The Dow Jones Industrial Average (DJINDICES: ^DJI ) gave up literally every point it gained yesterday, slumping 106 points, or 0.7%, to close at 15,302. Further concern about how long the current pace of quantitative easing will last drove stocks lower. Also not helping was the International Monetary Fund's trimmed forecasts for China's growth going forward, as Coke stock led the index's decline.
Reaching a 52-week high in trading today, Hewlett-Packard (NYSE: HPQ ) failed to get the bearish memo, as it added 2.4%. The market continued to digest yesterday's IDC report that forecast a weakening but not completely horrendous future for personal computers. Though by 2017 PC shipments will be far outnumbered by tablet sales, 333 million are still projected to ship that year, which is no small number.
Bank of America (NYSE: BAC ) added 1% today as data showed that the first quarter of this year was the most profitable quarter ever for U.S. banks. With earnings rising nearly 16% year over year, the industry made a whopping $40 billion in the first three months of 2013. Prospects continue to look up for U.S. banks, as they settle litigation related to the financial crisis; Citigroup settled a big case related to mortgage-backed securities it sold in the depths of the recession.�
Top 5 China Companies To Invest In Right Now: Cedar Shopping Centers Inc (CDR)
Cedar Shopping Centers, Inc., real estate investment trust, engages in the ownership, operation, development and redevelopment of supermarket-anchored community shopping centers and drug store-anchored convenience centers in the United States. As of December 31, 2007, it owned 118 properties, aggregating approximately 12.0 million square feet of gross leasable area primarily in Pennsylvania, Massachusetts, Virginia, Ohio, Connecticut, New Jersey, Maryland, Michigan, and New York. Cedar Shopping has elected to be treated as a REIT for federal income tax purposes and would not be subject to federal income tax, if it distributes at least 90% of its REIT taxable income to its stockholders. The company was founded in 1984 and is based in Port Washington, New York.
Advisors' Opinion:- [By Bill Smith]
Valuation
Lastly, because of the negative perception the entire industry has received, prices in this sector have been absolutely pummeled. ESI now trades at the lower end of all of its historical valuation bands: P/E, P/B, and P/S.
Bullish Points
Guru ownership and avg price: ESI owned by Hussman ($76.15), Weitz ($75.32), and Greenblatt ($73.29)Over 35% of shares are short, potential short squeezeStock buyback plan: ESI reduced outstanding shares by 19% yoy at the end of the 4th quarter. They repurchased 370K shares in 3Q11.The business model is scalable; the incremental cost to educate each additional student is low, leading to high marginsESI acquired Daniel Webster College, giving them a regional accreditation which they can use to broaden their reach in online classes
Bearish Points
High costs of education, in general, rightly or wrongly attract government intervention and could squeeze margins over time. Total student debt surpassed credit card balances, and sits at $1 Trillion as of the end of 2011.Subject to compliance with Dept of Education's 90/10 rules, which states a college can't collect more than 90% of revenue from students participating in federal loan programs.Cohort Default Rate (CDR): for-profit colleges must monitor the federal loan default rates of students who graduate or leave the school. If a school's CDR exceeds 25% for 3 consecutive years, or 40% in any one year, its students won't be eligible for federal financial aid.ESI competes on quality of product which is measured by graduation rates and ability to secure employment. For 2010, 70% of ESI graduates got employment in positions using skills taught in their program of study within 1 year. As of Oct 2011, this rate was 600 bp higher. The average annual salary reported by employed 2011 grads was $32K, compared to $32.4K for 2010 grads.With an improving economy, there's a potential ESI would see declining new student enrollmentsOver 35% of shares are short
Summary
Top 10 Rising Companies To Buy For 2014: Powershares Buyback Achiever Portfolio (PKW)
PowerShares Buyback Achievers Portfolio (Fund) seeks investment results that correspond generally to the price and yield of an equity index called the Share BuyBack Achievers Index (the Index). The Index is designed to track the performance of companies that meet the requirements to be classified as BuyBack Achievers. To become eligible for inclusion in the Index, a company must be incorporated in the United States, trade on the NYSE, the AMEX or the NASDAQ, and must have repurchased at least 5% or more of its outstanding shares for the trailing 12 months. The Index consists of stocks of companies selected by Mergent, Inc. (the Index Provider) pursuant to its own selection methodology. The Fund�� investment advisor is PowerShares Capital Management LLC.
The Index is rebalanced on the last trading date of April, July and October based on the constituents��modified market capitalizations as of the last trading day in March, June and September, respectively. The Fund generally will invest in the stocks comprising the Index in proportion to their weightings in the Index. The Fund will normally invest at least 90% of its total assets in common stocks that comprise the Index. The Fund, using an indexing investment approach, attempts to replicate the performance of the Index.
Advisors' Opinion:- [By Marvin Appel, CEO and Founder, Appel Asset Management Corporation]
Buyback Achievers ETF (PKW)
The stocks in this ETF are those that have repurchased at least 5% of their shares in the 12 months preceding the reconstitution of the index every January. 200 stocks currently qualify. (They are weighted by market capitalization.)
- [By Joon Choi]
Meanwhile, investors have been flocking to buy PowerShares Buyback Achievers (PKW), pushing the price into overbought territory.
Currently, the monthly relative strength indicator (RSI) reading is 83.7. (A reading over 70 is considered to be overbought.) To put this figure in perspective, the monthly RSI of the Nasdaq Composite was 85.9 on March of 2000 (the index peak), and we know what happened afterwards.
- [By Roadmap2Retire] href="http://roadmap2retire.com/wp-content/uploads/2014/09/buybacks.jpg">
Stock Buybacks
One company that has resorted to financial engineering for quarter after quarter is International Business Machines Corp (IBM) ���nd it's only a matter of time before patience runs out. The company has seen declining revenues and cash holdings, while debt has continued to pile up. The company has been squeaking out quarters resorting to layoffs to keep the shareholders happy - and for the sake of the IBM shareholders, I hope management changes this path that they are heading down on.
On the other hand, General Electric (GE), with all the cash available, has been investing heavily in growing its business. GE is cutting losing business segments that are not lucrative anymore such as the appliance business, which it sold to Electrolux for $3.3B recently, and spun-off Synchrony Financial (SYF) ��its retail finance arm. Instead, GE is now returning to its industrial roots and expanding into new horizons such as oil & gas exploration and pipeline infrastructure tech, green energy investments such as wind, solar and fuel cells etc. These are lucrative businesses and I fully support the management in their decision as a shareholder. Note that GE, like others, has a share repurchase plan ��especially in 2013, GE has bought a lot of its own shares after selling its stake in NBC.
A plethora of companies have a history of buying at highs and selling at lows. This goes against any logic when it comes to good financial sense. When times are good and companies are flush with cash, like the current environment, the management authorizes buying its own shares and during lean times - after market crashes and/or recessions, the companies cut back on share repurchases. So, the question for the retail investors is: Instead of investing or paying down debt, if the company is buying its own shares and the insiders are selling, should you be buying? It comes as no
Top 10 Rising Companies To Buy For 2014: Green Automotive Co (GACR)
Green Automotive Company, incorporated on November 15, 1996, is a vehicle design, engineering, manufacturing and distribution company. The Company also provides after sales program. It possesses a portfolio of businesses and is active in three main market segments: Cutting edge technology development, engineering and design with a focus on zero and low emission vehicle solutions; Manufacturing and customization of vehicles for markets with the potential to be converted into low emission or electric vehicles, such as shuttle buses, taxis, commercial vehicles, and After sales services for electric or low emission vehicles, including servicing and repair. On December 14, 2012, the Company closed its merger with Matter of Time I Co. As per the merger agreement, Matter of Time I Co. dissolved into and became a part of Green Automotive Company, with Green Automotive Company being the surviving corporation. In January 2014, Green Automotive Co Inc acquired a 21.63% interest in Viridian Motor Corp Inc.
The Company's two divisions servicing the three segments are Liberty Electric Cars Ltd and Newport Coachworks Inc. Liberty Electric Cars Ltd designs and develops EV technologies for use in its own converted vehicles and for sale to original equipment manufacturers (OEM��) for incorporation into its production. In addition, it provides an aftermarket program for electric vehicle users to ensure the longevity of their vehicles. Newport Coachworks Inc. specializes in building shuttle buses, running on a variety of energy sources from petrol and diesel though to compressed natural gas (CNG).
The Company competes with Zytec, AMPD, Siemens, Tiffany, Krystal, Ford, and General Motors, Cummins and Freightliner.
Advisors' Opinion:- [By James E. Brumley]
Judging from the company it's keeping Green Automotive Co. (OTCMKTS:GACR) may have just made its way into the upper echelon of small cap stock opportunities. The electric car company joins Elite Pharmaceuticals Inc. (OTCBB:ELTP), Amarantus Bioscience Holdings, Inc. (OTCBB:AMBS), and only three other companies as Wall-Street.com's "Best 6 Stocks" for January of 2014. As one of the top information resources for investors - particularly in terms of information regarding small and micro cap stocks - being named among the site's top pick is an accolade for AMBS, ELTP, and GACR. Even more impressive is that Green Automotive Co. was the only consumer-goods name among those six. Amarantus Bioscience Holdings and Elite Pharmaceuticals are biotechnology names... an industry that can and often does attract a lot of attention just by the nature of the business. The other three names making the "Best 6" list were an energy explorer, a power-management technology manufacturer, and prescription/medical food producer. For an electric car manufacturer to make the list speaks quite highly of GACR.
- [By Bryan Murphy]
On Tuesday of this week, yours truly pointed out that based on 2013's final numbers, Green Automotive Co. (OTCMKTS:GACR) - while not yet a threat to names like Kandi Technologies Group Inc. (NASDAQ:KNDI) or Tesla Motors Inc. (NASDAQ:TSLA) - was coming into its own as an electric vehicle company, and whittling away its uncertainty as an investment. Though a perfectly-clear vision of the future wasn't included in the press release detailing last year's results for GACR, the company did say it would be offering guidance for 2014 later this week. Well, today's the day. And, while KNDI and TSLA still don't have anything to worry about in their immediate future, let's just say Green Automotive still have a lot to look forward to in their foreseeable future.
- [By John Udovich]
There is a steady stream of recent electric vehicle sector or related stock news from�the likes of Tesla Motors Inc (NASDAQ: TSLA), Kandi Technologies Group Inc (NASDAQ: KNDI), HydroPhi Technologies Group, Inc (OTCMKTS: HPTG) and Green Automotive Co (OTCMKTS: GACR) that you might want to be paying attention to:
Top 10 Rising Companies To Buy For 2014: Essential Innovations Technology Corp (ESIV)
Essential Innovations Technology Corp., incorporated on April 4, 2001, is a development-stage company, focused towards research and development, commercialization and market entry strategies for the intellectual property that it has acquired in regards to multiple green and environmental technology applications such as fluid heating, electricity generation and water treatment/purification.
The Company will focus its activities on development and commercialization of two primary technologies. The first technology is a method for the design of equipment used in the heating of a variety of fluids such as oil, water (to steam). The second technology is a method for the combined mechanical heating and transport of fluids. As of October 31, 2011, the Company had no operations. As of October 31, 2011, the Company had no revenue.
Advisors' Opinion:- [By Peter Graham]
Small cap green stocks Essential Innovations Technology Corp (OTCBB: ESIV), Building Turbines Inc (OTCMKTS: BLDW) and Kleangas Energy Technologies Inc (OTCMKTS: KGET) have all been getting some attention lately in various investment newsletters ��either because they were sinking, because of paid promotions or a combination of both. However, there aren�� many green stocks out there that have actually produced some green for investors in the form of profits. With that in mind, here is a quick reality check about all three green small cap stocks to help you decide whether any have the potential for long-term success:
Essential Innovations Technology Corp (OTCBB: ESIV) Announces New Distribution AgreementsSmall cap Essential Innovations Technology Corp aims to provide eco-friendly lifestyle enhancement solutions for the betterment of energy, water, air and health as the company holds the exclusive global manufacturing, distribution and applications rights to the ��ximius Technologies - Extraordinary solutions for an ever-changing World.' On Friday, Essential Innovations Technology Corp sank 22.79% to $0.0525 for a market cap of $909,953 plus ESIV is up 4,275% over the past year and up 50% over the past five years according to Google Finance.
Top 10 Rising Companies To Buy For 2014: Splunk Inc (SPLK)
Splunk Inc. (Splunk) provides a software platform. Splunk�� software collects and indexes data regardless of format or source, and enables users to search, correlate, analyze, monitor and report on this data, all in real time. Its software is designed to help users in various roles, including information technology (IT) and business professionals, analyze machine data and realize real-time visibility into and about their organization's operations. The core of its software is a machine data engine, comprised of collection, indexing, search and data management capabilities. Its software can collect and index terabytes of information daily, irrespective of format or source. As of January 31, 2012, the Company had approximately 3,700 customers.
The Company�� software enables users to identify problems, get answers and gain new business insights and intelligence from machine data across their globally distributed enterprise all through one platform. Its software contains features and functionality, such as Universally collect, index, store and archive any machine data, from any source, search and investigate, user-friendly interface, knowledge store, monitor and alert, report and analyze, custom dashboards and views, platform extensibility, role-based access and controls.
The Company competes with BMC Software, Inc., CA, Compuware, HP, IBM, Intel, Microsoft Corporation, Quest Software, Adobe Systems, Google, Webtrends, EMC, Oracle and SAP.
Advisors' Opinion:- [By Telis Demos and Douglas MacMillan Opower Inc., which helps electric utilities push homeowners to use]
A steady stream of so-called “big data” companies like Opower have gone public lately, including software firms Splunk Inc.(SPLK) and Tableau Software Inc.(DATA) Those stocks have each more than doubled since their debuts in 2012 and earlier this year, respectively.
- [By Seth Jayson]
Splunk (Nasdaq: SPLK ) reported earnings on May 30. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 30 (Q1), Splunk beat expectations on revenues and met expectations on earnings per share. - [By Rob DeFrancesco]
Steve Halpern: Now, you also like a company called Splunk (SPLK). Can you tell us what that company does?
Rob DeFrancesco: Splunk provides a software that analyzes machine data. It's a big data play, or Internet of things, so analyzing any type of—even something like manufacturing facilities and you can even analyze flow of elevators in buildings to see where—just basically any type of tick data where you're analyzing information for a machine.
- [By Anders Bylund]
Data analysis specialist Splunk's (NASDAQ: SPLK ) first-quarter report was a bit of a head-scratcher.
Splunk shares took a 4% nosedive when the report was published, because its revenues came in strong but earnings were merely adequate. Revenue jumped 54% year over year to $57.2 million, easily topping Wall Street's $54 million target. The adjusted $0.06 loss per share was right in line with analyst expectations. That's just not good enough when your last three reports absolutely crushed Street targets on the bottom line, at least in percentage terms. The backlash was strong enough to suck data analysis rival TIBCO Software (NASDAQ: TIBX ) down into a 1.5% drop in early Friday trading. There must be something wrong with this supposedly robust market, right?
Top 10 Rising Companies To Buy For 2014: Digirad Corp (DRAD)
Digirad Corporation, incorporated in 1997, is the developer and manufacturer of medical diagnostic imaging systems, including solid-state gamma cameras for nuclear cardiology and general nuclear medicine applications. The Company operates in two segments: DIS (its diagnostic imaging service business) and its product segment. Through DIS, the Company provides in-office imaging services to physicians, offering certified personnel, required licensure, an imaging system and other support and supplies for the performance of nuclear and ultrasound imaging procedures under the supervision of its physician customers. The Companies imaging systems are sold in both portable and fixed configurations. DIS physician customers enter into annual lease contracts for imaging services generally delivered on a per-day basis. The Company�� product segment sells solid-state gamma cameras and provides camera service and maintenance.
Imaging Services
DIS offers portable nuclear and ultrasound imaging services. Its nuclear modality services include an imaging system, a certified nuclear medicine technologist and a cardiac stress technician, often certified or a trained nurse or paramedic, the supply of radiopharmaceuticals, and required licensing services for the performance of nuclear imaging procedures under the supervision of physicians. The ultrasound imaging service is similar, in that the Company provides the ultrasound equipment and one ultrasound technologist. Its portable nuclear imaging operations use a hub and spoke model, in which centrally located regional hubs anchor multiple van routes in the surrounding metropolitan areas. At its DIS hubs, clinical personnel load the equipment, radiopharmaceuticals, and other supplies onto specially equipped vans for transport to the physician�� office or other customer locations, where they set up the equipment for the day. The Company provides nuclear and ultrasound services primarily under annual contracts for services delivered on a per-day ! basis.
Products
Digirad markets and manufactures a line of nuclear medicine cameras for nuclear cardiology and general nuclear medicine applications. Its cameras are used in hospitals, imaging centers, physician offices and by mobile service providers. Its nuclear cameras feature detectors based on solid-state technology developed by the Company. The solid-state technology provides the Company with the capability to market and manufacture a diverse family of cardiac and general-purpose cameras.
The Cardius family of cardiac SPECT (single-photon emission computerized tomography) solid-state imagers makes it possible to image patients up to 500 pounds in a sitting position. Upright imaging makes it possible to image bariatric, COPD (chronic obstructive pulmonary disease) or claustrophobic patients that typically could not be imaged lying down on. The Company offers fixed dual-head and triple-head cardiac camera models for use within a facility and a portable dual-head configuration that makes it possible to move the system to provide service to multiple rooms or sites. Its flagship in cardiology is the Cardius XACT SPECT/CT system. It features a triple-head design and a low dose volume computed tomography (CT) attenuation correction methodology.
The Company�� ergo is a large-field-of-view planar portable imaging camera. The ergo imaging system is targeted to hospitals with multi-camera general nuclear medicine departments, academic centers, pediatric hospitals, regional trauma centers, women�� health centers and cancer centers. The Company also provides triple-head Cardius 3 XPO system, which provides shorter image acquisition time. Its Cardius X-ACT camera is a rapid cardiac SPECT/VCT imager. The Cardius X-ACT camera is positioned more toward the hospital and larger cardiology practices.
Advisors' Opinion:- [By John Kell and Tess Stynes var popups = dojo.query(".socialByline .popC"); p]
Digirad Corp.(DRAD) agreed to pay at least $3.5 million in cash to acquire medical-outsourcing provider Telerhythmics, a deal that will add to the larger company’s sales and bottom line.
Top 10 Rising Companies To Buy For 2014: Universal Stainless & Alloy Products Inc (USAP)
Universal Stainless & Alloy Products, Inc., incorporated in 1994, manufactures and markets semi-finished and finished specialty steel products, including stainless steel, tool steel and certain other alloyed steels. The Company�� manufacturing process involves melting, re-melting, heat treating, hot and cold rolling, forging, machining and cold drawing of semi-finished and finished specialty steels. The Company�� products are sold to re-rollers, forgers, service centers, original equipment manufacturers (OEMs) and wire re-drawers. The Company�� customers further process its products for use in a range of industries, including the aerospace, power generation, petrochemical and heavy equipment manufacturing industries. The Company also performs conversion services on materials supplied by customers, which lack certain of the Company�� production facilities or that are subject to their own capacity constraints. On August 18, 2011, the Company acquired Patriot Special Metals, Inc. and RSM Real Estate Holding, Inc.
The Company operates in two segments: Universal Stainless & Alloy Products (USAP) and Dunkirk Specialty Steel. The Company�� products are manufactured in a range of grades and melt qualities, including argon oxygen decarburization (AOD) quality, electro-slag remelted (ESR) quality, vacuum induction melting (VIM) quality and vacuum-arc remelted (VAR) quality. At its Bridgeville facility, the Company produces specialty steel products in the form of long products (ingots, blooms, billets and bars) and flat rolled products (slabs and plates). In December 2011, the Company began melting in its new VIM furnace located in North Jackson. The semi-finished long products are used by the Company�� Dunkirk facility and certain customers to produce finished bar, rod and wire products, and the semi-finished flat rolled products are used by customers to produce light-gauge plate, sheet and strip products. The finished bar products manufactured by the Company are used by OEMs and by ser! vice center customers for distribution to a range of end users. The Company also produces customized shapes for OEMs that are cold rolled from purchased coiled strip, flat bar or extruded bar at its Precision Rolled Products department, located at its Titusville facility.
Advisors' Opinion:- [By Jake L'Ecuyer]
In trading on Wednesday, basic materials shares dropped by 0.30 percent. Among the sector stocks,Amyris (NASDAQ: AMRS) was down more than 8.5 percent, while Universal Stainless & Alloy Products (NASDAQ: USAP) tumbled around 5 percent.
- [By Seth Jayson]
Universal Stainless & Alloy Products (Nasdaq: USAP ) reported earnings on May 1. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Universal Stainless & Alloy Products missed estimates on revenues and missed estimates on earnings per share.
No comments:
Post a Comment