Dollar value is only one metric to assess the significance of an insider transaction, but when high dollar value intersects with significance it spotlights a stock investors should take the time to consider. InsiderInsights calculates Insider Filer Statistics in real time, and formulates Insider Company Ratings based on numerous behavioral factors, so our clients can separate real investment intelligence from time-wasting noise.
On Today's Tables:
Insider trades were rated Significant at:
Insider trades were rated Nearly Significant at:
- Dreamworks Animation Skg (NASDAQ:DWA).
Insider trades were considered Insignificant at:
- Web Com (NASDAQ:WWWW);
- State Auto Finl (NASDAQ:STFC);
- Pershing Gold (OTCQB:PGLC);
- Ikanos Comms (NASDAQ:IKAN);
- Aviat Networks (NASDAQ:AVNW);
- Tetraphase Pharm (NASDAQ:TTPH);
- Marriott Intl (NASDAQ:MAR);
- Envision Healthcare (NYSE:EVHC);
- Salesforce Com (NYSE:CRM);
- Breeze Eastern (NYSEMKT:BZC);
- Best Buy Co (NYSE:BBY), and;
- Achillion Pharm (NASDAQ:ACHN).
There is a Conflicted Insider Signal (both purchases & sales) at:
- Lilly Eli
Complete Story » By Fredrik Arnold:
Actionable Conclusion (1) PGH, ROYT, NDRO, BTE, and CPG Energy Dogs Lead MoPaySML Dividend Pack to Higher Upsides
Wall Street Wise Wizards again projected higher upsides of 50% and 60% for Pengrowth Energy Corp. (NYSE:PGH) and Pacific Coast Oil Trust (NYSE:ROYT). This week, three more energy dogs showed 30% and 40% projected price gains: Enduro Royalty Trust (NYSE:NDRO); Baytex Energy Corp. (NYSE:BTE); and Crescent Point Energy (NYSE:CPE).
Yield (dividend / price) results from here verified by Yahoo Finance for monthly dividend-paying small, mid, and large cap (MoPaySML) stocks as of market closing prices September 26 were augmented by analyst 1-year target projections to unveil six actionable conclusions discussed within the confines of this blog. Small cap firms were valued at $200M(illion) to $2B(illion); mid cap firms were worth $2B to $10B; large caps were valued above $10B.
Wall Street Wizard Weights
One-year mean or median target price
Complete Story » By David Moenning:
The markets turned ugly on Wednesday as traders ushered in the new quarter with a steady stream of selling. The S&P 500 fell -1.32 percent while the embattled Russell 200 once again led the way lower by dropping -1.42 percent. It is also worth noting that the smallcap index closed at a new low for calendar year 2014 and is now down -6.72 percent for the year.
There were lots of excuses for the selling, but once again, taken alone, none of the issues cited were really worthy of the type of damage seen on the major indices yesterday. Here's a brief rundown of most talked about problems facing the market on Wednesday:
- The continued rise in the dollar (affecting dollar-carry trades)
- German Manufacturing PMI slipped into contraction mode
- Eurozone PMI continued to slide
- China PMI was below expectations
- Construction data disappointed
- The first case of Ebola virus in the
Complete Story » By SA Transcripts:
The following audio is from a conference call that will begin on October 02, 2014 at 08:30 AM ET. The audio will stream live while the call is active, and can be replayed upon its completion.
Complete Story » By RH Analytics:
This is the fourth of a multi-part series of RH Analytics' short thesis on the HCI Group (NYSE:HCI). In it, we continue our discussion on why we believe the company's business model is deeply flawed and the stock significantly overvalued.
In earlier pieces, we outlined Florida insurance HCI's business model, we analyzed the financial impact of takeouts and what happens when takeouts stop, and we conducted a detailed analysis of HCI's reinsurance program, illustrating how it gives the appearance of coverage while generating profits - both of which may prove illusory.
In this installment, we examine HCI's loss ratio and unpaid loss reserves. Losses and the reserve liability include estimates that are dependent on input assumptions and management judgment. The subjective nature of the estimates makes the measures vulnerable to poor judgment and subject to manipulation - long-standing issues in the insurance industry. Indeed, both Federated National
Complete Story » By Investment Capitalist:
Since most anyone can buy international stocks these days through just about any of the online broker/dealers like Etrade or Interactive Brokers without having to worry about currency conversions, currency spreads or currency hedges, perhaps investors might begin to pay a little more attention to foreign stocks.
One area that's often of interest to investors is stocks that are at the confluence of two significant trends. Add the fact that the company operates within a rapidly expanding sector gaining a lot of investor interest, coupled with the company's #1 position in their sector of operation, and you've got a possible significant winner.
The Arbitrage Effect
In a case when all the aforementioned variables are true, then investors are keen to take a look. More importantly, without any true borders in global investing these days, even for retail investors, there aren't many reasons why a small position can't be
Complete Story » By Team Money Research:
2014 has not proven to be a great year for investors in Procter & Gamble (NYSE:PG). Indeed, shares in the consumer goods specialist have risen by just 2.5% since the turn of the year, which is behind the S&P 500's rise of 6% over the same time period.
However, P&G could have a much brighter future and, in particular, could be in high demand as an income stock. Here's why.
Although the Fed is due to end its monthly asset repurchase program this month, there is little sign that it is keen on raising interest rates anytime soon. In fact, would it really surprise many investors if interest rates were still under 3% in three years' time?
As a result, stocks that offer generous yields could remain in relatively high demand, with the 3% level being seen among many investors as the key psychological level at which a
Complete Story » By Marshall Hargrave:
Shares of Procter & Gamble (NYSE:PG) have underperformed the S&P 500 over the last couple years. While the S&P 500 is up 37% for the last two years, PG is up just 29%. Even broader, while the S&P 500 is up 77% for the last decade, PG shares have risen just 55%. However, with its recent announcement that it's planning to divest some 100 brands from its portfolio, is this a new ear for PG?
There's little brand loyalty these days and consumers have been introducing new brands in an effort to attract consumer dollars. PG's portfolio got too big to manage. The vast number of brands has forced the company to invest more resources in each brand, straining profitability as certain brands lag expectations.
PG will look to turn its focus to brands that can continue to scale and provide cross selling synergies. It'll be interesting to see which
Complete Story » By Keith Williams:
Being the big gorilla in the solar installer business with almost 30% of the market, Solar City went public in December 2012 at $9.25/share; yesterday it closed at $56.47, with a market cap of $5.52 billion. Its business has been built largely on leasing solar PV panels.
In June SolarCity acquired Silicon Valley based (with manufacturing facility in Hangzhou China) solar PV panel manufacturer Silevo to combine high energy solar PV output with low cost manufacture, and make its business more vertically integrated. Recently it also acquired businesses involved in lead generation and installation (Zep Solar) to increase scale and drive down costs.
In a boost to US manufacturing, Solar City announced the Silevo technology will be implemented in a $5 billion, 1 GW panel manufacturing facility in New York State, which will benefit from $750 million of tax breaks and cheap power from the State Government. In announcing the
Complete Story » By Scott Fearon:
I spend a lot of time bashing J.C. Penney (TICKER: JCP) and its ex-CEO Ron Johnson in my upcoming book Dead Companies Walking--and for good reason. During his brief tenure, Johnson committed two of the six deadly business sins I describe in the book that often bring about corporate failure. First, he alienated Penney's core customers (deadly sin #3) by attempting to remake its stores into places he and his rich friends would like to shop. Second, he remained physically and emotionally removed from the company's operations (deadly sin #6) by refusing to relocate to its Plano, Texas headquarters and electing to fly thousands of miles to work by corporate jet instead.
Both of these decisions proved, predictably, disastrous. By now the story is well-known. Sales plummeted by 25 percent and the company lost roughly $1.5 billion in 2012, Johnson's first and only full year as CEO. As its
Complete Story » By Integrator:
Comcast is the largest operator in the domestic cable industry, with over 22M video and 21M internet access subscribers. Comcast has also taken a stake in the content creation market, with ownership of NBC Universal, which was completed in 2013. The company aims to further expand its reach through an acquisition of Time Warner Cable (NYSE:TWC), which is currently pending. The strength of Comcast's competitive advantage is a geographic and structural advantage with respect to its networks, which provides Comcast with the ability to serve customers that are not possible for other cable networks to currently serve. This is reflected in Comcast being able to address 54M homes with its service, the most of any player in the industry.
Comcast has a market capitalization of
Complete Story » By Adrian Limoli:
Argentina just executed the final part of its strategy regarding its longstanding dispute with hedge funds over defaulted debt. After offering investors located outside the country to swap BNY Mellon for a local bank as trustee, last Tuesday the country made the corresponding interest payment deposit domestically.
This action avoids payments to get blocked by district Judge Thomas Griesa, who ruled against Argentina. Basically, the country cannot pay its restructured bondholders located outside the nation until it pays the approximate $1.6 billion it owes to its holdout creditors.
After failing to reach a deal with the hedge funds that took the country to U.S. courts and won, and seeing its payment deposits blocked, Argentina defaulted in July for the second time in 12 years. Since then, the country started making efforts to get around these rulings and continue paying its foreign restructured bondholders under local law.
But this decision generated
Complete Story » By SA Transcripts:
The following audio is from a conference call that will begin on October 02, 2014 at 08:00 AM ET. The audio will stream live while the call is active, and can be replayed upon its completion.
Complete Story » By Stock Traders Daily:
On September 5, about 1 month ago, I wrote an article that received a ton of negative feedback. The article said that investors should sell everything, including stocks like Apple (NASDAQ:AAPL), because the market was set up to begin a crash and even the best stocks get hit when the market falls. Let's take a look and see how things are shaping up.
Everyone knows the markets have been under pressure since then, but only a few are actually paying enough attention to know exactly how much. It is always reasonable to assume that the larger cap indexes and the more conservative stocks in the Dow hold up at least a little better than higher beta names when the going gets tough but they still decline and have declined recently.
However, the weakest market by far has been the higher beta Russell 2000. The ETF that tracks the Russell 2000
Complete Story » By BMD Asset Management and Research:
Hanesbrands Inc (NYSE:HBI) reported strong second quarter numbers on July 23, 2014, causing analysts to revise their estimates higher for both this year and next. While the stock price has risen over 10% since the report, the valuation still looks reasonable. Given the strong earnings estimate revisions and growth estimates, Hanesbrands still offers investors strong upside potential.
About The Company
Hanesbrands HanesBrands a consumer goods company, designs, manufactures, sources, and sells various basic apparels primarily in the United States. The company operates in four segments: Innerwear, Activewear, Direct to Consumer, and International. It sells basic branded products under the product categories of mens underwear, childrens underwear, socks, and intimate apparel, including bras, panties, hosiery, and shape wear. The company provides its products under the Hanes, Champion, C9 by Champion, Bali, Playtex, Maidenform, JMS/Just My Size, Leggs, Flexees, barely there, Wonderbra, Gear for Sports, Lilyette, Zorba, Rinbros, and Sol y Oro,
Complete Story » By Josh Arnold:
Investors in Coca-Cola (NYSE:KO) have always cherished the dividend the company provides. That dividend has famously been raised for each of the past 50 years, an impressive streak that I feel quite certain the management team doesn't want to end on its watch. In light of Coke's streak of dividend increases and the fact that many investors choose Coke primarily for its yield, I thought it would be worth a look to examine its sustainability and assess its room for growth.
To do this I've constructed three charts from data I borrowed from Morningstar.
The first chart we see is the company's net income in relation to the amount of dividends it pays. This is another way of looking at the company's payout ratio, a very popular metric that is supposed to assess the sustainability of a company's dividend by comparing it to the amount of money the company
Complete Story » By Matthew Smith:
Markets are once again under pressure and there is a lot of focus on where investors should be paying attention. The latest back-and-forth centers around the "big caps vs. small caps" and which index is doing a better job of pointing to where the markets are headed. The big caps have been indicating that we were ok, while the small caps have been showing signs of trouble for quite a while now. While our belief has been to buy on these dips, that game plan has yet to yield profits and certainly appears a bad trade right now.
So long as the economic data remains strong we think that there is a lot of good which could come of this correction. With all of the markets being thrown into some level of disarray right now based off of recent events, investors just have to sit tight as we work our
Complete Story » By Tal Davidson:
Uncertainty is a value investor's best friend. Where problems are abundant, and where the future is uncertain, there may lie an opportunity. As a value investor, searching for depressed stock prices amid uncertain situations, I felt pretty lucky coming across Arctic Cat (NASDAQ:ACAT). Having missed its guidance (twice), their CEO being ousted, gross margins faltering, and its share price sliding faster than its latest snowmobiles, I felt inclined to dig further. My research shows that there is more than a fair chance that the market is over-reacting. Once the short-term problems of the company will be cleared away, its long-term endurance will be evident, which may lead to re-rating. As the snowmobile industry continue its consolidation, and eventually so will the ATV industry, Arctic Cat is poised to maintain its dominant position, deserving a higher multiple on higher normalized earnings.
Arctic Cat exists for more than
Complete Story » By Josh Arnold:
In the last month or so I've taken a bullish stance on Ford (NYSE:F) as the sell-off in shares has presented what I consider to be a nice buying opportunity. Apart from the capital appreciation I believe is possible at current levels, Ford also pays out a nice dividend, about 3.4% at today's price. As Ford has ramped its dividend following the financial crisis when it was suspended, I thought it would be instructive to examine Ford's current payout in light of its financial position today to see if the dividend is sustainable and how much room it may or may not have to grow.
To do this I have constructed a series of charts with data from Morningstar.
Our first chart is Ford's net income for the past five years and the amount of dividends the company has paid in that same time frame. I show this because
Complete Story » By IAEResearch:
Altria Group (NYSE:MO) is one of the best dividend payers in the tobacco industry. Despite a number of concerns about the future of the industry due to the regulatory issues, the company has been growing and the dividends have shown an extremely impressive trend. Altria Group is usually the first choice for most investors who look for income stocks in the tobacco industry due to the company's strong grip on the domestic market and its ability to generate incremental cash flows.
However, investors who got in at the start of the year have been able to enjoy massive capital gains as well -- the stock is up over 34% since the start of February. Tobacco stocks have been moving sharply since the start of the year, and the sector has recorded impressive gains. Nonetheless, Altria has beaten its peers by a large margin. Altria investors have been able to enjoy
Complete Story » By Dean Popplewell:
By Dean Popplewell
As long as it moves, there is opportunity, and it's this that the forex asset class has been good for lately. The return of FX market volatility has taken the world's most coveted currency, the US dollar, on another wild ride in the overnight session ahead of ECB's rate and press conference this morning. According to the recent CFTC reports, investors have made a $35-billion bet that the dollar is to remain supreme for some time backed by a "less" dovish Fed and the potential for G10 interest rate differentials sooner rather than later. Nevertheless, there will be the odd occasion, similar to the overnight action preceding the ECB decision, when "overextended" USD-long positioning squeezes the market to swing the other way.
Event risk heightens
Following on from the disappointing euro PMIs, a soft US Manufacturing ISM yesterday and a growing sense of
Complete Story » By Nitin Gulati:
As developing economies were catching up rapidly with their western counterparts, it was no surprise these regions emerged as key strategic interests to the multinational beauty and cosmetic companies. Companies sought opportunities to diversify across the geographies and leverage from the existing appeal of the western brands in the developing world. Coty (NYSE:COTY), a global beauty company, wasn't immune from this widely believed geographical expansion narrative. In this article, we will take a look at the headwinds Coty faces globally, and decide if these rosy projections are leading to a wonderful short opportunity.
After a failed try to buy Avon (NYSE:AVP) in 2012, Coty went public in 2013, aiming to evolve itself into a $13 billion organization in sales by 2015, mainly through takeovers. However, intensifying competition from L'Oreal (EPA:OR), Estee Lauder (NYSE:EL) and Elizabeth Arden (NASDAQ:RDEN) quickly changed the market landscape, fueling the need for a cost advantage. A
Complete Story » By Devon Shire:
As the owner of several inexpensively valued Canadian oil and gas (mainly oil) producers, I find myself green with envy this week. The cause of that envy is the price that Athlon Energy (NYSE:ATHL) shareholders are going to receive for their shares in the announced purchase of Athlon by Encana (NYSE:ECA).
Encana is paying $58.50 per Athlon share, which is almost three times the IPO price of $20 that Athlon came to market with in August of 2013.
Image Source: Yahoo Finance
That is a good decade worth of returns for Athlon shareholders who got in on day 1. The beauty is that they received all of those returns in less than a year.
When you factor in the $1.15 billion of senior notes that Encana will assume as part of this deal, the total purchase price for Athlon is $7.1 billion.
For that $7.1 billion, Encana is going to
Complete Story » By Elliott R. Morss:
Elliott R. Morss ©All Rights Reserved
We have not heard much from Tim Geithner since leaving his post at Treasury for the Presidency of Warburg Pincus. Financial firm presidents of don't get the press that Treasury Secretaries get, but the pay is better. But Geithner did get some press when his book was published. And on Monday, the Starr case against the US government went to court. What is this all about? I start by reviewing Geithner's performance as a public servant.
The IMF to Treasury Transition
I first heard of Geithner at his Senate hearing to be confirmed as Treasury Secretary. It did not go smoothly. It came out that he owed significant back taxes to the IRS for a period when he worked for the International Monetary Fund. The Fund pays a "tax allowance" to US citizens but citizens are responsible for paying their own
Complete Story » By Markit:
Japanese manufacturers are clearly still struggling after the country raised its sales tax on April 1st, though perhaps not as much as official data are currently suggesting.
Official data on manufacturing output showed production falling 1.5% in August, more than reversing a 0.5% rise in July. Over the last three months, output is down some 4.1% on the previous three months, which is the steepest rate of decline seen since June 2011, in the aftermath of the Fukushima incident. The data have fueled worries that Japan is sliding back into recession.
Some solace was gained from the Bank of Japan Tankan survey showing confidence among big manufacturers edging higher in September. But the Tankan's index of all manufacturers, including SMEs, in fact fell from +6% in the second quarter to +4%, its lowest since the third quarter of last year.
Higher frequency, and more up-to-date data on the health of
Complete Story » By The Investment Doctor:
Panoramic Resources (OTCPK:PANRF) has announced an updated resource estimate on all of its projects, valid as of June 30th this year. There aren't really any surprises as the resource and reserve estimates are in line with expectations. The total nickel resources are approximately 156,000 tonnes of which just over 53,000 tonnes are estimated to be in the reserve category. The total copper resources of 75 million pounds and cobalt resources of 6.2 million pounds also shouldn't be a surprise.
What's more important is the exploration update on the Savannah North zone. As expected, the development of an exploration drill drive has started and the company expects to be in a position to perform resource definition at Savannah North in early 2015. Meanwhile, Panoramic is directing its drill rigs to complete a resource definition drill program on the main Savannah ore body where the company is targeting to find more mineralization
Complete Story » By Brad Thomas:
It's October 2nd so that means that Halloween is just a few weeks away. Of course in REIT-dom we have already seen signs of investors getting spooked by the fear of rising interest rates. That big bad bogeyman, we call Mr. Market, has continued to stalk REIT investors who are becoming scared of their own shadow.
Why is that REITs are becoming spooked with the mere whisper of rising rates? How is it that the Triple Net REITs run the hardest when Mr. Market flexes his knee jerking muscle? Should investors run for the hills and wait for Mr. Market to hibernate?
Trick or Treat?
Over the last 30 days, the Triple Net REITs have been running scared again. Take a look at the Total Return stats over the last 30 days:
(click to enlarge)
Even during the last 90 days the Triple Net REITs have become spooked:
Complete Story » By Markit:
An initial glance at the global manufacturing PMI suggests that business activity in the world's factories continued to grow at a steady rate in September, albeit with the pace dipping slightly on August. However, a deeper dive into the numbers presents a more worrying picture. The global upturn has become increasingly dependent on the fast-expanding US manufacturing economy, with the pace of expansion in the rest of the world slipping to near stagnation.Manufacturing expansion driven by US
The JPMorgan Global Manufacturing PMI™, compiled by Markit, edged down from 52.5 in August to 52.2 in September, its lowest since May. The survey data are broadly consistent with global manufacturing output growing at an annual rate of 4% in recent months, broadly similar to the pace seen over the past year.
However, growth has become increasingly unbalanced, and largely confined to the US, without which the pace of expansion is close
Complete Story » By Interactive Brokers:
GPRO: While still being one of the hardest to borrow names, GoPro availability has begun to ease slightly. Indicative borrow rates have receded somewhat however it remains one of the more expensive borrows on the street. Availability is still extremely limited but some shares were available at times last week (week of 9/22/14 - 9/26/14). It stands to reason that those investors who shorted the maker of cameras at almost any point since the shares began trading publicly back in June, have felt some pain given the massive run up in the price of the shares since the IPO. The price of GoPro shares tripled during the past 13 weeks since pricing at $24.00 in its June 26th IPO to touch a record high of $96.45 on September 30th. The stock accelerated to the upside earlier this week after the company announced it will release a new line of cameras,
Complete Story » By Marc Chandler:
The ECB meeting and details about the asset purchase plan is the key event of the day. However, there is something else happening. A string of disappointing US data and the sell-off in equities have sparked a bond market rally that again has caught many participants wrong-footed.
The US 10-year yield had reached 2.62% on September 19. It fell back to 2.38% yesterday and is only a little above that now. It is not just the long-end. The 2-year yield was near 60 bp two days ago and is now flirting with 50 bp.
This has sapped some of the greenback's strength. The main beneficiaries are those currencies that arguably are interest rate sensitive; namely the dollar-bloc and the yen. These currencies were also beaten up, with significant losses last month.
The dollar was briefly and barely traded through the JPY110 level yesterday. It reversed lower, posting a large key
Complete Story »
Having published over 80 articles through Seeking Alpha, aspects of writing and research processes have become more comfortable. While FDA procedures and guidelines, institutional analyst reports, and attention to detail have resulted in some successful stock picks in the pharmaceutical and biotechnology spaces, underlying science can be difficult to absorb, grapple with, or write about. It is not for lack of effort. Attempts are consistently made to gain information that is not readily available to the public, or perhaps even investors with significant resources. Upon reaching out to Pfizer Inc. (NYSE:PFE), its response to an inquiry is both informative and encouraging in this regard, as is a resultant reply from Omeros Corporation (NASDAQ:OMER).
It has been said that the stock market's behavior is an indication of the collective perceptions of investors. Pfizer's succinct replies to questions about its Phase 2 PDE10 inhibitor molecule, PF-2545920, do something for my own perception
The battle for broadcast ad spend has gone beyond potential disruption from the perceived shift to online video ads to a war of words, where those on the side of the broadcasters assert it's only a matter of more accurately measuring the number of TV viewers, who are known to watch TV shows in significant numbers for up to seven days after it's shown in its regular time slot. Some, believing the shift has already begun, note that almost 98% of ad growth in the second quarter went to digital.
I've been watching the actions of the major media companies rather than the words they say, and if actions speak louder than words, I would say they are convinced they have to do something to counter the inevitable weakening of the broadcast TV ad market, no matter which particular stage it is now in. It appears the fall in broadcast
Offshore oil driller Seadrill Ltd. (NYSE:SDRL) has a huge dividend working in its favor with investors. Indeed, Seadrill's 11.3% yield is truly massive, even in a generally high-yielding sector. Competitors like Transocean Ltd. (NYSE:RIG) also sport hefty yields, but even Transocean's 7% yield pales in comparison.
However, fundamental analysis requires a deeper understanding than just yield. Investors need to dig beneath the surface to determine whether a company's dividend is sustainable. Seadrill has aggressively raised its payout to its current level, but underlying earnings growth hasn't kept up. The end result is that Seadrill distributes the vast majority of its earnings to investors.
Normally, this wouldn't be a reason alone to sell. But oil drillers are in a rough patch for the industry. Many, including Seadrill, need to upgrade their fleets, which is an extremely capital-intensive effort. Seadrill is also cash flow negative for the first half of the year,
By Ivan Y.
This past Thursday, the ECB announced that they plan to begin their own version of quantitative easing by purchasing asset-backed securities such as mortgages and business loans. Even though this move by the ECB was hinted at over the summer, many did not believe that the ECB was going to act as soon as it did this past week. Surprisingly, gold and its related ETFs (NYSEARCA:GLD) did not rally after this announcement. Since the announcement, spot gold has been almost flat, dropping 70 cents.
Gold's poor reaction to Europe's QE announcement suggests that investors and speculators do not believe that this action will trigger significantly higher inflation rates. This is a change of mindset considering that gold rallied significantly after the Fed announced QE1 in November of 2008. Gold was around $800 when the Fed announced QE1 in late November 2008 and rallied to $1000 within three
The last time I analyzed The Home Depot, Inc. (NYSE:HD) on May 24, 2014, I stated, "Due to the bullish technicals, great near-term earnings growth potential, and great long-term earnings growth potential, I'm going to be pulling the trigger on a small batch right now." Since the article was published the stock has increased 15.7% versus the 5.62% gain the S&P 500 (NYSEARCA:SPY) posted. Thankfully I bought some shares after writing the article to realize some of the appreciation. Home Depot is a home improvement retailer. Its stores sell an assortment of building materials, home improvement and lawn and garden products and provide a number of services.
On August 19, 2014, the company reported second quarter earnings of $1.52 per share, which beat the consensus of analysts' estimates by $0.07. In the past year, the company's stock is up 26.01% excluding dividends (up 28.15% including dividends) and is beating the
I recently closed my position in ONEOK, Inc. (NYSE:OKE) from my growth portfolio because I ended up transferring it to my dividend portfolio. I ended up buying shares of Range Resources Corp. (NYSE:RRC) because I wanted start accumulating a piece of the oil boom taking place in the U.S. by owning an actual oil company. Range Resources Corp is an Texas-based independent natural gas, natural gas liquids & Oil company engaged in the exploration, development and acquisition of primarily gas properties, in the Southwestern & Appalachian regions of the United States. On July 28, 2014, the company reported second quarter earnings of $0.36 per share, which missed analysts' estimates by $0.05. In the past year, the company's stock is down 1.7% excluding dividends (down 1.53% including dividends) and is losing to the S&P 500 (NYSEARCA:SPY), which has gained 21.3% in the same time frame. I initiated my position in Range
It's been a big week in world as a cease fire in the Russia/Ukraine situation manifested itself, there was an ECB rate cut which came as a surprise, and a worse than expected jobs report was reported here at home. The dollar has been increasing in value because of all this news, but it seems like stocks are immune, having increased in value for the week. One would anticipate that with this kind of news we heard that all the major indices would be down. In fact, the Dow gained 0.78% for the week while the S&P 500 gained 0.96% and the Nasdaq gained 0.97%. I just don't feel comfortable with the global economy the way it is right now and in times like these I love picking up some more shares of value dividend stocks.
Call me a pessimistic optimist, but for now I will continue the course and
There has been an awful lot of discussion lately on the topic of stock market valuations. Yale's Robert Shiller, who won the Nobel Prize in Economics in 2013, has been quite vocal with his view that stocks are extremely overvalued at this time and that investors should be worried.
In addition, billionaire investors like George Soros, Carl Icahn, and last week, Sam Zell have also publicly stated their concerns about the current levels in the stock market. All three are calling for a BIG correction at a minimum and have been preparing their portfolios accordingly.
However, as we have detailed previously, our view is that valuation metrics have to be adjusted for the current environment (i.e. the last 20 years) and that taken within this context, stocks are currently no worse than fairly valued at this stage of the game.
However, it is also important to recognize that after
Are Homebuilders Dead?
Hovnanian Enterprises Inc (NYSE:HOV) enjoyed an epic run higher after the 2009 recession. From a low at $0.89, it cruised to a high of $7.43 at the end of December 2012. Since then, HOV has pulled back along with other homebuilders even as the economy has continued its slow but steady recovery. Clearly, there is more going on with this group and HOV in particular than just overall economic momentum. Let's take a look at the company and its stock and see what we can figure out about where they might go from here.
Our first stop, as always, is the company's recent performance. This is the "meet and greet" part of our analysis and is essential if we want to understand the company. We'll go back a bit further than usual this time in order to get a feel for how the company reacts
Apple, Inc. (NASDAQ:AAPL) launches the iPhone 6 on September 9th, which is expected to be the biggest iPhone launch in the company's history. Analyst Amit Daryanani of RBC Capital is expecting unit sales of 10 million after the first week, surpassing the nine million combined units sold by the iPhone 5S and iPhone 5C in September 2013. Apple is rumored to be gearing up to sell 70-80 million units of the iPhone 6. However, it cannot get there without the support of the Chinese market. China represents over 15% of Apple's total revenue. Its sales in China are growing nearly 30% annually, representing the lion's share of Apple's revenue growth. However, according to MarketWatch, due to Apple's threat to local competitors, the Chinese government will do everything to stop Apple:
The Chinese government will do everything to stop Apple, even though Foxconn Technology Group (Apple's Chinese manufacturing partner) employs over
Target Corporation (NYSE: TGT) is America's second largest discount retailing giant, after Wal-Mart (NYSE: WMT), with approximately 2,000 stores in the U.S. Target expanded out of the U.S. for the first time in early 2013, and set foot in Canada. In a matter of around 18 months, it has opened 130 stores, but a series of mismanagement moves has turned the plan on its head, with the company shuffling top executives and putting heads together to find its way back to growth.
The Canada expansion plan is giving investors sleepless nights as a lot of hopes were pinned on the country in the face of falling same store sales in the U.S. Let's get the lowdown on Canada's role in Target's future, what went wrong, how the company is trying to redeem itself from the fiasco, and whether it can win back the confidence of investors.
With U.S. slowing,
The following audio is from a conference call that will begin on September 08, 2014 at 08:30 AM ET. The audio will stream live while the call is active, and can be replayed upon its completion.
Prior to announcing its second-quarter 2014 earnings, Windstream (NASDAQ:WIN) announced that it received permission from the IRS via a private letter ruling to conduct a tax-free spin-off of certain assets into a new REIT (real estate investment trust). This new REIT will be spun off to shareholders of Windstream, and the deal is expected to close early in 2015.
This announcement was made on July 29, 2014, and when it happened, it caused the share prices of most telecom companies to rise significantly. This even extended into the larger ones, including Verizon and AT&T. Since then, it has been forecasted to not provide much benefit to larger companies such as AT&T, but being able to do this would rather provide smaller telecommunication companies with the ability to spin off assets into a REIT. Companies that are currently viewed as the most likely candidates to follow suit include CenturyLink, Cincinnati Bell,
While the deal tag is nice given the troubled margins and the rumors about a lower deal tag in previous weeks, the net proceeds are just a rounding error in the entire valuation of GE.
The transformation towards the industrial business is to be applauded, yet investors are not convinced yet with GE paying premiums to acquire industrial assets while arguably selling some financing activities at lower multiples. This creates a transition phase in which shares offer little appeal except for the big dividend payouts.
A much rumored deal has been confirmed over the weekend with GE announcing the sale of its appliance business in a $3.3 billion deal.
Electrolux which is buying the business has the right to continue to use
This study will be focusing primarily on the nature and size of the fleet they own today. It is a comparison that I will try to conduct most objectively, which is quite difficult considering the task. This exercise is difficult because it necessitates special technical skills and knowledge to compare the rig's specifications adequately. This article is a total update of a previous article written in June 9th, 2014. including the floaters and the jackups.
Since then, the two companies have improved and changed rather significantly. New rigs have been contracted or idled; important contracts have been signed; new sectors are about to open.
It is meaningful to check closely these two top-tier companies' fleet, which are comparable in size, revenues and even strategy to grasp their respective business model, which
The ADT Corporation (NYSE:ADT) is one of the leading home and residential security companies in the country. The company owns approximately 25% of the highly fragmented $11 billion security solutions market for homes and small businesses. ADT enhanced its market leading position by its $2 billion acquisition of Broadview Security in 2010. Its main competitors are Monitronics and Vivint, each with a 4% slice of the market. Roughly 60% of this market is controlled by many small companies.
(click to enlarge)
Source: ADT- Oppenheimer 2014 Techonolgy, Internet & Communications Conference
ADT was spun-off from Tyco International in 2012. Since the spinoff, ADT shares have badly lagged those of its parent company and the broader market, which is something of an anomaly, because numerous studies have shown that corporate spinoffs tend to create substantial shareholder value. ADT shares are also among the most shorted in the S&P 500, with about
This is a series of articles to assess risk for the 26 BDCs that I cover and a follow up to my other "BDC Risk Profile" articles. There are many reasons why assessing risk for BDCs is important, including expected returns, valuations, and the potential loss of capital during an economic downturn or general business cycle. I use 'relative risk rankings' in many of my articles for valuation purposes, because I believe BDCs should be measured on projected risk vs. return. This series will take into account new metrics, and I will be adjusting my rankings accordingly, as well as updating my suggested 'risk averse' BDC portfolio.
The following are some of the indicators of risk and portfolio quality that I will be discussing in this series:
- General portfolio mix and yield
- Portfolio debt-to-EBITDA
- Average investment size and portfolio concentration risk
- BDC leverage vs. portfolio mix
YTD2014 has been an interesting year when one looks at the movement of various asset classes. The S&P 500 Index (NYSEARCA:SPY) has moved higher by 9.6% to current levels of 2,007. At the same time, the 10-year bond has rallied with the 10-year Treasury yield currently at 2.46% as compared to a yield of 3.0% at the beginning of the year.
The movement in gold (NYSEARCA:GLD) has been sluggish, but the precious metal has still moved higher by 3.3% during the year. The dollar index has also strengthened by 4.6% to current levels of 83.8 as compared to levels of 80.1 at the beginning of the year.
I mentioned all these asset classes as the movement has been unusual as compared to the movement in these asset classes after the financial crisis. In general, Treasury yields have declined at a time when equities have corrected.
This can be explained by
With this article I'm starting a new series continuing the exploration of closed-end funds as key components of a retirement-income portfolio. My intent for the series is to cover CEFs from each of the primary asset classes. In this, the first installment, I'll be looking at real estate.
Real estate exposure belongs in every portfolio. Returns have been solid over the past 10 years, coming in behind MLPs but beating bonds and large-cap stock handily. Furthermore, real estate is appealing to the income investor because half of its total return is income. But, it's only half; the other half is price appreciation. Thus with real estate we have an appealing mix of income and capital growth. Dividend growth for the asset class has solidly outpaced inflation for all but the depths of the 2008 recession (which was not, of course, real estate's finest hour).
These charts from Oppenheimer showing REIT
Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Friday September 5.
8 Things To Watch in the Week Ahead: Yahoo (NASDAQ:YHOO), Apple (NASDAQ:AAPL), Palo Alto Networks (NYSE:PANW), Restoration Hardware (NYSE:RH), Kroger (NYSE:KR), Lululemon (NASDAQ:LULU), Deckers (NYSE:DECK), Darden (NYSE:DRI) . Other stocks mentioned: Basic Energy (NYSE:BAS), Mannkind (NASDAQ:MNKD), Schlumberger (NYSE:SLB)
The August jobs number was the slowest of the year. Usually stocks would get slammed and interest rates would fall. The Dow gained 68% and bonds did nothing. August has the history of being the most "wrong" month, and Cramer is skeptical about the number, since the market chose to ignore it. It usually takes two bad numbers back to back to indicate a change. Cramer discussed things to keep an eye on in the coming week.
Alibaba IPO "Roadshow": Alibaba is likely to be the largest IPO of all time. The deal, expected to