Tender writing service providers provide a very specialized task that a lot of companies do not have the resources to do properly. It is a problem which is confronted by several organizations that have the true infrastructure to accomplish the proposed job with superb expertise to their consumers nonetheless they might not be able to put together the required documents which is necessary to put together this sort of deal. This kind of provider has the expertise to help these businesses through this process and increase their chances of winning the bid.
Plenty of businesses, specifically smaller firms, find it hard to write bids or proposals that will give them the opportunity to achieve further business. Other smaller companies may have issues with explaining precisely how their products and services can provide the perfect solution for their project that they are working on. Utilizing a supplier that will carry out this professional degree of proposal writing service for these kinds of businesses can really help.
These proposal writing companies do more than prepare tenders and bids. They can perform a number of different functions for all types of businesses. These extra features will assist their consumer to place a bid for any kind of contract. These companies will draft and create the whole proposal.
The proposal author will comprehend the standards essential to win a proposal. There are distinct methods that are used to structure an excellent proposal that these companies have the skills and experience to perform. Every agreement has a different value and a few are actually worth several million dollars. A few of these contracts can turn out to be extremely complicated. For all those that aren’t educated concerning the methods of drafting these contracts and all the paperwork that’s concerned, then they are able to depend on these proposal composing companies.
They’ll assist them with pointing out all of the positive attributes of the com! pany. Th ey will help them articulate their positive selling points. Many companies know their positive points but they do not know how to present them in a proposal. These proposal writers will be able to express this in a manner that will increase the probability of winning the proposal. They will also assist with helping the company determining the risks associated to the project that they are tendering for, allowing them to be fully aware of what to expect if they win the tender.
They can analyze the contract prior to placing the bid. The will assist the company in figuring out the benefits and drawbacks of the contract prior to placing the actual bid. A part of their service is to provide advice to companies interested in placing a certain bid. These providers can offer advice on a number of different matters.
A great tender and bid writing service will carry out lots of various features to assist an organization to win a bid. The will represent the companies that they work for and will help to create a winning proposal. A well-written proposal will impress any company and will give them the confidence that the particular company will be able to provide a good job.
S2 Tender Solutions are bid writing specialists who specialise in writing winning PQQ documents and public sector tenders.
Wednesday, April 25, 2012
Sunday, April 22, 2012
Apple: BMO Ups iPad Estimate on Enterprise Prospects
BMO Capital‘s Keith Bachman this afternoon reiterated an Outperform rating on shares of Apple (AAPL), while raising his price target to $675 from a prior $590, after raising his outlook for Apple’s iPhone and iPad unit sales this quarter and the rest of the year.
Bachman believes that the iPad will have increasing uptake in corporations, not just among consumers, he writes, citing in part a recent InformationWeek survey that showed support for tablets on some level spreading throughout corporate IT shops:
For the iPhone, given greater geographic distribution and carrier partnerships, Bachman raised his estimate for the current quarter to 30 million units from 29 million. For the full year, he raised his estimate to 124 million units from 120 million.
Bachman’s financial estimate for this quarter goes to $35.5 billion in revenue and $9.61 per share in profit, up from $34.3 billion and $9.16 a share. For the full year, he models $156.3 billion and $43.50, up from $153.3 billion and $42.33.
Fin
Bachman believes that the iPad will have increasing uptake in corporations, not just among consumers, he writes, citing in part a recent InformationWeek survey that showed support for tablets on some level spreading throughout corporate IT shops:
As part of our views on the tablet market, we think corporate adoption will help, regardless of the ultimate purchaser of the device. More specifically, we think both end consumers will buy tablets for work purposes, and corporations will increasingly buy tablets, and thereby stretch PC replacement cycles.
As a consequence, Bachman sees Apple’s iPad increasingly boosting its share not only of the traditional “PC market,” but also Apple’s shares of the market more broadly defined, including tablets as a computing device:We believe Apple will continue to gain share in the PC market, and we assume Apple�s share increases by about 100 bp from 5% in CY2011 to approximately 6% in CY2013. Importantly, if we look at iPads, we note that Apple�s share has also increased relative all product categories. The iPad�s share relative to the notebook market has increased from 7% in CY2010 to 19% in CY2011, and has increased from 4% in CY2010 to 11% in CY2011 relative to the total PC market. We believe this trend will continue, and we assume iPad share increases to 33% of the notebook market and 20% of total PC market in CY2013.
Bachman’s estimate for the iPad this quarter goes to 11 million from 10 million. ! That bri ngs his estimate for the fiscal year ending in September to 54.1 million units, up from 53.1 million previously.For the iPhone, given greater geographic distribution and carrier partnerships, Bachman raised his estimate for the current quarter to 30 million units from 29 million. For the full year, he raised his estimate to 124 million units from 120 million.
Bachman’s financial estimate for this quarter goes to $35.5 billion in revenue and $9.61 per share in profit, up from $34.3 billion and $9.16 a share. For the full year, he models $156.3 billion and $43.50, up from $153.3 billion and $42.33.
Fin
Best Wall St. Stocks Today: AAPL,MSFT
Don’t start a fight you can’t finish. The music industry did not capitulate to Apple’s (AAPL) suggestion that it allow music to be downloaded without digital rights management. It countered by saying that Apple’s closed iTune system was the major roadblock to a more robust song download environment.
The Recording Industry Association of America wants Apple to open up its anti-piracy system to all of its rivals. The Associated Press quoted the group as saying: "We have no doubt that a technology company as sophisticated and smart as Apple could work with the music community to make that happen."
Apple chief Steve Jobs has opened a Pandora’s Box he may wish he could close. Instead of pressuring the large music publishers to offer their content to DRM-free download access, he has been able to torque them off. That could make them favor rival systems like the Microsoft (MSFT) Zune, the platform that has suggested it share the revenue of its devices sales with the music companies.
Jobs needs to stay quiet.
Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.
The Recording Industry Association of America wants Apple to open up its anti-piracy system to all of its rivals. The Associated Press quoted the group as saying: "We have no doubt that a technology company as sophisticated and smart as Apple could work with the music community to make that happen."
Apple chief Steve Jobs has opened a Pandora’s Box he may wish he could close. Instead of pressuring the large music publishers to offer their content to DRM-free download access, he has been able to torque them off. That could make them favor rival systems like the Microsoft (MSFT) Zune, the platform that has suggested it share the revenue of its devices sales with the music companies.
Jobs needs to stay quiet.
Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.
Friday, April 20, 2012
Kforce Beats Up on Analysts Yet Again
Kforce (Nasdaq: KFRC ) reported earnings on Feb. 7. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Kforce beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded, and GAAP earnings per share expanded significantly.
Gross margins contracted, operating margins shrank, and net margins were steady.
Revenue details
Kforce reported revenue of $285.6 million. The eight analysts polled by S&P Capital IQ expected revenue of $281.7 million. Sales were 10% higher than the prior-year quarter's $258.5 million.
EPS came in at $0.20. The eight earnings estimates compiled by S&P Capital IQ averaged $0.19 per share. GAAP EPS of $0.20 for Q4 were 25% higher than the prior-year quarter's $0.16 per share.
For the quarter, gross margin was 31.2%, 70 basis points worse than the prior-year quarter. Operating margin was 4.1%, 20 basis points worse than the prior-year quarter. Net margin was 2.5%, about the same as the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $285.3 million. On the bottom line, the average EPS estimate is $0.15.
Next year's average estimate for revenue is $1.19 billion. The average EPS estimate is $0.86.
Investor sen! timentThe stock has a five-star rating (out of five) at Motley Fool CAPS, with 87 members rating the stock outperform and 10 members rating it underperform. Among 37 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 35 give Kforce a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kforce is outperform, with an average price target of $15.38.
Over the decades, small-cap stocks, like Kforce 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.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Kforce beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded, and GAAP earnings per share expanded significantly.
Gross margins contracted, operating margins shrank, and net margins were steady.
Revenue details
Kforce reported revenue of $285.6 million. The eight analysts polled by S&P Capital IQ expected revenue of $281.7 million. Sales were 10% higher than the prior-year quarter's $258.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
EPS detailsEPS came in at $0.20. The eight earnings estimates compiled by S&P Capital IQ averaged $0.19 per share. GAAP EPS of $0.20 for Q4 were 25% higher than the prior-year quarter's $0.16 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
Margin detailsFor the quarter, gross margin was 31.2%, 70 basis points worse than the prior-year quarter. Operating margin was 4.1%, 20 basis points worse than the prior-year quarter. Net margin was 2.5%, about the same as the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $285.3 million. On the bottom line, the average EPS estimate is $0.15.
Next year's average estimate for revenue is $1.19 billion. The average EPS estimate is $0.86.
Investor sen! timentThe stock has a five-star rating (out of five) at Motley Fool CAPS, with 87 members rating the stock outperform and 10 members rating it underperform. Among 37 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 35 give Kforce a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kforce is outperform, with an average price target of $15.38.
Over the decades, small-cap stocks, like Kforce 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 Kforce to My Watchlist.
Thursday, April 19, 2012
Few Tips Before Purchasing Your Stock
Financiers who acquired during the pinnacle of the frothy commodities rally are now panicking or kicking themselves. Neither activity helps a speculator or trader think straight. Below are 1 or 2 tips in handling the present market shakeout.
1. If you think you invested in the right stock (s), then turn off your personal computer and do something pleasurable. Exercising is a great stress reliever. The market has started its shakeout. If you did not get stopped out, or didn’t place earlier stops, your best opportunity lays ahead in picking up additional shares at a much lower price. Almost all of the mavens we’ve interviewed let us know the following rally should start sometime between late July and Work Day. In an effort to interview the uranium guru James Dines in late May, we were told, “Call back in two months.” That was a beneficial clue the markets were less than exciting. Mr. Dines is typically enthusiastic to be interviewed, but lately he wasn’t.
2. Do you suspect the basics which engendered the commodities boom have changed? If they have not, then the bullishness is only taking a breather. We do not see any elemental change in the markets. Russia still wants nuclear power, and its oil production might be topping. China has not said the end of its nuclear enlargement program. India wants to spend $40 bill on new nuclear reactors. If you’re invested in uranium stocks, spot uranium jumped another buck to $45 / pound this past week.
3. If you stress about your investment in one stock or another, then stop watching the ticker and target the company fundamentals. Is the tale still true or has it modified? See seven A, B and C below.
4. There’s an old clich? The time to buy is when you’re feeling like junking everything you own in the class. At the precise moment you would like to sell your whole portfolio of uranium stocks, it could be wiser to contribute to your holdings. This applies prin! cipally to the retail financier. The majority of the execs did dump at the top and are now slowly amassing the paper of the nave who waited till the disaster to start to sell off.
5. Has a major, earth-shattering event happened? The last bull cycle in uranium stopped with 3 Mile Island (TMI). The last decent rally in the expensive metals markets dropped off a cliff after it was found Bre-X Minerals had committed a crime about its gold ‘discovery ‘ in Indonesia. Something heavy and newsworthy always transpires, and it’s also wide-ranging. That’s the trigger. As with TMI and Bre-X, those were the 1st shots which launched a later chain reaction to finish those bull markets.
6. Before pulling the sell trigger, ask: Do I need to give up these shares to a deal cellar hunter, who will make a lot of money on my losses?
7. Since the majority of you’ll still panic, please review the following basics for any of the uranium firms you have read about:
A) How much money does the Firm have in the bank? During shakeouts, money is king. Prescient firms, which finished their financings in the current and powerful rally, are sitting pretty. They can weather the short term tempest and are well-oiled to progress when this correction bottoms and reverses. Those corporations are the most powerful ones to test out when this correction looks most gloomy.
B) Has the management stayed the same? Unless the top money and / or technical folk blew out the door, recently, the story possibly has not changed much. Corporations which constructed a robust technical team are adaptable and powerful. They’re going to move forward.
C) Have the properties come up dry? One reason you invested in a uranium company was as it claimed it had “pounds in the ground.” Some firms have more than others. Some went to the cost and difficulty of completing a Nationwide Instrument 43-101, which independently confirmed the quality and quantity of the uranium resource. If that modified! – and the company said, “Sorry, nothing there after all,” or voiced, “Hey, we were kidding,” that’s one thing. If you have not heard that, or read a press release announcing that, then the uranium did not walk away or move onto a competitor’s property. It’s still there.
Next time, when the markets are racing higher, and you are feeling like you won the lotto, think about this bit of biblical guidance. The old joke goes, “at what point did Noah build his ark?” The answer naturally is: Before it started to rain.
Looking to find the best deal on crash of 1929, then visit my website to find the best advice on free stock market quotes for you.
1. If you think you invested in the right stock (s), then turn off your personal computer and do something pleasurable. Exercising is a great stress reliever. The market has started its shakeout. If you did not get stopped out, or didn’t place earlier stops, your best opportunity lays ahead in picking up additional shares at a much lower price. Almost all of the mavens we’ve interviewed let us know the following rally should start sometime between late July and Work Day. In an effort to interview the uranium guru James Dines in late May, we were told, “Call back in two months.” That was a beneficial clue the markets were less than exciting. Mr. Dines is typically enthusiastic to be interviewed, but lately he wasn’t.
2. Do you suspect the basics which engendered the commodities boom have changed? If they have not, then the bullishness is only taking a breather. We do not see any elemental change in the markets. Russia still wants nuclear power, and its oil production might be topping. China has not said the end of its nuclear enlargement program. India wants to spend $40 bill on new nuclear reactors. If you’re invested in uranium stocks, spot uranium jumped another buck to $45 / pound this past week.
3. If you stress about your investment in one stock or another, then stop watching the ticker and target the company fundamentals. Is the tale still true or has it modified? See seven A, B and C below.
4. There’s an old clich? The time to buy is when you’re feeling like junking everything you own in the class. At the precise moment you would like to sell your whole portfolio of uranium stocks, it could be wiser to contribute to your holdings. This applies prin! cipally to the retail financier. The majority of the execs did dump at the top and are now slowly amassing the paper of the nave who waited till the disaster to start to sell off.
5. Has a major, earth-shattering event happened? The last bull cycle in uranium stopped with 3 Mile Island (TMI). The last decent rally in the expensive metals markets dropped off a cliff after it was found Bre-X Minerals had committed a crime about its gold ‘discovery ‘ in Indonesia. Something heavy and newsworthy always transpires, and it’s also wide-ranging. That’s the trigger. As with TMI and Bre-X, those were the 1st shots which launched a later chain reaction to finish those bull markets.
6. Before pulling the sell trigger, ask: Do I need to give up these shares to a deal cellar hunter, who will make a lot of money on my losses?
7. Since the majority of you’ll still panic, please review the following basics for any of the uranium firms you have read about:
A) How much money does the Firm have in the bank? During shakeouts, money is king. Prescient firms, which finished their financings in the current and powerful rally, are sitting pretty. They can weather the short term tempest and are well-oiled to progress when this correction bottoms and reverses. Those corporations are the most powerful ones to test out when this correction looks most gloomy.
B) Has the management stayed the same? Unless the top money and / or technical folk blew out the door, recently, the story possibly has not changed much. Corporations which constructed a robust technical team are adaptable and powerful. They’re going to move forward.
C) Have the properties come up dry? One reason you invested in a uranium company was as it claimed it had “pounds in the ground.” Some firms have more than others. Some went to the cost and difficulty of completing a Nationwide Instrument 43-101, which independently confirmed the quality and quantity of the uranium resource. If that modified! – and the company said, “Sorry, nothing there after all,” or voiced, “Hey, we were kidding,” that’s one thing. If you have not heard that, or read a press release announcing that, then the uranium did not walk away or move onto a competitor’s property. It’s still there.
Next time, when the markets are racing higher, and you are feeling like you won the lotto, think about this bit of biblical guidance. The old joke goes, “at what point did Noah build his ark?” The answer naturally is: Before it started to rain.
Looking to find the best deal on crash of 1929, then visit my website to find the best advice on free stock market quotes for you.
Wednesday, April 18, 2012
Best Wall St. Stocks Today: GRPN,CS,RTP,GOOG,WSJ,AAPL,PTR,GS,AIG,NYT,BP
Greek ministers will go to Brussels to meet with EU officials about restructuring of debt, but several details have not been resolved. (Reuters)
Groupon�(NASDAQ: GRPN) posts earnings that trouble Wall St. and its shares fall by 10%. (Reuters)
A deal on mortgage data and foreclosures between five banks and state attorneys general is close to being done. The amount of the settlement will be about $25 billion. (Reuters)
Credit Suisse (NYSE: CS) posts a drop in Q4 results. (Reuters)
Rio Tinto�(NYSE: RTP) posts poor results due to metal prices. (Reuters)
Levovo beats earnings forecasts as its market share rises, and it will produce a TV product for Chinese consumers. (Reuters)
Google (NASDAQ: GOOG) to launch a cloud storage product. (WSJ)
The House probably will approve a bill to regulate insider trading by members of Congress and their staffs. (WSJ)
China and Canada to increase official trade relations. (WSJ)
China�s CPI rises to 4.5% in January — up from 4.1% in December. (WSJ)
Some car companies press sales in Indonesia as the number of drivers there surges. (WSJ)
Chrysler may set a deal with banks for consumer and dealer loans that would replace its relationship with Ally. (WSJ)
Apple (NASDAQ: AAPL) tightens it approval process for apps used on the iPad and iPhone. (WSJ)
Petrobras�(NYSE: PTR) estimates of its reserves and the P&L they may create could be too optimistic. (WSJ)
Goldman Sachs (NYSE: GS) buys much of AIG�s (NYSE: AIG) troubled bond portfolio, which dates back to 2008. (WSJ)
Two million homeowners could benefit from a $25 billion settlement over mortgages reached between five banks and the government. (NYT)
Car sales in China fall 24% in January. (NYT)
Young people are watching TV more and more on PCs. (NYT)
BP (NYSE: BP) is conversing with the U.S. government over claims from the Deepwater Horizon oil spill and may settle. (Bloomberg)
Sarkozy�s approval ratings in Fra! nce are near all-time lows for a president. (Bloomberg)
Douglas A. McIntyre
Groupon�(NASDAQ: GRPN) posts earnings that trouble Wall St. and its shares fall by 10%. (Reuters)
A deal on mortgage data and foreclosures between five banks and state attorneys general is close to being done. The amount of the settlement will be about $25 billion. (Reuters)
Credit Suisse (NYSE: CS) posts a drop in Q4 results. (Reuters)
Rio Tinto�(NYSE: RTP) posts poor results due to metal prices. (Reuters)
Levovo beats earnings forecasts as its market share rises, and it will produce a TV product for Chinese consumers. (Reuters)
Google (NASDAQ: GOOG) to launch a cloud storage product. (WSJ)
The House probably will approve a bill to regulate insider trading by members of Congress and their staffs. (WSJ)
China and Canada to increase official trade relations. (WSJ)
China�s CPI rises to 4.5% in January — up from 4.1% in December. (WSJ)
Some car companies press sales in Indonesia as the number of drivers there surges. (WSJ)
Chrysler may set a deal with banks for consumer and dealer loans that would replace its relationship with Ally. (WSJ)
Apple (NASDAQ: AAPL) tightens it approval process for apps used on the iPad and iPhone. (WSJ)
Petrobras�(NYSE: PTR) estimates of its reserves and the P&L they may create could be too optimistic. (WSJ)
Goldman Sachs (NYSE: GS) buys much of AIG�s (NYSE: AIG) troubled bond portfolio, which dates back to 2008. (WSJ)
Two million homeowners could benefit from a $25 billion settlement over mortgages reached between five banks and the government. (NYT)
Car sales in China fall 24% in January. (NYT)
Young people are watching TV more and more on PCs. (NYT)
BP (NYSE: BP) is conversing with the U.S. government over claims from the Deepwater Horizon oil spill and may settle. (Bloomberg)
Sarkozy�s approval ratings in Fra! nce are near all-time lows for a president. (Bloomberg)
Douglas A. McIntyre
Tuesday, April 17, 2012
5 Reasons to Worry About 2012
As soon as 2011 counted down to zero -- and we began to sing something about old acquaintances -- it was time to get excited about 2012.
The economy isn't perfect, but it's showing some signs of life. Unemployment levels are still high, but companies are operating more efficiently with the folks they have. Surely corporate America is in for a strong year of bottom-line growth, right?
Well, not right.
Every week I single out a few companies expected to post lower quarterly results than they did a year earlier. I follow that up with a list of companies that will thankfully post actual earnings growth.
I'm going to do things a little differently right now. I am going to go over five publicly traded companies that analysts see earning less here in 2012 than they did in 2011. They may be in the minority now as Wall Street generally waxes positive on the profit potential of most companies, but there are more than a few companies to keep an eye on that are going the wrong way.
Let's start at the top with Annaly Capital.
The real estate investment trust investing in mortgage-backed securities is popular around Fooldom, largely for its chunky 14.2% yield. Yes, that's not a typo. The problem is that the niche itself lost investors money last year, as meaty dividends weren't enough to offset larger losses at some mortgage REITs. More specific to Annaly's situation, what do you think happens to a REIT's yield if its earnings shrink? We may be about to find out this year.
Specialty glass giant Corning has been strumbling lately. Strumbling? Sure, that's when a company is both stumbling and struggling. Look it up. It probably exists. Corning hosed down its fourth-quarter guidance on soft demand for its Gorilla Glass, lower glass prices in general, and losing a contract with a major South Korean customer. Things have to get better? Not really. The pros now see Corning's profitability dipping slightly in 2012.
Dangdang went public a little more than a year ago as a fast-growing Web-based retailer. Books are Dangdang's specialty, though it's been expanding into bigger ticket items. Unfortunately, it's not easy running an e-commerce operation in China where fulfillment costs can be prohibitive. Dangdang seemed to be closing in on profitability early last year, but now the profitless e-tailer is posting widening deficits.
For-profit post-secondary educators have gone from being seen as all-weather recession-resilient darlings to a problematic industry where aggressive marketing, dubious educational accomplishments, and terrible student loan repayment rates are eating away at key players. Strayer's profitability fell in 2011, and the pros see it losing ground again in 2012.
Finally, we have Exelixis. The biotech working on potential cancer treatments has ha! d a year of ups and downs on the regulatory approval front. It did manage to squeeze out a rare profit along the way, but Wall Street's ready for another steep deficit this year. Perhaps even more problematic -- eyeing the next four quarters -- is that analysts see the company's deficits accelerating with every passing quarter.
Why the long face, short-seller?
This doesn't necessarily mean that investors should run the other way from these stocks. Exelixis may finally gain the FDA approval it seeks. Who knows where Annaly will be a year from now if the volatile nature of the mortgage-backed securities market actually improves.
However, as things stand right now, these aren't pretty places to be.
The good news here is that Wall Street already expects these companies to deliver shrinking bottom lines. I wasn't tapping into some secret data bank to pull out the projections for the year that lies ahead. In other words, the bad news is already baked into the shares.
The more I think about it, the less worried I become.
If five reasons to worry aren't enough, let's make your future No. 6. There's a single shocking truth about your retirement that you may not know. It's part of a free report that won't be around forever, so check it out now.
The economy isn't perfect, but it's showing some signs of life. Unemployment levels are still high, but companies are operating more efficiently with the folks they have. Surely corporate America is in for a strong year of bottom-line growth, right?
Well, not right.
Every week I single out a few companies expected to post lower quarterly results than they did a year earlier. I follow that up with a list of companies that will thankfully post actual earnings growth.
I'm going to do things a little differently right now. I am going to go over five publicly traded companies that analysts see earning less here in 2012 than they did in 2011. They may be in the minority now as Wall Street generally waxes positive on the profit potential of most companies, but there are more than a few companies to keep an eye on that are going the wrong way.
Company | 2011 EPS (estimated) | 2012 EPS (estimated) | My Watchlist |
|---|---|---|---|
| Annaly Capital (NYSE: NLY ) | $2.41 | $2.29 | Add |
| Corning (NYSE: GLW ) | $1.79 | $1.71 | Add |
| Dangdang (Nasdaq: DANG ) | ($0.35) | ($0.55) | Add |
| Strayer Education (Nasdaq: STRA ) | $8.83 | $7.09 | Add |
| Exelixis (Nasdaq: EXEL ) | $0.04 | ($0.92) | Add |
Source: Thomson Reuters.
Clearing the tableLet's start at the top with Annaly Capital.
The real estate investment trust investing in mortgage-backed securities is popular around Fooldom, largely for its chunky 14.2% yield. Yes, that's not a typo. The problem is that the niche itself lost investors money last year, as meaty dividends weren't enough to offset larger losses at some mortgage REITs. More specific to Annaly's situation, what do you think happens to a REIT's yield if its earnings shrink? We may be about to find out this year.
Specialty glass giant Corning has been strumbling lately. Strumbling? Sure, that's when a company is both stumbling and struggling. Look it up. It probably exists. Corning hosed down its fourth-quarter guidance on soft demand for its Gorilla Glass, lower glass prices in general, and losing a contract with a major South Korean customer. Things have to get better? Not really. The pros now see Corning's profitability dipping slightly in 2012.
Dangdang went public a little more than a year ago as a fast-growing Web-based retailer. Books are Dangdang's specialty, though it's been expanding into bigger ticket items. Unfortunately, it's not easy running an e-commerce operation in China where fulfillment costs can be prohibitive. Dangdang seemed to be closing in on profitability early last year, but now the profitless e-tailer is posting widening deficits.
For-profit post-secondary educators have gone from being seen as all-weather recession-resilient darlings to a problematic industry where aggressive marketing, dubious educational accomplishments, and terrible student loan repayment rates are eating away at key players. Strayer's profitability fell in 2011, and the pros see it losing ground again in 2012.
Finally, we have Exelixis. The biotech working on potential cancer treatments has ha! d a year of ups and downs on the regulatory approval front. It did manage to squeeze out a rare profit along the way, but Wall Street's ready for another steep deficit this year. Perhaps even more problematic -- eyeing the next four quarters -- is that analysts see the company's deficits accelerating with every passing quarter.
Why the long face, short-seller?
This doesn't necessarily mean that investors should run the other way from these stocks. Exelixis may finally gain the FDA approval it seeks. Who knows where Annaly will be a year from now if the volatile nature of the mortgage-backed securities market actually improves.
However, as things stand right now, these aren't pretty places to be.
The good news here is that Wall Street already expects these companies to deliver shrinking bottom lines. I wasn't tapping into some secret data bank to pull out the projections for the year that lies ahead. In other words, the bad news is already baked into the shares.
The more I think about it, the less worried I become.
If five reasons to worry aren't enough, let's make your future No. 6. There's a single shocking truth about your retirement that you may not know. It's part of a free report that won't be around forever, so check it out now.
Sunday, April 15, 2012
Six Juicy High Yield Bond ETFs For 2012
Equity markets have gotten off to a solid start in the new year, although looming Euro zone debt woes continue to breed some degree of pessimism and one piece of bad news from overseas is very well capable of sparking a broad sell-off that spills over onto Wall Street. The tug of war between positive economic data releases on the home front and turmoil in Europe continues, paving the way for volatile trading across asset classes as investors struggle to decipher which way the markets will tip next. Amidst the ongoing uncertainty, many investors are gravitating towards dividend-paying securities, particularly in the fixed income corner of the market, in an effort to favorably position themselves as the global financial drama develops in 2012.
High yield bonds, commonly refereed to as “junk bonds”, have taken on great appeal amongst investors looking to beef up their portfolios’ current return and further diversify their bond component [see our Fixed Income ETF Center]. With government debt woes still plaguing confidence in the markets and expectations for interest rates to remain low in the foreseeable future, it’s not much of a surprise to see investors opting for dividend-paying securities in the bond space in lieu of chasing after lucrative stock market returns.
The high yield bond segment is stacked with opportunities in 2012 as this corner of the bond market offers attractive upside potential, while also generating an appealing current return for investors willing to step into the space. Investing in this corner of the fixed income market may appeal to investors for a variety of reasons; first and foremost, the underlying fundamentals of this asset class suggest that the inherent risks are significantly fewer than many might expect. According to Fitch Ratings, the default rate for U.S. companies in the high yield universe is expected to be around 2.5-3%, well below the historical long-term average annual rate of 5.1%. Relatively lower rates of default translates into a more attractive risk/return profile for junk bond investors.
Another compelling piece of evidence from J.P. Morgan is the fact that high yield issuers are becoming more and more profitable, and leverage in the space has been broadly, and steadily decreasing since peaking in late 2009. Additionally, improving economic conditions coupled with robust corporate earnings (and record levels of cash on hand) are two key factors that may further reduce the risks associated with high yield debt notes. Compelling fundamental improvements in the junk bond space make this corner of the market difficult to ignore given the juicy dividends that are sure to impress even the most yield-hungry investors [see our Better-Than-AGG Total Bond Market ETFdb Portfolio].
Below we highlight six intriguing funds from the High Yield ETFdb Category that may perform well in 2012:
High yield bonds, commonly refereed to as “junk bonds”, have taken on great appeal amongst investors looking to beef up their portfolios’ current return and further diversify their bond component [see our Fixed Income ETF Center]. With government debt woes still plaguing confidence in the markets and expectations for interest rates to remain low in the foreseeable future, it’s not much of a surprise to see investors opting for dividend-paying securities in the bond space in lieu of chasing after lucrative stock market returns.
High Hopes For “Junk” Debt
Despite the rather unappealing “junk bond” label, high yield corporate debt may be one of the few bright spots in 2012 for those looking to enhance their current return without taking on considerable risk. While U.S. Treasuries are undoubtedly one of the “safest” segments of the bond market, their rock-bottom yields leave much to be desired [see International Bond ETFs: Cruising Through All The Options]. Furthermore, government bonds may come under pressure over the coming year if economic conditions at home continue to improve, which would in turn prompt investors to reallocate capital to more attrac! tive cor ners of the market.The high yield bond segment is stacked with opportunities in 2012 as this corner of the bond market offers attractive upside potential, while also generating an appealing current return for investors willing to step into the space. Investing in this corner of the fixed income market may appeal to investors for a variety of reasons; first and foremost, the underlying fundamentals of this asset class suggest that the inherent risks are significantly fewer than many might expect. According to Fitch Ratings, the default rate for U.S. companies in the high yield universe is expected to be around 2.5-3%, well below the historical long-term average annual rate of 5.1%. Relatively lower rates of default translates into a more attractive risk/return profile for junk bond investors.
Another compelling piece of evidence from J.P. Morgan is the fact that high yield issuers are becoming more and more profitable, and leverage in the space has been broadly, and steadily decreasing since peaking in late 2009. Additionally, improving economic conditions coupled with robust corporate earnings (and record levels of cash on hand) are two key factors that may further reduce the risks associated with high yield debt notes. Compelling fundamental improvements in the junk bond space make this corner of the market difficult to ignore given the juicy dividends that are sure to impress even the most yield-hungry investors [see our Better-Than-AGG Total Bond Market ETFdb Portfolio].
Below we highlight six intriguing funds from the High Yield ETFdb Category that may perform well in 2012:
- iShares iBoxx High Yield Corporate Bond Fund (HYG): This is the biggest offering in the space with nearly $11.7 billion in assets under management. HYG holds over 450 high yield, U.S. dollar-denominated corporate debt notes and had a recent 30-day SEC yield of 7.23%. This ETF is well diversified from a sector perspective and is also available commission free to Fideli! ty accou nt holders [see HYG Fact Sheet].
- SPDR Barclays Capital High Yield Bond ETF (JNK): This ETF features similar exposure to HYG, although it offers a bit less in the way of diversity; JNK’s underlying portfolio consists of roughly 220 holdings and is tilted towards debt notes from companies in the industrial sector [see JNK Holdings]. This ETF had a recent 30-day SEC yield of 7.41% and is also available commission free to TD Ameritrade account holders.
- PowerShares High Yield Corporate Bond Portfolio (PHB): This ETF separates itself from traditional �junk bond� ETFs by employing a fundamental approach that assigns weights to individual debt holdings based on four factors: book value of assets, gross sales, gross dividends, and cash flow [see Bond ETF Drawbacks: Case For Active Management In Fixed Income Arena]. PHB charges a competitive 0.50% expense ratio and had a recent 30-day SEC yield of 5.47%.
- PIMCO 0-5 Year U.S. High Yield Corporate Bond Index Fund (HYS): This fund tracks the BofA Merrill Lynch 0-5 Year US High Yield Constrained Index, which consists of 150 U.S. dollar denominated corporate debt securities rated below investment grade with remaining maturities of less than five years. HYS has a recent 30-day SEC yield of 7.16%.
- Guggenheim BulletShares 2012 High Yield Corporate Bond ETF (BSJC): This bond ETF is unlike the majority of fixed income products as it tracks an index designed to represent the performance of a held-to-maturity portfolio of U.S. dollar-denominated high yield corporate bonds with effective maturities in 2012. BSJC has little in the way of interest rate risk and should bear relatively low credit risk as well seeing as how the principal amounts of the underlying notes will be repaid during the current calender year. This one-of-a! -kind bo nd ETF has a recent 30-day SEC yield of 4.94% [see BSJC Fact Sheet].
- AdvisorShares Peritus High Yield ETF (HYLD): This actively managed offering from AdvisorShares seeks to generate a high current income with a secondary goal of capital appreciation. The portfolio management team takes a value-based, active credit approach to the markets, largely foregoing new issue participation, favoring instead the secondary market where Peritus believes there is less competition and more opportunities for capital gains. This ETF recently had a very impressive 30-day SEC yield of 9.43% [see HYLD Fact Sheet].
Friday, April 13, 2012
Good Stocks To Buy 2015
Good Stocks To Buy 2015:NetSol Technologies Inc. (NTWK)
Netsol Technologies, Inc. designs, develops, and markets software products for the automobile finance and leasing, banking, healthcare, and financial services industries worldwide. It offers NetSol Financial Suite, which is an end-to-end solution that covers the leasing and finance cycle. The NetSol Financial Suite consist of software applications comprising Point of Sale, a front office processing system for the finance sector; Credit Application Processing System to handle the incoming credit applications from dealers, agents, brokers, and the direct sales force; Contract Management System to manage and maintain a contract; Wholesale Finance System to automate and manage the floor plan/bailment activities of dealerships; and Fleet Management System to handle fleet management needs. The NetSol Financial Suite also includes LeasePak that develops Web-enabled and Web-based tools for the leasing technology industry. In addition, the company offers LeaseSoft Portals and Modules; enterprise wide information systems, such as LRMIS, MTMIS, and Hospital Management Systems; accounting outsourcing services; and career and technology programs. Further, it provides portfolio management systems for the financial services industry; and consulting, custom development, systems integration, and technical services for the healthcare, insurance, real estate, and technology markets. Additionally, the company offers business intelligence, independent system review, information security, and software process improvement consulting services; maintenance and support, and project management services; and solutions for the defense and military forces. It serves Fortune 500 manufacturers, automakers, financial institutions, utilities, technology providers, and government agencies. The company was formerly known as NetSol International, Inc. and changed its name to NetSol Technologies, Inc. in March 2002. NetSol Technologies, Inc. was founded in 1997 and is based in Calabasas, California.Good Stocks To Buy 2015:China Ceramics Co. Ltd. (CCCL)
China Ceramics Co., Ltd. engages in the manufacture and sale of ceramic tiles used for exterior siding, interior flooring, and design in residential and commercial buildings primarily in the People's Republic of China. It offers porcelain tiles, glazed tiles, glazed porcelain tiles, rustic tiles, and ultra-thin tiles under the Hengda, Hengdeli, TOERTO, and WULIQIAO brand names. The company primarily sells its products through a distributor network, as well as directly to property developers. China Ceramics Co., Ltd. is based in Jinjiang City, the People's Republic of China.Good Stocks To Buy 2015:Portland General Electric Company (POR)
Portland General Electric Company operates as an integrated electric utility in Oregon. The company engages in the generation, purchase, transmission, distribution, and retail sale of electricity. Its generating portfolio consists of thermal, hydro, and wind resources. The company also sells electricity and natural gas in the wholesale market to utilities, brokers, and power marketers in the western United States and Canada. As of March 31, 2011, it served approximately 821,193 residential, commercial, and industrial customers. The company was founded in 1930 and is headquartered in Portland, Oregon.Good Stocks To Buy 2015:Noble Energy Inc. (NBL)
Noble Energy, Inc., through its subsidiaries, engages in the acquisition, exploration, development, production, and marketing of crude oil, natural gas, and natural gas liquids in the United States, West Africa, Eastern Mediterranean, the North Sea, and internationally. Its principal projects include the Central DJ Basin properties in the onshore US; Galapagos and Gunflint projects in the deepwater Gulf of Mexico; Tamar project in the offshore Israel; Aseng, Alen, and Diega/Carmen projects in the offshore Equatorial Guinea; and West Africa gas projects located in the offshore Equatorial Guinea and Cameroon. The company was founded in 1932 and is based in Houston, Texas.Good Stocks To Buy 2015:O2Micro International Limited (OIIM)
O2Micro International Limited designs, develops, and markets semiconductor components for power management and security applications, as well as systems security solutions. It offers power management and cardbus controller products, which include ICs to provide power for LCD and LED lighting, control and monitor battery charging and discharging, DC/DC conversion, provide connections between notebook computers and external plug-in cards, and provide select and switch functionality between power sources. The company also provides system security solutions, such as VPNs and firewalls, which provide security functions for communications between computer systems and networks, including the transmission of data across the Internet. It offers integrated circuits for consumer electronics, computer, and industrial and communications products, including LCD computer monitors, LCD televisions, notebook computers, Internet security devices, GPS, mobile phones, and portable DVD players. The company sells its products through its direct sales force, independent sales representatives, and distributors to OEMs, ODMs, and module makers in China, Japan, Korea, Singapore, Taiwan, and the United States. The company was founded in 1995 and is based in George Town, the Cayman Islands.Good Stocks To Buy 2015:Tyson Foods Inc. (TSN)
Tyson Foods, Inc., together with its subsidiaries, engages in the production, distribution, and marketing of chicken, beef, pork, and prepared food products, as well as related allied products worldwide. The company?s Chicken segment involves in breeding and raising chickens, as well as processing live chickens into fresh, frozen, and value-added chicken products. Its Beef segment processes live fed cattle and fabricates dressed beef carcasses into primal and sub-primal meat cuts and case-ready products. The company?s Pork segment involves in the processing live market hogs; and fabricating pork carcasses into primal and sub-primal cuts and case-ready products. Its Prepared Foods segment manufactures and markets frozen and refrigerated food products comprising pepperoni, bacon, beef and pork pizza toppings, pizza crusts, flour and corn tortilla products, appetizers, prepared meals, ethnic foods, soups, sauces, side dishes, meat dishes, and processed meats. The company markets and sells its products to grocery retailers, grocery wholesalers, meat distributors, warehouse club stores, military commissaries, industrial food processing companies, chain restaurants or their distributors, international export companies, and domestic distributors, as well as to foodservice operations, such as plant and school cafeterias, convenience stores, hospitals, and other vendors. Tyson Foods, Inc. also offers its allied products to the manufacturers of pharmaceuticals and technical products, as well as to pork processors. The company was founded in 1935 and is headquartered in Springdale, Arkansas.Good Stocks To Buy 2015:DRDGOLD Limited (DROOY)
DRDGOLD Limited engages in the exploration, extraction, processing, and smelting of gold in South Africa. It holds interests in the Blyvoor mine; and the Crown gold surface tailings retreatment facility that reprocesses sand and slimes dumps, as well as involves in the surface retreatment operations. The company was incorporated in 1895 and is based in Roodepoort, South Africa.Advisors' Opinion:
- By seekingalpha.com At 2011-9-7
With mining assets in South Africa, the company runs operations from exploration through to smelting.
Shares are trading at $4.23 at the time of writing, toward the bottom end of their 52-week trading range of $3.96 to $6.23. At the current market price, the company is capitalized at $162.80 million. Earnings per share for the last fiscal year were $1.21, placing the shares on a price to earnings ratio of 3.49. It paid a dividend of $0.06 last year (a yield of 1.40%) which was covered over 20 times by its earnings.
It has the lowest price-to-earnings ratio of the gold mining stocks, though its share price is being held back by recent employee unrest in the region. There is room for the company to increase its well-covered dividend, and that should be attractive to income investors. With gold prices increasing, and production costs likely to remain stable, DRDGold could be a stock worth investing in for the gearing that the safe haven value of its gold reserves offers to its potential earnings.
Thursday, April 12, 2012
Nektar Therapeutics Positive Trend - NASDAQ:NKTR
Nektar Therapeutics (NASDAQ:NKTR) is a clinical-stage biopharmaceutical company developing a pipeline of drug candidates that utilize its PEGylation and polymer conjugate technology platforms. Nektar Therapeutics witnessed volume of 4.38 million shares during last trade however it holds an average trading capacity of 1.24 million shares. NKTR last trade opened at $6.17 reached intraday low of $6.15 and went +6.84% up to close at $6.72.
NKTR has intra-day market capitalization $768.94 million and an enterprise value at $732.66 million. Trailing twelve months price to sales ratio of the stock was 7.13 while price to book ratio in most recent quarter was 3.12. In profitability ratios, net profit margin in past twelve months appeared at -117.87% whereas operating profit margin for the same period at -96.46%.
The company made a return on asset of -10.59% in past twelve months and return on equity of 0.94% for similar period. In the period of trailing 12 months it generated revenue amounted to $101.01 million gaining $0.94 revenue per share. Its year over year, quarterly growth of revenue was -28.60%.
According to preceding quarter balance sheet results, the company had $266.49 million cash in hand making cash per share at 2.33. The total of $230.21 million debt was there putting a total debt to equity ratio 99.74. Moreover its current ratio according to same quarter results was 1.07 and book value per share was 2.02.
Looking at the trading information, the stock price history displayed that its S&P500 52 Week Change illustrated -0.46% where the stock current price exhibited up beat from its 50 day moving average price of $5.40 and remained above from its 200 Day Moving Average price of $5.51.
NKTR holds 114.43 million outstanding shares with 95.49 million floating shares where insider possessed 6.87% and institutions kept 90.20%.
NKTR has intra-day market capitalization $768.94 million and an enterprise value at $732.66 million. Trailing twelve months price to sales ratio of the stock was 7.13 while price to book ratio in most recent quarter was 3.12. In profitability ratios, net profit margin in past twelve months appeared at -117.87% whereas operating profit margin for the same period at -96.46%.
The company made a return on asset of -10.59% in past twelve months and return on equity of 0.94% for similar period. In the period of trailing 12 months it generated revenue amounted to $101.01 million gaining $0.94 revenue per share. Its year over year, quarterly growth of revenue was -28.60%.
According to preceding quarter balance sheet results, the company had $266.49 million cash in hand making cash per share at 2.33. The total of $230.21 million debt was there putting a total debt to equity ratio 99.74. Moreover its current ratio according to same quarter results was 1.07 and book value per share was 2.02.
Looking at the trading information, the stock price history displayed that its S&P500 52 Week Change illustrated -0.46% where the stock current price exhibited up beat from its 50 day moving average price of $5.40 and remained above from its 200 Day Moving Average price of $5.51.
NKTR holds 114.43 million outstanding shares with 95.49 million floating shares where insider possessed 6.87% and institutions kept 90.20%.
Tuesday, April 10, 2012
(DFZ, MJS.V, NHPR, HOLI, SAPE) Stocks in Action by DrStockPick.com
RG Barry Corp. (Nasdaq:DFZ) plans to announced its third quarter/nine-month operating results and conduct a conference call and Webcast on Tuesday, May 10, 2011. The Company will issue a news release detailing its performance prior to the market open. Senior management will then discuss its operating results and business outlook during a conference call/webcast planned for 9 a.m. Eastern Daylight Time. To listen via the Internet, log on to http://www.videonewswire.com/event.asp?id=79121.
R.G. Barry Corporation, together with its subsidiaries, engages in designing, sourcing, marketing, and distributing accessory footwear products in North America. R.G. Barry Corporation was founded in 1945 and is headquartered in Pickerington, Ohio.
Majestic Gold Corp. (MJS.V)
Since the beginning of recorded history, gold has been used in ornamentation, jewelry, and sculptures around the world. However, gold is not just used to make jewelry; it also has plenty of lesser known uses. For example, gold is used to make dental fillings, coins, circuitry, and much more.
Majestic Gold Corp. engages in the exploration and development of mineral properties in China. The company focuses on its gold project located in the prolific gold region of Song Jiagou in eastern Shandong Province. Majestic Gold Corp. is headquartered in Vancouver, Canada.
The industry uses of gold include making thread for embroidery, special reflective layers on expensive CDs, and insulation for automobiles. In photography, gold toners are used to alter the color of prints. Gold is used to make a protective coating on many artificial satellites because it is a good reflector of electromagnetic radiation. It is also used to make thermal protective faceplates for astronauts.
Majestic Gold Corp. is pleased to provide a progress update on the new mill construction for the company’s flagship Song Jiagou project.
The mill is in the commissioning stage a! nd has b egun running ore through the mill in order to access the efficiency of the mill. Majestic expects to run at an initial throughput rate of 3,000 tonnes per day and progressively move upwards towards full capacity of 6,000 tonnes per day once the mill is running at optimal efficiency.
In medicine, gold salts can be used to treat conditions like arthritis due to their anti-inflammatory properties. In dentistry, gold alloys are used for restorations like crowns and permanent bridges. Owing to its malleability, gold produces results that are more satisfactory than those produced by porcelain crowns. Colloidal gold is used in research in the fields of medicine, biology, and materials science.
Ore that has been stockpiled at the new mill in order to streamline the commissioning process is currently being processed as part of the commissioning stage. In addition, Majestic is pleased to announce that the tailings dam is fully completed and all tailings lines and water return systems are in place and now in use.
They are excited by the prospect of getting the new mill on line and being in a position to significantly increase production levels. This represents a significant milestone in their transition from exploration to production.
For more information about Majestic Gold Corp. visit its website: http://www.majesticgold.net
National Health Partners, Inc. (NHPR)
Health care costs have been rising for several years. As health care costs continue to rise, there has been steady erosion in the proportion of workers covered under employer-based plans, as well as in the adequacy of such coverage. Workers forced to turn to the individual insurance market often find coverage unaffordable or unavailable, while families with employer coverage face ever-rising deductibles and other cost-sharing burdens.
National Health Partners, Inc. is a national healthcare savings organization that provides discount healthcare membership programs to uninsured a! nd under insured people through a national healthcare savings network called “CARExpress.” CARExpress is one of the largest networks of hospitals, doctors, dentists, pharmacists and other healthcare providers in the country and is comprised of over 1,000,000 medical professionals that belong to such PPOs as CareMark and Aetna.
The runaway cost of health care has long been a concern, largely because of the huge number of Americans — estimated at 47 million — who are uninsured. But health-care costs are re-emerging as an economic and political issue in part because of the role they play in the stubborn problem of stagnating wages.
The company’s primary target customer group is the 47 million Americans who have no health insurance of any kind. The company’s secondary target customer group includes the millions of Americans who lack complete health insurance coverage. The company is headquartered in Horsham, Pennsylvania.
National Health Partners, Inc. recently announced that it has signed a new agreement with a major marketing company that will significantly enhance the growth of its CARExpress membership base.
According to the Company, this deal, in combination with the previous partnership with Xpress Healthcare, will enable the company to build its membership base exponentially, initially generating in excess of an additional 2,000 new members per month. The new campaign is set to launch within the next few weeks and will provide a material positive impact on the company’s 2nd quarter sales.
National Health Partners anticipate that this new marketing agreement will provide a major impact on their overall sales not only for the 2nd quarter, but more importantly for the year. They look forward to building on the profits that they anticipate generating in 2011 that will be driven by substantial growth in sales of their CARExpress health discount programs. The combination of their substantial growth with their low price-to-equ! ity rati o should reflect itself in the price of their stock over the coming months.
For more information about National Health Partners, Inc visit its website www.nationalhealthpartners.com
Hollysys Automation Technologies, Ltd (Nasdaq:HOLI) a leading provider of automation and control technologies and applications in China, announced that it will report financial results for its fiscal 2011 third quarter ended on March 31, 2011 before the market opens on Tuesday, May 10, 2011. The Company will host a conference call at 9:00 a.m. ET /9:00 p.m. Beijing Time on May 10, 2011, to discuss the financial results for the fiscal 2011 third quarter and its business outlook.
Hollysys Automation Technologies Limited provides automation and control technology and applications in the People�s Republic of China. The company was founded in 2006 and is headquartered in Beijing, the People�s Republic of China.
Sapient Corp. (Nasdaq:SAPE) announced that it will release results for the first quarter ended March 31, 2011 on Thursday, May 5, 2011 after the close of regular market hours. Following the release, Alan J. Herrick, Sapient’s president and chief executive officer, and Joseph S. Tibbetts, Jr., senior vice president and chief financial officer, will discuss the results in a conference call beginning at 4:30 p.m. ET, which will also be broadcast live via the Internet.
Sapient Corporation helps clients to leverage marketing and technology to transform their businesses. Sapient Corporation was founded in 1990 and is headquartered in Boston, Massachusetts.
R.G. Barry Corporation, together with its subsidiaries, engages in designing, sourcing, marketing, and distributing accessory footwear products in North America. R.G. Barry Corporation was founded in 1945 and is headquartered in Pickerington, Ohio.
Majestic Gold Corp. (MJS.V)
Since the beginning of recorded history, gold has been used in ornamentation, jewelry, and sculptures around the world. However, gold is not just used to make jewelry; it also has plenty of lesser known uses. For example, gold is used to make dental fillings, coins, circuitry, and much more.
Majestic Gold Corp. engages in the exploration and development of mineral properties in China. The company focuses on its gold project located in the prolific gold region of Song Jiagou in eastern Shandong Province. Majestic Gold Corp. is headquartered in Vancouver, Canada.
The industry uses of gold include making thread for embroidery, special reflective layers on expensive CDs, and insulation for automobiles. In photography, gold toners are used to alter the color of prints. Gold is used to make a protective coating on many artificial satellites because it is a good reflector of electromagnetic radiation. It is also used to make thermal protective faceplates for astronauts.
Majestic Gold Corp. is pleased to provide a progress update on the new mill construction for the company’s flagship Song Jiagou project.
The mill is in the commissioning stage a! nd has b egun running ore through the mill in order to access the efficiency of the mill. Majestic expects to run at an initial throughput rate of 3,000 tonnes per day and progressively move upwards towards full capacity of 6,000 tonnes per day once the mill is running at optimal efficiency.
In medicine, gold salts can be used to treat conditions like arthritis due to their anti-inflammatory properties. In dentistry, gold alloys are used for restorations like crowns and permanent bridges. Owing to its malleability, gold produces results that are more satisfactory than those produced by porcelain crowns. Colloidal gold is used in research in the fields of medicine, biology, and materials science.
Ore that has been stockpiled at the new mill in order to streamline the commissioning process is currently being processed as part of the commissioning stage. In addition, Majestic is pleased to announce that the tailings dam is fully completed and all tailings lines and water return systems are in place and now in use.
They are excited by the prospect of getting the new mill on line and being in a position to significantly increase production levels. This represents a significant milestone in their transition from exploration to production.
For more information about Majestic Gold Corp. visit its website: http://www.majesticgold.net
National Health Partners, Inc. (NHPR)
Health care costs have been rising for several years. As health care costs continue to rise, there has been steady erosion in the proportion of workers covered under employer-based plans, as well as in the adequacy of such coverage. Workers forced to turn to the individual insurance market often find coverage unaffordable or unavailable, while families with employer coverage face ever-rising deductibles and other cost-sharing burdens.
National Health Partners, Inc. is a national healthcare savings organization that provides discount healthcare membership programs to uninsured a! nd under insured people through a national healthcare savings network called “CARExpress.” CARExpress is one of the largest networks of hospitals, doctors, dentists, pharmacists and other healthcare providers in the country and is comprised of over 1,000,000 medical professionals that belong to such PPOs as CareMark and Aetna.
The runaway cost of health care has long been a concern, largely because of the huge number of Americans — estimated at 47 million — who are uninsured. But health-care costs are re-emerging as an economic and political issue in part because of the role they play in the stubborn problem of stagnating wages.
The company’s primary target customer group is the 47 million Americans who have no health insurance of any kind. The company’s secondary target customer group includes the millions of Americans who lack complete health insurance coverage. The company is headquartered in Horsham, Pennsylvania.
National Health Partners, Inc. recently announced that it has signed a new agreement with a major marketing company that will significantly enhance the growth of its CARExpress membership base.
According to the Company, this deal, in combination with the previous partnership with Xpress Healthcare, will enable the company to build its membership base exponentially, initially generating in excess of an additional 2,000 new members per month. The new campaign is set to launch within the next few weeks and will provide a material positive impact on the company’s 2nd quarter sales.
National Health Partners anticipate that this new marketing agreement will provide a major impact on their overall sales not only for the 2nd quarter, but more importantly for the year. They look forward to building on the profits that they anticipate generating in 2011 that will be driven by substantial growth in sales of their CARExpress health discount programs. The combination of their substantial growth with their low price-to-equ! ity rati o should reflect itself in the price of their stock over the coming months.
For more information about National Health Partners, Inc visit its website www.nationalhealthpartners.com
Hollysys Automation Technologies, Ltd (Nasdaq:HOLI) a leading provider of automation and control technologies and applications in China, announced that it will report financial results for its fiscal 2011 third quarter ended on March 31, 2011 before the market opens on Tuesday, May 10, 2011. The Company will host a conference call at 9:00 a.m. ET /9:00 p.m. Beijing Time on May 10, 2011, to discuss the financial results for the fiscal 2011 third quarter and its business outlook.
Hollysys Automation Technologies Limited provides automation and control technology and applications in the People�s Republic of China. The company was founded in 2006 and is headquartered in Beijing, the People�s Republic of China.
Sapient Corp. (Nasdaq:SAPE) announced that it will release results for the first quarter ended March 31, 2011 on Thursday, May 5, 2011 after the close of regular market hours. Following the release, Alan J. Herrick, Sapient’s president and chief executive officer, and Joseph S. Tibbetts, Jr., senior vice president and chief financial officer, will discuss the results in a conference call beginning at 4:30 p.m. ET, which will also be broadcast live via the Internet.
Sapient Corporation helps clients to leverage marketing and technology to transform their businesses. Sapient Corporation was founded in 1990 and is headquartered in Boston, Massachusetts.
Monday, April 9, 2012
5 Great Stocks For February 2012
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:5 Great Stocks For February 2012:Kansas City Southern (KSU)
Kansas City Southern, through its subsidiaries, engages primarily in the freight rail transportation business. It operates north/south rail between Kansas City, Missouri, and various ports along the Gulf of Mexico in Alabama, Louisiana, Mississippi, and Texas in the midwest and southeast regions of the United States. The company also operates direct rail passageway between Mexico City and Laredo in Texas, serving various Mexico?s industrial cities and 3 of its shipping ports; and a 157-mile rail line extending from Laredo, Texas to the port city of Corpus Christi, Texas, as well as owns the northern half of the rail bridge at Laredo, Texas. In addition, Kansas City Southern holds a concession to operate a 47-mile railroad located adjacent to the Panama Canal, as well as operates and promotes commuter and tourist passenger services. Further, the company operates a bulk materials handling facility with deep-water access to the Gulf of Mexico at Port Arthur, Texas that stores and transfers petroleum coke from rail cars to ships primarily for export; and a railroad wood tie treatment facility. It serves customers conducting business in various industries, including electric-generating utilities, chemical and petroleum products, industrial and consumer products, agriculture and mineral products, automotive products, and intermodal freight transportation. The company was formerly known as Kansas City Southern Industries, Inc. and changed its name to Kansas City Southern in 2002. Kansas City Southern was founded in 1962 and is based in Kansas City, Missouri.5 Great Stocks For February 2012:Matthews International Corporation (MATW)
Matthews International Corporation designs, manufactures, and markets memorialization products and brand solutions for the cemetery and funeral home industries in the United States, Mexico, Canada, Europe, Australia, and Asia. The company's Bronze segment offers cast bronze memorials and other memorialization products; and cast and etched architectural products, as well as builds mausoleums. Its Casket segment provides wood and metal caskets; and casket components, such as stamped metal parts, metal locking mechanisms for gasketed metal caskets, adjustable beds, interior panels, and plastic ornamental hardware, as well as provides assortment planning and merchandising, and display products to funeral service businesses. The company's Cremation segment offers cremation equipment; cremation caskets; equipment service and supplies; and cremation urns and memorial products, as well as offers environmental systems; crematory operations and management services; and cremation columbarium and niche units. Its Graphics Imaging segment provides brand management, pre-press services, printing plates, gravure cylinders, steel bases, embossing tools, special purpose machinery, engineering and print process assistance, print production management, digital asset management, content management, and package design services. The company's Marking Products segment offers a range of marking and coding products and related consumables, and industrial automation products for identifying, tracking, and conveying consumer and industrial products, components, and packaging containers. Its Merchandising Solutions segment provides merchandising displays and systems, such as permanent and temporary displays, custom store fixtures, brand concept shops, interactive kiosks, custom packaging, and screen and digitally printed promotional signage; and offers design and engineering services. The company was founded in 1850 and is based in Pittsburgh, Pennsylvania.5 Great Stocks For February 2012:Anworth Mortgage Asset Corporation (ANH)
Anworth Mortgage Asset Corporation operates as a real estate investment trust (REIT) in the United States. It invests primarily in the United States agency mortgage-backed securities (agency MBS) guaranteed by the United States government, including pass-through certificates, collateralized mortgage obligations (CMOs), and other types of MBS, such as mortgage derivative securities and mortgage warehouse participations, as well as in other mortgage related assets. The company's agency MBS portfolio includes adjustable-rate agency MBS, hybrid adjustable-rate agency MBS, fixed-rate Agency MBS, and agency floating-rate CMOs. It also invests in non-agency mortgage-backed securities comprising floating-rate CMOs. The company qualifies as a REIT for federal income tax purposes. As a REIT it would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. Anworth Mortgage Asset Corporation was founded in 1997 and is based in Santa Monica, California.5 Great Stocks For February 2012:ONEOK Inc. (OKE)
ONEOK, Inc., a diversified energy company, operates as a natural gas distributor primarily in the United States. The company operates in three segments: ONEOK Partners, Distribution, and Energy Services. The ONEOK Partners segment engages in gathering, processing, fractionating, transporting, storing, and marketing natural gas and natural gas liquids (NGL) principally in the Mid-Continent and Rocky Mountain regions, which include Anadarko Basin of Oklahoma, Fort Worth Basin of Texas, Hugoton and Central Kansas Uplift Basins of Kansas, Williston Basin of Montana, and North Dakota and the Powder River Basin of Wyoming. This segment offers its services to oil and gas production companies; natural gas gathering and processing companies; petrochemical, refining, and NGL marketing companies; Local distribution companies (LDCs) and power generating companies; and natural gas marketing and NGL gathering companies, and propane distributors. The Distribution segment provides natural gas distribution services to residential, commercial, industrial, and transportation customers, as well as public authority customers, such as cities, governmental agencies, and schools in Oklahoma, Kansas, and Texas. The Energy Services segment delivers physical natural gas products and risk management services through its network of contracted transportation and storage capacity, and natural gas supply. This segment?s customers primarily comprise LDCs, electric utilities, and industrial end users. The company was founded in 1906 and is headquartered in Tulsa, Oklahoma.5 Great Stocks For February 2012:Potash Corporation of Saskatchewan Inc. (POT)
Potash Corporation of Saskatchewan Inc. produces and sells fertilizers and related industrial and feed products primarily in the United States and Canada. The company mines and produces potash, which is used as fertilizer. It also offers solid and liquid phosphate fertilizers; animal feed supplements; and industrial acids that are used in food products and industrial processes. In addition, the company produces nitrogen fertilizers, as well as nitrogen feed and industrial products, including ammonia, urea, nitrogen solutions, ammonium nitrate, and nitric acid. Further, it holds the right to mine 785,759 acres of land in Saskatchewan; and 58,263 acres of land in New Brunswick in Canada. The company sells its fertilizers primarily to retailers, dealers, co-operatives, distributors, and other fertilizer producers; industrial products primarily to chemical product manufacturers; and purified phosphoric acid directly to consumers of the product. Potash Corporation was founded in 1953 and is based in Saskatoon, Canada.Advisors' Opinion:
- By Vita At 2012-2-23
People need to eat. Potash increases the yield of fertilizer. And in an overpopulated world with people moving into urban areas (less farmers feeding more mouths), demand will spike for whatever can increase that yield. Potash's stock is closely correlated to prices of the product Potash. It's worth noting that the stock represents billionaire financier George Soros's third largest position. Goldman Sachs just raised its rating on the the stock, saying "Investors are likely underestima! ting the 2012 US demand recovery that could see staggering yoy [year-over-year] percent increases in volume given the depth of the 2011 reduction and the atypically weak fall consumption levels." - By Fabian At 2011-10-29
Potash Corp. of Saskatchewan (POT) produces fertilizers, agricultural
chemicals and feed products — primarily its namesake “potash,” or potassium carbonate mixed with other nutrients. Though this company is down dramatically from its highs in 2008, I think POT has bottomed out and now investor sentiment is turning around.
For instance, Potash’s moved 1.1 million tons of crop nutrients in the fourth quarter, which was down compared to the previous quarter, but the 23% slide was a dramatic improvement over the 65% decline for the full year. Potash has been struggling to find a right production target, and I feel like the company is close to an effective target.
What’s more, potash prices could be on the rise globally after leading exporter Belarussian Potash Co. boosted prices by more than 6% in Brazil and Asia. That means companies like POT can also command a higher price — and deliver bigger profits going forward. - By Sam Collins At 2011-9-9
Canadian integrated fertilizer and feed products company, Potash Corporation of Saskatchewan (NYSE: POT), has been in a bull market since late 2008. Since then, it has risen from $18 to over $63.
It is the world’s largest diversified fertilizer company and, thus, in a unique position to supply the needed nutrients to grow crops for Third World countries that are in need of grain products. Several research analysts have recently raised their opinion on POT from “hold” to “buy,” including Canaccord Genuity and Gleacher & Company. POT has also been the subject of takeover rumors, but thus far, nothing has developed.?
Technically, the stock is in a long-term bull market. In December, POT broke out from a five-month consolidation, and last week, our in-house Collins-Bollinger Reversal (CBR) indicator issued a buy signal along with a buy from the slow stochastic. The two-month target for POT is $72, but it can be bought as a long-term position, as well.?
Saturday, April 7, 2012
Stocks with Negative Closing at NASDAQ EXLP, ARUN, AIMC, ACOM
Exterran Partners, L.P. (NASDAQ:EXLP) opened at $28.50 and with a decrease of 5.56% closed at $28.05. Company�s fifty days average price is $27.48 whereas it has a market capitalization $900.35 million.
The total of 2.55 million shares was transacted over last trading day.
Aruba Networks, Inc. (NASDAQ:ARUN) opened at $30.50 and with a decrease of 5.45% closed at $28.79. Company�s fifty days average price is $24.17 whereas it has a market capitalization $2.88 billion.
The total of 2.80 million shares was transacted over last trading day.
Altra Holdings, Inc. (NASDAQ:AIMC) opened at $20.92 and with a decrease of 5.13% closed at $20.52. Company�s fifty days average price is $20.97 whereas it has a market capitalization $549.11 million.
The total of 1.16 million shares was transacted over last trading day.
Ancestry.com Inc (NASDAQ:ACOM) opened at $32.88 and with a decrease of 4.66% closed at $31.33. Company�s fifty days average price is $33.61 whereas it has a market capitalization $1.43 billion.
The total of 1.90 million shares was transacted over last trading day.
The total of 2.55 million shares was transacted over last trading day.
Aruba Networks, Inc. (NASDAQ:ARUN) opened at $30.50 and with a decrease of 5.45% closed at $28.79. Company�s fifty days average price is $24.17 whereas it has a market capitalization $2.88 billion.
The total of 2.80 million shares was transacted over last trading day.
Altra Holdings, Inc. (NASDAQ:AIMC) opened at $20.92 and with a decrease of 5.13% closed at $20.52. Company�s fifty days average price is $20.97 whereas it has a market capitalization $549.11 million.
The total of 1.16 million shares was transacted over last trading day.
Ancestry.com Inc (NASDAQ:ACOM) opened at $32.88 and with a decrease of 4.66% closed at $31.33. Company�s fifty days average price is $33.61 whereas it has a market capitalization $1.43 billion.
The total of 1.90 million shares was transacted over last trading day.
Wednesday, April 4, 2012
Roku adds BBC iPlayer to bolster UK launch
(gigaom.com) -- When Roku said it would start shipping its media streaming boxes to the U.K. for the first time last month, there was a significant omission from the lineup of services it was offering — the BBC’s iPlayer.
The iPlayer is the dominant force in Britain’s streaming TV landscape, available everywhere from the PC to cable to mobile, and responsible for nearly two billion viewings in 2011 alone.
No surprise, then, that today Roku is announcing that it’s launching an iPlayer channel for its British customers, allowing them to access the service’s library of popular television programs through their devices.
The moves adds a real backbone to the service — which already boasts a lineup including UFC, Fox News, and Netflix, which launched last month in the U.K and Ireland.
“This is among the first of many significant content partnerships for Roku in Europe and we look forward to making additional announcements in the coming weeks,” said the company’s European boss, Clive Hudson.
Rumors continue to circulate that will soon add Netflix competitor Lovefilm, but the deal with ! the BBC makes a big difference for anyone purchasing a Roku box, which are priced locally at £49.99 and £99.99 ($79 and $158).
Related research and analysis from GigaOM Pro:
Subscriber content. Sign up for a free trial.
The iPlayer is the dominant force in Britain’s streaming TV landscape, available everywhere from the PC to cable to mobile, and responsible for nearly two billion viewings in 2011 alone.
More from gigaom.com
- A database to help the military share its airwaves
- 955 Dreams tackles music discovery with Band of the Day
- 10 ways to deal with cybersecurity in a smart grid world
The moves adds a real backbone to the service — which already boasts a lineup including UFC, Fox News, and Netflix, which launched last month in the U.K and Ireland.
“This is among the first of many significant content partnerships for Roku in Europe and we look forward to making additional announcements in the coming weeks,” said the company’s European boss, Clive Hudson.
Rumors continue to circulate that will soon add Netflix competitor Lovefilm, but the deal with ! the BBC makes a big difference for anyone purchasing a Roku box, which are priced locally at £49.99 and £99.99 ($79 and $158).
Related research and analysis from GigaOM Pro:
Subscriber content. Sign up for a free trial.
- Connected Consumer Q2: Digital music meets the cloud; e-book growth explodes
- Q4 Wrap-up: SOPA and the future of digital content
- Connected Consumer 2012: A year of consolidation and integration
Tuesday, April 3, 2012
Forex Conquered: High Probability Systems and Strategies for Active Traders (Wiley Trading) Reviews
Forex Conquered: High Probability Systems and Strategies for Active Traders (Wiley Trading)
Praise for FOREX CONQUERED “In this amazing book, John covers it all. From trading systems to money management to emotions, he explains easily how to pull money consistently from the most complicated financial market in the world. John packs more new, innovative information into this book than I have ever seen in a trading book before.”�Rob Booker, independent currency trader “John Person is one of the few rare talents that are uniquely qualified to help traders understan
Rating: (out of 13 reviews)
List Price: $ 90.00
Price: $ 38.35
Find More Forex Products
Monday, April 2, 2012
Risk and return are joined at the head
BOSTON (MarketWatch) � Some people are afraid of making a mistake by taking on risk, while others take risks that lead to mistakes.
Such behaviors are the focus of the new book �Investment Mistakes Even Smart Investors Make � and How to Avoid Them,� by Larry Swedroe of Buckingham Asset Management in St. Louis, who is one of the most thoughtful financial advisers.
No matter your feelings about the market � if you think the current run will continue or you expect a downturn � the mistake comes when you let those feelings override long-term strategy.
That�s what investors need to guard against now. And anyone who avoids the bulk of the book�s 77 different errors is likely to reach the end of their investing lifetime pretty happy with the results.
That said, no blueprint will help an investor avoid all of the potential and theoretical booby-traps. Moreover, even the best investors make mistakes; the key is to avoid the giant ones from which there is no recovery, and to avoid being bled to death by an endless series of small errors.
Timing device
To see how it is impossible to embrace risk while trying to avoid mistakes, you have to look at the real differences between the two.
Click to Play
Think you're a smart investor? Check your DNA
WSJ's Jason Zweig stops by Mean Street to discuss new research suggesting that DNA determines one's ability to make smart or risky investment decisions. Photo: Getty Images.Risk is defined as �exposure to the chance of injury or loss,� while the dictionary de! finition for a mistake is �an error in action, calculation, opinion, or judgment caused by poor reasoning, carelessness, insufficient knowledge� and the like.
�People who say you�re making a mistake if you put your money at risk � if you do something that exposes you to a potential loss � don�t understand how risk works,� Swedroe said in an interview. �They�re getting out of the market because they see it as too risky, but with interest rates near zero there is a very big chance that they can�t generate the returns they need from riskless investments.
�There�s a risk in everything, so the mistake doesn�t come from taking risks � it�s from taking the wrong risks or taking risks in the wrong amount,� he added.
Investors need to find some moderation in a market that seems to bounce them from end-to-end of the greed/fear spectrum. While the temptation is to jump into stocks when it feels like things are going well and to stay on the sidelines when pain appears imminent, most people lack the skill in timing the market to make that work.
They give it a try, however, because of what they see as past mistakes.
Swedroe noted that a lot of investors look to the recent past and feel, for example, that they made an error being invested in 2008, at a time when the financial crisis buckled the stock market.
�They�re deciding � based on what happened � that they made a mistake being in the market,� Swedroe said, �when there was no way to see just how bad the problems were, and they are trying to avoid making the same mistake again even if that kind of stock market event is likely to happen just once or twice in a lifetime.
�They�re confusing strategy with outcome,,� he added. �They may have! taken p rudent risks that were appropriate, but then those risks actually showed up.�
Feeling lucky?
In short, it�s like the people who talk with financial advisers and say �I can tolerate risk, I just don�t want to lose any money.� They have no problem with the risks when the investment strategy is working in their favor, but when the outcome is less than expected, they�re convinced they�ve made a mistake.
Most financial advisers, for example, say that the average investor should always have some exposure to the stock market, with long-term money that can ride out the bumps and grinds to capture the long-term trend.
�The mistake most people made in 2008 wasn�t that they were invested in the stock market, it�s that they had, say, 80% of their assets there when they should have had maybe half of their portfolio there,� Swedroe noted. �The mistake wasn�t exposing their money to the market at a time that turned out to be bad, it was exposing too much of their money to the market regardless of the situation, because the losses they suffered � while unusual � obviously were not out of the realm of possibility.�
Confusing strategy and outcome is a way many investors let the ends justify their means.
Sadly, it�s also what leads to the kind of thinking that spurs someone to abandon long-term strategies and go for what looks good today. It�s how someone avoids the chance of losing money in the stock market but assumes the risk that their money won�t keep pace with inflation. The risks are different, but the potential downside is the same � that your money won�t go as far you need.
Sunday, April 1, 2012
Reverse Mortgages Return - SmartMoney.com
Converting home equity into cash has been a challenge for homeowners since the real-estate downturn, but a growing number of lenders are quietly reviving a loan for seniors that does just that: the reverse mortgage.
Reverse mortgages allow homeowners who are at least 62 years old to draw down on their home's equity in exchange for cash in several ways, including one lump sum, a line of credit or monthly payments.
Compared to a few years ago, the total number of reverse mortgages is small. But lending has been picking up. In 2011, MetLife Bank originated 10,512 reverse mortgages, up 171% from the previous year, according to data firm Reverse Market Insight. The firm tracks reverse mortgages insured by the Department of Housing and Urban Development, or about 95% of total originations. Other lenders also had sharp increases. Quicken Loans' company One Reverse Mortgage doled out 4,619, up 43%, while Urban Financial Group and Genworth Financial Home Equity Access, a subsidiary of Genworth Financial, increased lending by 80% and 96%, respectively.
And in June, housing lenders US Mortgage Corporation, based in Melville, N.Y., and Irving, Calif.-based Greenlight Financial Services each launched reverse mortgage divisions.
This comes in spite of recent moves by HUD to lower the amount homeowners can borrow. The limit is now 62% of a home's value for a 62-year old; an 80-year-old can borrow up to 72% of the home's value.
With falling home values making it difficult for homeowners to refinance or sell -- and the stock market not delivering great gains -- the loans are understandably attractive to many Americans. Lenders say reverse mortgages can be a portfolio diversifier that provides retirees with extra income to supplement their 401(k).
But there are good reasons why advisers have historically recommended them only as a last-gasp way to raise cash.
For one, because borrowers are still responsible for property taxes and homeowner's insuran! ce, if t hey fall behind, lenders can foreclose on the property, says Karin Hill, director of single family program development at HUD.
Also, reverse mortgages carry hefty fees. Origination fees can be up to 2% of a home's value, capped at $6,000, says John Lunde, president of RMI. Closing costs vary but are often about 2% of the loan.
There are also mortgage-insurance fees charged by HUD. HUD charges an upfront mortgage insurance premium of 2% of the property's value plus another insurance fee of 1.25% annualized rate that accrues monthly on the loan's outstanding balance. HUD also offers a reverse mortgage option with a lower upfront mortgage insurance premium that's just 0.01% of the property's value for smaller loans; qualifying will vary based on several factors.
Most fees can be rolled into the mortgage, but the loan plus interest must be paid back to the lender when the homeowner passes away, sells the home or moves out. Interest rates on these loans currently average 5% for a fixed-rate reverse mortgage and around 2.5% for an adjustable rate. A 65-year-old with a home that's worth $500,000 who took an initial advance of $303,500 at a 5% fixed rate could owe $978,190 (including interest and fees) after 18 years, says Lunde. If a homeowner or his heirs can't sell the home for this amount, HUD will pay the difference between home's value and the outstanding balance to the lender; that money comes from the HUD insurance fees borrowers pay during the life of the loan.
Some advisers say a home-equity loan, which allows homeowners to borrow against some of their home equity in one lump sum, is often the safer bet. Closing costs tend to be smaller than on a typical reverse mortgage and in some cases lenders can waive them, says Buz Livingston, a certified financial planner in Santa Rosa Beach, ! Fla. The downside? Average interest rates on home-equity loans are currently higher.
There are situations where reverse mortgages make sense. Financial planner Mike McGervey of North Canton, Ohio, says he thinks they can be a good solution for people in their 80s, who are usually able to convert more home equity into cash than younger borrowers.
In some cases, homeowners sign up for a reverse mortgage as a lump sum to pay off their mortgage. That is what Joseph Rinaldi, 62, did when he signed up through US Mortgage Corp. three months ago. Now, rather than paying $2,200 per month in mortgage payments, Mr. Rinaldi, who lives in Mamaroneck, N.Y., says he and his wife use that money for everyday living expenses. "This saved mine and my wife's life," he says.
For homeowners who are convinced a reverse mortgage is right for them, advisers say there are reasons to sign up sooner rather than later, since qualifying may soon get more difficult. HUD is developing guidelines that will lead to more extensive underwriting, which could be announced as soon as this year. Details haven't been released yet, but industry experts say they could require lenders to check applicants' income and assets to make sure they can cover ongoing costs of the home, including taxes and insurance.
In November, MetLife was the first lender to implement additional requirements, such as providing income or asset documentation (like Social Security payments and dividends) and a list of monthly living expenses, and experts say more lenders could follow.
Reverse mortgages allow homeowners who are at least 62 years old to draw down on their home's equity in exchange for cash in several ways, including one lump sum, a line of credit or monthly payments.
Compared to a few years ago, the total number of reverse mortgages is small. But lending has been picking up. In 2011, MetLife Bank originated 10,512 reverse mortgages, up 171% from the previous year, according to data firm Reverse Market Insight. The firm tracks reverse mortgages insured by the Department of Housing and Urban Development, or about 95% of total originations. Other lenders also had sharp increases. Quicken Loans' company One Reverse Mortgage doled out 4,619, up 43%, while Urban Financial Group and Genworth Financial Home Equity Access, a subsidiary of Genworth Financial, increased lending by 80% and 96%, respectively.
And in June, housing lenders US Mortgage Corporation, based in Melville, N.Y., and Irving, Calif.-based Greenlight Financial Services each launched reverse mortgage divisions.
This comes in spite of recent moves by HUD to lower the amount homeowners can borrow. The limit is now 62% of a home's value for a 62-year old; an 80-year-old can borrow up to 72% of the home's value.
With falling home values making it difficult for homeowners to refinance or sell -- and the stock market not delivering great gains -- the loans are understandably attractive to many Americans. Lenders say reverse mortgages can be a portfolio diversifier that provides retirees with extra income to supplement their 401(k).
But there are good reasons why advisers have historically recommended them only as a last-gasp way to raise cash.
For one, because borrowers are still responsible for property taxes and homeowner's insuran! ce, if t hey fall behind, lenders can foreclose on the property, says Karin Hill, director of single family program development at HUD.
Also, reverse mortgages carry hefty fees. Origination fees can be up to 2% of a home's value, capped at $6,000, says John Lunde, president of RMI. Closing costs vary but are often about 2% of the loan.
There are also mortgage-insurance fees charged by HUD. HUD charges an upfront mortgage insurance premium of 2% of the property's value plus another insurance fee of 1.25% annualized rate that accrues monthly on the loan's outstanding balance. HUD also offers a reverse mortgage option with a lower upfront mortgage insurance premium that's just 0.01% of the property's value for smaller loans; qualifying will vary based on several factors.
Most fees can be rolled into the mortgage, but the loan plus interest must be paid back to the lender when the homeowner passes away, sells the home or moves out. Interest rates on these loans currently average 5% for a fixed-rate reverse mortgage and around 2.5% for an adjustable rate. A 65-year-old with a home that's worth $500,000 who took an initial advance of $303,500 at a 5% fixed rate could owe $978,190 (including interest and fees) after 18 years, says Lunde. If a homeowner or his heirs can't sell the home for this amount, HUD will pay the difference between home's value and the outstanding balance to the lender; that money comes from the HUD insurance fees borrowers pay during the life of the loan.
Some advisers say a home-equity loan, which allows homeowners to borrow against some of their home equity in one lump sum, is often the safer bet. Closing costs tend to be smaller than on a typical reverse mortgage and in some cases lenders can waive them, says Buz Livingston, a certified financial planner in Santa Rosa Beach, ! Fla. The downside? Average interest rates on home-equity loans are currently higher.
There are situations where reverse mortgages make sense. Financial planner Mike McGervey of North Canton, Ohio, says he thinks they can be a good solution for people in their 80s, who are usually able to convert more home equity into cash than younger borrowers.
In some cases, homeowners sign up for a reverse mortgage as a lump sum to pay off their mortgage. That is what Joseph Rinaldi, 62, did when he signed up through US Mortgage Corp. three months ago. Now, rather than paying $2,200 per month in mortgage payments, Mr. Rinaldi, who lives in Mamaroneck, N.Y., says he and his wife use that money for everyday living expenses. "This saved mine and my wife's life," he says.
For homeowners who are convinced a reverse mortgage is right for them, advisers say there are reasons to sign up sooner rather than later, since qualifying may soon get more difficult. HUD is developing guidelines that will lead to more extensive underwriting, which could be announced as soon as this year. Details haven't been released yet, but industry experts say they could require lenders to check applicants' income and assets to make sure they can cover ongoing costs of the home, including taxes and insurance.
In November, MetLife was the first lender to implement additional requirements, such as providing income or asset documentation (like Social Security payments and dividends) and a list of monthly living expenses, and experts say more lenders could follow.
IRS 5 Tax Tips for Newlyweds, Divorcees
If you or a client has just gotten married or divorced, the last thing you want is for something to further complicate tax returns–or throw a snag into the processing of a refund.
Name changes can do just that, whether it’s a matter of taking a new name or resuming an old one. Connubial bliss can suffer if the refund doesn’t arrive in time to pay some of those hefty wedding bills–and freedom might not seem so free if finances are impaired when a long-anticipated refund check fails to show up. So here are five suggestions from the IRS that can help you stay out of trouble, whether you’re once again flying solo or have just tied the knot.
1. Calling a Spouse a Spouse
So you’ve taken the plunge and jumped the broom. The IRS’ computers won’t know, or care, unless you let the Social Security Administration know too–after all, a computer will look at your Social Security number and the name on your joint return and scream “Reject!”–even if you kept your old name and hyphenated it with that of your new spouse.
2. Back to the Future
Divorced? Same problem. If you went back to your old name, don’t forget to let SSA know so that the IRS computers don’t have a nervous breakdown trying to figure out where they know you from.
3. A Rose by Any Other Name
When you’re ready to notify Social Security, you will need to provide them with proof that you are (now) who you say you are. Make sure you have a recently issued document that identifies you as you wish to be known.
4. Gotta Do the Paperwork
Provide the Social Security Administration with that recently issued document, as well as a completed Form SS-5, Application for a Social Security Card, either by mail or in person at your local SSA office. The form is available online at http://www.socialsecurity.gov/, by phone–call 800-772-1213 to request it—or at those handy local offices. Your new card will arrive with your old number and your new name.
5. But What About the Kids?
Suppose you (or your spouse) adopted the kids, and their names changed too. Social Security needs to know about them as well, even if they don’t have SSNs yet. For adopted children without SSNs, the parents can apply for an Adoption Taxpayer Identification Number–or ATIN–by filing Form W-7A, Application for Taxpayer Identification Number for Pending U.S. Adoptions, with the IRS. The ATIN is a temporary number used in place of an SSN on the tax return. Form W-7A is available on the IRS.gov website or by calling 800-TAX-FORM (800-829-3676).
See AdvisorOne’s Special Report, 22 Days of Tax Planning Advice for 2012, throughout the month of March.
For more on the unique tax issues of women, please see Top Tips for Women at Tax Time.
Name changes can do just that, whether it’s a matter of taking a new name or resuming an old one. Connubial bliss can suffer if the refund doesn’t arrive in time to pay some of those hefty wedding bills–and freedom might not seem so free if finances are impaired when a long-anticipated refund check fails to show up. So here are five suggestions from the IRS that can help you stay out of trouble, whether you’re once again flying solo or have just tied the knot.
1. Calling a Spouse a Spouse
So you’ve taken the plunge and jumped the broom. The IRS’ computers won’t know, or care, unless you let the Social Security Administration know too–after all, a computer will look at your Social Security number and the name on your joint return and scream “Reject!”–even if you kept your old name and hyphenated it with that of your new spouse.
2. Back to the Future
Divorced? Same problem. If you went back to your old name, don’t forget to let SSA know so that the IRS computers don’t have a nervous breakdown trying to figure out where they know you from.
3. A Rose by Any Other Name
When you’re ready to notify Social Security, you will need to provide them with proof that you are (now) who you say you are. Make sure you have a recently issued document that identifies you as you wish to be known.
4. Gotta Do the Paperwork
Provide the Social Security Administration with that recently issued document, as well as a completed Form SS-5, Application for a Social Security Card, either by mail or in person at your local SSA office. The form is available online at http://www.socialsecurity.gov/, by phone–call 800-772-1213 to request it—or at those handy local offices. Your new card will arrive with your old number and your new name.
5. But What About the Kids?
Suppose you (or your spouse) adopted the kids, and their names changed too. Social Security needs to know about them as well, even if they don’t have SSNs yet. For adopted children without SSNs, the parents can apply for an Adoption Taxpayer Identification Number–or ATIN–by filing Form W-7A, Application for Taxpayer Identification Number for Pending U.S. Adoptions, with the IRS. The ATIN is a temporary number used in place of an SSN on the tax return. Form W-7A is available on the IRS.gov website or by calling 800-TAX-FORM (800-829-3676).
See AdvisorOne’s Special Report, 22 Days of Tax Planning Advice for 2012, throughout the month of March.
For more on the unique tax issues of women, please see Top Tips for Women at Tax Time.
Saturday, March 31, 2012
Approach Resources Inc. currently trading above From Target Price while Gross Margin Remained More Than 85% - NASDAQ:AREX
Approach Resources Inc. (NASDAQ:AREX) recently hit 52 week peak price $33.89, opened at $31.17 scored +5.18% closed $32.48. AREX traded on over 0.204 million shares in comparison to average volume of 0.222 million shares.
AREX has earnings of $4.92 million and made $53.17 million sales for the last 12 months. Its quarter to quarter sales remained 69.75%. The company has 27.28 million of outstanding shares and 24.40 million shares were floated in the market.
AREX has an insider ownership at 0.59% and institutional ownership remained 90.41%. Its return on investment (ROI) for the last 12 month was 1.55% as compare to its return on equity (ROE) of 2.18% for the last 12 months.
The price moved ahead +18.92% from the mean of 20 days, +31.57% from 50 and went up 129.51% from 200 days average price. Company�s performance for the week was 15.34%, +33.50% for month and yearly performance remained 289.92%.
Its price volatility for a month remained 4.42% whereas volatility for a week noted as 4.66%. Company�s price to sales ratio for last 12 months was 16.66 while its price to book ratio for the most recent quarter was 3.05 and its earnings before interest, tax, depreciation and amortization (EBITDA) remained 36.10 million for the past twelve months.
AREX has earnings of $4.92 million and made $53.17 million sales for the last 12 months. Its quarter to quarter sales remained 69.75%. The company has 27.28 million of outstanding shares and 24.40 million shares were floated in the market.
AREX has an insider ownership at 0.59% and institutional ownership remained 90.41%. Its return on investment (ROI) for the last 12 month was 1.55% as compare to its return on equity (ROE) of 2.18% for the last 12 months.
The price moved ahead +18.92% from the mean of 20 days, +31.57% from 50 and went up 129.51% from 200 days average price. Company�s performance for the week was 15.34%, +33.50% for month and yearly performance remained 289.92%.
Its price volatility for a month remained 4.42% whereas volatility for a week noted as 4.66%. Company�s price to sales ratio for last 12 months was 16.66 while its price to book ratio for the most recent quarter was 3.05 and its earnings before interest, tax, depreciation and amortization (EBITDA) remained 36.10 million for the past twelve months.
Venoco Beats Expectations but Takes a Step Back Anyway
Venoco (NYSE: VQ ) filed its 10-K on Feb. 16. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Venoco missed slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share increased significantly.
Margins grew across the board.
Revenue details
Venoco recorded revenue of $83.4 million. The seven analysts polled by S&P Capital IQ foresaw a top line of $84.7 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $72.1 million.
Non-GAAP EPS came in at $0.35. The 10 earnings estimates compiled by S&P Capital IQ averaged $0.11 per share on the same basis. GAAP EPS of $0.50 for Q4 were much higher than the prior-year quarter's $0.07 per share.
For the quarter, gross margin was 68.0%, 140 basis points better than the prior-year quarter. Operating margin was 46.9%, 6,080 basis points better than the prior-year quarter. Net margin was 36.5%, 3,030 basis points better than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $99.4 million. On the bottom line, the average EPS estimate is $0.10.
Next year's average es! timate f or revenue is $432.8 million. The average EPS estimate is $1.08.
Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 133 members out of 152 rating the stock outperform, and 19 members rating it underperform. Among 51 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 47 give Venoco a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Venoco is hold, with an average price target of $12.93.
Are you missing a major story in the energy space? Read about "One Stock to Own Before Nat Gas Act 2011 Becomes Law." Click here for instant access to this free report.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Venoco missed slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share increased significantly.
Margins grew across the board.
Revenue details
Venoco recorded revenue of $83.4 million. The seven analysts polled by S&P Capital IQ foresaw a top line of $84.7 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $72.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS detailsNon-GAAP EPS came in at $0.35. The 10 earnings estimates compiled by S&P Capital IQ averaged $0.11 per share on the same basis. GAAP EPS of $0.50 for Q4 were much higher than the prior-year quarter's $0.07 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Margin detailsFor the quarter, gross margin was 68.0%, 140 basis points better than the prior-year quarter. Operating margin was 46.9%, 6,080 basis points better than the prior-year quarter. Net margin was 36.5%, 3,030 basis points better than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $99.4 million. On the bottom line, the average EPS estimate is $0.10.
Next year's average es! timate f or revenue is $432.8 million. The average EPS estimate is $1.08.
Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 133 members out of 152 rating the stock outperform, and 19 members rating it underperform. Among 51 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 47 give Venoco a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Venoco is hold, with an average price target of $12.93.
Are you missing a major story in the energy space? Read about "One Stock to Own Before Nat Gas Act 2011 Becomes Law." Click here for instant access to this free report.
Friday, March 30, 2012
Best Wall St. Stocks Today: CMO,SOLR,LULU,WFR,NSM,NOK,IRE,AIB,SWHC,COCO
Many stocks are on the move this Friday morning.� Active traders and day traders are likely to be watching the moves seen in Capstead Mortgage Corp. (NYSE: CMO), GT Solar International Inc. (NASDAQ: SOLR), Lululemon Athletica Inc. (NASDAQ: LULU), MEMC Electronic Materials Inc. (NYSE: WFR), National Semiconductor Corporation (NYSE: NSM), Nokia Corporation (NYSE: NOK), The Bank of Ireland (NYSE: IRE), Allied Irish Banks plc (NYSE: AIB), and Smith & Wesson Holding Corporation (NASDAQ: SWHC).
Corinthian Colleges Inc. (NASDAQ: COCO) is up again, still on rumors that Pershing Square’s Ackman may have a very heightened interest.
Capstead Mortgage Corp. (NYSE: CMO) is lower by 5.6% at $11.15 on thin trading volume after its $0.26 dividend declaration yesterday represented another cut.
GT Solar International Inc. (NASDAQ: SOLR) is actually higher after pricing its secondary offering of 11 million shares at $7.39 per share.� Shares are up 1% at $7.47 on more than 1 million shares.� This stock was above $8.70 before the deal became known this week.
Lululemon Athletica Inc. (NASDAQ: LULU) is surging after strong earnings this morning; shares are up9.3% at $39.20 on over 70,000 shares.
MEMC Electronic Materials Inc. (NYSE: WFR) is trading up on thin volume after its subsidiary signed a memorandum of understanding for 400MW of solar plants in a Korean province.� Shares are indicated up 2.9% at $11.00.
National Semiconductor Corporation (NYSE: NSM) is trading lower after earnings and after seeing little growth ahead. Shares are down 5.8% at $12.15 on over 60,000 shares.
Nokia Corporation (NYSE: NOK) is trading higher after naming a new CEO, which the company has been trying to reluctantly fight for weeks or months.� Shares (ADRs) are indicated up 4.4% at $10.19 on more than 2 million shares.
Irish banks are getting hit, partly on new capital raise concerns from larger healthier banks: The Bank of Ireland (NYSE: IRE) is down 3% at $3.53 and Allied Irish Banks ! plc (NYS E: AIB) is down 1.5% at $1.92.
Smith & Wesson Holding Corporation (NASDAQ: SWHC) is soft this morning after lower gun sales in the latest period were reported.� Shares are down 8.6% at $3.62, although trading volume is muted and barely 10,000 shares pre-market.
You can join our free daily email distribution list to hear more about dividend trends, analyst upgrades and downgrades, top day trader and active trader alerts, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.
Corinthian Colleges Inc. (NASDAQ: COCO) is up again, still on rumors that Pershing Square’s Ackman may have a very heightened interest.
Capstead Mortgage Corp. (NYSE: CMO) is lower by 5.6% at $11.15 on thin trading volume after its $0.26 dividend declaration yesterday represented another cut.
GT Solar International Inc. (NASDAQ: SOLR) is actually higher after pricing its secondary offering of 11 million shares at $7.39 per share.� Shares are up 1% at $7.47 on more than 1 million shares.� This stock was above $8.70 before the deal became known this week.
Lululemon Athletica Inc. (NASDAQ: LULU) is surging after strong earnings this morning; shares are up9.3% at $39.20 on over 70,000 shares.
MEMC Electronic Materials Inc. (NYSE: WFR) is trading up on thin volume after its subsidiary signed a memorandum of understanding for 400MW of solar plants in a Korean province.� Shares are indicated up 2.9% at $11.00.
National Semiconductor Corporation (NYSE: NSM) is trading lower after earnings and after seeing little growth ahead. Shares are down 5.8% at $12.15 on over 60,000 shares.
Nokia Corporation (NYSE: NOK) is trading higher after naming a new CEO, which the company has been trying to reluctantly fight for weeks or months.� Shares (ADRs) are indicated up 4.4% at $10.19 on more than 2 million shares.
Irish banks are getting hit, partly on new capital raise concerns from larger healthier banks: The Bank of Ireland (NYSE: IRE) is down 3% at $3.53 and Allied Irish Banks ! plc (NYS E: AIB) is down 1.5% at $1.92.
Smith & Wesson Holding Corporation (NASDAQ: SWHC) is soft this morning after lower gun sales in the latest period were reported.� Shares are down 8.6% at $3.62, although trading volume is muted and barely 10,000 shares pre-market.
You can join our free daily email distribution list to hear more about dividend trends, analyst upgrades and downgrades, top day trader and active trader alerts, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.
AGL Resources Catches Analysts Sleeping Again
AGL Resources (NYSE: GAS ) reported earnings on Feb. 22. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), AGL Resources missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share dropped significantly.
Gross margins expanded, operating margins expanded, net margins dropped.
Revenue details
AGL Resources recorded revenue of $790.0 million. The four analysts polled by S&P Capital IQ expected a top line of $812.2 million on the same basis. GAAP reported sales were 19% higher than the prior-year quarter's $665.0 million.
Non-GAAP EPS came in at $0.87. The eight earnings estimates compiled by S&P Capital IQ predicted $0.93 per share on the same basis. GAAP EPS of $0.36 for Q4 were 56% lower than the prior-year quarter's $0.81 per share.
For the quarter, gross margin was 33.8%, 460 basis points better than the prior-year quarter. Operating margin was 23.5%, 200 basis points better than the prior-year quarter. Net margin was 4.2%, 540 basis points worse than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $1.46 billion. On the bottom! line, t he average EPS estimate is $1.44.
Next year's average estimate for revenue is $2.53 billion. The average EPS estimate is $3.06.
Investor sentiment
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AGL Resources is hold, with an average price target of $41.29.
If you are interested in gas utilities, then you'll want to read about "One Stock to Own Before Nat Gas Act 2011 Becomes Law." Click here for instant access to this free report.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), AGL Resources missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share dropped significantly.
Gross margins expanded, operating margins expanded, net margins dropped.
Revenue details
AGL Resources recorded revenue of $790.0 million. The four analysts polled by S&P Capital IQ expected a top line of $812.2 million on the same basis. GAAP reported sales were 19% higher than the prior-year quarter's $665.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS detailsNon-GAAP EPS came in at $0.87. The eight earnings estimates compiled by S&P Capital IQ predicted $0.93 per share on the same basis. GAAP EPS of $0.36 for Q4 were 56% lower than the prior-year quarter's $0.81 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Margin detailsFor the quarter, gross margin was 33.8%, 460 basis points better than the prior-year quarter. Operating margin was 23.5%, 200 basis points better than the prior-year quarter. Net margin was 4.2%, 540 basis points worse than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $1.46 billion. On the bottom! line, t he average EPS estimate is $1.44.
Next year's average estimate for revenue is $2.53 billion. The average EPS estimate is $3.06.
Investor sentiment
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AGL Resources is hold, with an average price target of $41.29.
If you are interested in gas utilities, then you'll want to read about "One Stock to Own Before Nat Gas Act 2011 Becomes Law." Click here for instant access to this free report.
- Add AGL Resources to My Watchlist.
Great Stocks To Hold 2013
Well, January sure set a pleasant tone for 2013. The market recorded its best first month of the year since 1997, with the S&P 500 up 5%, the Dow up over 4% and Nasdaq up a stunning 9% from Jan. 1 to Feb. 1.
Warren Buffett didn’t seem to fare as well, though, with his iconic Berkshire Hathaway(NYSE:BRK.B) underperforming with a less than 3% return in January. But investors should know by now that Buffett stocks aren’t meant to be in your portfolio for a matter of weeks but for many months. The Oracle of Omaha has famously said that even if the market was open for just one day a year, he would still buy shares.
So don’t take this as a sign that Buffett has lost his edge just yet.
Which stocks is Buffett banking on in 2013? Here are the leaders so far. Share totals are as of the November filing for Berkshire Hathaway disclosure of equity stakes:
Great Stocks To Hold 2013:Service Corporation International (SCI)
Service Corporation International provides deathcare products and services in the United States, Canada, and Germany. Its funeral service and cemetery operations consist of funeral service locations, cemeteries, funeral service/cemetery combination locations, crematoria, and related businesses. The company provides various professional services relating to funerals and cremations, including the use of funeral facilities and motor vehicles, and preparation and embalming services. It also sells funeral related merchandise, including caskets, burial vaults, cremation receptacles, cremation memorial products, flowers, and other ancillary products and services at funeral service locations. The company?s cemeteries provide cemetery property interment rights, including mausoleum spaces, lots, and lawn crypts; and sell cemetery related merchandise and services comprising stone and bronze memorials, markers, merchandise installations, and burial openings and closings. It also sells preneed funeral and cemetery products and services whereby a customer contractually agrees to the terms of certain products and services to be delivered and performed in the future. As of December 31, 2009, Service Corporation operated 1,254 funeral service locations and 372 cemeteries, including 208 combination locations, covering 43 states in the United States, 8 Canadian provinces, the District of Columbia, and Puerto Rico, as well as 12 funeral homes in Germany. The company was founded in 1962 and is headquartered in Houston, Texas.Great Stocks To Hold 2013:Eastman Chemical Company (EMN)
Eastman Chemical Company, a chemical company, engages in the manufacture and sale of chemicals, plastics, and fibers in the United States and internationally. The company operates in four segments: Coatings, Adhesives, Specialty Polymers, and Inks (CASPI); Fibers; Performance Chemicals and Intermediates (PCI); and Specialty Plastics. The CASPI segment manufactures resins, specialty polymers, and solvents that are used in the production of paints and coatings, inks, adhesives, and other formulated products. The Fibers segment offers Estron acetate tow and Estrobond triacetin plasticizers used in cigarette filters; Estron natural and Chromspun solution-dyed acetate yarns for use in apparel, home furnishings, and industrial fabrics; and cellulose acetate flake and acetyl raw materials for acetate fiber producers. The PCI segment offers intermediates; performance chemicals; and complex organic molecules, such as diketene derivatives, specialty ketones, and specialty anhydrides for medical, pharmaceutical, fiber, and food and beverage ingredients, which are used in specialty market applications. This segment?s products are used in various markets and end uses, including agriculture, transportation, beverages, nutrition, pharmaceuticals, coatings, medical devices, toys, adhesives, household products, polymers, textiles, and consumer and industrial products, as well as used for health and wellness uses. The Specialty Plastics segment primarily offers engineering and specialty polymers, specialty film and sheet products, and packaging film and fiber products. This segment?s products include specialty copolyesters and cellulosic plastics, which are used in specialty packaging, in-store fixtures and displays, consumer and durable goods, medical goods, personal care and consumer packaging, photographic film, optical film, fibers/nonwovens, tapes/labels, and LCD?s. The company was founded in 1920 and is headquartered in Kingsport, Tennessee.Great Stocks To Hold 2013:KBR Inc. (KBR)
KBR, Inc. operates as an engineering, construction, and services company supporting the energy, hydrocarbon, government services, minerals, civil infrastructure, power, and industrial sectors worldwide. Its Downstream business unit provides front end engineering design; detailed engineering; engineering, procurement, and construction (EPC); EPC management; and program management services to petrochemical, refining, coal gasification, and syngas markets. The company?s Government and Infrastructure business unit provides program and project management, contingency logistics, operations and maintenance, construction management, engineering, and other services to military and civilian branches of governments and private clients. Its Services business unit delivers engineering, construction, construction management, fabrication, maintenance, and turnaround services. It also offers maintenance, construction, and drilling support services for offshore oil and gas producing facilities using semisubmersible vessels. This segment serves oil, gas, petrochemicals, and hydrocarbon processing industries, as well as power, alternate energy, pulp and paper, industrial and manufacturing, and pharmaceutical industries. The company?s Technology business unit offers various process technologies, including value-added technologies in the coal monetization, petrochemical, refining, and syngas markets. Its Upstream business unit constructs liquefied natural gas, gas-to-liquids, onshore oil and gas production facilities, offshore oil and gas production facilities, and onshore and offshore pipelines. The company?s Ventures business unit invests in and manages projects, where the company provides engineering, construction, construction management or operations, and maintenance services. KBR, Inc. was founded in 1901 and is based in Houston, Texas.Great Stocks To Hold 2013:3M Company (MMM)
3M Company, together with subsidiaries, operates as a diversified technology company worldwide. The company?s Industrial and Transportation segment offers tapes, coated and non-woven abrasives, adhesives, specialty materials, filtration products, energy control products, closure systems for personal hygiene products, acoustic systems products, and components and products that are used in the manufacture, repair, and maintenance of automotive, marine, aircraft, and specialty vehicles. Its Health Care segment provides medical and surgical supplies, skin health and infection prevention products, inhalation and transdermal drug delivery systems, dental and orthodontic products, health information systems, and food safety products. The company?s Display and Graphics offers optical film solutions for LCD electronic displays; computer screen filters; reflective sheeting for transportation safety; commercial graphics sheeting and systems; and mobile interactive solutions, including mobile display technology, visual systems products, and computer privacy filters. The company?s Consumer and Office segment provides office supply products, stationery products, construction and home improvement products, home care products, protective material products, certain consumer retail personal safety products, and consumer health care products. Its Safety, Security and Protection Services segment offers personal protection products, safety and security products, cleaning and protection products for commercial establishments, track and trace solutions, and roofing granules for asphalt shingles. The company?s Electro and Communications segment provides packaging and interconnection devices; fluids that are used in the manufacture of computer chips, and for cooling electronics and lubricating computer hard disk drives; high-temperature and display tapes; insulating materials, including tapes and resins; and related items. The company was founded in 1902 and is based in St. Paul, Minnesota.Advisors' Opinion:
The disappointing analyst meeting and the negative previous quarter haunt this stock going into 2011. But if you are like me and believe there will be worldwide growth, you would be nuts not to consider buying this 13% grower for just 15 times earnings. 3M (MMM) has got so much going for it in Asia and has so many new businesses -- it remains the most potent inventor of new products among the major companies I follow -- that I think it will drift back up to its 52-week high of $91, if not higher. Perhaps $100, which I think is my stretch goal, given its $6.16 in composite EPS estimates.
Why $100? I think the dollar gets weaker, and this is one of the most sensitive companies to the greenback, which means that $6.16 could be too low. Cheap stock that's in the penalty box because of the ever-so-slight shade down of earnings, a shade down that, when I analyze the company, is something that will be left behind in 2011.
Subscribe to:
Posts (Atom)
