Think Of Including Honda Motors in Your Portfolio

Honda Motor (HMC) recently released its Q3, 2014 results which were firing all guns. The company was helped by a weak yen to some extent and underperformance in some markets, although revenue increased. Let's see how the results were and what can be expected of Honda in the future.

Performance boost

Owing to favorable foreign currency transformation Honda witnessed a revenue boost and even a rise in unit sales both in automobiles and motor cycle segment. Consolidated net sales increased 16.3% year over year to $22.7 billion, increase by 24% Year over year, but not beat the consensus estimate of 28.95 billion.

Honda witnessed an increase in unit sales in the automobile segment that recorded 900,000 units. Total revenue $22.5 billion fetched from the automobile segments. The company has been unable to benefit from the construction boom in the U.S. as sales of Honda pickups fell were not alarming.

Revenues for the motorcycle segment grew by 30%, recording $3.8 billion. Consolidated unit sales also increased by 13.1% to 2.7 million motorcycles.

Cash flow from the operation also improved in the first 9 months of fisal 2014 recording ¥870.4 billion as against ¥532.6 billion in the first nine months of fiscal 2013. This was mainly due to better sales.

Journey Ahead

The company is optimistic about its performance in the refiscamainder of 2014. Honda projects estimated revenue to increase by 22.5%. It also anticipates an increase in operating income to by 43.2% and net income to step up by 58%. The anticipated growth is based on the fact of Honda's perception of favorable modal index and favorable raw material cost which can influence the bottom line.

Consumers in the U.S. are choosing pickups and SUVs manufactured by the Detroit carmakers such as Ford and General Motors, according to Honda management. The company has been unable to cash in on the trend of growing auto sales in the U.S. The sales drop in Japan is also a matter of concern. But the company expects to benefit from the positive trends in the U.S. by updating its MDX model.

The company is making an effort to cater to the needs of customers and the prevailing market conditions by updating its models and ramping up supply. Revamping the production system, building new plants for increasing production and adopting innovative techniques for upgrading might help Honda to improve capacity and sales during fiscal 2014.

The company is also looking to rescue its sales in Japan and expects better sales in the second half of the year when it releases the Fit compact. Despite the decline in this key market, the company has kept its outlook for the fiscal year intact. Also, the company is looking to increase its deliveries to 6 million units by 2017 has been incurring costs on building the required infrastructure. These efforts should reap benefits in the future but the company will need to offer better models in the lucrative market for pickups in the U.S.

Competitor

Nissan is a Japanese auto manufacturer and another rival of Honda. It is also benefiting from Yen's devaluation. Its sales are gaining strength in the US and its Nissan Leaf is the leading electric vehicle in the nation. Nissan's is also reviving an old brand -- Datsun -- for launch in emerging economies such as India, Indonesia, Russia, South Africa etc. This move should have a positive impact on its sales in the future as the emerging middle class in these markets purchases cars. The first time car buyers in these countries will have an eye on Datsun, since it would ideally suit their budget.

Conclusion

Honda is not among the best automakers but an investor can always consider investing in the company. Considering the fact, that the Board of Honda announced quarterly dividend keeps the interest of the investor covered. The company also expects to make annual dividend of ¥80 per share in fiscal 2014.

Currently 2.00/512345 Rating: 2.0/5 (1 vote)

Voters:

Subscribe via Email Subscribe RSS Comments Please leave your comment:
More GuruFocus Links

Latest Guru Picks	Value Strategies
Warren Buffett Portfolio	Ben Graham Net-Net
Real Time Picks	Buffett-Munger Screener
Aggregated Portfolio	Undervalued Predictable
ETFs, Options	Low P/S Companies
Insider Trends	10-Year Financials
52-Week Lows	Interactive Charts
Model Portfolios	DCF Calculator
RSS Feed	Monthly Newsletters
The All-In-One Screener	Portfolio Tracking Tool

MORE GURUFOCUS LINKS

Latest Guru Picks	Value Strategies
Warren Buffett Portfolio	Ben Graham Net-Net
Real Time Picks	Buffett-Munger Screener
Aggregated Portfolio	Undervalued Predictable
ETFs, Options	Low P/S Companies
Insider Trends	10-Year Financials
52-Week Lows	Interactive Charts
Model Portfolios	DCF Calculator
RSS Feed	Monthly Newsletters
The All-In-One Screener	Portfolio Tracking Tool

HMC STOCK PRICE CHART 35.01 (1y: -9%) $(function(){var seriesOptions=[],yAxisOptions=[],name='HMC',display='';Highcharts.setOptions({global:{useUTC:true}});var d=new Date();$current_day=d.getDay();if($current_day==5||$current_day==0||$current_day==6){day=4;}else{day=7;} seriesOptions[0]={id:name,animation:false,color:'#4572A7',lineWidth:1,name:name.toUpperCase()+' stock price',threshold:null,data:[[1364187600000,38.55],[1364274000000,38.6],[1364360400000,38.79],[1364446800000,38.26],[1364792400000,36.99],[1364878800000,36.62],[1364965200000,37.2],[1365051600000,39.21],[1365138000000,38.6],[1365397200000,39.19],[1365483600000,38.59],[1365570000000,38.96],[1365656400000,39.97],[1365742800000,39.84],[1366002000000,38.9],[1366088400000,39.47],[1366174800000,39.49],[1366261200000,39.1],[1366347600000,39.66],[1366606800000,39.69],[1366693200000,39.9],[1366779600000,40.04],[1366866000000,40.78],[1366952400000,40.39],[1367211600000,40.71],[1367298000000,39.98],[1367384400000,39.19],[1367470800000,39.63],[1367557200000,40.24],[1367816400000,40.08],[1367902800000,40.38],[1367989200000,40.6],[1368075600000,40.28],[1368162000000,40.39],[1368421200000,40.83],[1368507600000,40.7],[1368594000000,41.35],[1368680400000,40.67],[1368766800000,41.41],[1369026000000,41.76],[1369112400000,41.88],[1369198800000,41.27],[1369285200000,40.24],[1369371600000,39.4],[1369717200000,40.05],[1369803600000,38.89],[1369890000000,38.84],[1369976400000,37.57],[1370235600000,37.51],[1370322000000,37.73],[1370408400000,36.79],[1370494800000,36.76],[1370581200000,37.14],[1370840400000,37.32],[1370926800000,36.81],[1371013200000,36.42],[1371099600000,37.44],[1371186000000,36.28],[1371445200000,36.79],[1371531600000,37.06],[1371618000000,36.83],[1371704400000,35.48],[1371790800000,36.67],[1372050000000,35.44],[1372136400000,35.99],[1372222800000,36.41],[1372309200000,37.04],[1372395600000,37.25],[1372654800000,37.54],[1372741200000,38.03],[1372827600000,37.97],[1373000400000,38.34],[1373259600000,37.72],[1373346000000,38.07],[1373432400000,37.89],[1373518800000,38.47],[1373605200000,38.42],[1373864400000,38.63],[1373950800000,38.07],[1374037200000,38.69],[1374123600000,38.85],[1374210000000,38.96],[1374469200000,39.33],[1374555600000,39.03],[1374642000000,38.83],[1374728400000,38.74],[1374814800000,38.08],[137! 5074000000,37.39],[1375160400000,37.42],[1375246800000,37.14],[1375333200000,36.95],[1375419600000,37.99],[1375678800000,37.8],[1375765200000,38.3],[1375851600000,38.4],[1375938000000,38.15],[1376024400000,38.12],[1376283600000,38.83],[1376370000000,38.96],[1376456400000,38.93],[1376542800000,38.56],[1376629200000,38.68],[1376888400000,38.4],[1376974800000,37.55],[1377061200000,36.98],[1377147600000,37.53],[1377234000000,38],[1377493200000,37.6],[1377579600000,37.2],[1377666000000,37.04],[1377752400000,36.66],[1377838800000,35.94],[1378184400000,36.49],[1378270800000,37.08],[1378357200000,37.77],[1378443600000,38.02],[1378702800000,38.83],[1378789200000,38.95],[1378875600000,38.68],[1378962000000,38.37],[1379048400000,38.5],[1379307600000,38.83],[1379394000000,38.67],[1379480400000,39.8],[1379566800000,39.59],[1379653200000,38.9],[1379912400000,38.92],[1379998800000,38.96],[1380085200000,38.76],[1380171600000,39.19],[1380258000000,38.72],[1380517200000,38.14],[1380603600000,38.22],[1380690000000,38.28],[1380776400000,38.07],[1380862800000,38.37],[1381122000000,37.91],[1381208400000,37.96],[1381294800000,39.07],[1381381200000,40.08],[1381467600000,40.12],[1381726800000,40.16],[1381813200000,39.57],[1381899600000,39.95],[1381986000000,40.39],[1382072400000,40.4],[1382331600000,40.47],[1382418000000,40.54],[1382504400000,39.29],[1382590800000,39.78],[1382677200000,39.65],[1382936400000,39.76],[1383022800000,40.22],[1383109200000,40.13],[1383195600000,39.96],[1383282000000,40.1],[1383544800000,40.07],[1383631200000,39.87],[1383717600000,39.9],[1383804000000,39.11],[1383890400000,39.62],[1384149600000,39.76],[1384236000000,40.07],[1384322400000,40.78],[1384408800000,40.93],[1384495200000,41.17],[1384754400000,41.23],[1384840800000,40.97],[1384927200000,41.19],[1385013600000,42.43],[1385100000000,42.7],[1385359200000,42.61],[1385445600000,42.11],[1385532000000,42.02],[1385704800000,42.36],[1385964000000,41.88],[1386050400000,41.52],[1386136800000,41.41],[1386223200000,41.08],[1386309600000,41.94],[13865688000! 00,41.45]! ,[1386655200000,41.3],[1386741600000,40.74],[1386828000000,40.59],[1386914400000,40.35],[1387173600000,39.97],[1387260000000,39.9],[1387346400000,41.44],[1387432800000,40.65],[1387519200000,41.3],[1387778400000,41.62],[1387864800000,41],[1388037600000,41.11],[1388124000000,41.25],[1388383200000,41.22],[1388469600000,41.35],[1388642400000,40.69],[1388728800000,40.69],[1388988000000,40.8],[1389074400000,40.71],[1389160800000,40.65],[1389247200000,40.73],[1389333600000,40.84],[1389592800000,40.22],[1389679200000,40.09],[1389765600000,39.93],[1389852000000,39.93],[1389938400000,39.76],[1390284000000,39.83],[1390370400000,39.72],[1390456800000,38.94],[1390543200000,38],[1390802400000,38.08],[1390888800000,38.06],[1390975200000,38.24],[1391061600000,38.2],[1391148000000,37.51],[1391407200000,36.44],[1391493600000,35.92],[1391580000000,35.97],[1391666400000,35.9],[1391752800000,36.55],[1392012000000,36.48],[1392098400000,36.7],[1392184800000,37.22],[1392271200000,37.02],[1392357600000,36.75],[1392703200000,37.17],[1392789600000,36.6],[1392876000000,36.16],[1392962400000,36.14],[1393221600000,36.12],[1393308000000,36.24],[1393394400000,36.06],[1393826400000,36.4],[1393912800000,36.93],[1393999200000,36.92],[1394085600000,37.3],[1394172000000,37.12],[1394427600000,36.57],[1394514000000,36.89],[1394600400000,36.56],[1394686800000,35.84],[1394773200000,35.47],[1395032400000,35.9],[1395118800000,35.36],[1395205200000,35.2],[1395291600000,35],[1395378000000,35.01],[1395547030000,35.01],[1395547030000,35.01],[1395414056000,35.01]]};var reporting=$('#reporting');Highcharts.setOptions({lang:{rangeSelectorZoom:""}});var chart=new Highcharts.StockChart({chart:{renderTo:'container_chart',marginRight:20,borderRadius:0,events:{load:function(){var chart=this,axis=chart.xAxis[0],buttons=chart.rangeSelector.buttons;function reset_all_buttons(){$.each(chart.rangeSelector.buttons,function(index,value){value.setState(0);});series=chart.get('HMC');series.remove();} buttons[0].on('click',function(e){chart.showLoading();reset_all_buttons();chart.rangeSelector.buttons[0].setState(2);var extremes=axis.getExtremes();$.getJSON('/modules/chart/price_chart_json.php?symbol=HMC&ser=1d',function(data){if(data!=null){var extremes=axis.getExtremes();axis.setExtremes(data[1][0][0],data[1][data[1].length-1][0]);chart.addSeries({name:'HMC',id:'HMC',color:'#4572A7',data:data[1]});if(data[0][1]>=0){display=data[0][0]+" (1D: +"+data[0][1]+"%)";reporting.html(display);}else{display=data[0][0]+" (1

Jim Cramer's Top Stock Picks: ESV HPQ POOL

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.

NEW YORK (TheStreet) -- Here are some of the hot stocks Jim Cramer talked about on Friday's Mad Money on CNBC:

ESV data by YCharts

Ensco (ESV): Cramer said next week's energy conference should help to pop shares of this oil innovator.

Stock quotes in this article: ESV, HPQ, POOL 

HPQ data by YCharts

Hewlett-Packard (HPQ): The market is looking for boring stocks that may surprise in a growing economy and HP fits that bill.

Stock quotes in this article: ESV, HPQ, POOL 

POOL data by YCharts

Pool Corp (POOL): Summer will be arriving at long last and Pool Corp will be ready to surge even higher.

To read a full recap of "Mad Money" on CNBC, click here.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC

Stock quotes in this article: ESV, HPQ, POOL  At the time of publication, Cramer's Action Alerts PLUS had no position in stocks mentioned.

SEC Focused on ‘Preserving’ Money Market Funds; Resources for Advisor Exams a ‘Crying Need’

The Securities and Exchange Commission is “very sensitive” to preserving money market funds as it proceeds “to the adopting phase” of a rulemaking, with a “laser” focus on the tax, cost and accounting concerns such a rule could pose, SEC Chairwoman Mary Jo White said Wednesday.

During a luncheon conversation at the U.S. Chamber of Commerce’s 8th Annual Capital Markets Summit, White also said that there was “a crying need” for more resources to help the agency boost its examination of the nation’s investment advisors.

The commission is considering two “significant proposals” for additional reform to money market funds that were put out for comment last June: a floating net asset value for prime institutional money market funds — the type of fund that experienced problems during the financial crisis — and a proposal to require money market funds under certain circumstances to impose a liquidity fee and permit the imposition of redemption gates.

The latter is designed to stop a “run.” As White stated previously, these proposals could be adopted alone or together.

The floating NAV, she said, is where “the cost, tax and accounting concerns come in.”

“We are very sensitive to preserving the [money market fund] product as part of this [rulemaking] process,” White said Wednesday.

During the Wednesday conversation, David Hirschmann, president and CEO of the Chamber’s Center for Capital Markets Competitiveness, said to White that there’s a belief that “all mutual funds” pose a “run risk.”

White responded that “they [mutual funds] all have redemption risk; the SEC oversees how redemptions are handled” and ensures they have enhanced liquidity, “but that doesn’t translate to me that therefore you should regulate it [a mutual fund] like a bank.”

As to advisor exams, White said that while the agency is making more use of its risk-based analytics, “particularly in the exam space,” there’s a “crying need” for more resources to help the agency examine advisors.

She did, however, tout the agency’s newly developed National Exam Analytics Tool (NEAT), which enables examiners to access and systematically analyze “massive amounts of trading data from firms in a fraction of the time it has taken in years past.”

“In one recent exam, our exam team used NEAT to analyze in 36 hours literally 17 million transactions executed by one investment advisor,” White said in a January speech. /* .premium-promo { border: 1px solid #ddd; padding: 10px; margin: 0 10px 10px 0; width: 200px; float: left; } .premium-promo li, .premium-promo ul { list-style-type: none; margin: 0; padding: 0; } .premium-promo li { margin: 0 0 10px; padding: 0 0 10px; border-bottom: 1px dotted #ddd; } .premium-promo h3 { text-transform: uppercase; font-size: 11px; } .premium-promo h4 { font-size: 16px; } .premium-promo a { text-decoration: none !important; } .premium-promo .btn { background: #0069a1; border-radius: 4px; display: inline-block; padding: 5px 10px; clear: both; color: #fff; font-weight: bold; } .premium-promo .btn:hover { background: #034c92; } */ In 2014, SEC examiners, White said in January, “will be using the NEAT analytics to identify signs of not only possible insider trading, but also front running, window dressing, improper allocations of investment opportunities and other kinds of misconduct.”

President Barack Obama's 2015 budget proposal would give the SEC a 26% boost from the agency's 2014 enacted level, and would allow the agency to add 316 staffers to the agency’s Office of Compliance Inspections and Examinations, with 240 of those examiners devoted solely to overseeing advisors.

But planning groups are  “working hard” to get a bipartisan user fees bill introduced in the Senate that mirrors H.R. 1627, legislation introduced by Rep. Maxine Waters, D-Calif., that has been languishing in the House, said Neil Simon, chief lobbyist for the Investment Adviser Association, at a recent IAA event. Waters' Investment Adviser Examination Improvement Act of 2013, H.R. 1627, would allow the SEC to collect user fees to fund advisor exams, but it has garnered little support among the Republican-controlled House Financial Services Committee.

---

Check out fi360 Urges SEC to Consider Third-Party Advisor Exams on ThinkAdvisor.

3 Road and Rail Stocks to Sell Now

Popular Posts: 7 Biotechnology Stocks to Buy Now15 Oil and Gas Stocks to Sell Now13 “Triple A” Stocks to Buy Recent Posts: 5 Stocks With Bad Earnings Growth — BBRY TCI ZQK RBCN ARL 5 Stocks With Prime Cash Flow — YONG ZA GURE CHA CGA 5 Stocks With Ugly Cash Flow — HXM TWGP STP ATPG NIHD View All Posts

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

Kansas City Southern () earns an F (“strong sell”) this week, moving down from last week’s grade of D (“sell”). Kansas City Southern operates a railroad system that provides shippers with rail freight services in commercial and industrial markets of the United States and Mexico. At $96.60, the stock is below the 50-day moving average of $103.73. The stock’s trailing PE Ratio is 30.80. .

Slipping from a D to an F rating, Roadrunner Transportation Systems, Inc. () takes a hit this week. Roadrunner Transportation Systems offers truck freight transportation services. The stock gets F’s in Earnings Revisions and Earnings Surprise. .

Guangshen Railway Co. Ltd. Sponsored ADR Class H () is on the decline this week, earning a D (“sell”) after receiving a C (“hold”) last week. Guangshen Railway is a provider of railroad passenger and freight transportation, as well as railway network usage and services. .

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.

Debunking The Bad News Bears

Janet Yellen has once again spooked the emerging markets with talk of ending the federal stimulus program. Yesterday, she announced that the Fed would reduce its bond buying program, shaving off $10 billion to take its monthly purchases down to $55 billion, with an eye towards completely ending the program by year's end.

The real damage was done by Yellen's hints that interest rates are likely to start ticking higher sometime in the summer of 2015, fueling fears of fund outflows from developing markets. The signal was that interest rates would run at 1 percent by the end of next year and 2.25 percent by 2016.

Those concerns were exacerbated by China's announcement that it is speeding up construction projects and taking other steps to boost the county's economy, a clear sign that the Chinese government is concerned that it might miss its growth target this year. Key officials have been hinting that growth of 7.2 percent in 2014 will be considered close enough to the government's target of 7.5 percent.

It's widely speculated that, in addition to accelerating "shovel-ready" projects, the government will also begin loosening monetary policy over the next few months. While there don't seem to be any plans for direct injections of money, it’s likely that bank reserve requirements will be cut, particularly as the government is eager to counteract the effect of Zhejiang Xingrun Real Estate Co's collapse. It will also allow property developers to raise funds by selling shares for the first time in almost three years.

A large, privately held developer, Xingrun Real Estate recently defaulted on RMB3.5 billion in debt amid allegations of mismanagement. The first onshore Chinese bond issuer also defaulted earlier in the month, on the heels of the bailout of China Credit Trust Co.

Thanks to all of this bad news, the Hang Seng China Enterprises Index, commonly called the H-sh! are market, which measures the performance of Hong Kong-listed Chinese companies, hit a one-year low in trading last night. It also blew through the 20 percent decline level, leaving little doubt that a Chinese bear market is underway. The H-share is now the worst performing regional market so far this year.

Don’t Cut and Run

But none of this means that it is time to cut and run from China.

It's impossible to accurately and consistently time market movements, so bailing out now would only lock in losses. The people who make the real money in the markets are those who keep buying good companies on the way down, to amplify their gains on the way back up. If you kept investing in S&P 500 companies on the way down in 2008, you've probably done even better than the market's nearly 175 percent gain since the bottom occurred.

At this point, no one is predicting a major recession in China this year, with even Fitch Ratings forecasting that the country's struggling property market will pick up in the coming months. It also seems confident that the government has a handle on the country's debt levels and, so far, we haven't seen a massive outflow of capital from the country. Foreign businesses are continuing to invest in China which, for better or worse, is now one of the world's largest markets.

So rather than being rattled by the bear market news, we should take advantage of the opportunity to pick up shares on the cheap.

Inside the Madness of the Stock Market

Originally printed in the Baltimore Sun on Oct. 17, 1989, after U.S. stocks dropped 6.9% on Oct. 13, it still circulates widely on Wall Street. ("The nation's most important financial institution" was the New York Stock Exchange.)

Remarkably, new research suggests that KAL might not just have been using his imagination to make fun of the way investors can turn on a dime for no reason whatsoever. He might also have put his finger on a psychological process that can make investors turn on a dime for a reason they're entirely unaware of.

Hearing or seeing a word that sounds like an action can prime you into taking that action, according to "From Bye to Buy: Homophones as a Phonological Route to Priming," to be published next month in the Journal of Consumer Research. Despite its infelicitous title, the paper may help explain, at least in small part, the mystery at the heart of KAL’s cartoon: How do contagions spread through financial markets?

The study, run by marketing professor Derick Davis at the University of Miami, exposed people to homophones (words that are pronounced the same but spelled differently) like "bye" and "buy."

For example, participants read a short blogpost about travel in Canada that ended either with "Bye bye!" or "So long!" Then they were asked how much they would pay for a name-your-own-price dinner for two at a local restaurant.

Those who had read the version of the blogpost that ended with "Bye bye!" were willing to pay up to 55.5% more than those who read the "So long" version. Merely seeing the word "bye" apparently made them more eager to buy. That was especially true for those who had to memorize a seven-digit number beforehand – the kind of distraction that many experiments have shown can reduce the mind's reliance on logical reasoning.

You should probably buy a few grains of salt to sprinkle onto these findings. Recently, critics have argued that related claims about "priming" or unconscious influences on behavior are fragile and difficult to replicate, while psychologist Uri Simonsohn of the University of Pennsylvania has shown that many similar studies are statistically underpowered.

Prof. Davis, who ran this study, concedes that the effects he found are small. However, he adds, the people in his experiments weren't just college students in a lab but were recruited online from a broader cross section of the population. And, he points out, people often fail to detect the incorrect use of homophones while proofreading, because the identical sound of the wrong word puts them in mind of the right word. (Think of all the times you didn't even notice that you typed "they're" for "their" or "there.")

If "people are distracted by noise, time pressure and other commotion," says Prof. Davis, their behavior may be more easily swayed by the homophone effect. When prompted by the sound "bye," he says, "on average across many people, a small change in 'buying' behavior may be possible." Prof. Davis, emphasizing that this is a speculation, adds that "a distracted investor primed with 'bye' might misremember reading that the stock was rated a 'buy.'"

KAL isn't surprised by the research. "The notion of human behavior being influenced by outside suggested stimuli certainly makes sense," he told me in a recent email. Almost 25 years after he drew his brilliant cartoon, he still gets requests for reprints every week, he says.

The contagious panic that KAL captured in his image was unsettling. On Oct. 13, 1989 – a Friday the 13th – the Dow closed down 190.58 points, or 6.91%. At the time, that was the second-worst point decline (after the October crash of 1987, when stocks fell 23% in a day) and the 12th-worst percentage drop on record. The crash was said to have been triggered by the collapse of takeover bids for airline stocks UAL and AMR, but nearly all the collapse came in the final hour of trading, well after the news that the takeover bids had fizzled.

The next trading day, The Wall Street Journal tried to explain the crash:

One takeover stock speculator says that with individual investors frightened away from the market, the remaining participants are mainly institutions, all with instant access to the same information, and the same ability to sell in an instant – that is, until all try to sell at once.

"If this is something that had happened over the last few weeks, nobody would have noticed," the speculator says. "But now it just happens in an hour. The information is very quick; it's often inaccurate; and reactions can be irrational."

In a guest essay published in the New York Times on Oct. 29, 1989, called "Fear of a Crash Caused the Crash," future Nobel Prize-winning economist Robert Shiller described a survey he had done of 101 market professionals the Monday and Tuesday after the tumble. Asked whether the drop was driven by "a change in the stock market fundamentals" or "psychology and emotion," only 19% cited fundamentals; 77% blamed psychology and emotion. Shiller and his colleague William Feltus also asked the professionals if they thought the latest drop could turn into a replay of the 1987 crash; 35% thought it could, while 41% thought other investors thought so.

So, when KAL poked fun at traders overreacting to what others say, he was right on the money.

To this day, says KAL, brokers buying copies of the cartoon "inevitably" tell him, "It was so funny because it was so true."

So if you walk into a brokerage or financial adviser's office and you hear "Bye Bye Love" and "American Pie" and "Bye Bye Blackbird" playing on the sound system, hang on to your wallet. You may be more easily swayed than you think.

Hungry Girl still gets E-mail read—but for how…

WOODLAND HILLS, Calif. — In a world of texts, instant messages and alerts, e-mail is still kicking it for Lisa Lillien.

Her Hungry Girl e-mail newsletter (Tips and Tricks for Hungry Chicks) has spawned a $25 million empire that expands to books (her ninth, The Hungry Girl Diet, is out March 25,) TV shows on the Food Network, and her image on multiple cereal boxes.

"E-mail is still the driving force," she says. "People are used to reading the daily e-mails. They wake up, they drink their coffee and read their e-mails."

That's a challenge for her, since the No. 1 Web mail provider, Google's Gmail, in late 2013 re-organized the e-mail inbox into "primary," "social" and "promotion," tabs, which could make it harder for her 1.2 million readers to find her daily messages. But she says she's yet to see an impact. "People still open my e-mails every day," she says.

When Lillien began in 2004, e-mail marketing was easy. Spam filters hadn't gotten sophisticated. Google's Gmail had yet to be invented. Now, it's the most popular Web mail program — with 40% market share, compared with 23% for Outlook.com and 21% for Yahoo Mail, according to Litmus.com.

"This will have a huge impact eventually," says Jason Falls, co-author of The Rebels Guide to E-mail Marketing: Grow Your List, Break the Rules and Win. "Everyone I know is nervous and watching it closely."

The trick for Lillien and other e-mail marketers is to be very vocal with readers about Google's changes, and to urge them to "whitelist," the newsletter to make sure it shows up in the primary inbox instead of being marked as spam. "They need to be educated to know where to find it," she says.

She's pushing readers of her website to other places to find her, including Facebook (nearly 1 million fans), Twitter (160,000 followers) and Pinterest (nearly 100,000 followers.) What she hasn't been willing to do is bypass Google with a daily text, even though texting is so hot that WhatsApp, the company that provides unl! imited texts for 99 cents yearly, got snapped up by Facebook in a $19 billion deal.

She shakes her head violently. "No," she says. "People are annoyed by texts. People say they want them, but every time I see (a sponsored text), I want to throw my phone out the window."

Lillien's "Hungryland" home base here is a testament to the power of e-mail. It's like a box of Froot Loops come to life, with rich, vibrant colors. Illustrated cartoon images of Lillien as Hungry Girl adorn the walls. Cereal giant General Mills, a sponsor of the newsletter, showed their appreciation of the relationship, by creating a framed portrait of her — with colored Cheerios.

Lillien is a former TV producer (she's married to Dan Schneider, a former Head of the Class actor who's behind many of Nickelodeon's biggest hits, including iCarly and Sam & Cat.) She fell into the e-mail newsletter business after questioning whether a local bakery's pastry was really 150 calories, as it claimed, and had it tested.

She sent her findings to a bunch of friends, and the verdict came back — she should do a newsletter.

"I'm a little nutty," she says. "I'm the person who will take this to a lab. I'm not a dietician, I'm not a nutritionist, I'm just hungry. If I present that in a fun, relatable way, it could be successful."

She thought about building a website, but that was too much work. "The idea of e-mail appealed. It was short and sweet and marketable. People could share with friends. There was no marketing involved."

She doesn't write the newsletter anymore, but says she edits it. Instead of trying out recipes at home, she has a huge test kitchen, and employs chefs to try out new recipes and review products. Each newsletter is sponsored, but she says she only features sponsors for products she loves. "Ads are clearly marked as ads."

Lisa Lillien, a.k.a. "Hungry Girl," in her colorful L.A. office.(Photo: Jefferson Graham)

Meanwhile, how does the woman who sends out 1.2 million missives every day handle her own inbox on her Apple MacBook Air laptop?

"My inbox is a mess," she admits. "I'm organized, but I haven't mastered my inbox. I get 2,000 e-mails a day. My favorite thing to do is delete. I don't like work to pile up, so I instantly respond. People know if you don't hear from me right away, I missed it."

Follow Jefferson Graham on Twitter.

Why New Oriental Education & Technology Group (EDU) Is Up Today

NEW YORK (TheStreet) -- New Oriental Education & Technology Group  (EDU) rose 8.51% to $29.33 at 2:04 p.m. on Tuesday amid rumors that the Chinese company had formed a joint online education venture with Tencent Holdings.

The venture is just a rumor at this point, and New Oriental issued a statement to say that it has not selected an online joint venture partner yet.

The stock holds a one-year high of $34.50 and a one-year low of $15.63.

Must Read: Warren Buffett's 10 Favorite Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates NEW ORIENTAL ED & TECH as a "buy" with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation: "We rate NEW ORIENTAL ED & TECH (EDU) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, solid stock price performance and impressive record of earnings per share growth. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results." Highlights from the analysis by TheStreet Ratings Team goes as follows: The revenue growth came in higher than the industry average of 0.3%. Since the same quarter one year prior, revenues rose by 25.6%. Growth in the company's revenue appears to have helped boost the earnings per share. EDU has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. To add to this, EDU has a quick ratio of 2.11, which demonstrates the ability of the company to cover short-term liquidity needs. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. In comparison to the other companies in the Diversified Consumer Services industry and the overall market, NEW ORIENTAL ED & TECH's return on equity significantly exceeds that of the industry average and is above that of the S&P 500. Powered by its strong earnings growth of 130.00% and other important driving factors, this stock has surged by 84.98% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, EDU should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year. NEW ORIENTAL ED & TECH reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. Stable earnings per share over the past year indicate the company has sound management over its earnings and share float. We anticipate these figures will begin to experience more growth in the coming year. During the past fiscal year, NEW ORIENTAL ED & TECH's EPS of $0.87 remained unchanged from the prior years' EPS of $0.87. This year, the market expects an improvement in earnings ($1.33 versus $0.87). You can view the full analysis from the report here: EDU Ratings Report STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Stock quotes in this article: EDU 

Top 5 Casino Stocks To Watch For 2014

The regional gaming market continues to be in a funk, following trends in the rest of the economy. Penn National's (NASDAQ: PENN  ) first-quarter earnings show progress in some areas and a maddeningly slow recovery in others. �

Overall, revenue rose 8% from a year ago to $798.2 million -- just slightly below the company's own guidance. Adjusted EBITDA rose 10% to $220.7 million and net income dropped 17% to $65.3 million, or $0.63 per share.

Growth was driven by the opening of Hollywood Casino Toledo, Hollywood Casino Columbus, and the acquisition of Hollywood Casino St. Louis, so it wasn't organic in nature. The company is planning to build another resort near San Diego and finish an expansion in St. Louis, and is proposing an $807 million project in Massachusetts.

Top 5 Casino Stocks To Watch For 2014: Monarch Casino & Resort Inc (MCRI)

Monarch Casino & Resort, Inc. (Monarch), incorporated in 1993, through its wholly owned subsidiary, Golden Road Motor Inn, Inc. (Golden Road), owns and operates the Atlantis Casino Resort Spa(the Atlantis), a hotel/casino facility in Reno, Nevada. Monarch�� other wholly owned subsidiaries, High Desert Sunshine, Inc. (High Desert) and Golden North, Inc. (Golden North), each own separate parcels of land located adjacent to the Atlantis. The Company owns and operates the Atlantis Casino Resort Spa, which is located approximately three miles south of downtown in the area of Reno, Nevada. The Atlantis features approximately 61,000 square feet of casino space; a hotel with 824 guest rooms and suites; ten food outlets; an enclosed year-round pool with waterfall; an outdoor pool; a health spa; two retail outlets offering clothing and resort gift shop merchandise; a full service salon for men and women; an 8,000 square-foot family entertainment center; and approximately 52,000 square feet of banquet, convention and meeting room space. During the year ended December 31, 2011, the Company acquired 1.5 acre parcel of developable land contiguous to the Riviera Black Hawk Casino.

In April 2012, it acquired Riviera Black Hawk, Inc.

The Atlantis Casino offers approximately 1,450 slot and video poker machines; approximately 39 table games, including blackjack, craps, roulette and others; a race and sports book; keno and a poker room. The Atlantis includes three contiguous high-rise hotel towers with 824 rooms and suites. The Atlantis includes three contiguous high-rise hotel towers with a total of 824 rooms and suites. The first of the three hotel towers contains 160 rooms and suites in 13 stories. The 19-story second hotel tower contains 278 rooms and suites. The third tower contains 386 rooms and suites in 28 stories.

The Atlantis hotel rooms feature designs and furnishings consistent with the Northern Nevada market, as well as nine-foot ceilings (most standard hotel rooms have eig! ht-foot ceilings), which create an open and spacious feel. The third hotel tower features a four-story waterfall with an adjacent year-round swimming pool in a climate controlled, five-story glass enclosure, which shares an outdoor third floor pool deck with a seasonal outdoor swimming pool and year round whirlpool. A full-service salon (the Salon at Atlantis) overlooks the third floor sundeck and outdoor seasonal swimming pool and offers salon-grade products and treatments for hair, nails, skincare and body services for both men and women. A health spa is located adjacent to the swimming areas, which offers treatments and amenities. The hotel rooms on the spa floor are designated as spa rooms and feature decor that is themed consistent with the spa. Certain spa treatments are also available in spa floor hotel rooms. The hotel also features glass elevators rising the full 19 and 28 stories, of the respective towers providing views of the Reno area and the Sierra Nevada mountain range.

The Atlantis has eight restaurants, two gourmet coffee bars and one snack bar. It includes 160-seat Atlantis Steakhouse gourmet restaurant; the 200-seat upscale Bistro Napa featuring a centrally located wine cellar; the Oyster Bar restaurant in the Sky Terrace offering fresh seafood, soups and bisques made to order; the Sushi Bar, also in the Sky Terrace, offering a variety of fresh raw and cooked sushi specialties, including all-you-can-eat lunch and dinner selections. The Oyster Bar and Sushi Bar can accommodate up to 139 guests; The 178-seat 24-hour Purple Parrot coffee shop; the 122-seat Cafe Alfresco restaurant serving a full menu, pizzas prepared in a wood-fired, brick oven and a variety of gelato deserts; the 170-seat Manhattan Deli restaurant specializing in piled-high sandwiches, soups, salads and desserts; two gourmet coffee bars, offering specialty coffee drinks, pastries and desserts made fresh daily in the Atlantis bakery; a snack bar and soda fountain serving ice cream and arcade-style refreshmen! ts.

The Sky Terrace is a structure with a diamond-shaped, blue glass body suspended approximately 55 feet, and spanning 160 feet across, South Virginia Street. The Sky Terrace connects the Atlantis with additional parking on its 16-acre site across South Virginia Street from the Atlantis. The structure rests at each end on two 100-foot tall Grecian columns with no intermediate support pillars. The interior of the Sky Terrace contains the Oyster Bar, the Sushi Bar, a video poker bar, banks of slot machines and a lounge area with oversized leather sofas and chairs.

Advisors' Opinion:

• [By Ben Levisohn]

  Monarch Casino & Resort (MCRI) fell 15% to $18.71 after revenue missed forecasts today.

  Stamps.com (STMP) fell 6.2% today ahead of its earnings results. It beat earnings after the close today.

• [By Vanina Egea] ong>Risks and Valuation

  Although the Chinese government will maintain its gambling restrictions in the mainland over the next decade, Sand Corp�� market share and leverage in fixed costs will continue to riel in strong revenue growth from this region. Fiscal 2013 marked a 24.80% revenue increase ($13.8 billion) and operating margins continue to expand at the same pace. Despite the inherent risk of an economic slowdown in Asia or a recession in the U.S., which could put a halt to leisure spending, the company is well prepared to balance out any short-term losses. The casino operator�� EBITDA growth of 65.30%, for example, is an impressive result when compared to the industry�� average of 4.90%.

  Looking forward, earnings per share are expected to continue their fast-paced upward trend, having jumped from $1.56 in 2011 to $2.79 at the end of fiscal 2013. The 21.6% return on equity, as well as 1.80% dividend yield should also be attractive to shareholders and future investors. Although Las Vegas Sand Corp is currently trading at a 24% price premium relative to the industry average of 22.60x trailing earnings, I feel very bullish about this firm�� long term profitability, given its strong market position in Asia.

  Disclosure: Vanina Egea holds no position in any stocks mentioned.

  
  Also check out: Andreas Halvorsen Undervalued Stocks Andreas Halvorsen Top Growth Companies Andreas Halvorsen High Yield stocks, and Stocks that Andreas Halvorsen keeps buying
  About the author:Vanina EgeaA fundamental analyst at Lone Tree Analytics

  Visit Vanina Egea's Website

• [By Jeremy Bowman]

  What: Shares of Monarch Casino & Resort (NASDAQ: MCRI  ) were cooling off today, falling as much as 20% after the company's earnings report failed to impress.

Top 5 Casino Stocks To Watch For 2014: Caribbean International Holdings Inc (CIHN)

Caribbean International Holdings Inc., formerly Caribbean Casino and Gaming Corporation, incorporated on February 12, 2009, is focused in the gaming and entertainment company. The Company has a gaming casino, located in the city of Sousa, in the Dominican Republic. In April 2012, it acquired exclusive rights to distribute Bionic Products' Energy Drinks throughout the Caribbean, South and Central America.

The Sosua Bay Grand Casino provides the gaming and entertainment experience to the Domincan Republic. It is equipped with a state of the art lighting and sound system.

Advisors' Opinion:

• [By Peter Graham]

  Small cap stocks Caribbean International Holdings (OTCMKTS: CIHN), Blue Water Global Group Inc (OTCBB: BLUU) and Metrospaces Inc (OTCMKTS: MSPC) have been getting some attention lately in various investment newsletters and all three have focused their activities in the Caribbean or South America. However, all three have been the subject of paid promotions which have helped to get them mentions in various investment newsletters. With that in mind, will bets on the Caribbean or South America pay off big for these three small cap stocks and their investors? Here is a quick reality check:

  Caribbean International Holdings (OTCMKTS: CIHN) is All About Wings, Mechanical Bulls and Stem Cells

  Formerly known as Caribbean Casino & Gaming Corp, small cap Caribbean International Holdings operates as a holding company. On Friday, Caribbean International Holdings rose 8.39% to $0.0369 for a market cap of $315,400 plus CIHN is up 985.3% over the past year and up 7,280% over the past five years according to Google Finance.

Top 5 Performing Companies To Invest In 2014: PhilWeb Corp (WEB)

PhilWeb Corporation is a Philippines-based Internet gaming company. The Company focused its activities on building its Internet-based products and services. The Company is engaged in providing products and services within a particular economic environment. It operates in two geographical segments: domestic operations and foreign operations. Its subsidiaries include BigGame, Inc., operates Internet casino station operations; Premayo sa Resibo, Inc., develops and markets computer systems, applications, programs and operates gaming platforms; PhilWeb Casino Corporation, develops, engages and maintains gaming systems and applications for all types of casino operations; e-Magine Gaming Corporation, develops technology, and PhilWeb Leisure & Tourism Corporation, establishes, operates and maintains leisure and tourism-oriented activities. Effective December 13, 2013, ePLDT Inc, a wholly owned unit of Philippine Long Distance Telephone Co acquired a 27.283% interest in Philweb Corp. Advisors' Opinion:

• [By Geoff Gannon]

  Always touchable money is cash. For individuals, there's little reason for it not to be a simple bank account, money market fund, etc. For most investors, you can just let this stock sit in your brokerage account. Many brokers will sweep unused cash into a money market account ��or other form of savings ��where it can earn a tiny amount of interest for you while staying totally liquid. One advantage of keeping cash in this form is that you can look at your cash and stock positions on the same (web)page any time you want. So, for example, if you know you want to keep 10% of your portfolio in cash ��you can see that you have $12,000 in cash as part of your $120,000 brokerage account and that means you are right on target with your liquidity goal.

Top 5 Casino Stocks To Watch For 2014: Tropicana Entertainment Inc (TPCA)

Tropicana Entertainment Inc. (TEI) is an owner and operator of regional casino and entertainment properties located in the United States and one casino resort development located on the island of Aruba. TEI�� United States properties include three casinos in Nevada, three casinos in Mississippi, and one casino in each of Indiana, Louisiana and New Jersey. Its properties offer a range of gaming options. TEI�� properties include Tropicana AC in the East; Casino Aztar in Central; Tropicana Laughlin, River Palms and MontBleu in the West; Lighthouse Point, Jubilee, Belle of Baton Rouge, Horizon Vicksburg and Tropicana Aruba in the South and Other.

Tropicana AC

Tropicana Casino and Resort, Atlantic City (Tropicana AC) is situated on a 14-acre site with approximately 660 feet of ocean frontage in Atlantic City, New Jersey. In addition to gaming facilities, the property features The Quarter, a Havana-themed, Las Vegas-style, approximately 200,000 square-foot indoor entertainment and retail center, hosting several restaurants, shops and an IMAX theatre. Other amenities include a 2,000-seat showroom, a full service spa and salon, a health club and indoor pool, a beach and pool bar and approximately 99,000 square feet of meeting and convention space.

Casino Aztar

Casino Aztar Evansville (Casino Aztar) is a casino hotel and entertainment complex in the state of Indiana. Over 60% of Casino Aztar's revenues come from customers within a 50-mile radius. The property's casino operations are located dockside on the three-deck City of Evansville riverboat. Located adjacent to the casino, the Company owns two distinctive hotels: the Casino Aztar Hotel, a 251-room hotel that offers guests a restaurant, conference rooms and banquet facilities; and Le Merigot Hotel, a luxurious 96-room boutique hotel with an upscale martini lounge. A 44,000-square-foot pavilion adjacent to the riverboat features three restaurants, an entertainment lounge, gift shop, coffee shop, pla! yers club and VIP lounge. The District at Casino Aztar includes two restaurants and the Le Merigot Hotel. Casino Aztar also includes a seven-story parking garage, as well as surface parking.

Tropicana Laughlin

Tropicana Laughlin Hotel and Casino (Tropicana Laughlin) is located on an approximately 31-acre site on Casino Drive, Laughlin. The casino at Tropicana Laughlin features a gaming floor. Non-gaming amenities include a heated outdoor swimming pool, seven restaurants, three full service bars, an entertainment lounge with live music, a lounge for high-end players, an 800-seat multi-purpose showroom and concert hall, meeting space, retail stores, an arcade and a covered parking structure. The property features 1,495 hotel rooms.

River Palms

River Palms Hotel and Casino (River Palms) is located on an approximately 35-acre site also on Casino Drive, with approximately 1,300 feet of frontage on the Colorado River. Non-gaming amenities include 1,001 hotel rooms, 10,500 square feet of meeting and convention space, an outdoor pool, fitness center, three restaurants, three full service bars, a showroom, two entertainment lounges with live music and a covered parking structure.

MontBleu

MontBleu Casino Resort & Spa (MontBleu) is situated on approximately 21 acres in South Lake Tahoe, Nevada surrounded by the Sierra Nevada Mountains. In addition to the casino, the property offers guests a choice of three restaurants and various non-gaming amenities, including retail shops, two nightclubs, a 1,500-seat showroom, approximately 14,000 square feet of meeting and convention space, a parking garage, a full service health spa and workout area, an indoor heated lagoon style pool with whirlpool and a 120-seat wedding chapel.

Lighthouse Point

Lighthouse Point Casino (Lighthouse Point) is a 210-foot, three-deck, dockside riverboat located in Greenville, Mississippi. In addition to slot machines, the riverboat inc! ludes a d! eli and bars on each floor while the dockside facility includes a buffet, a bar and 386 onsite surface parking spaces.

Jubilee

Bayou Caddy's Jubilee Casino (Jubilee), a 240-foot dockside riverboat, is located in Greenville. In addition to the casino facilities, the property includes a bar on each floor, a deli and approximately 700 parking spaces. The property also owns and operates the Greenville Inn & Suites, a 41-room suite hotel located less than a mile away, which offers free shuttle service to and from Jubilee and Lighthouse Point.

Belle of Baton Rouge

Belle of Baton Rouge Casino & Hotel (Belle of Baton Rouge) is a dockside riverboat situated on approximately 23 acres on the Mississippi River in the downtown historic district of Baton Rouge, across from the River Center, a 70,000-square-foot convention center. The three-deck, dockside riverboat casino is one of two casino facilities in the Baton Rouge market. Baton Rouge is located 75 miles north of New Orleans. Non-gaming amenities include 300 hotel rooms, 25,000 square feet of meeting and convention space, an outdoor pool, a fitness center, two restaurants, a deli, and an entertainment venue inside a 50,000-square-foot glass atrium that also encloses a tropical lobby.

Horizon Vicksburg

Horizon Vicksburg Casino (Horizon Vicksburg) is a dockside riverboat situated on approximately six acres in downtown Vicksburg, Mississippi. The property features a 297-foot multi-level, antebellum style, dockside riverboat casino housing. Additional amenities include 117 hotel rooms, a restaurant, two covered parking garages as well as additional surface parking. In December 2010, the Company entered into an agreement to sell all of the assets and certain liabilities associated with the operation of Horizon Vicksburg.

Tropicana Aruba

The Company operates timeshare and rental units at Tropicana Aruba Resort & Casino (Tropicana Aruba), a casino resort und! er develo! pment in Noord, Aruba. This resort will have approximately 361 timeshare and rental units, an approximately 16,000 square foot permanent casino, two pools, a swim-up bar & grill, a fitness center and tennis courts, which will be located on approximately 14 acres near Eagle Beach.

Advisors' Opinion:

• [By Igor Greenwald]

  A majority stake in casino operator Tropicana Entertainment (TPCA) also began with a Chapter 11 restructuring.

  From January 1, 2000 to June 10, 2013, Icahn Enterprises has averaged a 20% annual return, multiplying investors' money nearly 12-fold. Berkshire-Hathaway (BRK-B) has managed only a triple over the same span.

Top 5 Casino Stocks To Watch For 2014: NanoTech Entertainment Inc (NTEK)

NanoTech Entertainment, Inc. (NanoTech), formerly Aldar Group, Inc., is a provider of gaming technology for the coin-op arcade, casino gaming and consumer gaming markets. The Company operates as a manufacturer, developing technology and games, and then licensing them to third parties for manufacturing and distribution. As of June 30, 2009, the Company�� products included MultiPin, Xtreme Rally Racing, NanoNET Online System, Pinball Wizard, Mot-Ion Adapter, Opti-Gun Adapter and Retr-IO Adapter. In April 2009, the Company acquired NanoTech Entertainment, Inc. In July 2013, NanoTech Entertainment Inc completed the acquisition of Clear Memories, Inc. of Napa California. Effective August 9, 2013, NanoTech Entertainment Inc acquired Worldwide Global Entertainment, a developer of prepackaged software.

The Company�� physics engine and motion sensors allow MultiPin to accurately recreate the experience of a mechanical pinball machine, while providing players with a variety of classic and modern pinball games to choose from. Xtreme Rally Racing is a driving machine that features three modes of game play: Xtreme Off-Road-Race Head to Head against other players and the computer to checkpoints while driving anywhere on the map with no preset course; Timed Rally Stages-Classic Rally Racing on real world courses. Players will be able to race in five different countries on real world rally courses, and Xtreme Stadium Racing-Custom Stadiums designed for Xtreme racing, including a figure eight multi-lap course with huge jumps. NanoNET Online System is remote operator control of machines, including diagnostics, accounting reports, and automatic software updates and enhancements downloaded over the net.

The Company has created the input device designed to give the pinball players a way to experience real pinball controls on their personal computer. Based on the technology developed for the MultiPin product it has built a controller that lets people play pinball using traditional controls and! the ability to shake and nudge the table. The Mot-Ion adapter is a universal serial bus (USB) adapter that allows do it yourself Pinball enthusiasts to build their own cabinet using real pinball controls providing analog inputs for nudging and bumping. The OptiGun adapter is a USB adapter that allows players to connect Arcade Light Guns to any USB based system. The Retr-IO adapters provide a standard JAMMA interface for USB based systems.

Advisors' Opinion:

• [By Bryan Murphy]

  Call them hunches (because that's all they are), but now would be a great time to get out of a NanoTech Entertainment, Inc. (OTCMKTS:NTEK) position and/or get into an ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD). NTEK looks like its reached its maximum potential - for the time being - while ACAD looks like it's ready to start rolling higher again.

Federal Court Invalidates Pfizer Inc. Celebrex Patent (PFE)

The New York-based pharmaceutical bellwether, Pfizer (PFE), announced on Wednesday that a federal court had invalidated its patent on Celebrex, a well-known painkiller. 

The invalidated patent would have offered Pfizer an additional 18 months of exclusivity in the United States, and essentially a monopoly, on sales of its popular painkiller Celebrex. The U.S. Patent and Trademark Office had previously granted the company a “reissue patent” one year ago; this patent was intended to extentd U.S. patent protection of Celebrex through December 2nd, 2015 from May 30th, 2014 originally. Pfizer said that it disagrees with the court’s “invalidated” ruling and is looking for an immediate appeal of the decision.

The company is slated to go to trial next week as it plans to challenge six generic drug companies for alleged infringement on its Celebrex patent. Celebrex generated global sales of over $2.9 billion in 2013 for the company; this figure is likely to decrease if the company begins to face competition from generic versions of its blockbuster painkiller [see also Dow 30 Dividends: Everything You Need to Know].

Pfizer shares sank lower during today’s trading session, shedding $0.44, or 1.4%, as the closing bell rang. The stock is up just over 13% year-to-date.

Mortgage Applications Slip in Latest Week

Daniel Acker/Bloomberg via Getty Images NEW YORK -- Applications for U.S. home mortgages fell in the latest week as interest rates edged higher, an industry group said Wednesday. The Mortgage Bankers Association said its seasonally adjusted index of mortgage application activity, which includes both refinancing and home purchase demand, fell 2.1 percent to 373.3 in the week ended March 7. The index hit its lowest level since December 2000 at the end of last year, soon after the U.S. Federal Reserve announced it would start reducing its $85 billion per month bond-buying program as the economy grows strong enough to stand on its own. The interest rate on fixed 30-year mortgages averaged 4.52 percent last week, up 5 basis points from the previous week. The MBA's seasonally adjusted index of refinancing applications fell 3.1 percent. The gauge of loan requests for home purchases, a leading indicator of home sales, fell 0.5 percent. The survey covers more than 75 percent of U.S. retail residential mortgage applications, according to MBA.