Best Cheap Stocks For 2019: October 2013

Thursday, October 31, 2013

5 Best Bank Stocks To Watch Right Now

Stocks in emerging nations rose to a four-month high, with Turkey and Russia�� shares set for a bull market, after the Federal Reserve unexpectedly refrained from cutting stimulus. The ruble gained for a 10th day.

The MSCI Emerging Markets Index added 2.4 percent to 1,025.34 at 10:04 a.m. in New York, poised for the highest level since May 28. The Borsa Istanbul National 100 Index and Russia�� RTS Index (RTSI$) climbed more than 3.3 percent, rallying at least 20 percent from their previous lows. India�� shares increased to a three-year high, led by banks, Brazil�� Ibovespa (IBOV) snapped a four-day advance as iron-ore producer Vale SA sank. The ruble headed for a record winning streak against the dollar.

The Federal Open Market Committee yesterday refrained from reducing the $85 billion pace of its monthly securities buying, sending global stocks higher as investors repositioned for a more accommodative central bank. The measure for stocks in developing nations has slid as much as 16 percent since May 22, when the Fed signaled its asset-buying program could be trimmed if the economy showed sustained improvement.

5 Best Bank Stocks To Watch Right Now: M&T Bank Corporation (MTB)

M&T Bank Corporation operates as the holding company for M&T Bank and M&T Bank, National Association that provide commercial and retail banking services to individuals, corporations and other businesses, and institutions. It offers business loans and leases; business credit cards; deposit products, such as demand, savings, and time accounts; and financial services, including cash management, payroll and direct deposit, merchant credit card, and letters of credit. The company also provides residential real estate loans; multifamily commercial real estate loans; commercial real estate loans; one-to-four family residential mortgage loans; investment and trading securities; short-term and long-term borrowed funds; brokered certificates of deposit and interest rate swap agreements related thereto; and branch deposits. In addition, it offers foreign exchange, as well as asset management services. Further, the company provides consumer loans, and commercial loans and leases; cred it life, and accident and health reinsurance; and securities brokerage, investment advisory, and insurance agency services. As of December 31, 2009, it had 738 banking offices in New York State, Pennsylvania, Maryland, Delaware, New Jersey, Virginia, West Virginia, and the District of Columbia; a commercial banking office in Ontario, Canada; and an office in George Town, Cayman Islands. The company was founded in 1969 and is headquartered in Buffalo, New York.

Advisors' Opinion:

[By Matt Koppenheffer]
At�Berkshire Hathaway� (NYSE: BRK-A ) (NYSE: BRK-B ) Buffett has a portfolio that's top-heavy with financial-industry exposure, and he's particularly overweight in large-cap banks.�Wells Fargo� (NYSE: WFC ) is the conglomerate's single largest common-stock holding at close to $20 billion. The company also holds a $2 billion-plus position in�U.S. Bancorp� (NYSE: USB ) . Combined positions in�Bank of New York Mellon� (NYSE: BK ) and�M&T Bank� (NYSE: MTB ) come out to more than $1 billion. Berkshire will also have a large common-stock position in�Goldman Sachs� (NYSE: GS ) when the companies settle up Berkshire's warrants later this year. Based on today's share price for Goldman, that stake would likely be over $2 billion. Finally, the company has a $5 billion preferred-stock investment in�Bank of America� (NYSE: BAC ) .

5 Best Bank Stocks To Watch Right Now: Australia and New Zealand Banking Group Ltd (ANZ.AX)

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

10 Best Warren Buffett Stocks To Own For 2014: Bank Of Montreal (BMO)

Bank of Montreal, together with its subsidiaries, provides a range of retail banking, wealth management, and investment banking products and solutions in North America and internationally. It offers personal banking products and services to consumers and small businesses, including deposit and investment services, mortgages, consumer credit, small business lending, and other banking services; and commercial banking products and services to small business, medium-sized enterprise, and mid-market banking clients comprising lending, deposits, treasury management, and risk management services. The company also offers cards and payments services; investment and wealth advisory services; self-directed investing services; private banking services to high net worth and ultra-high net worth clients; investment fund solutions across a range of channels; pension plans; investment management services; and creditor insurance, and life insurance and annuity products and services. In add ition, it provides capital markets products and services, including equity and debt underwriting, corporate lending and project financing, mergers and acquisitions, restructurings and recapitalizations, balance sheet management, liquidity management, merchant banking, securitization, foreign exchange, derivatives, debt and equity research, and institutional sales and trading to corporate, institutional, and government clients. As of October 31, 2010, Bank of Montreal operated and maintained approximately 1,230 bank branches in Canada and the United States. The company was founded in 1817 and is headquartered in Toronto, Canada.

Advisors' Opinion:

[By Rich Duprey]
Bank of Montreal� (NYSE: BMO ) �announced yesterday�its third-quarter dividend of $0.74 per share, the same rate it paid last quarter.
[By Eric Volkman]
Bank of America's (NYSE: BAC ) Merrill Lynch, Wells Fargo's (NYSE: WFC ) Securities unit, KeyCorp (NYSE: KEY ) subsidiary KeyBanc Capital Markets, and Bank of Montreal's (NYSE: BMO ) BMO Capital Markets are the joint book-running managers of the issue.
[By Dan Caplinger]
On Wednesday, Bank of Montreal (NYSE: BMO ) will release its latest quarterly results. With a solid reputation as a strong Canadian financial institution, the bank has benefited from superior conditions in the Canadian economy over the past several years, avoiding much of the trouble that U.S. banks suffered during the financial crisis in 2008.

5 Best Bank Stocks To Watch Right Now: Fifth Third Bancorp(FITB)

Fifth Third Bancorp operates as a diversified financial services holding company in the United States. The company?s Commercial Banking segment offers credit intermediation, cash management, and financial services; lending and depository products; and foreign exchange and international trade finance, derivatives and capital markets services, asset-based lending, real estate finance, public finance, commercial leasing, and syndicated finance for business, government, and professional customers. Its Branch Banking segment provides deposit and loan, and lease products to individuals and small businesses. This segment?s products include checking and savings accounts, home equity loans and lines of credit, credit cards, loans for automobile and personal financing needs, and cash management services. The company?s Consumer Lending segment engages in the mortgage and home equity lending activities, such as origination, retention, and servicing of mortgage and home equity loans ; and other indirect lending activities, which include loans to consumers through mortgage brokers and automobile dealers. Its Investment Advisors segment offers investment alternatives for individuals, companies, and not-for-profit organizations. It offers retail brokerage services to individual clients, and broker dealer services to the institutional marketplace. This segment also provides asset management services; holistic strategies to affluent clients in wealth planning, investing, insurance, and wealth protection; and advisory services for institutional clients, as well as advises the company?s proprietary family of mutual funds. As of December 31, 2011, the company operated 1,316 full-service banking centers, including 104 Bank Mart locations; and 2,425 automated teller machines in 12 states in the midwestern and southeastern regions of the United States. The company was founded in 1862 and is headquartered in Cincinnati, Ohio.

Advisors' Opinion:

[By The Part-time Investor]
The following stocks met the criteria in January of 2008 and were put into the initial portfolio:
Abbot Labs (ABT)Advanced data processing (ADP)Associated Banc-Corp (ASBC)Bank of America (BAC)BB&T Corp. (BBT)Bemis Company (BMS)Anheuser Busch (BUD)The Chubb Corporation (CB)Clorox (CLX)Comerica Inc. (CMA)Diebold Inc. (DBD)Emerson Electronics (EMR)First Dollar Corp. (FDO)First Third BanCorp. (FITB)Gannett Co, Inc. (GCI)General Electric (GE)Hershey (HSY)Illinois Tools Works (ITW)Johnson and Johnson (JNJ)Leggett and Platt (LEG)Eli Lilly (LLY)La-Z-Boy (LZB)McDonald's (MCD)Marsh and Ilsley (MI)M&T Bancorp (MTB)PepsiCo (PEP)Pfizer (PFE)Procter & Gamble (PG)Pentair Ltd. (PNR)Regions Financial Corp. (RF)Rohm and Haas (ROH)RPM International (RPM)Sherwin Williams (SHW)Sysco Corp. (SYY)UDR Inc. (UDR)
Historical quotes were taken from Yahoo Finance. $10,000 was put into each position, to the nearest whole share, so a total of $349,262.89 was invested. From 1/15/08 through 5/16/13 all dividends were reinvested back into the stock that paid them. If a dividend cut was announced, that stock was sold on the ex-div date of the new, lower dividend.

5 Best Bank Stocks To Watch Right Now: Lloyds Banking Group PLC (LYG)

Lloyds Banking Group plc, incorporated on October 21, 1985, is a holding company. The Company is a financial services group providing a range of banking and financial services, primarily in the United Kingdom, to personal and corporate customers. The Company operates in four segments: Retail, Commercial Banking, Wealth, Asset Finance and International and Insurance. Retail provides banking, mortgages and other financial services to personal customers in the United Kingdom. Commercial Banking provides banking and related services to business clients, from small businesses to large corporate. Wealth, Asset Finance and International provides private banking and asset management and asset finance in the United Kingdom and overseas and operates the Company�� international retail businesses. Insurance provides long term savings, protection and investment products in the United Kingdom and Europe and provides general insurance to personal customers in the United Kingdom.

Retail

The Retail division operates the retail bank in the United Kingdom and is a provider of current accounts, savings, personal loans, credit cards and mortgages. This includes a range of current accounts including packaged accounts and basic banking accounts. It is also the provider of personal loans in the United Kingdom, as well as being the United Kingdom�� credit card issuer. Retail is the private sector savings provider in the United Kingdom. It is also a general insurance and bancassurance distributor, offering a range of long-term savings, investment and general insurance products.

Commercial Banking

The Commercial Banking division supports the Company�� business clients from small businesses to corporate. Commercial Banking provides support to corporate clients through the provision of core banking products, such as lending, deposits and transaction banking services whilst also offering clients expertise in capital markets (private placements, bonds and syndicated loans), ! financial markets (foreign exchange, interest rate management, money market and credit) and private equity.

Wealth, Asset Finance and International

Wealth, Asset Finance and International consists of the Company�� the United Kingdom and international wealth businesses, the Company�� the United Kingdom and international asset finance and online deposit businesses along with its international retail businesses. The Wealth business consists of private banking and asset management. Wealth�� private banking operations cater to the range of wealth clients from affluent to Ultra High Net Worth within the United Kingdom, Channel Islands and Isle of Man, and internationally. Asset Finance consists of a number of leasing and speciality lending businesses in the United Kingdom, including Lex Autolease and Black Horse Motor and Personal Finance along with its leasing and specialty lending businesses in Australia and its European online deposit business. The international business comprises its non-core banking business outside the United Kingdom, with the exception of corporate business written through the Commercial Banking division. This primarily consists of Ireland, Retail Europe and Asia.

Insurance

The Insurance division provides long-term savings, protection and investment products and general insurance products to customers in the United Kingdom and Europe. The United Kingdom Life, Pensions and Investments business provides long-term savings, protection and investment products distributed through the bancassurance, intermediary and direct channels of the Lloyds TSB, Halifax, Bank of Scotland and Scottish Widows brands. The European Life, Pensions and Investments business distributes products primarily in the German market under the Heidelberger Leben and Clerical Medical brands. The General Insurance business is a distributor of home insurance in the United Kingdom, with products sold through the branch network, direct channels and strategic corporate! partners! . It operates primarily under the Lloyds TSB, Halifax and Bank of Scotland brands.

Advisors' Opinion:

[By Royston Wild]
I am currently looking at the dividend prospects of�Lloyds Banking Group� (LSE: LLOY ) (NYSE: LYG ) and assessing whether the company is an appetizing pick for income investors.
[By Sam Robson]
LONDON --�Shares in�Lloyds Banking Group� (LSE: LLOY ) (NYSE: LYG ) �shot up 4.5% in early trade, to 55.90 pence, following its announcement of a huge increase in year-on-year first-quarter profits.

One Yes, One No, & One Maybe (WLT, CHTP, NBG)

What do Chelsea Therapeutics International Ltd. (NASDAQ:CHTP), National Bank of Greece (NYSE:NBG), and Walter Energy, Inc. (NYSE:WLT) have in common. They all have charts worth a much closer look right now. That's not to say they're all dropping the same bullish hint. In fact, WLT, NBG, and CHTP are all dropping distinctly-different hints as to their likely near-term future. But, trading action is trading action no matter which direction it's in. Take a look.

Yes: Truth be told, shares of the National Bank of Greece have been working on a rally for a while. It's only been recently, however, that NBG has made it clear it's not going to give up. The stock crossed above the 100-day moving average line (gray) early in the month, and has continued to peel away. Yes, National Bank of Greece hit something of a soft patch last week, but the 20-day moving average line (blue) has since stepped up to the plate as a technical floor, rekindling the uptrend yesterday day and today. Perhaps most bullish of all is the fact that NBG has started to increase volume on the way up, after it cleared the 100-day moving average line,

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No: With just a quick glance, Chelsea Therapeutics International Ltd. doesn't look like it's doing anything other than moving sideways. The longer you study the chart of CHTP though, the more it becomes clear that it's not only losing momentum, but has already lost momentum and is developing a downtrend.

The chart tells the story. Though the first three quarters of the year were very bullish one for the stock, with CHTP shares running from a low of $0.76 to a high of $3.30 hit in early September. Since then, however, shares have moved back under the key 20-day (blue) and 50-day (purple) moving average lines, and are putting pressure on the 100-day line as a floor. Although the bearish clincher would be a close under the 100-day line (gray) at $2.81, we've already seen the 20-day line cross under the 50-day average line for the first time in months, telling us the undertow for Chelsea Therapeutics International has already shifted for the worst.

Maybe: Believe it or not, there's a rebound brewing from the coal industry. It's not a big one, but it's decent... decent enough to push Walter Energy, Inc. shares up 50% since June. In the meantime, all the key moving averages have made bullish crossovers, and even started to act as a floor. But, if WLT can hurdle one more line in the sand, that should really fan the bullish flames.

That line? It's the $16.34 mark, where WLT shares have been peaking since early September. But, the stock's been making higher lows that whole time, leading shares into a very tight space between support and resistance. Something's got to give seen, and considering Walter Energy shares have seen much higher volume on 'up' days than 'down' days of late, the odds say $16.34.

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Tuesday, October 29, 2013

International Business Machines Corp. Beefs Up Buybacks, Declares Dividend (IBM)

The New York-based information technology juggernaut, IBM Corp. (IBM), made two announcements on Tuesday that resonated well among shareholders.

First, the company’s board of directors approved an additional $15 billion to be used for stock repurchases. This brings the total amount designated for share buybacks to over $20 billion, seeing as how there were approximately $5.6 billion left at the end of September 2013 from the prior repurchase authorization. According to company officials, IBM expects to request another repurchase authorization at the October board meeting in 2014.

Top 10 Stocks To Buy For 2014

The second piece of good news on the day was a declared dividend, adding to the company’s flawless quarterly payout record since 1916. IBM announced a regular quarterly cash dividend of $0.95 per share, payable on December 10, 2013 to shareholders on record as of November 8, 2013.

IBM shares rallied on Tuesday, gaining a solid 2.69% as the trading session drew to a close. The stock is down nearly 5% YTD.

Monday, October 28, 2013

Top 10 Clean Energy Stocks To Own For 2014

Thanks largely to the antics of former CEO Aubrey McClendon, Chesapeake Energy (NYSE: CHK ) has been one of the most maligned names in the energy sector. McClendon leveraged the company's future with debt, intertwined his personal finances with the company's, and engineered a land-buying program that received significant amounts of bad press topped off with negative portrayal of the industry in Matt Damon's movie, "Promised Land." The result has been a nearly 40% slide in Chesapeake Energy stock over the past two years.

CHK data by YCharts

Natural gas on the rise
Despite the bad press, the overall position of the natural gas industry has never looked more promising. Companies ranging from Clean Energy Fuels (NASDAQ: CLNE ) to Berkshire Hathaway (NYSE: BRK-A ) are beginning to initiate programs that rely heavily on natural gas. In the case of Clean Energy, the company is undertaking a major push to create a corridor of liquefied natural gas, or LNG, filling stations across the country to allow trucks to carry freight on LNG power rather than diesel. This type of transition is likely to eventually trickle down to passenger vehicles, which currently are not fully viable as an LNG alternative. While Chesapeake Energy stock once benefited from the company's partial ownership of Clean Energy, that stake is likely to be sold to help meet debt obligations.

Top 10 Clean Energy Stocks To Own For 2014: Pro Medicus Ltd (PME.AX)

Pro Medicus Limited provides information technology products and services to diagnostic imaging groups and a range of entities primarily in the private medical market worldwide. It offers Radiology Information Systems (RIS)/Practice Management solution, which consists of various software applications and services for medical accounting, clinical reporting, appointments/scheduling, and marketing/management information applications; and services, such as network design and implementation, hardware sourcing and configuration, staff and management training, and technical and end user support. The company also operates promedicus.net, an Internet-based e-health offering that enables referring doctors to receive encrypted clinical reports via the Internet; provides Digital Radiology or PACS (Picture Archive and Communication Systems), a Web-based solution for primary interpretation, image distribution, and archiving across the entire healthcare enterprise; and offers clinical so ftware that provides radiologist with advanced visualization capability for viewing 3-D and 4-D images. In addition, it offers Visage 7, a 3-D advanced visualization product; and software toolkits that enable universities and research institutions working in the life sciences area to produce complex 3-D models. The company was founded in 1983 and is headquartered in Richmond, Australia.

Top 10 Clean Energy Stocks To Own For 2014: Wind River Energy Corp (WVR.V)

Wind River Energy Corp. engages in the acquisition and development of oil and gas properties in the Rocky Mountain and mid-continent regions of the United States. It owns interest in the Phat City Project in Montana, Day Butte and Meadow Draw Projects in Wyoming, the Milagro Project in New Mexico and Colorado, the Emerald Forest Project in Wyoming, and the Kansas Project in Kansas. The company is based in Vancouver, Canada.

Hot Performing Stocks To Watch For 2014: Safety Medical Products Ltd(SFP.AX)

Safety Medical Products Limited engages in the development, manufacture, and commercialization of medical products in Australia. The company offers Securetouch single use manual retractable safety syringes. It also provides a range of sterilized feminine hygiene products, including tampons, pads, and liners, under the Pureste brand name; and imports and distributes medical products. The company was founded in 2001 and is based in Perth, Australia.

Top 10 Clean Energy Stocks To Own For 2014: ComOps Ltd(COM.AX)

ComOps Limited provides business software solutions and services in the areas of enterprise, sales, and workforce management. Its enterprise management products include ComOps BMS, an enterprise resource planning solution, which manages specific business operations by providing real time financial, distribution, and management information; ComOps BI, a product suite for reporting, query, and analysis needs; and Unibis, a suite of integrated software modules that provides enterprise-wide solutions to business and government organizations requiring multi-company/branch/warehouse and currency processing capabilities. The company?s sales management products comprise ComOps SAM, which automates the business process for a mobile work force or team of customer relationship managers and merchandisers; Procure for retail management; and ComOps eCom, an eCommerce solution that helps in developing online sales channels. Its workforce management solutions include Microster, a workfor ce management solution primarily for small to medium sized enterprises; Executives Online, a talent sourcing solution that enables organizations to recruit high quality candidates for permanent, interim, contract, and project management roles; Salvus, a safety, risk, and claims management solution; and ComOps eContent, which designs and delivers multimedia learning and communication content. The company also provides system implementation, managed, and solutions support services. It serves customers in various industries, including fast moving consumer goods, transport and logistics, healthcare, banking and finance, manufacturing, distribution and wholesale, retail, pharmaceutical, construction, hospitality, mining, government, and services. The company was founded in 1972 and is headquartered in North Sydney, Australia.

Top 10 Clean Energy Stocks To Own For 2014: Bitauto Holdings Limited (BITA)

Bitauto Holdings Limited provides Internet content and marketing services for the automotive industry primarily in the People?s Republic of China. The company offers subscription services to new automobile dealers that enable them to list pricing and promotional information on its bitauto.com Website and partner Websites, and to interact with consumers through its virtual call center, as well as provides advertising service to dealers and automakers on its bitauto.com Website. It also offers listing services to used automobile dealers, which enable them to display used automobile inventory information through its ucar.cn Website and partner Websites; and advertising services to used automobile dealers and automakers with certified pre-owned automobile programs on its ucar.cn Website. In addition, the company provides digital marketing solutions, including Website creation and maintenance, online public relationship, online marketing campaigns, and advertising agent service s. Bitauto Holdings Limited was founded in 2000 and is headquartered in Beijing, the People?s Republic of China.

Advisors' Opinion:

[By Evan Niu, CFA]
What: Shares of Bitauto (NYSE: BITA ) have plunged today by as much as 18% after the company reported first-quarter earnings.

So what: Revenue in the first quarter added up to $38.6 million, which translated into non-GAAP profits of $3.7 million. The top and bottom lines were up 34.6% and 29.1% relative to a year ago, but investors were still left wanting more. The results were in line with Bitauto's guidance.

Top 10 Clean Energy Stocks To Own For 2014: Minco Gold Corp Com Npv(MMM.TO)

Minco Gold Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of gold properties. The company owns 16 gold properties covering an area of approximately 1,000 square kilometers of mineral rights in China. It also explores for iron, silver, lead, zinc, and other base metals in various properties. The company was formerly known as Minco Mining & Metals Corporation and changed its name to Minco Gold Corporation in January 2007. Minco Gold Corporation was founded in 1982 and is headquartered in Vancouver, Canada.

Top 10 Clean Energy Stocks To Own For 2014: Enghouse Systems Com Npv(ESL.TO)

Enghouse Systems Limited, together with its subsidiaries, engages in the development and marketing of enterprise application software products worldwide. It operates in three divisions: Enghouse Interactive, Enghouse Networks, and Enghouse Transportation. The Enghouse Interactive division provides communications software and services, including certified applications; private and public cloud contact center solutions; unified communications applications; self-service and live contact center solutions; enterprise-class workforce optimization solutions to businesses; and telephony systems. The Enghouse Networks division develops and markets network software and visual computing solutions for a range of utilities. This division offers resource management solutions to plan, visualize, design, manage, and operate networks; and revenue management solutions. The Enghouse Transportation division develops and delivers solutions for public and private transportation industries throu gh computerized applications and consulting support. This division provides various solutions to support fixed route scheduling; integrated driver timekeeping and dispatching; real time demand response scheduling and dispatching; and complete traveler information, as well as integration with CAD/AVL systems, HR/Payroll systems, and data warehouse applications. The company also offers consulting, training, maintenance, subscription, and hosting services. It serves telecommunications, electric, oil and gas, insurance, healthcare, hospitality, and public and private transportation companies, as well as high technology, government, and bank sectors. The company was founded in 1984 and is headquartered in Markham, Canada with additional offices in Canada, the United States, the United Kingdom, France, Germany, Sweden, Israel, Croatia, Denmark, Norway, India, Japan, Hong Kong, Singapore, and Australia.

Top 10 Clean Energy Stocks To Own For 2014: Niocan Inc Com Npv(NIO.TO)

Niocan Inc. engages in the exploration and development of mineral properties in the province of Quebec, Canada. It holds interest in the Niobium mining property consisting of 49 claims covering 1,604 acres and surface rights on 231 acres located in Oka, Quebec. The company also owns a 100% interest in the Great Whale Iron property that includes 71 claims covering 17,098 acres in Hudson Bay and 69 claims. Niocan Inc. was incorporated in 1995 and is headquartered in Oka, Canada.

Top 10 Clean Energy Stocks To Own For 2014: United States Steel Corporation(X)

United States Steel Corporation produces and sells steel mill products in North America and Central Europe. It operates in three segments: Flat-rolled Products (Flat-rolled), U. S. Steel Europe (USSE), and Tubular Products (Tubular). The Flat-rolled segment offers slabs, rounds, strip mill plates, sheets, and tin mill products, as well as iron ore and coke. This segment serves service center, conversion, transportation, construction, container, and appliance and electrical markets in North America. The USSE segment offers slabs, sheets, strip mill plates, tin mill products, and spiral welded pipes, as well as heating radiators and refractory ceramic materials. This segment serves the European construction, service center, conversion, container, transportation, and appliance and electrical, as well as and oil, gas, and petrochemical markets. The Tubular segment offers seamless and electric resistance welded steel casing and tubing; and standard, and line pipe and mechanical tubing. It primarily serves customers in the oil, gas, and petrochemical markets. The company also provides transportation services, including railroad and barge operations. In addition, it owns, develops, and manages various real estate assets, which include approximately 200,000 acres of surface rights primarily in Alabama, Illinois, Maryland, Michigan, Minnesota, and Pennsylvania; participates in joint ventures that are developing real estate projects in Alabama, Maryland, and Illinois; and owns approximately 4,000 acres of land in Ontario, Canada. The company was founded in 1901 and is headquartered in Pittsburgh, Pennsylvania.

Advisors' Opinion:

[By Sean Williams]
Not far behind Peabody was steelmaker U.S. Steel (NYSE: X ) , which added 4.4% on the day despite no company-specific news. Given that Peabody produces metallurgical coal used in the steelmaking process, strength in Peabody's results could ease worries about U.S. Steel's upcoming quarter. In addition, U.S. Steel is among the most short-sold companies within the S&P 500, meaning any rally could potentially start a chain reaction of short-covering that could send shares higher. Keep in mind, though, that with more net debt than many of its peers, U.S. Steel also offers some of the highest risks among steel stocks.

Top 10 Clean Energy Stocks To Own For 2014: PFSweb Inc.(PFSW)

PFSweb, Inc. provides business process outsourcing and ecommerce solutions in the United States, Canada, and Europe. It offers digital marketing services comprising search engine optimization, pay-per-click, affiliate marketing, comparison shopping engines, merchandising, Web analytics, customer experience, email marketing, and social media; and ecommerce technology services, including End2End eCommerce solution for the direct-to-consumer (DTC) and business-to-business (B2B) online channels. The company also provides order management services consisting of order management interfaces, collaboration technologies, and information management services; customer care services, including customer relationship management, customer order assistance, quality monitoring, and interactive voice response; and logistics and fulfillment services comprising distribution facilities and infrastructure, facility operations and management, kitting and assembly, and product management and insp ection. In addition, it offers financial management services consisting of billing, credit, collection, and cash application services for B2B clients, as well as fraud review, chargeback management, and processing and settlement credit card services for DTC clients; and professional consulting services in the areas of interactive marketing ecommerce, supply chain management, distribution and fulfillment, technology interfacing, logistics, and customer support. Further, the company provides seller services financial models, including enablement financial, agent or flash financial, and retail financial models. It serves fashion apparel and accessories, fragrance and beauty products, consumer packaged goods, home furnishings and housewares, consumer electronics, office technology and network connectivity products, and aviation spare parts industries. The company was founded in 1999 and is headquartered in Allen, Texas.

Sunday, October 27, 2013

Will Merck Earnings Bounce Back Tomorrow?

Merck (NYSE: MRK ) is scheduled to release its quarterly earnings report tomorrow, and most investors expect the company to see continued reductions in its overall net income compared to year-ago levels. Yet the stock has performed quite well lately, suggesting that in the long run, Merck earnings could well return to their winning ways, helping to support a dividend yield that puts the drugmaker in the upper echelon of dividend stocks within the Dow Jones Industrials (DJINDICES: ^DJI ) .

Like many of its drugmaker peers, Merck has struggled as major blockbuster products have gone off patent, forcing it to try to find replacement drugs to keep its overall sales and profit up. So far, Merck has only had mixed success in accomplishing that difficult task, but some promising prospects could help the company get past its patent-cliff woes and get back to strong growth. Let's take an early look at what's been happening with Merck over the past quarter and what we're likely to see in its quarterly report.

Stats on Merck

Analyst EPS Estimate	$0.83
Change From Year-Ago EPS	(21%)
Revenue Estimate	$11.22 billion
Change From Year-Ago Revenue	(8.9%)
Earnings Beats in Past 4 Quarters	4

Source: Yahoo! Finance.

How will Merck's earnings start growing again?
In recent months, analysts have been increasingly pessimistic about Merck's earnings, cutting their June-quarter estimates by $0.08 per share and reducing full-year 2013 consensus figures by almost double that amount. Yet the stock hasn't suffered from those cuts, managing to eke out a 2% gain since late April.

Merck's first-quarter results reveal a lot of the problems that the company has faced lately. Overall revenue declined 9% due largely to the fact that asthma drug Singulair went off patent during the past year and therefore now faces generic competition. Yet even more troubling than the predictable Singulair sales losses was the fact that diabetes blockbuster Januvia saw weaker sales in the first quarter, even though its patent protection continues unabated. Januvia faces new competition from Johnson & Johnson (NYSE: JNJ ) and its Invokana treatment for type 2 diabetes. With studies showing that Invokana topped Januvia in terms of performance, a shift away from Januvia could pose an unexpected new threat to Merck's earnings while providing a nice boost to J&J's own bottom line.

Merck also suffered a setback in its pipeline when its insomnia treatment suvorexant was rejected by the FDA. The rejection cited concerns about Merck's proposals to move patients gradually up to higher dosages of the drug, with the FDA suggesting lower-dosage treatment that will require new manufacturing studies that could delay the release of the drug by a year or more.

Yet Merck still has plenty of pipeline potential. With treatments for osteoporosis, hepatitis C, and atherosclerosis showing varying degrees of promise, Merck has a number of drugs with multibillion-dollar potential if it can push them through the approval process. In particular, analysts believe the market for osteoporosis drugs from rival Amgen and bone-therapy drugs could generate $3 billion in peak sales, and if Merck's odanacatib can muscle in on even a portion of those sales opportunities, it could be huge for the company's long-term prospects.

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In tomorrow's Merck earnings report, look closely at the breakdown of the company's various drug franchises and how much revenue growth they're each producing. In particular, if Januvia continues to struggle, it'll put even more pressure on Merck to find ways to get its best candidates through the development pipeline as efficiently as possible.

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Friday, October 25, 2013

Will This Be the Breakthrough of All Breakthrough Therapy Drugs?

In July 2012, the Food and Drug Administration Safety and Innovation Act was signed into law; and little did we know at the time, but the drug development process was about to be altered forever. This bill expanded many of the existing governing powers of the FDA, but also added one intriguing new provision -- the breakthrough therapy designation.

Recognizing unique therapies
This new designation, as described on the FDA's website, is to "assist drug developers to expedite the development and review of new drugs with preliminary clinical evidence that indicates the drug may offer a substantial improvement over available therapies for patients with serious or life-threatening diseases."

Put even more simply, the breakthrough therapy designation is a monumental step in potentially bringing clinically superior drugs to market years ahead of the schedule they'd normally have to follow. Previously, drug developers had to run three separate clinical stage trials. Now, for drugs with the breakthrough therapy designation, preliminary data, (i.e., phase 1/2) can be used as the precursor for a new drug filing, shaving anywhere from one or maybe multiple years off the process of bringing a revolutionary drug to market.

10 Best Heal Care Stocks To Watch For 2014

According to the FDA, since Oct. 1, 2012, the agency has received 61 separate breakthrough therapy designation requests. Through June 28, 2013, it had granted 23, denied 15, and had an additional 23 pending.

What's perhaps more remarkable is the fact that Pharmacyclics (NASDAQ: PCYC ) has three of those 23 approved breakthrough therapy designations for its lead experimental drug, ibrutinib. Ibrutinib, which is also licensed to Johnson & Johnson (NYSE: JNJ ) subsidiary Janssen Pharmaceuticals, was designated as a breakthrough therapy for patients with chronic lymphocytic leukemia, mantle cell lymphoma, and Waldenstrom's macroglobulinemia. The big potential indication here is CLL, which is the most common adulthood leukemia and occurs in 113,000 people in the U.S. By comparison, MCL diagnoses number about 5,000 each year.

Is this the breakthrough of all breakthrough therapies?
But, if you thought all of the fun stopped at the actual breakthrough therapy designation, then you have another thing coming. Yesterday, Pharmacyclics and J&J took the first step toward proving whether this new designation pathway is going to have some merit by filing for a new drug application for ibrutinib.

Source: ppdigital, Deviantart.com.

The trial results, published in The New England Journal of Medicine last month appear to be unmistakably in favor of an eventual approval for ibrutinib. In the MCL trial across both cohorts (those who had taken Takeda Pharmaceuticals' Velcade and those who were Velcade-naive), ibrutinib delivered a 68% overall response rate with a median response duration of a whopping 17.5 months. The results in the CLL and small lymphocytic leukemia, or SLL, trial were even more impressive, with ibrutinib delivering an overall response rate across the two doses being tested of 71%. Furthermore, estimated progression-free survival at 26 months was estimated at an incredible 75%!

The results sort of speak for themselves, but even more than that it speaks to the breakthrough in the NDA process via the new breakthrough therapy designation. Ibrutinib, whether it likes it or not, will be the guinea pig of the breakthrough therapy drug approval process, thus making it the breakthrough candidate of breakthrough-designated drugs.

In addition, by moving ibrutinib along via this expedited pathway, it gives a previous small fry in the biotech sector, Pharmacyclics, a chance to kick around the big boys like AbbVie (NYSE: ABBV ) and Celgene (NASDAQ: CELG ) . AbbVie's experimental late-stage CLL and SLL drug, ABT-199, was placed on clinical hold in February following the death of two patients from a condition known as tumor lysis syndrome. This hold will delay any additional trials until the proper dosing is worked out and gives ibrutinib a chance to run away in treating CLL/SLL. For Celgene, which just received the added indication for Revlimid to treat MCL, it's a kick in the pants. Revlimid's MCL trial overall response rate was 26% compared to the 68% ORR in ibrutinib's mid-stage trial.

Not so fast, optimists...
As exciting of a time as this might be for biotechnology and pharmaceutical companies, there are a lot of factors still to play out here. In trials, ibrutinib showed what I feel is reasonable safety, with most adverse events being reported as grade 1/2 (i.e., not serious). But, with such a small subset of patients being tested in some of these trials, the potential concerns over drug safety and their effect on the body over time cannot be discounted.

Another factor to consider is whether there will be sufficient data from an early stage or mid-stage trial to merit confidence in physicians and insurers to prescribe a drug. Again, I'm not trying to pick on ibrutinib at all here, but simply point out that with a small subset of patients, even the stamp of approval from the FDA may not be enough to get insurers or physicians to go along with prescribing the drug.

Let's not forget that drug approvals are only half of the battle. Once approved, properly pricing a drug and marketing it effectively to patients and physicians is the other half of the battle. Too many drugs are approved with plenty of promise, only to flop miserably once on pharmacy shelves. In sum, keep your emotions and expectations in check.

Which drug could be next?
On top of watching ibrutinib move through the process, yesterday's NDA filing is only bound to increase the chatter over which drug could follow next. Although it's unlikely to come until the first-half of next year because of ongoing late-stage trials, I feel Pfizer's (NYSE: PFE ) palbociclib may be next.

In mid-stage metastatic breast cancer trials, when combined with Novartis' Femara, palbociclib more than tripled progression-free survival to 26.1 months compared to just 7.5 months on Femara alone. If the ongoing late-stage data remains even remotely consistent to what we saw in mid-stage trials, expect an NDA filing around mid-2014.

It's no secret that biotech stocks like Pharmacyclics have been soaring recently, but the best investment strategy is to pick great companies and stick with them for the long term. The Motley Fool's free report "3 Stocks That Will Help You Retire Rich" not only shares stocks that could help you build long-term wealth, but also winning strategies that every investor should know. Click here to grab your free copy today.

Wednesday, October 23, 2013

Japan stocks falls on yen, Caterpillar results

LOS ANGELES (MarketWatch) -- A rising Japanese yen and weak results from Caterpillar Inc. (CAT) overnight sent Tokyo-listed shares lower in early Thursday trade, with the Nikkei Stock Average (JP:NIK) falling 0.4% to 14,363.59, while the Topix also lost 0.4%. With the U.S. dollar remaining below the 98-yen level amid concerns about the health of China's largest banks, some currency-sensitive shares extended their losses after driving the Nikkei Average down 2% in the previous session. Among them, trading house Mitsui & Co. (JP:8031) (MITSY) fell 1.3%, retail major J. Front Retailing Co. (JP:3086) lost 1.2%, auto maker Nissan Motor Co. (JP:7201) (NSANY) retreated 0.6%, and Fujitsu Ltd. (JP:6702) (FJTSY) traded 1% lower. The below-forecast quarterly results and outlook cut from U.S. construction-equipment maker Caterpillar sent its Japanese rivals tumbling, with Komatsu Ltd. (JP:6301) (KMTUF) dropping 3.5% and Hitachi Construction Macheriny Co. (JP:6305) (HTCMF) falling 3.1%. On the upside, Hitachi Ltd. (JP:6501) (HTHIF) soared 5.4% after raising its profit and revenue guidance for the fiscal first half, while Panasonic Corp. (JP:6752) (PCRFF) rose a more modest 0.5% after the Nikkei business daily said the company planned to halve its chip-making staff and may sell some of its chip plants.

2 Stocks Spiking on Unusual Volume

DELAFIELD, Wis. (Stockpickr) -- Professional traders running mutual funds and hedge funds don't just look at a stock's price moves; they also track big changes in volume activity. Often when above-average volume moves into an equity, it precedes a large spike in volatility.

>>5 Big Stocks to Trade for Big Gains

Major moves in volume can signal unusual activity, such as insider buying or selling -- or buying or selling by "superinvestors."

Unusual volume can also be a major signal that hedge funds and momentum traders are piling into a stock ahead of a catalyst. These types of traders like to get in well before a large spike, so it's always a smart move to monitor unusual volume. That said, remember to combine trend and price action with unusual volume. Put them all together to help you decipher the next big trend for any stock.

>>5 Stocks Poised to Pop on Bullish Earnings

With that in mind, let's take a look at several stocks rising on unusual volume today.

NuStar

NuStar GP Holdings (NSH) owns general partner and limited partner interests in NuStar Energy, which engages in the terminaling and storage of petroleum products, transportation of petroleum products and anhydrous ammonia, and petroleum refining and marketing. This stock closed up 7% at $25.43 in Monday's trading session.

Monday's Volume: 404,000

Three-Month Average Volume: 235,914

Volume % Change: 105%

>>5 Stocks Poised for Breakouts

From a technical perspective, NSH soared higher here and broke out above some near-term overhead resistance levels at $24.28 to $24.66 with above-average volume. This stock has been uptrending strong for the last month and change, with shares moving higher from its low of $19.34 to its intraday high of $25.52. During that move, shares of NSH have been consistently making higher lows and higher highs, which is bullish technical price action.

Traders should now look for long-biased trades in NSH as long as it's trending above Monday's low of $23.50 and then once it sustains a move or close above Monday's high of $25.52 with volume that's near or above 235,914 shares. If we get that move soon, then NSH will set up to re-test or possibly take out its next major overhead resistance levels at $26.82 to its 200-day at $26.95. Any high-volume move above those levels will then give NSH a chance to tag $30 to $32.

Synergy Resources

Synergy Resources (SYRG) is an exploration-stage company engaged in oil and gas acquisitions, exploration, development and production activities. This stock closed up 2.8% at $11.03 in Monday's trading session.

Monday's Volume: 949,000

Three-Month Average Volume: 589,711

Volume % Change: 75%

>>5 Rocket Stocks to Buy Now

From a technical perspective, SYRG trended up here right above some near-term support at $10.54 and into new 52-week-high territory with above-average volume. This stock has been uptrending strong for the last five months, with shares soaring higher from its low of $6.23 to its intraday high and new 52-week high at $11.40. During that uptrend, shares of SYRG have been consistently making higher lows and higher highs, which is bullish technical price action.

Traders should now look for long-biased trades in SYRG as long as it's trending above some key near-term support at $10.54 and then once it sustains a move or close above its 52-week high at $11.40 with volume that's near or above 589,711 shares. If we get that move soon, then SYRG will set up to enter new 52-week-high territory above, which is bullish technical price action. Some possible upside targets off that move are $13 to $15.

To see more stocks rising on unusual volume, check out the Stocks Rising pn Unusual Volume portfolio on Stockpickr.

-- Written by Roberto Pedone in Delafield, Wis.

Monday, October 21, 2013

Market Primer: Monday, October 21: Delayed Payrolls Data Ignites Taper Talk

Several US reporting agencies were unable to release data last week due to the US government shutdown.

Now, as the reopened government catches up a spate of data is expected to hit the markets this week. The most anticipated figures are nonfarm payrolls, which are due out on Tuesday.

Most see US employers adding 180,000 workers in September with no change in the 7.3 percent unemployment rate. If the report confirms speculation, it could provide a strong case for the US Federal Reserve to begin its taper. In general, the bank is expected to maintain its easy monetary policy well into 2014 in the wake of the government shutdown.

However, if the flood of delayed US data paints a favorable picture, investors could start to hedge their bets on a sooner than expected taper.

Hot Low Price Stocks To Own Right Now

Economics

On Monday's economic calendar, investors are expecting Chinese house prices, US existing home sales, Hong Kong's CPI, Italian industrial sales and German PPI.

Happy trading and good luck!

For a recap of Friday's market action, click here.

Tune into Benzinga's pre-market info show with Dennis Dick and Joel Elconin here.

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Around the Web, We're Loving... Learn to Use Trading Platforms Like Hedge Fund Traders do Rumsfeld: Denial of Benefits to Fallen Soldiers' Families 'Inexcusable' Come See How the Pro's Trade in this Exclusive Webinar Facebook, Baidu Lead Big Caps Beating Shutdown What Should You Know About AMZN? Most Popular SLIDESHOW: iWatch Supplier, iPad Event And More From The Third Week Of October Earnings Expectations For The Week Of October 21: The Crunch Is On Netflix Earnings Preview: Eyes On Subscriber Growth McDonald's Earnings Preview: Was The Menu Tinkering Worth It? (MCD) New Startup GroupFlix Is Netflix A La Carte Barron's Recap: Return Of The Bulls Related Articles (CLF + BZSUM) Market Primer: Monday, October 21: Delayed Payrolls Data Ignites Taper Talk Benzinga Weekly Preview: Earnings Season Continues, Delayed US Data To Hit Markets Market Primer: Friday, October 18: S&P 500 Hits Record High, Dollar Suffers UPDATE: Cowen Upgrades Cliffs Natural Resources as Potential Catalysts Take Shape UPDATE: Citigroup Raises PT on Cliffs Natural Resources on 3Q Preview, Raised Estimates Benzinga's Top Initiations View the discussion thread. Partner Network #marketfy-ae-block { display: none; border: 2px solid #0a3f75; overflow: hidden; width: 300px; height: 125px; text-align: center; background-color: #45719E; position: relative; z-index: 1; } #marketfy-ae-block a { display: block; width: 300px; height: 125px; position: relative; z-index: 2; color: #ffffff; text-decoration: none; } #marketfy-ae-block-countdown-text { color: #f9fc99; padding: 0px 0 0 0; font-size: 19px; font-weight: bold; line-height: 19px; } #marketfy-ae-block-countdown-text-start { font-size: 12px; } #marketfy-ae-block-countdown { padding: 5px 0 5px 0; font-size: 26px; } #marketfy-ae-block-signup { padding: 5px 47px; } #marketfy-ae-block-signup:hover { background-color: #457a1a; } #marketfy-ae-block #marketfy-ae-block-logo { display: block; padding: 3px 0 0 0; margin: 0; } #marketfy-ae-block-logo { text-indent: -9999px; } #marketfy-ae-block-free { display: block; position: absolute; top: 7px; right: -23px; width: 80px; height: 16px; line-height: 16px; text-align: center; opacity: 1; -webkit-transform: rotate(45deg); -moz-transform: rotate(45deg); -ms-transform: rotate(45deg); transform: rotate(45deg); font-size: 13px; font-weight: normal; color: #333333; background-color: yellow; z-index: 500; text-shadow: 1px 1px #999999; } #marketfy-ae-block-arrow { position: relative; width: 60px; height: 60px; z-index: 10; margin: -80px 0 13px -21px; } #marketfy-ae-block-arrow img { height: 60px; width: auto; } Marketfy's International
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Saturday, October 19, 2013

'Fast Money' Recap: Optimism Rules

NEW YORK (TheStreet) --The S&P 500 again closed at an all-time high as investors remain optimistic on earnings and the reopening of the U.S. government.

Google (GOOG) reported strong earnings on Thursday and the stock broke $1,000 on Friday.

Guy Adami, managing director of stockmonster.com, said the stock will likely pull back to the low-$900 level, which will offer investors a chance to buy.

Brian Kelly, founder of Brian Kelly Capital, said he doesn't think new investors should initiate a position in Google without waiting for a pullback and those that are long should look to trim their positions. Josh Brown, a financial adviser at Ritholtz Wealth Management, said the company still has a ton of growth ahead and the psychological trading behavior should allow it to run to $1,200, especially with institutions coming into the name. Adami said if he had to invest anywhere, it would be in a biotech company such as Celgene (CELG) or an energy company such as Apache (APA) or ConocoPhillips (COP). Kelly also likes energy and would invest in natural gas stocks like Apache and ConocoPhillips or in the commodity via the U.S. Natural Gas ETF (UNG). Brown said he preferred the solar sector because it is so far from reaching its full potential. Adami said Netflix (NFLX) has been doing well but it would be "suicidal" to get involved with it ahead of earnings since the stock is so volatile. Kelly said he would go with Time Warner Cable (TWC) over Netflix. Brown said Microsoft (MSFT) could surprise to the upside when it reports earnings next week, but he does not like the stock enough to be long. Kate Moore, chief investment strategist for J.P. Morgan Private Bank, was a guest on the show and said third-quarter earnings will likely not be amazing but fourth-quarter results and guidance will be more important. Moore likes the financial, technology and health care sectors. eBay (EBAY) was the first stock on the show's "Pops & Drops" segment. Brown said the stock seems good on the long side, with support near $50. FedEx (FDX) jumped 9%. Adami said the company has been doing well but suggested investors wait for a pullback to buy. American Express (AXP) popped 7%, and Kelly said he would wait for the stock to pullback before buying. For playing Amazon (AMZN) earnings, Kelly said he would sell his common stock and buy upside call options in order to book profits and reduce risk. Brown called it a "no touch" and said investors could buy Amazon if it falls after earnings. Adami said Caterpillar (CAT) could surprise to the upside when it reports earnings, and the stock looks like it could head to $90 at the moment. Boeing (BA) reports earnings on Wednesday. Brown continues to like the name because of its chart and tremendous backlog. AK Steel Holding (AKS) reports earnings on Tuesday. Kelly said that although the steel sector has been doing well lately, he would not stay long into earnings.

Brown said he wants nothing to do with Supervalu (SVU) on a trading basis. He thinks it's broken all of the major moving averages to the downside and needs to find a bottom first. Adami said he would avoid J.C. Penney (JCP) for the time being. Kelly said he would rather be in Toll Brothers (TOL) or the SPDR S&P Homebuilders ETF (XHB) instead of Zillow (Z).

For their final trades, Kelly was a buyer of natural gas and Brown was a buyer of Google. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell Follow TheStreet.com on Twitter and become a fan on Facebook.

Friday, October 18, 2013

Dow Jumps Late With Jobs Report on Deck

After dipping more than 100 points at midday, the Dow Jones Industrial Average (DJINDICES: ^DJI ) came roaring back this afternoon, finishing up 80 points to 15,040, or 0.5%, nearly 200 points above its low point for the day. There was no major news driving stocks higher this afternoon, though optimism about tomorrow's jobs report could have been one reason. The European Central Bank also kept in place its low interest rates, and left all other stimulative policies in place in a meeting today. Major European indexes, which closed before the jump in U.S. stocks, finished down 1% or more. The dollar also dropped significantly, falling 3% vs. the yen, as investors fear that a weak jobs report could lead to more stimulus.

The initial unemployment claims report was slightly better than expected, as 346,000 Americans filed for new unemployment benefits last week, 2,000 less than economists had predicted. Continuing unemployment claims were also 1% lower than expected, at 2.952 million. In tomorrow's jobs report, analysts are expecting an overall increase of 159,000 jobs, and 175,000 in the private sector. The unemployment rate is expected to remain at 7.5%. Also today, several retailers reported same-store sales for May, indicating an overall positive trend for the sector and the economy.

Verizon (NYSE: VZ ) led all Dow stocks today, gaining 3.5%, despite word from The Guardian that the National Security Agency had ordered the company to turn over private information about calls in the latest Washington scandal du jour. Still, Verizon had no choice in the matter, regardless of what critics of the program may say. It seems unlikely that that would have led to the stock's gain, but shares were down more than 10% in the last three weeks, so the telecom may just be getting a strong bump on a bullish day.

Home Depot (NYSE: HD ) was another strong performer, rising 2.9%, after Kevin Hoffman, the company's president of online sales, said at a conference today that there's opportunity for larger projects such as floor and kitchen installations in the e-commerce market. The retailer is testing programs such as video conferencing with customers, and sending them 3D models.

If you're looking for some long-term investing ideas, you're invited to check out The Motley Fool's brand-new special report, "The 3 Dow Stocks Dividend Investors Need." It's absolutely free, so simply click here now and get your copy today.

Wednesday, October 16, 2013

Best High Tech Stocks For 2014

Investors in a handful of health-care stocks are probably all smiles this week. Several stocks saw nice double-digit gains over the past five days. Here are three of the biggest winners.

Co-opting the competition
Questcor Pharmaceuticals (NASDAQ: QCOR ) ranks at the top of the list. Shares soared 27% on news that the company is acquiring a potential rival drug.

Earlier this week, Questcor announced that it's buying rights to Synacthen from Novartis (NYSE: NVS ) for $135 million plus potential milestone payments. Synacthen is a synthetic form of adrenocorticotropic hormone, or ACTH, and has been viewed as a potential threat to Questcor's Acthar gel. While Synacthen isn't yet available in the U.S., the drug sells elsewhere in the world for only a fraction of Acthar's cost.

Skeptics of Questcor's success have long maintained that the company would inevitably face competition from lower-cost alternative drugs. Questcor appears to have headed off one of those threats with this acquisition. The company says it plans to actively promote Synacthen for different indications than those for which Acthar is used and potentially some common indications where the synthetic product shows better clinical efficacy.

Best High Tech Stocks For 2014: Fire River Gold Corp. (FAU.V)

Fire River Gold Corp., an exploration stage company, engages in the acquisition, exploration, and development of mineral properties, primarily gold, silver, and base metal properties in Canada and the United States. It principally owns a 100% interest in the Nixon Fork gold mine that covers an area of 11,000 acres located to the northeast of McGrath, Alaska. The company was incorporated in 1997 and is based in Vancouver, Canada.

Best High Tech Stocks For 2014: Hercules Technology Growth Capital Inc (HTGC)

Hercules Technology Growth Capital, Inc. (HTGC), incorporated on December 18, 2003, is an internally managed, non-diversified closed-end investment company. The Company is a specialty finance company focused on providing senior secured loans to venture capital-backed companies in technology-related markets, including technology, biotechnology, life science, and clean-technology industries at all stages of development. The Company's investment objective is to maximize the Company's portfolio total return by generating current income from its debt investments and capital appreciation from its equity-related investments. The Company invests primarily in structured debt with warrants and, to a lesser extent, in senior debt and equity investments. The Company also makes investments in qualifying small businesses through two wholly-owned, small business investment company (SBIC) subsidiaries, Hercules Technology II, L.P. (HT II) and Hercules Technology III, L.P. (HT III).

The Company focuses its investments in companies active in the technology industry sub-sectors characterized by products or services that requires advanced technologies, including, but not limited to, computer software and hardware, networking systems, semiconductors, semiconductor capital equipment, information technology infrastructure or services, Internet consumer and business services, telecommunications, telecommunications equipment, renewable or alternative energy, media and life science. Within the life science sub-sector, the Company generally focuses on medical devices, bio-pharmaceutical, drug discovery, drug delivery, health care services and information systems companies. Within the clean technology sub-sector, the Company focuses on sustainable and renewable energy technologies and energy efficiency and monitoring technologies. The Company refers to all of these companies as technology-related companies and intend, under normal circumstances, to invest at least 80% of the value of its assets in such businesses. Advisors' Opinion:

[By Helix Investment Research]
Keating Capital is far from the only publicly traded pre-IPO investment company. There are several others, including GSV Capital (GSVC) and Firsthand Technology Value Fund (SVVC). Hercules Technology Growth Capital (HTGC) is also a pre-IPO fund, but with the bulk of its assets (over 92%) invested into loans to and debt of private companies, as opposed to their equity, the company's investment philosophy is different than that of these other pre-IPO funds. Unlike GSV Capital and Firsthand, Keating Capital, as a matter of policy, always purchases equity directly from portfolio companies, never from secondary markets such as SharesPost or SecondMarket. Mr. Keating outlined that this is due to the company's requirement that it be given access to all relevant financial data and managerial projections of its portfolio companies at all times, something that Mr. Keating believes is essential to being able to make informed investor decisions. We note that shares of Facebook (FB) and Twitter are conspicuously absent from Keating Capital's portfolio; the company declined to purchase shares of either company due to an inability to acquire direct financial information regarding these companies. In addition, Keating Capital has a stated goal of investing in the most senior equity securities available at each portfolio company.

Top 10 Undervalued Stocks To Own For 2014: Pluristem Therapeutics Inc.(PSTI)

Pluristem Therapeutics Inc., a bio-therapeutic company, engages in the research, development, and commercialization of standardized cell therapy products for the treatment of life threatening diseases. The company?s products are derived from human placenta, a non-controversial, non-embryonic, adult cell source. Its Placental adherent stromal cells are grown in the company's proprietary PluriX three-dimensional process that allows cells to grow in a natural environment. The company provides PLX-PAD that has completed Phase I clinical trials for people suffering from peripheral artery disease. It also offers various product candidates for diabetic foot ulcers, adjuvant hip replacement surgery, athletic injuries, inflammatory bowel disease, multiple sclerosis, neuropathic pain, ischemic stroke, adjuvant for UCB transplantation, and radiation exposure. The company was formerly known as Pluristem Life Systems Inc. and changed its name to Pluristem Therapeutics Inc. in November 2007. Pluristem Therapeutics Inc. was founded in 2001 and is headquartered in Haifa, Israel.

Advisors' Opinion:

[By John Udovich]
Stem cell stocks have not exactly been the best performers lately in part because the controversy over their use has died down over the years while major breakthroughs have been few or far between, but the industry along with small cap stem cell stocks Pluristem Therapeutics Inc (NASDAQ: PSTI), BioTime, Inc (NYSEMKT: BTX) and BioRestorative Therapies (OTCBB: BRTX) are still quietly producing their share of news or minor breakthroughs worth taking note of. Just consider the following stem cell news or news from small cap players in the sector:
[By James E. Brumley]
Traders may not want to get married for the long haul to any of them, but for speculators looking for a quick, profitable hit, Arca Biopharma Inc. (NASDAQ:ABIO), Pluristem Therapeutics Inc. (NASDAQ:PSTI), and Bacterin International Holdings Inc. (NYSEMKT:BONE) may be better-than-average bets. Here's why.

Best High Tech Stocks For 2014: William Hill(WMH.L)

William Hill PLC, together with its subsidiaries, provides gaming and betting services across online, on the high street, and on the phone channels primarily in the United Kingdom. It operates licensed betting offices (LBOs), which combine over-the-counter (OTC) sports-betting and gaming machines that enable customers to bet on sporting and other events. The company also operates williamhill.com and a series of other gaming Web sites that provide sports betting, casino games, poker, bingo, skills games, financial betting, in-play betting, and other gaming products; and call centers in Leeds and Sheffield, which offer telephone betting services, including telephone bet capture positions, SMS text betting, and live commentary services. In addition, William Hill provides on-course betting services; and owns and operates two greyhound stadia in Sunderland and Newcastle. As of June 21, 2011, it operated approximately 2,300 betting shops in Ireland and Britain. The company was f ounded in 1934 and is based in London, the United Kingdom.

Best High Tech Stocks For 2014: Breadtalk Group Limited (5DA.SI)

BreadTalk Group Limited, an investment holding company, engages in manufacturing, retailing, and franchising various food, bakery, and confectionary products. The company is involved in baking, manufacturing, and dealing in bread, flour, and biscuits; and managing and operating food courts, and operating food and drinks outlets within the food courts. It also operates food and drinks outlets, eating houses, and restaurants. As of December 31, 2011, the company operated 471 owned and franchised bakery outlets, 37 food courts, and 26 restaurants under the BreadTalk, Bread Society, Food Republic, Toast Box, RamenPlay, Din Tai Fung, The Icing Room, and Carl's Jr. brand names. It has operations in the People�s Republic of China, Singapore, Indonesia, the Philippines, Malaysia, Hong Kong, India, Jordan, Kuwait, Thailand, Korea, Bahrain, Oman, Vietnam, and Taiwan. The company was founded in 2000 and is based in Singapore.

Best High Tech Stocks For 2014: Tsakos Energy Navigation Ltd(TNP)

Tsakos Energy Navigation Limited, together with its subsidiaries, provides seaborne crude oil and petroleum product transportation services worldwide. The company offers marine transportation services for national and independent oil companies and refiners under long, medium, and short-term charters. As of August 16, 2011, its fleet consisted of 50 vessels comprising 59 tankers, including 2 dynamic positioning 2 (DP2) shuttle tankers under construction, and 1 liquefied natural gas carrier. The company was formerly known as MIF Limited and changed its name to Tsakos Energy Navigation Limited in July 2001. Tsakos Energy Navigation Limited was founded in 1993 and is based in Athens, Greece.

Advisors' Opinion:

[By Rick Munarriz]
We can start with Tsakos Energy Navigation Limited (NYSE: TNP ) . Shares of the energy transporter moved 27% higher last week after surprising the market with a quarterly profit. Business isn't great at Tsakos. Revenue dipped slightly during the period, and a profit of $0.02 a share may not turn heads. However, analysts were bracing for a loss of $0.08 a share on a sharper decline in revenue.
[By Travis Hoium]
What: Shares of energy transporter Tsakos Energy Navigation Limited (NYSE: TNP ) jumped 17% today after the company released earnings.

Best High Tech Stocks For 2014: TiVo Inc.(TIVO)

TiVo Inc., together with its subsidiaries, provides technology and services for television solutions, including digital video recorders (DVRs) and connected televisions in the United States and internationally. The company offers subscription-based TiVo service, which enhances home entertainment by providing consumers with a way to record, watch, and control live television, as well as to receive videos, pictures, and movies from cable, broadcast, and broadband sources in one interface. It also provides a platform for advertising and audience research measurement services. TiVo Inc. distributes the TiVo DVR through consumer electronics retailers and its online store at TiVo.com, as well as the TiVo service through agreements with satellite and cable television service providers; and broadcasting companies. As of January 31, 2011, it had approximately 1.5 million subscriptions to the TiVo service. The company was founded in 1997 and is headquartered in Alviso, California. Advisors' Opinion:

[By Rick Munarriz]
Google's (NASDAQ: GOOG ) finally playing nice with TiVo (NASDAQ: TIVO ) .

Shares of TiVo soared 8% yesterday after the DVR pioneer reached a settlement with Google's Motorola Mobility unit, but the stock's getting slammed this morning after the amount that it will be receiving will be far less than what was originally projected.
[By WALLSTCHEATSHEET.COM]
Analysts like the stock: 15 Buy, 1 Hold, 0 Sell. However, when profits are scarce and employees aren�� confident in the direction of the company or their leader, there is significant cause for concern. Patent settlements have helped Tivo, but experienced�investors want organic growth and consistent profits.

Best High Tech Stocks For 2014: First Bancshares Inc.(FBSI)

First Bancshares, Inc. operates as the bank holding company for the First Home Savings Bank that offers a range of community banking products and services in Missouri. It primarily engages in generating deposits and originating loans. The company?s deposit products include negotiable order of withdrawal accounts, money market accounts, regular savings accounts, certificates of deposit, and retirement savings plans. Its loan portfolio comprises real estate loans, such as residential mortgage, commercial real estate, land, and second mortgage loans; consumer loans, including automobile, recreational vehicles, mobile home, savings account, and various other consumer loans; and commercial business loans. As of February 14, 2012, the company operated from its home office in Mountain Grove and 10 full service offices in Marshfield, Ava, Gainesville, Sparta, Springfield, Theodosia, Crane, Galena, Kissee Mills, and Rockaway Beach, Missouri. First Bancshares, Inc. was founded in 1 911 and is based in Mountain Grove, Missouri.

Tuesday, October 15, 2013

Top 5 Insurance Stocks To Buy For 2014

The U.S. retirement system of Social Security supplemented by private retirement savings is often thought to be in crisis, because of questions about the solvency of the former and the adequacy of the latter.

But the U.S. approach is not the only way — Australia and Chile, for example, have high mandatory contribution rates of 9% and 10%, respectively. And while these alternate approaches may seem remote and exotic, a piece of legislation gaining traction in the largest U.S. state may move the U.S. significantly in that direction.

The California Secure Choice Retirement Savings Program, introduced by State Sen. Kevin de Leon, D-Los Angeles, seeks to provide a pension for workers at firms that do not have 401(k) plans but have at least five employees.

The program would deduct 3% of their pay and then, cutting out the financial services industry, invest the funds of these millions of workers in a state-administered investment pool that would guarantee a modest 3% return. The accounts would be underwritten by insurance companies so as to avoid taxpayer risk and upon retirement, workers would receive a pension annuity.

Top 5 Insurance Stocks To Buy For 2014: Iamgold Corporation(IAG)

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

Advisors' Opinion:

[By Namitha Jagadeesh]
HSBC Holdings Plc (HSBA), Europe�� largest bank, slid 2.1 percent. International Consolidated Airlines Group SA (IAG) declined 2 percent as it canceled some of its flights following a disruption caused by one of its planes at Heathrow airport. Next Plc (NXT) retreated 2.4 percent as Morgan Stanley cut its recommendation on the shares.
[By Matt DiLallo]
IAMGOLD (NYSE: IAG )
Canadian gold miner IAMGOLD pays a semiannual dividend of $0.125 per share, which equates to a current yield of about 4.45%. As the company's name would imply, its revenues are generated by its gold-mining operations. Currently, the company has six gold mines across three continents as well as several potential projects in the works. The company's current priorities given the slumping gold market include cash preservation, cost reduction, and disciplined capital allocation. While the dividend looks safe for now, given the company's stated policy of not jeopardizing is strong balance sheet, it could be reduced if gold prices fall further. �
[By Inyoung Hwang]
Royal Bank of Scotland Group Plc sank 3.3 percent after reporting results and naming the head of its U.K. consumer unit as chief executive officer. William Hill Plc (WMH) dropped the most in four years after the bookmaker posted earnings that missed analysts��projections. International Consolidated Airlines Group SA (IAG) rose to a five-year high as the parent of British Airways reported an operating profit in the second quarter.

Top 5 Insurance Stocks To Buy For 2014: Citizens Inc (CIA)

Citizens, Inc. (Citizens), incorporated on November 8, 1977, is an insurance holding company serving the life insurance needs of individuals in the United States. The Company operates in three segments: Life Insurance, Home Service and Other Non-insurance Enterprises. Its core insurance operations include issuing and servicing the United States Dollar-denominated ordinary whole life insurance and endowment policies predominantly to high net worth, high income foreign residents, principally in Latin America and the Pacific Rim, through independent marketing consultants; ordinary whole life insurance policies to middle income households concentrated in the midwest and southern United States through independent marketing consultants, and final expense and limited liability property policies to middle and lower income households in Louisiana, Arkansas, and Mississippi through employee and independent agents in its home service distribution channel.

Life Insurance

The Company�� Life Insurance segment issues ordinary whole life insurance domestically and in United States Dollar-denominated amounts to foreign residents. These contracts are designed to provide a fixed amount of insurance coverage over the life of the insured. Additionally, endowment contracts are issued by the Company, which are principally accumulation contracts that incorporate an element of life insurance protection. The Company operates the segment through its subsidiaries: CICA Life Insurance Company of America (CICA) and Citizens National Life Insurance Company (CNLIC).

The Company offers several ordinary whole life insurance and endowment products designed to meet the needs of its non-United States policy owners. Its domestic life insurance products focus primarily on living needs and provide benefits focused toward accumulating money for the policyowner. The Company�� life insurance products are principally designed to address the insured�� concern about outliving his or her monthly income,! while at the same time providing death benefits. The primary purpose of its product portfolio is to help the insured create capital for needs, such as retirement income, children's higher education funds, business opportunities, emergencies and health care needs.

Home Service Insurance

The Company operates in the Home Service market through its subsidiaries Security Plan Life Insurance Company (SPLIC) and Security Plan Fire Insurance Company (SPFIC), and focus on the life insurance needs of the middle and lower income markets, primarily in Louisiana, Mississippi and Arkansas. Its home service insurance products consist primarily of small face amount ordinary whole life and pre-need policies, which are designed to fund final expenses for the insured, primarily consisting of funeral and burial costs.

Other Non-Insurance Enterprises

Other Non-insurance Enterprises includes Computing Technology, Inc., which provides data processing services to the Company, and Insurance Investors, Inc., which provides aviation transportation to the Company. This segment also includes the results of Citizens, Inc., the parent Company.

Best Insurance Companies To Buy For 2014: The Travelers Companies Inc.(TRV)

The Travelers Companies, Inc., through its subsidiaries, provides various commercial and personal property and casualty insurance products and services to businesses, government units, associations, and individuals primarily in the United States. The company operates in three segments: Business Insurance; Financial, Professional, and International Insurance; and Personal Insurance. The Business Insurance segment offers property and casualty products and services, such as commercial multi-peril, property, general liability, commercial auto, and workers? compensation insurance. It operates in six groups: Select Accounts, which serves small businesses; Commercial Accounts that serves mid-sized businesses; National Accounts, which serves large companies; Industry-Focused Underwriting that serves targeted industries; Target Risk Underwriting, which serves commercial businesses requiring specialized product underwriting, claims handling, and risk management services; and Special ized Distribution that offers products to customers through licensed wholesale, general, and program agents. The Financial, Professional, and International Insurance segment provides surety and financial liability coverage, which uses a credit-based underwriting process; and property and casualty products primarily in the United States., the United Kingdom, Ireland, and Canada. The Personal Insurance segment offers property and casualty insurance covering personal risks, primarily automobile and homeowners insurance to individuals. It distributes its products through independent agents, sponsoring organizations, joint marketing arrangements with other insurers, and direct marketing. The company was founded in 1853 and is based in New York, New York.

Advisors' Opinion:

[By Matt Thalman]
This past week, in contrast, IBM lost 3.74%. That's still a large decline, but it represents only about 57 points of the Dow's 270-point loss. This time around, AT&T (NYSE: T ) was the index's largest decliner, losing 4.47% this past week, but the stock represents only about 1.4% of the Dow, so it didn't play a major role in tanking the index. The next largest decliner, at 4.13%, was Travelers (NYSE: TRV ) -- which, besides AT&T, was the only other component to lose more than 4% of its value. But, while Travelers' weight is substantially larger than AT&T, it still makes up only 4.1% of the index, ranking it as the 10th heaviest component.
[By Travis Hoium]
Travelers (NYSE: TRV ) is up 2.1% after its first-quarter net income rose 11% to $896 million. On a per-share basis, that's $2.33 -- well above the $2.02 average estimate from analysts. The company is increasing premiums on customers to offset more frequent natural disasters and low interest rates, and the effects are now showing up on the bottom line. It doesn't hurt that catastrophe costs -- a figure that can turn at the drop of a hat -- were down 45% to $65 million this quarter. Overall, Travelers' strategy is working, and investors are buying the strong quarter today.�

Top 5 Insurance Stocks To Buy For 2014: Principal Financial Group Inc(PFG)

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

Top 5 Insurance Stocks To Buy For 2014: MGIC Investment Corp (MTG)

MGIC Investment Corporation (MGIC), incorporated June 21, 1984, is a holding company and through wholly owned subsidiaries is a private mortgage insurer in the United States. As of December 31, 2012, its principal mortgage insurance subsidiaries, Mortgage Guaranty Insurance Corporation (MGIC) and MGIC Indemnity Corporation (MIC), were each licensed in all 50 states of the United States, the District of Columbia and Puerto Rico. During the year ending December 31, 2012, the Company wrote new insurance in each of those jurisdictions in MGIC and/or MIC. The Company capitalized MIC to write new insurance in certain jurisdictions where MGIC no longer meets, and is unable to obtain a waiver of, those jurisdictions��minimum capital requirements. Private mortgage insurance covers losses from homeowner defaults on residential mortgage loans, reducing and, in some instances, eliminating the loss to the insured institution if the homeowner defaults.

Mortgage Insurance

Primary insurance provides mortgage default protection on individual loans and covers unpaid loan principal, delinquent interest and certain expenses associated with the default and subsequent foreclosure. Primary insurance is written on first mortgage loans secured by owner occupied single-family homes, which are one-to-four family homes and condominiums. Primary insurance is also written on first liens secured by non-owner occupied single-family homes, which are referred to in the home mortgage lending industry as investor loans, and on vacation or second homes. Primary coverage can be used on any type of residential mortgage loan instrument approved by the mortgage insurer.

When a borrower refinances a mortgage loan insured by the Company by paying it off in full with the proceeds of a new mortgage that is also insured by it, the insurance on that existing mortgage is cancelled, and insurance on the new mortgage is considered to be new primary insurance written. Therefore, continuation of its coverage fr! om a refinanced loan to a new loan results in both a cancellation of insurance and new insurance written. When a lender and borrower modify a loan rather than replace it with a new one, or enter into a new loan pursuant to a loan modification program, its insurance continues without being cancelled assuming that the Company consent to the modification or new loan.

The borrower�� mortgage loan instrument requires the borrower to pay the mortgage insurance premium. There are several payment plans available to the borrower, or lender, as the case may be. Under the monthly premium plan, the borrower or lender pays it a monthly premium payment to provide only one month of coverage. Under the annual premium plan, an annual premium is paid to it in advance, and it earns and recognizes the premium over the next 12 months of coverage, with annual renewal premiums paid in advance thereafter and earned over the subsequent 12 months of coverage. Under the single premium plan, the borrower or lender pays it a single payment covering a specified term exceeding twelve months.

Pool insurance is used as an additional credit enhancement for certain secondary market mortgage transactions. Pool insurance covers the excess of the loss on a defaulted mortgage loan which exceeds the claim payment under the primary coverage, if primary insurance is required on that mortgage loan, as well as the total loss on a defaulted mortgage loan which did not require primary insurance. Pool insurance is used as an additional credit enhancement for certain secondary market mortgage transactions. Pool insurance covers the excess of the loss on a defaulted mortgage loan, which exceeds the claim payment under the primary coverage, if primary insurance is required on that mortgage loan, as well as the total loss on a defaulted mortgage loan which did not require primary insurance. In general, the loans insured by it in Wall Street bulk transactions consisted of loans with reduced underwriting documentation; cash out! refinanc! es, which exceed the standard underwriting requirements of the Federal National Mortgage Association (Fannie Mae) and Federal Home Loan Mortgage Corporation (Freddie Mac) (collectively GSEs); A- loans; subprime loans, and jumbo loans.

Other Products and Services

The Company has participated in risk sharing arrangements with the GSEs and captive mortgage reinsurance arrangements with subsidiaries of certain mortgage lenders, which reinsure a portion of the risk on loans originated or serviced by the lenders, which have MGIC primary insurance. It provides information regarding captive mortgage reinsurance arrangements to the New York Department of Insurance (known as the New York Department of Financial Services), the Minnesota Department of Commerce and the Department of Housing and Urban Development, (HUD). It performs contract underwriting services for lenders, in which it judges whether the data relating to the borrower and the loan contained in the lender�� mortgage loan application file comply with the lender�� loan underwriting guidelines. It also provides an interface to submit data to the automated underwriting systems of the GSEs, which independently judge the data. These services are provided for loans, which require private mortgage insurance, as well as for loans that do not require private mortgage insurance. It provides mortgage services for the mortgage finance industry, such as portfolio retention and secondary marketing of mortgages.

The Company competes with Federal Housing Administration, Veterans Administration, PMI Mortgage Insurance Company, Genworth Mortgage Insurance Corporation, United Guaranty Residential Insurance Company, Radian Guaranty Inc., CMG Mortgage Insurance Company, and Essent Guaranty, Inc.

Advisors' Opinion:

[By Dan Caplinger]
Genworth's results are consistent with the gains that its mortgage-insurance peers have experienced. Both Radian Group (NYSE: RDN ) and MGIC Investment (NYSE: MTG ) have posted impressive gains that have attracted the attention of hedge-fund investors seeking to capitalize on the strengthening housing market. Yet in the long run, the question that faces the entire industry is whether lenders will even want to make mortgage loans with inadequate down payments that require mortgage insurance in the first place. Some would argue that tighter lending standards would make mortgage insurance unnecessary, while others note that lenders might choose to demand insurance beyond the current standards of roughly 20% to 25% home equity that have historically triggered the contractual need for purchase-money insurance in mortgage contracts.
[By James E. Brumley]
Never let it be said I didn't follow up on my prior ideas and commentaries. In November of last year I said MGIC Investment Corp. (NYSE:MTG), Radian Group Inc. (NYSE:RDN), and Genworth Financial Inc. (NYSE:GNW) were budding bullish idea.

For those of you with good memories, you'll likely know why that sounds a little bit "off." Though GNW, MTG, and RDN had all three been quite bullish that particular day as well as flashed bursts of bullishness in the days leading up to that November 1st look, the market was still more than a little pessimistic on on insurers like Radian Group, MGIC Investment, and Genworth Financial. I'm sure glad I was willing to go out on a limb. All three stocks have gone on to make big - and surprising - gains.

So do I come here to pound my chest on RDN, GNW, and MTG? Nope - not at all. I'm chiming in again today to let you know if you got in on my advice, it's now time to lock in those gains and get out.

Just so there's no confusion, I don't see any particular overbearing problems hanging over the industry's head. It's just that these stocks have outlived their usefulness and opportunity for us.

Take MGIC Investment Corp. for instance. MTG has advances 340% since then, yet still isn't profitable on a net trailing basis. Positive earnings are sill in the cards. But, priced at 27.6 times 2014's projected income, the value argument is gone, as well as the technical one.

Ditto for Genworth Financial and Radian Group Inc. Both stocks have posted huge gains over the past ten months, and while their forward-looking ratios are more attractive, after a 118% and 200% runup, respectively - given the back stories and timing - you have to believe the best-case scenario has already been priced into RDN and GNW shares.

Just for the record, I would be more than willing to buy back into any and all of these names once we get a healthy pullback and start to see decent evidence of a bullish reversal. While we
[By Zachary Tracer]
Investors have poured cash into mortgage insurance this year as home prices rise, pushing up shares of MGIC Investment Corp. (MTG) and Radian Group Inc. (RDN) by more than 100 percent, and buying their notes in offerings. Essent Group Ltd. (ESNT), a mortgage guarantor funded amid the financial crisis by Goldman Sachs Group Inc. and billionaire George Soros, filed last month for an IPO. The companies cover losses when homeowners default and foreclosures fail to recoup costs.
[By Dan Caplinger]
MGIC Investment (NYSE: MTG ) will release its quarterly report next Tuesday, but investors haven't waited for that report to send the stock to two-year highs. As the housing market has improved, the mortgage-insurance company's prospects have followed suit, but the slow recovery in MGIC earnings are now vulnerable to a potential drop in premium revenue if rising interest rates hurt new mortgage activity.