Monday, September 30, 2013

Which is the Better Bet Right Now? Westinghouse Solar, or Real Goods Solar? (WEST, RSOL)

My enthusiasm regarding Real Goods Solar, Inc. (NASDAQ:RSOL) and Westinghouse Solar Inc. (OTCMKTS:WEST) hasn't exactly been a veiled secret. Though I've favored one over the other at various times since the entire solar panel industry went back into high gear in the middle of the second quarter, I've been a fan of both RSOL as well as WEST for a while. The trick has been finding the right entry spot for both of these volatile stocks.

That being said, though my call on Westinghouse Solar is finally coming to fruition - and generating some profits - for anybody who stepped in on my advice, Friday's breakout isn't a reason to buy here. In fact, it's a reason not to buy. If you're looking to get in on the still-budding solar rally, then I'm back to Real Goods Solar as the way to play.

First things first. Yes, I'm the same guy that was singing Westinghouse Solar's praises just a few days ago, suggesting a breakout was practically imminent back on September 12th. We got that pop on the 20th, in spades. Problem: The move was a little too hot to handle, and as I explained on the 24th, newcomers should wait for a dip ... a dip that materialized starting the net day, mind you.

Yeah yeah yeah, but that was then and this is now, right? WEST blasted past its key 200-day moving average line on Friday - on huge volume no less - making this rally the proverbial "real deal." Well, maybe, but in the same sense (and the same way) Westinghouse shares were overbought and due for a dip a week ago, they're due for a dip now. In fact, they're already giving us that dip. I've just got a feeling there's more ground to give up before WEST hits bottom and starts to recover.

If you're looking for a place to put that money that would have otherwise been invested in Westinghouse Solar Inc., the name you want to look at is Real Goods Solar, Inc.... again.

From a technical perspective, RSOL is simply much healthier than WEST is at this point. Specifically, RSOL isn't overbought, and if anything is just starting to re-develop some momentum. The big bullish clues here are the way the stock pushed up and off the 200-day moving average line (green) in late August, and found support at the 20-day and 50-day moving average lines (blue and purple) last week to spark Friday's bounce above not only the 100-day moving average line, but also above a key horizontal ceiling at $2.50 (red). Putting them all together, and what you have is a very bullish undertow. But, more than anything, what makes Real Goods Solar superior to Westinghouse Solar shares as a trade right now is that it's not overbought and pulling back.

With all of that being said, don't interpret this as a permanently-bearish outlook on WEST; that's not what this is. I think both stocks are destined for better days in the long run, as the solar panel industry is starting to grow again as the supply and demand relationship turns healthy again. I'm just trying to give newcomers to that trend the best start they can have.

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Saturday, September 28, 2013

16 Oil and Gas Stocks to Sell Now

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The ratings of 16 Oil and Gas stocks are down this week, according to the Portfolio Grader database. Each of these rates a “D” (“sell”) or “F” overall (“strong sell”).

PDC Energy’s (NASDAQ:) rating falls to a D (“sell”) this week, down from C (“hold”) the week prior. PDC is an oil and gas company with drilling and production operations in the Rocky Mountains, the Appalachian Basin, and Michigan. In Portfolio Grader’s specific subcategories of Earnings Revisions and Cash Flow, PETD also gets F’s. As of Sept. 27, 2013, 17.6% of outstanding PDC Energy shares were held short. .

EOG Resources, Inc. (NYSE:) gets weaker ratings this week as last week’s C drops to a D. EOG Resources is in the business of the exploration, development, production, and marketing of natural gas and crude oil. The stock gets F’s in Earnings Growth, Earnings Momentum, and Margin Growth. The trailing PE Ratio for the stock is 44.50. .

Suncor Energy’s (NYSE:) rating falls this week to an F (“strong sell”), down from last week’s D (“sell”). Suncor Energy is an integrated energy company in Canada. The stock gets F’s in Earnings Momentum and Earnings Surprise. .

The rating of Enbridge Energy Partners, L.P. Class A (NYSE:) declines this week from a D to an F. Enbridge Energy Partners transports crude oil and natural gas liquids to refineries in the midwestern United States and eastern Canada. The stock receives F’s in Earnings Growth, Earnings Revisions, and Earnings Surprise. Cash Flow and Sales Growth also get F’s. The stock’s trailing PE Ratio is 27.40. .

This week, PVR Partners, L.P.’s (NYSE:) rating worsens to a D from the company’s C rating a week ago. Penn Virginia Resource Partners owns and operates a network of natural gas pipelines and processing plants which provide gathering, transportation, compression, processing, dehydration and related services to natural gas producers. .

This week, Green Plains Renewable Energy, Inc. (NASDAQ:) drops from a C to a D rating. Green Plains Renewable Energy constructs and operates dry mill, fuel-grade ethanol production facilities. The stock gets F’s in Earnings Growth, Earnings Revisions, and Margin Growth. As of Sept. 27, 2013, 11.3% of outstanding Green Plains Renewable Energy, Inc. shares were held short. .

Chevron Corporation’s (NYSE:) rating weakens this week, dropping to a D versus last week’s C. Chevron gives management and technological support to international subsidiaries that operate petroleum, chemicals, mining, power generation, and energy services. The stock also gets an F in Sales Growth. .

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ONEOK Partners, L.P. (NYSE:) earns a D this week, falling from last week’s grade of C. ONEOK Partners is engaged in the gathering, processing, storage, and transportation of natural gas in the United States. The stock also gets an F in Sales Growth. .

Continental Resources, Inc. (NYSE:) earns an F this week, moving down from last week’s grade of D. Continental Resources explores for, develops, and produces oil and natural gas properties in the United States. The stock gets F’s in Earnings Growth, Earnings Momentum, Cash Flow, and Sales Growth. The stock currently has a trailing PE Ratio of 25.50. .

Slipping from a C to a D rating, Teekay Corporation (NYSE:) takes a hit this week. Teekay is a provider of international crude oil and petroleum product transportation services. The stock gets F’s in Earnings Momentum, Earnings Revisions, and Earnings Surprise. Equity and Cash Flow also get F’s. .

Frontline (NYSE:) experiences a ratings drop this week, going from last week’s D to an F. Frontline owns a fleet of very large crude carriers and Suezmax tankers that transport crude oil and oil products between ports. The stock receives F’s in Earnings Revisions, Equity, Cash Flow, and Sales Growth. As of Sept. 27, 2013, 13.3% of outstanding Frontline shares were held short. .

The rating of Endeavour International Corporation (NYSE:) slips from a D to an F. Endeavour International is an international oil and gas exploration and production company that acquires, explores, and develops energy reserves. The stock gets F’s in Equity and Cash Flow. As of Sept. 27, 2013, 22.3% of outstanding Endeavour International Corporation shares were held short. .

North European Oil Royalty Trust (NYSE:) is having a tough week. The company’s rating falls from a D to an F. North European Oil Royalty Trust is involved in gas and oil production. It holds overriding royalty rights in certain concessions or leases in the Federal Republic of Germany. The stock also gets an F in Sales Growth. The stock price has dropped 8.7% over the past month, worse than the 1.7% decrease the S&P 500 has seen over the same period of time. .

This is a rough week for SandRidge Energy, Inc. (NYSE:). The company’s rating falls to F from the previous week’s D. SandRidge Energy explores and produces natural gas and crude oil. The stock receives F’s in Earnings Growth, Earnings Momentum, and Equity. Cash Flow and Margin Growth also get F’s. As of Sept. 27, 2013, 10.3% of outstanding SandRidge Energy, Inc. shares were held short. .

Gevo (NASDAQ:) gets weaker ratings this week as last week’s D drops to an F. Gevo operates as a technology development company for biobutanol. The stock gets F’s in Equity, Cash Flow, and Sales Growth. As of Sept. 27, 2013, 16.8% of outstanding Gevo shares were held short. .

Teekay Offshore Partners L.P. (NYSE:) earns a D this week, falling from last week’s grade of C. Teekay Offshore Partners LP provides marine transportation and storage services to the offshore oil industry. The stock also gets an F in Sales Growth. .

Louis Navellier’s proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results — with A being “strong buy,” and F being “strong sell.” Explore the tool here.

Friday, September 27, 2013

Equity fatigue continues with headwinds from bond sell-off, Doll says

market Bob Doll

U.S. equities finished lower for the second straight week as the S&P 500 declined 2.04%, narrowly escaping its worst week of the year. A specific catalyst behind the pullback was not identified by us or market analysts. Media reports focused on the tapering debate, shareholder activism and the emergence of the Eurozone from a record long recession. Increased violence in Egypt did not appear to be a major factor in the decline; however, crude oil prices gained almost 2% for the week and precious metals rallied. U.S. bond yields backed up again, which depressed equities in the U.S. but did not impact the rest of the world. Emerging market equities were up 0.78% for the week.

Given the U.S. Treasury yield rise of more than 100 basis points since the start of the year despite lower inflation, lower growth and accelerated quantitative (QE) buying around the world, a possible explanation includes an imminent end of easy money that is forcing unwinding of fixed income holdings. Obviously this asset class has been the primary beneficiary of loose global monetary policy over the last five years.

Initial unemployment claims dropped to a new low for the expansion, decreasing 15,000 to 320,000. Over the last three months, unemployment has moved largely sideways. As claims decline, this increases the odds increase that the Fed will taper QE in September, and second half economic growth may improve somewhat.

Growth in business capital expenditures normally exceeds overall GDP growth by a wide margin during the early years of business cycle recoveries. That has not been the case during this cycle. We expect acceleration in business spending in the coming year due to loosening credit standards, strong corporate balance sheets, high expected return on investment and reduced uncertainty from fiscal cliff policy.

The first half of 2013 revealed declining trends in employment growth, personal income growth and real retail sales growth. The deceleration in these three data series was concerning and more indicative of recessionary than recovery activity. Since the end of June, the data has shown improvement, particularly in retail sales. Progress in these areas will support the consensus view that the economy is going to be stronger in the second half of the year. We are encouraged but not convinced. We would like to see a rebound in employment because both rising employment and income will be needed to sustain the upturn in retail sales. If U.S. growth begins to gradually accelerate, this should lift third and fourth quarter GDP growth.

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The Big Picture

We believe equities are in pause mode while waiting for faster GDP and earnings growth, actual Fed tapering and/or lower oil prices. In the meantime, the equity rally is fraying somewhat with the S&P 500 simply marking time for several weeks as evidence of fatigue has set in for buyers. In absence of further valuation expansion, attention will turn to profits. We see that the anti-reflationary combination of rising oil prices, higher Treasury yields and U.S. dollar strength has intensified the drag on corporate profitability this summer. Implications for the fixed income market should calm. We think equities are moderately high risk investments from a short-term perspective because conditions appear overbought and prices have already discounted somewhat better corporate earnings

The investment backdrop appears to be experiencing a number of major tran! sitions as safe havens such as government bonds, gold and bond proxies have fallen out of favor based on declining values. We see this as affirmation of economic activ

Wednesday, September 25, 2013

Hewlett-Packard (HPQ) Finally Finding a Groove

There's no denying that the Hewlett-Packard Company (NYSE:HPQ) - largely under the initially-shaky guidance of CEO Meg Whitman, though former CEO's Leo Apotheker and Mark Hurd didn't exactly help - has been a train wreck of a company of late. What was once the world's second-most popular name in the personal computer industry completely whiffed when it tried to throw its hat into the smartphone and tablet ring, then decided to get out of the PC business and focus on more lucrative cloud industries, and then just a few months later decided to stay in the personal computer business after all. As it turns out, HP did neither very well in the meantime. Hewlett-Packard investors have watched revenue fall from 2011's peak of $126.8 billion to what will likely be a top line of $108.9 billion next year, and worse, shareholders have watched HPQ shares tumble from a price of $54 in early 2010 to a low of $11.35 late last year. There's no way of sugar-coating it: That's an investment disaster. Yet...

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Not that Hewlett-Packard Company is completely out of the woods yet, but as is all too often the case, the sellers assumed a worst-case scenario that never materialized, beating down a stock that didn't deserve a beating (at least not the one it got).

To give credit where it's due, the market knew Hewlett-Packard was going to hit earnings turbulence by 2012 as early as 2010; that's when HPQ shares started a major slide. Eventually the earnings implosion pulled the company into the red, during the last two quarters of 2012, booking a per-share loss of $4.49 in Q3 and a loss of $3.49 for Q4.

How'd it happen? The losses in Q3 and Q4 partially stemmed from one-time writedowns, but sales declines didn't help. Though operating income was still positive, it was also still weaker on a year-over-year basis. Between a waning PC market, Hewlett-Packard's clear lack of commitment to doing it well (they're getting out of the biz, but two months later decide to stay in?), not putting a viable tablet computer into that race (we'll give HPQ a break on not coming up with a hot smartphone - that's a different ball of wax), and the fact that the cloud solutions opportunity hasn't been anywhere near as fruitful as it was supposed to be, earnings never stood a chance.

As they say, though, that was then and this is now.

The challenges still await, but now with almost two years of company experience under her belt, the oft-criticized CEO Meg Whitman seems to be finding a groove. The company's products also seem to be finding grooves in their respective lanes. In other words, the Whitman turnaround plans for HPQ are working... they're just taking time.

As (partial) evidence of that idea, look at last quarter's earnings from other PC makers. Dell fell short of estimates, and even the hyper-reliable IBM missed analysts' forecasts. Hewlett-Packard, however, beat its estimates. They weren't low-ball outlooks either. Though analysts expected less on a year-over-year basis, the outlooks only gave Hewlett-Packard room to let per-share profits fall from $0.98 a year earlier to $0.80 this time around. The company posted a per-share profit of $0.87, on the heels of measurable - albeit relative - success in the enterprise-level market.

One of the Whitman initiatives, called Moonshot, won't start to achieve material results until later this year after launching last quarter, and really won't hit its full stride until 2014. Moonshot is a project that should finally give the Hewlett-Packard Company a major weapon in the cloud services industry. At the same time, the Slate 7 (Android-powered) tablet for consumers as well as the business-oriented Elitepad tablet in the queue for the second half of 2013, getting HP deeper into that game than it's been able to get thus far. The tablets may well get traction too, as the tablet arena is actually getting more and more fragmented rather than less and less... opening the door to names other than Apple, Samsung, and Barnes & Noble's Nook. More traditional enterprise products and services are also getting traction. That sliver of the market can be slow to move, so the work Whitman was doing two years ago there is only just now starting to bear fruit.

These initiatives have given the Hewlett-Packard Company the kind of powerful weapons it hasn't had in years, making HPQ a turnaround stock worth a closer look. That forward-looking P/E of 7.04 isn't a pipedream; HP's got the tools and momentum it needs to book that projected profit of $3.68 in fiscal 2014. Based on the stock's bounce back to $26.00, some investors see the rebound that's coming. Most investors don't see it yet, though... which is where the opportunity presents itself.

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Tuesday, September 24, 2013

Apple looks to regain footing in China

china apple phone HONG KONG (CNNMoney) It is widely accepted that Apple has something of a China problem.

The country of 1.3 billion is Apple's largest market outside the United States, but the iPhone maker has stumbled there, losing ground in the smartphone race to rivals that offer cheaper phones sold through the country's most popular wireless carrier.

Apple's sales in China, Hong Kong and Taiwan fell by 14% in the third quarter, a sharp reversal from 8% growth in the prior quarter, and a gain of 67% before that. The lackluster performance puzzled analysts, and even CEO Tim Cook admitted that "it's not totally clear" why sales were so slow in Hong Kong.

"I continue to believe that in the arc of time here, China is a huge opportunity for Apple," Cook said in July. "I don't get discouraged over a 90-day cycle that can have economic factors and other things in it."

Yet Apple (AAPL, Fortune 500) is now looking to reverse the slide, and if the hints leaking out of Cupertino are any indication, the company may announce two significant steps before the week is out.

Apple is expected to unveil a slate of new products Tuesday in California, including the iPhone 5C, which analysts say is likely to cost about $400 and be built with a plastic case. At current prices, the iPhone is considered a luxury item in China, and well beyond the reach of many citizens.

Related story: Apple's innovation problem is real

The company has also scheduled a media event for Wednesday in Beijing -- an unusual step that has sparked speculation about a possible deal with China Mobile.

China Mobile is the world's largest wireless carrier, and Apple has tried unsuccessfully for years to reach an agreement that would bring its iPhones to the telecom's 700 million subscribers.

China Telecom and China Unicom currently offer iPhones to their customers. Between them the two smaller carriers have about 425 million subscribers.

Steve Wozniak rips new 'Jobs' movie   Steve Wozniak rips new 'Jobs' movie

While Apple has said little publicly about a potential China Mobile deal, the Wall Street Journal has reported that Apple is preparing to ship new iP! hones to the carrier. The new potential customers and a cheaper phone could help Apple claw back some of the market share it has lost in recent years.

Apple has less than 5% of the Chinese smartphone market, and the iPhone ranks behind Samsung and a host of local brands, including Lenovo, Xiaomi, Huawei and ZTE.

Related story: China's Xiaomi looks abroad

Apple still has plenty of growth potential in China. The company, for example, has only 11 bricks-and-mortar stores in China and Hong Kong -- something Cook is planning to change.

"We are continuing to invest in retail stores here and will open many more over the next several years," Cook said during a January visit to China. "We have some great sites selected, our manufacturing base is here, and we have incredible partners here."

After this week, the CEO might be hoping for a few more customers as well. To top of page

Monday, September 23, 2013

Career and Self-Employment Advice From Around the Web

The employment outlook right now isn't particularly rosy. Kiplinger's expects job growth to remain lackluster the rest of this year and next year. So I gathered advice from around the Web this week to help job hunters improve their chances of getting hired and workers improve their status in the office. I also found several blog posts on self-employment and starting a business. So if you're looking for career-related tips, check out what personal finance bloggers are saying:

SEE ALSO: Can My Boss Do That?

5 Keys to Full-Time Employment for Young People [Consumerism Commentary]
"Here are a few tips for those in college to get the few jobs that may be available."

Boost Your Career: How to Be Happier and More Likeable at Work [Wise Bread]
"The best coworkers look for ways to promote positive environments, get the most from their teams, mix a little fun with productivity, and remember the human side of business."

Could Tweeting About Your Job Get You in Trouble? [Financial Highway]
"Even if you are posting on personal social media outlets, the reality is that many employers see you as a representative of their brand, even if you are technically 'off duty.'"

Why Work Harder When You'll Get a Bonus Anyway? [MoneyNing]
"In a traditional business setting, top performers can feel unappreciated when they see their less-awesome counterparts rewarded just as well."

Do You Have to Quit Your Day Job to Be Happy? [Bargaineering]
"For many, the benefits of a day job outweigh the risks associated with quitting to become self-employed."

How to Start a Business from Home [Credit Donkey]
"If you do decide to take the plunge and start a business, knowing what you're getting into, planning ahead, and not overextending your resources will improve your chances of success while minimizing your financial risk."

Starting Over Fresh as a Business Owner in Your Later Years [Generation X Finance]
"Starting a business in your older years will give you the chance to try out your own ideas and your new company will benefit from your experience."

Working From Home: How Do You Find Clients? [Man Vs. Debt]
"Resist the 'throw spaghetti at the wall' approach. Do one new thing, and do it well – whether that's canvassing your neighborhood and introducing yourself, emailing people you'd like to work with and offering to help them for a short amount of time at no charge, selling at a different location or something completely different."



Sunday, September 22, 2013

The Secret for Those Who Retire at 30

By Hal M. Bundrick

NEW YORK (MainStreet) -- Ah yes, the life of a millionaire. Lazy days at the country club. Perhaps a bit of travel overseas before returning to your posh vacation home and spending hours cruising the lake in your boat. No doubt, you're picturing a frolicking, handsome, white-haired senior couple straight out of a Levitra ad, right? The truth is, the reality of this scenario would better fit a vibrant, young-adult couple in their mid-30s, according to new research from Fidelity.

The study of Gen X/Y millionaires under the age of 48, with an average age of 37, finds they are more optimistic, more likely than their Boomer peers to take an overseas vacation (flying first class) and also have that country club membership, vacation home and boat.

Many of these rich young adults inherited their wealth, but are far from squandering it. Averaging 30 trades per month, they are active investors, personally engaged in further building their wealth. And while more likely to enjoy their wealth, they also tend to be more generous with their time and money than wealthy Boomers.
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"Gen X/Y millionaires are taking a dramatically different approach to their wealth than the older generations, signaling a new era of wealthy investors," says Bob Oros, an executive vice president with Fidelity. "These next generation millionaires, who have already surpassed their older counterparts in total assets, are likely to drive significant change among the investors who want to emulate them, the advisors who serve them and the financial services industry that supports them."
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Even though the study found that 71% of Gen X/Y millionaires said they feel knowledgeable about investing, a vast majority (92%) work with a financial advisor. And while older millionaires are maintaining consistent investing strategies (43% didn't add any asset classes in the last year), Gen X/Y millionaires are more likely to adjust their portfolios, adding sophisticated investments like foreign currency, international individual securities, venture capital and derivatives. Most (61%) make their own investment decisions, but look to a financial advisor for a second opinion -- only 6% delegate their decisions entirely.

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"Financial advisors should be prepared to deal with Gen X/Y clients who are knowledgeable and who like to be involved in their investments," continued Oros. "These new millionaires are collaborators, looking for a validator to partner with on their investments."
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In addition to validation, the study found that Gen X/Y millionaires were relying on financial advisors for longer-term planning and were not as dependent as their older counterparts for investment strategies. While 73% of the Boomers+ group currently receives general investment/portfolio management from their advisors, only 48% of Gen X/Y millionaires do. The Gen X/Y group was more likely to be interested in longer-term services, such as estate planning/gifting, charitable giving and planning and retirement strategies.

And despite the "me" generation stereotype, Gen X/Y millionaires are generous, averaging $54,000 in donations to charity each year -- and are also more likely to volunteer or serve on the board of a charity (82% vs. 49% for Boomers+).

--Written by Hal M. Bundrick for MainStreet

Saturday, September 21, 2013

Yen Weakness Far From Over

NEW YORK (TheStreet) -- In early April, I made the case for prolonged weakness for assets denominated in Japanese yen. This forecast proved largely accurate, as the CurrencyShares Japanese Yen Trust ETF (FXY) is 14% lower on the year; and the yen itself is the second-worst performing developed-market currency relative to the U.S. dollar.

To some, these declines might suggest renewed opportunities to buy. But when we consider the policy outlook at the Bank of Japan, and potential cutbacks in monetary stimulus from the Federal Reserve, there is little reason to believe this downtrend has reached a true bottom.

To the contrary, the yen remains a sell, even at these weaker levels. Major divergences in central bank policy favor the U.S. dollar over its Japanese counterpart, and these are trends that should continue well into 2014. In Japan, the intention has been to ramp up bond-purchasing programs as a means to normalize consumer inflation levels.

The Bank of Japan's central aim is to achieve inflation rates of 2% in the next two years and reverse decades of stagnant growth. Stimulus plans in Japan make up a larger percentage of GDP than the quantitative easing programs designed by the Fed, and this can only weaken the yen as long as policymakers remain committed to this course of action. Diverging Policy Favors Dollar Diverging policy in the U.S. and Japan has created bond-yield differentials in 10-year government debt that is now at multi-year highs above 2.2%. Confirmation that the Fed is truly ready to reduce monthly asset purchases and allow the U.S. economy to start working on its own merits will only propel these trends, and this could start as early as next week. Currently, markets are expecting the Fed to reduce monthly stimulus injections by $10 billion, so any number greater than that will push the U.S. dollar to new highs for the year. Looking ahead, the fate of the yen rests on Prime Minister Abe's level of commitment in achieving official inflation goals and weakening the currency to support export companies. Early indicators will be seen in decisions to raise the national sales tax to 8% and measures to cut levies in corporate income. Some of these decisions could be finalized as early as next month.

What investors with currency exposure should be looking for is a willingness to implement more aggressive policy measures, as this will imply Japan is ready to use all available tools to make real changes in long-established trends.

Aggressive stimulus moves carry associated risks. But if Japan is ever going to become serious about normalizing its economy, risks will need to be taken. What we are looking at here is a country with debt-to-GDP ratios that average 220% (the highest in the world), growth rates that have held flat for nearly a quarter century and consistent vulnerability in consumer price pressures.

At this stage, there is no likely scenario that points toward strength in the Japanese currency. Any asset that has seen declines of almost 15% in the last three quarters might look attractive from a contrarian perspective. The reality is that we are still in the early stages of a multi-year downtrend.

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The Japanese yen is a sell, even at its current moderately depressed levels. FXY Chart Perspective On the weekly charts, bear pressure in FXY has created oversold conditions that might look attractive for long entries, but the series of lower highs on the daily charts indicate further weakness. The symmetrical triangle that started in mid-May has broken to the downside and the next level of support can be found at 96.60. Bearish violations here will accelerate losses. Sell here, or wait for rallies back into 100.70. At the time of publication the author had no position in any stock mentioned. This article was written by an independent contributor, separate from TheStreet's regular news coverage.

Richard Cox is based in China, and has lectured at several universities there on international trade and finance, focusing primarily on macroeconomics and price behavior in equity markets. His articles appear on a variety of Web sites, including MarketBulls.net, Seeking Alpha, FX Street and others. Investing strategies are based on technical and fundamental analysis of all the major asset classes (stock indices, currencies, and commodities). Trade ideas are generally based on time horizons of one to six months.

Monday, September 16, 2013

5 Rocket Stocks to Buy as Mr. Market Climbs

BALTIMORE (Stockpickr) -- Ugh, I wouldn't want to be Larry Summers this morning. The former Treasury secretary set off a rally in stock futures yesterday, when he withdrew his name from the Fed Chairman job. The market has voted: Investors hate Larry Summers.

But don't worry too much about Larry. It's probably safe to say he's got a thick skin.

Instead, investors should be paying attention to the market's reaction. As I write just ahead of the open this morning, equities are pointed at some serious follow-through this Monday. That's a big deal after a technically-significant bounce that slingshotted stocks 1.98% higher last week.

And it's creating some buying opportunities this week. To make the most of them, we're turning to a new set of Rocket Stocks.

For the uninitiated, "Rocket Stocks" are our list of companies with short-term gain catalysts and longer-term growth potential. To find them, I run a weekly quantitative screen that seeks out stocks with a combination of analyst upgrades and positive earnings surprises to identify rising analyst expectations, a bullish signal for stocks in any market. After all, where analysts' expectations are increasing, institutional cash often follows. In the last 214 weeks, our weekly list of five plays has outperformed the S&P 500 by 88.85%.

Without further ado, here's a look at this week's Rocket Stocks.

Schlumberger

2013 has been a stellar year for shares of oil service giant Schlumberger (SLB). Since the calendar flipped over to January, SLB has rallied more than 25%, beating the broad market's impressive pace by double digits. As oil prices linger on the high end of their historic range, SLB is well positioned to keep ticking higher.

Schlumberger provides must-have services to national and supermajor oil firms as well as smaller E&Ps, offering up niche services like seismic surveys and well drilling and positioning. In a nutshell, SLB's job is to pull oil out of the ground as efficiently as possible. Oil firms turn to Schlumberger because the tasks they need to accomplish are too nuanced or proprietary to pull off in-house. So as long as the company continues to pour cash into R&D for drilling technology and software, the firm should continue to score lucrative contracts.

Some of Schlumberger's most attractive opportunities right now come from overseas. The firm is one of the largest oil servicers in Russia, a key growth market in the years ahead. It's also got an important presence in smaller oil markets, where it's a big fish in a small pond. A big scale and stellar reputation should guarantee Schlumberger an attractive piece of the oil pie for years to come.

Yahoo!

It's been a challenging year for Yahoo! (YHOO), but you wouldn't know it from this stock's price action. Yahoo! has rallied more than 47% year-to-date, buoyed by major changes in the firm's structure -- and conspicuous leadership from CEO Marissa Mayer. But Yahoo!'s new logo is a good metaphor for the transformation at the company: The new logo was announced with much excitement, but most users probably wouldn't have noticed it otherwise.

Arguably paying too much for Tumblr, and still lacking a real unique selling proposition the new Yahoo! looks way too much like the old Yahoo!.

But while this stock built a reputation for being a dot-com era dinosaur, investors neglected the fact that this stock has had a really attractive business all along. Despite some big missteps, Yahoo! remains one of the biggest destinations on the internet, and all those eyes on its Web sites contribute to hefty net profit margins from operations.

Yahoo!'s cash position has been a blessing and a curse for investors in the last few years. A brilliant investment in Alibaba has contributed to a cash and investment position of more than $7.6 billion at last count, covering more than a quarter of YHOO's market cap. While that does help to reduce risk, Yahoo! either needs to figure out internal investments that yield meaningful rates of return, or give the money back to shareholders.

Just don't underestimate this stock's potential in 2013; Yahoo! may be a dinosaur, but at least it's a T-Rex.

Kroger

$20 billion grocery store chain Kroger (KR) has seen some surprising upside of its own this year: shares have climbed 50% since the first trading day in January. That performance may seem surprising for a 130 year old large-cap grocer, but this stock's rally has been predicated on out-executing the competition for years now.

Best Gold Companies To Buy For 2014

Kroger operates more than 2,400 supermarkets, 750 convenience stores, and 325 jewelry stores under a handful of popular brands. Those marquees include Ralphs, Fred Meyer, Kwik Shop and Turkey Hill in addition to the firm's namesake chain. An ongoing acquisition plan for Harris Teeter stands to add another powerhouse grocery chain to KR's portfolio this year, adding even more separation between Kroger and its most well known competitors.

The grocery business is characterized by paper thin margins and zero competitive advantages. Kroger changed that by offering fuel as loss leader to pull in customers at around half of its locations. While many peers have copied that strategy, the existence of gas infrastructure at such a large percentage of its locations gives Kroger some built-in advantages. In many cases, rivals don't have the option to add fuel to as many of their own stores. From there, huge private label presence on Kroger's shelves help spur bigger margins than the rest of the industry.

With rising analyst sentiment in Kroger this week, we're betting on shares.

Green Mountain Coffee Roasters

As badly as short sellers want to hate on Green Mountain Coffee Roasters (GMCR), betting against the multiyear rally in this $12.7 billion beverage stock has been about as wise as eating from a box with a skull and crossbones on it. And as a bull market continues to lift all ships, Green Mountain's ship is going to keep floating above the others.

Green Mountain owns Keurig, the brand of beverage brewers that use self-contained K-Cups to make coffee, teas, and other drinks. While Keurig's "fad" status has certainly helped tip the deck against GMCR, the fact remains that the firm has done most of the hard work in getting Keurig machines accepted by consumers. With brewers essentially ubiquitous at this point, the firm is able to make money on its cash cow: the K-Cups.

Keurig's individual-serving cups have big margins and a big installed base. With huge convenience and the relatively large sunk cost that consumers have put into their Keurig machines, it's a sticky business with big switching costs. Consumers who buy a Keurig are much less likely to spend the money on a competing brand of proprietary coffee pods.

I've said before that GMCR is far from cheap right now. But its momentum trajectory is showing few signs of fizzling out, especially as direct competitors such as Starbucks (SBUX) continue to sell K-Cups of their own. Don't bet against GMCR in September – buy this Rocket Stock instead.

Polaris Industries

Last, but certainly not least, is Polaris Industries (PII), the power sports equipment manufacturer. In short, Polaris makes toys -- toys for grown ups. The firm's namesake brand manufactures ATVs and snowmobiles, and it also owns storied motorcycle brands Victory and Indian, and GEM light electric vehicles. With more than 1,650 dealers in North American alone, Polaris owns a significant chunk of the power sports industry, churning out more than $3.2 billion in sales last year, and net profit margins approaching 10%.

Economic recovery is fueling a boom market for Polaris' vehicles, especially now that rates continue to hover near their historic floor. Borrowing money is cheap, and that means that financing a motorcycle or ATV has become more affordable than ever before. With relatively low acquisition costs, buying one of Polaris' machines is a lot easier to stomach than many other recreation options, and so sales continue to look attractive this year.

Financially, Polaris is in solid shape. The firm carries nearly $280 million in cash and investments on its balance sheet, easily offsetting $107.6 million in total debt. PII is well positioned to run over any economic hiccups in the foreseeable future -- and with rising analyst sentiment in shares, we're betting on this name this week.

To see all of this week's Rocket Stocks in action, check out the Rocket Stocks portfolio at Stockpickr.

-- Written by Jonas Elmerraji in Baltimore.

Saturday, September 14, 2013

Top 10 Energy Companies To Buy Right Now

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

What: Shares of Willbros Group (NYSE: WG  ) were shining today, gaining as much as 16% after the energy services firm boosted its profit estimate for the current quarter.

So what: The company had previously forecast an operating loss of $4 million to $7 million but now says it expects an operating profit of $3 million to $7 million, citing improved performance from its utility transmission and distribution segment as well as a mild improvement from its oil and gas division. Willbros said storm restoration work in Texas and Oklahoma helped expand margins in the utility segment, and said it had found a potential buyer for its Hawkeye business, which it put up for sale last year.

Top 10 Energy Companies To Buy Right Now: GMX Resources Inc.(GMXR)

GMX Resources Inc. operates as an independent oil and natural gas exploration and production company primarily in the United States. It has interests in two oil shale resources, including the Williston Basin that targets the Bakken/Sanish-Three Forks in North Dakota/Montana; and the DJ Basin, which targets the Niobrara Formation in Wyoming. The company also holds interests in natural gas resources comprising the Haynesville/Bossier Formation and the Cotton Valley Sand Formation in the East Texas Basin. As of December 31, 2010, it had proved reserves of 319.3 billion cubic feet of natural gas equivalent; and 264 net producing wells in east Texas. The company was founded in 1998 and is headquartered in Oklahoma City, Oklahoma.

Advisors' Opinion:
  • [By Putnam]

    GMX Resources Inc. is a pure play independent oil and natural gas exploration and production company. The Company is focused on the development of Haynesville/Bossier Shale and Cotton Valley Sands in the Sabine Uplift of the Carthage, North Field of Harrison and Panola counties of East Texas. Its EPS forecast for the current year is 0.19 and next year is 0.55. According to consensus estimates, its topline is expected to grow 43.52% current year and 41.52% next year. It is trading at a forward P/E of 11.04. Out of 15 analysts covering the company, six are positive and have buy recommendations, two have sell ratings and seven have hold ratings.

Top 10 Energy Companies To Buy Right Now: LDK Solar Co. Ltd.(LDK)

LDK Solar Co., Ltd., together with its subsidiaries, engages in the design, development, manufacture, and marketing of photovoltaic (PV) products; and development of power plant projects. It offers solar-grade and semiconductor-grade polysilicon; and multicrystalline and monocrystalline solar wafers to the manufacturers of solar cells and solar modules. The company also provides wafer processing services to monocrystalline and multicrystalline solar cell and module manufacturers; and sells silicon materials, such as ingots and polysilicon scraps. In addition, it engages in the production and sale of solar cells and modules to developers, distributors, and system integrators; and design and development of solar power projects in Europe, the United States, and China, as well as provides engineering, procurement, and construction services. LDK Solar Co., Ltd. operates in Europe, the Asia Pacific, and North America. The company was founded in 2005 and is based in Xinyu City, t he People?s Republic of China.

Advisors' Opinion:
  • [By Roberto Pedone]

    One under-$10 name that's starting to move within range of triggering a near-term breakout trade is LDK Solar (LDK), a vertically integrated manufacturer of PV products for polysilicon, wafers, cells, modules, systems, power projects and solutions. This stock is off to a decent start in 2013, with shares up 13.1%.

    If you take a look at the chart for LDK Solar, you'll notice that this stock has been trending range bound and consolidating for the last month and change, with shares moving between $1.42 on the downside and $2 a share on the upside. Shares of LDK have just started to trend back above its 50-day moving average at $1.55 a share with decent upside volume flows. That move is quickly pushing shares of LDK within range of triggering a near-term breakout trade above a key downtrend line that has acted as resistance for a few months.

    Traders should now look for long-biased trades in LDK if it manages to break out above some near-term overhead resistance levels at $1.78 to $1.83 a share and then once it clears more resistance at $2 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 1.97 million shares. If that breakout triggers soon, then LDK will set up to re-test or possibly take out its next major overhead resistance levels at $2.17 to its 52-week high at $2.32 a share. Any high-volume move above $2.32 to $2.36 will then give LDK a chance to tag $3 to $3.50 a share.

    Traders can look to buy LDK off any weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at its 200-day moving average of $1.46 or at $1.42 a share. One can also buy LDK off strength once it clears those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

  • [By Paul]

    LDK Solar Co., Inc.(NYSE: LDK) closing price in the stock market Tuesday, Jan. 3, was $4.38. LDK is trading 9.48% above its 50 day moving average and -11.82% below its 200 day moving average. LDK is -70.74% below its 52-week high of $14.97 and 71.76% above its 52-week low of $2.55. LDK‘s PE ratio is 6.53 and its market cap is $573.78M.

    LDK Solar Co., Inc. engages in the design, development, manufacture, and marketing of photovoltaic (PV) products; and development of power plant projects together with its subsidiaries. LDK offers solar-grade and semiconductor-grade polysilicon; and multicrystalline and monocrystalline solar wafers to the manufacturers of solar cells and solar modules.

Hot Gold Stocks To Invest In Right Now: Renesola Ltd.(SOL)

ReneSola Ltd, together with its subsidiaries, engages in the manufacture and sale of solar wafers and solar power products. It offers virgin polysilicons, monocrystalline and multicrystalline solar wafers, and photovoltaic cells and modules. The company also provides cell and module processing services. Its products are used in a range of residential, commercial, industrial, and other solar power generation systems. The company sells its solar wafers primarily to solar cell and module manufacturers. It principally operates in Mainland China, Singapore, Taiwan, Hong Kong, Korea, India, Australia, Germany, Italy, Spain, Belgium, France, the Czech Republic, and the United States. The company was founded in 2003 and is based in Jiashan, the People?s Republic of China.

Advisors' Opinion:
  • [By Roberto Pedone]


    One under-$10 name that's starting to move within range of triggering a big breakout trade is ReneSola (SOL), a manufacturer of solar wafers and producer of solar power products based in China. This stock has been on fire so far in 2013, with shares up sharply by 183%.

    If you take a look at the chart for ReneSola, you'll notice that this stock has been uptrending very strong for the last four months and change, with shares soaring higher from its low of $1.25 to its recent high of $4.85 a share. During that uptrend, shares of SOL have been consistently making higher lows and higher highs, which is bullish technical price action. Shares of SOL have pulled back a bit during the last few weeks, with the stock coming off that high of $4.85 to its recent low of $3.52 a share. This stock has now started to bounce off that $3.52 low and it's quickly moving within range of triggering a big breakout trade.

    Traders should now look for long-biased trades in SOL if it manages to break out above some near-term overhead resistance levels at $4.25 to $4.50 a share and then once it clears its 52-week high at $4.85 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 2.09 million shares. If that breakout triggers soon, then SOL will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $7 to $8 a share.

    Traders can look to buy SOL off any weakness to anticipate that breakout and simply use a stop that sits right below its 50-day moving average of $3.31 a share. One can also buy SOL off strength once it takes out those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

  • [By Martin]

    Renesola Ltd.(NYSE: SOL) closing price in the stock market Tuesday, Jan. 3, was $1.61. SOL is trading -6.98% below its 50 day moving average and -45.69% below its 200 day moving average. SOL is -87.85% below its 52-week high of $13.25 and 11.03% above its 52-week low of $1.45. SOL‘s PE ratio is 1.56 and its market cap is $139.77M.

    Renesola Ltd. engages in the manufacture and sale of solar wafers and solar power products together with its subsidiaries. SOL offers virgin polysilicons, monocrystalline and multicrystalline solar wafers, and photovoltaic cells and modules.

Top 10 Energy Companies To Buy Right Now: HRT Participacoes em Petroleo SA (HRTPY)

HRT Participacoes em Petroleo SA, formerly BN 16 Participacoes Ltda, is a Brazil-based holding company engaged in the oil and gas industry. The Company is primarily involved in the exploration and production (E&P) of oil and natural gas in Brazil and Namibia. Through its subsidiaries, it is active in the geophysical and geological research, exploration, development, production, import, export and sale of oil and natural gas, as well as in the provision of air logistics services in transporting people and equipment related to oil and gas activities in the exploratory campaign in the Solimoes Basin. As of December 31, 2011, the Company had seven subsidiaries, including Integrated Petroleum Expertise Company Servicos em Petroleo Ltda (IPEX), HRT O&G Exploracao e Producao de Petroleo Ltda, HRT Netherlands BV, HRT America Inc, HRT Africa, HRT Canada Inc and Air Amazonia Servicos Aereos Ltda.

Top 10 Energy Companies To Buy Right Now: EMCORE Corporation(EMKR)

EMCORE Corporation, together with its subsidiaries, provides compound semiconductor-based products for the broadband, fiber optics, satellite, and solar power markets. The company operates in two segments, Fiber Optics and Photovoltaics. The Fiber Optics segment offers broadband products, including cable television, fiber-to-the-premises, satellite communication, video transport, and defense and homeland security products; and digital products comprising telecom optical, enterprise, laser/photodetector component, parallel optical transceiver and cable, and fiber channel transceiver products. This segment?s products enable information that is encoded on light signals to be transmitted, routed, and received in communication systems and networks. The Photovoltaics segment provides gallium arsenide (GaAs) multi-junction solar cells, covered interconnected cells, and solar panels for satellite applications; and concentrating photovoltaic (CPV) power systems for commercial and utility scale solar applications, as well as GaAs solar cells and integrated CPV components for use in other solar power concentrator systems. The company markets its products through its direct sales force, external sales representatives and distributors, and application engineers worldwide. EMCORE Corporation was founded in 1984 and is headquartered in Albuquerque, New Mexico.

Advisors' Opinion:
  • [By CRWE]

    EMCORE Corporation (Nasdaq:EMKR), a leading provider of compound semiconductor-based components and subsystems for the fiber optic and solar power markets, reported that it is ramping production and shipping the Opticomm-EMCORE NEXTGEN OTP-1DVI2A1SU insert cards for the Optiva platform.

  • [By Bill]

    EMCORE Corp.(NASDAQ: EMKR) closing price in the stock market Tuesday, Jan. 3, was $0.951. EMKR is trading 2.16% above its 50 day moving average and -39.24% below its 200 day moving average. EMKR is -70.74% below its 52-week high of $3.25 and 15.98% above its 52-week low of $0.82. EMKR‘s PE ratio is N/A and its market cap is $89.46M .

    EMCORE Corp. provides compound semiconductor-based products for the broadband, fiber optics, space, and solar power markets. The company operates in two segments, Fiber Optics and Photovoltaics.

Top 10 Energy Companies To Buy Right Now: Caiterra International Energy Corp (CTI)

CaiTerra International Energy Corporation (Caiterra), formerly Cyterra Capital Corp., is a Canada-based company is engaged in the exploration and development of oil and gas properties. The Company�� project includes Faust, Amadou and Lac La Biche. On March 9, 2012, the Company completed its qualifying transaction with West Pacific Petroleum Inc. (WPP), pursuant to which the Company acquired all of WPP�� working interests in certain petroleum and natural gas leases and an oil sand lease in the Lac La Biche and Amadou Projects located in Alberta, Canada and certain other assets (the QT Oil and Gas Properties) from West Pacific Petroleum Inc. (WPP). On December 17, 2012 the Company acquired the Faust Property located just north of the Swan Hills oil field and south of the Town of Slave Lake.

Top 10 Energy Companies To Buy Right Now: Williams Partners L.P.(WPZ)

Williams Partners L.P. focuses on natural gas transportation, gathering, treating and processing, storage, natural gas liquid fractionation, and oil transportation activities in the United States. The company operates in two segments, Gas Pipeline, and Midstream Gas and Liquids. The Gas Pipeline segment owns and operates approximately 13,900 miles of pipelines with annual throughput of approximately 2,700 trillion British thermal units of natural gas and delivery capacity of approximately 13 million dekatherms of gas. This segment also owns interests in joint venture interstate and intrastate natural gas pipeline systems. The Midstream Gas and Liquids segment includes natural gas gathering, processing, and treating facilities; and crude oil gathering and transportation facilities that serve the producing basins in Colorado, New Mexico, Wyoming, the Gulf of Mexico, and Pennsylvania. Williams Partners GP LLC serves as the general partner of the company. Williams Partners L.P . was founded in 2005 and is based in Tulsa, Oklahoma.

Advisors' Opinion:
  • [By Louis Navellier]

    Williams Partners (NYSE:WPZ) is an integrated natural gas company that is involved with exploration and production, midstream gathering and processing and interstate natural gas transportation. In the last nine-and-a-half months, WPZ stock has gained 18% since January 2011.

Top 10 Energy Companies To Buy Right Now: SolarCity Corp (SCTY.W)

SolarCity Corporation (SolarCity), incorporated on June 21, 2006, is engaged in the design, installation and sale or lease of solar energy systems to residential and commercial customers, or sale of electricity generated by solar energy systems to customers. The Company sells renewable energy to its customers. As of December 12, 2012, the Company served customers in 14 states. The Company�� residential customers are individual homeowners and homeowners. The Company�� commercial customers represent several business sectors, including technology, retail, manufacturing, agriculture, nonprofit and houses of worship. The Company has installed solar energy systems for several government entities, including the the United States Air Force, Army, Marines and Navy, and the Department of Homeland Security. The Company purchases major components, such as solar panels and inverters directly from multiple manufacturers. As of September 30, 2012, its primary solar panel suppliers were Trina Solar Limited, Yingli Green Energy Holding Company Limited and Kyocera Solar, Inc., among others, and its primary inverter suppliers were Power-One, Inc., SMA Solar Technology, AG, Schneider Electric SA, Fronius International GmbH and SolarEdge Technologies, among others.

Solar Energy Products

The Company�� solar energy products include Solar Energy Systems, and SolarLease and power purchase agreement finance products. The major components of its solar energy systems include solar panels that convert sunlight into electrical current. Most of its solar energy customers choose to purchase energy from the Company pursuant to one of two payment structures: a SolarLease or a power purchase agreement. In both structures, the Company charges customers a monthly fee for the power produced by its solar energy systems. In the lease structure, this monthly payment is pre-determined and includes a production guarantee. In the power purchase agreem ent structure, the Company charges customers a fee per kilo! w! att hour based on the amount of electricity actually produced by the solar energy system.

Energy Efficiency Products and Services

The Company�� energy efficiency products and services include home energy evaluation and energy efficiency upgrades. The Company sells home energy efficiency evaluations to new solar energy system customers and existing customers. The Company�� energy efficiency upgrade products and services address heating and cooling, air sealing, duct sealing, water heating, insulation, furnaces, weatherization, pool pumps and lighting. As of December 12, 2012, the Company had completed over 13,000 home energy evaluations and performed more than 2,000 energy efficiency upgrades.

Other Energy Products and Services

The Company�� other energy products and services include electric vehicle charging and energy storage. The Company installs electric vehicle (EV) charging equipment that it sources from t hird parties. SolarCity markets EV equipment to residential and commercial customers through retail partnerships with companies, such as The Home Depot, and through EV manufacturers and dealerships, such as its partnership with Tesla Motors, Inc. The Company is developing a battery management system built on its solar energy monitoring communications backbone. As of December 12, 2012, the Company had over 100 energy storage pilot projects under contract. As of December 12, 2012, the Company had sold over 750 charging stations.

Enabling Technologies

The Company�� enabling technologies include SolarBid Sales Management Platform, SolarWorks Customer Management Software, Energy Designer, Home Performance Pro and SolarGuard and PowerGuide Proactive Monitoring Solutions. SolarBid is a sales management platform, which incorporates a database of rate information by utility, sun exposure, roof orientation and a range of other factors to enable a detailed a nalysis and customized graphical presentation of each c! ustom! er! �� sa! vings.

SolarWorks is the software platform the Company uses to track and manage project. Energy Designer is a software application its field engineering auditors use to collect pertinent site-specific design details on a tablet computer. Home Performance Pro is its energy efficiency evaluation platform that incorporates the United States Department of Energy�� Energy Plus simulation engine. Home Performance Pro collects and stores details of a building�� construction and energy use. SolarGuard and PowerGuide provide its customers a view of their home�� or business�� energy generation and consumption.

The Company competes with American Solar Electric, Inc., Astrum Solar, Inc., Petersen Dean, Inc., Real Goods Solar, Inc., REC Solar, Inc., Sungevity, Inc., Trinity Solar, Inc., Verengo, Inc., SunRun Inc. and Ameresco, Inc.

Top 10 Energy Companies To Buy Right Now: Neoprobe Corporation(NEOP)

Neoprobe Corporation, a biomedical company, engages in the development and commercialization of precision diagnostics that enhance patient care and improve patient benefit. The company is developing and commercializing targeted agents aimed at the identification of occult (undetected) disease. Neoprobe?s two lead radiopharmaceutical agent platforms, Lymphoseek and RIGScan are intended to help surgeons better identify and treat certain types of cancer. Lymphoseek is a diagnostic imaging agent intended for radiolabeling and administration in radiodetection and visualization of the lymphatic system draining the region of injection for delineation of the lymphatic tissue; and RIGScan is an intraoperative biologic targeting agent consisting of a radiolabeled murine monoclonal antibody. The company has a biopharmaceutical development and supply agreement with Laureate Biopharmaceutical Services, Inc. to support the initial evaluation of the viability of the CC49 master working c ell bank, as well as the initial steps in re-validating the commercial production process for the biologic agent used in RIGScan CR. The company was founded in 1983 and is based in Dublin, Ohio.

Advisors' Opinion:
  • [By Putnam]

    Neoprobe Corporation Common St (AMEX:NEOP): This equity had 12,374,458 shares sold short as of Aug 31st, as compared to 11,847,479 on Aug 15th, which represents a change of 526,979 shares, or 4.4%. Days to cover for this company is 17 and average daily trading volume is 745,501.

Top 10 Energy Companies To Buy Right Now: SunPower Corp (SPWR)

SunPower Corporation, incorporated in April 1985, is a vertically integrated solar products and services company that designs, manufactures and delivers solar electric systems worldwide for residential, commercial, and utility-scale power plant customers. The Company operates in two business segments: the Utility and Power Plants (UPP) Segment and the Residential and Commercial (R&C) Segment. The UPP Segment refers to its solar products and systems business, which includes power plant project development and project sales, turn-key engineering, procurement and construction (EPC) services for power plant construction, and power plant operations and maintenance (O&M) services. UPP Segment also sells components, including huge volume of sales of solar panels and mounting systems to third parties, sometimes on a multi-year, firm commitment basis. The R&C Segment focuses on solar equipment sales into the residential and small commercial market through its third-party global dealer network, as well as direct sales and EPC and O&M services in the United States and Europe for rooftop and ground-mounted solar power systems for the new homes, commercial and public sectors. In May 2012, K Road Power Holdings, LLC (K Road) and SunPower Corp announced that K Road acquired the 25-megawatt (AC) McHenry Solar Project, which the Company designed. In January 2013, the Company MidAmerican Solar acquired the 579-megawatt Antelope Valley Solar Projects (AVSP), two co-located projects in Kern and Los Angeles Counties in Calif from SunPower.

In January 2012, the Company completed its acquisition of the wholly owned Total SA subsidiary Tenesol SA, a global solar provider. In September 2011, NRG Energy Inc. acquired 250 megawatt California Valley Solar Ranch (CVSR) project from SunPower. In June 2011, the Company introduced SunPower E20 Series Solar Panel (E20) series. The Company�� customers in its UPP Segment include investors, financial institutions, project developers, electric utilities, and independent po! wer producers in the United States, Europe, and Asia. In its R&C Segment, the Company primarily sells its products to commercial and governmental entities, production home builders, and its third-party global dealer network serving residential owners and small commercial building owners.

Solar Cells

The A-300 solar cell is a silicon solar cell with a specified power value of 3.1 watts and a conversion efficiency averaging between 20.0% and 21.5%. The Company�� A-330 solar cell delivers 3.3 watts with a conversion efficiency of up to 22.7%.

Solar Panels

The Company�� SunPower solar panel series include solutions, such as SunPower E18 Series Solar Panel (E18), SunPower E19 Series Solar Panel (E19), and SunPower E20 Series Solar Panel (E20). Available in a 72-cell configuration, the E18 series panel uses its A300 all back-contact solar cells and delivers a total panel conversion of 18.1% to 18.5%. Available in a 72, 96, and 128-cell configuration, the E19 series panel uses its A300 all back-contact solar cells and delivers total panel conversion of 19.3% to 19.7%. Available in a 96-cell configuration, the E20 series panel uses its A-330 all back-contact solar cells and delivers total panel conversion of up to 20.1%.

Inverters

The Company sells a line of SunPower branded inverters. The inverters are manufactured by third parties.

Roof Mounted Products

The roof mounted products include SunPower T-5 Solar Roof Tile System (T-5), SunPower T-10 Commercial Solar Roof Tiles (T-10), PowerGuard Roof System (PowerGuard) and SunTile Roof Integrated System (SunTile). Tilted at a 5-degree angle, the T-5 roof tile is a non-penetrating photovoltaic rooftop product that combines solar panel, frame, and mounting system. The T-5 solar roof tile systems are primarily sold through its R&C Segment.

Tilted at a 10-degree angle, the T-10 commercial solar roof tiles is a non-penetrating panel interlock system! . Dependi! ng on geographical location and local climate conditions, this can allow for the generation of up to 10% more annual energy output than traditional flat roof-mounted systems. The T-10 commercial solar roof tile is primarily sold through its R&C Segment.

PowerGuard is a non-penetrating roof-mounted solar panel that delivers electricity while insulating and protecting the roof membrane from ultraviolet rays and thermal degradation. The PowerGuard roof system is primarily sold through its R&C Segment. SunTile solar shingles are designed to replace multiple types of roof panels, including the common concrete flat, low and high profile S tile and composition shingles. The SunTile roof system is also sold through its R&C Segment.

Ground Mounted Products

The ground mounted products include SunPower T-0 Tracker (T-0) & SunPower T-20 Tracker (T-20), SunPower Oasis Power Plant (SunPower Oasis), SunPower C-7 Tracker (C-7), and Fixed Tilt and SunPower Tracker Systems for Parking Structures. The T-0 and T-20 trackers are single-axis tracking systems that automatically pivot solar panels to track the sun's movement throughout the day. This tracking feature increases the amount of sunlight that is captured and converted into energy by up to 30% over flat or fixed-tilt systems, depending on geographic location and local climate conditions. A single motor and drive mechanism can control 10 to 20 rows, or more than 200 kilo watts of solar panels. The T-0 and T-20 trackers have been installed in a range of geographical markets principally in the United States, Germany, Italy, Portugal, South Korea, and Spain. The T-0 and T-20 trackers are sold through both its UPP and R&C Segments.

The Oasis is a solar power block that scales from 1 mega watts distributed installations to central station power plants. Oasis provides a way to deploy utility-scale solar power systems, streaming the development and construction process while optimizing the use of available land. The SunPow! er Oasis ! is sold through its UPP Segment. The C-7 combines a horizontal single-axis tracker with rows of parabolic mirrors, reflecting light onto linear arrays of its solar cells. The C-7 tracker is sold through its UPP Segment. SunPower has developed designs for solar power systems for parking structures in multiple configurations. These dual-use systems typically incorporate solar panels into the roof of a carport or similar structure to deliver onsite solar power while providing shade and protection. They are suited for parking lots adjacent to facilities. Fixed Tilt and SunPower Tracker Systems for parking structures are sold through both its UPP and R&C Segments.

Other System Offerings

SunPower�� metal roof system is designed for sloped-metal roof buildings, which are used in some winery and warehouse applications. This solar power system is designed for rapid installation. It also offers other architectural products, such as day lighting with translucent solar panels.

Balance of System Components

Balance of system components are components of a solar power system other than the solar panels. It includes SunPower branded inverters, mounting structures, charge controllers, grid interconnection equipment, and other devices depending on the specific requirements of a particular system and project.

The Company competes with Canadian Solar Inc., JA Solar Holdings Co., Kyocera Corporation, Mitsubishi Corporation, Q-Cells AG, Sanyo Corporation, Sharp Corporation, SolarCity Corporation, SolarWorld AG, Sungevity, Inc., SunRun, Inc., Suntech Power Holdings Co. Ltd., Trina Solar Ltd., Yingli Green Energy Holding Co. Ltd., Abengoa Solar S.A., Acconia Energia S.A., AES Solar Energy Ltd., Chevron Energy Solutions, EDF Energy plc, First Solar Inc., NextEra Energy, Inc., OPDE Group, NRG Energy, Inc., Recurrent Energy, Sempra Energy, Skyline Solar, Inc., Solargen Energy, Inc., Solaria Corporation, SolFocus, Inc., SunEdison and Tenaska, Inc.

Advisors' Opinion:
  • [By Dan Moskowitz]

    SunPower has enormous potential, and it�� always good to be ahead of the curve, but there are substantial risks, especially considering that the stock market is at all-time highs, and the Bernake will eventually have to unwind monetary stimulus and raise in interest rates. When this occurs, there won�� be a flight to solar stocks.

  • [By Victor Mora]

    SunPower is attempting to fuel the world with an alternative energy source through solar technology. The stock has seen a large decline over the last few years but is now attempting to reverse this trend and shoot higher. Over the last four quarters, earnings have improved while revenue figures have been on the rise, but investors have clearly expected more from the company. Relative to its peers and sector, SunPower has been a year-to-date performance leader. Look for SunPower to OUTPERFORM.

Tuesday, September 10, 2013

Is Merck the Best Option In This Group?

With shares of Merck (NYSE:MRK) trading at around $47.56, is MRK an OUTPERFORM, WAIT AND SEE or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

C = Catalyst for the Stock's Movement

An FDA panel recently voted for approval of Suvorexant (insomnia). This doesn't guarantee FDA approval, but increase the odds of approval. A decision is expected within a few months. Suvorexant's potential is high. However, it hasn't been all good news for Merck.

Singulair (asthma) Q1 sales declined 75 percent year-over-year due to patent expiration and competition from more affordable generic drugs. Maxalt (migraines) has also seen a drop in sales due to the ever-increasing threat of generics, and Temodar (brain cancer) is likely to see competition from generics. Another negative for Merck was that Phase III studies didn't show enough efficacy for Merck to pursue regulatory filings for Preladenant (Parkinson's). Other negatives include a revenue decline last year, a year-over-year revenue decline of 9 percent last quarter, a year-over-year earnings decline of 8.30 percent last quarter, and weak guidance.

In order to satisfy shareholders, or in order to at least keep them tame, Merck recently announced that it will repurchase $7.5 billion worth of shares through May 2014. This is in addition to Merck yielding 3.60 percent. By comparison, GlaxoSmithKline (NYSE:GSK) currently yields 4.30 percent, and Pfizer (NYSE:PFE) currently yields 3.40 percent.

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While GlaxoSmithKline offers the highest yield, it also has a debt-to-equity ratio of 2.54, which is well above the industry average of 0.40. This has the potential to lead to future problems as debt becomes more expensive. Merck has a debt-to-equity ratio of 0.37, and Pfizer has a debt-to-equity ratio of 0.49. Therefore, as far as this article is concerned, the competition has been reduced to two.

Sticking with the competitive theme, Merck is trading at 24 times earnings and has a profit margin of 13.04 percent whereas Pfizer is trading at 14 times earnings and has a profit margin of 26.95 percent. Cash flow is strong for both companies. It should also be noted that both have a short position of 0.80 percent, which is minuscule. Shorts don't want to get involved with strong and well-run companies that have future potential. As far as pipelines go, they’re difficult to evaluate because they’re more of a subjective matter. For example, you can find analyst opinions that state Merck has a strong pipeline, and you can find analyst opinions that state Merck has a weak pipeline.

Let's take a look at some important numbers prior to forming an opinion on this stock.

T = Technicals Are Strong

Merck has been a steady performer over the past three years. However, Pfizer has been the strongest performer of the group over there-year and one-year time frames.

1 Month Year-To-Date 1 Year 3 Year
MRK 3.09% 16.82% 26.84% 52.89%
GSK 1.86% 24.13% 22.09% 76.22%
PFE 0.21% 16.72% 34.34% 109.5%

 

E = Equity to Debt Ratio Is Normal

The debt-to-equity ratio for Merck is close to the industry average of 0.40.

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Debt-To-Equity Cash Long-Term Debt
MRK 0.37 16.02B 20.82B
GSK 2.54 6.29B 31.06B
PFE 0.49 35.41B 40.40B

E = Earnings Have Been Inconsistent

Merck is unique in the sense that earnings have declined since the difficult years of 2008 and 2009. Revenue has increased since that time, but revenue declined in 2012. The rise of generics has played a role.

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 23,850 27,428 45,987 48,047 47,267
Diluted EPS ($) 3.64 5.65 0.28 2.02 2.16

Looking at the last quarter on a year-over-year basis, revenue has declined 9 percent, and earnings have declined 8.30 percent.

Quarter Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012 Mar. 31, 2013
Revenue ($) in millions 11,731 12,311 11,488 11,738 10,671
Diluted EPS ($) 0.56 0.58 0.56 0.46 0.52

Now let's take a look at the next page for the Conclusion. Is this stock an OUTPERFORM, a WAIT AND SEE, or a STAY AWAY?

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Conclusion

With competition from generics, revenue declines, and weak guidance, Merck isn't the ideal investment candidate at the moment. Pfizer offers a better valuation, its profit margin of 26.95 percent demonstrates better efficiency, and it has outperformed Merck over the past three years. This pattern should continue.

Monday, September 9, 2013

What Makes 3M Special?

With shares of 3M Company (NYSE:MMM) trading at around $110.61, is MMM an OUTPERFORM, WAIT AND SEE or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

C = Catalyst for the Stock's Movement

The question in the title can be answered in one word: innovation. 3M is one of the most innovative companies on the planet, and that has been the case for a long time. For example, when Neil Armstrong took that one small step for man, the rubber sole on his boot was made by 3M. Therefore, it can be said that 3M was the first company to walk on the moon.

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Since that time, 3M has only increased its innovation. Most readers, if not all readers, will be familiar with at least one of their brands. These brands include Ace, Common, Filtrete, Futuro, Nexcare, Post-It, Scotch, Scotch-Brite, ScotchBlue, Scotchgard, and Tegaderm. 3M has also recently developed Scotch Recycled Corrugate Tape 3072, which is industrial tape that can be used for packaging corrugated boxes.

Sticking with the innovation theme, 3M has consistently delivered over the past several years. For instance, when the Chilean miners were trapped in 2010, a 3M mobile projector was used to help. Another example of impressive innovation by 3M allows an astronaut's heartbeat to be heard from earth. Also thanks to 3M, someone can receive a medical diagnosis from anywhere (opposed to a doctor's office) with a Littmann Stethoscope.

The ultimate point here is that consistent innovation means there will always be potential for growth. As an investor, that should be comforting. Yes, the stock was hit during the financial crisis, but it wasn't hit as hard as most stocks throughout the broader market. And it turned out to be a phenomenal buying opportunity. In other words, any significant drops in the stock price might present an opportunity to add to a position. And let's not forget the 2.30 percent yield. Not a bad bonus.

In regards to company culture, 71 percent of employees would recommend the company to a friend, and 94 percent of employees approve of CEO Inge G. Thulin. These are impressive numbers.

The chart below compares basic fundamentals for 3M, General Electric Company (NYSE:GE), and Johnson & Johnson (NYSE:JNJ).

MMM GE JNJ
Trailing P/E 17.45 17.51 23.01
Forward P/E 15.07 12.99 14.63
Profit Margin 14.80% 9.71% 15.22%
ROE 25.70% 12.17% 15.76%
Operating Cash Flow 5.47B 29.48B 14.88B
Dividend Yield 2.30% 3.30% 3.10%
Short Position 2.00% 0.90% 2.60%

Let's take a look at some more important numbers prior to forming an opinion on this stock.

T = Technicals Are Strong

3M has been a steady performer for decades.

1 Month Year-To-Date 1 Year 3 Year
MMM 3.30% 20.71% 37.04% 52.64%
GE 5.14% 13.98% 32.33% 59.11%
JNJ -0.26% 22.98% 42.06% 57.83%

At $110.61, 3M is trading above its averages.

50-Day SMA 108.41
200-Day SMA 101.63
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E = Equity to Debt Ratio Is Strong

The debt-to-equity ratio for 3M is stronger than the industry average of 1.10.

Debt-To-Equity Cash Long-Term Debt
MMM 0.32 4.38B 5.94B
GE 3.08 89.78B 397.41B
JNJ 0.24 21.67B 15.89B

E = Earnings Have Been Steady

It might sound repetitive, but steady is the name of the game for 3M. Savvy investors would want nothing else. You might not make 100 percent in six months like some popular growth stocks, but you don’t have to worry about a severe gap down overnight, either.

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 25,269 23,123 26,662 29,611 29,904
Diluted EPS ($) 4.89 4.52 5.63 5.96 6.32

Looking at the last quarter on a year-over-year basis, revenue and earnings have improved. Revenue and earnings also improved on a sequential basis.

Quarter Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012 Mar. 31, 2013
Revenue ($) in millions 7,486 7,534 7,497 7,387 7,634
Diluted EPS ($) 1.59 1.66 1.65 1.41 1.61

Now let's take a look at the next page for the Conclusion. Is this stock an OUTPERFORM, a WAIT AND SEE, or a STAY AWAY?

Conclusion

3M has strong margins, solid cash flow, quality debt management, a solid company culture, superb innovation, and it tends to focus on the bottom line. Investors looking for a steady, dividend-paying stock for the long haul should consider 3M.

Sunday, September 8, 2013

Will Amazon Surge Higher?

With shares of Amazon (NASDAQ:AMZN) trading around $274, is AMZN an OUTPERFORM, WAIT AND SEE or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Amazon serves consumers through its retail websites and focus on selection, price, and convenience. The company also manufactures and sells Kindle devices. It offers programs that enable sellers to sell their products on its websites, their own branded websites, fulfill orders through them, and programs that allow authors, musicians, filmmakers, app developers, and others to publish and sell content. Online commerce has been on the rise because of the convenience, efficiency, and relatively low prices offered. Amazon is a leader in the Internet commerce space so look for them to continue to see rising profits, as consumers and companies opt for this method of shopping and selling over the standard method.

T = Technicals on the Stock Chart are Strong

Amazon stock has been on a path towards higher prices from a number of years now. The stock is consolidating near all-time high prices so it may need some time before it really gets going. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Amazon is trading above its rising key averages which signal neutral to bullish price action in the near-term.

AMZN

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(Source: Thinkorswim)

Taking a look at the implied volatility (red) and implied volatility skew levels of Amazon options may help determine if investors are bullish, neutral, or bearish.

Implied Volatility (IV)

30-Day IV Percentile

90-Day IV Percentile

Amazon Options

29.05%

83%

82%

What does this mean? This means that investors or traders are buying a very significant amount of call and put options contracts, as compared to the last 30 and 90 trading days.

Put IV Skew

Call IV Skew

July Options

Flat

Average

August Options

Flat

Average

As of today, there is an average demand from call buyers or sellers and low demand by put buyers or high demand by put sellers, all neutral to bullish over the next two months. To summarize, investors are buying a very significant amount of call and put option contracts and are leaning neutral to bullish over the next two months.

On the next page, let’s take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Mixed Quarter-Over-Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Amazon’s stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Amazon look like and more importantly, how did the markets like these numbers?

2013 Q1

2012 Q4

2012 Q3

2012 Q2

Earnings Growth (Y-O-Y)

-35.71%

-43.66%

-528.57%

-97.56%

Revenue Growth (Y-O-Y)

21.88%

22.01%

26.94%

29.47%

Earnings Reaction

-7.24%

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4.76%

6.87%

7.86%

Amazon has seen decreasing earnings and increasing revenue figures over the last four quarters. From these numbers, the markets have mostly been pleased with Amazon’s recent earnings announcements.

P = Excellent Relative Performance Versus Peers and Sector

How has Amazon stock done relative to its peers, eBay (NASDAQ:EBAY), Barnes & Noble (NYSE:BKS), Apple (NASDAQ:AAPL), and sector?

Amazon

eBay

Barnes & Noble

Apple

Sector

Year-to-Date Return

9.53%

-0.60%

22.33%

-21.24%

7.55%

Amazon has been a relative performance leader, year-to-date.

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Conclusion

Amazon provides a platform that links consumers and companies large and small during a time where internet commerce is exploding worldwide. The stock has consistently seen higher prices over the last few years but is now consolidating so it may need time before it gets going. Over the last four quarters, earnings have decreased while revenue has increased which has maintained investors mostly pleased with the company. Relative to its peers and sector, Amazon has been a year-to-date performance leader. Look for Amazon to OUTPERFORM.

Friday, September 6, 2013

Top 10 Financial Stocks To Watch For 2014

Dell (NASDAQ: DELL  ) is on the clock.

Michael Dell's plans to take his struggling computer company private will either materialize of fizzle out on July 18 when shareholder votes will be tallied in consideration of the proposed buyout.

It's been five months since Dell and private equity giant Silver Lake Partners unveiled plans to acquire the company for $13.65 a share in cash.

Dell's front porch was busy with callers for awhile. Blackstone stepped up with a higher offer in March, only to back out a few weeks later. Billionaire investor Carl Icahn began to build up a stake in the company -- proposing that a generous payout would help prop up shareholder value -- but that, too, has been largely dismissed. If Dell's struggling financially now, imagine how poorly it will fare in a leveraged state.

Top 10 Financial Stocks To Watch For 2014: Auburn National Bancorporation Inc.(AUBN)

Auburn National Bancorporation, Inc. operates as a holding company for AuburnBank that offers various banking products and services in east Alabama. The company?s deposit products include checking, savings, and transaction deposit accounts, as well as certificates of deposit, NOW accounts, money market accounts, and time deposits. Its loan portfolio comprises commercial, financial, agricultural, real estate construction, and consumer loans. In addition, the company provides automated teller services; Visa Checkcards, which are debit cards with the Visa logo that work where Visa is accepted, including automated teller machines (ATMs); online banking and bill payment services; and safe deposit boxes. As of December 31, 2009, it operated nine branches in Alabama, as well as three mortgage loan offices in Mountain Brook, Phenix City, and Valley, Alabama; and ATM machines in 13 locations. The company was founded in 1907 and is headquartered in Auburn, Alabama.

Top 10 Financial Stocks To Watch For 2014: Hardy Underwriting Group(HDU.L)

Hardy Underwriting Bermuda Limited, through its subsidiaries, engages in underwriting insurance and reinsurance products worldwide. It underwrites aviation, marine, and a range of non-marine risks on reinsurance and direct basis. The company underwrites airlines, space, and general aviation risks; marine risks specializing in fishing vessels, harbor craft, and loss of hire; and cargo and specie risks covering the transportation and storage of various products and commodities. It also insures jewellers block and fine art, as well as writes for small motor account specializing in classic cars and other niche areas. In addition, the company underwrites the reinsurance of property risks on a proportional and non-proportional basis; and non-marine property risks. Further, it underwrites a range of accounts comprising financial institutions, terrorism, political risks, conveyancing, and accident and health, as well as traditional medical products, kidnap and ransom, and PA catas trophe treaty. The company was founded in 1975 and is based in Hamilton, Bermuda.

Hot Casino Companies To Buy For 2014: Consumer Portfolio Services Inc.(CPSS)

Consumer Portfolio Services, Inc. operates as a specialty finance company in the United States. It engages in purchasing and serving retail automobile contracts originated by franchised automobile dealers and select independent dealers in the sale of new and used automobiles, light trucks, and passenger vans. The company, through its automobile contract purchases, provides indirect financing to dealer customers for borrowers with limited credit histories, low incomes, or past credit problems. It serves as an alternative source of financing for dealers, allowing sales to customers who might not be able to obtain financing. The company also directly finances consumers for vehicle purchases. Consumer Portfolio Services, Inc. provides its automobile contracts through its headquarters and three servicing branches in Virginia, Florida, and Illinois. The company was founded in 1991 and is headquartered in Irvine, California.

Top 10 Financial Stocks To Watch For 2014: Icap Ord 10p(IAP.L)

ICAP plc, together with its subsidiaries, operates as a voice and electronic interdealer broker. The company provides post trade risk and information services. It involves in commodities, credit, electronic and emerging, equities, foreign exchange, futures, interest rates, and equity derivatives markets, as well as in post trade risk services and shipping. The company provides information services that cover real-time, end-of-day, and historical market data products; post-trade processing, portfolio compression, and reconciliation and risk management services; and independent analysis, third party subscription, and education services. It operates primarily in Europe, the Middle East, and Africa, as well as in the Americas, and the Asia Pacific. The company is headquartered in London, the United Kingdom.

Top 10 Financial Stocks To Watch For 2014: Olympia Financial Group Inc (OLY.V)

Olympia Financial Group Inc., through its subsidiary, Olympia Trust Company, operates as a non-deposit taking trust company in Canada. It acts as a trustee and manages self-administered registered plans; acts as a registrar and transfer agent for public companies; administers employee stock purchase plans for corporations; and provides foreign currency exchange services and other trustee services. The company offers corporate and shareholder services, including security holder recordkeeping and transfer services, direct registration system, generic certificate inventory program, security holder meeting and mailing services, Escrow agent services, security holder communication services, initial public offerings, and online issuer reports. Its corporate and shareholder services also comprise disbursing agent for dividend, distribution and interest payments, plan agent for dividend/distribution reinvestment plans and optional cash payment plans, administration of employee inc entive plans, administration of stock option liquidation plan, depository for corporate reorganizations and takeover bids, shareholder rights protection plans, corporate trustee services, and SEDAR filing services. In addition, the company provides self-administered registered plans, which primarily include registered retirement savings plans, tax free savings accounts, and education savings plans; and corporate and personal foreign currency exchange services, such as buy/sell transactions, forward contracts, and market orders. Further, it offers self-insured private health services plans. The company was incorporated in 1994 and is headquartered in Calgary, Canada.

Top 10 Financial Stocks To Watch For 2014: HIGHCROFT INVESTMENTS ORD GBP0.25(HCFT.L)

Highcroft Investments PLC operates as a real estate investment trust that has a portfolio of property and equity investments in the United Kingdom. The company?s portfolio includes commercial property comprising retail outlets, offices, and warehouses; and residential property consisting of single-let houses. Its financial assets include exchange-traded equity investments. The company is based in Kidlington, the United Kingdom.

Top 10 Financial Stocks To Watch For 2014: Envestnet Inc(ENV)

Envestnet, Inc. provides technology-enabled, Web-based investment solutions and services to financial advisors. The company?s technology platform provides financial advisors with a series of integrated services, including risk assessment and selection of investment strategies, asset allocation models, research and due diligence, portfolio construction, proposal generation and paperwork preparation, model management and account rebalancing, account monitoring, customized fee billing, overlay services covering asset allocation, tax management and socially responsible investing, and aggregated multi-custodian performance reporting and communication tools, as well as access to a wide range of leading third-party asset custodians. It also offers Web-based access to a range of technology-enabled investment solutions, including separately managed accounts (SMAs), which allow advisors to offer their investor clients a managed portfolio of securities with a personalized tax basis; unified managed accounts (UMAs) that allow the advisor to use various types of investment vehicles in one account; advisor-directed portfolios, where advisors create, implement, and maintain their own investment portfolio models to address specific client needs; mutual funds and portfolios of exchange-traded funds (ETFs); and access to a range of investment managers and investment strategists. The company was founded in 1999 and is headquartered in Chicago, Illinois.

Advisors' Opinion:
  • [By Harding]

    Envestnet, Inc. is a provider of technology-enabled, Web-based investment solutions and services to financial advisors. The company’s integrated technology platform allows financial advisors to provide their clients with investment solutions and services. Its EPS forecast for the current year is 0.42 and next year is 0.69. According to consensus estimates, its topline is expected to grow 65.45% current year and 21.21% next year. It is trading at a forward P/E of 19.16. Out of six analysts covering the company, five are positive and have buy recommendations and one has a hold rating.

Top 10 Financial Stocks To Watch For 2014: BlackRock Kelso Capital Corporation(BKCC)

BlackRock Kelso Capital Corporation is a private equity firm specializing in investments in middle market companies. The firm invests in all industries. It prefers to invest between $10 million and $50 million and can invest more or less in companies with EBITDA or operating cash flow between $10 million and $50 million. The firm invests in the form of senior and junior secured, unsecured, and subordinated debt securities and loans including cash flow, asset backed, and junior lien facilities and equity securities. It's equity investments can be structured in the form of warrants, preferred stock, common equity co-investments, and direct investments in common stock. The firm debt investments are principally structured to provide for current cash interest and to a lesser extent non-cash interest, particularly with subordinated debt investments, through a pay-in-kind (PIK) feature. It can also make non-control investments. Blackrock Kelso Capital Corporation was founded in 2 005 and is based in New York, New York with an additional office in Chicago, Illinois.

Top 10 Financial Stocks To Watch For 2014: Australia and New Zealand Banking Group Ltd (ANZ.AX)

Australia and New Zealand Banking Group Limited (ANZ) provides a range of banking and financial products and services to retail, small business, corporate and institutional clients. The Company conducts its operations in Australia, New Zealand and the Asia Pacific region. It also operates in a range of other countries, including the United Kingdom and the United States. The Company operates on a divisional structure with Australia, International and Institutional Banking (IIB), New Zealand, and Global Wealth and Private Banking. As of September 30, 2012, the Company had 1,337 branches and other points of representation worldwide, excluding automatic teller machines (ATMs). In September 2012, it sold its remaining shareholding in Visa Inc.

Top 10 Financial Stocks To Watch For 2014: Excellence Investments Ltd (EXCE)

Excellence Investments Ltd is an Israeli company active in the financial sector. The Company offers services to institutional and corporate clients, and high net worth individuals. The Company's services include global and domestic asset management, investment banking and underwriting, foreign exchange trade and advisory services, derivatives trading, brokerage, mutual fund and provident fund management, pension fund management and exchange traded funds (ETF).