Thursday, October 31, 2013

European Stocks Are Little Changed as Volkswagen Advances

European stocks were little changed at a one-week high as companies from Eni SpA (ENI) to Volkswagen AG posted profit that exceeded estimates, while a gauge of telecommunications companies retreated.

Eni, Italy's biggest oil company, climbed 1.3 percent. Volkswagen posted its biggest gain in 15 months as Europe's largest carmaker said cost cutting contributed to higher earnings. TomTom NV added 3.4 percent after the Dutch maker of navigation systems raised its forecast for 2013. Belgacom SA dropped 5.3 percent as a competitor cut the price of its mobile-phone plans.

The Stoxx Europe 600 Index added less than 0.1 percent to 320.8 at the close of trading, after earlier climbing as much as 0.7 percent. The equity benchmark has advanced 3.3 percent this month as U.S. lawmakers agreed to lift the federal debt ceiling and investors speculated that a worse-than-forecast payrolls report would delay a reduction in the Fed's bond-buying program.

"Investors are pricing in an earnings recovery for 2014," said Francois Savary, who oversees about $9.5 billion as chief investment officer at Reyl & Cie. in Geneva. "People are buying European equities because of future expectations. Still, if there is no recovery in the U.S. and the economy continues to lose momentum, don't expect a revival in Europe any time soon. This could be dangerous."

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U.S. companies added 130,000 workers in October, fewer than the 150,000 median projection in a Bloomberg survey of economists, according to a report from the ADP Research Institute today. That was the lowest reading since April. Businesses hired a net 145,000 people in September.

Fed Meeting

The Federal Open Market Committee meets for a second day to discuss monetary policy. The 16-day shutdown of the U.S. government earlier this month will reduce economic growth by 0.3 percentage points this quarter at an annual rate, according to a Bloomberg News survey of economists. The central bank will probably delay lowering its $85 billion in monthly bond purchases until March 2014, economists forecast in the survey. The Fed announces its decision after European markets close.

National benchmark indexes dropped in nine of the 18 Western-European markets. The U.K's FTSE 100 rose less than 0.1 percent, while France's CAC 40 and Germany's DAX Index dropped 0.1 percent.

Eni rose 1.3 percent to 18.35 euros after the Italian oil producer posted adjusted net income of 1.17 billion euros ($1.6 billion) for the third quarter, more than the 998 million euros that analysts had predicted for the period.

Volkswagen Rallies

Volkswagen gained 5 percent to 183.50 euros after posting quarterly earnings before interest and taxes that jumped 20 percent to 2.78 billion euros. That exceeded the average analyst estimate of 2.72 billion euros.

TomTom advanced 3.4 percent to 6.10 euros. The company forecast adjusted earnings of 25 euro cents a share this year. It had projected 20 euro cents apiece. TomTom also said that this year's sales will approach the upper end of its 900 million euros to 950 million euros range.

Orkla ASA rallied 4.9 percent to 48.45 kroner. Operating profit for the Orkla Foods business rose to 364 million kroner ($62 million) in the period from 312 million kroner in 2012.

Belgacom declined 5.3 percent to 20.51 euros. Telenet Group Holding NV, which competes with Belgacom in Belgium, cut its prices for mobile-phone tariffs. A gauge of telecommunications stocks fell 0.8 percent for the second-worst performance among 19 industry groups on the Stoxx 600.

Standard Life

Standard Life Plc slipped 4 percent to 354.5 pence after reporting that its asset-management business received net inflows of 1.2 billion pounds in the three months through September, less than half the 2.6 billion pounds that it reported during the same period last year.

Fiat SpA (F) fell 2.2 percent to 5.70 euros, its lowest price since July. The Italian carmaker lowered its forecast for trading profit this year to 3.5 billion euros to 3.8 billion euros. It had projected earnings on that measure of as much as 4.5 billion euros. The company also posted third-quarter profit in Latin America that tumbled 52 percent to 165 million euros.

Pearson Plc declined 3.6 percent to 1,316 pence after forecasting that the margins for its education unit will drop in 2013 because of weaker demand for college textbooks. The publisher had forecast in July that the margins would be similar to those in 2012.

Viscofan SA sank 7.7 percent to 39.51 euros, its biggest drop since January 2008, after the Spanish maker of sausage casings said it will probably miss its targets for 2013 because of weak currencies. The company in July predicted net income of 107 million euros to 108 million euros and earnings before interest, taxes, depreciation and amortization of as much as 195 million euros for this year.

Piraeus Bank SA slid 9.8 percent to 1.48 euros after Banco Comercial Portugues SA sold 235 million shares in the Greek lender for 1.50 euros apiece. The Portuguese bank also sold the same number of warrants at 60 euro cents each.

Monday, October 28, 2013

Expedia Inc (EXPE): How Q3 Earnings Will Fare?

Expedia, Inc. (NASDAQ: EXPE) will report its third quarter results on Oct. 30, 2013 via an earnings release and accompanying webcast. The earnings release will post after market close and the webcast will begin at 1:30 PM Pacific Daylight Time / 4:30 PM Eastern Daylight Time.

Expedia is the largest online travel company in the world, with an extensive brand portfolio that includes some of the world's leading online travel brands, including Expedia.com, Hotels.com, and Hotwire.

Wall Street expects Expedia to post earnings of to earn $1.35 a share, according to analysts polled by Thomson Reuters. The consensus estimate implies 2.3 percent growth from $1.32 cents it earned last year.

Expedia's earnings have topped Street view twice in the past four quarters. The consensus estimate has decreased by 2 cents in the past 90 days. In the past one month, one analyst has cut their view.

Quarterly revenue is expected to increase 14.6 percent to $1.37 billion from $1.20 billion in the same quarter last year.

The key metrics would be gross bookings and average room rates. The company could see more growth in international versus domestic. For the second quarter, gross bookings increased 13 percent. Average daily room rates and average airfares were essentially flat year-over-year. Domestic bookings increased 7 percent while international bookings rose 23 percent.

"We expect Expedia to produce gross bookings of $10.2b (13% YoY growth), driven by international bookings growth of 24% and domestic bookings growth of just 5%," UBS analyst Eric Sheridan said in a client note.

Increased online and offline marketing spend, investment behind trivago and eLong, and an ongoing mix shift to lower margin regions would key drivers of growth. There might be incremental technology-related spend being directed toward the Expedia Traveler Preference Program (ETP) as new hotels come onto the platform.

According to comScore, total online travel spend was up 8.5 percent in the seco! nd quarter 2013 versus tracking up about 11 percent in the third quarter 2013, based on monthly average growth rates for the first two months of the quarter.

From July to August, worldwide comScore desktop data for Expedia showed a 27 percent rise in unique visitors, 2.8 percent increase in total minutes, and a 15.1 percent decrease in total page views

As for Expedia's mobile platform, comScore US mobile data suggests a 47.6 percent increase in unique mobile visitors (iPhone and Android) and a 48.4 percent rise in total mobile minutes.

"We expect hotel bookings to grow 17% (driven by 17% room night growth) and airline bookings to grow 6% (on 1% ticket growth)," Sheridan noted.

Investors will look at how the Trivago investment is contributing to the bottom line as the management has indicated that Trivago to contribute positively to EBITDA in the back half of the year.

In August, Expedia announced an agreement with Travelocity. With Booking.com making a marketing-led push into the US market, potential share losses in Expedia's core domestic market have been a key concern for investors. This deal should help Expedia in addressing these concerns and investors would be hoping for additional color on this topic.

The Street will focus on updates over ETP program and its traction internationally and any incremental observations related to TripAdvisor's meta-display transition / competitive behavior within the bidding platform.

Bellevue, Washington-based Expedia's second-quarter profit dropped to $71.5 million or $0.51 per share from $105.2 million or 76 cents a share last year. Excluding items, adjusted profit for the quarter dropped to 64 cents a share, missing the consensus earnings estimate of 79 cents.

Second-quarter revenues quarter rose 16 percent to $1.21 billion. Analysts polled by Thomson Reuters had a consensus revenue estimate of $1.26 billion for the quarter.

Expedia has demonstrated mixed performance after its last two third quarter earnings an! nouncemen! ts, increasing 15 percent and decreasing 6 percent, respectively. The stock, which trades 14 times its 2014 consensus earnings estimate, has unperformed the market by 35 percent on a year-to-date basis.

Sunday, October 27, 2013

Why Zynga Shares Folded

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Zynga (NASDAQ: ZNGA  ) plummeted 18% today after the social gaming specialist issued a disappointing outlook and said that it is abandoning plans to enter the U.S. online-gambling business.

So what: The stock has surged in 2013 on optimism over its online betting prospects, so today's announcement to scrap the U.S. gambling license -- coupled with downbeat guidance for the rest of the year -- is forcing Mr. Market to quickly sober up. And while Zynga's second-quarter loss narrowed to $15.8 million, versus $22.8 million in the year-ago period, an alarming 40% drop in its monthly average users suggests that its popularity and competitive strength continues to rapidly diminish.

Now what: Management now sees an adjusted third-quarter loss of $0.05-$0.09 on revenue of $175 million-$200 million, versus Wall Street's view of a $0.02 loss and sales of $216.2 million. "[W]e need to get back to basics and take a longer term view on our products and business, develop more efficient processes and tighten up execution all across the company," said CEO Don Mattrick. "We have a lot of hard work in front of us and as we reset, we expect to see more volatility in our business than we would like over the next two to four quarters." Given the huge uncertainty surrounding Zynga's short and long-term prospects, conservative Fools might want to keep watching from the sidelines.

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Saturday, October 26, 2013

3 Signs to Watch With This Recovering Tech Giant

It's no secret that Microsoft (NASDAQ: MSFT  ) has been struggling to break into the booming mobile space. Its Surface? A flop. Windows Phone? Not selling. However, in an effort to remedy its mobile malaise, CEO Steve Ballmer recently enacted the most significant reorganization the company has seen in some time. However, with its long history of poor performance, this strategy remains somewhat suspect to many longtime tech observers. Thankfully, investors should see soon enough whether or not Microsoft is up to the task. In this video, Fool contributor Andrew Tonner breaks down three specific products investors should watch to see if this tech giant's finally turned a corner.

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Thursday, October 24, 2013

UnitedHealth Exec To Run Embattled British National Health Service

An executive at UnitedHealth (UNH) will run the National Health Service in England, effective in April of next year, UnitedHealth and British health officials confirmed this morning.

Simon Stevens, UnitedHealth's president of global health, who previously worked in England under former Prime Minister Tony Blair, will return to run to his native homeland to run NHS effective April 1, 2014. He replaces the controversial Sir David Nicholson.

In an interview last December at the 2012 Forbes Healthcare Summit, Stevens said the cost of medical care can be reduced by 18 percent without harming quality. He was among a key group of UnitedHealth executives rapidly moving the insurer toward transparency and away from paying doctors and hospitals on a fee-for-service basis.

His efforts come with NHS under severe "spending pressures" according to British health officials. His predecessor has been described as the "man with no shame" due to a string of scandals that include reports that doctors and nurses were afraid to speak up about poor care, according to reports this morning in the British press. 

"The next five years are going to be extremely challenging for the NHS, but compassionate high quality care for all is as vital as ever," Stevens said in a statement provided by NHS.

Stevens's supporters said he was up to the task.

From former Obama administration health administrator Dr. Donald Berwick described Stevens as bringing a "unique combination of skills and experiences, with a worldwide perspective, in executive and political leadership, health care delivery reform, financial stewardship, and quality improvement, and, above all, he has a deep and abiding commitment to excellence in the care of patients and families."

"The challenges the NHS faces today are large, as they are in many nations, but much larger is the potential for the NHS to be a model for the world for the pursuit of health care's 'triple aim': better care for all individuals, better health for populations, and lower cost through continual improvement," said Dr. Berwick, a former administrator of the Centers for Medicare & Medicaid Services, who is running for governor of Massachusetts. "Simon is superbly equipped to help the NHS realize that potential."

UnitedHealth is among several U.S.-based insurers moving to approaches that include bundled payments as well as aggressively negotiating contracts with doctor practices that operate "patient-centered medical homes" as well as so-called accountable care organizations (ACOs), a rapidly emerging health care delivery system that rewards doctors and hospitals for working together to improve quality and rein in costs.

Tuesday, October 22, 2013

Microsoft Stock Still Has Problems

Mr. Softy is buzzing these days. Microsoft (NASDAQ: MSFT  ) stock hit a new five-year high earlier this month, and it moved higher this past week on positive developments with its Windows 8.1 update for its flagship operating system.

However, we can't kid ourselves. Microsoft still has a lot of problems. We were reminded on Friday, when Morgan Stanley analyst Katy Huberty slashed her forecast for the PC market this year. She now sees a 10% decline in PC units shipping this quarter, revised lower from her earlier prediction of a mere 5% decline. 

Yes, she did consider the generally well-received Windows 8 update from earlier in the week. Folks just aren't buying desktops and laptops the way they used to, and that shines a brighter light on Microsoft's shortcomings in the areas that are growing.

Tablets and smartphones are the computing gadgets that are growing these days, and Microsoft trails Apple's (NASDAQ: AAPL  ) iOS and Google's (NASDAQ: GOOG  ) Android badly on both fronts. 

Being a distant bronze medalist isn't fun. It has to shell out payments to hardware makers to support its devices the way it does with Nokia (NYSE: NOK  ) to get its Lumia phones out there. It has to create financial incentives to get developers of the more popular iOS and Android apps to commit to Windows versions of the programs. 

Even an area where Microsoft's lead seemed safe in this country -- video games via its Xbox 360 -- is now in question, after some poorly received restrictive features found gamers shifting their support to rival consoles. Microsoft's eventual about-face on that front was the right call, but it still will have to win back the trust of gamers this holiday shopping season.

Microsoft is growing despite all of the headwinds. Analysts see revenue growing 7% in the fiscal year that ends this weekend, and those same pros are targeting 8% top-line growth through the next 12 months. However, these are uneasy growth targets, as so many of the areas where Microsoft dominated have never been this susceptible to disrupting.

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Microsoft stock keeps inching higher through the uncertainties. Apple -- despite being far ahead of Microsoft in the smartphone and tablet markets that are still growing -- is trading 44% below last year's highs.

Apple isn't perfect, naturally, but should both stocks be trading for 11 times forward earnings? Google is fetching a loftier 16 times next year's earnings, but it's the top dog in mobile operating systems. Big G is also growing considerably faster than Microsoft.

Don't confuse Microsoft's buoyant share price with fundamentals that are certainly not the best we've seen at the company in the past five years.

Microsoft has problems. Microsoft stock just isn't priced that way.

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Monday, October 21, 2013

Stocks waver after record run

SP 12

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NEW YORK (CNNMoney) After last week's big rally, investors were taking a more cautious approach Monday as they look for clarity about the economy and corporate earnings.

The S&P 500 pulled back a bit, after opening at a record high. The Dow Jones industrial average was also off a few points, while the Nasdaq held modest gains.

Investors jumped back into the market last week after the U.S. government reopened and lawmakers ended a budget showdown that threatened the nation's credit rating.

But the tone was more muted Monday as investors asses the economic damage caused by the shutdown and weigh the outlook for corporate earnings.

"The market will be looking for an excuse" to pull back by 1% or 2%, said Peter Cardillo, chief economist at Rockwell Global Capital. That excuse, he said, might be the September jobs report, which will be released Tuesday after being delayed by the partial government shutdown.

McDonald's (MCD, Fortune 500) shares fell after the fast food chain reported earnings that met expectations, but global sales growth was tepid . Halliburt (HAL, Fortune 500)on shares fell after the oil field services company's earnings met expectations.

AT&T (T, Fortune 500) shares gained after the company announced over the weekend that it had inked a $4.8 billion lease deal with Crown Castle International Corp (CCI).

Investors not lovin' Mcdonald's   Investors not lovin' Mcdonald's

Who's watching Netflix? Netflix (NFLX) is among the companies slated to release quarterly results after the market closes.

"$NFLX up more than 3% this morning on volume 3X average : is it a clue about the earnings that will be announced this evening?" asked StockTwits user JeanPaul.

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At least one trader thinks the provider of online TV and movie rentals could announce plans to ramp up its original content.

"Wouldn't be surprised to see $NFLX raise a little cash to finance more in house productions," said danconway.

Given the h! igh expectations, some traders were bracing for a volatile reaction if the company fails to deliver.

"$NFLX It's like a lot of good news is getting priced in. So if earnings doesn't blow the street away, it may not go a ton higher tomorrow," said tangsting.

Keeping tabs on JPMorgan. Shares of JPMorgan Chase (JPM, Fortune 500) rose following news over the weekend that the bank and the Department of Justice have tentatively agreed to a $13 billion civil settlement to resolve several investigations into the bank's mortgage securities business.

Despite the record fine, the settlement would be a positive for the stock since it means JPMorgan can finally move beyond its legal woes, according to analysts at Biard Equity Research.

Tomorrow is iPad day. Apple (AAPL, Fortune 500) shares were up 2% one day before the company is expected to reveal its first revamped iPad in a year. Apple, which reports earnings next week, was also upgraded to "Buy" by analysts at Societe Generale.

"$AAPL Triple whammy of positives. 1) just crossed 513 2) iPad event with possible CHL deal 3) ER next week. Good buy right here IMO," wrote mjhtradepro.

On the economic front, the National Association of Realtors said existing home sales fell 1.9% in September. The group said rising interest rates and the fallout from the government shutdown will weigh on the housing market in the months ahead. To top of page

Sunday, October 20, 2013

These Dow Stocks Are Up in Advance of the Fed's Statement

The Dow Jones Industrial Average (DJINDICES: ^DJI  ) is down slightly as the market eagerly awaits the 2 p.m. EDT release of the Federal Reserve Open Market Committee's statement, followed by the 2:30 p.m. EDT press conference with Fed Chairman Ben Bernanke. As of 1:15 p.m. EDT the Dow is down 21 points, or 0.13%, to 15,298. The S&P 500 (SNPINDEX: ^GSPC  ) is down 0.14% to 1,649.

There were no U.S. economic releases today, so the market is focused solely on the Fed's statement. To review, as part of its quantitative-easing program, the Federal Reserve is purchasing $85 billion worth of long-term assets each month -- $45 billion in long-term Treasuries and $40 billion in mortgage-backed securities. This is an effort to keep rates down and the economy chugging along.

Investors have begun to worry about when and how the Fed will wind down its quantitative-easing program. Bernanke has made a big effort to communicate the Fed's thinking so as to not to surprise investors. In its previous statements, the Federal Reserve has said it will keep the purchases going until unemployment falls to 6.5%, inflation rises past the Fed's target range of 2% to 2.5%, or long-term inflation expectations take off.

Right now we're not close to any of the Fed's targets, with unemployment at 7.6%, inflation below 2%, and long-term inflation expectations at 2% (as per the TIPS Spread -- the difference between the yields on Treasury Inflation Protection Securities and the nominal U.S. Treasury bond yield). Still, investors are worried. While the Dow has not really reflected it, the bond markets have fallen since May: 10-year Treasury yields have risen from 1.6% to roughly 2.2% now.

10 Year Treasury Rate Chart

10 Year Treasury Rate data by YCharts.

So what will the Fed say, and how will the markets react? I don't know, and anyone who claims to know is lying. You can make educated guesses, but they're just that -- guesses. While thousands of people closely monitor the Fed and all its members, surprises are bound to happen. However, as the Fed has been clear on its stance so far, your investment strategy should not be predicated upon small changes in the Fed's statements. If it is, your outlook is too short-term for successful investing.

Despite the uncertainty surrounding the upcoming Fed statement, some Dow stocks are making decent gains. Among today's leading Dow stocks is Hewlett-Packard (NYSE: HPQ  ) , up 0.9%. Earlier today, HP hit a new 52-week high of $25.87. The company has been on a tear this year, up 81% year to date as it continues its slow turnaround under the guidance of CEO Meg Whitman. Signs of this were seen yesterday when HP announced that it would replace the head of its printing and PC business with Dion Weisler, who was hired last year from Lenovo. The PC business has been struggling this year; in the first quarter, worldwide PC sales saw their worst drop in history, down 14%.

The massive wave of mobile computing has done much to unseat the major players in the PC market, including venerable technology names like Hewlett-Packard. However, HP is rapidly shifting its strategy under Whitman's leadership. But does this make HP one of the least-appreciated turnaround stories on the market, or is this a minor detour on its road to irrelevance? The Motley Fool's technology analyst details exactly what investors need to know about HP in our new premium research report. Just click here now to get your copy today.

And leading the Dow this afternoon is Coca-Cola (NYSE: KO  ) , up 1%. This morning Credit Suisse analysts initiated coverage on Coca-Cola, saying the company has "the potential to generate returns in excess of the peer group over the next two to three years." The ratings agency continued, "We see upside to 2013/14 EPS estimates based on optionality in key markets in Asia and the U.S., and we also expect margins and ROIC to improve."

Speaking of Asia, today Coca-Cola announced a reshuffling of its management for its Pacific operations. The current chief executive for India and Southwest Asia, Atul Singh, will become deputy president for the Pacific. Coke has been focused on growing its business in emerging markets, especially India and China. Investors can take comfort in Coke's business model, knowing that no matter what the Fed announces, people around the world will continue to drink Coke for decades to come.

Saturday, October 19, 2013

What to Do During Medicare Open Enrollment

Social Security card and Medicare enrollment form; Shutterstock ID 115761634; PO: DF-112612-gallery bill; billing; card; claim;Shutterstock A. You will automatically keep your Part D coverage if you don't make any changes to it during open enrollment, which runs from Oct. 15 to Dec. 7 for 2014 plans. But it's a good idea to shop around again for Medicare Part D prescription-drug plans and all-in-one Medicare Advantage plans, especially if your health or medications have changed. Even if your premiums haven't risen much, your out-of-pocket costs could change significantly. Many Part D plans have increased premiums, boosted copayments and changed the pricing tiers for prescription drugs. A number of plans have four or five tiers of drug pricing, and your out-of-pocket costs could go up if the insurer moves your drugs from one pricing tier to another. If a medication moves from a preferred to a non-preferred brand-name drug or specialty drug, for example, you may have to pay as much as 25 percent of the cost yourself. Some plans even have two pricing tiers for generic drugs, charging a higher copayment for non-preferred generics.

Friday, October 18, 2013

7 Reasons Your Credit Card Can Be Declined

Hopefully this has never happened to you: You hand your credit card to a sales clerk to make a purchase then are told, after the clerk swipes it, that your card has been declined. It's embarrassing just thinking about it, right? Plus, it might have you scratching your head wondering exactly why your card was declined.

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Bill Hardekopf, CEO of credit-card comparison site LowCards.com, says that there are several reasons a credit card might be declined -- many of which you might not even suspect. Fortunately, there often are steps you can take to avoid ending up in this predicament. And situations that can't be averted often can be resolved quickly if you contact your credit card company as soon as your card is declined, says John Oldshue, LowCards.com founder and editor.

Here are seven common reasons your credit card might be declined and ways to avoid or remedy the situation.

1. You've exceeded your credit limit. Your card will be declined if you try to continue to make charges once you've hit the maximum amount your credit card company will allow you to borrow. If you carry a balance, you should check how close you are to your limit by checking your account online or calling the number on the back of your card before making purchases. Hardekopf says that you also can sign up to receive text alerts from your card company when you are close to reaching your credit limit.

2. Your account is delinquent. If you are behind on your payments, your card issuer will eventually stop accepting new purchases. If you have good to excellent credit, the card company may allow you to miss a couple before shutting you down, Oldshue says. But if you have any negative marks on your credit or have missed a payment in the past, your card issuer will probably freeze your account after the first missed payment, he says.

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3. You have a suspicious charge. Credit card companies can be quick to freeze an account if they suspect fraud. This will work in your favor if you're actually a victim of identity theft. But it can also happen if your own credit activity has created a security risk -- such as shopping in an unusual place, having a high number of transactions in one day, making a very large purchase or trying to withdraw a lot of money from an ATM, Hardekopf says. You'll need to call your card company to get an explanation as to why there is a security problem, Oldshue says. If there is fraud, you can stop it quickly. If you've made the charges, you might be able to resolve the issue by simply answering a few questions from the card company. If the company still can't clear the account from the security concern, Oldshue says it might issue you a new temporary account number or FedEx a card overnight to you if you are in a situation (say, traveling overseas) where you need access to credit.

4. There's a hold on your account. If you book a hotel room or rent a car using your credit card, your card company might place a hold on the amount you charged -- even if you haven't completed your stay or turned in the rental car. The hold ensures that the company gets the money it needs from your use of its services and prevents you from spending beyond your credit limit.

5. You are trying to make an international purchase or an online purchase from a foreign company. Hardekopf says that this could create an alert and possibly freeze your card. To avoid this, call your card company before you travel overseas or make an international purchase so it won't suspect suspicious activity.

6. You entered your card information incorrectly. This is an easy mistake to make when shopping online. So double check the card number, expiration date, billing address and security code you typed before hitting "enter" to avoid having your card declined for simple human error.

7. Your card is expired. If you don't regularly use your credit card or aren't making a lot of purchases online that require you to type in your card's expiration date, you might try to use it without realizing that it's no longer valid. Typically card companies send customers new credit cards before their current ones expire. So check that pile of mail to make sure you didn't overlook an envelope with a new card. Otherwise, you'll need to call the company to request a new card.



Thursday, October 17, 2013

3 Companies Benefiting From China Shuttering Thousands of Mines

China uses and produces a huge amount of coal. With the increasing concern over human safety and the environmental impact of coal mining, the government is set to close 2,000 mines by the end of 2015. That will benefit coal miners like Peabody Energy (NYSE: BTU  ) , BHP Billiton (NYSE: BHP  ) , and Rio Tinto (NYSE: RIO  ) .

Shutting them down
China is dotted with small coal mines. Many have high incidence rates and produce lower-quality coal. The government has closed over 1,300 mines so far this year and plans to shutter another 2,000 by the end of 2015. It's targeting mines that produce less than 90,000 tons of coal.

The impact of a single mine of this size is immaterial, but when looked at over the 3,000-plus mines being closed, the numbers start to add up. Assuming the average closed mine is producing 50,000 tons of coal, the government is going to remove around 150 million tons of coal from the market.

Peabody notes that China's coal imports rose 13% in the first half. Management believes the country's imports will be between 310 and 330 million tonnes this year. China is going to continue investing in larger and safer mines to make up for the slack created by the closures. But, in the meantime, the country is going to need to make up for that lost production and foreign markets are going to be key players.

A ready supplier
Malaysia, which is a coal export powerhouse, is going to be there to help fill the void. However, Cloud Peak Energy (NYSE: CLD  ) notes that Malaysian coal is at the lower end of the quality spectrum, particularly compared to its U.S. Powder River Basin coal. That's a positive sign for Cloud Peak's export hopes, particularly as China looks to clean up the most obvious pollution problems related to coal. Right now, Cloud Peak exports about 5% of its coal, but it plans to increase that as U.S. ports increase their capacity.

Having to wait on ports, however, is a clear negative since the closures are taking place today. Peabody, with notable operations in Australia, is much better situated. While Cloud Peak's main market is South Korea, Peabody serves a much more diverse list of customers, including India. That country increased its coal imports by over 40%. Any increase in coal demand from China will have a direct impact on the coal available to serve India's voracious appetite, as well.

More than coal
Rio Tinto and BHP Billiton are two more big coal players in Australia. Although both companies generate far more revenue from their iron ore businesses, coal remains an important piece for each. And they have been working on cutting costs and increasing productivity to better compete. That's largely because of a global coal downturn. Actions like those being taken in China, however, are helping to clear that overhang.

Unlike coal-focused Peabody, both Rio Tinto and BHP remain solidly profitable. And while Cloud Peak isn't losing money, it earned less than a dime a share in the second quarter—down from over $0.50 a year ago. That trend is clearly going the wrong way and Cloud Peak doesn't have the same market access as Rio, BHP, or Peabody.

The signs of a clearing market
Although China closing tiny mines may not seem like a big deal, it's an important sign that the "invisible hand" is working supply and demand into balance. That will, eventually, lead to an upturn in the coal market. BHP, Rio Tinto, and Peabody are all positioned to benefit right now from China's environmental shift and over the longer term. And Cloud Peak, which is waiting for port access today, should be ready for the day when supply and demand have evened out.  

A revolution in fuel
One home run investing opportunity has been slipping under Wall Street's radar for months. But it won't stay hidden much longer. Forward-thinking energy players like GE and Ford have already plowed sizable amounts of research capital into this little-known stock… because they know it holds the key to the explosive profit power of the coming "no choice fuel revolution." Luckily, there's still time for you to get on board if you act quickly. All the details are inside an exclusive report from The Motley Fool. Click here for the full story!

Tuesday, October 15, 2013

Repros Therapeutics Inc (RPRX): This Insider Hits Home Runs

iStock likes to keep track of a number of things for our weekly insider buying column. A couple of them come into play this week.

First up, the number of purchase records dramatically fell last week following a month of improving numbers. Maybe, just maybe, investors in corporate boardrooms are weary about Washington D.C. antics and their potential impact on the economy.

The second and more important point, in our view, is the performance history and timing of previous buys from our highlighted shopper.

In the movie business, they call this foreshadowing. You would have made a killing if you did nothing else but ride piggy-back when Repros Therapeutics Inc.'s (RPRX) Ms. Katherine A. Anderson opened the checkbook. She might not be a big buyer, but whoa, it's no doubt that the CPA and Chief Financial Officer, Chief Accounting Officer and Secretary knows how to work the numbers.

Repros Therapeutics is a development stage biopharmaceutical company engaged in the development of new drugs to treat hormonal and reproductive system disorders. Its product portfolio includes Androxal, an oral therapy, which is in Phase III used for the treatment of low testosterone due to secondary hypogonadism; Proellex that is in Phase II used for the treatment of symptoms associated with uterine fibroids and endometriosis; and VASOMAX that is used for the treatment of male erectile dysfunction.

Check out this performance! In April 2012, the numbers cruncher bought 3,000 shares of RPRX at $3.86. She popped out the debit card again in February 2013. That time, the executive bought 1,000 shares at $11.89.  She stepped to the plate again on October 10, 2013 at $23.77.

Based on today's price, her first purchase is up more than 500% in the last 18-months, and buy number two has more than doubled in the eight-months. If the third time is the charm or good things really do come in threes, then what's next?

Well, in all likelihood, the biotech company will file for Androxal sometime withi! n the next six-to-nine months. Phase III for Proellex will probably come within a year of Androxal's approval filing with application for Proellex approval in 2016. Meanwhile, VASOMAX® has been on partial clinical hold in the U.S. since 1998, and no further development activities are planned, according to the company's most recent 10-Q.

Overall: Repros Therapeutics Inc.'s (RPRX) is an Adam Dunn stock in our view. They don't have a product to market yet and are at the mercy of the FDA. Like the aforementioned Dunn, RPRX could strike-out or hit a home-run based on the regulatory body's decision; although, Anderson's sterling track-record is hard to ignore.

Monday, October 14, 2013

Scotts Miracle-Grow Agrees to Acquire Tomcat from Bell Laboratories (SMG)

Early on Monday, lawn and garden care products maker Scotts Miracle-Gro Co (SMG) announced that it has reach an agreement to acquire Tomcat, a consumer rodent control business, from Bell Laboratories. Terms of the deal were not disclosed.

“This transaction is consistent with the strategic direction we have articulated,” said Jim Hagedorn, chairman and chief executive officer of Scotts Miracle-Grow. “It is complementary to our existing controls business and fills a gap in our current product offering.”

The acquisition includes the Tomcat brand, as well as a long-term partnership to bring innovative technologies to the consumer rodent control market. Tomcat products are sold in home centers, mass retailers, and other stores in the U.S., Canada, Europe, Australia, and New Zealand.

“Consumer rodent control is an attractive and growing category in which a vast number of our consumers already participate,” said Barry Sanders, president and chief operating officer. “While our limited-line of Ortho Home Defense rodent control products have brought innovation to the category since 2009, the addition of the Tomcat consumer business allows us to significantly expand our global commercial footprint. With a strong consumer brand and full line of rodent control products we are better able to serve both our consumers and our retail partners.”

The integration of Tomcat consumer business into Scotts Miracle-Gro is expected to start in the beginning of fiscal 2014.

Scotts Miracle-Grow shares were inactive during pre-market trading on Monday. The stock is up 25.74% year-to-date.

Why Wall Street's Souring on Junk Bonds

Investors have searched high and low for investments to produce income, and one area that they've looked to for high yields is the junk bond market. But recently, many bond analysts believe that the rates that junk bonds offer have fallen so far that they no longer represent a good risk-reward proposition.

In the following video, Fool markets analyst Mike Klesta talks with longtime Fool contributor and financial planner Dan Caplinger about what junk bonds are and why Wall Street is worried about their future prospects. Dan offers some thoughts about ways investors can participate in the junk bond market and explains why investors in the stock market should also keep an eye on junk bonds.

Top Canadian Stocks To Own For 2014

If you're looking for some long-term investing ideas with solid income, 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.

Saturday, October 12, 2013

Brothers fined $5M in Heinz insider trading case

Two Brazilian brothers will pay nearly $5 million to settle charges that they were responsible for suspicious trading in stockoptions for H.J. Heinz one day before February's announcement of a surprise acquisition of the food giant.

Rodrigo Terpins, 40, placed the order to buy the call options on Feb. 13 while vacationing at Walt Disney World in Orlando, Fla., the Securities and Exchange Commission said Thursday. The transaction was based on material non-public information received by his brother, Michel Terpins, 36, the agency said.

Call options enable buyers to purchase a given stock at a certain price by a specified future date. They are generally bought when the purchaser believes a stock will increase in value.

The trading took place one day before a $28 billion acquisition of Pittsburgh-based Heinz was announced by 3G Capital and billionaire investor Warren Buffett's Berkshire Hathaway. The Feb. 14 announcement caused the suspicious call options to surge more than 1,700% in value, to more than $1.8 million.

The SEC obtained an emergency order to freeze the account the following week.

Investigators learned that the older brother bought 2,533 Heinz call options that gave him the right to purchase 100 Heinz shares for $65 per share until June 22. The purchase was unsual, the SEC said, because only 14 June $65 call options had been purchased on Feb. 12, and none were bought on Feb. 11.

Rodrigo Terpins conducted the transaction through a Goldman Sachs broker in Switzerland and a Swiss account owned by a relative of the brothers, the SEC said. He insisted on completing the deal even though the broker "cautioned that Goldman currently rated Heinz a 'sell,' " according to an SEC amended court complaint.

"Rodrigo and Michel Terpins obtained confidential information prior to any public awareness that a Heinz deal was in the works, and they exploited it to the disadvantage of all other traders in the marketplace," said Sanjay Wadhwa, senior associate enforcement dire! ctor of the SEC's New York office.

Attorneys for the Terpins brothers did not immediately respond to messages seeking comment on the settlement, which is subject to federal court approval. The two neither admitted nor denied the allegations.

As part of the settlement, the SEC said the brothers and the Swiss account will disgorge $1,809,857 in illegal profits.

Berkshire Hathaway and 3G Capital completed the Heinz acquisition in June.

The suspicious Heinz options trading is among several recent cases of similar insider trading investigations pursued by the SEC. In August, the agency announced that Thailand trader Badin Rungruangnavarat would pay nearly $5.2 million to settle charges that he traded on nonpublic information ahead of the proposed acquisition of Smithfield Foods by China-based Shuanghui International Holdings.

Bull or Bear? Small Cap NYSE Stocks With the Highest Short Interest: BTH, ESI & SLCA

Small cap NYSE stocks Blyth, Inc (NYSE: BTH), ITT Educational Services, Inc (NYSE: ESI) and U.S. Silica Holdings Inc (NYSE: SLCA) had the highest short interest as of late September according to HighShortInterest.com with short interest of 56.80%, 55.73% and 40.22%, respectively. However, shorting a stock can be a dangerous business as the bears can and do sometimes get mauled by the bulls. With that in mind, let's take a look at why the bulls or the bears may be right or wrong about these three shorted small cap NYSE stocks: 

Blyth, Inc. A designer and marketer of an extensive line of scented candles and related accessories, seasonal decorations, home decor and household convenience products, small cap Blyth sells its products in North America and Europe through two channels of distribution: Direct Selling and Catalog & Internet. Blyth, Inc's troubles seem to stem from its stake in multilevel marketing company Visalus, who was supposed to have an IPO but that's since been called off. Moreover and back in August, Blyth, Inc reported a 3% sequential sales decline to $101.5 million but prior year second quarter sales were $190.4 million – meaning sales, at least for Visalus, have basically collapsed by 47%. Sales for PartyLite (candles and home décor) also sank 12% to $77.8 million thanks to fewer sales associates in many of its bigger, more mature markets; but Miles Kimball sales (catalog and online sales) rose 4% to $32.4 million thanks to a double-digit increase in the sales of health and wellness products and increased sales associated with the new Miles Kimball credit program. Nevertheless, it should be mentioned that Blyth, Inc has been accused in the past (by trial lawyers) of overstating the nature and viability of Visalus' financial results to mask declining performance in other operating units. On Monday, Blyth, Inc fell 3.82% to $12.59 (BTH has a 52 week trading range of $8.65 to $27.03 a share) for a market cap of $201.60 million plus the stock is down 15.9% since the start of the year, down 50.2% over the past year and down 37.6% over the past five years.

ITT Educational Services, Inc. A provider of accredited, technology-oriented undergraduate and graduate degree programs, small cap ITT Educational Services owns and operates more than 140 ITT Technical Institutes and Daniel Webster Colleges serving approximately 59,000 students at its campuses in 39 states and online. Since early August, Blum Capital Partners LP has been a steady seller of shares according to insider trading data on Yahoo! Finance. Blum Capital Partners LP owned 1,412,288 shares (23.37 million shares are outstanding) as of last Wednesday. Back in July, ITT Educational Services reported that profits fell by nearly half in the second quarter while total enrollment fell by 11.7% to 58,617 but new enrollment was up by 7.5%. Not helping matters are the stricter new regulations on recruitment and marketing by for profit education companies. However and given the government shutdown and other distracting battles in Washington, bulls and bears alike might want to keep an eye on ITT Educational Services' insider trading data as well as wait for the next earnings report. On Monday, ITT Educational Services fell 1.83% to $29.56 (ESI has a 52 week trading range of $11.69 to $32.77 a share) for a market cap of $690.78 million plus the stock is up 69.4% since the start of the year, down 4% over the past year and down 61.1% over the past five years.

Best Dividend Companies To Watch For 2014

U.S. Silica Holdings Inc. A leading producer of industrial minerals, including sand proppants, whole grain silica, ground silica, fine ground silica, calcined kaolin clay and aplite clay, small cap U.S. Silica Holdings' products are used in products for the oil and gas, glass, chemicals, foundry, building products, fillers and extenders, recreation, industrial filtration and treatment, and testing and analysis. Last Thursday, U.S. Silica Holdings actually hit a new 52 week high after Morgan Stanley initiated coverage with a buy rating. Moreover, Investor's Business Daily pointed out that U.S. Silica Holdings gets about 60% of its revenue from the energy sector as production ramps up in the shale fields in Texas, West Virginia and the Dakotas while revenue from its oil and gas division surged 43% to $77.7 million last quarter. Nevertheless, shares did fall after the last earnings report apparently because Wall Street's expectations were too high but with a reasonable trailing P/E of 19.50 and a forward P/E of 13.15, one does have to wonder if the shorts are on the wrong side of the trade here. On Monday, U.S. Silica Holdings rose 1.27% to $28.67 (SLCA has a 52 week trading range of $12.37 to $29.40 a share) for a market cap of $1.52 billion plus the stock is up 81.1% since the start of the year, up 109% over the past year and up 77.8% since February 2012. 

Finally, here is a look at the long term performance of all three small cap stocks:

As you can see from the above chart, only U.S. Silica Holdings has been a winner for investors and even it has given investors a bumpy wide. But looking at the technical charts, Blyth looks bearish while the charts for ITT Educational Services and U.S. Silica Holdings look more bullish.

Thursday, October 10, 2013

Recession risk seen if debt ceiling isn’t raised

A failure by Congress to raise the nation's debt ceiling would cascade through the economy, increasing borrowing costs for consumers and businesses, chilling credit markets, driving down stocks and killing jobs, industry officials and economists say.

"We will set off a chain of events that will cover our entire economy and impact all Americans," Frank Keating, CEO of the American Bankers Association told the Senate Banking Committee Thursday. "These impacts would not be easily reversible. The repercussions could linger for years, providing a constant drain on our economy."

The Treasury Department has said it will run out of borrowed money on October 17 unless Congress votes to raise the nation's $16.7 trillion debt limit. Missing that deadline by even a few days likely would shave about three-tenths of a percentage point off fourth-quarter economic growth, says Mark Zandi, chief economist of Moody's Analytics.

On Main Street: Uncertainty halts expansions, hiring

The nation would be plunged into a severe recession if the impasse extended even a few days past Nov. 1, as the government struggles to issue Social Security checks, make payments to Treasury bond holders and meet myriad other obligations, Zandi says. Millions of jobs would be lost, he says, adding that the the nation's credit worthiness would be damaged even if the government continues to pay interest on Treasury notes while defaulting on other obligations.

The nerve-rattling chain of events would begin with investors demanding higher interest rates on Treasuries to offset the higher risk of default, Keating says. That would drive up interest rates broadly, including mortgage rates.

Meanwhile, the value of Treasuries and related securities would plummet, leaving banks, which hold $3 trillion in such assets, with far less capital to lend for everything from mortgages and car loans to business expansions.

The 2011 debt ceiling standoff in Congress — when lawmakers reached a last-minute deal to avert a ! crisis — cost taxpayers $20 billion in higher borrowing costs. If the U.S. government defaults this time, "the harm is likely to be measured in hundreds of billions of dollars," Keating says.

The recovering housing market would be hit especially hard. During the 2011 episode, 30-year fixed mortgage rates rose nearly 0.75%, increasing the cost of a typical monthly house payment by $100, the Center for American Progress Center said in a report.

A 1% rise in mortgage rates would reduce home sales by 350,000 to 450,000 units, Gary Thomas, president of the National Association of Realtors, told the banking committee.

"Fewer home sales mean less construction, less income from transactions, and fewer purchases of appliances, renovations and services that accompany a purchase," Thomas said. "The momentum of the housing recovery will be in serious jeopardy."

Some individuals, businesses, non-profits and state and local governments depend even more directly on Treasury interest payments or the ability to redeem a maturing note. A default would jeopardize that income, "undermining economic activity and damaging confidence," Paul Schott Stevens, head of the Investment Company Institute, a trade group, told the banking committee.

Amid the chaos, stocks markets would be hammered. During the 2011 deadlock, the S&P 500 index fell 17% as household wealth dropped by $2.4 trillion, according to the Center for American Progress and the Treasury Department. "It took six months to return to pre-crisis levels after not quite hitting the debt ceiling," the center's report says.

The combination of negative events would deal a harsh blow to consumer confidence, which already has weakened noticeably in recent days, Zandi says. That would dampen retail sales and lead to further job losses.

At the same time, the financial system would slow significantly. Banks, for instance, typically use Treasuries as collateral when they take out short-term loans, known as repurchase agreements. A ! default w! ould make it more difficult to post the Treasuries as collateral, making the system far less liquid, testified Kenneth Bentsen, head of the Securities Industry and Financial Markets Association.

In turn, short-term loans that business need for basic operations could dry up, Zandi says.

If the standoff lasts through November, the Treasury Department, unable to borrow, would have to slash government spending by $130 billion, cutting economic growth by about 5%, eliminating 10 million jobs and pushing the 7.3% unemployment rate to 12%, Zandi says.

The standoff presumably would end well before that. "If we start to melt down, you would think that would push lawmakers to come to terms," he says.

Wednesday, October 9, 2013

5 Best Warren Buffett Stocks To Invest In 2014

The recent and very rapid rise in bond yields is changing the playing field for banks. As second-quarter earnings announcements rapidly approach, expect them to have an impact on both revenue and profit margins.�

Every bank will be affected, from the trillion-dollar megabanks like JPMorgan Chase (NYSE: JPM  ) and�Wells Fargo (NYSE: WFC  ) , to the community bank headquartered in your home town (or an index of community banks, like the SPDR S&P Regional Banking Index).

In the video below, Motley Fool contributor Jay Jenkins explains these critical issues and what they mean heading into the second-quarter earnings season.�

Many investors are scared about investing in big banking stocks after the crash, but the sector has one notable stand-out. In a sea of mismanaged and dangerous peers, it rises above as "The Only Big Bank Built to Last." You can uncover the top pick that Warren Buffett loves in The Motley Fool's�new report. It's free, so click here to access it now.

5 Best Warren Buffett Stocks To Invest In 2014: Mission NewEnergy Limited(MNEL)

Mission NewEnergy Limited, a renewable energy company, owns and operates biodiesel refinery plants. It produces biodiesel a clean alternative energy substitute for diesel. The company also engages in the cultivation and supply of Jatropha Curcas, an inedible biofuel feedstock. As of October 31, 2011, it had approximately 234,587 acres of Jatropha Curcas under contract farming agreements. In addition, the company owns and operates two wind energy turbines. It has operations in Asia, Australia, Europe, and North America. The company, formerly known as Mission Biofuels Limited, was incorporated in 2005 and is headquartered Osborne Park, Australia.

5 Best Warren Buffett Stocks To Invest In 2014: Punch Taverns(PUB.L)

Punch Taverns plc, together with its subsidiaries, owns, manages, and leases pubs in the United Kingdom. The company leases licensed properties to retailers. It operates approximately 5,004 leased and tenanted pubs. Punch Taverns plc was founded in 1997 and is headquartered in Burton upon Trent, the United Kingdom.

Best Stocks To Own For 2014: Drs Data & Research(DRS.L)

DRS Data and Research Services plc engages in the provision of data capture services. It provides scanning products, including IntelliReg, a biometric electronic registration system for monitoring and tracking student attendance in further and higher education establishments; Cense, a global positioning system device for census enumeration; e-marker, an electronic examination marking product to improve the marking progress; PhotoScribe PS900 series scanners; and optical mark reader (OMR) scanners. The company also offers OMR scanning software products comprising FLIPS to design and print laser printed forms; SOSKit for creating new decodes for use with a DRS OMR; EDPAC, a multiple choice assessment package for schools; MultiQuest, a multiple choice assessment package for colleges, universities, and commercial training institutions; Question Bank for monitoring the development, management and maintenance of multiple choice questions; SpeedQuest for course/teaching evaluatio n and a range of opinion surveys; OMR Registers that enable attendance registers to be overprinted and scanned using data directly from college or university MIS; and Register Manager. In addition, it provides bureau service, such as mail-out, fulfillment, document-indexing, document scanning, document storage, Web imaging and retrieval, and recognition and validation techniques. Further, the company prints school assessment stock forms and highly complex election forms, as well as multi-page census booklets for real-time recognition and processing. Additionally, it offers various solutions consisting of examinations and assessments; OMR solutions for attendance and registration recording; and voter registration, e-counting, and e-voting solutions. The company markets its products and services for education, elections, and census markets worldwide. DRS Data and Research Services plc was founded in 1969 and is headquartered in Milton Keynes, the United Kingdom.

5 Best Warren Buffett Stocks To Invest In 2014: Stealth Minerals Limited (SML.V)

Stealth Minerals Limited, a development stage company, engages in the acquisition, exploration, and development of mineral properties in Canada. The company principally explores for copper, silver, and gold prospects. It primarily holds interest in the Toodoggone Property covering an area of approximately 22,096 hectares in the Toodoggone River region of north central British Columbia. The company was incorporated in 1993 and is headquartered in North Vancouver, Canada.

5 Best Warren Buffett Stocks To Invest In 2014: AmerisourceBergen Corporation (HOLDING CO)

AmerisourceBergen Corporation, a pharmaceutical services company, provides drug distribution and related services to healthcare providers and pharmaceutical manufacturers in the United States, the United Kingdom, and Canada. The company distributes brand-name and generic pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, and related services to various healthcare providers, including acute care hospitals and health systems, independent and chain retail pharmacies, mail order pharmacies, medical and dialysis clinics, physicians, and long-term care and other alternate site pharmacies. It also offers various services, such as pharmaceutical packaging, pharmacy automation, inventory management, reimbursement and pharmaceutical consulting and staffing services, logistics services, and pharmacy management. In addition, AmerisourceBergen provides scalable automated pharmacy dispensing equipment, medication and supply dispensing cabinets , and supply management software to various retail and institutional healthcare providers. Further, the company offers distribution and other services to physicians, who specialize in various disease states; distributes plasma and other blood products, injectible pharmaceuticals, and vaccines; and provides drug commercialization, third party logistics, reimbursement consulting, data analytics, and outcomes research services for biotech and other pharmaceutical manufacturers, as well as practice management and group purchasing services for physician practices. Additionally, it delivers unit dose, punch card, unit-of-use, and other packaging solutions to institutional and retail healthcare providers; and offers contract packaging and clinical trial material services for pharmaceutical manufacturers. The company serves customers through a network of distribution and service centers, and packaging facilities. AmerisourceBergen was founded in 1985 and is headquartered in Chesterb rook, Pennsylvania.

Tuesday, October 8, 2013

Linc Energy: An Undervalued Energy Play With A Potential Upside Of 88.1%

Over the course of the last few months many investors have been holding on to Linc Energy Ltd (LNCGY.PK) in the hopes that the company's potentially massive shale oil discovery in the Arckaringa Basin of Australia would pay off. The following will explore the potential upsides and downsides of owning a position in Linc Energy despite the prevalent difficulties and costs international natural gas companies are presently facing.

At the beginning of this year, Linc Energy reported a discovery of what was predicted to be anywhere from 3.5-233 billion barrels of recoverable oil under 16 million acres of land owned by the company. Though the costs of recovery may be rather costly, due to the expenses behind hydraulic fracking (the necessary drilling process to obtain shale oil) the amount of recoverable oil still has a minimum value of $359 billion and maximum value, which is estimated to be upwards of $20 trillion. It is expected that the initial costs involved in enabling production are around $300 million. That being said, the costs to begin production are irrelevant when juxtaposed with the potential gains in the region. If the reports analyzing the discovery of the shale oil reserves are confirmed through drilling, then the gains will be enormous with relation to the company's stock value. In addition, the confirmation of such a discovery would put Australia on par with Saudi Arabia with regards to oil production in the global marketplace. However there are certain issues that may hamper the company's progress in the future that should be considered.

Despite the fact that there is a plethora of shale gas reserves around the globe, no other country except the United States has successfully transformed those repositories into a booming natural gas industry. The following will explain the primary reasons why fracking has failed to take off overseas and address how it could hinder Linc going forward. Firstly, the United States booming natural gas industry is founded on the country's lax regulat! ory framework with regards to oil and drilling companies. Additionally, the United States has an infrastructure (pipelines and terminals) already in place near shale gas plays, which bring the gas to market and reduce costs considerably. Another factor to consider is that natural gas prices have dropped significantly since their peak of $12 per million BTU's in 2008, thereby drastically reducing profit margins for new companies. Fracking is also a highly cost and expertise oriented practice, which since the 1990's has been developed mainly in the United States. Making the transfer of resources and technology difficult for foreign companies and countries. This can be evidenced by a statement from the head of Energy and Power at Wells Fargo with regards to China's interest in America's Fracking resources:

"There was a huge concern when the Chinese became very active here in the states around the issue of technology transfer… However the ability to transfer that from Eagle Ford to a shale formation in China is a pretty difficult thing to do."

Kipp's statement is regarding China's recent attempts to export American fracking expertise and technology to help develop a natural gas economy in mainland China. However this problem can easily be overcome if Linc were to partner with an American company. Currently, Australia along with many other countries around the globe maintain rather stringent energy and mining taxes, which make the drilling and the development of new wells highly cost intensive. That being said, the new Australian PM, Tony Abbott, has just promised the immediate repeal of the country's carbon tax. If this occurs, then Linc Energy could stand to gain in value tremendously. Another factor that bodes well for Linc Energy is that they are the sole proprietors of the land in the Arckaringa Basin. This is important because in the United States drilling companies typically have to form partnerships with individual landowners to obtain the drilling rights/licenses for spe! cific plo! ts of land, which then detracts from their revenue.

In examining Linc's other prospects, the company has already made strides in developing key partnerships to further explore other potential revenue streams. One example of this can be noted with their recent joint venture with Hong Kong-based Golden Concord Ltd. which purchased more than 5% of Linc for $120 million, a large premium when compared to the company's stock price. The joint venture will pursue underground coal gasification opportunities in China. Underground coal gasification involves burning coal deep underground and tapping reserves as a means of producing gas for fuel production, electricity generation, and or as a material to be used in chemicals. Billionaire Roman Abramovich's Ervington Investments Ltd. also recently reached an agreement with Linc Energy to explore projects in northeastern Russia. Linc, which maintains a UCG plant in Uzbekistan, intends to work with Ervington Investments to help the Chukotka region of Russia decrease its reliance on imports, assuming they find viable coal resources.

Fundamentally, Linc Energy has a relatively healthy balance sheet, which, considering their potential assets in the Arckaringa Basin, makes the company tremendously undervalued. Linc Energy's CEO Peter Bond recently announced that they have reduced the number of potential oil partners to two companies. Even though an agreement has not been reached with either group, Linc intends to move ahead with its drilling plans in the Arckaringa Basin and expects to start a five-well drilling program in February at the initial cost of $14 million. That being said, 2014-2015 will be a key period for the company, as it will determine whether Linc can turn its massive assets in southern Australia into the extremely profitable operations many investors are hoping for. In conclusion, Linc Energy is developing strategic operations throughout the east and these operations in tandem with their possibly enormous assets in the Arckaringa Basin, make t! he compan! y's potential upside far greater then its potential downside. With regards to the issues of infrastructure, technology and expertise currently facing Linc energy, these problems will most likely be resolved with their pending partnership with a key oil company.

Based on current analysts expectations, the forecast of the median stock price is currently 88.1% with a high of 184.2% and a low of 57.4%.

Source: Linc Energy: An Undervalued Energy Play With A Potential Upside Of 88.1%

Disclosure: I am long LNCGY.PK. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. (More...)

Monday, October 7, 2013

Hot Penny Companies To Buy Right Now

It was an ugly day from the get-go, and we have none other than Japan to thank for today's sizable swoon in the S&P 500 (SNPINDEX: ^GSPC  ) .

Many investors had expected the Bank of Japan to provide further easing measures, but outside of announcing a $1.4 trillion stimulus program two months ago, it�didn't offer any additional assurances to investors. That didn't sit particularly well with U.S. investors, who are already concerned that the Federal Reserve is going to roll back its $85 billion in bond purchases sooner rather than later and slow the U.S. economy to a crawl.

By the time roll call was done at the end of the day, the optimists were notably absent, with the S&P 500 falling by 16.68 points (-1.02%), to close at 1,626.13. In spite of today's negativity, three stocks decisively bucked the trend to the upside.

Video game and gaming accessories retailer GameStop (NYSE: GME  ) once again topped the list, up 7.8%, after an official announcement from Microsoft (NASDAQ: MSFT  ) that it will not charge users a fee to play used games on its next-generation console, the Xbox One. This news comes on the heels of Sony�also announcing that it would allow users to play used games on its new PlayStation 4. This is a key win for GameStop which generates a vast portion of its profits from the purchasing and reselling of used games. In addition, it also clears the way for next-generation console sales -- such as the Xbox One -- to soar as penny-pinching gamers will no longer have to worry as much about paying top dollar for new games.

Hot Penny Companies To Buy Right Now: S1 Corporation(SONE)

S1 Corporation provides payments and financial services software solutions in the United States and internationally. The company operates in three segments: Banking: Payments, Banking: Large Financial Institution (FI), and Community Financial Institution (FI). The Payments segment provides ATM and retail point-of-sale driving, card management, and merchant acquiring solutions to financial institutions, retailers, and transaction processors of various sizes globally. The Banking: Large FI segment offers consumer banking, small business and corporate online banking, trade finance, and mobile banking solutions to large banks globally; branch and call center banking solutions to large banks outside of the United States; and software, custom software development, hosting, and other services to State Farm Mutual Automobile Insurance Company. The Banking: Community FI segment provides consumer and small business online banking, mobile banking, voice banking, and branch and call c enter banking solutions to community and regional banks, and credit unions in the United States. The company also provides various professional services, such as project management, implementation, custom software development, integration, educational, and Web design services; and customer support services. In addition, it offers hosting services comprising systems outsourcing, data center hosting, and operational management and control across a range of personal, small business and corporate Internet banking, mobile, voice, and payment processing applications. The company primarily serves banks, credit unions, retailers, and transaction processors. S1 Corporation was founded in 1934 and is headquartered in Norcross, Georgia.

Hot Penny Companies To Buy Right Now: Citizens South Banking Corporation(CSBC)

Citizens South Banking Corporation operates as the holding company for Citizens South Bank that provides various commercial banking services to local customers in the United States. The company offers a range of retail products, commercial banking services, and mortgage lending services. It provides retail deposit products, such as checking, savings, negotiable order of withdrawal, and money market accounts, as well as time deposits and individual retirement accounts. The company also offers commercial analysis deposit accounts, business checking accounts, and repurchase agreements for business customers. In addition, it provides various consumer and commercial loans, including business, real estate, residential, and consumer loans. Further, the company offers consumer and business credit cards, debit cards, commercial letters of credit, and safe deposit box rentals, as well as electronic funds transfer services, including automated clearing house and wire transfers. Addit ionally, it provides online banking, remote deposit capture, cash management, bank-by-phone capabilities, and ATM services. The company also acts as a broker in the sale of uninsured financial products. As of March 31, 2011, it operated through 21 branch offices located in North Carolina, South Carolina, and Georgia. The company was founded in 1904 and is headquartered in Gastonia, North Carolina.

Top 10 Blue Chip Stocks To Own For 2014: WSI Industries Inc.(WSCI)

WSI Industries, Inc. engages in precision contract metal machining business in the United States. The company offers metal components in medium to high volumes requiring tolerances in accordance with customer specifications. It primarily serves aerospace/avionics/defense, recreational vehicles, energy, and bioscience industries. The company was founded in 1950 and is headquartered in Monticello, Minnesota.

Hot Penny Companies To Buy Right Now: Dehaier Medical Systems Limited(DHRM)

Dehaier Medical Systems Limited, through its subsidiaries, designs, develops, and markets respiratory and oxygen homecare products, and other medical devices in the People?s Republic of China. The company also distributes products designed and manufactured by other companies. It offers various medical devices, including C-arm X-ray systems, anesthesia machines, patient monitors, and general hospital products; and respiratory and oxygen homecare products, such as oxygen concentrators, CPAP devices, portable sleep diagnostics, and Rhinitis hyperthermia devices; and air compressors and ventilator trolleys. The company sells its products primarily to distributors, as well as to hospitals, clinics, and government health bureaus directly. Dehaier Medical has a tripartite strategic cooperation agreement with Taiyo Nippon Sanso Shenwei (Shanghai) Medical Gas Co. Ltd. and Beijing Orient Medical Gas Co. Ltd. to develop and distribute oxygen therapy services for the home use market i n Beijing. The company was formerly known as De-Haier Medical Systems Limited and changed its name to Dehaier Medical Systems Limited in June 2005. Dehaier Medical Systems Limited was incorporated in 2003 and is based in Beijing, the People?s Republic of China.

Hot Penny Companies To Buy Right Now: Eagle Bulk Shipping Inc.(EGLE)

Eagle Bulk Shipping Inc. engages in the ocean transportation of bulk cargoes in the dry bulk industry. The company primarily transports iron ore, coal, grain, cement, and fertilizer along worldwide shipping routes. As of December 31, 2009, it owned and operated a fleet of 27 oceangoing vessels with a combined carrying capacity of 1,412,535 deadweight tons. The company was founded in 2005 and is headquartered in New York, New York.

Advisors' Opinion:
  • [By John Del, Vecchio,]

    Shape up or ship out
    The two companies above have done a relatively great job at staying proactive during a troubled time, and Eagle Bulk Shipping (NASDAQ: EGLE  ) is doing its best to follow suit. After putting up very strong earnings last quarter, reporting $72.2 million net revenue, compared with $52.6 million for the same quarter last year, Eagle looks to be on the right track.

  • [By Rebecca McClay]

    And dry bulk shippers like FreeSeas Inc. (Nasdaq: FREE), Seanergy Maritime Holdings Corp. (Nasdaq: SHIP), and Eagle Bulk Shipping Inc. (Nasdaq: EGLE) are noting big gains today as shipping rates strengthen. FREE is up 8%, SHIP is up 13%, and EGLE is up 7% as capesize shipping rates increased overnight by about 10%, exceeding $20,000 for the first time since January 2012.

Hot Penny Companies To Buy Right Now: Xinyuan Real Estate Co Ltd(XIN)

Xinyuan Real Estate Co. Ltd., together with its subsidiaries, engages in residential real estate development in China. The company?s residential projects comprise various residential buildings that include multi-layer apartment buildings, sub-high-rise apartment buildings, or high-rise apartment buildings; auxiliary services and amenities, such as retail outlets, leisure and health facilities, kindergartens, and schools; and small scale residential properties. It also offers property management and other real estate related services, such as landscaping and installing intercom systems. In addition, the company leases properties, including an elementary school, a basement, three clubhouses, five kindergartens, and parking facilities. As of December 31, 2010, it had 21 completed projects with a total gross floor area (GFA) of approximately 2,049,460 square meters and comprising a total of 23,324 units, as well as 8 projects under construction with a total GFA of 1,804,946 sq uare meters. It primarily operates in seven tier II cities, comprising Hefei, Jinan, Kunshan, Suzhou, Zhengzhou, Xuzhou, and Chengdu. The company was founded in 1997 and is headquartered in Beijing, the People?s Republic of China.

Advisors' Opinion:
  • [By Tim Brugger]

    Having completed the repurchase of approximately $12.6 million of the $20 million share buyback program started last year, Xinjuan Real Estate's (NYSE: XIN  ) board of directors has authorized the repurchase of an additional $60 million of outstanding stock, the company announced today.

Sunday, October 6, 2013

Time to Think Strategically, Prudently With Zalicus (ZLCS)

It's fun to be right, especially when it comes to picking stocks. Sometimes though, you can be a little too right, too fast, forcing a change in the game plan. Well, the good news/bad news is, I was too right, too fast with Zalicus Inc. (NASDAQ:ZLCS). Back on August 30th I pegged ZLCS as a buy-worthy trade, when it was trading at $0.71. It hit a peak of $0.93. That's a move of 31% in just two trading days. Though the gain has since been whittled down to 'only' 17% thanks to the retreat to the current price of $0.834, shares are still overbought, and I still have to advocate selling your short-term trade on the position.

I know that's not going to be a popular idea among those newcomers who jumped into a trade yesterday or today based on the stock's new-found strength. ZLCS may be red hot, but the pace of the move isn't sustainable. In fact, the strength has already waned into non-existence.

The nearby chart of Zalicus Inc. tells the tale. I happened to see the stock starting to work its way above key moving averages in late August, and doing so on rising volume.... a telltale sign of a brewing bullish storm. Sure enough, off she went - the very next day, in fact. Unfortunately, the jump from the very next day (Tuesday) was so strong that it happened to leave behind a gap. The market generally doesn't like to leave gaps unfilled, which was strike one against ZLCS.

Strike two came today, when ZLCS left behind another bullish gap at the open. With far more to lose than to gain from that point, traders started deciding to lock in gains, pushing Zalicus Inc. lower as a result. This morning's opening gap has been filled in the meantime, but the one from yesterday morning is still open, and still begging to get filled in. Given how the tone and mood has changed just this morning, the odds favor that gap being filled.

Hot Dividend Stocks To Invest In 2014

Just for the record, this isn't necessarily a long-term call on Zalicus. In fact, it's explicitly NOT a long-term call. Though volatile, all the hints the stock's been dropping since early August are actually long-term bullish hints. That doesn't mean we're going to sidestep the ups and downs in the meantime though.

Bottom line? Unless you're willing to hold onto it for a few weeks and wait for the bigger turnaround to kick in again, you may want to go ahead and lock in a gain here while you can. Once the gap is filled and the mess of support from several moving averages around $0.63 has a chance to stop the pullback and start the rally again, that'll be a great re-entry spot for ZLCS.

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Friday, October 4, 2013

Stocks: Holding steady after a steep slide

sp 500 futures 7

Click on chart to track premarkets

NEW YORK (CNNMoney) Investors remain cautious heading into the last trading day of a tumultuous week.

U.S. stock futures edged slightly higher early Friday morning.

Now in its fourth day, the U.S. government shutdown has created plenty of uncertainty and left an estimated 800,000 federal employees off the job.

The government's monthly jobs report, originally scheduled to come out Friday morning, will not be released due to the shutdown. Since the recession, the report has become the most closely watched indicator on the economy.

Hot Undervalued Companies For 2014

Investors also continue to worry about the U.S. hitting its debt ceiling. Failure to raise the debt limit is likely to have a significant impact on the global economy, as well as stocks, bonds and currency markets.

U.S. stocks fell sharply Thursday. The Dow Jones Industrial Average and the S&P 500 have dropped for nine of the past 11 trading days.

European markets edged higher in morning trading, led by the CAC 40 in Paris. Switzerland's financial watchdog, the Swiss Financial Market Supervisory Authority, announced that it was investigating several Swiss banks for possibly manipulating currency exchange rates.

The major Asian markets ended with losses. The Nikkei in Japan shed nearly 1% after the Bank of Japan wrapped up its two-day monetary policy meeting and opted to maintain its stimulus measures. South Korean electronics manufacturer Samsung said it was on track for another record quarterly profit.

The Shanghai Stock Exchange was closed for the National Day celebration. To top of page

Thursday, October 3, 2013

European stocks drop for second day on U.S. fears

LONDON (MarketWatch) — European stock markets fell for a second straight day on Thursday, as worries about the U.S. government shutdown offset upbeat economic data from China and Europe.

The Stoxx Europe 600 index (XX:SXXP)  dropped 0.4% to close at 309.55, after closing with the biggest one-day loss in more than a month on Wednesday.

Click to Play Why this shutdown is different, and more

Former Senator Byron Dorgan explains why this shutdown is different. WSJ's David Wessel asks, "What if Obamacare Works?" Middle Seat columnist Scott McCartney on superstitious travelers and airlines, and more. Photo: Getty Images

"Positive trends continue in Europe and we see upward revisions to corporate [earnings-per-share] targets and consensus. The current market weakness we have seen mainly due to concerns on the U.S. debt situation is a small overhang and we see this market volatility as an [opportunity] to buy," said Atif Latif, director of trading at Guardian Stockbrokers, in emailed comments. "Albeit many targets for year-end indexes have been achieved, we see further upside from current levels led by GDP upward revisions and increased economic expansion leading to a macro recovery," he added.

Among notable movers in the pan-European index, shares of BP PLC (UK:BP)   (BP)  climbed 1.1% after a U.S. court halted some settlements related to claims over the oil spill in the Gulf of Mexico in 2010. BP said that the ruling "affirms what BP has been saying since the beginning: claimants should not be paid for fictitious or wholly nonexistent losses."

Shares of Schneider Electric SA (FR:SU)  lost 3.2% after Exane BNP Paribas downgraded the firm to neutral from outperform.

Agence France-Presse/Getty Images European stocks drop on Thursday. U.S. shutdown fears

The government shutdown in the U.S. fueled fears it would have a negative impact on the looming debt-ceiling negotiations. The shutdown moved into its third day on Thursday as a meeting between President Barack Obama and congressional leaders late Wednesday ended with no deal to reopen the government. Read: 3 megatrends for uncertain times

The Treasury Department warned Thursday that if Congress doesn't raise the debt ceiling and the U.S. defaults on its obligations, it would be "catastrophic" for financial markets and the economy.

Wall Street stocks traded sharply lower. Weekly jobless claims showed the number of people applying for jobless benefits barely rose last week, leaving layoffs at a post-recession low.

The Institute for Supply Management said its services index fell to a reading of 54.4% in September from 58.6% in August, below the 57.5% expected in a MarketWatch-compiled economist poll.

China, Europe PMIs

In Asia, stocks rose after an encouraging reading on activity in China's services sector. The official nonmanufacturing purchasing managers index rose to a six-month high of 55.4 in September from 53.9 in August. A reading above 50 signals expansion.

The final composite PMI from the euro zone also pointed to an improvement in business activity there, coming in at a 27-month high of 52.2 in September from 51.5 in August, a bit better than the preliminary reading of 52.1 published last week.

The U.K.'s PMI showed the services sector remained strong in September, helping the survey achieve the best quarterly performance in over 16 years. The index edged down to 60.3 from 60.5 in August, but beat the 59.4 expected by economists.

5 Best Blue Chip Stocks To Invest In 2014

The FTSE 100 index (UK:UKX)  rose 0.2% to 6,449.04 in London. Shares of Aviva PLC (UK:AV)  added 1.4% after the insurance firm said it received $2.6 billion in completing the sale of its U.S. life and annuities business, $0.8 billion higher than the estimate announced in December. BP also lent plenty of support to the index.

Germany's DAX 30 index (DX:DAX)  fell 0.4% to 8,597.91 and France's CAC 40 index (FR:PX1)  fell 0.7% to 4,127.98, weighed Schneider Electric losses.

Banks closed lower in Frankfurt and Paris, with shares of Commerzbank AG (DE:CBK) down 2.1% and Société Générale SA (FR:GLE)  off 1.5%.

Outside the major indexes, shares of Gerresheimer AG (DE:GXI)  dropped 2% after Credit Suisse cut the packaging firm to neutral from outperform.

Wednesday, October 2, 2013

Alcoa Drops 3% as Deutsche Bank Says Sell

Poor Alcoa (AA). The once-proud aluminum producer has been bumped from the Dow Jones Industrial Average. Its stock price has dropped 4.8% this year. And now Deutsche Bank says it’s time to dump Alcoa’s shares.

Bloomberg News

In a report released yesterday, analysts Jorge Beristain and team downgraded Alcoa to Sell from Hold. The reason? Lower aluminum prices. They explain:

Under a depressed aluminum price and reversion to normal premia scenario,we believe Alcoa's Primary metals operations could return to negative cash flow for the second time since the World Financial Crisis, leading to an accelerated shut-down of below-water pot-lines and in certain cases, entire high cost smelters. As of June 30, 2013 Alcoa has approximately 523,000 tons of idled capacity, or 12.5% of its 4.2m tons remaining consolidated total. Under the current outlook we estimate a further ~400k or 9% of its smelter system remains at risk of being shut-down.

Beristain and team also slashed Alcoa’s price target to $5.50 from $9, a 33% drop from yesterday’s close. Such a plunge, however, could be good news in the long run.

…we envision a stock decline could serve as an impetus for change. We argue spinning off the Primary metals business unit (or alternatively spinning off down-stream), rather than "death by a thousand cuts" is a decision that should seriously be contemplated. Weaning Primary metals off the implicit subsidies provided by the profitable downstream (and alumina) operations would effectively force prompt shut-ins of unprofitable smelters, rather than the protracted potline-by-potline wind-downs.

Best Safest Companies To Buy For 2014

Shares of Alcoa have dropped 3.3% to $7.90 today at 9:30 a.m. The downgrade has also hit other aluminum producers this morning. Alumina (AWC) has fallen 1.1% to $3.73, Kaiser Aluminum (KALU) has declined 0.7% to $71.17, and BHP Billiton (BHP), of which aluminum is but a small piece, is off 0.3% at $66.22.

Tuesday, October 1, 2013

Top China Stocks To Buy Right Now

The all-new Chevy Silverado might be GM's most profitable product. Photo: General Motors.

This past week, General Motors (NYSE: GM  ) reported a $2.3 billion dollar pre-tax profit, powered by strong pickup sales at home that led to a $2 billion profit in North America alone.

It was a good result, and as GM's overseas operations continue to pick up steam, the company's bottom line should look even better in coming quarters. But as Fool contributor John Rosevear points out in this video, GM is set to make big gains at home, too -- thanks to a bunch of new models, starting with the all-new Chevy Silverado.

GM has had big success in China, but it might not be the best way to invest in China's auto boom. A recent Motley Fool report, "2 Automakers to Buy for a Surging Chinese Market,"�names the two global auto giants poised to reap even bigger gains as China's vast auto market continues to grow. You can read this report right now for free -- just click here for instant access.

Top China Stocks To Buy Right Now: Clean Diesel Technologies Inc.(CDTI)

Clean Diesel Technologies, Inc. engages in the manufacture and distribution of emissions control systems and products for heavy duty diesel and light duty vehicle markets. The company operates in two divisions, Heavy Duty Diesel Systems and Catalyst. The Heavy Duty Diesel Systems division designs and manufactures verified exhaust emissions control solutions that are used to reduce exhaust emissions created by on-road, off-road, and stationary diesel and alternative fuel engines, including propane and natural gas. Its products include closed crankcase ventilation systems, diesel oxidation catalysts, diesel particulate filters, Platinum Plus fuel-borne catalysts, ARIS selective catalytic reduction reagents, catalyzed wire mesh diesel particulate filters, alternative fuel products, and exhaust accessories. This division offers its products for original equipment manufacturers of heavy duty diesel equipment, such as mining equipment, vehicles, generator sets, and construction equipment, as well as retrofit customers consisting of school districts, municipalities, and other fleet operators. The Catalyst division produces catalyst formulations using its proprietary MPC technology for gasoline, diesel, and natural gas induced emissions. Its products comprise catalysts for gasoline engines, diesel engines, and energy applications. This division supplies its catalysts to automotive manufacturers and large heavy duty diesel engine manufacturers. The company sells its products through a network of distributors and dealers, and its direct sales force worldwide. Clean Diesel Technologies, Inc. is based in Ventura, California.

Advisors' Opinion:
  • [By CRWE]

    Clean Diesel Technologies, Inc. (Nasdaq:CDTI), a cleantech emissions control company, will be a presenter at the 3rd Annual Craig-Hallum Capital Group Alpha Select Conference. The presentation is scheduled for 2:10 p.m. ET on Thursday, September 27, 2012 at the Sentry Centers in New York.

Top China Stocks To Buy Right Now: LDK Solar Co. Ltd.(LDK)

LDK Solar Co., Ltd., together with its subsidiaries, engages in the design, development, manufacture, and marketing of photovoltaic (PV) products; and development of power plant projects. It offers solar-grade and semiconductor-grade polysilicon; and multicrystalline and monocrystalline solar wafers to the manufacturers of solar cells and solar modules. The company also provides wafer processing services to monocrystalline and multicrystalline solar cell and module manufacturers; and sells silicon materials, such as ingots and polysilicon scraps. In addition, it engages in the production and sale of solar cells and modules to developers, distributors, and system integrators; and design and development of solar power projects in Europe, the United States, and China, as well as provides engineering, procurement, and construction services. LDK Solar Co., Ltd. operates in Europe, the Asia Pacific, and North America. The company was founded in 2005 and is based in Xinyu City, t he People?s Republic of China.

Advisors' Opinion:
  • [By Roberto Pedone]

    One under-$10 name that's starting to move within range of triggering a near-term breakout trade is LDK Solar (LDK), a vertically integrated manufacturer of PV products for polysilicon, wafers, cells, modules, systems, power projects and solutions. This stock is off to a decent start in 2013, with shares up 13.1%.

    If you take a look at the chart for LDK Solar, you'll notice that this stock has been trending range bound and consolidating for the last month and change, with shares moving between $1.42 on the downside and $2 a share on the upside. Shares of LDK have just started to trend back above its 50-day moving average at $1.55 a share with decent upside volume flows. That move is quickly pushing shares of LDK within range of triggering a near-term breakout trade above a key downtrend line that has acted as resistance for a few months.

    Traders should now look for long-biased trades in LDK if it manages to break out above some near-term overhead resistance levels at $1.78 to $1.83 a share and then once it clears more resistance at $2 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 1.97 million shares. If that breakout triggers soon, then LDK will set up to re-test or possibly take out its next major overhead resistance levels at $2.17 to its 52-week high at $2.32 a share. Any high-volume move above $2.32 to $2.36 will then give LDK a chance to tag $3 to $3.50 a share.

    Traders can look to buy LDK off any weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at its 200-day moving average of $1.46 or at $1.42 a share. One can also buy LDK off strength once it clears those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

  • [By Paul Ausick]

    Big earnings movers: Chinese internet firm Qihoo 360 Technology Co. Ltd. (NYSE: QIHU) is up 8% at $78.99 on strong earnings and a buoyant outlook. A small biotech firm, Spherix Inc. (NASDAQ: SPEX) jumped 26.7% to more than $14 on earnings. On Tuesday we are scheduled to get earnings from LDK Solar Co. Ltd. (NYSE: LDK) and Tiffany & Co. (NYSE: TIF) before markets open. After Tuesday�� close we��l hear from Workday Inc. (NYSE: WDAY) and TiVo Inc. (NASDAQ: TIVO), among others.

Top 5 Growth Stocks To Own Right Now: Euro/Yen(EJ)

E-House (China) Holdings Limited, through its subsidiaries, operates as a real estate services company in China. It provides primary real estate agency services, secondary real estate brokerage services, real estate information and consulting services, real estate advertising services, real estate promotional event services, real estate online services, and real estate investment fund management services. The company offers primary real estate agency services to real estate developers. Its secondary real estate brokerage services include offering advisory services on choices of properties; accompanying potential buyers on house viewing trips; drafting purchase contracts; negotiating price and other terms; and providing preliminary proof of title, as well as coordinating with the notary, the bank, and the title transfer agency. The company also provides real estate information services comprising data subscription services and data integration services; and real estate cons ulting services, including land acquisition consulting, development consulting, marketing consulting, and comprehensive solution consulting. In addition, it offers real estate advertising services consisting of advertising design and sales in print and other media; and real estate promotional event services, including securing venues, hiring caters and other various service providers, formulating event themes, and inviting speakers and guests for real estate promotional events. Further, the company provides real estate online services, including real estate news, information, property data, and access to online communities to real estate consumers and participants through local Web sites; and involves in real estate investment fund management activities that consist of investments in China?s real estate sector. E-House (China) Holdings Limited was founded in 2000 and is headquartered in Shanghai, the People?s Republic of China.

Advisors' Opinion:
  • [By Belinda Cao]

    E-House China Holdings Ltd. (EJ), a real estate brokerage, gained 9.2 percent to $9.70, extending it advance to a third week. Its American depositary receipts retreated 3.1 percent Sept. 20 from the highest level since May 2011.

Top China Stocks To Buy Right Now: AsiaInfo-Linkage Inc.(ASIA)

AsiaInfo-Linkage, Inc. provides telecommunications software solutions and information technology (IT) products and services to telecommunications carriers and other enterprises in the People?s Republic of China. The company offers business and operation support systems product suites, including OpenBilling, a billing solution for telecommunications operators; OpenCRM, a CRM solution suite for telecommunications operators; OpenBOSS, a carrier-class business operation support system solution; OpenBI, a carrier-class operating analysis and decision support system platform; OpenPRM, a system that calculates, manages, and reconciles payment for intercarrier network access. It also provides network management solutions comprising NetXpert, a data and Internet protocol network management solution; and OpenXpert, an integrated telecommunications network management system. In addition, the company offers service applications products, such as Mail Center, an online messaging softwa re; Spam Patrol software for real time anti-spam control; and Net Disk, a network hard disk product, which facilitates Internet-based file transfer, sharing, and management, as well as supports other functions, such as data processing of short message folders and synchronization of mobile devices. Its service applications products also include Internet Short Messaging Gateway, a business support platform for value-added short messaging services; and Device Management Platform that enables mobile operators to manage various mobile devices and perform remote mobile device management, such as remote diagnosis and parameter setup. In addition, it offers software enhancement and maintenance, system integration, and other value-added IT consulting and planning services. The company was formerly known as AsiaInfo Holdings, Inc. and changed its name to AsiaInfo-Linkage, Inc. in July 2010. AsiaInfo-Linkage, Inc. was founded in 1993 and is headquartered in Beijing, the People?s Republ ic of China.

Advisors' Opinion:
  • [By Jonathan Burgos]

    ��arkets are entering a period of uncertainty,��said Yoji Takeda, Hong Kong-based head of Asian equities at RBC Investment (Asia) Ltd., which oversees $1.5 billion. ��here�� a policy vacuum in Japan and the government isn�� going to come up with new policies until parliament resumes sessions in September. While the possible tapering of U.S. stimulus has been more or less priced in, people tend to be a little bit cautious until it happens.��

Top China Stocks To Buy Right Now: TAL Education Group(XRS)

TAL Education Group, together with its subsidiaries, provides K-12 after-school tutoring services in the People?s Republic of China. It offers tutoring services to K-12 students covering various academic subjects, including mathematics, English, Chinese, physics, chemistry, and biology. The company provides tutoring services through small classes; personalized premium services, such as one-on-one tutoring; and online course offerings. As of May 31, 2011, it operated a network of 199 physical learning centers in Beijing, Shanghai, Guangzhou, Shenzhen, Tianjin, Wuhan, Nanjing, Hangzhou, Chengdu, and Xi?an; and eduu.com, an online education platform for online courses. The company also offers education and management consulting services, as well as sells software. It operates under the Xueersi brand. The company was founded in 2003 and is headquartered in Beijing, China.