Thursday, February 20, 2014

Ashton Kutcher invests in Washio laundry app

SAN FRANCISCO -- A world of apps has brought new forms of convenience to fingertips. Washio wants to extend that to laundry services, bagging $2.25 million in seed funding on Tuesday.

Los Angeles-based Washio's mobile app is available to people in Los Angeles and San Francisco for dry cleaning and wash-and-fold laundry pickup and delivery services. The startup has ambitions to blanket the U.S. and go global.

"Our next plan is to open our third city, which will happen later this month. And if that goes well, we plan to launch into more and more major urban cities," says co-founder Jordan Metzner.

Washio wants to bring the convenience of 24-hour turnaround in laundry service to the fingertips of the masses. The startup employs a service crew that brings the laundry to facilities to be washed without "harsh chemicals" and returned in "reusable bags."

The startup attracted funding from lead investor Pejman Mar Ventures and included actor and investor Ashton Kutcher among other celebrities. Rapper Nas got into the early-stage investment that drew other music industry figures.

The funding brings Washio's total financing to $2.8 million.

Investors in Washio also count Jerry Yang's AME Cloud Ventures, Sherpa Ventures, Three Six Zero Group, Guy Oseary, Ron Burkle, Anthony Saleh, Jay Brown, Zod Nazem, Scooter Braun, Troy Carter, Yael Cohen, Tom Ryan, Larry Rudolph and Frank Cooper.

Washio's app is avaiable on both Apple's App Store and Google Play.

Wednesday, February 19, 2014

Signet to buy Zale for $1.4 billion

signet jared

Signet, which runs the Jared brand of jewelry stores, is buying its discount rival Zale.

NEW YORK (CNNMoney) Signet Jewelers has signed a $1.4 billion deal to buy jewelry retailer Zale, the companies said Wednesday.

Shares surged 12% for Signet (SIG)in premarket trading, while Zale (ZLC) shares soared 40%.

Signet, which has 1,400 stores in the U.S. and 500 in the U.K., has agreed to buy the Dallas-based Zale, which has 1,680 stores in the U.S., Canada and Puerto Rico, in a cash deal for $21 per share.

Related video: Turning America's gun into jewelry

Signet Chief Executive Officer Mike Barnes said in a press release that the acquisition "further diversifies our businesses and extends our international footprint" and opens the door for greater growth and innovation.

Signet owns discount jewelers Kay and Jared, which are famous (and often mocked) for their somewhat cheesy ads. Zale also runs stores selling jewelry that is more affordable to the masses. So neither company competes that directly with higher-end jewelers such as Tiffany (TIF) or Harry Winston.

But Signet and Zale do face some challenges from online jeweler Blue Nile (NILE). Shares of Blue Nile were up slightly in premarket trading. To top of page

Monday, February 17, 2014

Australia stocks tick higher amid mixed earnings

LOS ANGELES (MarketWatch) -- Australian stocks rose modestly in early Tuesday trade, with the market reacting to a mixed batch of earnings. The S&P/ASX 200 (AU:XJO) added 0.2% to 5,391.80, with BHP Billiton Ltd. (AU:BHP) (BHP) rising 1.7% after its July-December profit almost doubled from a year earlier, beating forecasts. However, smaller rival Arrium Ltd. (AU:ARI) (ARRMF) added 2.5% after reporting a swing back to profit. Other miners got a bump up from rising commodity prices, as Newcrest Mining Ltd. (AU:NCM) (NCMGF) gained 2.3% and Fortescue Metals Group Ltd. (AU:FMG) (FSUMF) added 1.2%, though Oz Minerals Ltd. (AU:OZL) (OZMLF) slipped 0.4%. Shares of Coca-Cola Amatil Ltd. (AU:CCL) (CCLAF) slumped 5.1% after the drinks firm saw a more than 80% drop in 2013 profit, weighed by a writedown on its fruit-processing business. Packaging firm Amcor Ltd. (AU:AMC) (AMCRF) lost 4.6% after its fiscal-first-half profit fell by about a third.

Saturday, February 15, 2014

Promising 2014 Ahead for This Leading Meat Processor

Since 2009, Tyson Foods Inc. (TSN) has made a turnaround. It is an integrated producer, processor, and marketer of chicken and poultry-based food products. The company operates in four segments: Chicken, Beef, Pork and Prepared Foods. It supplies chicken products through food service, retail grocery stores, club stores and international distribution channels. Tyson is the largest protein processor in the U.S. (where the core business is chicken), and its common stock offers a good investment opportunity. This Springdale, Ark.-based company also makes corn and flour tortillas under the Mexican Original brand and through its subsidiary Cobb Vantress, a chicken breeding stock supplier.

Numbers at a Glance

Tyson is the largest publicly traded meat processor and marketer in the U.S., and the second largest in the world (behind only Brazilian JBS SA). In its first-quarter earnings (declared on Friday, Jan. 31, 2014), the company repurchased 4.6 million shares for $150 million. EPS were up 47% to $0.72 compared to $0.49 in the first quarter of the prior year. Sales were about $8.8 billion, which represents an increase of 4.7% over the first quarter of the prior year. Operating income increased 36% to $412 million, and overall operating margin was 4.7%. Adjusted earnings were of 72 cents per share. All these positive numbers contributed a net profit of $254 million, which is substantially higher than last year's $173 million. Tyson had a very good operating cash flow of $361 million. The company's total capital expenditures in quarter one of fiscal year 2014 were just $140 million, and this gave more free cash flows which are used for the share repurchase program.

Top Bank Stocks For 2015

Positive Outlook

In fiscal 2014, the company expects to increase the overall domestic protein production (chicken, beef, pork and turkey) by 1% from fiscal 2013 levels. Grain supplies are expected to increase in fiscal 2014, which should result in lower input costs. Tyson expects fiscal 2014 capital expenditures to approximate $700 million, and approximate net interest expense will be $100 million. The company expects that grain supplies will increase in fiscal 2014, which should result in lower input costs. Tyson also expects sales to be around $36 billion, up 5% over fiscal 2013 backed by strong demand for the company's products. The company is confident of achieving at least 10% earnings growth in fiscal 2015.

On Feb. 5, 2014, Tyson Foods announced the addition of a new line of breakfast items to its product offerings with Tyson® Day StartsTM products. In conjunction with the launch of Day StartsTM, the company is also partnering with Florida Orange Juice to help spread the word about the importance of consuming a healthful morning meal.

In June 2013, Tyson Foods Inc. announced the acquisition of assets of Circle Foods LLC, and on Jan 20, 2014, the company took over Warren, Mich.-based pizza maker Bosco's Pizza Company. These acquisitions will help to boost earnings in the coming quarters.

Head to Head

Tyson Foods faces stiff competition from Smithfield Foods Inc. (SFD), Hormel Foods Corp. (HRL), and Pilgrim's Pride Corporation (PPC).

Compared to its peers, Tyson has the diversification advantage as it provides the commodity raw pork, poultry and beef as well as value-added processed meat. From the above chart, it is clear that Tyson has the largest geographic reach in the U.S.

Wings Across the World

Tyson foods is the second-largest food production company in the Fortune 500 list with approximately 115,000 team members worldwide. It has 57 chicken plants, 13 beef plants, 9 pork plants and 25 prepared foods plants worldwide. The company has its wings in Brazil, India, China and Mexico.

In India at a Glance

Tyson partnered with Godrej India, and their joint venture Godrej Tyson Foods Ltd. was the first company to market fresh chilled chicken in India. The company is focused on serving the growing demand for quality poultry in India and have branded lines for chicken and vegetarian proteins. In India, Tyson markets its products in the name of Yummiez brand. Currently in India, Mumbai and Bangalore threre are two plants for Godrej Tyson Foods Ltd.

China

Tyson was impacted last year when an avian flu scare kept Chinese consumers away from chicken products. Despite this mishap, Tyson managed to provide positive numbers.

On a Concluding Note

Tyson Foods is diversified across the major meat types (poultry, pork and beef) and therefore, this leading meat processor is well positioned to meet changes in tastes for meat. Other remarkable advantages are its profit margins are normalizing, and it is continuing to innovate and invest in value-added businesses, which could bring even more shareholder value in the future.

Overall, Tyson Foods has a strong financial position, and enough room for its international exposure. Therefore, it can be said that this company will provide good food to its valued customers and pocketful of return to its investors in the near future.


Currently 3.00/512345

Rating: 3.0/5 (1 vote)

Email FeedsSubscribe via Email RSS FeedsSubscribe RSS Comments Please leave your comment:
More GuruFocus Links
Latest Guru Picks Value Strategies
Warren Buffett Portfolio Ben Graham Net-Net
Real Time Picks Buffett-Munger Screener
Aggregated Portfolio Undervalued Predictable
ETFs, Options Low P/S Companies
Insider Trends 10-Year Financials
52-Week Lows Interactive Charts
Model Portfolios DCF Calculator
RSS Feed Monthly Newsletters
The All-In-One Screener Portfolio Tracking Tool
MORE GURUFOCUS LINKS
Latest Guru Picks Value Strategies
Warren Buffett Portfolio Ben Graham Net-Net
Real Time Picks Buffett-Munger Screener
Aggregated Portfolio Undervalued Predictable
ETFs, Options Low P/S Companies
Insider Trends 10-Year Financials
52-Week Lows Interactive Charts
Model Portfolios DCF Calculator
RSS Feed Monthly Newsletters
The All-In-One Screener Portfolio Tracking Tool
TSN STOCK PRICE CHART 37.54 (1y: +55%) $(function() { var seriesOptions = [], yAxisOptions = [], name = 'TSN', display = ''; Highcharts.setOptions({ global: { useUTC: true } }); var d = new Date(); $current_day = d.getDay(); if ($current_day == 5 || $current_day == 0 || $current_day == 6){ day = 4; } else{ day = 7; } seriesOptions[0] = { id : name, animation:false, color: '#4572A7', lineWidth: 1, name : name.toUpperCase() + ' stock price', threshold : null, data : [[1360821600000,24.22],[1360908000000,24.01],[1361253600000,24.13],[1361340000000,23.56],[1361426400000,23.4],[1361512800000,23.8],[1361772000000,23.26],[1361858400000,22.4],[1361944800000,22.54],[1362031200000,22.67],[1362117600000,23.18],[1362376800000,23.21],[1362463200000,23.33],[1362549600000,23.57],[1362636000000,23.77],[1362722400000,24],[1362978000000,23.79],[1363064400000,23.86],[1363150800000,24.21],[1363237200000,24.36],[1363323600000,24.41],[1363582800000,24.28],[1363669200000,24.17],[1363755600000,24.08],[1363842000000,23.95],[1363928400000,24.13],[1364187600000,24.04],[1364274000000,24.21],[1364360400000,24.18],[1364446800000,24.82],[1364792400000,24.65],[1364878800000,24.75],[1364965200000,24.46],[1365051600000,24.7],[1365138000000,24.03],[1365397200000,23.77],[1365483600000,23.68],[1365570000000,23.59],[1365656400000,23.75],[1365742800000,23.88],[1366002000000,23.26],[1366088400000,23.67],[1366174800000,23.54],[1366261200000,23.61],[1366347600000,24.08],[1366606800000,24.25],[1366693200000,24.63],[1366779600000,24.82],[1366866000000,24.88],[1366952400000,24.72],[1367211600000,24.5],[1367298000000,24.63],[1367384400000,24.37],[1367470800000,24.61],[1367557200000,24.93],[1367816400000,24.1],[1367902800000,24.6],[1367989200000,25.01],[1368075600000,24.88],[1368162000000,24.75],[1368421200000,24.6],[1368507600000,24.93],[1368594000000,25.03],[1368680400000,24.88],[1368766800000,24.95],[1369026000000,24.76],[1369112400000,25.26],[1369198800000,25.31],[1369285200000,24.92],[1369371600000,24.87],[1369717200000,24.86],[1369803600000,25.36],[1369890000000,25.49],[1369976400000,25],[1370235600000,24.84],[1370322000000,25.2],[1370408400000,24.74],[1370494800000,24.81],[1370581200000,25.05],[1370840400000,25.45],[1370926800000,25.5],[1371013200000,25.42],[1371099600000,25.71],[1371186000000,25.56],[1371445200000,25.65],[1371531600000,25.88],[1371618000000,25.53],[1371704400000,25

Monday, February 10, 2014

Top Blue Chip Companies To Own For 2015

Despite a positive start, stocks fell off after opening and the Dow Jones Industrial Average (DJINDICES: ^DJI  ) finished down 0.16%, or 26 points. It was the blue chips' fifth straight session with little movement, as investors seem to be unsure if the market deserves to go further into record territory with earnings continuing to roll in. June new home sales topped expectations, coming at 497,000 versus estimates of 483,000, but Wall Street seemed to be unimpressed by President Obama's remarks on the economy. In his address, Obama touted mostly recycled ideas such as investing in infrastructure and raising the minimum wage that have gained little traction in the divided Congress.

Two industrial powerhouses on the Dow delivered earnings today. First, Caterpillar (NYSE: CAT  ) shares finished down 2.4% after missing estimates as many had expected. The slowdown in Chinese construction has hurt demand for materials and thus mining equipment, a key component of Caterpillar's business. The world's largest maker of earth-moving equipment said profits fell 43% as EPS came in at $1.45, down from $2.54 a year ago, and worse than estimates at $1.69. Revenue dropped 15.8% to $14.6 billion, below expectations of $15.1 billion. Management promised cost-cutting to cope with the decrease in demand, and cut its full-year EPS outlook from $7 to $6.50.

Top Blue Chip Companies To Own For 2015: McDonald's Corporation(MCD)

McDonald?s Corporation, together with its subsidiaries, operates as a worldwide foodservice retailer. It franchises and operates McDonald?s restaurants that offer various food items, soft drinks, coffee, and other beverages. As of December 31, 2009, the company operated 32,478 restaurants in 117 countries, of which 26,216 were operated by franchisees; and 6,262 were operated by the company. McDonald?s Corporation was founded in 1948 and is based in Oak Brook, Illinois.

Advisors' Opinion:
  • [By Daniela Pylypczak]

    Wells Fargo announced on Monday that it has lowered its price target on McDonald’s (MCD) from $105-$110 to $102-$106. Wells Fargo also maintained its outperform rating on the fast food company.

    The lower price target comes after McDonald’s reported its third quarter earnings results; EPS came in at $1.52 per share – above analyst expectations, while revenues came in slightly below expectations at $7.32 billion.

    Wells Fargo also lowered its 2013 EPS estimate for McDonald’s from $5.58 to $5.55. For its 2014 estimates, EPS is now expected to come in at $5.97, down from the previous estimate of $6.15.

    Wells Fargo analyst Jeff Farmer noted “While we’re disappointed with MCD�� Q4 SSS and margin outlook, we’re maintaining our Outperform rating based on our expectation for MCD to reaccelerate market share gains in 2014 as the company continues to refine its strategic focus on both new product introductions and affordability.”

    McDonald’s shares slipped 0.64% during Monday’s session. Year-to-date, the stock is up 5.64%.

  • [By Regarded Solutions]

    The Team Alpha portfolio consists of Ford (F) Chevron (CVX) Apple (AAPL), McDonald's (MCD), Exxon Mobil (XOM), Johnson & Johnson (JNJ), AT&T (T), General Electric (GE), BlackRock Kelso Capital (BKCC), KKR Financial (KFN), Procter & Gamble (PG), CSX Corp. (CSX), Realty Income (O), Coca-Cola (KO), Annaly Capital (NLY), Cisco (CSCO), Bristol-Myers Squibb (BMY), Newmont Mining (NEM), and Wells Fargo (WFC), and Intel (INTC).

  • [By Jeremy Bowman]

    Some minimum-wage workers at McDonald's (NYSE: MCD  ) joined with fellow fast-food employees and walked off the job today, demanding a $15-an-hour wage in a weeklong protest. The minimum-wage issue appears to be gaining traction after the D.C. Council recently passed a law designed to make Wal-Mart pay its future workers there a minimum of $12.50 an hour, and President Obama's recent statement that the widening income gap was damaging the country. McDonald's has also been the target of much derision and mockery since a sample budget for employees, which among other things implies that a worker needs two jobs, found its way to the media. Shares of Mickey D's were unaffected by the strike, falling 0.2%, but the issue will continue to circulate and could become a greater concern.

Top Blue Chip Companies To Own For 2015: Chevron Corporation(CVX)

Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.

Advisors' Opinion:
  • [By Arjun Sreekumar]

    3 companies seeing success in the Gulf
    Chevron (NYSE: CVX  ) , for instance, has had a string of exploration successes in the region, including its most recent deepwater oil discovery in the Coronado prospect about 200 miles off the Louisiana coast. The company's test well, jointly owned with ConocoPhillips (NYSE: COP  ) , has a 35% interest, and Anadarko Petroleum (NYSE: APC  ) , which has a 15% interest, unveiled more than 400 feet of oil-bearing rocks.

  • [By Dan Caplinger]

    Moreover, the success of oil companies in replacing reserves has been mixed. Exxon and Chevron (NYSE: CVX  ) have both seen reserves rise more than enough to offset their production, but Total and Royal Dutch Shell have fallen short, with reserve replacement ratios in the 85%-95% range. Competition among major oil companies to replace depleted fields with new opportunities has driven up asset prices, narrowing margins and making oil stocks look less attractive.

  • [By Dividends4Life]

    Chevron Corporation (CVX) is a global integrated oil company (formerly ChevronTexaco) with interests in exploration, production, refining and marketing, and petrochemicals.
    Yield: 3.3% | Years of Dividend Growth: 26

5 Best China Stocks For 2015: Colgate-Palmolive Company(CL)

Colgate-Palmolive Company, together with its subsidiaries, manufactures and markets consumer products worldwide. It offers oral care products, including toothpaste, toothbrushes, and mouth rinses, as well as dental floss and pharmaceutical products for dentists and other oral health professionals; personal care products, such as liquid hand soap, shower gels, bar soaps, deodorants, antiperspirants, shampoos, and conditioners; and home care products comprising laundry and dishwashing detergents, fabric conditioners, household cleaners, bleaches, dishwashing liquids, and oil soaps. The company offers its oral, personal, and home care products under the Colgate Total, Colgate Max Fresh, Colgate 360 Advisors' Opinion:

  • [By Dan Caplinger]

    One concern, though, is how the company handled news of Venezuela's currency devaluation. Clorox (NYSE: CLX  ) and Colgate-Palmolive (NYSE: CL  ) also felt the pinch, with Clorox taking about a $0.05 to $0.10 per-share earnings hit and Colgate losing about $0.50 per share. But they also addressed the potential devaluation more proactively than P&G did. Clorox actually�anticipated�the devaluation in its February earnings report, projecting the potential hit if a devaluation took place. Colgate didn't provide specific guidance in advance but clearly saw it as an issue, delivering on a promise to give prompt guidance revisions after the devaluation occurred.

  • [By Wallace Witkowski]

    Other earnings highlights in the coming week include Dow components McDonald�� Corp. (MCD) , DuPont (DD) , AT&T Inc. (T) , and Procter & Gamble Co. (PG) . Notable S&P 500 companies include Halliburton Co. (HAL) , Netflix Inc. (NFLX) �, Amgen Inc. (AMGN) �, TripAdvisor Inc. (TRIP) �, Amazon.com Inc. (AMZN) �, Colgate-Palmolive Co. (CL) �, Ford Motor Co. (F) �, Dow Chemical Co. (DOW) �, and United Parcel Service Inc. (UPS) �

  • [By Dan Caplinger]

    Moreover, it's starting to appear that Clorox has weathered a tough part of its business cycle. Throughout the industry, Procter & Gamble (NYSE: PG  ) , Colgate-Palmolive (NYSE: CL  ) , and Clorox all had to deal with rising costs for the inputs they needed to make their respective products. The companies responded by implementing price-cutting measures and passing on part of their higher costs to their customers. For its part, Clorox was able to expand its gross margins by a full percentage point, with a worse-than-normal flu season contributing to sales. Now that input-cost inflation is easing, P&G and Clorox expect to see better profitability, with growth starting to approach the faster rates that Colgate has enjoyed.

  • [By Dividend Growth Investor]

    In a previous article, I outlined that it is getting more difficult to find quality dividend paying stocks to buy. Most of the usual suspects like Kimberly-Clark (KMB) or Colgate-Palmolive (CL) are very overvalued today, which prevents me from adding to my positions there. Other companies like Chevron (CVX) are attractively valued today, but unfortunately my portfolio is overweight in them. Currently I find the oil sector to be cheap and have some of the lowest P/E ratios in the market. However, I would hate to be concentrated in one sector which is exposed to the fluctuating prices in its commodity products.

Top Blue Chip Companies To Own For 2015: Visa Inc.(V)

Visa Inc., a payments technology company, engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. The company owns and operates VisaNet, a global processing platform that provides transaction processing services. It also offers a range of payments platforms, which enable credit, charge, deferred debit, debit, and prepaid payments, as well as cash access for consumers, businesses, and government entities. The company provides its payment platforms under the Visa, Visa Electron, PLUS, and Interlink brand names. In addition, it offers value-added services, including risk management, issuer processing, loyalty, dispute management, value-added information, and CyberSource-branded services. The company is headquartered in San Francisco, California.

Advisors' Opinion:
  • [By Adam J. Wiederman]

    Alamy They're "the gift most everyone buys for the holidays," according to USA Today. This holiday season alone, nearly 81 percent of shoppers will buy at least one gift card -- totaling nearly $30 billion, according to the National Retail Federation. The benefits of buying gift cards are clear: They make great last-minute gifts (in a way that seems more personal than cash) and they vastly reduce the odds of you getting someone something just don't want or will never use. In fact, the percentage of consumers who made a holiday return has plummeted over the past few years as gift card purchases rose, according to data from America's Research Group. But if you're not careful, these gift cards could end up leaving you -- or your giftee -- with less money than you thought. Hidden Fees and Dates Recent changes to federal law have made gift cards even more consumer-friendly. For example, gift cards must now remain valid for five years. This law has worked as intended -- the amount unused on gift cards now only totals 1 percent of total sales ... down from 6.4 percent just four years ago, according to CEB TowerGroup. But this unused amount still totals more than $1 billion each year. To make sure your gift card purchase (or receipt) isn't included among these sunk costs, here are some tips to remember whether you're on the giving or receiving end of a gift card this year. If You Are Purchasing a Gift Card: 1. Stick to buying store-branded gift cards. Bankrate.com's annual Gift Card Survey uncovered that the major gift cards offered through banks and credit card companies (generic Visa (V) or American Express (AXP), for example) charged either purchase fees or maintenance/inactivity fees (or both). On the other hand, only a small handful of store-branded cards reviewed carried similar fees. 2. Send either an e-gift card or purchase the gift card in store. Many gift cards (even store-branded ones) carry purchase fees disguised as "delivery fees." For example,

Top Blue Chip Companies To Own For 2015: International Business Machines Corporation(IBM)

International Business Machines Corporation (IBM) provides information technology (IT) products and services worldwide. Its Global Technology Services segment provides IT infrastructure and business process services, including strategic outsourcing, process, integrated technology, and maintenance services, as well as technology-based support services. The company?s Global Business Services segment offers consulting and systems integration, and application management services. Its Software segment offers middleware and operating systems software, such as WebSphere software to integrate and manage business processes; information management software for database and enterprise content management, information integration, data warehousing, business analytics and intelligence, performance management, and predictive analytics; Tivoli software for identity management, data security, storage management, and datacenter automation; Lotus software for collaboration, messaging, and so cial networking; rational software to support software development for IT and embedded systems; business intelligence software, which provides querying and forecasting tools; SPSS predictive analytics software to predict outcomes and act on that insight; and operating systems software. Its Systems and Technology segment provides computing and storage solutions, including servers, disk and tape storage systems and software, point-of-sale retail systems, and microelectronics. The company?s Global Financing segment provides lease and loan financing to end users and internal clients; commercial financing to dealers and remarketers of IT products; and remanufacturing and remarketing services. It serves financial services, public, industrial, distribution, communications, and general business sectors. The company was formerly known as Computing-Tabulating-Recording Co. and changed its name to International Business Machines Corporation in 1924. IBM was founded in 1910 and is based in Armonk, New York.

Advisors' Opinion:
  • [By Anders Bylund]

    This quarter was a though slough for most enterprise IT specialists. Oracle (NYSE: ORCL  ) disappointed in its latest report, citing poor sales execution against a difficult macroeconomic backdrop. IBM (NYSE: IBM  ) followed suit, blaming its unusual miss on soft government orders and a "once-every-10-year event" in China. Both stocks plunged after reporting results, 8% in IBM's case and more than 10% for Oracle.

  • [By Daniel Sparks]

    It turns out that market leaders in the tech sector like Apple (NASDAQ: AAPL  ) , Google (NASDAQ: GOOG  ) , IBM (NYSE: IBM  ) and Microsoft (NASDAQ: MSFT  ) are better bargains than many typical cash cows, like Coca-Cola.

  • [By The Oxen Group]

    Finally, we are bearish on CRM in the near term and mixed in the long term. We recently published a long-term outlook on CRM with a Hold rating. We do see the company as quite overvalued in the sense of future P/E, which stands at 66. Further, we believe that the company will see rising competition from the likes of Oracle (ORCL) and IBM (IBM) who want a larger piece of the cloud network pie. In the near term, we believe CRM could see some pretty strong correcting with such large valuations, but in the long term, we do see CRM as being a much better potential play than some other cloud networking companies. CRM will likely see a hit if the market corrects as investors abandon high growth names during market corrections. Further, CRM cannot make any mistakes moving forward to continue to maintain that P/E ratio.

  • [By Paul Ausick]

    Dell Inc. (NASDAQ: DELL) posted its highest-ever share of the global server market — 18.8% — as competitors International Business Machines Corp. (NYSE: IBM) and Hewlett-Packard Co. (NYSE: HPQ) both lost share. That s the good news for Dell; the bad news is that the worldwide market is shrinking.

Top Blue Chip Companies To Own For 2015: Apple Inc.(AAPL)

Apple Inc., together with subsidiaries, designs, manufactures, and markets personal computers, mobile communication and media devices, and portable digital music players, as well as sells related software, services, peripherals, networking solutions, and third-party digital content and applications worldwide. The company sells its products worldwide through its online stores, retail stores, direct sales force, third-party wholesalers, resellers, and value-added resellers. In addition, it sells third-party Mac, iPhone, iPad, and iPod compatible products, including application software, printers, storage devices, speakers, headphones, and other accessories and peripherals through its online and retail stores; and digital content and applications through the iTunes Store. The company sells its products to consumer, small and mid-sized business, education, enterprise, government, and creative markets. As of September 25, 2010, it had 317 retail stores, including 233 stores in the United States and 84 stores internationally. The company, formerly known as Apple Computer, Inc., was founded in 1976 and is headquartered in Cupertino, California.

Advisors' Opinion:
  • [By Jim Jubak]

    October 22 is shaping up as a very busy day in the technology sector, with events scheduled by Microsoft (MSFT), Nokia (NOK), and probably, Apple (AAPL). Apple is a member of my Jubak's Picks portfolio.

  • [By WALLSTCHEATSHEET.COM]

    Apple is an innovator that works to provide appealing products and services to consumers and companies worldwide. A flurry of positive headlines, including planned events, have pushed the stock higher and may continue to do so. The stock has now broken above a base established earlier this year. Over the last four quarters, earnings have been decreasing while revenues have been rising. Relative to its peers and sector, Apple has been a weak year-to-date performer. Look for Apple to pick it up and OUTPERFORM.

  • [By Russ Krull]

    There will be one more way to get a bite of Apple (NASDAQ: AAPL  ) soon. The company released a new plan to return capital to shareholders, including a dividend raise and a $50 billion increase in its share repurchase authorization. According to the press release, "In conjunction with the expanded return of capital program, the Company plans to borrow and expects to announce more details about this in the near future." Given Apple's huge cash balance and profitable operations, expect the bonds to price with very low yields when they are announced. At the new dividend rate, the debt service will probably cost less than the dividend payouts on repurchased stock.

Top Blue Chip Companies To Own For 2015: Philip Morris International Inc(PM)

Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. Its international product brand line comprises Marlboro, Merit, Parliament, Virginia Slims, L&M, Chesterfield, Bond Street, Lark, Muratti, Next, Philip Morris, and Red & White. The company also offers its products under the A Mild, Dji Sam Soe, and A Hijau in Indonesia; Diana in Italy; Optima and Apollo-Soyuz in the Russian Federation; Morven Gold in Pakistan; Boston in Colombia; Belmont, Canadian Classics, and Number 7 in Canada; Best and Classic in Serbia; f6 in Germany; Delicados in Mexico; Assos in Greece; and Petra in the Czech Republic and Slovakia. It operates primarily in the European Union, Eastern Europe, the Middle East, Africa, Asia, Canada, and Latin America. The company is based in New York, New York.

Advisors' Opinion:
  • [By Maxx Chatsko]

    However, you would be hard-pressed to find any connection between falling smoking prevalence and share performance at Reynolds American (NYSE: RAI  ) , Lorriland (NYSE: LO  ) , Phillip Morris (NYSE: PM  ) , and Altria (NYSE: MO  ) . These companies are some of the best performers in the past decade. In fact, Altria is the best-performing stock of the last half-century!

  • [By Rupert Hargreaves]

    After a�record�first half, tobacco stocks are now starting to pull back as the high-yield sector of the market is sold-off. During the first six and a half months of the year, Altria (NYSE: MO  ) matched the S&P 500 with gains of 17.5%, while�Reynolds American (NYSE: RAI  ) �climbed 24% and Philip Morris International (NYSE: PM  ) �advanced�7.3%, all excluding dividends (the S&P 500 gained 18% over the same period). However, since the recent sell-off began, all three companies have wiped out most of their gains so far this year.��

  • [By Tim McAleenan Jr.]

    And lastly, Mankiw mentions emerging markets. If you want to bet against the United States dollar and own a company that generates all of its profits outside the United States, it could be useful to take a look at Philip Morris International (PM). Asia makes up 37% of its profits. The Middle East, Africa, and Eastern Europe make up 27% of its profits. Smoking rates in countries like Indonesia are increasing at 10-25% annual rates. The Marlboro brand is gaining market share in Asia. The company is planning aggressive expansion into Central Africa. If you want emerging markets exposure, Philip Morris International could be a decent way to cover your bases.

  • [By Sean Williams]

    Russia's move could pose a threat to global cigarette producers such as Philip Morris International (NYSE: PM  ) and British American Tobacco. Although both tobacco producers operate around the globe, a dramatic shift in curbing smoking from the world's third-largest tobacco consumer is bound to sting. In Philip Morris' case, according to Trefis, Russia accounted for approximately 6% of its total revenue last year, and the Eastern Europe, Middle East and Africa region accounted for roughly one-quarter of sales.�

Sunday, February 9, 2014

Best Airline Stocks To Own For 2014

Dividend stocks outperform non-dividend-paying stocks over the long run. It happens in good markets and bad, and the benefit of dividends can be quite striking -- dividend payments have made up about 40% of the market's average annual return from 1936 to the present day.

But few of us can invest in every single dividend-paying stock on the market, and even if we could, we're likely to find better gains by being selective. Today, two of the world's leading heavy industrial manufacturing companies -- one on land, one in the air -- will square off in a head-to-head battle to determine which offers a better dividend for your portfolio.

Tale of the tape
Founded in 1916, Boeing (NYSE: BA  ) is one of the world's largest commercial jet manufacturers (ranking either first or second in any given year), and is the second-largest aerospace and defense contractor in the world, behind only Lockheed Martin. Boeing is also a component of the Dow Jones Industrial Average, reflecting its importance to the American economy. Headquartered in Chicago, the company serves both commercial and military customers in over 150 countries, and is one of the largest U.S. exporters by sales. Boeing's Next-Generation 737 tends to be the world's most popular jet airliner, and most of its other jets are mainstays on airport tarmacs around the world as well.

Best Airline Stocks To Own For 2014: Baltia Air Lines Inc (BLTA)

Baltia Air Lines, Inc. (Baltia) focuses on providing scheduled air transportation from the United States to Russia and former Soviet Union countries. As of December 31, 2010, the Company�� principal activities included raising capital, obtaining route authority and approval from the Department of Transportation (DOT) and the Federal Aviation Administration (FAA), training crews, and conducting market research to develop the Company's marketing strategy. Baltia operate as a Part 121 carrier, a heavy jet operator airline in the United States. As of December 31, 2010, Baltia conducted the FAA Air Carrier Certification process under Part 121. Baltia has identified the market segments in the United States and Russia market, which include Business Travelers, General Tourism, Ethnic Travelers, Special Interest Groups, Professional Exchanges, and Government and Diplomatic Travel.

Baltia has two registered trademarks, BALTIA and VOYAGER CLASS, and five trademarks are subject to registration. Baltia focuses on providing customer service and reservations centers in New York and in St. Petersburg, to list Baltia's schedules and tariffs in the Official Airline Guide, and provide worldwide access to reservations on Baltia's flights through a major Computer Reservations and Ticketing System (CRS). With the Boeing 747 true wide-body aircraft Baltia focuses on providing cargo service from JFK to St. Petersburg, offering containers, pallets, and block space arrangements. Baltia has passenger service and ground service arrangements at JFK and at Pulkovo II Airport in St. Petersburg.

The Company competes with Finnair, Lufthansa, SAS, KLM, British Airways, Air France, Austrian Airlines and Swissair.

Best Airline Stocks To Own For 2014: Latam Airlines Group SA (LFL)

LAN Airlines S.A. (LAN), incorporated in 1983, is the international and domestic passenger airline in Latin America and the cargo operator in the region. As of February 9, 2012, LAN and its affiliates provided domestic and international passenger services in Chile, Peru, Ecuador, Argentina and Colombia and cargo operations through the use of belly space on its passenger flights and cargo freighter aircraft through its cargo airlines in Chile, Brazil, Colombia and Mexico. LAN and its affiliates offered passenger flights to 15 destinations in Chile, 59 destinations in other South American countries, 15 destinations in other Latin American countries and the Caribbean, five destinations in the United States, two destinations in Europe and four destinations in the South Pacific and, through various codeshare agreements, service to 25 additional destinations in North America, 16 additional destinations in Europe, 27 additional destinations in Latin America and the Caribbean (including Mexico), and two destinations in Asia, as of February 9, 2012. LAN and its affiliates provide cargo service to all of their passenger destinations and to 20 additional destinations served only by freighter aircraft. LAN also offers other services, such as ground handling, courier, logistics and maintenance. LAN and its affiliates operated a fleet, with 135 passenger aircraft and 14 cargo aircraft as of December 31, 2011. On February 15, 2011, Lan Pax Group S.A., subsidiary of Lan Airlines S.A. acquired 100% of Colombian society AEROASIS S.A.

LAN is primarily involved in the transportation of passengers and cargo. Its operations are carried out principally by Lan Airlines and also by a number of different subsidiaries. As of February 28, 2011, in the passenger business the Company operated through six main airlines: Lan Airlines, Transporte Aereo S.A. (which does business under the name Lan Express), Lan Peru S.A. (Lan Peru), Aerolane Lineas Aereas Nacionales del Ecuador S.A. (Lan Ecuador), Lan Argentina S.A. (Lan ! Argentina, previously Aero 2000 S.A.) and the Aerovias de Integracion Regional, Aires S.A. (Aires). As of February 28, 2011, the Company held a 99.9% interest in Lan Express through direct and indirect interests, a 70.0% interest in Lan Peru through direct and indirect interests, a 71.9% indirect interest in Lan Ecuador, a 99.0% indirect interest in Lan Argentina and a 94.99% indirect interest in Aires (a Colombian entity which was acquired on November 26, 2010). Its cargo operations are carried out by a number of companies, including Lan Airlines and Lan Cargo. As of February 28, 2011, the Company held a 69.2% interest in Aero Transportes Mas de Carga S.A. de C.V. (MasAir), through direct and indirect participations, a 73.3% interest in ABSA through direct and indirect participations, and a 90.0% interest in LANCO through direct and indirect participations. In the cargo business, the Company markets itself primarily under the Lan Cargo brand. In addition to its air transportation activities, the Company provides a series of ancillary services. It offers handling services, courier services and logistics, small package and express door-to-door services through Lan Airlines and various subsidiaries.

Passenger Operations

As of February 28, 2011, the Company operated passenger airlines in Chile, Peru, Ecuador, Argentina and Colombia. As of February 28, 2011, our passenger operations were performed through airlines in Chile, Peru, Ecuador, Argentina and Colombia where we operate both domestic and international services. As of February 28, 2011, the Company�� network consisted of 15 destinations in Chile, 14 destinations in Peru, four destinations in Ecuador, 14 destinations in Argentina, 24 destinations in Colombia, 14 destinations in other Latin American countries and the Caribbean, five destinations in the United States, one destination in Canada, three destinations in Europe and four destinations in the South Pacific. Within Latin America, it has routes to and from Argentina, B! olivia, B! razil, Chile, Colombia, Cuba, the Dominican Republic, Ecuador, Mexico, Peru, Uruguay and Venezuela. The Company also flies to a variety of international destinations outside Latin America, including Auckland, Fort Lauderdale, Frankfurt, Los Angeles, Madrid, Miami, Mount Pleasant (Falkland Islands), New York, Toronto, Papeete (Tahiti), Paris, San Francisco, and Sydney. In addition, as of February 28, 2011, through its various code-share agreements, the Company offered service to 25 additional destinations in North America, 16 additional destinations in Europe, 25 additional destinations in Latin America and the Caribbean (including Mexico), and two destinations in Asia. As of February 28, 2011, the Company operated scheduled international services from Chile, Peru, Ecuador and Argentina through Lan Airlines; Lan Express in Chile; Lan Peru in Peru; Lan Ecuador in Ecuador; Lan Argentina in Argentina and Aires in Colombia. Its international network combines the Company�� Chilean, Peruvian, Ecuadorian, Argentinean and Colombian affiliates. It provides long-haul services out of its four main hubs in Santiago, Lima, Guayaquil and Buenos Aires. It also provides regional services from Chile, Peru, Ecuador and Argentina.

Cargo Operations

The Company�� cargo business operates on the same network used by the passenger airlines business, which is supplemented by freighter-only operations. The Company carries cargo for a variety of customers, including other international air carriers, freight-forwarding companies, export oriented companies and individual consumers. As of February 28, 2011, the Company operated a fleet of 140 aircraft, comprised of 126 passenger aircraft and 14 cargo aircraft.

The Company competes with UPS, FedEx, Centurion, Transportes Aereos Mercantiles Panamericanos S.A., Polar Air, Cargolux, Lufthansa Cargo, Martinair and Air France-KLM.

Top 5 Safest Companies To Own For 2015: Copa Holdings SA (CPA)

Copa Holdings, S.A. (Copa Holdings), incorporated on May 06, 1998, is a Latin American provider of airline passenger and cargo service through its two principal operating subsidiaries, Copa Airlines and Copa Colombia. Copa Airlines operates from its position in the Republic of Panama, and Copa Colombia provides service within Colombia and international flights from various cities in Colombia to Panama, Venezuela, Ecuador, Mexico, Cuba, Guatemala and Costa Rica, complemented with service within Colombia. As of December 31, 2012, the Company operated a fleet of 83 aircraft with an average age of 5.13 years; consisting of 57 modern Boeing 737-Next Generation aircraft and 26 Embraer 190 aircraft. . As of December 31, 2012, the Company offers approximately 334 daily scheduled flights among 64 destinations in 29 countries in North, Central and South America and the Caribbean, mainly from its Panama City Hub.

Copa provides passengers with access to flights to more than 150 other destinations through codeshare arrangements with UAL pursuant to which each airline places its name and flight designation code on the other�� flights. As of December 31, 2012, Copa had firm orders, including purchase and lease commitments, for 35 additional Boeing 737-Next Generation aircraft. Copa also has options for an additional 14 Boeing 737-Next Generation aircraft.

The Company competes with Avianca-Taca, American Airlines, Delta Air Lines, American Airlines and LAN Group.

Advisors' Opinion:
  • [By Will Ashworth]

    I don�� know what�� going to happen in six months, let alone 20 years. However, I do know that OLED plays in a very exciting space, and Discovery Capital still seems to agree. Financially, OLED stock is solid, and if things go the company’s way in the coming years, it should get big in a hurry.

    Best Stocks #3 (Midcap): Copa Holdings (CPA)

    I�� a big believer in Latin America. While it has its troubles like every other emerging market, I continue to view its growing middle class with envy. While our middle class is being hallowed out, Latin America�� is growing exponentially. The U.S. was never more secure economically than when its middle class was growing, so history has demonstrated what this can do for a country.

  • [By Michael J. Carr]

    Copa Holdings (NYSE: CPA) is also undervalued with a PEG ratio of 0.53. Copa Holdings provides airline passenger and cargo services within Colombia and international flights from various cities in Colombia to Panama, Venezuela, Ecuador, Mexico, Cuba, Guatemala and Costa Rica.

  • [By Arie Goren]

    After running this screen on May 21, 2013, before the markets' open, I discovered the following eight stocks: Sunoco Logistics Partners LP (SXL), Leggett & Platt Inc (LEG), Copa Holdings SA (CPA), RPC Inc. (RES), Tupperware Brands Corp. (TUP), Herbalife Ltd. (HLF), John Wiley & Sons Inc. (JW.A) and C.H. Robinson Worldwide Inc. (CHRW).

  • [By Asit Sharma]

    The airline industry has a singular talent for draining the pockets of well-intentioned investors. Highly leveraged balance sheets and bankruptcies are the norm. Significant labor costs and unpredictable jet fuel prices wreak havoc on variable costs. Yet some airlines generate solid returns quarter after quarter. Alaska Air Group (NYSE: ALK  ) , Ryanair (NASDAQ: RYAAY  ) , Southwest Airlines (NYSE: LUV  ) , and Copa Holdings (NYSE: CPA  ) each manage to be consistently profitable. Let's examine a few themes they share in common, and zero in on their individual strategic ideas.

Best Airline Stocks To Own For 2014: Gogo Inc (GOGO)

Gogo Inc incorporated on December 14, 2009, is a holding company. The Company operates through its two operating subsidiaries, Gogo LLC and Aircell Business Aviation Services LLC. The Company provides in-flight connectivity and wireless in-cabin digital entertainment solutions. It provide turnkey solutions for passengers to extend their connected lifestyles to the aircraft cabin. It operates in two segments: commercial aviation (CA) and business aviation (BA). Its CA business provides in-flight connectivity and digital entertainment solutions to commercial airline passengers through their personal Wi-Fi enabled devices.

The Company provides Gogo Connectivity to passengers to nine North American airlines that provide Internet connectivity to their passengers. It provide Gogo Connectivity to passengers on Delta Air Lines, American Airlines, Virgin America, Alaska Airlines, US Airways, Frontier Airlines and Air Tran Airways. It also provide Gogo Connectivity to passengers on a small number of aircraft operated by United Airlines and Air Canada. As of September 30, 2011, the Company had equipped 1,177 commercial aircraft, representing approximately 85% of Internet-enabled North American commercial aircraft, which were operated on more than 4,200 daily flights.

The Company�� BA segment sells equipment and provides services for in-flight Internet connectivity and other voice and data communications under its Gogo Biz and Aircell branded products and services. BA�� customers include original equipment manufacturers of private jet aircraft such as Gulfstream, Cessna, Hawker Beechcraft, Bombardier, Dassault, Embraer, NetJets, Flexjets, Flight Options and CitationAir. It sells equipment for three of the primary connectivity network options in the business aviation market: Gogo Biz, through which it delivers broadband Internet connectivity over its (air-to-ground )ATG network, and the Iridium and Inmarsat SwiftBroadband satellite networks. As of September 30, 2011, the Company had m! ore than 700 Gogo Biz systems in operation and more than 4,600 aircraft with Iridium satellite communications systems in operation, and it has sold more than 100 Inmarsat SwiftBroadband systems. It provides in-flight broadband connectivity across the contiguous United States and portions of Alaska through 3 MHz of FCC-licensed ATG spectrum and its network of cell sites.

Through its Gogo platform, the Company provides passengers with a convenient and easy way to access the Internet, view video content, send and receive email and instant messages, and access corporate VPNs on Gogo-equipped commercial aircraft. It provides Internet access through Gogo Connectivity, on-demand streaming video offerings through Gogo Vision and access to a variety of free entertainment and service offerings, customized for each airline, through Gogo Signature Services.

The Company competes with Panasonic Avionics, Row 44, OnAir, LiveTV and Thales.

Advisors' Opinion:
  • [By Sofia Horta e Costa]

    Gogo Inc. (GOGO), a provider of in-flight Internet services, jumped 29 percent to a record $24.15 after the company raised its year-end revenue estimate. Itasca, Illinois-based Gogo reported a smaller third-quarter loss than analysts had expected.

Best Airline Stocks To Own For 2014: PAWS Pet Company Inc (PAWS.PK)

The PAWS Pet Company, Inc., formerly Pet Airways, Inc., incorporated on June 6, 2005, through its wholly-owned subsidiary, Pet Airways, Inc., (Pet Airways) operates an airline designed specifically for transportation of pets. Pet owners can book their pets on flights online at the Company's Website or can book with its agents by phone. Flights can be booked up to three months before the scheduled departure date. Payment for the flights is made with credit card. On the day of the scheduled flight, pet owners drop off their pets at one of the Company's airport facilities located at the departure airport. The Company places the pet passengers into a pet-friendly carrier and then boards the carrier into the main cabin of the aircraft. In February 2012, the Company announced that it had purchased the technology assets of Impact Social Networking, Inc.

The Company's pet passengers fly in the specially equipped main cabin of the Company's aircraft, which is climat e-controlled, and supplied with an ample amount of fresh circulating air. Also, the pet attendant constantly monitors the Company's pet passengers for the duration of each flight. The Company offers dedicated routes within the United States with airport facilities that are located away from the main passenger terminals of the aircraft. The Company's airport facilities tend to be located either in or close to the cargo terminals of the airport. The Company carries mainly dogs and cats. The Company can carry pets of all sizes from small dogs and cats weighing less than 15 pounds to dogs that weigh 180 pounds and have maximum height from the ground to shoulder of 34 inches.

Best Airline Stocks To Own For 2014: JetBlue Airways Corporation(JBLU)

JetBlue Airways Corporation provides passenger air transportation services in the United States. As of December 31, 2011, it operated approximately 700 daily flights to 70 destinations in 22 states, Puerto Rico, and Mexico; and 12 countries in the Caribbean and Latin America through a fleet of 120 Airbus A320 aircraft and 49 EMBRAER 190 aircraft. The company, through its subsidiary, LiveTV, LLC, provides in-flight entertainment, voice communication, and data connectivity systems and services for commercial and general aviation aircraft, including live in-seat satellite television, digital satellite radio, wireless aircraft data link service, and cabin surveillance systems. JetBlue Airways Corporation was founded in 1998 and is based in Forest Hills, New York.

Advisors' Opinion:
  • [By Adam Levine-Weinberg]

    However, the American Airlines bankruptcy allowed Virgin America to buy slots and begin service three times a day on both routes. The Newark-San Francisco and Newark-Los Angeles routes appealed to Virgin America for a few reasons. First, the carrier already has a major presence in San Francisco and Los Angeles. Furthermore, Virgin America specializes in long-haul flying and offers more passenger amenities than United. Virgin America has joined JetBlue (NASDAQ: JBLU  ) in offering free in-flight satellite TV and other entertainment options, which are particularly nice to have if you're going to be on an airplane for six hours. Lastly, Virgin America recently achieved the top ranking in the Airline Quality Rating survey, whereas United was last. When competing directly with United, Virgin America can try to win customer loyalty by providing a clearly superior service.

  • [By Dimitra DeFotis]

    “… taken off over the past year as the industry’s ‘rationalization’ has meant higher fares, reduced capacity, and fewer amenities for passengers. Some measure of competition still comes from discounters such as Southwest (LUV), JetBlue (JBLU), and Spirit (SAVE). What’s left of antitrust enforcement ought to prevent these cut-rate carriers being scooped up by the big three of the skies, although Jack Hough noted … that Alaska Air (ALK) could draw takeover interest over the long haul (“Merger Mania May Soon Be on the Way,” Nov. 21) (subscription required).

Best Airline Stocks To Own For 2014: United Continental Holdings Inc.(UAL)

United Continental Holdings, Inc., through its subsidiaries, engages in the provision of passenger and cargo air transportation services. As of February 24, 2011, it operated a total of approximately 5,675 flights a day to 372 airports on 6 continents from their hubs in Chicago, Cleveland, Denver, Guam, Houston, Los Angeles, New York, San Francisco, and Tokyo, as well as in Washington, D.C. The company was formerly known as UAL Corporation and changed its name to United Continental Holdings, Inc. on October 1, 2010. United Continental Holdings, Inc. was founded in 1934 and is headquartered in Chicago, Illinois.

Advisors' Opinion:
  • [By Adam Levine-Weinberg]

    The battle for New York is heating up. America's two largest airlines, United Continental (NYSE: UAL  ) and Delta Air Lines (NYSE: DAL  ) are waging a running battle for the hearts and minds of New Yorkers, in an effort to win market share in the country's largest aviation market. More than 100 million people move through New York airports each year, and there is a heavy concentration of high-fare business travelers, making this a critical market for the legacy carriers.

  • [By Ben Levisohn]

    United Continental (UAL) was supposed to be the loser among the soon-to-be big-three airlines. Not today, however.

    Bloomberg

    United’s shares have gained 4.9% to $38.17 today at 1:53 p.m., while Delta Air Lines (DAL) has dropped 0.1% to $27.97, AMR Corp. (AAMRQ) has advanced 0.4% to $12.25 and US Airways (LCC) is down 0.7% at $24.23.

    United’s rise is being attributed to its investor day presentation where it outlined its plan to cut costs. Bloomberg has the details:

    United Continental Holdings Inc. climbed to the highest price since 2008 after the world�� biggest airline said it would cut $2 billion in annual spending.

    Half the savings will come from a 7 percent reduction in fuel expense as it flies newer, more efficient planes such as�Boeing Co.�� (BA) 787 Dreamliner and existing aircraft are equipped with winglets to boost conservation. At a presentation in New York today, the Chicago-based carrier also said it expects to boost fee revenue by $700 million a year…

    United�� plan, which includes an unspecified return of cash to shareholders in 2015, was outlined after a series of operational issues snarled flights and drove away some customers and four public computer disruptions since the airline switched to a new reservation system in March 2012.

    S&P Capital IQ’s Jim Corridore calls it a great plan with one tiny problem-execution. He writes:

    UAL today is outlining plans to cut costs, increase profitability and enable the return of cash to shareholders by 2015. UAL will redeploy aircraft out of some Asia markets to more profitable routes, plans to cut fuel consumption, and improve productivity. UAL aims to improve profitability from current levels by 2X-4X over the next four years. We are very positive on these stated goals, but where UAL has run into problems over the past two years is in execution of its stated plans. We would like to see some traction on these plans.

  • [By Ben Levisohn]

    Still, positive comments continue to trickle out. After a meeting with the company’s management on Aug. 21, CRT Capital Group’s Michael Derchin raised his price target on United Continental Holdings (UAL) to $40 from $37. He explains why:

Best Airline Stocks To Own For 2014: Alaska Air Group Inc. (ALK)

Alaska Air Group, Inc., through its subsidiaries, Alaska Airlines, Inc. and Horizon Air Industries, Inc., operates as an airline company serving destinations in the western United States, Canada, and Mexico. The company provides passenger air services; and freight and mail services primarily to and within the state of Alaska and on the West Coast. As of December 31, 2009, it operated a fleet of 110 jet aircraft; and Horizon Air Industries operated a fleet of 18 jets and 40 turboprop aircraft. The company was founded in 1932 and is based in Seattle, Washington.

Advisors' Opinion:
  • [By Dimitra DeFotis]

    “… taken off over the past year as the industry’s ‘rationalization’ has meant higher fares, reduced capacity, and fewer amenities for passengers. Some measure of competition still comes from discounters such as Southwest (LUV), JetBlue (JBLU), and Spirit (SAVE). What’s left of antitrust enforcement ought to prevent these cut-rate carriers being scooped up by the big three of the skies, although Jack Hough noted … that Alaska Air (ALK) could draw takeover interest over the long haul (“Merger Mania May Soon Be on the Way,” Nov. 21) (subscription required).

  • [By Monica Gerson]

    Alaska Air Group (NYSE: ALK) is estimated to report its Q3 earnings at $2.14 per share on revenue of $1.36 billion.

    Ford Motor Co (NYSE: F) is expected to report its Q3 earnings at $0.37 per share on revenue of $33.98 billion.

Best Airline Stocks To Own For 2014: AMR Corp (AAMRQ)

AMR Corporation (AMR), incorporated in October 1982, operates in the airline industry. The Company�� principal subsidiary is American Airlines, Inc. (American). As of December 31, 2011, American provided scheduled jet service to approximately 160 destinations throughout North America, the Caribbean, Latin America, Europe and Asia. AMR Eagle Holding Corporation (AMR Eagle), a wholly owned subsidiary of AMR, owns two regional airlines, which do business as American Eagle - American Eagle Airlines, Inc. and Executive Airlines, Inc. (collectively, the American Eagle carriers). American also contracts with an independently owned regional airline, which does business as AmericanConnection (the AmericanConnection carrier). As of December 31, 2011, AMR Eagle operated approximately 1,500 daily departures, offering scheduled passenger service to over 175 destinations in North America, Mexico and the Caribbean.

American, AMR Eagle and the AmericanConnection airline served more than 250 cities in approximately 50 countries with, on average, 3,400 daily flights and the combined network fleet numbered approximately 900 aircraft as of December 31, 2011. American Airlines is also a founding member of the oneworld alliance, which includes British Airways, Cathay Pacific, Finnair, LAN Airlines, Iberia, Qantas, JAL, Malev Hungarian, Mexicana, Royal Jordanian and S7 Airlines. Together, oneworld members serve 750 destinations in approximately 150 countries, with about 8,500 daily departures. American is also one of the scheduled air freight carriers in the world, providing a range of freight and mail services to shippers throughout its system onboard American�� passenger fleet.

To improve access to each other�� markets, American has established marketing relationships with other airlines and rail companies. As of December 31, 2011, American had marketing relationships with Air Berlin, Air Pacific, Air Tahiti Nui, Alaska Airlines, British Airways, Cape Air, Cathay Pacific, China Eastern Airl! ines, Dragonair, Deutsche Bahn German Rail, EL AL, Etihad Airways, EVA Air, Finnair, GOL, Gulf Air, Hawaiian Airlines, Iberia, Japan Airlines (JAL), Jet Airways, JetStar Airways, LAN (includes LAN Airlines, LAN Argentina, LAN Ecuador and LAN Peru), Niki Airlines, Qantas Airways, Royal Jordanian, S7 Airlines, and Vietnam Airlines.

American has established the AAdvantage frequent flyer program (AAdvantage). AAdvantage members earn mileage credits by flying on American, American Eagle and the AmericanConnection carrier or by using services of other participants in the AAdvantage program. Mileage credits can be redeemed for free, discounted or upgraded travel on American, American Eagle or other participating airlines, or for other awards. American sells mileage credits and related services to other participants in the AAdvantage program. There are over 1,000 program participants, including a credit card issuer, hotels, car rental companies, and other products and services companies in the AAdvantage program. As of December 31, 2011, AAdvantage had approximately 69 million total members.

The Company competes with Alaska Airlines (Alaska), Delta Air Lines (Delta), Frontier Airlines, JetBlue Airways (JetBlue), Hawaiian Airlines, Southwest Airlines (Southwest) and AirTran Airways (Air Tran), Spirit Airlines, United Airlines (United) and Continental Airlines (Continental), US Airways and Virgin America Airlines.

Advisors' Opinion:
  • [By Jake L'Ecuyer]

    Equities Trading UP
    AMR Corporation (OTC: AAMRQ), the parent company of American Airlines, gained 8.11 percent to $11.46 after a judge rejected a bid to block the AMR US Air merger on price claims.

  • [By Rich Smith]

    On Monday, in a joint announcement, merging partners AMR Corporation (NASDAQOTH: AAMRQ  ) and US Airways (NYSE: LCC  ) announced that after they have merged. Current AMR Chairman and CEO Tom Horton will serve as chairman of the board of the new company, while US Airways Chairman and CEO Doug Parker will serve as�CEO of the new American and also sit on the board of directors.

  • [By Alexander MacLennan]

    Experimental method
    On certain routes, American Airlines, a subsidiary of AMR (NASDAQOTH: AAMRQ  ) , is testing a new selling method of allowing passengers to bid on upgrades. In its own words, American Airlines explains how the process works.

Best Airline Stocks To Own For 2014: Southwest Airlines Co (LUV)

Southwest Airlines Co., incorporated on March 9, 1967, operates Southwest Airlines, a passenger airline, which provides scheduled air transportation in the United States. As of December 31, 2011, the Company was serving 72 cities in 37 states throughout the United States. During the year ended December 31, 2011, the Company added addition services in two new states and three new cities: Charleston, South Carolina; Greenville-Spartanburg, South Carolina; and Newark, New Jersey. Southwest provides point-to-point. On May 2, 2011, the Company acquired AirTran Holdings, Inc. (AirTran).

AirTran�� route system provides hub-and-spoke, rather than point-to-point, service, with approximately half of AirTran�� flights originating or terminating at its hub in Atlanta, Georgia. AirTran also serves a range of markets with non-stop service from bases of operation in Baltimore, Maryland; Milwaukee, Wisconsin; and Orlando, Florida. As of December 31, 2011, AirTran was serving 68 United States and near-international destinations, including San Juan, Puerto Rico; Cancun, Mexico; Montego Bay, Jamaica; Nassau, The Bahamas; Oranjestad, Aruba; Punta Cana, Dominican Republic, and Bermuda. As of January 31, 2012, AirTran served 65 destinations. During 2011, approximately 71% of Southwest�� customers flew non-stop, and Southwest�� average aircraft trip stage length was 664 miles with an average duration of approximately 1.8 hours.

As of December 31, 2011, Southwest offered 25 weekday roundtrips from Dallas Love Field to Houston Hobby, 13 weekday roundtrips from Phoenix to Las Vegas, 13 weekday roundtrips from Burbank to Oakland, and 12 weekday roundtrips from Los Angeles International to Oakland. Southwest offers connecting service opportunities from over 60 Southwest cities to different Volaris airports in Mexico including Aguascalientes, Guadalajara, Mexico City (MEX), Mexico City-Toluca (TLC), Morelia, and Zacatecas. The Company�� International Connect portal conducts two separate transac! tions: one with Southwest�� reservation system and one with Volaris�� reservation system.

Southwest bundles fares into three categories: Wanna Get Away, Anytime, and Business Select. Wanna Get Away fares are lowest fares. Business Select fares are refundable and changeable, and funds may be applied toward future travel on Southwest. Business Select fares also include additional perks, such as priority boarding, a frequent flyer point multiplier, priority security and ticket counter access in select airports, and one complimentary adult beverage coupon for the day of travel. The Company�� Internet Website, southwest.com, is the avenue for Southwest Customers to purchase tickets online. During 2011, southwest.com accounted for approximately 78% of all Southwest bookings. During 2011, approximately 84% of Southwest�� Passenger revenues came through its Website, including revenues from SWABIZ, the Company�� business travel reservation Web page.

Advisors' Opinion:
  • [By Anders Bylund]

    DISH Network (NASDAQ: DISH  ) may have lost the high-stakes poker game over some serious wireless operations, but the satellite broadcaster has plenty of backup ideas up its sleeve. First up: a fresh marketing agreement with Southwest Airlines (NYSE: LUV  ) that delivers free movies and TV shows to Southwest passengers, courtesy of DISH.

  • [By Dan Caplinger]

    Southwest Airlines (NYSE: LUV  ) : up 100%
    Southwest doubled its dividend last June, but dividend investors shouldn't get too excited about it. The move only raised Southwest's puny payout by half a penny, and the dividend yield on the stock is just 0.3%. Still, with other major airlines being too stingy to pay dividends at all, even Southwest's token payout reveals its long history of stable profitability even in the face of massive bankruptcies and reorganizations elsewhere in the industry.

Best Airline Stocks To Own For 2014: Delta Air Lines Inc (DAL)

Delta Air Lines, Inc. (Delta) provides scheduled air transportation for passengers and cargo throughout the United States and around the world. The Company�� route network gives it a presence in every domestic and international market. Delta�� route network is centered around the hub system it operate at airports in Amsterdam, Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-JFK, Paris-Charles de Gaulle, Salt Lake City and Tokyo-Narita. Each of these hub operations includes flights that gather and distribute traffic from markets in the geographic region surrounding the hub to domestic and international cities and to other hubs. The Company�� network is supported by a fleet of aircraft that is varied in terms of size and capabilities.

Delta has bilateral and multilateral marketing alliances with foreign airlines to improve its access to international markets. These arrangements can include code-sharing, reciprocal frequent flyer program benefits, shared or reciprocal access to passenger lounges, joint promotions, common use of airport gates and ticket counters, ticket office co-location, and other marketing agreements. Its international code-sharing agreements enable it to market and sell seats to an expanded number of international destinations. The Company has international codeshare arrangements with Aeromexico, Air France, Air Nigeria, Alitalia, Aeroflot, China Airlines, China Eastern, China Southern, CSA Czech Airlines, KLM Royal Dutch Airlines, Korean Air, Olympic Air, Royal Air Maroc, VRG Linhas Aereas (operating as GOL), Vietnam Airlines, Virgin Australia and WestJet Airlines.

In addition to the Company�� marketing alliance agreements with individual foreign airlines, it is a member of the SkyTeam airline alliance. Delta also has frequent flyer and reciprocal lounge agreements with Hawaiian Airlines, and codesharing agreements with American Eagle Airlines (American Eagle) and Hawaiian Airlines. It has air service agreements with multiple do! mestic regional air carriers that feed traffic to its route system by serving passengers primarily in small-and medium-sized cities.

Through the Company�� regional carrier program, it has contractual arrangements with 10 regional carriers to operate regional jet and, in certain cases, turbo-prop aircraft using its DL designator code. In addition to Delta�� wholly owned subsidiary, Comair, it has contractual arrangements with ExpressJet Airlines, Inc. and SkyWest Airlines, Inc., both subsidiaries of SkyWest, Inc.; Chautauqua Airlines, Inc. and Shuttle America Corporation, both subsidiaries of Republic Airways Holdings, Inc.; Pinnacle Airlines, Inc. and Mesaba Aviation, Inc. (Mesaba), both subsidiaries of Pinnacle Airlines Corp. (Pinnacle); Compass Airlines, Inc. (Compass) and GoJet Airlines, LLC, both subsidiaries of Trans States Holdings, Inc. (Trans States), and American Eagle.

The Company�� SkyMiles program allows program members to earn mileage for travel awards by flying on Delta, Delta�� regional carriers and other participating airlines. Mileage credit may also be earned by using certain services offered by program participants, such as credit card companies, hotels and car rental agencies. In addition, individuals and companies may purchase mileage credits. The Company reserves the right to terminate the program with six months advance notice, and to change the program�� terms and conditions at any time without notice.

SkyMiles program mileage credits can be redeemed for air travel on Delta and participating airlines, for membership in the Company�� Delta Sky Clubs and for other program participant awards. Mileage credits are subject to certain transfer restrictions and travel awards are subject to capacity controlled seating. During the year ended December 31, 2011, program members redeemed more than 275 billion miles in the SkyMiles program for more than 12 million award redemptions. During 2011, 8.2% of revenue miles flown on Delta were from a! ward trav! el.

The Company generates cargo revenues in domestic and international markets through the use of cargo space on regularly scheduled passenger aircraft. Delta is a member of SkyTeam Cargo, an airline cargo alliance. SkyTeam Cargo offers a network spanning six continents and provides customers an international product line.

The Company has several other businesses arising from its airline operations, including aircraft maintenance, repair and overhaul (MRO); staffing services for third parties; vacation wholesale operations, and its private jet operations. Delta�� MRO operation, known as Delta TechOps, is an airline MRO in North America. In addition to providing maintenance and engineering support for its fleet of approximately 775 aircraft, Delta TechOps serves more than 150 aviation and airline customers. Its staffing services business, Delta Global Services, provides staffing services, professional security, training services and aviation solutions to approximately 150 customers. The Company�� vacation wholesale business, MLT Vacations, is the provider of vacation packages in the United States. Its private jet operations, Delta Private Jets, provides aircraft charters, aircraft management and programs allowing members to purchase flight time by the hour.

The Company competes with SkyTeam, United Air Lines, Continental Airlines, Lufthansa German Airlines, Air Canada, American Airlines, British Airways and Qantas.

Advisors' Opinion:
  • [By Adam Levine-Weinberg]

    The combined airline ("new American Airlines") is forecasting pre-tax income of $2.6 billion this year, $3.8 billion next year, and $4.4 billion in 2015. Revenue is projected at $41 billion this year; it is expected to rise 5% in 2014 and another 6% in 2015. However, these figures appear to be best-case-scenario projections. American's bankruptcy restructuring should allow the new company to be profitable, but it will still face strong competition from its two big rivals, Delta Air Lines (NYSE: DAL  ) and United Continental (NYSE: UAL  ) , as well as budget carriers like rapidly growing Spirit Airlines (NASDAQ: SAVE  ) . This heavy competition will probably keep a lid on the new American's profitability.

  • [By Bruce Kennedy]

    Brancatelli says the Newark-Singapore flight is just the latest long-haul route to be taken out of service by the airlines. Philippine Airlines halted its 16-hour Toronto-to-Manila flights earlier this year. Delta (NYSE: DAL) ended its 16-hour Detroit-to-Hong Kong run last year and its 17-hour Atlanta-to-Mumbai route in 2009 ��while American Airlines (OTC: AAMRQ) discontinued its 15-hour Chicago-to-New Delhi flights in 2012.

  • [By WALLSTCHEATSHEET.COM]

    Delta was ahead of the curve by purchasing an oil refinery. Other positives for Delta include improve improvements in debt management, revenue and earnings improvements on an annual basis, and a strong company culture. The big concern is the consumer. While Wall Street is enjoying the best time of its life, the average Main Street individual is attempting to figure out a way to survive. The dilemma here is that over the long haul, Delta needs the Main Street consumer in order to thrive.

Best Airline Stocks To Own For 2014: US Airways Group Inc (LCC)

US Airways Group, Inc. (US Airways Group) is a holding company whose primary business activity is the operation of a network air carrier through its wholly owned subsidiaries, US Airways, Piedmont Airlines, Inc. (Piedmont), PSA Airlines, Inc. (PSA), Material Services Company, Inc. (MSC) and Airways Assurance Limited (AAL). MSC and AAL operate in support of the Company�� airline subsidiaries in areas, such as the procurement of aviation fuel and insurance. It has hubs in Charlotte, Philadelphia and Phoenix and a focus city in Washington, D.C. at Ronald Reagan Washington National Airport (Washington National). During the year ended December 31, 2011, it offered scheduled passenger service on more than 3,100 flights daily to more than 200 communities in the United States, Canada, Mexico, Europe, the Middle East, the Caribbean, and Central and South America. It also has an East Coast route network, including the US Airways Shuttle service.

The Company had approximately 53 million passengers boarding its mainline flights in 2011. During 2011, the Company�� mainline operation provided scheduled service or seasonal service at 133 airports, while the US Airways Express network served 156 airports in the United States, Canada and Mexico, including 78 airports also served by its mainline operation. US Airways Express air carriers had approximately 28 million passengers boarding their planes in 2011. As of December 31, 2011, the Company operated 340 mainline jets and was supported by its regional airline subsidiaries and affiliates operating as US Airways Express under capacity purchase agreements, which operated 233 regional jets and 50 turboprops. The Company�� prorate carriers operated seven turboprops and seven regional jets at December 31, 2011.

In May 2011, US Airways Group and US Airways entered into an Amended and Restated Mutual Asset Purchase and Sale Agreement (the Mutual APA) with Delta Air Lines, Inc. (Delta). Pursuant to the Mutual APA, Delta agreed to acquire 132 slot pa! irs at LaGuardia from US Airways and US Airways agreed to acquire from Delta 42 slot pairs at Washington National and the rights to operate additional daily service to Sao Paulo, Brazil. On December 13, 2011, the transaction contemplated by the Mutual APA closed and ownership of the respective slots was transferred between the airlines. During 2011, the US Airways Express network served 156 airports in the continental United States, Canada and Mexico, including 78 airports also served by its mainline operation. During 2011, approximately 28 million passengers boarded US Airways Express air carriers��planes, approximately 44% of whom connected to or from its mainline flights.

The Company competes with Southwest, JetBlue, Allegiant, Frontier, Virgin America and Spirit.

Advisors' Opinion:
  • [By Ben Levisohn]

    Earlier, the Justice Department said it would sue AMR Corp. (AAMRQ) and U.S. Airways (LCC) to block their merger, citing competitive concerns. AMR has dropped 48% to $2.99 on the news, while U.S. Airways has fallen 10% to $13.38.

  • [By Paul Quintaro]

    Shares of Delta Air (NYSE: DAL) are down 3.6 percent at last check, shares of United Continental (NYSE: UAL) are down 3.8 percent, US Air (NYSE: LCC) shares down 2.8 percent, shares of Southwest (NYSE: LUV) down 2 percent, JetBlue (NASDAQ: JBLU) shares down 2 percent and shares of SkyWest (NASDAQ: SKYW) down nearly 4 percent.

Best Airline Stocks To Own For 2014: PAWS Pet Company Inc (PAWS)

The PAWS Pet Company, Inc., formerly Pet Airways, Inc., incorporated on June 6, 2005, through its wholly-owned subsidiary, Pet Airways, Inc., (Pet Airways) operates an airline designed specifically for transportation of pets. Pet owners can book their pets on flights online at the Company's Website or can book with its agents by phone. Flights can be booked up to three months before the scheduled departure date. Payment for the flights is made with credit card. On the day of the scheduled flight, pet owners drop off their pets at one of the Company's airport facilities located at the departure airport. The Company places the pet passengers into a pet-friendly carrier and then boards the carrier into the main cabin of the aircraft. In February 2012, the Company announced that it had purchased the technology assets of Impact Social Networking, Inc.

The Company's pet passengers fly in the specially equipped main cabin of the Company's aircraft, which is climate-controlled, and supplied with an ample amount of fresh circulating air. Also, the pet attendant constantly monitors the Company's pet passengers for the duration of each flight. The Company offers dedicated routes within the United States with airport facilities that are located away from the main passenger terminals of the aircraft. The Company's airport facilities tend to be located either in or close to the cargo terminals of the airport. The Company carries mainly dogs and cats. The Company can carry pets of all sizes from small dogs and cats weighing less than 15 pounds to dogs that weigh 180 pounds and have maximum height from the ground to shoulder of 34 inches.

Saturday, February 8, 2014

How the Up-and-Coming Wealthy Choose Advisors

A new survey of individuals on the fast track to wealth has found that 74% of respondents chose a new wealth manager on the basis of the firm’s reputation for quality of products and services, and 64% looked to the costs associated with those products and services.

Advisors wanting to attract these affluent people as clients need to understand that their character and fees are critical factors in the minds of affluent people when evaluating potential relationships, SEI, Scorpio Partnership and NPG Wealth Management said Wednesday in a statement on the release of the latest study in their ongoing Futurewealth Project.

The study surveyed 3,025 respondents globally with an average $2.9 million in net worth.

The survey revealed that up-and-coming wealthy individuals sought introductions and investigated potential wealth managers in a variety of ways.

Twenty-two percent of respondents asked for advice from friends or family before making a selection, while 15% researched the advisor market on their own.

The results also pointed to changing circumstances as a significant driver for why the Futurewealthy looked for new wealth management relationships.

Thirty percent said they wanted to diversify assets, 21% were in the market for a home and 20% wanted a promotion or a change in career.

The study found that the Futurewealthy typically work with three or four firms for advice regarding their personal investments. On average, 51% of respondents entrusted half of their investable wealth to a primary advisor.

At the same time, only 31% believed their primary wealth advisor had a solid understanding of their total financial picture.

“This study shows that the Futurewealthy are constantly searching for a more valued relationship and are open to the idea of switching primary advisors in order to attain it,” Kevin Crowe, head of solutions for SEI Advisor Network, said in the statement.

“That creates a strong opportunity for advisors to foster a personal connection with these wealthy individuals by getting to know them and their entire financial picture. Advisors who understand what it takes to capture the attention of the Futurewealthy are the ones who will successfully attract and engage long-lasting relationships.”

Top Low Price Stocks For 2015

Although respondents reported that reputation and cost were the top factors in choosing a wealth manager, 17% said performance was the chief factor for deciding to stay with their primary wealth advisor.

Fifteen percent said they stayed because the advisor’s solutions and services met their needs, and 13% said they were happy with the advice provided.

Thursday, February 6, 2014

Top Consumer Service Companies To Buy For 2015

Its braces might be invisible but Align Technology’s (ALGN) gains are not.

Getty Images

The maker of transparent braces and other dental products reported earnings of 42 cents a share, week above analyst forecasts for a 30 cent profit. Revenue, meanwhile, rose to $164.5 million, above the $158.6 million forecast.

William Blair’s John Kreger and team are impressed:

We are encouraged by the strong results, which stand in stark contrast to second half 2012 when volume growth and margins declined unexpectedly. Align’s Invisalign is clearly gaining market share, generating 16% unit growth in an environment where overall orthodontic procedures are essentially flat by our estimates.

Stifel’s Jonathan Block and Ethan Roth can barely contain their excitement. They write:

Our entire 2014 leverage thesis played out in 3Q13 as ALGN significantly beat EPS numbers…yet we were silly enough to make a cautious call in front of the quarter. That said, we think our 2014 $1.66 versus the Street�� $1.53 should no longer be viewed as an ��nrealistic expectation��and we believe consensus likely brings their estimates up to us��overnight. Align seems to be in the sweet spot as past investments (APAC, N.A. sales reps) are starting to pay off and new innovations (SmartTrack) are resonating with docs and helping to drive utilization higher. We are raising our 2014 and 2015 EPS estimates. Reiterate Buy and increase PT from $54 to $57.

Top Consumer Service Companies To Buy For 2015: U.S. Bancorp(USB)

U.S. Bancorp, a financial services holding company, provides various banking and financial services in the United States. It generates various deposit products, including checking accounts, savings accounts, money market savings, and time certificates of deposit accounts. The company originates a portfolio of loans comprising commercial loans and lease financing; commercial real estate; residential mortgage; and retail loans consisting of credit cards, retail leasing, home equity and second mortgages, and other retail loans. It also offers wholesale lending, equipment finance, small-ticket leasing, depository, treasury management, capital markets, foreign exchange, and international trade services to middle market, large corporate, commercial real estate, and public sector clients. In addition, U.S. Bancorp provides telebanking and automated teller machine (ATM) services, as well as cash management services. The company, through other subsidiaries, provides trust, private banking, financial advisory, investment management, retail brokerage services, insurance, and custody and fund services; and payment services, including consumer and business credit cards, stored-value cards, debit cards, corporate and purchasing card services, consumer lines of credit, and merchant processing. U.S. Bancorp primarily serves individuals, estates, foundations, business corporations, and charitable organizations. It operates a network of approximately 3,031 banking offices and 5,310 ATMs. The company was founded in 1863 and is headquartered in Minneapolis, Minnesota.

Advisors' Opinion:
  • [By Jay Jenkins]

    The Consumer Financial Protection Bureau recently�ordered�U.S. Bancorp (NYSE: USB  ) �and its partner Dealers' Financial Services (DFS) to return $6.5 million to military service members. The CFPB uncovered unfair marketing practices and fees designed and implemented by DFS.

  • [By Brian Stoffel]

    US Bank (NYSE: USB  )
    This won't be too much of a spoiler, but the list of America's top 25 CEOs includes three chiefs of some of America's largest banks. I've covered JPMorgan Chase's (NYSE: JPM  ) Jamie Dimon -- who has taken a precipitous fall from last year's 12th�overall ranking to this year's 25th. That may be due in part to the London Whale incident that made Dimon's pleas for looser regulations seem hypocritical.

  • [By Laura Brodbeck]

    Wednesday

    Earnings Expected From: Bank of New York Mellon Corporation (NYSE: BK), Stanley Black & Decker, Inc. (NYSE: SWK), US Bancorp (NYSE: USB), Bank of America Corp (NYSE: BAC), Pepsico, Inc. (NYSE: PEP), American Express Company (NYSE: AXP), eBay Inc. (NASDAQ: EBAY) Economic Releases Expected: US Beige Book, Canadian manufacturing sales, US CPI

    Thursday

Top Consumer Service Companies To Buy For 2015: Old Dominion Freight Line Inc. (ODFL)

Old Dominion Freight Line, Inc. operates as a less-than-truckload (LTL) motor carrier primarily in the United States. The company provides regional, inter-regional, and national LTL services. It also offers a range of logistics services, including ground and air expedited transportation, supply chain consulting, transportation management, truckload brokerage, container delivery, and warehousing services. In addition, the company provides door-to-door international freight services to and from North America, Central America, South America, and the Far East. As of December 31, 2010, it owned a fleet of 5,718 tractors and 20,986 trailers, as well as operated 213 service centers. The company was founded in 1934 and is based in Thomasville, North Carolina.

Advisors' Opinion:
  • [By Rich Smith]

    Consider: According to YRC, the $150.9 million it currently pays in annual interest exceeds the $92.6 million in interest obligations paid by "all [of its] competitors combined." Con-Way (NYSE: CNW  ) , for example, sports a debt load about half of YRC's, yet pays only about one-third �as much in interest on that debt. Old Dominion Freight (NASDAQ: ODFL  ) has 12% the debt �of YRC, but only 7% of the interest expense.

Top Bank Stocks To Own Right Now: State Bank of Travancore (SBT)

State Bank of Travancore (the Bank) is an associate of the State Bank of India. The Bank operates in four segments: corporate / wholesale banking, retail banking, treasury and other banking operations. During the fiscal year ended March 31, 2012 (fiscal 2012), the Bank has added 87 branches to its network. As of March 31, 2011, the Bank had 879 branches with 13 extensions counters in 13 states and three union territories. As of March 31, 2011, the Bank had a network of 929 automated teller machines (ATMs), including 273 offsite ATMs. The Bank�� products include SBT Gold Savings Scheme, SBT Home Loan PAL (Pre Approved Limit), SBT Green, SBT Suraksha, SBT Swarna Saphallyam, Overdraft (OD) in Savings Bank Account, SBT Defence Salary Account, SBT Construction and Equipment Loan, RTO Loans, SBT Solar Special and Weavers Credit Cards. The Bank products also include life, non-life insurance products, as well as other non-banking investment products, such as mutual fund.

Top Consumer Service Companies To Buy For 2015: FMC Corporation (FMC)

FMC Corporation, a chemical company, provides solutions, applications, and products for agricultural, consumer, and industrial markets. The company operates in three segments: Agricultural Products, Specialty Chemicals, and Industrial Chemicals. The Agricultural Products segment develops, markets, and sells a portfolio of crop protection, pest control, and lawn and garden products. It produces insecticides, herbicides, and fungicides to protect crops, including cotton, sugarcane, rice, corn, soybeans, cereals, fruits, and vegetables from insects and weed growth; and for non-agricultural applications, including pest control for home, garden, and other specialty markets, as well as for turf and roadside applications. The Specialty Chemicals segment focuses on food ingredients, pharmaceutical excipients, biomedical technologies, and lithium products. It produces microcrystalline cellulose that is used as drug dry tablet binder and disintegrant, and food ingredient; carrageena n, which is used as food ingredient for thickening and stabilizing; encapsulant for pharmaceutical and nutraceutical applications; alginates that are used as food ingredients, and for pharmaceutical excipient, wound care, orthopedic uses, and industrial uses; and lithium that is used in pharmaceuticals, polymers, batteries, greases and lubricants, air conditioning, and other industrial applications. The Industrial Chemicals segment produces inorganic materials, such as soda ash for glass, chemicals, and detergents; specialty peroxygens for pulp and paper, chemical processing, detergents, antimicrobial disinfectants, environmental applications, electronics, and polymers; and zeolites and silicates for detergents, car tires, pulp, and paper. It has operations in North America, Latin America, the Asia Pacific, Europe, the Middle East, and Africa. The company was founded in 1884 and is headquartered in Philadelphia, Pennsylvania.

Advisors' Opinion:
  • [By Marc Courtenay]

    Some other names to consider as takeover targets would include FMC Technologies, Inc. (FTI), which provides technology solutions for the energy industry worldwide and hit a 52-week high on April 11th. Another less conspicuous target is the diversified chemical company FMC Corp. (FMC), which has a market cap of only $8 billion plus a forward PE of less than 13.

  • [By Rich Duprey]

    Just as Monsanto is enjoying a surge in sales of Roundup, pesticide makers are witnessing greater sales of pesticides to combat these superbugs. Revenues at Sygenta (NYSE: SYT  ) rose 1.5% to $4.2 billion, FMC's (NYSE: FMC  ) sales were 5% higher, and American Vanguard's (NYSE: AVD  ) surged 39% last quarter. The three companies account for three-quarters of all ground pesticides sold in the United States.

Top Consumer Service Companies To Buy For 2015: (LVMUY)

LVMH Mo� Hennessy - Louis Vuitton SA engages in the manufacture and sale of luxury products. Its wine and spirits product line comprises champagne, sparkling and still wines, cognac, and other spirits primarily under the Mo� & Chandon, Dom P�ignon, Mercier, Ruinart, Veuve Clicquot, Krug, Ch�eau d?Yquem, Ch�eau Cheval Blanc, Hennessy, Glenmorangie, Ardbeg, and Belvedere brand names. The company offers fashion and leather goods consisting of trunks, leather goods, ready-to-wear, shoes, watches, jewelry, accessories, sunglasses, and books principally under the Louis Vuitton, Fendi, Donna Karan, Marc Jacobs, Loewe, C�ine, Kenzo, Givenchy, Thomas Pink, Pucci, and Berluti brand names. Its perfumes and cosmetics product line includes fragrances, make-up, and skincare products under the Parfums Christian Dior, Guerlain, Parfums Givenchy, Kenzo Parfums, Fendi Parfums, Make Up For Ever, Parfums Loewe, Fresh, and Acqua di Parma brand names. The company also offers watche s and jewelry under the TAG Heuer, Hublot, Bulgari, Zenith, Montres Dior, De Beers, and Fred brand names. In addition, it operates retail stores under the brand names of DFS, Miami Cruiseline, Sephora, Samaritaine, and Le Bon March�for travelers. As of December 31, 2011, the company operated 3,040 stores worldwide. LVMH Mo� Hennessy - Louis Vuitton SA is based in Paris, France.

Top Consumer Service Companies To Buy For 2015: Equity Lifestyle Properties Inc. (ELS)

Equity LifeStyle Properties, Inc. is a publicly owned real estate investment trust (REIT). The firm engages in the ownership and operation of lifestyle oriented properties. Its portfolio of properties include various amenities and common facilities, such as a clubhouse, a swimming pool, laundry facilities, and cable television service, sauna/whirlpool spas, golf courses, tennis, shuffleboard and basketball courts, and exercise rooms. The firm leases developed sites to owners of manufactured homes referred to as resort homes, park models referred to as resort cottages, and recreational vehicles. It primarily invests in the markets of the United States. The firm primarily invests in land with lower maintenance costs and customer turnover costs, high quality real estate in and around major metropolitan areas, high barriers to entry, retirement and vacation destinations, growth markets, and appreciating component of real estate2. It was formerly known as Home Communities, Inc. The firm was founded in 1992 and is based in Chicago, Illinois with additional offices in Clearwater, Florida, Phoenix, Arizona, and Aurora, Colorado.

Advisors' Opinion:
  • [By Rich Duprey]

    Real estate investment trust Equity Lifestyle Properties (NYSE: ELS  ) announced yesterday�that it's splitting its stock 2-for-1 on July 15 for holders of record on July 5.�

Top Consumer Service Companies To Buy For 2015: Sustainable Energy Technologies (STG.V)

Sustainable Energy Technologies Ltd., through its subsidiaries, designs, develops, manufactures, and distributes power inverters for small ground mount recreational and agricultural applications, and residential and commercial rooftops systems. The company offers its products primarily for alternative and renewable energy industry, including solar photovoltaic systems, small wind turbines, fuel cells, and various forms of energy storage. Its solar inverters convert direct current inputs with operating voltages, including 10 volts into grid type power. The company markets its products under the SUNERGY name to system integrators and installers, and solar module companies in Europe and North America. Sustainable Energy Technologies Ltd. is headquartered in Calgary, Canada.

Top Consumer Service Companies To Buy For 2015: Wisconsin Energy Corporation (WEC)

Wisconsin Energy Corporation engages in the generation, distribution, and sale of electric energy and steam. The company also involves in the purchase, distribution, and sale of natural gas to retail customers, as well as in the transportation of customer-owned natural gas in Wisconsin. It generates electricity from coal, natural gas, wind, and hydro sources. The company offers its services under ?We Energies? name. It serves approximately 1,120,200 electric customers in Wisconsin and the Upper Peninsula of Michigan; approximately 1,064,500 gas customers in Wisconsin; and approximately 460 steam customers in metropolitan Milwaukee, Wisconsin. In addition, the company invests and develops in real estate properties, including business parks and other commercial real estate projects primarily in southeastern Wisconsin. It provides electric utility service to industries, such as mining, paper, foundry, food products, and machinery production, as well as to retail chains. The c ompany was founded in 1981 and is based in Milwaukee, Wisconsin.

Advisors' Opinion:
  • [By Chris Hill]

    Our analysts share why they're keeping a close eye on Apple (NASDAQ: AAPL  ) , Wisconsin Energy (NYSE: WEC  ) �and Coach (NYSE: COH  ) .

  • [By Larry Smith]

    Wisconsin Energy (WEC) - Wisconsin Energy is the largest electric and gas company in Wisconsin with 1.1 million electric customers and 1 million gas customers. Wisconsin Energy also owns a 26% interest in American Transmission Company, a multistate, transmission only utility. WEC has been named the most reliable utility in the Midwest seven out of the last 10 years and has very high customer satisfaction. I owned WEC briefly and would be willing to own it again at a price under $38.00.

  • [By Dividends4Life]

    This week a few companies answered the call and rewarded their shareholders with higher cash dividends:

    Consolidated Edison Inc. (ED) engages in regulated electric, gas, and steam delivery businesses. January 16th the company increased its quarterly dividend 2.4% to $0.63 per share. The dividend is payable March 15, 2014, to stockholders of record on February 12, 2014. The yield based on the new payout is 4.7%.

    Cousins Properties Incorporated (CUZ), a real estate investment trust (REIT), owns, develops, and manages real estate portfolio, as well as performs certain real estate-related services. January 16th the company increased its quarterly dividend 66.7% to $0.075 per share. The dividend is payable February 24, 2014, to stockholders of record on February 10, 2014. The yield based on the new payout is 2.8%.

    Wisconsin Energy Corporation (WEC) generates and distributes electric energy, as well as distributes natural gas. The company operates in two segments, Utility Energy and Non-Utility Energy. January 16th the company increased its quarterly dividend 2% to $0.3900 per share. The dividend is payable March 1, 2014, to stockholders of record on February 14, 2014. The yield based on the new payout is 3.8%.

    BlackRock Inc. (BLK) is a publicly owned investment manager. The firm primarily provides its services to institutional, intermediary, and individual investors. January 16th the company increased its quarterly dividend 14.9% to $1.93 per share. The dividend is payable March 24, 2014, to stockholders of record on March 7, 2014. The yield based on the new payout is 2.4%.

    ONEOK Inc. (OKE) operates as a diversified energy company in the United States. January 15th the company increased its quarterly dividend 5.3% to $0.40 per share. The dividend is payable February 18, 2014, to stockholders of record on February 10, 2014. The yield based on the new payout is 2.5%.

    Omega Healthcare Investors Inc. (OHI) is a real es

Top Consumer Service Companies To Buy For 2015: SRI/Surgical Express Inc.(STRC)

SRI/Surgical Express, Inc. provides central processing and supply chain management services to hospitals and surgery centers in the United States. The company processes, assembles, and delivers reusable surgical products and instruments, including gowns, towels, and drapes, as well as stainless steel cups, carafes, trays, basins, and surgical instruments; and disposable accessory packs containing single-use disposable products, such as gauze, needles, syringes, and tubing. Its line of GreenGown gowns helps to prevent liquid and viral strike-through in critical areas during surgical procedures. The company also offers AccuSet, an instrument-processing program that provides general, laparoscopic, orthopedic, arthroscopic, ophthalmic, neurological, ear, nose, throat, and labor and delivery instrument processing services; and ReadyCase, a surgical supply and instrument delivery system, which combines reusable products, disposable packs, surgical instruments, and physician pref erence items to provide products required for a surgical procedure. In addition, it provides an outsource solution for the management of hospital and surgery center instrumentation supply chain and central sterilization facilities. The company was founded in 1991 and is headquartered in Tampa, Florida.

Top Consumer Service Companies To Buy For 2015: Telephone and Data Systems Inc. (TDE)

Telephone and Data Systems, Inc., a diversified telecommunications service company, provides wireless and wireline telecommunications services in the United States. The company�s wireless services include national consumer and business rate plans; postpaid plans; prepaid service plans, which consist of voice minutes, messaging, and data services; Smartphone messaging, data, and Internet services to access the Web, e-mail, social network sites, text, picture and video messages, and turn-by-turn GPS navigation, as well as to browse and download various applications; and data services comprise news, weather, sports information, games, ring tones, and other services. It provides wireless devices, such as handsets, modems, mobile hotspots, and tablets; and accessories, such as carrying cases, hands-free devices, batteries, battery chargers, and memory cards, as well as wireless device repair services. The company also offers voice services, including local and long-distance te lephone, voice over Internet protocol, voice mail, caller ID, and call forwarding services; broadband services, such as digital subscriber lines and other high-speed Internet data services; network access services; and Internet protocol television and satellite video services to commercial and residential customers and carriers. In addition, it provides collocation, hosting, hosted application management, and cloud computing services; and planning, engineering, procurement, installation, sales, and management services for information technology infrastructure, as well as printing and distribution services. As of December 31, 2012, the company served approximately 5.8 million wireless customers and 1 million wireline connections. It sells its products through retail sales, service centers, direct sales, third-party retailers, and independent agents, as well as through Website and telesales. The company was incorporated in 1968 and is headquartered in Chicago, Illinois.