paulson founded the hedge fund Paulson & Co. with $2 million in capital and one employee.  

After making huge leveraged bets against housing in 2006, Paulson reportedly scored a profit of $12 billion in 2007 when the overheated market finally crashed. Paulson's staggering victory in housing immediately made him a hedge fund legend, spawned a cult following and led to a book and widespread sentiment that his housing short was "the greatest trade ever."

Paulson also shorted a basket of financial and bank stocks ahead of the financial crisis of 2008, leading to another round of big profits as the financial sector suffered huge losses. Paulson then pulled a complete reversal in the spring of 2009, covering his bank shorts and going long on the sector. Once again, when fear gripped the Street, Paulson's contrarian view told him it was time to buy, leading to another round of huge gains that stretched into the hundreds of millions.

At the same time Paulson began buying bank stocks in the spring of 2009, he also began making huge investments in gold. In the first quarter of 2009 Paulson dumped $3.7 billion into gold investments believing that currency devaluation would be the primary tool of central banks across the world searching for economic stimulation. That led to a $5 billion gain in 2010 as gold began a multi-year rally into a new all-time high.

Paulson's string of huge victories from 2007 to 2010 was one of the most impressive runs in the history of the hedge fund industry. He nailed four huge trades in a row starting with shorting housing, shorting bank stocks, reversing and buying bank stocks, and then buying gold ahead of the biggest rally in 30 years. Paulson's reputation was built upon his uncanny ability to follow the market's every move through one of its most volatile and unpredictable periods.

John Paulson's Portfolio: What's He Holding Now?

But like many hedge fund managers with enough wealth to retire a thousand times over, Paulson's love for the game has him looking for his next great trade. And right now, that is gold. 

According to GuruFocus.com, a website that tracks the holdings of insiders and hedge fund billionaires, Paulson's has 19% of his $17.7 billion in assets under management invested in SPDR Gold Trust (NYSE: GLD). His fourth-largest holding is AngloGold Ashanti (NYSE: AU), with his 3.75% allocation valued at $665 million.

After precious metals, Paulson's second-highest sector allocation is to financial services, although no bank stocks rank among his top 10 holdings, showcasing his diversified approach to the sector.

Action to Take --> Gold remains Paulson's highest-conviction investment, with SPDR Gold Trust representing nearly a fifth of his assets under management. Paulson is also bullish on bank stocks, and the financial sector continues to benefit from rising home values. Although both markets have been plenty volatile, Paulson believes that just like before, time will prove his investment thesis correct and produce another round of big gains for himself and his investors.

Saturday, April 26, 2014

AbbVie Beats Earnings, Gilead Sciences Benefits

AbbVie (ABBV) released solid financial results today, but Gilead Sciences (GILD) seems to be getting the benefit today.

AbbVie reported a profit of 71 cents a share, beating forecasts for 68 cents, on sales of $4.56 billion, topping the Street consensus of $4.56 billion.

On it’s conference call, AbbVie signaled that it didn’t intend to get into a hepatitis-C treatment pricing war. UBS analyst Matthew Roden says that’s good news for Gilead Sciences:

AbbVie’s 1Q call just ended, on which it reiterated that pricing is “NOT our strategy” in HCV. Our HCV thesis on pricing has been that AbbVie will list price at parity, and that initial discounting would be limited between two players. We do expect that gross-net will widen over time with additional market entrants, but we do not expect significant price erosion in the near to mid-term. Secondly, we’ve modelled the HCV as a long-lived market, peaking globally at $26bn in 2022. AbbVie also expects a “cadence” of treatment to draw out the market over the long term. In our view, AbbVie’s stance is consistent with our constructive view on HCV, and specifically addresses investor pushback on [Gilead Sciences].

Shares of AbbVie are little changed at $49.30 at 2:03 p.m., while Gilead Sciences has gained 0.7% to $74.60. Gilead’s gain is particularly impressive considering that the iShares Nasdaq Biotechnology ETF (IBB) has dropped 2.1% to $224.88 today.

Thursday, April 24, 2014

Best Construction Material Companies To Own In Right Now

Best Construction Material Companies To Own In Right Now: Holcim Ltd (HOLN)

Holcim Ltd (Holcim) is a Switzerland-based holding company that specializes in the manufacture, distribution and marketing of building materials. The Company operates four business segments, including Cement, Aggregates, Other construction materials and services, and Corporate. The Cement segment is engaged in the development of cement and comprises clinker and other cementitious materials, among others. The Aggregates business segment includes crushed stone, gravel and sand. The Other construction materials and services business segment comprises ready-mix concrete, concrete products, asphalt, construction and paving, and trading, among others. Additionally, other construction materials and services segment provides environmental services, including waste management, among others. The Corporate segment is engaged in holding activities and general management. It operates through subsidiaries in Asia Pacific, Latin America, Europe, North America, Africa and Middle East regions . Advisors' Opinion:
  • [By Sofia Horta e Costa]

    Holcim Ltd. (HOLN) lost 0.9 percent to 68.15 francs in Zurich. Bank of America Corp.'s Merrill Lynch unit cut its rating on the world's largest cement maker to underperform, similar to a sell recommendation, from neutral. Merrill Lynch cited the company's exposure to emerging markets.

  • source from Top Stocks Blog:http://www.topstocksblog.com/best-construction-material-companies-to-own-in-right-now.html

Wednesday, April 23, 2014

Divestment: Should Investors Take the Apartheid Approach?

Beginning in the 1960s and culminating in the mid-80s, the apartheid divestment movement involved investors selling their shares of companies that were benefiting economically from South Africa's apartheid regime. The movement was broad enough that it's credited with adding to the pressure on the apartheid government to begin negotiations that ultimately led to its demise. It's considered a successful case of investor activism to correct a social harm.

Flash-forward to today, and there's a growing movement to divest from hydrocarbons in order to deal with climate change. Part of this movement is 350.org, an organization that urges college and university endowments to divest their shares of fossil fuel companies. The group takes particular aim at Transcanada (NYSE: TRP  ) because of the heavy carbon impact of the Keystone XL pipeline, as well as those companies most exposed to the "carbon bubble," including BP (NYSE: BP  ) , Shell (NYSE: RDS-A  ) , and Chevron (NYSE: CVX  ) .

John Vechey of PopCap Games recently joined The Motley Fool for a climate change summit. His first panel guests were Dr. Rachel Cleetus, a climate economist with the Union of Concerned Scientists, and Dr. Joe Casola, program director for science and impacts at the Center for Climate and Energy Solutions. In the video below, they offer divergent views on divestment and whether it is a constructive approach to take.

Top 10 Performing Companies To Invest In Right Now

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Tuesday, April 22, 2014

Can iGATE Beat These Numbers?

iGATE (Nasdaq: IGTE  ) is expected to report Q2 earnings around July 11. 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 iGATE's revenues will grow 4.1% and EPS will grow 21.4%.

The average estimate for revenue is $279.1 million. On the bottom line, the average EPS estimate is $0.34.

Revenue details
Last quarter, iGATE reported revenue of $274.9 million. GAAP reported sales were 4.4% higher than the prior-year quarter's $263.3 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.51. GAAP EPS of $0.34 for Q1 were 55% higher than the prior-year quarter's $0.22 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 38.1%, 210 basis points worse than the prior-year quarter. Operating margin was 19.3%, 100 basis points better than the prior-year quarter. Net margin was 12.6%, 350 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.13 billion. The average EPS estimate is $1.67.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 202 members out of 210 rating the stock outperform, and eight members rating it underperform. Among 48 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 46 give iGATE a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on iGATE is hold, with an average price target of $21.57.

Is iGATE playing the right part in the new technology revolution? Computers, mobile devices, and related services are creating huge amounts of valuable data, but only for companies that can crunch the numbers and make sense of it. Meet the leader in this field in "The Only Stock You Need To Profit From the NEW Technology Revolution." Click here for instant access to this free report.

Add iGATE to My Watchlist.

Monday, April 21, 2014

Netflix Is Getting "Star Wars!" Or Is It?

How important is Netflix's (NASDAQ: NFLX  ) deal with Walt Disney (NYSE: DIS  ) ? Very, says Fool contributor Tim Beyers in the following video. The stock has more than doubled year to date on strong earnings and even stronger potential, including a presumed tailwind from nabbing streaming rights to new and old Star Wars films.

But it also isn't that simple. Not once since December has a Netflix executive uttered the phrase "Star Wars" at an investor conference. Why? Perhaps because the deal is so complicated. Streaming rights for new Star Wars fare that reaches theaters before 2016, when the Netflix deal goes into effect, should instead go to Starz.

If you're already a Netflix bull, this news won't (and shouldn't) change your thesis for buying, Tim says. Just be aware that some of the run-up may be due to incorrect ideas about Netflix's rights to stream Disney property. Stay cautious and build a position slowly.

Do you agree? Please watch the video to get Tim's full take, and then let us know whether you're buying, selling, or shorting Netflix stock and why.

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What's in store for this stock?
Can Netflix fend off this burgeoning competition, and will its international growth aspirations really pay off? These are must-know issues for investors, which is why The Motley Fool has released a premium report on Netflix. Inside, you'll learn about the key opportunities and risks facing the company, as well as reasons to buy or sell the stock. The report includes a full year of updates to cover critical new developments, so make sure to click here and claim a copy today.

Sunday, April 20, 2014

Yahoo! Stock Is an Even Better Buy Than You Might Think

Investors have good reason to love Marissa Mayer. Yahoo! (NASDAQ: YHOO  ) stock is up 61% since she took over as CEO last July. The S&P 500 is up just 18% over the same period.

Mobile app gains are at least partly responsible. Mayer has been saying for months that her strategy is to beef up Yahoo!'s mobile presence. According to GigaOm, which reported on data compiled by Onavo, use of Yahoo!'s major mobile apps among iPhone owners  increased in each of the past three months.

But investing is also a game best played in context. How does Yahoo! stock compare to peers Google (NASDAQ: GOOG  ) and AOL (NYSE: AOL  ) ? Here's what the numbers say:

Key Statistics Yahoo! AOL Google

Current Share Price

$26.80

$36.92

$898.15

Shares Outstanding

1.08 billion

77.5 million

331.8 million

Market Cap

$28.7 billion

$2.84 billion

$294.0 billion

Trailing P/E Ratio

7.76

3.15

26.87

PEG Ratio

1.38

1.57

1.27

Gross Margin

68.1%

30.8%

57.7%

Cash From Operations

(360.3 million)

$386.3 million

$16.56 billion

Sources: S&P Capital IQ, Yahoo! Finance.

And here's what Fools say, going by the data available in our CAPS investor intelligence database:

CAPS Category Yahoo! AOL Google

CAPS Stars (out of 5)

**

*

****

No. of CAPS Ratings

5,116

305

18,139

Bullish CAPS Ratings

4,071

105

15,614

Bearish CAPS Ratings

1,045

200

2,525

Bull Ratio

79.6%

34.4%

86.1%

Source: Motley Fool CAPS.

Yahoo! gets a low rating in CAPS, but that may be due more to its past than its potential. "Great management! A lot of great growth prospects and acquisitions should help drive future growth," writes CAPS investor storyboy34, in what appears to be a reference to Mayer

Google has its own mobile ambitions having recently changed terms for its AdWords search advertising program. The goal? Do a better job of monetizing mobile ads. The search king has also teamed with Yahoo! to bring contextual ads to Yahoo! sites for auto, finance, sports, and general news. Investing in both companies might prove an interesting way to play not only the growth of the Mobile Web but also the shift toward tailored, digitally delivered ads.

AOL, meanwhile, remains dependent on a growing network of cheap content via sites such as The Huffington Post. The company is also competing with YouTube by introducing unique web video shows. Call it one of several promising AOL projects, even if the company's comparatively low gross margin seems to have investors concerned.

Verdict: Yahoo! stock is a buy
As for Yahoo!, I think that mobile apps are catching on for a reason. The company has done good work to make them useful in iOS, which means more users who, in turn, may give the ad-supported full sites a second look. It's a virtuous cycle that I see growing over time, and I've rated the stock to outperform in my CAPS portfolio as a result.

Now it's your turn to weigh in. What do you think of Yahoo!'s mobile apps? Would you buy, sell, or short Yahoo! stock at current prices? Leave your comments in the box below.

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Saturday, April 19, 2014

Gilead Anti-Hep-C Treatment on the FDA Fast Track

Gilead Sciences  (NASDAQ: GILD  ) has received FDA priority review status for its New Drug Application for sofosbuvir, the company announced Friday.

Sofosbuvir is a once-daily oral nucleotide analogue inhibitor for the treatment of chronic hepatitis C virus (HCV) infection. Nucleotide analogue inhibitors are antiviral drugs that bind to reverse transcriptase, preventing RNA conversion to DNA.

Hepatitus C is a closely related family of viral liver diseases composed of several subtypes (genotypes). According to the Centers for Disease Control, most patients infected with HCV develop chronic infections. Most of these develop some degree of chronic liver disease. Fewer than 20% of people with chronic HCV will develop cirrhosis of the liver. Fewer than 5% will end up dying of cirrhosis or liver cancer caused by the virus.

The FDA grants priority review status to drug candidates that may offer major advancements in treatment over existing options. The FDA has set a target review date of Dec. 8 under the Prescription Drug User Fee Act.

Top 5 Chemical Companies To Own In Right Now

Gilead proposes the use of sofosbuvir and ribavirin, or RBV, as an all-oral therapy for genotype 2 and 3 HCV infection, and the use of sofosbuvir with RBV and pegylated interferon for patients who have never been treated for genotype 1, 4, 5, or 6 infections in the past. 

Thursday, April 17, 2014

PepsiCo 1Q Jumps on Snack Sales, Cost Cuts

PepsiCo Products Ahead Of Earnings Data Susana Gonzalez/Bloomberg via Getty Images PepsiCo (PEP) reported a stronger-than-expected first-quarter profit as the company slashed costs and sold more snacks around the world. The company, which makes Frito-Lay, Gatorade, Mountain Dew and Tropicana, said global snack volume rose 2 percent while beverages were even from a year ago. Chief Financial Officer Hugh Johnston said on CNBC that the results show the company's snack and beverage units are "really performing terrifically" together. Johnston compared the combination to peanut butter and jelly, saying that "snacks and beverages are bought together 55 percent of the time." His comments seemed to address ongoing calls by activist investor Nelson Peltz of Trian Fund Management for PepsiCo to split up the two units. Peltz says the company's stronger snack unit is being overshadowed by the underperforming beverage unit, which has long trailed Coca-Cola. PepsiCo has steadfastly rejected the suggestion. In its closely watched North American beverage unit, PepsiCo said volume was even for the quarter ended March 22. A 1 percent decline in sodas was offset by growth in other drinks. Core revenue rose as the company raised prices. For its Frito-Lay North America unit, volume rose 3 percent. In Europe, snack and beverage volume each rose by 3 percent. In the unit encompassing Asia, the Middle East and Africa, the company said revenue growth was driven by higher snack volume. For the quarter, the company earned $1.22 billion, or 79 cents a share. Not including one-time items, it earned 83 cents a share, above the 75 cents a share Wall Street expected. A year ago, it earned $1.08 billion, or 69 cents a share. Revenue edged up to $12.62 billion, higher than the $12.39 billion analysts expected. PepsiCo, based in Purchase, N.Y., stood by its outlook for the year. It expects adjusted earnings per share to grow by 7 percent.

Wednesday, April 16, 2014

10 Best Electric Utility Stocks To Invest In Right Now

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, small-cap biotech Repligen (NASDAQ: RGEN  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Repligen and see what CAPS investors are saying about the stock right now.

Repligen facts

Headquarters (founded)

Waltham, Mass. (1981)

Market Cap

$240.2 million

Industry

Biotechnology

Trailing-12-Month Revenue

$65.9 million

10 Best Electric Utility Stocks To Invest In Right Now: Valhi Inc.(VHI)

Valhi, Inc., through its subsidiaries, operates in the chemicals, component products, and waste management businesses. Its Chemicals segment produces and markets titanium dioxide pigment, a white inorganic pigment used to impart whiteness, brightness, and opacity for applications, such as coatings, plastics and paper, inks, food, and cosmetics. It also mines ilmenite in Norway. The company?s Component Products segment manufactures mechanical and electrical cabinet locks and other locking mechanisms, including disc tumbler locks, pin tumbler locking mechanisms, and electronic locks for the postal, transportation, furniture, banking, vending, general cabinetry, and other industries. Its security products are used in various applications, including ignition systems, mailboxes, file cabinets, desk drawers, tool storage cabinets, vending and gaming machines, high security medical cabinetry, electrical circuit panels, storage compartments, gas station security, bank bags, and p arking meters. It also provides furniture components comprising precision ball bearing slides and ergonomic computer support systems for use in applications, such as file cabinets, desk drawers, computer related equipment, home appliances, tool storage cabinets, imaging equipment, and automated teller machines. In addition, this segment manufactures and distributes stainless steel exhaust components, gauges, throttle controls, hardware, and accessories primarily for performance boats. Valhi?s Waste Management segment engages in processing, treating, storing, and disposing hazardous, toxic, and low-level radioactive wastes. This segment serves chemical, aerospace, and electronics businesses, as well as governmental agencies. Valhi also offers insurance brokerage and risk management services; holds marketable securities; provides utility services; and owns and develops properties. The company was founded in 1932 and is based in Dallas, Texas. Valhi, Inc. is a subsidiary of Co ntran Corporation.

Advisors' Opinion:
  • [By John Udovich]

    Dallas billionaire Harold Simmons died over the weekend with investors sending shares of some of his publically traded companies like Valhi, Inc (NYSE: VHI), Kronos Worldwide, Inc (NYSE: KRO), NL Industries, Inc (NYSE: NL) and�CompX International Inc (NYSEMKT: CIX)to higher levels as they anticipate changes���such as asset sales or spin offs. Harold Simmons was the embodiment of the American dream because he was born during the depths of the Great Depression in Golden, Texas to schoolteacher parents and he spent�his early years living without indoor plumbing or electricity. However and by recognizing�underpriced assets and through the use of massive amounts of leverage (e.g. junk bonds),�he built an empire and�ranked #40 on the 2013 Forbes 400 with a fortune estimated to be worth some $10 billion.

  • [By Ben Levisohn]

    Typically, when the chairman of a company dies, its shares drop. That hasn’t been the case for Valhi (VHI), Kronos Worldwide (KRO) and NL Industries (NL), which have all advanced today after Harold Simmons passed away.

10 Best Electric Utility Stocks To Invest In Right Now: Buffalo Wild Wings Inc.(BWLD)

Buffalo Wild Wings, Inc. engages in the ownership, operation, and franchise of restaurants in the United States. The company provides quick casual and casual dining services, as well as serves bottled beers, wines, and liquor. As of July 26, 2011, it had 773 Buffalo Wild Wings locations in 45 states in the United States, as well as in Canada. The company was founded in 1982 and is headquartered in Minneapolis, Minnesota.

Advisors' Opinion:
  • [By James Brumley]

    Earlier this year, McDonald’s (MCD) tiptoed into KFC’s territory — and even put Buffalo Wild Wings (BWLD) on notice — with the launch of its Mighty Wings chicken wings. Sales of the fried chicken wings have failed to take off as expected, though. As McDonald’s CEO Don Thompson (under)stated it, the wings’ price of $3.69 for five pieces was “not the most competitive.”

  • [By Monica Gerson]

    Buffalo Wild Wings (NASDAQ: BWLD) shares jumped 8.86% to $140.98 in pre-market trading after the company reported upbeat third-quarter results.

    Baidu (NASDAQ: BIDU) shares gained 7.80% to $171.85 in the pre-market session after the company reported higher Q3 profit. Brean Capital upgraded the stock from Hold to Buy.

  • [By Laura Brodbeck]

    Tuesday

    Earnings Expected: Buffalo Wild Wings, Inc. (NASDAQ: BWLD), Hillenbrand Inc (NYSE: HI), Sirius XM Holdings Inc. (NASDAQ: SIRI) Economic Releases Expected: German retail sales, French consumer confidence, German unemployment rate, eurozone CPI, eurozone PPI, US trade balance, US redbook

    Wednesday

Best Long Term Stocks To Buy Right Now: Sovran Self Storage Inc.(SSS)

Sovran Self Storage, Inc. operates as a real estate investment trust (REIT). It engages in the acquisition, ownership, and management of self-storage properties in the United States. The company?s self-storage properties offer storage space to residential and commercial users, as well as offer outside storage for automobiles, recreational vehicles, and boats. As of February 15, 2007, it owned and managed 328 properties, consisting of approximately 20.3 million net rentable square feet in 22 states. Sovran Self Storage has elected to be treated as a REIT for federal income tax purposes and would not be subject to income tax to the extent it distributes at least 90% of taxable income to its stockholders. The company was founded in 1982 and is headquartered in Williamsville, New York.

Advisors' Opinion:
  • [By Rich Duprey]

    Self-storage REIT�Sovran Self Storage (NYSE: SSS  ) announced today its second-quarter dividend of $0.53 per share, a 10% increase from the payout it made to investors last quarter of $0.48 per share.

10 Best Electric Utility Stocks To Invest In Right Now: Erickson Air-Crane Inc (EAC)

Erickson Air-Crane Incorporated (Erickson) is engaged in the operation and manufacture of the Erickson S-64 Aircrane (Aircrane), a heavy-lift helicopter. The Company operates in two segments: Aerial Services and Manufacturing / MRO. Aerial Services offers a range of heavy-lift helicopter services through the Company's worldwide fleet, including firefighting, timber harvesting, infrastructure construction, and crewing services. Manufacturing / MRO manufactures Aircranes from existing airframes, manufactures new components on a contract basis, and provides customers with Federal Aviation Administration and European Aviation Safety Agency certified maintenance, and MRO services in the Company's AS9100 certified facility. In October 2012, the Company purchased the Sun Bird Aircraft and associated spare parts inventory and accessories from San Diego Gas & Electric Company. In May 2013, Erickson Air-Crane Inc acquired the entire share capital of Evergreen Helicopters Inc. In September 2013, Erickson Air-Crane Incorporated announced the completion of its acquisition of Air Amazonia Servicos Aeronauticos Ltda and certain related assets from HRT Participacoes em Petroleo S.A.

In February 2012, its Malaysian subsidiary, Erickson Aircrane Malaysia Sdn. Bhd., entered into an amendment to its existing logging contract with Syarikat Samling Timber Sdn. Bhd. (Samling Global) to extend the contract term to January 31, 2013. Pursuant to the amended contract, it began providing aerial timber harvesting services in Malaysia on February 1, 2012 to Samling Global. In January 2012, its Canadian subsidiary, Canadian Air-Crane Limited, amended its existing agreement with Western Forest Products Inc. (Western Forest Products), a Canadian forest products and timberlands management company, to establish the terms for one year of aviation services.

The Company offers a full spectrum of heavy-lift helicopter solutions, including the design, engineering, development, manufacturing, and testing of the Airc! rane, as well as Aerial Services and MRO services. It has production, maintenance, and logistics facilities in Central Point, Oregon. It maintains a year-round international presence with operations in Canada, Italy, Malaysia, and Peru, and an operating presence in Australia and Greece.

It owns the Type and Production Certificates for the Aircrane, granting us exclusive design, manufacturing, and related rights for the aircraft and original equipment manufacturer (OEM) components. It has made more than 350 design improvements to the Aircrane since acquiring the Type Certificate and it has developed Aircrane accessories that enhance its aerial operations, such as its firefighting tank system and snorkel, timber heli harvester, and anti-rotation device and hoist.

Aerial Services

The Aircrane has a lift capacity of up to 25,000 pounds and is a commercial aircraft built specifically as a flying crane without a fuselage for internal loads. The Aircrane is also a commercial heavy-lift helicopter with a rear load-facing cockpit, combining an unobstructed view and complete aircraft control for precision lift and load placement capabilities. It owns and operates a fleet of 17 Aircranes, which it uses to support a variety of government and commercial customers worldwide across a range of aerial services, including firefighting, timber harvesting, infrastructure construction, and crewing. The Aircrane is capable of providing heavy-lift solutions to a wide variety of industries, including firefighting, timber harvesting, infrastructure construction, oil and gas and energy related construction, disaster recovery, and emergency response. It leases its aircraft to customers for specific missions, with customers generally paying for the aircraft, maintenance, and crewing services, as well as fuel expense. In addition, it provides crewing for aircraft it has sold. Its Aircrane accessories include Fire Tank and Pond Snorkel, Fire Tank and Sea Snorkel, Foam Cannon, Hydromulch Loading Manifo! ld, Heli ! Harvester, Hydraulic Grapple, Long-Line Shock and Pendant, Anti-Rotation Device and Hoist and Material Transport Bucket.

The Aircrane Helitanker has provided firefighting services in the United States, Canada, Mexico, Italy, Greece, France, Turkey, and Australia. Its firefighting customers include federal, state, local, and international government agencies who hire the Company to be available as needed. Under its firefighting contracts, aircraft are deployed to locations prone to seasonal fires and remain on standby throughout the fire season. For these contracts, which it refers to as exclusive-use contracts, it typically charge on a per-day basis for availability and on a per-hour basis for actual aircraft use.

Aircrane is engaged in timber operations in a number of regions, including the United States, Canada, and the tropical forests in Malaysia. Its customers uses its harvesting solutions primarily for timber, such as tropical hardwoods and for remote area harvesting in locations that would otherwise require road construction or prohibit ground-based harvesting. Timber is vertically lifted and transported with its hydraulic grapple.

The Aircrane's rear load-facing pilot seat makes the aircraft particularly for infrastructure projects that require extreme precision in load delivery, such as electricity transmission and broadcasting towers, oil and gas pipelines, wind turbines, mining conveying systems, industrial equipment, emergency shelters, and ski-lift equipment. The Aircrane can be configured to transport heavy machinery and equipment, such as heating, ventilating, and air conditioning (HVAC) units, automotive equipment, and other cargo items.

Aircraft Manufacturing and Maintenance, Repair, and Overhaul (Manufacturing/MRO)

The Company manufactures Aircranes and related components for sale to government and commercial customers and provide aftermarket support and maintenance, repair, and overhaul services for the Aircrane and oth! er aircra! ft. It also offers cost per hour (CPH) contracts pursuant to which it provides components and expendable supplies for a customer's aircraft at a fixed cost per flight hour. Through its Manufacturing / MRO segment it manufactures Aircranes from existing airframes, manufacture components on a contract basis, and provide customers with FAA- and European Aviation Safety Agency-certified MRO services

The Company has manufactured a total of 33 Aircranes for its own use and for sale to customers, and has sold one for domestic construction operations and eight for international firefighting operations. It also builds and manufactures Aircranes for its own use and owns, operates, and maintains 17 Aircranes. As the owner of the S-64 Type and Production Certificates, it also has the authority and ability to manufacture an Aircrane entirely from new parts. It manufactures aluminum main and tail rotor blades and have partnered with OEMs to design and manufacture composite main rotor blades. While it provides MRO services to its own Aircranes, it continues to provide parts and maintenance and overhaul services to every Aircrane it has sold. It also performs similar operations on engines and other components for owners of other aircraft platforms. Its FAA-certificated repair station offers an array of services from small repairs to extensive heavy airframe maintenance.

The Company competes with Columbia Helicopters, Helicopter Transport Services and Siller Brothers.

Advisors' Opinion:
  • [By Blake Bos]

    In the following video, Motley Fool industrials analyst Blake Bos takes a question from a Fool reader on Facebook, who asks, "What's your Foolish take on Erickson Air-Crane Incorporated (NASDAQ: EAC  ) ?"

10 Best Electric Utility Stocks To Invest In Right Now: Thinspace Technology Inc (THNS)

Thinspace Technology Inc., formerly Vanity Events Holding, Inc., incorporated on November 22, 2006, is a holding company. Utilizing their licensed trademark of America's Cleaning Company, Vanity established a cleaning company offering residential and commercial cleaning services. In October 2012, the Company acquired fineartlender.com. In October 2012, the Company acquired additional URLS, which include Weddinggownlender.com; Suitlender.com and Bridalpartylender.com.

The Company seeks out, licenses, develops, promotes, and brings to market various consumer and commercial products. The Company markets products directly to the consumer and marketplace through one of its own properties www.ThereIsAProductForThat.com.

The Company competes with Rent the Runway, Inc., Rent-A-Center, Inc., Bag, Borrow or Steal, Inc., Aaron��, and Gilt Groupe, Inc.

Advisors' Opinion:
  • [By Peter Graham]

    Small cap tech or media stocks Thinspace Technology Inc (OTCMKTS: THNS), Beamz Interactive Inc (OTCBB: BZIC) and Hannover House Inc (OTCMKTS: HHSE) have been getting some extra attention lately, but it appears that only one of these stocks has been the subject of a paid promotion. Nevertheless, all three stocks have been busy with press releases trying to get the attention of investors or traders. So are these three small cap tech or media stocks worth your attention? Here is a closer look along with a reality check:

    Thinspace Technology Inc (OTCMKTS: THNS) Was Recently Busy With Press Releases

    Small cap Thinspace Technology Inc is a global provider of reliable, scalable and affordable application delivery, virtualization and cloud client technology to public and private sector companies and organizations of all sizes. On Monday, Thinspace Technology Inc rose 2.80% to $0.330 for a market cap of $30.24 million plus THNS is down 82.6% over the past year and down 89.8% over the past five years according to Google Finance.

  • [By Peter Graham]

    Last Friday, small cap biotech or tech stocks Amanasu Techno Holdings Corp (OTCMKTS: ANSU), Bio Matrix Scientific Group Inc (OTCMKTS: BMSN) and Thinspace Technology Inc (OTCBB: THNS) surged 44.74%, 42.31% and 14%, respectively, with only one of these small caps appearing to be the subject of some sort of small paid promotions or investor relations campaign. Given the lack of a big pump from promoters or IR people, will these three small caps keep surging or will the tide go out again this week? Here is a quick reality check to help you decide on a trading or investing strategy:

10 Best Electric Utility Stocks To Invest In Right Now: Zebra Technologies Corporation(ZBRA)

Zebra Technologies Corporation offers products and solutions that assist in identifying, authenticating, and tracking assets, people, and transactions. The company?s products include direct thermal and thermal transfer label and receipt printers, radio frequency identification printer/encoders, dye sublimation card printers, real-time location solutions, and related accessories and support software. It also designs, manufactures, and sells specialty printing devices that print variable information on demand at the point of issuance. The company offers its printers to print bar code labels, receipts, plastic identification cards, wristbands, and tags, as well as to encode passive RFID smart labels and cards. In addition, it provides printer management, label design, and driver solutions under the ZebraNet brand name. The company?s printer supplies consist of stock and customized thermal labels, wristbands, plastic cards, card laminates, and thermal transfer ribbons. Its p roducts have applications in inventory control, small package delivery, baggage handling, automated warehousing, just-in-time manufacturing, employee time and attendance records, file management systems, patient barcode wrist banding, medical specimen labeling, shop floor control, in-store product labeling, employee ID cards, driver?s licenses, and access control systems. The company sells its products worldwide through distributors, value-added resellers, and original equipment manufacturers. Zebra Technologies Corporation was founded in 1969 and is headquartered in Lincolnshire, Illinois.

Advisors' Opinion:
  • [By Andy Obermueller]

    I first told StreetAuthority readers about this game-changing technology in an article about another stock in this sector I like: payment processing firm Zebra (Nasdaq: ZBRA).

  • [By John Kell and Lauren Pollock var popups = dojo.query(".socialByline .popC"); ]

    Among the companies with shares expected to actively trade in Tuesday’s session are Coca-Cola Co.(KO), Johnson & Johnson(JNJ) and Zebra Technologies Corp.(ZBRA)

  • [By Jayson Derrick]

    Zebra Technologies (NASDAQ: ZBRA) has agreed to acquire Motorola's Enterprise business for $3.45 billion in an all cash transaction. "This acquisition will transform Zebra into a leading provider of solutions that deliver greater intelligence and insights into our customers' enterprises and extended value chains," stated Anders Gustafsson, Zebra's chief executive officer. Shares of Zebra lost 10.09 percent, closing at $61.39.

10 Best Electric Utility Stocks To Invest In Right Now: J&J Snack Foods Corp (JJSF)

J & J Snack Foods Corp. (J & J), incorporated in 1971, manufactures nutritional snack foods and distributes frozen beverages, which it markets nationally to the food service and retail supermarket industries. The Company�� principal snack food products are soft pretzels marketed under the brand name SUPERPRETZEL and frozen juice treats and desserts marketed under the LUIGI��, WHOLE FRUIT, ICEE and MINUTE MAID brand names. In June 2012, the Company acquired the assets of Kim & Scott�� Gourmet Pretzels, Inc., a manufacturer and seller of a brand soft pretzel. In October 2013, J & J Snack Foods Corp. acquired the assets of New York Pretzel.

J & J is a manufacturer of soft pretzels in the United States, Mexico and Canada. Other snack food products include churros (an Hispanic pastry), funnel cake, dough enrobed handheld products and bakery products. The Company�� principal frozen beverage products are the ICEE brand frozen carbonated beverage and the SLUSH PUPPIE brand frozen uncarbonated beverage. The Company�� Food Service and Frozen Beverages sales are made to food service customers, including snack bar and food stand locations in chain, department, discount, warehouse club and convenience stores; malls and shopping centers; fast food outlets; stadiums and sports arenas; leisure and theme parks; movie theatres; independent retailers, and schools, colleges and other institutions. The Company�� retail supermarket customers are supermarket chains. The Company operates in three business segments: Food Service, Retail Supermarkets and Frozen Beverages.

The products sold by the food service segment are soft pretzels, frozen juice treats and desserts, churros, dough enrobed handheld products and baked goods. Its customers in the food service segment include snack bars and food stands in chain, department and discount stores; malls and shopping centers; casual dining restaurants; fast food outlets; stadiums and sports arenas; leisure and theme parks; convenience stores; m! ovie theatres; warehouse club stores; schools, colleges, and other institutions. The products sold to the retail supermarket channel are soft pretzel products, including SUPERPRETZEL, frozen juice treats and desserts, including LUIGI�� Real Italian Ice, MINUTE MAID Juice Bars and Soft Frozen Lemonade, WHOLE FRUIT frozen fruit bars and sorbet, ICEE Squeeze-Up Tubes and dough enrobed handheld products, including PATIO burritos. The Company sells frozen beverages to the food service industry primarily under the names ICEE, SLUSH PUPPIE, PARROT ICE and ARCTIC BLAST in the United States, Mexico and Canada. It also provides repair and maintenance service to customers for customers��owned equipment.

Soft Pretzels

The Company�� soft pretzels are sold under many brand names, which are SUPERPRETZEL, PRETZEL FILLERS, PRETZELFILS, GOURMET TWISTS, MR. TWISTER, SOFT PRETZEL BITES, SOFTSTIX, SOFT PRETZEL BUNS, TEXAS TWIST, CINNAPRETZEL and SERIOUSLY TWISTED!; and under private labels. Soft pretzels are sold in the Food Service and Retail Supermarket segments. During fiscal year ended September 29, 2012 (fiscal 2012), soft pretzel sales amounted to 18% of the Company�� revenue.

Soft pretzels, ranging in size from one to ten ounces in weight, are shaped and formed by the Company�� twister machines. These soft pretzel tying machines are for twisting dough into the traditional pretzel shape. In addition, it makes soft pretzels, which are extruded or shaped by hand. The Company�� marketing program in the Food Service segment includes supplying ovens, mobile merchandisers, display cases, warmers and similar merchandising equipment to the retailer to prepare and promote the sale of soft pretzels.

Frozen Juice Treats and Desserts

The Company�� frozen juice treats and desserts are marketed primarily under the LUIGI��, WHOLE FRUIT, ICEE and MINUTE MAID brand names. Frozen juice treats and desserts are sold in the Food Service and Retail Supermarke! ts segmen! ts. During fiscal 2012, frozen juice treats and dessert sales were 13% of the Company�� revenue.

The Company�� school food service MINUTE MAID and WHOLE FRUIT frozen juice bars and cups are manufactured from an apple or pineapple juice concentrate to which water, sweeteners, coloring (in some cases) and flavorings are added. The juice bars are produced in various flavors and are packaged in a sealed push-up paper container referred to as the Milliken M-pak. The balance of the Company�� frozen juice treats and desserts products are manufactured from water, sweeteners and fruit juice concentrates in various flavors and packaging, including cups, tubes, sticks, M-paks, pints and tubs.

Churros

The Company�� churros are sold under the TIO PEPE�� and CALIFORNIA CHURROS brand names. Churros are sold to the Food Service and Retail Supermarkets segments. During fiscal 2012, Churro sales were 6% of the Company�� sales. Churros are Hispanic pastries in stick form, which the Company produces in several sizes. The churros are deep fried, frozen and packaged. At food service point-of-sale they are reheated and topped with a cinnamon sugar mixture. The Company also sells fruit and creme-filled churros. The Company supplies churro merchandising equipment.

Handheld Products

The Company's dough enrobed handheld products are marketed under the PATIO, HAND FULLS, HOLLY RIDGE BAKERY, VILLA TALIANO, TOP PICKS brand names and under private labels. Handheld products are sold to the Food Service and Retail Supermarket segments. During fiscal 2012, handheld product sales amounted to 6% of the Company's sales.

Bakery Products

The Company�� bakery products are marketed under the MRS. GOODCOOKIE, READI-BAKE, COUNTRY HOME, MARY B��, DADDY RAY�� and JANA�� brand names, and under private labels. Bakery products include biscuits, fig and fruit bars, cookies, breads, rolls, crumb, muffins and donuts. Bakery products are sold ! to the Fo! od Service segment. During fiscal 2012, bakery products sales amounted to 32% of the Company�� sales.

Frozen Beverages

The Company markets frozen beverages primarily under the names ICEE, SLUSH PUPPIE, PARROT ICE and ARCTIC BLAST in the United States, Mexico and Canada. During fiscal 2012, frozen beverages are sold in the Frozen Beverages segment. During fiscal 2012, frozen beverage sales amounted to 16% of revenue in fiscal 2012.

Under the Company�� principal marketing program for frozen carbonated beverages, it installs frozen beverage dispensers for its ICEE and ARCTIC BLAST brands at customer locations and thereafter services the machines, arranges to supply customers with ingredients required for production of the frozen beverages, and supports customer retail sales efforts with in-store promotions and point-of-sale materials. During fiscal 2012, the Company also provided repair and maintenance service to customers for customers��owned equipment and sells equipment in its Frozen Beverages segment, revenue from which amounted to 7% of sales. The Company sells frozen un-carbonated beverages under the SLUSH PUPPIE and PARROT ICE brands through a distributor network and through its own distribution network.

Each new frozen carbonated customer location requires a frozen beverage dispenser supplied by the Company or by the customer. Company-supplied frozen carbonated dispensers are purchased from outside vendors, built new or rebuilt by the Company. The Company provides managed service and/or products to approximately 87,000 Company-owned and customer-owned dispensers.

Other Products

Other products sold by the Company include soft drinks, funnel cakes sold under the FUNNEL CAKE FACTORY brand name and smaller amounts of various other food products. These products are sold in the Food Service and Frozen Beverages segments.

Advisors' Opinion:
  • [By Geoff Gannon] out the performance numbers on those three stocks over the last 10-13 years (I bought them at different times). You��l notice that if I just never sold those stocks I wouldn�� need to do anything else. Those three stocks would��e made a fine portfolio for the next decade or so.

    Well, I did sell those stocks. And I did a lot else. And some of it worked very well and some of it worked very badly. But, almost without fail, the net result was never better than what would have happened if I�� kept those three stocks.

    That�� not an accident. It took me a very, very long time to buy stocks when I was a kid. I bought six stocks in my first five years as an investor. That�� not quite a 20 punches approach ��but it�� pretty close.

    Why did I only buy one stock a year?

    Because I didn�� know anything about stocks. And I didn�� think I knew anything about stocks.

    My investment style was formed from a combination of extreme ignorance and extreme confidence. I was totally ignorant about stocks. And I was totally confident that I could learn all I needed to know about the stocks I needed to know about.

    That combination led to focusing on a few very specific stocks. Stocks I was comfortable with.

    When I was 14, there were only two places my money went. Into my brokerage account. Or into video games. So it�� not a surprise I bought Activision. At the time the video game industry had a much clearer future than it does today. And there was no better CEO of a video game company than Bobby Kotick. The balance sheet was pristine. When you backed out cash, the stock was cheap relative to sales. I looked at everything I could about video game companies and I decided sales were pretty profitable and pretty cash generative in this industry. All you needed was sensible capital allocation. All you needed was management that was going to run the place like a business. And I thought you had that.

    I worked as a cashier at Vi

10 Best Electric Utility Stocks To Invest In Right Now: Ishares Trust Dow Jones United States (IDU)

iShares Dow Jones U.S. Utilities Sector Index Fund (the Fund) seeks investment results that correspond generally to the price and yield performance of the Dow Jones U.S. Utilities Index (the Index). The Index measures the performance of the utilities sector of the United States equity market. The Index includes companies in industry groups, such as electricity and gas, water and multi-utilities. The Index is a subset of the Dow Jones U.S. Total Market Index and is capitalization weighted. The Index is reconstituted quarterly.

The Fund will concentrate its investments in a particular industry or group of industries to approximately the same extent as the Index is so concentrated. The Fund�� investment advisor is Barclays Global Fund Advisors.

Advisors' Opinion:
  • [By Todd Shriber, ETF Professor]

    Unusual volume (at least 5X ADV): iShares Utilities ETF (NYSE: IDU), First Trust Utilities AlphaDEX Fund (NYSE: FXU), iShares MSCI Germany Small Cap ETF (NYSE: EWGS), iShares MSCI USA ETF (NYSE: EUSA), SPDR S&P Emerging Europe ETF (NYSE: GUR), PowerShares Water Resources (NYSE: PHO) and the Vanguard Industrials ETF (NYSE: VIS).

10 Best Electric Utility Stocks To Invest In Right Now: Starwood Hotels & Resorts Worldwide Inc.(HOT)

Starwood Hotels & Resorts Worldwide Inc. operates as a hotel and leisure company worldwide. The company operates luxury and upscale full service hotels, select-service hotels, extended stay hotels, resorts, retreats, and residences under St. Regis, The Luxury Collection, W, Westin, Le M�idien, Sheraton, Four Points, Aloft, and Element brand names. It also engages in the development and operation of vacation ownership resorts; marketing and selling vacation ownership interests in the resorts; and provision of financing to customers who purchase such interests. In addition, the company develops, markets, and sells residential units at mixed use hotel projects. As of December 31, 2011, its hotel portfolio included 1,076 owned, managed, or franchised hotels with approximately 315,300 rooms; and 13 stand-alone vacation ownership resorts and residential properties. The company was founded in 1969 and is headquartered in Stamford, Connecticut. Starwood Hotels & Resorts Worldwid e Inc. operates independently of ITT Corporation as of December 19, 1995.

Advisors' Opinion:
  • [By Dan Caplinger]

    Starwood Hotels & Resorts (NYSE: HOT  ) : up 150%
    Unlike most companies, Starwood makes dividend payments only once a year, but its end-of-2012 payout of $1.25 per share was far above the $0.50 it paid in 2011. Even with its international exposure leaving it facing headwinds in troubled areas such as Europe, recovering prospects in its key U.S. market and expansion into growth markets around the world have led to strong performance for Starwood, and sharing the wealth with shareholders shows that Starwood expects the good times to continue.

  • [By Jon C. Ogg]

    Starwood�Hotels & Resorts Worldwide Inc. (NYSE: HOT) is a winner if the higher end rooms are working better than the lower-end room rates. Its hotels and destinations include sucn brands as St. Regis, The Luxury Collection, W, Westin, Le M茅ridien, Sheraton, Four Points and Element. After a drop of almost 4% on Tuesday, this stock is down 10% from its highs as well, and analysts have upside of about 15% expected for its investors.

10 Best Electric Utility Stocks To Invest In Right Now: Intellipharmaceutics International Inc.(IPCI)

Intellipharmaceutics International Inc. engages in the research, development, and manufacture of novel or generic controlled and targeted release oral solid dosage drugs. The company?s patented Hypermatrix technology is a multidimensional controlled-release drug delivery platform that can be applied to the development of various existing and new pharmaceuticals. It has a pipeline of products in various stages of development in therapeutic areas, including neurology, cardiovascular, and gastrointestinal tract, pain, and infection. The company?s lead generic product under development includes generic Focalin XR (dexmethylphenidate hydrochloride), an extended-release capsule for the treatment of attention deficit hyperactivity disorder. Intellipharmaceutics has a license and commercialization agreement with Par Pharmaceutical, Inc. for the development and commercialization of generic Focalin XR. The company also has five generic products filed with the FDA, including a gene ric of Effexor XR (venlafaxine hydrochloride), an extended-release capsule for depression; Protonix (pantoprazole sodium), a delayed-release tablet for conditions associated with gastroesophageal disease; Glucophage XR (metformin hydrochloride), an extended-release tablet for managing type 2 diabetes; Seroquel XR (quetiapine fumarate), an extended-release tablet for the treatment of schizophrenia, bipolar disorder, and major depressive disorder; and Lamictal XR (lamotrigine), an extended-release tablet for the treatment of anti-convulsant for epilepsy. Its lead non-generic product under development is Rexista (oxycodone), an abuse- and alcohol-deterrent controlled-release oral oxycodone hydrochloride formulation for the relief of pain. The company also has a under late stage development product, such as Coreg CR (carvedilol phosphate), an extended-release capsule for hypertension and heart conditions. IntelliPharmaCeutics International Inc. was founded in 1998 and is based i n Toronto, Canada.

Advisors' Opinion:
  • [By Roberto Pedone]

    A pharmaceutical player that's starting to trend within range of triggering a big breakout trade is IntelliPharmaCeutics (IPCI), which specializing in the research, development and manufacture of generic controlled-release and targeted-release oral solid dosage drugs. This stock has been on fire over the last three months, with shares up a whopping 99%.

    If you take a look at the chart for IntelliPharmaCeutics, you'll notice that this stock has been uptrending a bit over the last few weeks, with shares moving higher from its low f $3.12 to its recent high of $4.37 a share. During that uptrend, shares of IPCI have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of IPCI within range of triggering a big breakout trade above some key overhead resistance levels.

    Traders should now look for long-biased trades in IPCI if it manages to break out some near-term overhead resistance levels at $4.37 to $4.62 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 1.31 million shares. If that breakout triggers soon, then IPCI will set up to re-test or possibly take out its 52-week high at $6.46 a share.

    Traders can look to buy IPCI off any weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at $3.36 or at its 50-day moving average of $3.13 a share. One could also buy IPCI off strength once it starts to take out those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Tuesday, April 15, 2014

Netflix, Comcast Strike Deal That Improves Video Quality

Film Navigating Netflix Paul Sakuma/AP

SAN FRANCISCO -- Netflix's videos are streaming through Comcast's Internet service at their highest speeds in 17 months, thanks to a recent deal that bought Netflix a more direct connection to Comcast's (CMCSA) network. The data released Monday by Netflix (NFLX) may become another flash point in a debate about whether the Federal Communications Commission should draw up new rules to ensure that all online content providers are treated the same by Internet service providers. The equal-treatment doctrine, known as Net neutrality, has become a thornier topic since January when a federal appeals court overturned the FCC's regulations on the issue. Net neutrality is also drawing more attention as Comcast tries to gain approval of its proposed $45 billion purchase of Time Warner Cable (TWC), another large Internet service provider. As the world's largest Internet video subscription service, Netflix has long supported Net neutrality as a way to prevent online service providers from giving better treatment to websites willing to pay additional fees for the privilege. Nevertheless, Netflix agreed in mid-February to pay an undisclosed sum to Comcast Corp. to create a new avenue for its videos to reach Comcast's service. Netflix previously had been paying third-party vendors such as Cogent Communications Group (CCOI) and Akamai Technologies (AKAM) to deliver its content to Comcast. Some analysts suspect Netflix may be saving money by paying Comcast directly instead of the vendors, but the specifics remain unknown as part of a confidentiality agreement. The arrangement clearly seems to paying off for Netflix subscribers who are among the nearly 21 million households and businesses that rely on Comcast's high-speed Internet service to watch movies and television shows. Comcast delivered Netflix video at an average rate of 2.5 megabits per second during March. That was a 66 percent increase from a recent low of 1.51 megabits per second in January. The March performance also topped the previous monthly high of 2.17 megabits per second that Netflix had recorded on Comcast. Netflix began tracking the streaming speeds of Internet service providers in November 2012. Higher streaming speeds allow users to watch higher-quality video and translate to fewer interruptions in the picture. That's good news for Netflix because higher-quality video should please many of its 33 million U.S. subscribers who pay $8 a month for the company's video streaming service. But that doesn't necessarily mean the Los Gatos, Calif., company is happy about the circumstances that prodded it into Comcast partnership. Netflix CEO Reed Hastings has steadfastly insisted that his company and other online content providers shouldn't have to pay any tolls to Internet service providers, or ISPs, already charging their customers $40 to $60 a month. Comcast and other broadband providers contend Netflix's growing popularity should require the company to shoulder some of the financial burden for delivering its video. In evening hours, Netflix's U.S. subscribers generate nearly a third of the Internet's downloading activity, according to the research firm. By early this year, Comcast's streaming of Netflix video had slowed to the point that Hastings felt compelled to work more directly with Comcast to retain his company's subscribers.

'Interconnection' The better access that Netflix is getting from Comcast is known as "interconnection," a term referring to digital content's journey to an Internet service provider's gates. That path technically isn't covered by the current definition of Net neutrality, which refers to how service providers treat digital content once it's inside the gates. Comcast has promised to honor the previous rules governing Net neutrality through 2018. In a blog post last month, Hastings argued that future Net neutrality guidelines should be expanded to address interconnection issues, too. "Without strong Net neutrality, big ISPs can demand potentially escalating fees for the interconnection required to deliver high quality service," Hastings wrote. "The big ISPs can make these demands -- driving up costs and prices for everyone else -- because of their market position." Google's YouTube video site and many other websites were paying interconnection fees to Comcast before Netflix struck its own deal with the carrier. Even with the March improvements, Comcast's delivery of Netflix content lags behind several other major service providers. Cablevision (CVC), Cox, Suddenlink and Charter (CHTR) each delivered Netflix video at higher speeds than Comcast in March, according to Monday's breakdown. Netflix has interconnection deals with Cablevision, Cox and Suddenlink, although those arrangements don't require Netflix to pay fees.

Monday, April 14, 2014

Beware of Self-Directed IRAs

When it comes to saving and investing for retirement, you have many choices and tools to employ. You might have a 401(k) plan at your workplace, for example. That's great, but one downside to it is that the investment options it gives you might be limited to a suite of mutual funds, many unthrilling. Thus, IRAs can be more attractive, because they let you invest in a huge array of mutual funds, plus a wide range of individual stocks, bonds, CDs, and more. There's a way to have an even wider range of investments, if you want, including real estate -- via a self-directed IRA. Just think twice before you opt for one.

The appeal
The obvious upside of a self-directed IRA, at least for some folks, is the wider range of possible investments that they permit. For example, you can use one to invest in real estate or in a private business. As my colleague Dan Caplinger has explained, this can be a big deal, if you see significantly more growth potential for you in a kind of investment that a conventional IRA doesn't permit. Fledgling businesses can be extra risky, and many ultimately fail -- but when they do succeed, they can create big wealth for the early investors who were able to get in well before the company went public and issued common stock on the open market.

10 Best Paper Stocks To Buy Right Now

A self-directed IRA can hold all kinds of investments, such as oil and gas, cattle, promissory notes, and actual gold (as opposed to gold funds or stock in gold-related companies). Even racehorses can qualify. There are some limits, though, with investments such as collectibles or insurance disallowed. "Self-dealing," investing in your own company or in a way that benefits certain family members, is prohibited. (Examples might include buying yourself a vacation home or issuing a mortgage to your son so he can buy a home.)

The downside
Of course, it's not all upside with self-directed IRAs, and a good case can be made that they should just be avoided. For example, there are a lot of rules regarding them, so you might want to consult a financial or tax pro before proceeding. You may actually need to hire legal or other professional help in proceeding with this kind of investment, and those costs can add up. (Real estate investments might need occasional appraisals, for example.)

And the rules for self-directed IRAs can make things difficult, too. With traditional IRAs, the IRA owner must start taking "required minimum distributions" beginning at age 70 ½ (this isn't the case with a Roth IRA) -- and that can be problematic, if the IRA holds assets from which you can't easily shave off portions annually. Traditional IRAs also levy taxes on withdrawals at your ordinary income rate, and that can be as high as 25% or even almost 40%. (Again, the Roth has much appeal, since its withdrawals can be tax-free.)

Then there are scams. Many con artists out there preying on gullible folks have taken to promoting self-directed IRAs.

The biggest knock against self-directed IRAs, if you ask me, is that they permit you to invest your very valuable retirement money in investments that tend to be riskier than many alternatives. Yes, you might really want a big return on your money, but you may be more likely to earn that via a conventional IRA and index funds or carefully selected individual stocks. That's "self-directed," too, in the sense that you're the one choosing the investments and calling the shots.

Making the right financial decisions today makes a world of difference in your golden years, but with most people chronically under-saving for retirement, it's clear not enough is being done. Don't make the same mistakes as the masses. Learn about The Shocking Can't-Miss Truth About Your Retirement. It won't cost you a thing, but don't wait, because your free report won't be available forever.

Sunday, April 13, 2014

3 Signs Irrational Exuberance Is Back

U.S. stocks opened higher this morning, with the S&P 500 (SNPINDEX: ^GSPC  ) and the narrower, price-weighted Dow Jones Industrial Average (DJINDICES: ^DJI  ) down % and %, respectively, at a.m. EDT.

3 Signs irrational exuberance is back
Irrational exuberance is back, and the process by which it returned is well-documented. As legendary hedge-fund manager Leon Cooperman of Omega Advisors told Barron's this month (sign-up may be required to view article):

Everyone is in the process of moving up the risk curve. We have an investor who put all of his money in T-bills when he retired, because he didn't want duration risk or credit risk. So for the guy who bought T-bills, he can't get any return anymore, so he migrated to T-bonds. The guy who bought T-bonds has migrated into industrial credits. The buyers of industrial credits have migrated into high yield. The high-yield buyers have migrated into structured credit, where we are now in our credit exposure at Omega, and the structured-credit people are increasingly looking at equities.

And the equities people, you ask? They're funding biotech start-ups (see the third sign below).

I'll take mine covenant-lite, please
The Financial Times is reporting today that fixed-income investors, desperate for yield, are forgoing traditional protections on loans to high-risk companies. Indeed, "the proportion of so-called 'cov-lite' loans has soared to more than 50 per cent of all leveraged loan issuance so far this year, twice the level seen during the credit boom in 2007." "Cov-lite loans" are loans issued without covenants that may require borrowers to maintain a certain level of profitability or constrain their ability to take on additional debt. As one strategist commented, "This is a new market, and this is a new norm." All this talk of "new" reminds me of another concept that ended tragically for investors: the "new economy."

5%: The new high yield
When the yield on high-yield bond indexes fell below 7% last year, that was enough to raise my eyebrows, but I could not then imagine that they would go on to break 5%, a milestone they achieved earlier this month. I suspect this has to do with the popularity of the iShares iBoxx $ High Yield Corporate Bond Fund (NYSEMKT: HYG  ) and the SPDR Barclays High Yield Bond ETF (NYSEMKT: JNK  ) . Shareholders in these funds ought to beware: The junk-bond market looks a bit like a house of cards. Poor-quality issuers have been able to refinance their debt at record low rates, but that is dependent on the Fed's zero-interest-rate policy and quantitative easing. In other words, it must end at some point -- and at what cost to investors?

Biotech funding is booming
According to another article in today's Financial Times, 10 biotech start-ups have raised $725 million this year, and both numbers could double in the next several months. In explaining the warm reception these high-risk companies received, one investment banker told the newspaper: "What's helping push the current market is that more generalist investors are taking a look at this asset class."

The 60% return that Vertex Pharmaceuticals (NASDAQ: VRTX  ) achieved in a single day last month on the test results of a cystic-fibrosis drug is the sort of thing that gets investors' salivary glands flowing. (This is not an illiquid micro-cap stock, by the way; with a market capitalization that exceeds $17 billion, Vertex is a large-cap issue.)

Even if you don't invest in leveraged loans, high-yield bonds, or biotech start-ups, you ought to be aware of these signs of exuberance, which can be found in virtually all corners of different asset markets: The U.S. stock market cannot continue to rise at the blistering pace it has maintained since the beginning of the year.

Saturday, April 12, 2014

Who Wins the Original Content War?

Top 5 Recreation Stocks To Watch Right Now

Updated from 8:24 a.m. EST April 8, 2014 to include Sesame Street's new video on-demand service, Sesame GO.

NEW YORK (TheStreet) - I spent the better part of the past weekend on my couch "binge watching" Netflix's (NFLX) House of Cards -- the hugely successful, Emmy-winning original series launched by the streaming service in early 2013. It was one of the reasons I decided to recently pony up for a monthly subscription. I may be late to watching two seasons of House of Cards, but to Netflix, that doesn't matter. At 44 million members and growing, I'm the kind of customer Netflix is looking to appeal to by launching more original series.

The fact that Netflix, among others, has been so successful in creating original content for its subscribers has huge implications in consumers' living rooms, Hollywood, the boardrooms of America's media giants and even in parts of Silicon Valley. The media industry is in a state of flux and it's anybody's guess as to who will be the ultimate winner.

Admittedly, I have not made it through the entire two seasons yet and when I get home tonight, I'll forgo my usual television programming to continue my binge -- again exactly what Netflix wants - where the value of the service is so compelling that I wouldn't dream of cancelling my $8 a month subscription.

Netflix isn't the only company that wants me to binge watch something I can only get through its service. From Amazon (AMZN), Hulu and Yahoo! (YHOO) to even Microsoft's (MSFT) Xbox, a host of companies are getting into the original content game, further rocking the already teetering traditional cable television industry. By answering consumer demand for television programming when they want it (on-demand) and how they want it (via their laptops, tablets, iPhones and yes, even their TVs), streaming services are eyeing the dollar signs whether in subscriptions or advertising, by providing a new way to give consumers what they want. The stakes are incredibly high.

"I think we're headed toward a convergence. The [poster child] of all this is House of Cards on Netflix and the fact that it's gotten consideration and even won some Emmy awards," said Brad Adgate,senior vice president of research at Horizon Media. "The second season became an event for Netflix subscribers and binge viewing. That really set the tone that streaming video is a viable competition to what we would call traditional television. That opened a door for other original series to be streamed online." "That whole broadcast TV model that's been with us for 50-plus years is slowly going away," he added. "You're seeing the impact. Even the networks are ordering shows without a pilot, which is what Netflix did with House of Cards. The model is changing and it's all being driven by cable and now streaming video."

Even Sesame Street is eyeing potential revenue from an on-demand service. Sesame Workshop, the nonprofit educational organization behind the children's long-standing television show launched a subscription video-on-demand service for $3.99 a month or $29.99 annually where viewers can watch Sesame Street episodes, Sesame Street Classic episodes and Pinky Dinky Doo episodes.

Stock quotes in this article: NFLX, AMZN, YHOO, MSFT 

Further fueling the fire is the fact that consumers don't care how they watch shows. For every millennial that's comfortable watching shows via their iPhone, a proportionate number of Baby Boomers prefer to watch on a traditional television. Despite the technological difference, they share one common trait: the content has to be good. In the "golden age of content," there has been no shortage - from AMC Networks' (AMCX) Walking Dead to Amazon's Alpha House. Still, a hit show is a formula that no one can 100% predict, so TV networks are not only competing with themselves and premium channels like Time Warner's (TWX) HBO and CBS' (CBS) Showtime, but the slew of nontraditional Web-only companies eager to get in the game.

"These companies are very, very good at analyzing data and they use it to further their businesses, but when it comes to what's going to be a hit show ... It's a very mysterious thing as to what's going to resonate with people," said Paul Verna, senior analyst at eMarketer.

The consumer may have more choice now when it comes to watching television and can even go so far as to drop their traditional cable TV package, but there are still limitations, specifically different companies gaining exclusive content deals. For instance, I don't have Amazon Prime so that means I can't watch Downton Abbey, which Amazon gained the exclusive rights to recently. But I do have Netflix and HBO, so House of Cards and Game of Thrones is viewable.

Verna says this is still a disadvantage for consumers because they're not likely to buy all the services, they will still have to pick and choose what best suits them. And that means it will be hard for one streaming service to win over them all. "The audience is there, but the audience is very fragmented."

Adgate agrees. "There no real reach vehicle online. You're not reaching a lot of viewers. This is just hyper-fragmented," he says. "There's just more and more choices meaning there is just going to be more and more programs to watch and it's going to get harder and harder for any particular program or advertiser" to dominate. This is where the original content will play an important role. "This is going to be a very competitive landscape in the coming years," Adgate noted.

It will also be "the next hot product category with advertisers. The ones who watch these shows are the ones who advertisers covet -- the 18 to 49 age group," Adgate stated. Indeed it already is. Yahoo! is hoping to woo advertisers by culling four new Web series that would rival shows on Netflix or premium cable channels, according to The Wall Street Journal.

Stock quotes in this article: NFLX, AMZN, YHOO, MSFT 

Last week, just before Amazon announced its new Fire TV set-top box, it also proudly boasted it greenlighted six new original shows for Prime Instant Video and announced that Alpha House, its first foray into original episodic programming starring John Goodman, would return for a second season.

It's also appealing to studios, directors and actors. House of Cards' central character is played by Kevin Spacey, while Amazon's Alpha House stars John Goodman. "They're willing to do it because it's a shorter time commitment that allows them to work on other projects. [If you have] an A-list director or cast behind it, they're not going to put up something that's not going to be good," Adgate said.

"One of the reasons that [House of Cards] ended up going to Netflix in the first place is because the story they wanted to tell did not fit a formula that suited [TV], where you have a pilot," says Adam Mosam, CEO and founder of Pivotshare, a platform that helps small media publishers monetize their online content by creating an online marketplace for the sale and purchase of said content. "They wanted to tell their story. It's more like a 13-hour long movie. In that case it comes down to creative freedom -- that's what Netflix is offering." Pivotshare clients include Jillian Michaels, Kirk Cameron and Jeremy Irons.

Companies are bringing in big time executives to cull and expand their original offerings. Microsoft hired CBS executive Nancy Tellem in 2012 to head up its Xbox Entertainment Studios. Microsoft has recently greenlighted six original series for its new Xbox television, specifically "shows that can be combined with the interactive components to encourage users to engage across consoles, phones and tablets" according to a BloombergBusinessWeek article on Monday. Last week Hulu announced Craig Erwich was joining the Web-based television company as a senior vice president and head of content. Erwich, who began his new job on Monday, was most recently the EVP of Warner Horizon Television, the unit of Warner Bros. (owned by Time Warner), that produces scripted cable and reality television series. There, Erwich oversaw development, production and business operations for the past seven years, which included the creation of hit series including Pretty Little Liars, The Voice, The Bachelorette, House, Prison Break and 24. "Craig is ready to hit the ground running and lead us as we increase our overall content offerings, and continue to invest in original first-run TV programming, last night's TV, and great library TV from the U.S. and other markets," Hulu's CEO Mike Hopkins said in a blog post about the hire. "Craig is the perfect guy for the job - he has been developing shows and programming networks for over 20 years." Hulu is about to launch its latest original series, Deadbeat, on April 9 as well as the second season of The Awesomes this summer. With Erwich coming on board, you can be sure that adding more original content will be a key strategy for Hulu. So does this mean we could see Apple (AAPL) getting into original content?

The company keeps adding channels to its Apple TV set-top box. While it's not in Apple's direct wheelhouse, "the more expertise they gain in things like music and movies the more they are in a position to fund things themselves," eMarketer's Verna says, such as allotting development money for an incubator specifically for studio production. "I would think it's a natural evolution of where Apple has been."

Will consumers be in the cross hairs or the winners as the media industry is recreated? --Written by Laurie Kulikowski in New York. Follow @LKulikowski

Stock quotes in this article: NFLX, AMZN, YHOO, MSFT  Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Friday, April 11, 2014

5 High-Yield, Large-Cap Dividend Stocks to Buy

Twitter Logo LinkedIn Logo Google Plus Logo RSS Logo Dan Burrows Popular Posts: 5 Cheap Dividend Stocks to Buy5 Stocks to Buy in April4 Medical Marijuana Stocks to Dump Now Recent Posts: 5 High-Yield, Large-Cap Dividend Stocks to Buy PHOT Suspended by SEC – Sell Your Marijuana Stocks (While You Still Can) Yes, You SHOULD Kill BlackBerry Phones to Save BBRY View All Posts

It’s hard to beat dividend stocks like real estate investments trusts (REITs) and master limited partnerships (MLPs) for high dividend yields, but since those payouts flow directly from earnings, their income streams can be volatile. (Hey, as with everything else in investing and life, there’s no such thing as a free lunch.)

That’s why it’s important to diversify your holdings in high-yield dividend stocks with some dependable straight-up corporate payers, too — preferably ones that add plenty of price appreciation. After all, income is only half of the equity-income equation.

Sure, if you’re content to take a generous stream of income without the chance for price appreciation you can always buy bonds and hold them to maturity. But price appreciation is where the real money is made, so you’re missing out if you don’t own at least some stalwart large-caps that pay high dividends with good track records on price.

That’s why we searched for dependable large-cap stocks sporting dividend yields of at least 5%. Furthermore, these dividend stocks had to outperform the S&P 500′s total 1-year return of 21% by at least 5 percentage points.

That left us with dividend stocks that have been total return monsters. Between dividends and share-price performance, these stocks have put up market-crushing gains and could very well have more to come:

Reynolds American (RAI)

ReynoldsAmerican 5 High Yield, Large Cap Dividend Stocks to BuyDividend Yield: 5%
1-Year Total Return: 26%

Reynolds American (RAI) is having a fine time on price alone, rising 20% over the past 52 weeks. That beats the S&P 500 by a couple of percentage points. Add in this tobacco company’s dividend, however, and the outperformance widens to something special, beating the broader market by more than 5 points.

Perhaps the most attractive aspect of RAI stock is the way it almost relentlessly hikes its dividend. It will pay $2.68 a share in dividends this year, up from $2.48 in 2013. And that was up from $2.33 paid in 2012. Indeed, the RAI stock dividend has grown 182% in the past 10 years.

At the same time, RAI is forecast to have strong earnings growth this year and beyond. Wall Street expects earnings per share (EPS) to expand 6% in the current fiscal year, and by more than 8% in 2015. That should be more than enough growth and income to drive more total return outperformance this year and beyond.

Total (TOT)

TotalSA 5 High Yield, Large Cap Dividend Stocks to BuyDividend Yield: 5.1%
1-Year Total Return: 41%

French oil-and-gas giant Total (TOT) is putting up gains that should make ExxonMobil (XOM) blush. Price appreciation plus dividends has TOT stock putting up a 1-year total return of 41%. On the same basis, XOM is poking along at 13%, lagging the broader market by a wide margin.

The big difference between Total and some domestic energy majors is that Total is offering investors better growth in both production and cash flow, helped by new projects, ramp-ups on existing projects and an aggressive cost-cutting program.

Indeed, while other energy majors are scaling back and selling assets, TOT is investing in its upstream portfolio, with new or accelerating efforts everywhere from Africa to Canada. That should keep Total’s total returns flowing.

Blackstone (BX)

Blackstone185 5 High Yield, Large Cap Dividend Stocks to BuyDividend Yield: 7.4%
1-Year Total Return: 58%

Blackstone (BX), the private equity giant, isn’t off to a great start in 2014. On a price basis, BX stock is down about 3% for the year-to-date, getting hurt with the rest of the risk-off market. But it’s hard to see that trend lasting.

It’s not as if the Blackstone cash machine is running out of bills. A disappointing initial public offering of La Quinta Holdings (LQ) saw shares snap back the following session — in a down market. That IPO came less than a week after BX bought auto-parts maker Gates Global for $5.4 billion — the largest private-equity buyout of an industrial company in more than four years.

Between the almost gluttonous dividend yield of 7.4% and Blackstone’s solid track record of essentially printing money, shares are sure to return to their total-return winning ways. Even with the recent underperformance, BX stock has a 1-year total return of 58%.

Banco Bilbao Vizcaya Argentaria (BBVA)

BBVA185 5 High Yield, Large Cap Dividend Stocks to BuyDividend Yield: 7.4%
1-Year Total Return: 47%

Best Value Stocks To Own Right Now

Banco Bilbao Vizcaya Argentaria (BBVA) is a Spanish banking giant generating outsized total returns after a long period of being kicked to the curb by the market. BBVA can mostly give thanks to a healthier Europe, but there’s more to it than that.

Like competitor Banco Santander (SAN), BBVA gets the vast majority of its profits overseas, notably in Latin America. In BBVA’s case, it has a leading footprint in Mexico, where gross domestic product is expected to accelerate from as much as 4% this year to 4.2% in 2015. BBVA also has extensive operations in the hot economies of Chile, Colombia and Peru.

The market also likes the fact that BBVA is rapidly growing the profits it derives from operations in the U.S. and Asia, which will further shelter it from any more tremors in Europe. Always its strong suit, BBVA’s geographical sprawl bodes well for long-term outperformance.

Orange (ORAN)

oran185 5 High Yield, Large Cap Dividend Stocks to BuyDividend Yield: 9.5%
1-Year Total Return: 55%

Orange (ORAN), the French telecommunications giant, is growing earnings even as it struggles with top-line weakness. Not that the market seems to care much about the latter.

Cost cutting and shedding underperforming assets can get a company very far in days when revenue growth is so hard to come by. That goes double when the assets being shed put ample cash in Orange’s coffers — like the $1.4 billion it pocketed selling its Dominican Republic subsidiary.

It also helps that Orange has accelerated its rollout of 4G network services in France and Spain, leading it to capture market share (paid for, in part, with proceeds from asset sales). Between cost cuts and expanding 4G market share, earnings per share are forecast to grow 35% this year, and that should help fuel more outsized total returns.

As of this writing, Dan Burrows did not hold a position in any of the aforementioned securities.

Wednesday, April 9, 2014

Benzinga's Volume Movers

Related CTCT Mid-Morning Market Update: Markets Open Higher; Constellation Brands Profit Beats Street View Morning Market Movers

Constant Contact (NASDAQ: CTCT) shares rose 27.28% to $27.90. The volume of Constant Contact shares traded was 797% higher than normal. Constant Contact lifted its Q1 and FY14 revenue outlook.

Mallinckrodt plc (NYSE: MNK) shares climbed 3.16% to $66.26. The volume of Mallinckrodt shares traded was 389% higher than normal. UBS upgraded Mallinckrodt from Sell to Buy and lifted the price target from $43.00 to $84.00.

Pacira Pharmaceuticals (NASDAQ: PCRX) shares moved up 6.48% to $69.69. The volume of Pacira Pharmaceuticals shares traded was 350% higher than normal. Pacira Pharmaceuticals priced its public offering of 1,600,000 shares at $64.00 per share.

VisionChina Media (NASDAQ: VISN) surged 5.71% to $30.00. The volume of VisionChina Media shares traded 237% higher than normal. VisionChina Media is expected to hold extraordinary general meeting of shareholders on April 24, 2014.

Posted-In: volume moversNews Intraday Update Markets Movers

© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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