Saturday, April 14, 2012

1 Stock Warren Buffett Should Own

The following video is part of our "Motley Fool Conversations" series, in which industrials editor/analyst Brendan Byrnes and analyst Jason Moser discuss topics across the investing world.

Jason and Brendan are heading to Omaha! That�s right, the Berkshire Hathaway annual meeting awaits, and in preparation, Jason asks Brendan to pick a company with characteristics consistent with the Buffett style of investing that could make a great fit for Berkshire's portfolio. Brendan thinks that an underappreciated company -- United Technologies -- could be an ideal fit. The company has a wide moat around it, has demonstrated strong and consistent earnings and ROE for the past decade-plus, and is currently selling for cheap.

Can't make it to Berkshire 2012? The next best thing to attending the annual shareholder meeting is letting us bring the experience to your digital doorstep. You can sign up for our free trip dispatches from Berkshire 2012. We'll even throw in a special free report: "2 Stocks Warren Buffett Wishes He Could Buy." The report features two of our favorite ideas for new money right now. Register here for the free trip dispatches and the special free report.

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Friday, April 13, 2012

U.S. earnings, data to command attention

MARKETWATCH FRONT PAGE

A wealth of U.S. economic data and another week of major earnings will be the markets� focus in the week ahead. See full story.

10 income-paying stocks that beat the crowd

Stock investors no longer have doubts about dividends, and that�s reason for some doubt, as many of these income-producing stocks have been discovered. Better to look for dividends among cash-rich companies that slip under yield-hunters� radar. See full story.

10 income-paying stocks that beat the crowd

Stock investors no longer have doubts about dividends, and that�s reason for some doubt, as many of these income-producing stocks have been discovered. Better to look for dividends among cash-rich companies that slip under yield-hunters� radar. See full story.

How to file your taxes for free

Want to file your taxes for free? You can go with the IRS�s Free File Alliance, or you can just go directly to some of the top tax-prep sites, many of which offer their basic services for free. See full story.

Tax deductions: Enjoy them while you can

Most taxpayers claim the standard deduction, but if ever there was a time to make the most of valuable tax deductions and credits, it might be now, before they disappear. See full story.

MARKETWATCH COMMENTARY

Instead of a! cknowled ging that banks have become a part of government, we keep pretending they are private institutions, writes David Weidner. See full story.

MARKETWATCH PERSONAL FINANCE

What�s the State of Retirement in the U.S.? It�s plagued with problems involving Social Security, contribution rates and more that need fixing now. See full story.

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Inflation seen easing, housing improving

MARKETWATCH FRONT PAGE

In a rear-view look at the economy, reports this week on inflation, housing and manufacturing are likely to show the U.S. remained on a modest upward track at the end of 2011. See full story.

Carnival shares tumble after cruise ship tragedy

After its cruise liner Costa Concordia ran aground and capsized off the Italian coast, killing at least six, shares in Carnival PLC tumble on Monday and the company says it expects a hit of up to $95 million to 2012 earnings. See full story.

Huntsman quits race, endorses Romney

Republican presidential candidate Jon Huntsman Jr. withdraws from the race and backs front-runner Mitt Romney, according to published media reports. See full story.

Romney opens up 21-point lead in South Carolina

Republican rivals ramp up attacks as victory in Jan. 21 primary could pave way for former Massachusetts governor�s presidential nomination. See full story.

U.S. stocks face lowered earnings bar

The U.S. stock market faces the heart of the fourth-quarter earnings season in the days ahead, with the bar substantially lower and Europe�s troubles in play See full story.

MARKETWATCH COMMENTARY

Instead of acknowledging that banks have become a part of government, we keep pretending they are private institutions,! writes David Weidner. See full story.

MARKETWATCH PERSONAL FINANCE

Banks are stepping up the relationship business and if you spurn the advance you�ll probably be slapped with more fees. See full story.

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Powerful Marketing Elements Most Do Not Know

The majority of new and intermediate level online marketers ignore the fundamental marketing principles. All throughout the history of online business, most marketing products are aimed at specific methods. Sure, everybody is in a hurry and only wants to know how to do something. If you want to really learn how to do something right, you need to learn the fundamentals. The best way to ensure your success is learning the right subjects in the way that makes the most sense and provides solid preparation.

Even if you are just beginning your IM journey, make a basic business and marketing plan. It doesn’t matter if you’ve created a product of your own or are an affiliate marketer. Marketing plans are good ideas because they offer you clarity, direction and help you find your purpose. Figure out how you want to promote your product and then outline everything you want to do. It’s good to use for planning out your whole year, to document it and to use it for setting goals and timetables and milestones that you are going to try to reach. All of the big corporations do this because it is a fundamental part of doing incredibly serious business.

Who knows the number of products being sold on the net, and it is easily in the millions. There are too many for any single person to even think about marketing. Affiliate marketers very often will make a bad decision in their choice of affiliate products to promote. True enough, it can be difficult to pick a winning product, but that is just the way things are. You can, however, increase your chance of success by doing very solid research. Your market will always find a way to let you know what they want, and that is what you need to discover.

One of the most common mistake made by net marketers is selling the wrong product. If you lack experience, then you simply need to proceed and get some while making a hard effort. Research cannot be ignored here, and the most productive research is done on the market audience. The smartest appr! oach is taking your cues from the particular market or niche audience as they always reveal all.

Now you know just a bit more about the real story behind marketing and why that should matter to you. If you lack this essential knowledge, then you will be less powerful in all you do with online marketing. Of course you want to get moving and begin making money, but beware the trap of rushing into business. To ignore these warnings is simply taking a risk that you really do not need to take. If you take action, and you should, then you will learn one way or the other – or not and just quit.

If you need to find out more about details mentioned in this post, you should go on Limitless Profits, ClickOpp review and Experts Academy review.

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Apple: Sterne Agee Ups iPad Estimate, Dismisses Rumors of Cuts

Sterne Agee’s Shaw Wu this morning writes that he’s been receiving questions from some Apple (AAPL) investors about rumored cuts in iPad production, inquiries he believes are “misplaced” given that the issue for the iPad appears to be supply of the “Retina Display” being limited, not anything about declines in demand.

“What we are picking up are strong follow-up demand trends for the new iPad despite a very strong start of 3 million units sold in the first few days,” writes Wu.

Wu thinks display supplies may improve, and he’s also unfazed by reports there may have been cuts in work hours at supplier Foxconn:

we anticipate supply to improve over the course of the next few quarters as additional production lines and suppliers are added. In addition, what could also be causing concern is news that Hon Hai Foxconn employees have had their individual working hours cut. This is not due to a slowdown in production but rather conforming to more sound labor practices where there will be a cap on overtime hours per month per employee. This is in an effort to improve working conditions. From our understanding, the irony is that many employees prefer to work more overtime.

Wu actually raised his estimate for iPad sales for fiscal Q2 that ended last month to 12.3 million from a prior 11.5 million. He sees the company selling 63 million units this calendar year, up from a prior 60 million estimate. That should produce revenue of $161.2 billion and EPS of $44.50 this fiscal year, up from a prior $160 billion and $43.80.

Apple shares today are down $1.45 at $626.99.

Fin

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Patio furniture as well as Glider

By : Teak1232607/Teak123

Adirondack items chairs are the most important member in the family regarding outside the house home furniture and gliders. The caliber of wooden made use of to produce or at the time of buying Adirondack items chairs is an essential factor that you need to keep in mind. The best quality regarding wooden spend time at inside manufacturing of the chairs can be teakwood and this will don enormously effectively. Teakwood can be ineffective for you to rainfall, sun, snow or ice indonesian teak wooden furniture. As a result, one can possibly preserve a great Adirondack items easy chair outside your home planned with no worry. However the home furniture gets spoil, every additional home furniture can easily, but you’ll get benefit from long-standing respect and toughness. Teak furniture is generally made use of home furniture that you can have within their lawn due to its great comfort and unique beauty.

Adirondack items home furniture comes in numerous designs indonesian teak wooden furniture. Therefore, one needs to decide on best home furniture which suits the need to have. A a great this sort of home furniture established such as chairs and also a table which will be more economical compared to buying individually. In terms of colored gliders have concerns, one can possibly have a painted material floor for you to equilibrium the garden. You may adore the home furniture when you can pick the best for your home. Suitable area must be readily available for the home furniture, this is most important factor to be considered. One can place it around the house; it’s going to build a luxurious sensation.

Always meticulously scrutinise the actual portions of tightly stitched canning indonesian teak wooden furniture. Canning without places is regarded as more appropriate. Make sure that there should be no damage, splitting or some other deficiency towards the end thighs regarding Adirondack items easy chair. Comfort could be the important factor ! that one should think about whilst getting these types of chairs. One should check out appropriately if it provides suitable rest for your physique or not.

Mainly gliders can be purchased using the collection of 2 or 3 people chair. Select which suits you best by analyzing the need to have and comfort stage. The gorgeous design, the actual classic design and style and also the conventional search from the bamboo home furniture allow it to be appropriate for practically just about any location. Purchasing Adirondack items furniture is an outstanding investment.

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Corning Off 7%: Sees Significant Glass Price Declines

Shares of Corning (GLW) are down $1.02, or almost 7%, at $13.60 after the company this morning reported Q4 revenue slightly ahead of expectations and profit per share in line with estimates, but said prices for glass this quarter continue to fall “significantly.”

Revenue in the three months ended in December rose 7%, year over year, to $1.9 billion, yielding EPS of 33 cents a share. Analysts had been expecting $1.84 billion and 33 cents.

CEO Wendell Weeks said 2011 had seen the company’s best sales performance in its 161-year history.

But he also remarked that “In the fourth quarter, we experienced significant LCD glass price declines due to a confluence of factors in the display market,” and that falling prices in the solar panel industry, a result of lower demand and the drastic decline in pricing of polysilicon materials, had hurt the profit of its Dow Corning venture.

CFO James Flaws remarked Corning had to cut glass prices and clear inventory to adjust to weakening global demand:

We are working closely with our customers to reduce glass prices to help them with their immediate financial strains. To that end, price declines will be significant in the first quarter of 2012, as they were in last year�s fourth quarter. We expect significant double-digit price declines over the cumulative two-quarter period. We are hopeful that our pricing actions, combined with our capacity decisions, will help us get back to more stable price declines in the coming quarters.

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Wells Fargo Doubles Recruiting; Starts a New Ad Campaign

Wells Fargo Advisors Recruited 545 veteran financial advisors in the first eight months of 2008 and has nearly doubled that figure in the same period of 2009, attracting 1,054 experienced FAs.

In addition, the majority -- 80 percent -- of those recruited in 2009 are from the wirehouses, the company says.

Last year, it recruited a total of 766 experienced financial advisors. If it is able to keep recruiting at the current pace, Wells Fargo Advisors could recruit about 1,500 veteran advisors or more.



"The first months of 2009 were extraordinary," says Chip Walker, who has been leading the firm's integration and recruiting efforts. "

There's been an incredible amount of dislocation of advisors in the wirehouse model," Walker says. That has to do with the fact that there "are so many advisors in the wirehouses," whereas, in the past, many of them were with regional firms, he explains.

In addition, many advisors have been "forced to look at their options," Walker adds. "We have had a lot of success recruiting experienced FAs from the wirehouses. There's no question about it."

The average industry length of service of recruited veteran FAs is now close to 16.5 years, he says, vs. about 13.5 in 2004. "The increase in the length of service has spiked dramatically in 2009," Walker explains. Average trailing-12-month fees and commissions have held up well, he adds, and have even increased in some of the brokerage's FA channels.

As of June 30, the Wells Fargo brokerage business included 15,500 financial advisors in the United States and Latin America and 6,100 licensed financial specialists with roughly $1 trillion in client assets. The firm's private client group has 11,600 financial advisors, and the bank group has about 2,800 financial advisors. Most of the remaining FAs are in the firm's independent group.

"We peel the onion," the recruiting executive says, when it comes to looking at potential recruits. Beyond fees and commissions, other factors the brokerage firm looks at include an advisor's ability to grow his or her business before the economic downturn and how well he or she held up during the crisis.

As for the firm's recruiting and sales practices, "We have a consistent, repeatable due diligence process," he explains, that emphasizes putting the client and the client's interests first.

Walker also says Wells Fargo Advisors, formed by Wells Fargo's purchase of Wachovia earlier this year, is now focused on growing as a good operator rather than as a good integrator.

"It's been over two years since we announced the merger with A.G. Edwards," he explains, "and in October, it will be exactly two years ago that the merger was finalized." Some rivals, Walker notes, "are just entering the integration phase."

Through the legacy A.G. Edwards training program, Wells Fargo Advisors is likely to hire 400-500 new advisors in 2010, according to the executive. "This is a great growth lever," Walker notes.

"We can compete with any firm out there," says Walker. "We have the scale and scope of products, services, technology and human capital. We are firmly positioned with a great corporate parent."

Its corporate parent, Wells Fargo, can help advisors grow their business by providing them with "a steady source of leads and referrals," he explains. Plus, the brokerage business has a strong regional culture.

"We feel very good when we look at the number of FAs that we're having conversations with and the responses we get to our multi-channel business model," explains Walker. The combined financial advisory businesses of Wells Fargo and Wachovia unveiled a new national advertising campaign in mid-September, after introducing the Wells Fargo Advisor brand in May.

"The new advertisements allow us to emphasize Wells Fargo Advisors' position as the financial advice arm of Wells Fargo, while reengaging with our clients and demonstrating how our union with Wells Fargo creates a brokerage firm that is even more qualified to help our clients achieve their life goals," says David Monday, executive director of marketing, innovation and growth.

The TV ads can be seen on Sunday morning talk shows, NFL football games and select cable television stations, including CNN, CNBC, Fox News, MSNBC, the Weather and Travel channels and ESPN. In addition, a sponsorship message will appear on select PBS programs. Print and online ads will also appear in various publications and on websites.

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Thursday, April 12, 2012

Higher profit seen at Disney

CHICAGO (MarketWatch) � Walt Disney Co. is expected to post higher profit for the quarter ended Dec. 31, though difficult comparisons with very strong results at ESPN and in home video in the year-earlier period could have an impact.

Disney DIS �is expected to post a fiscal first-quarter profit of 75 cents a share, excluding stock-option payments, on revenue of $11.19 billion, according to a consensus poll of analysts by Thomson Reuters.

In the same period a year earlier, the company earned 68 cents a share on revenue of $10.7 billion.

Click to Play

NFL boasts another super thriller

Ben Cohen talks about the N.Y. Giants' win against the New England Patriots in Super Bowl XLVI. (Photo: Getty Images)

Jeffrey Thomson of Hilliard Lyons said late last year that Disney�s December quarter �is likely to produce the smallest year-over-year increase� of fiscal 2012, �due in part to a tough comparison to the year-ago quarter � a period that included considerable growth at ESPN and benefits of robust DVD sales of �Toy Story 3.��

Across the media and entertainment industries, there is optimism about the advertising market, especially in television, which has held most of its appeal for advertisers as one of the few remaining ways to reach mass audiences.

Ad sales and rates are expected to once again be strong at ESPN, where! NBA gam es, college basketball and various shows around the NFL have led to solid ratings gains, but Disney Chief Executive Bob Iger warned in November that comparisons with the fiscal fourth quarter of 2010 would be difficult.

At ABC, the network�s situation comedies have received solid ratings, though it ranks third among the Big Four networks among adults 18 to 49 years old � the group most desired by advertisers because of its apparent willingness to switch brands.

Analysts will look forward to getting more insights from Iger on the online-video model and its potential effect on traditional TV. Comcast Corp. CMCSA �and Disney unveiled a 10-year deal last month that will make Disney shows available on a wide variety of Comcast platforms, including regular TV, video-on-demand, phones and tablets. Under the deal, Comcast customers can watch Disney shows online that can�t otherwise be viewed on the Web.

Disney executives will probably also be asked what last month�s Italian cruise-ship tragedy could mean for its own cruise ships. The Carnival Cruise-owned Costa Concordia foundered off the coast of Italy, killing at least 16, and observers fear that the incident could be a concern to would-be passengers in the near term.

Disney recently launched its third ship, the Disney Dream, and some analysts speculated that a fourth could be launched in fiscal 2012.

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Slow GDP Growth Sets Stage for Fed's Next Round of Quantitative Easing

The U.S. economy continued to struggle to grow in the third quarter, most likely giving government officials enough cover to pump more liquidity into the financial system to stimulate hiring.

Gross domestic product (GDP), the value of all goods and services produced, increased by 2% in the third quarter, the Commerce Department reported Friday. Economists polled by Dow Jones Newswires were expecting GDP to rise by 2.1% in the July to September period, The Wall Street Journal reported.

The gain was slightly more than the second quarter's 1.7% growth but not enough to revive a moribund job market, according to most economists.

The report was the final important economic indicator the government will release before midterm elections tomorrow and the next meeting of the Federal Reserve Board, which will conclude on Wednesday.

Even though the economists have said the recession ended more than a year ago, the unemployment rate remains stubbornly high at 9.6%. The sluggish economy could sweep Republicans into power in the Congressional elections and push the Fed to resume buying Treasury bonds in a renewed move towards quantitative easing.

The report also showed inflation cooled to 0.8%, well below the Federal Reserve's preferred threshold of 2%, giving policy makers room to pump more money into the world's largest economy.

The GDP report also showed that spending by Americans, accounting for about 70% of demand in the U.S. economy, rose at a 2.6% rate, the best quarter of the recovery that began in June 2009. That's up from a 2.2% increase in the April to June period and 1.9% in the first quarter

"Consumer spending is growing, business demand is still OK," Michael Feroli, chief U.S. economist at JPMorgan Chase & Co. (NYSE: JPM) in New York, told Bloomberg News.

"We need to do better than this to get a real recovery in the labor market. The report leaves everything in place for more asset purchases by the Fed next week." said Feroli, who accurately forecast the gain in household purchases.

Fed Chairman Ben S. Bernanke announced in August the central bank "will do all that it can" to keep the economy growing. Most analysts have said they are expecting policy makers to launch another round of Treasury purchases after the bank bought $1.7 trillion in debt from December 2008 through March.

The U.S. government needs to consider selling assets to boost the economy and reduce the deficit, Mexican billionaire Carlos Slim told Bloomberg Friday.

"Most aggressive monetary and fiscal policies are not enough," Slim said at the George Washington University Global Forum in New York City. "They are temporary measures."

The gain in consumer spending, the biggest since the end of 2006, compared with a 2.5% median forecast in the Bloomberg survey of economists. Spending added 1.8 percentage points to growth.

Even though they are improving, consumer purchases remain well below levels seen following previous U.S. recessions. In the four quarters after the last deep U.S. recession in 1982, consumer spending posted increases of between 4% and 8%.

Americans' wealth and incomes were badly hit by the collapse in home prices and the extremely weak jobs market that followed the financial crisis. GDP growth in the 2.5% percent to 2.8% range is needed to generate enough jobs to meet population growth and keep the jobless rate stable, according to policy makers' forecasts.

The latest report of tepid GDP growth is causing investors to exercise caution heading into next week's midterm elections and breeding uncertainty about the size of economic stimulus measures the Federal Reserve is expected to announce ne! xt week.

Most investors expect the Fed to announce plans to buy U.S. Treasury bonds worth a few hundred billion dollars over several months to keep interest rates low in an effort to spark growth.

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    Quantitative Easing

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Best Wall St. Stocks Today: AMR,NWA,DAL,UAUA


In all industries staying out of Chapter 11 is a badge of honor. The sole exception to that is the airline business where bankruptcy is embedded in the culture like ticks are on the hide of a deer.

One of the few large US airlines which stayed out of a significant financial mess over the last decade is AMR (NYSE: AMR), the parent of American Airlines. In the most perverse sort of way, a Chapter 11 filing four or five years ago might have spared AMR from its current perilous state.

One advantage that Northwest (NYSE: NWA), Delta (NYSE: DAL), and United (NASDAQ: UAUA) have in the present difficult economic environment is that they used their trips through the Chapter 11 process to tear away debt as well as employees which they deemed to be redundant. By several accounts, NWA has saved over $2 billion a year because it went through bankruptcy.

All of the large US airlines are at great financial risk now. Ditto for many of their overseas brethren like Alitalia. Fuel costs are up sharply and passenger revenue and revenue miles are likely to fall as the economy keeps people off commercial carriers The very rich can continue to operate their own fleets of private jets.

The present financial trouble does not strike each large US airline equally. Largely because of an advantage of Chapter 11, NWA has $6 billion in debt to its $3 billion in cash. At AMR, long-term debt totals $15.6 billion compared to its $4.6 billion in cash. Last year, AMR’s EBITDA was only about two times it interest expenses. By paying all of its bills, AMR has been placed at a great disadvantage.

AMR had very modest operating income of $965 million last year compared to its $22.9 billion in revenue. The market has figured out the problem. While shares in other national carriers are off about 50% in the last six months, AMR is off 60%. That is a significant negative premium, a vote saying AMR is in a different bucket than its competitors are.

Aloha Air, ATA, ! and SkyB us all went out of business in the last two weeks. Several carriers reported falling traffic for March. At AMR, domestic traffic fell 5.9% for the month.

At some point soon, the dropping revenue effect and rising expenses cross where interest payments matter.

That will be soon at AMR and it puts the company at great peril.

Douglas A. McIntyre

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Spain, Italy weigh on Europe stocks; banks drop

LONDON (MarketWatch)�European stock markets ended lower in a choppy session as losses for banks weighed on sentiment Tuesday and Spanish and Italian bond yields surged on debt concerns.

The Stoxx Europe 600 index XX:SXXP �closed down 1.1% at 264.29, after trading as high as 267.62 earlier in the day.

In Spain, the IBEX 35 index XX:IBEX �tumbled 2.7% to 7,824.50, while yields on 10-year Spanish government bonds ES:10YR_ESP �rose 9 basis points to 5.41%.

�One cannot say with any conviction that the euro zone is robust or recovering,� said Stephen Pope, managing partner at Spotlight ideas. He further added that bad news from Spain �traveled to the next in line which from the markets perspective is Italy.�

Unemployment in the Spain rose 0.8% in March to 4.75 million, government figures showed. Separately, Spanish Finance Minister Luis de Guindos told The Wall Street Journal in an interview that there was �no margin for error� with the government�s 2012 budget announced last week. He said Spain�s debt-to-gross-domestic-product ratio will likely rise to just over 78% this year from 68.5% in 2011.

Shares of Bankinter SA ES:BKT �fell 5.9%, Banco Santander SA ES:SAN �gave up 4%, while BBVA SA ES:BBVA �< span class="quotePeekContainer">BBVA �shed 4.5%.

Yields were also rising for Italy�s 10-year government bonds IT:10YR_ITA ,�adding 10 basis points to 5.14%. Bond prices move inversely to their yields.

In Milan, the FTSE MIB index XX:FTSEMIB �traded 2% lower at 15,624.23, weighed down by Banca Popolare di Milano SCARL IT:PMI ,�off 6.6%, and Banco Popolare SC IT:BP , down 6.8%.

Click to Play

Gloomy data hit at austerity plans

Dire figures on unemployment and manufacturing activity in the euro-zone's weakest members on Monday highlighted the scale of the currency bloc's economic problems. (Photo: AFP/Getty.)

In the U.S., stocks were mostly lower on Wall Street, pivoting away from gains in the first session of the second quarter. Factory orders for the U.S. rose 1.3% in February, slightly below analysts� estimates, while orders for January were revised down to a 1.1% decline from a prior estimate of a 1.0% drop.

Banks were also lower in France. BNP Paribas SA FR:BNP �gave up 2.8%, Soci�t� G�n�rale SA FR:GLE �lost 3.7%, while Credit Agricol! e SA FR:ACA �fell 3.2%. The CAC 40 index FR:PX1 �closed 1.6% lower at 3,406.78.

And in the U.K., shares of Royal Bank of Scotland Group PLC UK:RBS RBS �declined 3.1% and Barclays PLC UK:BARC BCS �lost 2.6%.

The FTSE 100 index UK:UKX �was 0.6% off at 5,838.34, further pressured by Compass Group PLC UK:CPG , off 1.8%, after Morgan Stanley downgraded the food-service firm to equalweight from overweight. FTSE 100 gives up gains

Bucking the trend, Cairn Energy PLC UK:CNE added 4% outside London�s main index. The oil and gas producer bought Agora Oil & Gas, a private Norwegian company, for $450 million in shares and cash.

In Germany, the DAX 30 index DX:DAX gave up 1.1% to 6,982.28, as Commerzbank AG DE:CBK �shed 3.4% and Deutsche Bank AG DE:DBK ! �lost 3%.

K+S AG DE:SDF also�weighed on the index, down 1.4% after Nomura Securities downgraded the potash producer to reduce from neutral.

Nomura also downgraded Dutch specialty-chemicals firm Akzo Nobel NV NL:AKZA , down 2.7%, to neutral from buy.

Among notable gainers, Novo Nordisk AS DK:NOVOB , up 2.4%, provided the biggest support in Europe as Bank of America Merrill Lynch added the stock to its Europe 1 list. The Danish firm was also among the biggest gainers on Monday after saying it owns 4.71% of its total share capital, as part of a buyback plan. The Danish OMX Copenhagen 20 index rose 1.3% to 465.15.

Swiss biotech firm Lonza Group AG CH:LONN �added 1.6%. The company said Richard Ridinger has been appointed as new chief executive effective May 1.

In Brussels, drug maker UCB SA BE:UCB �added 1.5% after the U.S. Food and Drug Administration approved its Neupro drug for Parkinson�s disease treatment.

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New Wave of Foreclosures Will Sink the Housing Market Rebound

The long-anticipated housing market rebound will hit a speed bump this year as the number of foreclosures rises again.

With January's mammoth $26 billion settlement between five major banks and a group of state attorneys general, foreclosures that had been held up for a year or more are now moving forward.

The spike in foreclosures will arrive just as other data, such as the 5.1% increase in new construction permits reported on Tuesday, had begun to point to a housing market rebound.

"We expect to see foreclosure-related sales increase in 2012, particularly pre-foreclosure sales, as lenders start to more aggressively dispose of distressed assets held up by the mortgage servicing gridlock over the past 18 months," Brandon Moore, CEO of RealtyTrac, told CNN Money.

RealtyTrac's February report showed new default notices - the first step in the foreclosure process - were up 1% from January. Default notices increased dramatically in some states, such as Pennsylvania (35%), Florida (33%) and Indiana (37%).

"The pig is starting to move through the python," Daren Blomquist, director of marketing for RealtyTrac, told CNN Money.

Distressed sales already account for about one out of three U.S. home sales.

The National Association of Realtors (NAR) reported this week that 20% of home sales in February were foreclosures and 14% were short sales.

In a short sale, an owner who owes more on their home than it's worth agrees to sell for less, with the bank agreeing to accept the loss.

That's a far cry from a normal housing market, when distressed sales are less than 5%.

For 2012, RealtyTrac predicts a 25% increase in foreclosures, which will push the portion of distressed sales even higher.

And the picture doesn't figure to improve for quite some time. Paul Dales of Capital Economics estimates as many as an additional 3 million foreclosures over the! next se veral years.

The Uneven Impact on the Housing Market

However, the impact of this wave of foreclosures will be felt unevenly.

All of the states that saw increases in new default notices were those in which the courts play a role in foreclosures. The robo-signing issues addressed in the bank settlement occurred almost exclusively in such states.

States that don't use a judicial foreclosure process didn't accumulate a backlog. In fact, foreclosure activity in those states was down 5% in February from the previous month, and down 23% from the February 2011.

But among the 26 states that use a judicial foreclosure process, activity rose 2% in February from the month before. Foreclosure activity was up 24% from the previous year.

That leaves little room for optimism in hard-hit states such as Florida.

The loosening logjam in distressed sales will increase the downward pressure on prices by adding to inventory and lowering home values. Discounts on foreclosure sales typically range from 20%-30%.

And unlike some other housing market data, home prices haven't shown much evidence of turning upward. Home prices fell 4% in 2011 on top of the 30% decline since the peak of the housing bubble in June 2006.

Given the impact of the bank settlement, the outlook for home prices in 2012 isn't great.

"Enough homes are in the foreclosure pipeline to keep house prices falling through much of this year," Celia Chen, a housing economist atMoody'sAnalytics, told the Los Angeles Times.

While that may be good news for first-time homebuyers, it's terrible news for the 25% of homeowners who owe more on their mortgage than their homes are worth.

And it can only trip up the housing market rebound many analysts have been seeing in other recent housing data.

Construction of single-family homes is 18% above year-ago levels.! Permits for new single-family homes were up 4.9% in February. Existing home sales in February were up 8.8% from last year, and were up in 2011 to 4.26 million, from 4.10 million in 2010.

But none of that will be able to overcome a tsunami of foreclosures, at least for this year.

"While beginning to improve, a strong, sustained recovery in the housing market, especially the important single-family sector, still appears to be a ways off," Steven Wood, president of Insight Economics LLC, told Bloomberg News.


Related Articles and News:
  • Money Morning:
    Has the Housing Market Finally Bottomed?
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  • Money Morning:
    Case-Shiller Home Price Index: U.S. Housing Market Nearing Bottom in 2012
  • Money Morning:
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  • National Association of Realtors:
    February Existing-Home Sales Slip But Up Strongly From a Year Ago
  • Associated Press:
    Foreclosures Pick Up In Many States
  • Washington Post:
    Housing report disappoints as existing-home sales dip in February

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CommVault Rallies As FY Q4 Revenues, Profits Top Street Ests

CommVault (CVLT) shares are trading higher on strong results for its fiscal fourth quarter ended March 31.

The storage systems company reported Q4 revenue of $73.4 million, up 4% sequentially, 31% higher than a year ago, and above the Street at $72.7 million. Non-GAAP profits of 21 cents a share beat the Street by two cents.

The company said that it is “entering fiscal 2011 with excellent momentum, driven by improving market conditions, stronger distribution capabilities and a best-in-class software platform.” CommVault added that it is “well-positioned for continued market share gains and consistent revenue growth.”

CVLT is up $1.59, or 7.6%, to $22.45.

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Diamond Crushed on Prosecutor Report

Diamond Foods (DMND) fell 9.2% after hours as the Wall Street Journal reportedthat prosecutors have opened an investigation into payments the company made to walnut growers. The probe could result in criminal charges, the Journal notes, and could undo the company’s deal to buy Pringles from Procter & Gamble (PG).

The SEC has already been looking into the payments, and will coordinate with the U.S. Attorney’s office in San Francisco. The company is also conducting an internal inquiry.

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Best Gold Stocks To Invest In 2013

Many thanks to all of you who sent me an email with questions about your stocks. While there was no single company that seemed to be on everyone’s mind, there was a clear trend: Gold.

This week, I’ll cover three different precious metals companies to help show you the challenges and opportunities of the industry. But more importantly, I’m going to give you a clear buy signal for what I think is the very best stock to play the gold surge:

Best Gold Stocks To Invest In 2013:Newmont Mining Corporation (Holding Company) (NEM)

 Newmont Mining Corporation, together with its subsidiaries, engages in the acquisition, exploration, and production of gold and copper properties. The company?s assets or operations are located in the United States, Australia, Peru, Indonesia, Ghana, Canada, New Zealand, and Mexico. As of December 31, 2009, it had proven and probable gold reserves of approximately 93.5 million equity ounces and an aggregate land position of approximately 27,500 square miles. The company was founded in 1916 and is headquartered in Greenwood Village, Colorado.

Advisors' Opinion:

  • By Vatalyst At 2011-10-15

    Headquartered near Denver, Colorado, Newmont Mining Corporation was founded in 1921 and publicly traded since 1925. Newmont is one of the world’s largest gold producers and is the only gold company included in the S&P 500 Index and Fortune 500. It has significant interests in the United States, Australia, Peru, Indonesia, Ghana, Canada, New Zealand and Mexico, and high standards in environmental management, health and safety and is part of the Dow Jones Sustainability World Index. NEM returned 11% during the last twelve months with a 45.5% quarterly earnings growth. It has a market capitalization of $26.7 billion and a trailing P/E ratio of 11.9x. NEM is expected to earn $2.24 per share in 2012.

Best Gold Stocks To Invest In 2013:Goldman Sachs Group Inc. (The) (GS)

 The Goldman Sachs Group, Inc., together with its subsidiaries, provides investment banking, securities, and investment management services to corporations, financial institutions, governments, and high-net-worth individuals worldwide. Its Investment Banking segment offers financial advisory, including advisory assignments with respect to mergers and acquisitions, divestitures, corporate defense, risk management, restructurings, and spin-offs; and underwriting securities, loans and other financial instruments, and derivative transactions. The company?s Institutional Client Services segment provides client execution activities, such as fixed income, currency, and commodities client execution related to making markets in interest rate products, credit products, mortgages, currencies, and commodities; and equities related to making markets in equity products, as well as commissions and fees from executing and clearing institutional client transactions on stock, options, and futures exchanges. This segment also engages in the securities services business providing financing, securities lending, and other prime brokerage services to institutional clients, including hedge funds, mutual funds, pension funds, and foundations. Its Investing and Lending segment invests in debt securities, loans, public and private equity securities, real estate, consolidated investment entities, and power generation facilities. This segment also involves in the origination of loans to provide financing to clients. The company?s Investment Management segment provides investment management services and investment products to institutional and individual clients. This segment also offers wealth advisory services, including portfolio management and financial counseling, and brokerage and other transaction services to high-net-worth individuals and families. In addition, it provides global investment research services. The company was founded in 1869 and is headquartered in New York, New York.

Advisors' Opinion:

    By Louis Navellier At 2011-11-17

    Goldman Sachs (NYSE:GS) is known as a bank holding and financial holding company that provides numerous financial services to its clients. GS might be known internationally, but a year-to-date drop of 42% has dragged this bank stock’s name through the mud.

  • By John Reese At 2011-10-20

    Shares in Goldman Sachs are well off their lows of the session, having earlier dropped as much as 6.45% to a 31-month low of $84.27. The stock remains firmly in the red, however, down 2.1% at $88.18 as of 11:30 am in New York. Not surprisingly, options on financial stocks and the XLF are some of the most active today on fears that Europe, and potentially the U.S., may see a double-dip recession. Shares in Goldman Sachs Group have been hammered lower in the past few months, but put activity in the November contract suggests the worst is yet to come for shareholders. It looks like one investor initiated a bearish put spread, buying roughly 2,700 puts at the Nov. $80 strike for an average premium of $7.08 each, and selling around the same number of puts at the lower Nov.$60 strike at an average premium of $2.67 apiece. Net premium paid to initiate the spread amounts to $4.41 per contract, thus positioning the investor to profit should Goldman's shares drop 14.3% from the current price of $88.18 to breach the effective breakeven point on the downside at $75.59 at expiration. Maximum potential profits of $15.59 per contract are available on the bearish position in the event that GS shares plummet 32.0% to trade below $60.00 come expiration in November. Continued turmoil overseas could see the selloff in Goldman's shares worsen in months ahead, which may work to the put-spreader's advantage. Meanwhile, the company is scheduled to report third-quarter earnings ahead of the opening bell on October 18.

  • By Jeff Cox At 2011-9-10

    Goldman Sachs(GS) has helped lead the charge in GDP downgrades, with a forecast of 1 to 1.5 percent growth.

    But Goldman chief economist Jan Hatzius said in a CNBC appearance on Thursday that he also believes things have improved and the firm is likely to change its outlook.

    "We've been working with a 1 percent number for the third quarter, but it now actually looks like it might come in a little stronger than that," he said.

  • By Curtis Hesler At 2011-8-28

    Goldman Sachs' stock has suffered recently from three consecutive quarters of negative earnings growth. The company, however, is the biggest and the best in the investment banking and trading business and has one of the top prime brokerage and managed account businesses in the world. GS is a 5% position for Fairholme, so the shares are likely substantially undervalued on earnings and cash flows. The stock trades for a small premium to a growing book value and their core businesses are not drying up any time soon.

  • By Admin At 2011-8-26

     

    Current Price: $168.80 12-month target: $250

    1. Pickup in M&A and IPO activity will launch the rest of Goldman’s business ventures
    2. Lower compensation expenses due to protests.
    3. Goldman’s fixed-income, currencies, and commodities business should soar.
    4. Healthy balance sheet and advantage over its peers due to its premium brand name.
    5. Goldman is a very attractive opportunity right now and it is undervalued compared to what it should be pegged at.

Best Gold Stocks To Invest In 2013:Iamgold Corporation (IAG)

 IAMGOLD Corporation, together with its subsidiaries, engages in the exploration, development, and production of mineral resource properties worldwide. It primarily explores for gold, silver, zinc, copper, niobium, diamonds, and other metals. The company holds interests in eight operating gold mines, a niobium producer, a diamond royalty, and exploration and development projects located in Africa and the Americas. Its advanced exploration and development projects include the Westwood project in Canada; and the Quimsacocha project, which consists of 3 mining concessions covering an aggregate area of approximately 8,030 hectares in Ecuador. The company was formerly known as IAMGOLD International African Mining Gold Corporation and changed its name to IAMGOLD Corporation in June 1997. IAMGOLD Corporation was founded in 1990 and is based in Toronto, Canada.

Advisors' Opinion:

  • By Christopher Barker At 2011-9-2

    Although I have not shed my long-standing contention that Yamana Gold offers one of the more deeply discounted vehicles for long-term gold exposure, lately my outlook for IAMGOLD has turned particularly bullish. With a looming spin-off of a 10% to 20% stake in the company's reliably profitable Niobec niobium mine, and the recent sale of its interest in a pair of high-cost gold operations in Ghana for $667 million, IAMGOLD finds itself in terrific financial shape to execute an aggressive $1.2 billion expansion imitative at existing operations.

    Considering the $1.6 billion net asset value (after tax) that IAMGOLD recently assessed for the Niobec mine alone, and a presumed hoard of more than $1.2 billion (in cash, cash equivalents, and gold bullion held for investment), at a market capitalization of $6.9 billion I find extreme comfort in the market's resulting valuation for IAMGOLD's 15.2 million ounces of attributable gold reserves.

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Wednesday, April 11, 2012

Are You Watching This Trend at Avid Technology?

Margins matter. The more Avid Technology (Nasdaq: AVID  ) keeps of each buck it earns in revenue, the more money it has to invest in growth, fund new strategic plans, or (gasp!) distribute to shareholders. Healthy margins often separate pretenders from the best stocks in the market. That's why we check up on margins at least once a quarter in this series. I'm looking for the absolute numbers, so I can compare them to current and potential competitors, and any trend that may tell me how strong Avid Technology's competitive position could be.

Here's the current margin snapshot for Avid Technology over the trailing 12 months: Gross margin is 53.1%, while operating margin is -1.7% and net margin is -3.5%.

Unfortunately, a look at the most recent numbers doesn't tell us much about where Avid Technology has been, or where it's going. A company with rising gross and operating margins often fuels its growth by increasing demand for its products. If it sells more units while keeping costs in check, its profitability increases. Conversely, a company with gross margins that inch downward over time is often losing out to competition, and possibly engaging in a race to the bottom on prices. If it can't make up for this problem by cutting costs -- and most companies can't -- then both the business and its shares face a decidedly bleak outlook.

Of course, over the short term, the kind of economic shocks we recently experienced can drastically affect a company's profitability. That's why I like to look at five fiscal years' worth of margins, along with the results for the trailing 12 months, the last fiscal year, and last fiscal quarter (LFQ). You can't always reach a hard conclusion about your company's health, but you can better understand what to expect, and what to watch.

Here's the margin picture for Avid Technology over the past few years.

anImage

Source: S&P Capital IQ. Dollar amounts in millions. FY = fiscal year. TTM = trailing 12 months.

Because of seasonality in some businesses, the numbers for the last period on the right -- the TTM figures -- aren't always comparable to the FY results preceding them. To compare quarterly margins to their prior-year levels, consult this chart.

anImage

Source: S&P Capital IQ. Dollar amounts in millions. FQ = fiscal quarter.

Here's how the stats break down:

  • Over the past five years, gross margin peaked at 53.1% and averaged 51.0%. Operating margin peaked at 0.1% and averaged -3.4%. Net margin peaked at -0.9% and averaged -8.8%.
  • TTM gross margin is 53.1%, 210 basis points better than the five-year average. TTM operating margin is -1.7%, 170 basis points better than the five-year average. TTM net margin is -3.5%, 530 basis points better than the five-year average.

With recent TTM operating margins exceeding historical averages, but net margins still negative, Avid Technology still has some work to do.

Over the decades, small-cap stocks like Avid Technology have provided market-beating returns, provided they're value-priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.

  • Add Avid Technology to My Watchlist.

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What is COBRA?

COBRA health insurance: It can be both loved and hated. On the plus side, it�s guaranteed health insurance coverage for those scary times when you really need it, like if you’ve lost your job, get cut back to part time and no longer qualify for benefits, you get divorced or lose your spouse and, therefore, your insurance coverage.

On the negative side, COBRA costs an arm and a leg. In fact, it can be some of the most expensive individual health coverage out there.

When considering COBRA health insurance, i�s natural to feel stuck between a rock and a hard place. Do you stay and pay for a plan you are familiar with or hunt for something better and risk losing some good coverage? Let�s review how COBRA works.

What is COBRA?

COBRA is not a specific health plan. Rather, it is the right to keep your existing group health plan when a “qualifying event” (more on that later) means you are no longer eligible for coverage. The only difference between COBRA and your existing coverage is how you�ll be shouldering the entire cost.

How Does COBRA work?

Once you�re employer is aware of a change in you or your dependents� health insurance eligibility (called a �qualifying event�), they�ll notify you that you�re eligible for COBRA. It�s then up to you to return the forms to elect COBRA. Then, you�ll be billed the full cost of the plan�your share plus the share your employer used to pay�plus a small administrative fee.

This fee cannot exceed 2% by federal law. You�ll probably receive a new health insurance card, but your plan will remain the same as it was before. Basically, under COBRA, you get whatever active employees get, except you pay for it out of pocket. So if your employer changes the plan for everyone, it changes for you as well. If there is an open enrollment period to switch plans, you can also switch.

Who is COBRA good for?

COBRA could be a good choice for you if:

  • You have a lot of pre-existing conditions
  • You go to several specialists who are covered under your current plan
  • Your plan has some unique features or good coverage for a special service that you need
  • You expect to get more affordable coverage from another source soon.

Of course, you should always look into your options and compare costs but generally, COBRA tends to work out well for people in these situations.

Can you be denied other coverage if you don�t elect COBRA?

Yes, you can. Unfortunately, you currently do not have any guaranteed rights to obtain coverage from another company simply because you are eligible for COBRA.

What about Vision and Dental?

You might be able to choose to elect one or both of these separately from your medical plan, or only your medical plan, depending on your employer. Check into this to tailor your health coverage to only what you need.

Finally, if you decide to elect COBRA, watch your deadlines. There are very specific windows of time for when your employer must inform you of your right to COBRA, when you can choose to take it, and when you must pay the premium.

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Good Stocks To Invest In 2012

Oil services are the best place to invest in the entire energy sector, because every barrel of oil extracted today was marginally more difficult and expensive to get than it was yesterday. And that trend looks inexorable.

That does not mean that I believe there is necessarily a supply constraint in energy right now, only that the technology of extraction continues to get more complex.

Good Stocks To Invest In 2012:Bemis Company Inc. (BMS)

 Bemis Company, Inc. manufactures and sells flexible packaging products and pressure sensitive materials in the United States, Canada, Mexico, South America, Europe, and Australasia. The company operates in two segments, Flexible Packaging and Pressure Sensitive Materials. The Flexible Packaging segment manufactures multilayer flexible polymer film structures and laminates for food, medical, and personal care products, and non-food applications utilizing vacuum or modified atmosphere packaging. It also offers blown and cast stretch film products; carton sealing tapes and application equipment; custom thermoformed plastic packaging; multiwall paper bags; printed paper roll stock; and bag closing materials. The Pressure Sensitive Materials segment manufactures pressure sensitive adhesive coated paper and film substrates comprising label market products, such as narrow-Web rolls of pressure sensitive paper, film, and metalized film printing stocks used in printing and die-cutting. This segment also provides graphic market products consisting of pressure sensitive films used for decorative signage through computer-aided plotters, digital and screen printers, and photographic over laminate and mounting materials, including optical films with built-in UV inhibitors; and technical market products, such as micro-thin film adhesives used in delicate electronic parts assembly and pressure sensitive applications. Bemis Company, Inc. distributes its products primarily through its direct sales force to food and beverage, chemical, agribusiness, medical, pharmaceutical, personal care, electronics, automotive, construction, graphic industries, and other consumer goods markets. The company was formerly known as Bemis Bro. Bag Company and changed its name to Bemis Company, Inc. in 1965. Bemis Company, Inc. was founded in 1858 and is based in Neenah, Wisconsin.

Good Stocks To Invest In 2012:Grupo Aeroportuario del Sureste S.A. de C.V. (ASR)

 Grupo Aeroportuario del Sureste, S.A.B. de C.V., through its subsidiaries, holds concessions to operate, maintain, and develop airports in the southeast region of Mexico. It operates nine airports located in Cancun, Cozumel, Huatulco, Merida, Minatitlan, Oaxaca, Tapachula, Veracruz, and Villahermosa. The company offers various aeronautical services, including passenger, landing, aircraft parking, usage of passenger walkways, and airport security services. Its non-aeronautical services comprise commercial activities, such as the leasing of space in airports to retailers, restaurants, airlines, and other commercial tenants, as well as advertising; and the provision of complementary services consisting of luggage check-in, sorting and handling, aircraft servicing at gates, aircraft cleaning and maintenance, cargo handling, airport security, aircraft catering, assistance with passenger boarding and deplaning, ground transport, and aircraft fuel supply services to air carriers. Grupo Aeroportuario del Sureste, S.A.B. de C.V. was founded in 1998 and is headquartered in Mexico City, Mexico.

Good Stocks To Invest In 2012:Parke Bancorp Inc. (PKBK)

 Parke Bancorp, Inc. operates as the holding company for Parke Bank that provides personal and business financial services to individuals and small to mid-sized businesses in Gloucester, Atlantic, and Cape May counties in New Jersey and in Philadelphia, Pennsylvania. The company offers various deposit products comprising checking, savings, money market, and individual retirement accounts, as well as certificates of deposit. Its loan portfolio comprises residential and commercial real estate construction loans, working capital loans and lines of credit, demand, term, and time loans; equipment, inventory, and accounts receivable financing; and residential mortgage loans, home equity lines of credit, fixed rate second mortgages, new and used auto loans, and overdraft protection products. In addition, the company offers overnight depository, ACH, wire transfer services, and merchant capture electronic check processing services; and contemporary products and services, such as debit cards, Internet banking, and online bill payment. Parke Bancorp was founded in 1999 and is based in Washington Township, New Jersey.

Good Stocks To Invest In 2012:Full House Resorts Inc. (FLL)

 Full House Resorts, Inc., together with its subsidiaries, develops, manages, invests in, and owns gaming-related enterprises. The company holds interest in Gaming Entertainment (Delaware), LLC, a joint venture with Harrington Raceway, Inc., which has a management contract with Harrington Raceway and Casino that has approximately 1,800 slot machines and 40 table games, a 450-seat buffet, a dining restaurant, a 50-seat diner, and an entertainment lounge area located in Harrington, Delaware. It also owns and operates Stockman?s Casino, which has approximately 264 slot machines, 4 table games, and keno, as well as a bar, a dining restaurant, and a coffee shop situated in Fallon, Nevada. In addition, the company holds interests in Gaming Entertainment Michigan, LLC that has a joint venture with RAM Entertainment, LLC, which has a management agreement with the Nottawaseppi Huron Band of Potawatomi Indians for the development and management of the FireKeepers Casino in Battle Creek, Michigan. Full House Resorts, Inc. was founded in 1987 and is based in Las Vegas, Nevada.

Good Stocks To Invest In 2012:IRIDEX Corporation (IRIX)

 IRIDEX Corporation provides therapeutic based laser systems, delivery devices, and consumable instrumentation to treat eye diseases in ophthalmology, and skin conditions in dermatology in the United States and internationally. It offers various ophthalmic products, such as infrared photocoagulator consoles, visible (green) and visible (yellow) photocoagulator consoles, and multi-wavelength laser system configurations; and ophthalmic delivery devices comprising TruFocus laser indirect ophthalmoscopes, slit lamp adapters, operating microscope adapters, EndoProbes, G-Probes, and DioPexy Probes. The company offers its ophthalmic products to treat age-related macular degeneration, diabetic retinopathy, glaucoma, retinal tears and detachments, retinopathy of prematurity, ocular tumors, and macular holes. It also offers aesthetics products, which include combination infrared/visible wavelength laser, visible (green), and infrared consoles. In addition, the company offers aesthetics delivery devices, such as Dermastat Handpieces that are used as tracing instruments for the treatment of small cutaneous surface lesions; DioLite Handpieces, which are handheld instruments used in the treatment of vascular and pigmented skin lesions; VariLite Handpiece, a handheld instrument used in the treatment of vascular and pigmented cutaneous skin lesions, and small area hair reduction; and ScanLite scanner, a computer pattern generator for the treatment of larger-area vascular and pigmented skin lesions. IRIDEX Corporation sells its products to ophthalmologists specializing in retina, glaucoma, and pediatrics; dermatologists; plastic surgeons; research and teaching hospitals; government installations; surgical centers; and hospitals through direct sales force and distributors. The company was formerly known as IRIS Medical Instruments, Inc. and changed its name to IRIDEX Corporation in November 1995. IRIDEX Corporation was founded in 1989 and is headquartered in Mountain View, California.

Good Stocks To Invest In 2012:Lorillard Inc (LO)

 Lorillard, Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes in the United States. The company offers 43 different product offerings under the Newport, Kent, True, Maverick, and Old Gold brand names. Lorillard, Inc. sells its products primarily to wholesale distributors, who in turn service retail outlets, chain store organizations, and government agencies, including the United States? Armed Forces. The company was founded in 1760 and is headquartered in Greensboro, North Carolina.

Advisors' Opinion:

  • By Glenn At 2011-10-6

    Lorillard (LO), through its subsidiaries, engages in the manufacture and sale of cigarettes in the United States. The company has paid a rising dividend since becoming a separately traded company in 2008. It yields 5.40% and has a high dividend payout ratio as well.

Good Stocks To Invest In 2012:Dynasil Corporation of America (DYSL)

 Dynasil Corporation of America engages in the development, manufacture, and marketing of specialized sensors, precision instruments, and optical products in the United States and internationally. Its products include optical instruments, as well as components that are used for optical instruments, lasers, analytical instruments, semiconductor/electronic devices, automotive components, spacecraft/aircraft components, advertising displays, baggage scanners, and in devices for the solar energy industry. The company also produces analytical instruments, including instruments designed to measure the ?Sun Protection Factor? of sunscreens; handheld instruments to determine whether there is lead in the paint of buildings and whether electronics are in compliance with the reduction of hazardous substances regulations; and medical probes, which reduce the scope of cancer surgery. Dynasil Corporation distributes its products through direct sales force, as well as through manufacturer?s representatives and distributors. Its products and services are used in a range of application markets, including the medical, industrial, and homeland security/defense sectors. The company also involves in contract research activities. Dynasil Corporation was founded in 1960 and is based in Watertown, Massachusetts.

Good Stocks To Invest In 2012:Lockheed Martin Corporation (LMT)

 Lockheed Martin Corporation engages in the research, design, development, manufacture, integration, operation, and sustainment of advanced technology systems and products in the areas of defense, space, intelligence, homeland security, and government information technology in the United States and internationally. It also provides management, engineering, technical, scientific, logistic, and information services. The company operates in four segments: Aeronautics, Electronic Systems, Information Systems & Global Services (IS&GS), and Space Systems. The Aeronautics segment offers military aircraft, including combat and air mobility aircraft, unmanned air vehicles, and related technologies. Its products and programs comprise the F-35 multi-role, stealth fighter; the F-22 air dominance and multi-mission stealth fighter; the F-16 multi-role fighter; the C-130J tactical transport aircraft; and the C-5M strategic airlifter modernization program; and support for the P-3 maritime patrol aircraft, and the U-2 high-altitude reconnaissance aircraft. The Electronic Systems segment provides air and missile defense; tactical missiles; weapon fire control systems; surface ship and submarine combat systems; anti-submarine and undersea warfare systems; land, sea-based, and airborne radars; surveillance and reconnaissance systems; simulation and training systems; and integrated logistics and sustainment services. The IS&GS segment offers information technology solutions and advanced technology primarily in the areas of software and systems integration for space, air, and ground systems to various defense and civil government agencies. The Space Systems segment provides government and commercial satellites; strategic and defensive missile systems, including missile defense technologies and systems, and fleet ballistic missiles; and space transportation systems. Lockheed Martin Corporation was founded in 1909 and is based in Bethesda, Maryland.

Advisors' Opinion:

  • By Jeff Reeves At 2011-10-21!

    Lockheed Martin Corp. (NYSE: LMT) is America’s premiere aerospace and defense company, and consistently ranks at or near No. 1 in the list of U.S. federal contractors.

    Current Yield: 3.9% ($3 a share annually)

    Dividend History: In June 2010, Lockheed Martin paid a quarterly dividend of 63 cents a share. This July, it will pay 75 cents, or a 19% increase.

    Dividend Outlook: According to Bloomberg, the three-year expected dividend growth rate of Lockheed is a stunning is 15%.

    Recent Performance: Though flat over the past 12 months, as the crisis in Libya has brought defense spending into focus, LMT shares have rallied 14% in 2011, despite talk of federal spending cuts.

    Outlook for Shares: Lockheed has proven it is a necessary player in the U.S. defense budget, and even if that budget sees some reductions, you can bet that Lockheed will still benefit. For instance, it is currently working on the F-35 Lightning II joint strike fighter, a contract worth hundreds of millions of dollars, which will be delivered at the latter part of this decade. Lockheed has the reputation and resources to thrive even if leaner spending lies ahead.

  • By Dave Friedman At 2011-9-22

    The shares closed at $70.26, up $1.14, or 1.65%, on the day. They have traded in a 52-week range of $66.36 to $82.43. Volume today was 3,030,515 shares, against a 3-month average volume of 2,513,850 shares. Its market capitalization is $23.41billion, its trailing P/E is 8.80, its trailing earnings are $7.99 per share, and it pays a dividend of $3.00 per share, for a dividend yield of 4.30%. About the company: Lockheed Martin Corporation is a global security company that primarily researches, designs, develops, manufactures, and integrates advanced technology products and services. The Company’s businesses span space, telecommunications, electronics, information and services, aeronautics, energy, and systems integration. Lockheed Martin operates worldwide.

Good Stocks To Invest In 2012:Principal Financial Group Inc (PFG)

 Principal Financial Group, Inc. provides retirement savings, investment, and insurance products and services worldwide. The company?s Retirement and Investor Services segment provides retirement savings and related investment products and services, including a portfolio of asset accumulation products and services primarily to small and medium-sized businesses and individuals in the United States. This segment offers products and services to businesses for defined contribution pension plans, including 401(k) and 403(b) plans, defined benefit pension plans, nonqualified executive benefit plans, and employee stock ownership plan consulting services; and annuities, mutual funds, and bank products and services to the employees of its business customers and other individuals. Principal Financial Group?s Principal Global Investors segment offers a range of equity, fixed income, and real estate investments, as well as specialized overlay and advisory services to institutional investors. The company?s Principal International segment offers retirement products and services, annuities, mutual funds, institutional asset management, and life insurance accumulation products in Brazil, Chile, China, Hong Kong SAR, India, Indonesia, Malaysia, Mexico, Singapore, and Thailand. Principal Financial Group?s U.S. Insurance Solutions segment offers individual life insurance, as well as specialty benefits in the United States. Its individual life insurance products include universal and variable universal life insurance and traditional life insurance; and specialty benefit products comprise group dental and vision insurance, individual and group disability insurance, and group life insurance, as well as fee-for-service claims administration and wellness services. The company was founded in 1879 and is based in Des Moines, Iowa.

Advisors' Opinion:

  • By Goldman At 2011-8-28

    Principal Financial(PFG) is an insurance and investment man! agement company.

    Principal is due to release fourth-quarter results today. It has an average earnings surprise average of 4.8% and moves 4%, both up and down, in reaction to earnings announcements. Principal's stock has soared 50% in the past 12 months, easily outpacing indices, and 13% in the past three months. Consequently, it has passed many of analysts' price targets. Goldman is still bullish, but predicts just 7% of remaining upside in the next 12 months.

    Principal receives "buy" ratings from just 26% of researchers evaluating its stock. But, it is still notably undervalued relative to its peer group. The stock trades at a forward earnings multiple of less than 12, a book value multiple of 1.2 and a cash flow multiple of 4.5, 21%, 70% and 71% industry discounts. The stock pays an annual dividend, which fluctuates depending upon operating results. This year's 55 cent annual payout translated to a 2% yield on payment.

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Daily Blogwatch: Gold, Silver, NBC, Taxes, and $20 Million

Below are some of the best reads for investors from around the Web:

Howard Ruff says:Forget gold: Invest in Silver and Uranium. This is perhaps the only time in the past ten years I've agreed with him.
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An interesting view of the growth in crayola colors.
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The guy who wrote The Annals of Gullibility: Why We Get Duped and How to Avoid It lost 30% of his retirement savings with Bernie Madoff.
___________Do debt-free stocks trading for under $10 do well?
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Broadcast.com billionaire and Dallas Mavs owner (and HDNet founder) Mark Cuban thinks Jeff Zucker and NBC are doing the right thing by moving Leno back to his spot at 11:30.
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The complete guide to investing in the MAVINS: Mexico, Australia, Vietnam, Indonesia, Nigeria, and South Africa
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Little-known investor Jim Cramer turns out to be quite the prolific author.
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Why just tax the banks? Here are 13 other taxes for old-fashioned family fun.
___________

Would you go to jail for a guaranteed $20 million?
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The greatest invention so far of the 21st century: This plate tells you if you are eating too fast.


Meet James Altucher at The World Money Show Orlando,Feb. 3-6, 2010 at the Gaylord Palms Resort.

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