Friday, August 3, 2018

Best Health Care Stocks For 2019

tags:HCOM,RMD,HRZN,

NICHOLAS KAMM/AFP/Getty Images

The U.S. Senate should switch to 51 votes, immediately, and get Healthcare and TAX CUTS approved, fast and easy. Dems would do it, no doubt!

— Donald J. Trump (@realDonaldTrump) May 30, 2017

Congressional Republicans have already shown they are not going to allow established rules and long-followed procedural precedents to get in the way of enacting their agenda.

From the Senate adopting the nuclear option to confirm Neil Gorsuch's nomination to the Supreme Court to the House's moving ahead with a vote on the American Health Care Act without waiting for the Congressional Budget Office's official score, it's obvious that, for Republicans, how it's been done in the past is irrelevant.

The same is true of the Trump White House, with the president strongly suggesting on May 30th in one of his rant-like tweets that Senate Republicans should eliminate the filibuster altogether so, unlike other presidents, he won't have to jump through as many procedural hoops or comply with as many legal requirements to get his agenda adopted.

Best Health Care Stocks For 2019: Hawaiian Telcom Holdco, Inc.(HCOM)

Advisors' Opinion:
  • [By Max Byerly]

    News coverage about Hawaiian Telcom HoldCo (NASDAQ:HCOM) has been trending somewhat positive recently, according to Accern Sentiment Analysis. The research group identifies positive and negative news coverage by monitoring more than 20 million news and blog sources in real time. Accern ranks coverage of publicly-traded companies on a scale of negative one to one, with scores nearest to one being the most favorable. Hawaiian Telcom HoldCo earned a news impact score of 0.06 on Accern’s scale. Accern also assigned media coverage about the utilities provider an impact score of 46.776618457707 out of 100, meaning that recent news coverage is somewhat unlikely to have an effect on the company’s share price in the near future.

Best Health Care Stocks For 2019: ResMed Inc.(RMD)

Advisors' Opinion:
  • [By Motley Fool Staff]

    Stock No. 3: ResMed (NYSE:RMD). This is the company solving sleep apnea with its CPAP devices and this is a company that really innovated and brought that technology to the world. For people who are having trouble sleeping with clogged airways as they're sleeping, ResMed is their best friend.

  • [By Ethan Ryder]

    Get a free copy of the Zacks research report on ResMed (RMD)

    For more information about research offerings from Zacks Investment Research, visit Zacks.com

  • [By Motley Fool Staff]

    Right now, it's time for that yearly review of the ones he picked to honor the month, and also the briefly famous pregnant giraffe: five companies, and the first letters of their tickers spelled out A-P-R-I-L. They were Axon Enterprise�(NASDAQ:AAXN), Grupo Aeroportuario del Pacific�(NYSE:PAC), ResMed�(NYSE:RMD), Intuitive Surgical (NASDAQ:ISRG), and Live Nation�(NYSE:LYV).

  • [By Logan Wallace]

    Teacher Retirement System of Texas raised its stake in ResMed (NYSE:RMD) by 65.0% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 64,284 shares of the medical equipment provider’s stock after purchasing an additional 25,316 shares during the period. Teacher Retirement System of Texas’ holdings in ResMed were worth $6,330,000 at the end of the most recent quarter.

  • [By Tyler Crowe, Leo Sun, and Brian Feroldi]

    So, we asked three of our investing contributors to highlight stocks that would be well suited for a baby boomer's portfolio. Here's a brief rundown as to why they picked HP (NYSE:HPQ), ResMed (NYSE:RMD), and American Tower (NYSE:AMT).�

Best Health Care Stocks For 2019: Horizon Technology Finance Corporation(HRZN)

Advisors' Opinion:
  • [By ]

    At the top, Horizon Tech Finance (Nasdaq: HRZN) has one of the more asset-rich balance sheets in the group. The business development company makes loans to private tech and life sciences outfits in need of capital. Since 2004, Horizon has invested $1.2 billion in loans to 200 carefully-screened borrowers.

  • [By Stephan Byrd]

    Horizon Tech Finance (NASDAQ: HRZN) and Invesco Van Kmpn Calf Vl Mncpl Incm Trst (NYSE:VCV) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

  • [By Logan Wallace]

    Compass Horizon Funding Co. (NASDAQ:HRZN) Director Elaine A. Sarsynski acquired 3,000 shares of the business’s stock in a transaction dated Monday, May 7th. The stock was purchased at an average cost of $10.00 per share, for a total transaction of $30,000.00. Following the completion of the acquisition, the director now directly owns 5,000 shares of the company’s stock, valued at approximately $50,000. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website.

Thursday, August 2, 2018

L.B. Foster (FSTR) Earns Daily Coverage Optimism Rating of 0.07

News articles about L.B. Foster (NASDAQ:FSTR) have trended somewhat positive recently, according to Accern Sentiment. The research firm identifies positive and negative press coverage by monitoring more than twenty million blog and news sources in real time. Accern ranks coverage of companies on a scale of negative one to positive one, with scores closest to one being the most favorable. L.B. Foster earned a media sentiment score of 0.07 on Accern’s scale. Accern also assigned news articles about the basic materials company an impact score of 41.2941599617828 out of 100, meaning that recent press coverage is somewhat unlikely to have an impact on the stock’s share price in the near future.

Separately, BidaskClub upgraded L.B. Foster from a “hold” rating to a “buy” rating in a research report on Friday, June 8th.

Get L.B. Foster alerts:

Shares of L.B. Foster traded down $0.05, hitting $22.35, on Friday, MarketBeat reports. 21,614 shares of the company’s stock traded hands, compared to its average volume of 42,786. L.B. Foster has a one year low of $17.00 and a one year high of $30.30. The company has a debt-to-equity ratio of 0.70, a current ratio of 2.02 and a quick ratio of 1.01. The firm has a market cap of $231.66 million, a price-to-earnings ratio of 25.40 and a beta of 2.28.

L.B. Foster (NASDAQ:FSTR) last announced its earnings results on Tuesday, May 1st. The basic materials company reported ($0.20) EPS for the quarter. L.B. Foster had a net margin of 0.84% and a return on equity of 6.49%. The business had revenue of $122.45 million for the quarter.

L.B. Foster Company Profile

L.B. Foster Company manufactures and distributes products and services for the transportation and energy infrastructure worldwide. Its Rail Products and Services segment offers new rail for passenger and shortline freight railroads, industrial companies, and rail contractors; used rail; rail accessories, such as track spikes, bolts, angle bars, and other products; power rail, direct fixation fasteners, coverboards, and special accessories; and trackwork products, as well as engineers and fabricates insulated rail joints and related accessories.

Featured Article: Understanding Relative Strength Index

Insider Buying and Selling by Quarter for L.B. Foster (NASDAQ:FSTR)

Wednesday, August 1, 2018

Steps (STEPS) Hits One Day Volume of $0.00

Steps (CURRENCY:STEPS) traded flat against the US dollar during the 1-day period ending at 15:00 PM Eastern on July 21st. Steps has a market capitalization of $20,474.00 and $0.00 worth of Steps was traded on exchanges in the last day. One Steps coin can currently be bought for about $0.0011 or 0.00000015 BTC on exchanges. During the last seven days, Steps has traded flat against the US dollar.

Here’s how similar cryptocurrencies have performed during the last day:

Get Steps alerts: DeviantCoin (DEV) traded 8% lower against the dollar and now trades at $0.85 or 0.00011458 BTC. Zeitcoin (ZEIT) traded up 5.4% against the dollar and now trades at $0.0001 or 0.00000001 BTC. Vcash (XVC) traded 7% lower against the dollar and now trades at $0.0896 or 0.00001207 BTC. GAIA (GAIA) traded flat against the dollar and now trades at $0.0248 or 0.00000264 BTC. Bitcurrency (BTCR) traded up 0.9% against the dollar and now trades at $0.0015 or 0.00000020 BTC. DROXNE (DRXNE) traded up 8.6% against the dollar and now trades at $0.0021 or 0.00000028 BTC. PureVidz (VIDZ) traded 7.2% higher against the dollar and now trades at $0.0012 or 0.00000016 BTC. MACRON (MCRN) traded down 32.7% against the dollar and now trades at $0.0001 or 0.00000002 BTC. Ride My Car (RIDE) traded flat against the dollar and now trades at $0.0003 or 0.00000004 BTC. LetItRide (LIR) traded 11% higher against the dollar and now trades at $0.0008 or 0.00000011 BTC.

Steps Profile

Steps (CRYPTO:STEPS) is a proof-of-stake (PoS) coin that uses the
Proof of Stake hashing algorithm. Its genesis date was September 16th, 2015. Steps’ total supply is 18,625,017 coins. Steps’ official Twitter account is @AltcoinSteps.

Buying and Selling Steps

Steps can be traded on the following cryptocurrency exchanges: YoBit. It is usually not currently possible to purchase alternative cryptocurrencies such as Steps directly using US dollars. Investors seeking to acquire Steps should first purchase Bitcoin or Ethereum using an exchange that deals in US dollars such as GDAX, Changelly or Gemini. Investors can then use their newly-acquired Bitcoin or Ethereum to purchase Steps using one of the aforementioned exchanges.

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Sunday, July 22, 2018

AXP & IBM Earnings Preview, Wednesday's Trending Stocks: AMZN, FNKO | Free Lunch

On today’s episode of Free Lunch, Associate Stock Strategist Ryan McQueeney covers trending market stories related to the Dow index, Amazon (AMZN ) , and Funko (FNKO ) . Later, he previews the upcoming earnings reports of American Express (AXP ) and IBM (IBM ) .

Want more video content from Zacks? Subscribe to Zacks Investment News now!

Free Lunch is the newest show from Zacks Investment Research. It is streamed live, four times per week, and features breaking news and analysis from Zacks strategists. Free Lunch is available on YouTube, Facebook Live, Twitter, Ustream, and more.

Despite early losses from broader indexes, the Dow fought for morning gains Wednesday and looks poised to nail its longest win streak since May. Industrials and financials displayed strength today, while investors showed some hesitation toward tech.

Meanwhile, e-commerce behemoth Amazon released information about this week’s historic Prime Day, which apparently saw the most one-day Prime member additions in the company’s history. Amazon was criticized during Prime Day as its site encountered various hiccups, but slowdowns apparently did not put a dent on the celebrations.

Investors on Wednesday were also feeling the Fortnite buzz as shares of toy maker Funko gained on the back of its new deal with Epic Games. The Fortnite maker made a licensing agreement which will see Funko produce a line of branded toys and collectibles.

Ryan recaps these stories and gives his own perspective on today’s breaking news during the first half of the show!

Later, the host speculates as to whether American Express and IBM will help the Dow continue its streak with their earnings reports this afternoon.

Ryan prepares investors for these reports by exploring earnings estimates, revision trends, valuation history, and other key data for each company. Don’t miss your chance to hear everything you need to know ahead of these earnings announcements!

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Saturday, July 21, 2018

Top 5 Medical Stocks To Buy For 2019

tags:ITI,CPIX,MDGL,KEY,WGL, KKR is reportedly close to announcing a deal to buy Envision Healthcare as the private equity firm continues its health-care acquisition spree.

The KKR deal for Envision is expected to be publicized Monday, the Wall Street Journal reported Sunday.�

The move would come after Envision announced in October that it would consider "strategic alternatives" for its future, which is business terminology for a possible sale or other restructuring�moves.

Envision provides doctor-led medical services at its�261 surgery centers and one surgical hospital in 35 states.�

KKR and Envision representatives were not immediately available to comment Sunday afternoon.

KKR has done several health care deals recently, including 2017's acquisition of WebMD, an online provider of medical information.

Top 5 Medical Stocks To Buy For 2019: Iteris, Inc.(ITI)

Advisors' Opinion:
  • [By Max Byerly]

    Iteris (NASDAQ:ITI) was downgraded by ValuEngine from a “buy” rating to a “hold” rating in a report released on Saturday.

    Several other research analysts have also commented on the company. JMP Securities initiated coverage on Iteris in a research report on Thursday, January 25th. They issued an “outperform” rating and a $10.50 price objective on the stock. B. Riley set a $9.00 price objective on Iteris and gave the company a “buy” rating in a research report on Thursday, February 8th. Finally, Zacks Investment Research lowered Iteris from a “hold” rating to a “sell” rating in a research report on Wednesday, April 4th. Two equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. Iteris has a consensus rating of “Buy” and a consensus price target of $8.75.

  • [By Stephan Byrd]

    iTicoin (CURRENCY:ITI) traded 21.2% higher against the U.S. dollar during the one day period ending at 20:00 PM Eastern on June 2nd. iTicoin has a total market capitalization of $543,370.00 and approximately $61.00 worth of iTicoin was traded on exchanges in the last 24 hours. In the last week, iTicoin has traded up 20.2% against the U.S. dollar. One iTicoin coin can currently be bought for approximately $16.98 or 0.00222465 BTC on major exchanges including BTC Trade UA, BTC-Alpha, Cryptopia and Livecoin.

  • [By Shane Hupp]

    B. Riley set a $9.00 price target on Iteris (NASDAQ:ITI) in a research report sent to investors on Wednesday morning. The brokerage currently has a buy rating on the technology company’s stock. B. Riley also issued estimates for Iteris’ Q4 2018 earnings at ($0.04) EPS, FY2018 earnings at ($0.08) EPS, Q1 2019 earnings at ($0.02) EPS, Q2 2019 earnings at ($0.05) EPS, Q3 2019 earnings at ($0.01) EPS, Q4 2019 earnings at ($0.04) EPS, FY2019 earnings at ($0.11) EPS, FY2020 earnings at $0.16 EPS and FY2021 earnings at $0.52 EPS.

  • [By Shane Hupp]

    Iteris (NASDAQ: ITI) and Napco Security Technologies (NASDAQ:NSSC) are both small-cap computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, dividends, valuation, institutional ownership, profitability and risk.

  • [By Lisa Levin] Gainers Red Violet, Inc. (NASDAQ: RDVT) rose 75.31 percent to close at $9.94 after reporting Q1 results. Euro Tech Holdings Company Limited (NASDAQ: CLWT) shares jumped 40.62 percent to close at $4.50 on Tuesday after reporting 2017 year-end results. MEI Pharma, Inc. (NASDAQ: MEIP) gained 34.39 percent to close at $3.40. MEDIGUS Ltd/S ADR (NASDAQ: MDGS) gained 32.74 percent to close at $1.50 in reaction to its Monday announcement of a distribution agreement. The medical device company said it reached an agreement to distribute its minimally invasive medical devices in Turkey, Azerbaijan and Georgia. Pfenex Inc. (NYSE: PFNX) surged 31.15 percent to close at $8.00 after the company announced the positive top-line PF708 study results in Osteoporosis patients that showed no imbalances in severity or incidence of adverse events. Arcadia Biosciences, Inc. (NASDAQ: RKDA) rose 21.07 percent to close at $11.09. Arcadia Biosciences reported that Albert D. Bolles, Ph.D. has joined its board of directors. Genprex, Inc. (NASDAQ: GNPX) rose 20.23 percent to close at $10.58. Turtle Beach Corporation (NASDAQ: HEAR) shares gained 17.62 percent to close at $17.82. Aptevo Therapeutics Inc. (NASDAQ: APVO) rose 17.1 percent to close at $5.82. Phoenix New Media Limited (NYSE: FENG) shares jumped 16.23 percent to close at $4.87 following Q1 earnings. Stein Mart, Inc. (NASDAQ: SMRT) rose 16.04 percent to close at $3.69. PPDAI Group Inc. (NASDAQ: PPDF) climbed 15.99 percent to close at $7.98 following Q1 results. Tyme Technologies, Inc. (NASDAQ: TYME) rose 15.93 percent to close at $3.42. LiqTech International, Inc. (NASDAQ: LIQT) gained 15.59 percent to close at $0.5532 following Q1 results. Sophiris Bio, Inc. (NASDAQ: SPHS) gained 13.92 percent to close at $3.52 on Tuesday following Q1 results. Euroseas Ltd. (NASDAQ: ESEA) jumped 13.4 percent to close at $2.37. Iteris, Inc. (NASDAQ: ITI) shares surged 13.05 percent to close
  • [By Stephan Byrd]

    Iteris (NASDAQ: ITI) and UTStarcom (NASDAQ:UTSI) are both small-cap computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, dividends, valuation, profitability and analyst recommendations.

Top 5 Medical Stocks To Buy For 2019: Cumberland Pharmaceuticals Inc.(CPIX)

Advisors' Opinion:
  • [By Max Byerly]

    COPYRIGHT VIOLATION NOTICE: “Cumberland Pharmaceuticals (CPIX) Research Coverage Started at B. Riley” was originally posted by Ticker Report and is the property of of Ticker Report. If you are reading this report on another domain, it was copied illegally and republished in violation of US and international copyright & trademark legislation. The legal version of this report can be accessed at https://www.tickerreport.com/banking-finance/3364464/cumberland-pharmaceuticals-cpix-research-coverage-started-at-b-riley.html.

  • [By Logan Wallace]

    JW Asset Management LLC cut its stake in Cumberland Pharmaceuticals, Inc. (NASDAQ:CPIX) by 32.2% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 178,942 shares of the specialty pharmaceutical company’s stock after selling 84,939 shares during the period. Cumberland Pharmaceuticals comprises about 1.2% of JW Asset Management LLC’s holdings, making the stock its 16th largest holding. JW Asset Management LLC owned about 1.14% of Cumberland Pharmaceuticals worth $1,195,000 as of its most recent filing with the Securities and Exchange Commission.

Top 5 Medical Stocks To Buy For 2019: Madrigal Pharmaceuticals, Inc. (MDGL)

Advisors' Opinion:
  • [By Shane Hupp]

    Madrigal Pharmaceuticals (NASDAQ:MDGL)‘s stock had its “buy” rating restated by investment analysts at Cowen in a research note issued on Thursday.

  • [By Lisa Levin]

    Madrigal Pharmaceuticals, Inc. (NASDAQ: MDGL) shares shot up 132 percent to $251.6029 in reaction to an encouraging Phase 2 clinical trial update. The clinical-stage biopharmaceutical company said its liver-directed, thyroid hormone receptor called MGL-3196 showed a statistical significance in the primary endpoint of lowering liver fat at 12 weeks and also 36 weeks.

  • [By George Budwell]

    Shares of the clinical-stage biotech�Viking Therapeutics (NASDAQ:VKTX) are soaring this morning following positive mid-stage trial results for Madrigal Pharmaceuticals' (NASDAQ:MDGL) nonalcoholic�steatohepatitis (NASH) candidate�MGL-3196.

  • [By Lisa Levin] Gainers Madrigal Pharmaceuticals, Inc. (NASDAQ: MDGL) shares surged 144.96 percent to close at $265.61 on Thursday in reaction to an encouraging Phase 2 clinical trial update. The clinical-stage biopharmaceutical company said its liver-directed, thyroid hormone receptor called MGL-3196 showed a statistical significance in the primary endpoint of lowering liver fat at 12 weeks and also 36 weeks. Viking Therapeutics, Inc. (NASDAQ: VKTX) shares rose 101.01 percent to close at $9.99 on Thursday after falling 4.42 percent on Wednesday. Akers Biosciences, Inc. (NASDAQ: AKER) jumped 45.58 percent to close at $0.474. The developer of rapid health information technologies said Wednesday afternoon it was granted a 180-day extension from the Nasdaq Stock Market to meet the requirement of a minimum $1.00 per share closing bid price for 10 straight days. Kitov Pharma Ltd (NASDAQ: KTOV) gained 40.93 percent to close at $3.03 after the FDA approved Kitov's Consensi for the treatment of osteoarthritis pain and hypertension. China Customer Relations Centers, Inc. (NASDAQ: CCRC) rose 28.21 percent to close at $19.86. J.Jill, Inc. (NYSE: JILL) climbed 26.45 percent to close at $7.84 after the company posted upbeat quarterly earnings. Curis, Inc. (NASDAQ: CRIS) shares climbed 21.93 percent to close at $2.78 in reaction to an encouraging FDA update. The biotechnology company that focuses on therapies for the treatment of cancer said the FDA granted a Fast Track designation for fimepinostat (CUDC-907) in patients with relapsed or refractory. Boxlight Corporation (NASDAQ: BOXL) gained 21.23 percent to close at $7.48. Kirkland's, Inc. (NASDAQ: KIRK) rose 16.21 percent to close at $12.83 after reporting upbeat Q1 results. The Brink's Company (NYSE: BCO) jumped 16.2 percent to close at $79.25 as the company announced plans to acquire Dunbar Armored for $520 million in cash. Applied Optoelectronics, Inc. (NASDAQ: AAOI) rose 15.14 percent to c
  • [By Lisa Levin]

    Madrigal Pharmaceuticals, Inc. (NASDAQ: MDGL) shares shot up 144 percent to $264.885 in reaction to an encouraging Phase 2 clinical trial update. The clinical-stage biopharmaceutical company said its liver-directed, thyroid hormone receptor called MGL-3196 showed a statistical significance in the primary endpoint of lowering liver fat at 12 weeks and also 36 weeks.

  • [By Sean Williams]

    Perhaps no company has received more interest in recent weeks than Madrigal Pharmaceuticals (NASDAQ:MDGL) which, might I add, has gained more than 1,800% over the trailing year.

Top 5 Medical Stocks To Buy For 2019: KeyCorp(KEY)

Advisors' Opinion:
  • [By Joseph Griffin]

    KEY (CURRENCY:KEY) traded up 0.6% against the U.S. dollar during the one day period ending at 13:00 PM Eastern on July 1st. During the last week, KEY has traded up 7.6% against the U.S. dollar. One KEY token can now be bought for about $0.0063 or 0.00000099 BTC on popular exchanges. KEY has a market cap of $0.00 and approximately $284,702.00 worth of KEY was traded on exchanges in the last day.

  • [By Max Byerly]

    Get a free copy of the Zacks research report on KeyCorp (KEY)

    For more information about research offerings from Zacks Investment Research, visit Zacks.com

  • [By Stephan Byrd]

    Teacher Retirement System of Texas lessened its position in KeyCorp (NYSE:KEY) by 19.2% during the 1st quarter, HoldingsChannel.com reports. The institutional investor owned 237,965 shares of the financial services provider’s stock after selling 56,681 shares during the quarter. Teacher Retirement System of Texas’ holdings in KeyCorp were worth $4,652,000 at the end of the most recent quarter.

  • [By ]

    That said, I never completely abandoned the space. I remain long Citigroup (C) , I am flat KeyCorp (KEY) , having managed to maximize that trade earlier this year. Recently, your pal even reloaded his Goldman Sachs (GS) long after having trimmed that position appropriately. That, friends, is based on my belief that volatility will allow this legendary firm to reclaim its reputation. This one, I'll watch with great anticipation. They report on Tuesday, April 17. My trigger finger itches now.

  • [By Money Morning Staff Reports]

    KeyCorp (NYSE: KEY), the parent company of KeyBank, announced that it will hike its dividend by a whopping 42%. The announcement – a hike from $0.12 to $0.17 – is further proof that U.S. banks are much healthier. KEY also just hit the "Buy Zone" on the Money Morning Stock VQScore�� system.

  • [By Stephan Byrd]

    Gifford Fong Associates acquired a new stake in shares of KeyCorp (NYSE:KEY) in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm acquired 30,000 shares of the financial services provider’s stock, valued at approximately $587,000.

Top 5 Medical Stocks To Buy For 2019: WGL Holdings Inc(WGL)

Advisors' Opinion:
  • [By Shane Hupp]

    Franklin Resources Inc. purchased a new stake in shares of WGL Holdings Inc (NYSE:WGL) in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm purchased 28,373 shares of the utilities provider’s stock, valued at approximately $2,374,000. Franklin Resources Inc. owned about 0.06% of WGL as of its most recent SEC filing.

  • [By Stephan Byrd]

    WGL Holdings Inc (NYSE:WGL)’s share price reached a new 52-week high during trading on Thursday . The stock traded as high as $88.75 and last traded at $88.72, with a volume of 377688 shares traded. The stock had previously closed at $88.56.

Friday, July 20, 2018

Top Oil Stocks To Buy For 2019

tags:APA,COP,RIG,ECA,RRC,MRO,

Bonanza Creek Energy (NYSE:BCEI) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating in a research note issued on Monday. The brokerage presently has a $38.00 target price on the oil and gas producer’s stock. Zacks Investment Research‘s target price would indicate a potential upside of 14.35% from the company’s previous close.

According to Zacks, “Bonanza Creek Energy, Inc. is engaged in the acquisition, exploration and development of onshore oil and natural gas properties in the United States. The Company’s core operating areas are the DJ Basin in Colorado and the Cotton Valley formation in southern Arkansas. Bonanza Creek Energy, Inc. is based in Denver, Colorado. “

Top Oil Stocks To Buy For 2019: Apache Corporation(APA)

Advisors' Opinion:
  • [By ]

    Now, I haven't dabbled in U.S. shale oil or in the permian basin since I extracted myself from Apache (APA) several months ago after an epic fight in the name of capital preservation. But The Wall Street Journal ran a piece last week explaining that due to already-mentioned distribution bottlenecks, Permian-basin oil prices had fallen below $60 a barrel despite the fact that WTI futures were trading above $70.

  • [By Joseph Griffin]

    Apache Co. (NYSE:APA) – Research analysts at Capital One Financial upped their Q2 2018 earnings per share estimates for shares of Apache in a research note issued on Thursday, July 5th. Capital One Financial analyst R. Tullis now forecasts that the energy company will earn $0.37 per share for the quarter, up from their previous estimate of $0.31.

  • [By Matthew DiLallo]

    Thanks to red-hot oil prices over the past year, oil stocks are up sharply. To give some sense of the magnitude of the rebound, the iShares U.S. Oil & Gas Exploration & Production ETF (NYSEMKT:IEO) -- which holds more than 60 U.S.-focused oil and gas stocks -- has rallied nearly 33% over the last 12 months. However, while that rising tide has lifted most boats, not all oil and gas stocks have enjoyed the oil market's rebound. In fact, some stocks have managed to lose ground in the past year. Two of those laggards are Antero Resources (NYSE:AR) and Apache Corporation (NYSE:APA), which have declined 6% and 12%, respectively, in the last year.

  • [By Matthew DiLallo]

    The IEA's forecast bodes well for oil stocks, especially those that have underperformed during the rally over the past year. Two that stand out are Newfield Exploration (NYSE:NFX) and Apache (NYSE:APA), since both have lost value even though oil has been red-hot. Because of that, they trade at dirt cheap valuations versus their peers. That underperformance doesn't make sense given the growth these companies can deliver at much lower oil prices.

Top Oil Stocks To Buy For 2019: ConocoPhillips(COP)

Advisors' Opinion:
  • [By Lisa Levin] Companies Reporting Before The Bell General Motors Company (NYSE: GM) is projected to report quarterly earnings at $1.24 per share on revenue of $34.66 billion. Bristol-Myers Squibb Company (NYSE: BMY) is estimated to report quarterly earnings at $0.85 per share on revenue of $5.24 billion. United Parcel Service, Inc. (NYSE: UPS) is expected to report quarterly earnings at $1.55 per share on revenue of $16.44 billion. Time Warner Inc. (NYSE: TWX) is projected to report quarterly earnings at $1.74 per share on revenue of $7.91 billion. ConocoPhillips (NYSE: COP) is expected to report quarterly earnings at $0.74 per share on revenue of $8.81 billion. PepsiCo, Inc. (NYSE: PEP) is expected to report quarterly earnings at $0.93 per share on revenue of $12.4 billion. American Airlines Group Inc. (NASDAQ: AAL) is estimated to report quarterly earnings at $0.72 per share on revenue of $10.42 billion. Southwest Airlines Co (NYSE: LUV) is expected to report quarterly earnings at $0.74 per share on revenue of $5.01 billion. Fiat Chrysler Automobiles N.V. (NYSE: FCAU) is estimated to report quarterly earnings at $0.8 per share on revenue of $34.52 billion. Union Pacific Corporation (NYSE: UNP) is projected to report quarterly earnings at $1.66 per share on revenue of $5.38 billion. D.R. Horton, Inc. (NYSE: DHI) is expected to report quarterly earnings at $0.85 per share on revenue of $3.76 billion. The Hershey Company (NYSE: HSY) is estimated to report quarterly earnings at $1.4 per share on revenue of $1.94 billion. Praxair, Inc. (NYSE: PX) is expected to report quarterly earnings at $1.56 per share on revenue of $2.94 billion. Altria Group, Inc. (NYSE: MO) is projected to report quarterly earnings at $0.92 per share on revenue of $4.63 billion. Shire plc (NASDAQ: SHPG) is estimated to report quarterly earnings at $3.54 per share on revenue of $3.72 billion. Oshkosh Corporation (NYSE: OSK) is projected to report quarter
  • [By Matthew DiLallo]

    ConocoPhillips (NYSE:COP) has been one of the hottest oil stocks in the sector over the past year. Shares of the U.S. oil giant are up an eye-popping 57% over that time frame, adding $26 billion to its market cap. That's a significantly higher return than most other oil stocks, which are only up by a mid-teens rate on average.

  • [By Matthew DiLallo]

    Several other oil companies have also steadily increased cash returns to shareholders in the last year. ConocoPhillips (NYSE:COP), for example, initially expected to repurchase $3 billion in stock through 2019. But after selling a boatload of assets last year, the company bought back that entire amount in 2017. So the company said it would buy back $1.5 billion per year through 2020, increasing its overall authorization to $7.5 billion. However, thanks to improving oil prices, the company has already boosted 2018's buyback by $500 million -- along with increasing its dividend 7.5%. And it could raise its repurchase authorization again given where crude prices are these days, and the fact that the company is on pace to achieve its debt-reduction target a year early.

  • [By Shane Hupp]

    Caisse DE Depot ET Placement DU Quebec raised its position in ConocoPhillips (NYSE:COP) by 285.9% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 652,900 shares of the energy producer’s stock after purchasing an additional 483,700 shares during the quarter. Caisse DE Depot ET Placement DU Quebec owned 0.06% of ConocoPhillips worth $38,710,000 as of its most recent SEC filing.

  • [By Shane Hupp]

    ConocoPhillips (NYSE:COP) VP Glenda Mae Schwarz sold 6,763 shares of the company’s stock in a transaction that occurred on Friday, May 25th. The stock was sold at an average price of $65.04, for a total value of $439,865.52. Following the sale, the vice president now directly owns 10,182 shares of the company’s stock, valued at approximately $662,237.28. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Top Oil Stocks To Buy For 2019: Transocean Inc.(RIG)

Advisors' Opinion:
  • [By Jason Hall]

    On June 27, shares of Seadrill Ltd�(NYSE:SDRL),�Diamond Offshore Drilling Inc (NYSE:DO), and�Ensco PLC�(NYSE:ESV) traded up more than 10% at various points. And while they've cooled off a bit -- up 9.9%, 10.3%, and 8.9%, respectively, at recent prices -- they continue to march toward today's close with big gains. And while not quite as much as the three aforementioned companies, shares of�Transocean LTD (NYSE:RIG)�and Noble Corporation PLC�(NYSE:NE) are showing big days as well, up 6.4% and 7.2% in late-afternoon trading.�

  • [By Max Byerly]

    ValuEngine upgraded shares of Transocean (NYSE:RIG) from a hold rating to a buy rating in a research note released on Wednesday morning.

    Several other research firms have also recently issued reports on RIG. Bank of America increased their price objective on Transocean from $12.00 to $13.00 and gave the stock a neutral rating in a research report on Wednesday, April 18th. Citigroup increased their price objective on Transocean from $15.00 to $16.00 and gave the stock a buy rating in a research report on Monday, April 30th. Susquehanna Bancshares set a $11.00 price objective on Transocean and gave the stock a hold rating in a research report on Friday, January 12th. Cowen set a $11.00 price objective on Transocean and gave the stock a hold rating in a research report on Thursday, January 11th. Finally, Piper Jaffray set a $11.00 price objective on Transocean and gave the stock a hold rating in a research report on Wednesday, January 10th. Eight investment analysts have rated the stock with a sell rating, ten have given a hold rating and fourteen have issued a buy rating to the stock. The company currently has an average rating of Hold and an average price target of $11.79.

  • [By Ethan Ryder]

    Quantitative Systematic Strategies LLC bought a new stake in Transocean LTD (NYSE:RIG) during the 1st quarter, HoldingsChannel reports. The institutional investor bought 13,609 shares of the offshore drilling services provider’s stock, valued at approximately $135,000.

  • [By Tyler Crowe, Matthew DiLallo, and Reuben Gregg Brewer]

    While we aren't prognosticators on crude oil prices, there does appear to be a lot�of value in the energy sector at this price level. So we asked three Motley Fool investors to highlight a stock in the sector they like this month. Here's why they picked Enterprise Products Partners (NYSE:EPD), Enbridge (NYSE:ENB), and Transocean (NYSE:RIG).�

Top Oil Stocks To Buy For 2019: Encana Corporation(ECA)

Advisors' Opinion:
  • [By Shane Hupp]

    Electra (CURRENCY:ECA) traded down 5.1% against the U.S. dollar during the 24-hour period ending at 15:00 PM E.T. on June 12th. Over the last seven days, Electra has traded down 25.7% against the U.S. dollar. Electra has a market cap of $34.53 million and approximately $134,011.00 worth of Electra was traded on exchanges in the last 24 hours. One Electra coin can currently be bought for $0.0013 or 0.00000020 BTC on exchanges including CryptoBridge, Fatbtc, CoinFalcon and Coinhouse.

  • [By Ethan Ryder]

    Encana (NYSE:ECA) (TSE:ECA) had its target price raised by Morgan Stanley from $16.00 to $20.00 in a research report report published on Wednesday morning. Morgan Stanley currently has a buy rating on the oil and gas company’s stock.

  • [By Max Byerly]

    Electra (CURRENCY:ECA) traded 8% higher against the U.S. dollar during the 1-day period ending at 22:00 PM ET on June 20th. In the last week, Electra has traded 12.6% higher against the U.S. dollar. Electra has a market capitalization of $34.87 million and $128,874.00 worth of Electra was traded on exchanges in the last 24 hours. One Electra coin can now be purchased for $0.0014 or 0.00000020 BTC on exchanges including Fatbtc, Novaexchange, CoinFalcon and CryptoBridge.

Top Oil Stocks To Buy For 2019: Range Resources Corporation(RRC)

Advisors' Opinion:
  • [By Tyler Crowe, Matthew DiLallo, and Reuben Gregg Brewer]

    So we asked three of our investing contributors to each highlight a company they think has a compelling investment case right now in the oil and gas industry. Here's why they selected Devon Energy (NYSE:DVN), Range Resources (NYSE:RRC), and ExxonMobil (NYSE:XOM).

  • [By Paul Ausick]

    Range Resources Corp. (NYSE: RRC) fell about 3.6% Monday to post a new 52-week low of $14.77 after closing at $15.30 on Friday. The 52-week high is $35.64. Volume of about 9.4 million was about 20% higher than the daily average of around 7.7 million shares traded. The company had no specific news.

  • [By Shane Hupp]

    Toronto Dominion Bank increased its holdings in Range Resources Corp. (NYSE:RRC) by 25.2% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 123,421 shares of the oil and gas exploration company’s stock after purchasing an additional 24,839 shares during the period. Toronto Dominion Bank’s holdings in Range Resources were worth $1,794,000 as of its most recent SEC filing.

  • [By Ethan Ryder]

    OppenheimerFunds Inc. lowered its holdings in Range Resources Corp. (NYSE:RRC) by 68.2% in the first quarter, HoldingsChannel.com reports. The fund owned 30,532 shares of the oil and gas exploration company’s stock after selling 65,576 shares during the quarter. OppenheimerFunds Inc.’s holdings in Range Resources were worth $444,000 at the end of the most recent reporting period.

  • [By Joseph Griffin]

    Range Resources Corp. (NYSE:RRC) – Equities research analysts at Seaport Global Securities raised their Q4 2018 earnings per share (EPS) estimates for shares of Range Resources in a note issued to investors on Wednesday, May 23rd. Seaport Global Securities analyst M. Kelly now anticipates that the oil and gas exploration company will post earnings per share of $0.12 for the quarter, up from their previous forecast of $0.11. Seaport Global Securities has a “Neutral” rating on the stock. Seaport Global Securities also issued estimates for Range Resources’ Q1 2019 earnings at $0.36 EPS, Q3 2019 earnings at $0.18 EPS, Q4 2019 earnings at $0.26 EPS and FY2019 earnings at $0.98 EPS.

  • [By Stephan Byrd]

    Get a free copy of the Zacks research report on Range Resources (RRC)

    For more information about research offerings from Zacks Investment Research, visit Zacks.com

Top Oil Stocks To Buy For 2019: Marathon Oil Corporation(MRO)

Advisors' Opinion:
  • [By Max Byerly]

    Get a free copy of the Zacks research report on Marathon Oil (MRO)

    For more information about research offerings from Zacks Investment Research, visit Zacks.com

  • [By Matthew DiLallo]

    Marathon Oil (NYSE:MRO)�also has cashed in on the improvement in oil prices. Shares of the U.S. oil company are up more than 80% over the past year -- making it one of the best-performing oil stocks of 2018�-- due to the impact higher oil prices are having on its cash flow. Like EOG, Marathon Oil set its budget to run on $50 oil, which has it on pace to produce $500 million in free cash at $60 a barrel and even more at current prices.

  • [By Tyler Crowe]

    Back in 2011, Marathon Oil (NYSE:MRO) elected to spin off Marathon Petroleum. At the time, much of the reasoning for the split was that both entities would garner higher valuations than as an integrated company. Also, by separating them, both could best allocate capital to grow shareholder value.�

Thursday, July 19, 2018

Paragon Price Hits $0.12 on Top Exchanges (PRG)

Paragon (CURRENCY:PRG) traded 9.7% higher against the U.S. dollar during the 24-hour period ending at 10:00 AM Eastern on July 18th. In the last week, Paragon has traded up 38.9% against the U.S. dollar. Paragon has a market cap of $8.12 million and $219,166.00 worth of Paragon was traded on exchanges in the last 24 hours. One Paragon token can currently be purchased for $0.12 or 0.00001654 BTC on cryptocurrency exchanges including Livecoin, Tidex and HitBTC.

Here is how related cryptocurrencies have performed in the last 24 hours:

Get Paragon alerts: XRP (XRP) traded up 8.3% against the dollar and now trades at $0.51 or 0.00006879 BTC. Stellar (XLM) traded up 37.5% against the dollar and now trades at $0.32 or 0.00004268 BTC. IOTA (MIOTA) traded up 5.9% against the dollar and now trades at $1.13 or 0.00015121 BTC. Tether (USDT) traded down 0.3% against the dollar and now trades at $1.00 or 0.00013405 BTC. TRON (TRX) traded up 8.2% against the dollar and now trades at $0.0397 or 0.00000533 BTC. NEO (NEO) traded up 7.9% against the dollar and now trades at $39.03 or 0.00524005 BTC. Binance Coin (BNB) traded up 4.7% against the dollar and now trades at $13.72 or 0.00184173 BTC. VeChain (VET) traded 4% higher against the dollar and now trades at $1.90 or 0.00025547 BTC. 0x (ZRX) traded up 12.7% against the dollar and now trades at $1.25 or 0.00016822 BTC. Zilliqa (ZIL) traded 14% higher against the dollar and now trades at $0.0851 or 0.00001143 BTC.

Paragon Profile

Paragon launched on October 26th, 2017. Paragon’s total supply is 164,936,587 tokens and its circulating supply is 65,936,597 tokens. Paragon’s official Twitter account is @paragoncoin and its Facebook page is accessible here. Paragon’s official website is paragoncoin.com.

Paragon Token Trading

Paragon can be bought or sold on the following cryptocurrency exchanges: HitBTC, Tidex and Livecoin. It is usually not presently possible to buy alternative cryptocurrencies such as Paragon directly using US dollars. Investors seeking to trade Paragon should first buy Ethereum or Bitcoin using an exchange that deals in US dollars such as Gemini, Coinbase or Changelly. Investors can then use their newly-acquired Ethereum or Bitcoin to buy Paragon using one of the exchanges listed above.

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Friday, July 13, 2018

2 Top Stocks for Retirees

If you're a retiree in your early sixties, you have a pretty good chance at another three decades of retirement. That means it's more important than�ever to create an income stream that grows faster than the cost of living.

Welltower Inc. (NYSE:WELL)�and�Realty Income Corp. (NYSE:O) offer market-beating dividend yields up front, plus they benefit from strong positions in their respective niches. Here's why this pair is a perfect fit for retirees and cautious investors of all ages.

Cash raining down on a happy man petting a blue piggy bank

Image source: Getty Images.

1. Welltower: A major player in the middle of an unstoppable trend

America's population of people over the age of 85 is expected to double during the next 20 years, which means demand for senior housing, and senior-specific healthcare, isn't going anywhere but up.�Welltower owns (and in some cases operates) 1,277 healthcare properties that make it the country's single largest real estate investment trust (REIT) with concentrated exposure to these senior-specific fields.

Changes to the way Medicare and Medicaid reimburse facilities have made the senior housing business unusually challenging over the past several years, but that hasn't stopped Welltower from meeting its dividend commitment. With the exception of a brief dip in late 2006 and early 2007, this REIT's made fairly regular payout bumps that have kept the distribution rising for decades.

Since its inception 46 years ago, Welltower has delivered a 15.5% annual return by skating to where the puck's going to be, and in recent years that's meant lots of asset sales. Lower profits from fewer assets have made it hard to raise the dividend payout, but it will probably be worth the struggle. Now, the company's restructured portfolio is made up of competitive properties mostly located in�affluent healthcare markets.

Welltower shares offer a big 5.5% dividend yield at recent prices. Although the restructuring program might make it hard to deliver big payout bumps in the near term, a pivot toward high-margin revenue from private end payers could help this REIT outperform for retirees in the decades to come.

Someone getting paid cash.

Image source: Getty Images.

2. Realty Income: Monthly payouts and market-beating gains

Since going public in 1994, shares of Realty Income have delivered a 15.8% annual return. Predictable cash flows from a portfolio that currently boasts over 5,100 real estate properties have allowed this REIT to boost its monthly payout 96 times in its 24-year history as a public company. At recent prices, the stock offers a nice 4.7% dividend yield and appears ready to outperform for at least a couple more decades.�

This is a quintessential set-it-and-forget-it stock for shareholders partly because it takes a similar approach with its tenants. Realty Income is a champion of signing long-term�net lease agreements that place responsibility for taxes, maintenance, and other variable expenses on the tenant. Once a new 7-Eleven�moves in, Realty Income can expect at least a decade of rock-steady cash flows.

Investing in any single one of the brick-and-mortar retailers that lease Realty Income properties is probably too risky for most retirees, but its diverse revenue stream makes it a solid retirement stock. Although most brick-and-mortar retail markets have taken a hit recently, this REIT has kept its portfolio focused on businesses that meet criteria that should allow them to continue paying rent for the long run. For example, its fitness center and movie theater tenants are highly resistant to e-commerce while dollar stores tend to do best when the economy's at its worst.

Even during the depth of the latest recession occupancy bottomed out at 96.6% in 2010 and has since risen to an outstanding 98.6% with more than half of rental revenue coming from tenants with investment-grade credit ratings.

Older man looking at rising stacks of coins.

Image source: Getty Images.

Be ready for the long haul

Realty Income and Welltower have what it takes to deliver market-beating gains, but investors need to understand that rapidly rising interest rates can have a twofold effect on REITs. Higher interest rates drive up borrowing costs, which can squeeze profit margins over the long run. In the short term, higher rates push REIT prices down because investors demand higher yields to compete with safer assets, such as Treasury bonds.

High-interest-rate environments generally coincide with economic booms, which should allow these REITs to make enough rent increases to keep their payouts rising into the long run. While one can be fairly confident that careful capital allocation will keep those dividend payments flowing, there isn't a lot to be done about temporary stock movements to the downside other than wait.

That's all fine and good if you've retired with a large enough nest egg that dividend payments on their own meet your income needs. If you're going to need to make steady withdrawals from your principal, though, fixed income investing might be a better option.

Wednesday, July 11, 2018

Why Clorox Company Stock Jumped 11.9% in June to Deliver Its Best Month This Year

What happened

Clorox (NYSE:CLX) shares made a dramatic comeback in June, ending the month 11.9% higher according to data provided by�S&P Global Market Intelligence and reversing a major chunk of the losses they'd piled on year to date.

Interestingly, Clorox shares have been on the rise ever since the company reported its third-quarter earnings early May despite a full-year earnings downgrade. What gives?

So what

Rising cost pressure has been a common theme across the consumer goods industry. Clorox's third-quarter gross margin dropped to 42.8%�from 44% as a result. Yet, the company earned 5% higher net profit year over year on lower taxes and 3% growth in sales. More importantly, Clorox upgraded its full-year sales guidance to the higher end of its previous range of 1%-3%. On the flip side, it downgraded its fiscal 2018 earnings per share (EPS) outlook to $6.15-$6.30 from $6.17-$6.37. There's nothing to worry here, though.

Clorox's products and brands.

Image source: Clorox Company.

In March, Clorox announced plans to acquire health and wellness company, Nutranext for $700 million, to be financed through cash and debt. While Clorox expects the acquisition to add a percentage point to its top line this year (hence the revenue outlook upgrade), acquisition-related expenses are expected to dilute its earnings.

Investors were encouraged by Clorox's resilience amid challenging cost conditions. To top that, the company announced a share repurchase program worth $2�billion later in May, reflecting management's confidence in its long-term goals, which include 3%-5% growth in annual sales and conversion of 11%-13% annual revenue into free cash flows.

Rising cash flows should also mean higher dividends for shareholders: Clorox has already made a mark in the dividend world as a Dividend Aristocrat and rewarded shareholders with a good 14% increase in dividends earlier this year.

So what

Clorox's full-year outlook, after the downgrade, calls for a solid 16% growth in EPS at the midpoint. While the Nutranext acquisition is unlikely to be accretive before fiscal 2020, Clorox should still be able to grow its EPS at a decent clip next year. The growth potential in earnings and dividend, coupled with the buyback program, was good enough for the market to propel Clorox shares higher last month.

Monday, July 9, 2018

Koninklijke Philips (PHG) Downgraded by Zacks Investment Research

Koninklijke Philips (NYSE:PHG) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report released on Friday.

According to Zacks, “Philips’ is benefiting from strong sales in Diagnosis & Treatment businesses. The company’s expanding portfolio is driving share price momentum, which has outperformed the industry on a year-to-date basis. The company remains optimistic about the prospects of its Diagnosis & Treatment vertical. However, management also mentioned that growth of Ultrasound might not be as good as in the first quarter. Moreover, the company’s near-term profitability is likely to be hurt by the sluggish growth prospects of the healthcare market on a global scale. Also, high restructuring and acquisition-related costs are major headwinds.”

Get Koninklijke Philips alerts:

A number of other research analysts have also recently commented on PHG. ValuEngine upgraded shares of Koninklijke Philips from a “hold” rating to a “buy” rating in a research note on Monday. Deutsche Bank upgraded shares of Koninklijke Philips from a “hold” rating to a “buy” rating in a research note on Tuesday, April 17th. One analyst has rated the stock with a sell rating, two have assigned a hold rating and five have given a buy rating to the stock. Koninklijke Philips presently has an average rating of “Buy” and an average target price of $48.00.

Koninklijke Philips traded up $0.53, reaching $43.50, during midday trading on Friday, according to Marketbeat. 58,702 shares of the company’s stock were exchanged, compared to its average volume of 647,221. The stock has a market cap of $39.68 billion, a price-to-earnings ratio of 35.08, a P/E/G ratio of 2.12 and a beta of 1.25. The company has a quick ratio of 1.13, a current ratio of 1.47 and a debt-to-equity ratio of 0.34. Koninklijke Philips has a one year low of $35.24 and a one year high of $43.45.

Koninklijke Philips (NYSE:PHG) last announced its quarterly earnings results on Monday, April 23rd. The technology company reported $0.20 EPS for the quarter. The firm had revenue of $4.84 billion during the quarter. Koninklijke Philips had a net margin of 8.76% and a return on equity of 7.08%. equities research analysts expect that Koninklijke Philips will post 2.13 EPS for the current fiscal year.

Hedge funds and other institutional investors have recently bought and sold shares of the company. Renaissance Technologies LLC increased its holdings in shares of Koninklijke Philips by 283.3% during the fourth quarter. Renaissance Technologies LLC now owns 1,085,178 shares of the technology company’s stock worth $41,020,000 after buying an additional 802,100 shares in the last quarter. Northern Trust Corp increased its holdings in shares of Koninklijke Philips by 4.7% during the first quarter. Northern Trust Corp now owns 850,663 shares of the technology company’s stock worth $32,589,000 after buying an additional 37,992 shares in the last quarter. Jefferies Group LLC increased its holdings in shares of Koninklijke Philips by 59.0% during the fourth quarter. Jefferies Group LLC now owns 64,439 shares of the technology company’s stock worth $2,436,000 after buying an additional 23,903 shares in the last quarter. SWS Partners acquired a new stake in shares of Koninklijke Philips during the fourth quarter worth approximately $1,528,000. Finally, HBK Investments L P increased its holdings in shares of Koninklijke Philips by 110.3% during the fourth quarter. HBK Investments L P now owns 40,584 shares of the technology company’s stock worth $1,534,000 after buying an additional 21,284 shares in the last quarter. 5.44% of the stock is owned by institutional investors.

Koninklijke Philips Company Profile

Koninklijke Philips N.V. operates as a health technology company worldwide. The company offers mother and child care, and oral healthcare products; male grooming and beauty products; kitchen appliance, coffee, air, garment care, and floor care products; and sleep, respiratory care, and respiratory drug delivery products.

Get a free copy of the Zacks research report on Koninklijke Philips (PHG)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for Koninklijke Philips (NYSE:PHG)

Thursday, July 5, 2018

Head-To-Head Analysis: Artesian Resources Co. Class A (ARTNA) versus Pure Cycle (PCYO)

Artesian Resources Co. Class A (NASDAQ: ARTNA) and Pure Cycle (NASDAQ:PCYO) are both small-cap utilities companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, analyst recommendations, valuation, institutional ownership, profitability and earnings.

Risk & Volatility

Get Artesian Resources Co. Class A alerts:

Artesian Resources Co. Class A has a beta of 0.11, indicating that its stock price is 89% less volatile than the S&P 500. Comparatively, Pure Cycle has a beta of 0.5, indicating that its stock price is 50% less volatile than the S&P 500.

Profitability

This table compares Artesian Resources Co. Class A and Pure Cycle’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Artesian Resources Co. Class A 17.54% 10.49% 3.15%
Pure Cycle -40.01% -1.53% -1.50%

Dividends

Artesian Resources Co. Class A pays an annual dividend of $0.95 per share and has a dividend yield of 2.5%. Pure Cycle does not pay a dividend. Artesian Resources Co. Class A pays out 41.3% of its earnings in the form of a dividend.

Analyst Recommendations

This is a breakdown of recent ratings for Artesian Resources Co. Class A and Pure Cycle, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Artesian Resources Co. Class A 0 0 0 0 N/A
Pure Cycle 0 0 0 0 N/A

Institutional and Insider Ownership

38.5% of Artesian Resources Co. Class A shares are held by institutional investors. Comparatively, 66.3% of Pure Cycle shares are held by institutional investors. 20.6% of Artesian Resources Co. Class A shares are held by insiders. Comparatively, 4.8% of Pure Cycle shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Artesian Resources Co. Class A and Pure Cycle’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Artesian Resources Co. Class A $82.24 million 4.30 $13.98 million $2.30 16.66
Pure Cycle $1.22 million 192.81 -$1.71 million N/A N/A

Artesian Resources Co. Class A has higher revenue and earnings than Pure Cycle.

Summary

Artesian Resources Co. Class A beats Pure Cycle on 7 of the 11 factors compared between the two stocks.

About Artesian Resources Co. Class A

Artesian Resources Corporation, through its subsidiaries, provides water, wastewater, and other services on the Delmarva Peninsula. The company distributes and sells water to residential, commercial, industrial, governmental, municipal, and utility customers, as well as for public and private fire protection in the states of Delaware, Maryland, and Pennsylvania; and offers wastewater services to customers in Delaware. It also provides contract water and wastewater services; water, sewer, and internal service line protection plans; and wastewater management services, as well as design, construction, and engineering services. In addition, the company offers services to other water utilities, including operations and billing functions; and owns real estate properties, including land for office buildings, a water treatment plant, and wastewater facility. As of December 31, 2017, it served approximately 84,200 metered water customers in Delaware, 2,300 metered water customers in Maryland, and 40 customers in Pennsylvania through 1,293 miles of transmission and distribution mains. Artesian Resources Corporation was founded in 1905 and is headquartered in Newark, Delaware.

About Pure Cycle

Pure Cycle Corporation designs, constructs, operates, and maintains water and wastewater systems in the Denver metropolitan area and Colorado Front Range in the United States. It provides water production, storage, treatment, retail distribution systems bulk transmission, wastewater collection and treatment, irrigation water treatment and transmission, construction management, billing and collection, and emergency response services. The company offers its services to wholesale customers, which include commercial and industrial customers, and local governmental entities that provide water and wastewater services to their end-use customers. It also leases its farms. The company was founded in 1976 and is based in Watkins, Colorado.

Sunday, June 24, 2018

OPEC dashes hopes for much lower U.S. gasoline prices this summer

All hopes for significantly lower gasoline prices at the pump this summer were squashed when the Organization of the Petroleum Exporting Countries announced a smaller-than-expected increase in crude production, rallying prices for oil.

Oil prices rallied Friday, and ��I��m calling this a bust for motorists hoping for noticeably lower gas prices,�� said Patrick DeHaan, head of petroleum analysis at GasBuddy.

OPEC agreed to rein in overcompliance with its production-cut agreement and to scale back its 152% compliance rate back down to 100%. Based on the numbers OPEC provide, that equates to an output increase of 624,000 barrels a day for its members.

OPEC ministers have said that the agreement is to raise output by 1 million barrels, but that��s not in the statement the group provided. Nigerian oil minister Ibe Kachikwu said the 1 million-barrel agreement would see OPEC members raise output by at least 700,000 barrels a day, with non-OPEC countries, led by Russia, adding the rest, according to a Financial Times report.

Read: 5 things investors need to know about OPEC��s decision to lift oil output

��I��m calling this a bust for motorists hoping for noticeably lower gas prices.�� Patrick DeHaan

After the news, August West Texas Intermediate crude CLQ8, +5.66% �added $3.04, or 4.6%, to settle at $68.58 a barrel��scoring a weekly rise of nearly 5.8%. July gasoline futures RBN8, +2.81% �added 5.8 cents, or 2.9%, to end at $2.071 a gallon��a more than one-week high. They were up 2.3% for the week.

��The agreement falls short of balancing global [oil] supply and demand, particularly in the fourth quarter,�� said Tom Kloza, global head of energy analysis at Oil Price Information Service. ��Given sanctions on Iran, chaos in Venezuela and Libya, and the usual unpredictable nature of Nigeria, we see crude-oil prices making another run at $70+ for WTI and $80+ for Brent LCOQ8, +3.52% ��

��That should underpin gasoline prices,�� he said.

Reformulated gasoline futures had lost about 28 cents a gallon, or more than 10% of value from the spring peak to earlier this week, Kloza said. ��For the moment, you probably won��t notice much change on the street, but today��s undersized pledge probably negates the five-10 cents [a gallon] gasoline price decline that we were looking for.��

And next week could see a very strong U.S. gasoline demand number from the Energy Information Administration, which would help gasoline rally a bit more, he said.

��The real risk comes with tropical storm season and [the] threat to Gulf of Mexico refineries,�� Kloza added. With export demand of about 600,000 barrels a day for gasoline and with domestic consumption likely to be 9.7 million barrels a day in peak driving summer weeks, the ��U.S. refiners have no room for error.��

Overall, OPEC��s move was ��lousy for motorists,�� said DeHaan, though his outlook for retail gasoline prices over the coming months isn��t much different as a result of OPEC��s decision.

The national average price for regular gasoline stood at $2.854 a gallon on Friday afternoon, according to GasBuddy.

It��s likely to fall to the mid-$2s in autumn and winter, ��leaving Venezuela and their falling production levels a wild card that perhaps OPEC will address,�� said DeHaan.

Tuesday, June 19, 2018

Nomura Asset Management Co. Ltd. Has $1.02 Million Position in Ralph Lauren Corp (RL)

Nomura Asset Management Co. Ltd. increased its stake in shares of Ralph Lauren Corp (NYSE:RL) by 11.0% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 9,151 shares of the textile maker’s stock after buying an additional 909 shares during the quarter. Nomura Asset Management Co. Ltd.’s holdings in Ralph Lauren were worth $1,023,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. O Shaughnessy Asset Management LLC bought a new position in shares of Ralph Lauren during the 1st quarter worth approximately $112,000. Bray Capital Advisors acquired a new stake in Ralph Lauren during the 1st quarter valued at $135,000. Oppenheimer & Co. Inc. acquired a new stake in Ralph Lauren during the 1st quarter valued at $202,000. Zeke Capital Advisors LLC acquired a new stake in Ralph Lauren during the 4th quarter valued at $201,000. Finally, Jump Trading LLC acquired a new stake in Ralph Lauren during the 4th quarter valued at $217,000. Institutional investors and hedge funds own 68.83% of the company’s stock.

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Ralph Lauren opened at $139.34 on Monday, according to MarketBeat.com. The firm has a market capitalization of $11.39 billion, a PE ratio of 23.17, a PEG ratio of 2.59 and a beta of 0.70. Ralph Lauren Corp has a 52 week low of $70.28 and a 52 week high of $145.94. The company has a quick ratio of 1.76, a current ratio of 2.24 and a debt-to-equity ratio of 0.08.

Ralph Lauren (NYSE:RL) last released its earnings results on Wednesday, May 23rd. The textile maker reported $0.90 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.83 by $0.07. Ralph Lauren had a return on equity of 14.49% and a net margin of 2.63%. The company had revenue of $1.53 billion during the quarter, compared to analysts’ expectations of $1.49 billion. During the same period last year, the firm earned $0.89 EPS. The business’s revenue for the quarter was down 2.3% on a year-over-year basis. equities research analysts expect that Ralph Lauren Corp will post 6.26 EPS for the current year.

The business also recently disclosed a quarterly dividend, which will be paid on Friday, July 13th. Investors of record on Friday, June 29th will be paid a dividend of $0.625 per share. The ex-dividend date is Thursday, June 28th. This is a boost from Ralph Lauren’s previous quarterly dividend of $0.50. This represents a $2.50 dividend on an annualized basis and a dividend yield of 1.79%. Ralph Lauren’s payout ratio is 33.17%.

In related news, insider David R. Lauren sold 1,764 shares of Ralph Lauren stock in a transaction on Monday, June 11th. The stock was sold at an average price of $142.94, for a total transaction of $252,146.16. Following the completion of the sale, the insider now directly owns 633,197 shares of the company’s stock, valued at $90,509,179.18. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 32.93% of the stock is owned by insiders.

A number of equities research analysts recently weighed in on the company. Cowen set a $160.00 price target on Ralph Lauren and gave the company a “buy” rating in a report on Friday, June 8th. Telsey Advisory Group raised their price target on Ralph Lauren from $125.00 to $155.00 and gave the company a “market perform” rating in a report on Monday, June 11th. Zacks Investment Research raised Ralph Lauren from a “hold” rating to a “buy” rating and set a $155.00 price target for the company in a report on Wednesday, June 6th. Guggenheim reaffirmed a “hold” rating on shares of Ralph Lauren in a report on Friday, June 8th. Finally, Citigroup raised their price target on Ralph Lauren from $134.00 to $142.00 and gave the company a “neutral” rating in a report on Friday, June 8th. Four research analysts have rated the stock with a sell rating, twelve have assigned a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company. The stock has a consensus rating of “Hold” and a consensus price target of $122.13.

Ralph Lauren Profile

Ralph Lauren Corporation designs, markets, and distributes lifestyle products worldwide. The company operates in three segments: North America, Europe, and Asia. It offers apparel, including a range of men's, women's, and children's clothing; accessories, which comprise footwear, eyewear, watches, fine jewelry, hats, belts, and leather goods, such as handbags and luggage; home products consisting of bedding and bath products, furniture, fabrics and wallpapers, lightings, paints, tabletops, and giftware; and fragrances.

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Institutional Ownership by Quarter for Ralph Lauren (NYSE:RL)

Wednesday, May 30, 2018

Buy Balkrishna Industries; target of Rs 1313: Edelweiss


Edelweiss' research report on Balkrishna Industries

Balkrishna Industries�� (BKT) Q4FY18 revenue jumped 25% YoY (8% ahead of estimates), driven by robust ~17% YoY volume spurt and ~7% YoY realisation surge. Growth was well spread across segments/geographies. For FY18, volume grew ~16% YoY to ~199,200MT, ~2-8% higher than management��s guidance of 185-195,000MT. For FY19, BKT has guided volume of ~220,000MT (up 10% YoY over FY18).

Outlook

BKT is well poised to take advantage of the uptick in global industry, capitalising on its cost leadership and surplus capacity. We estimate 25% PAT CAGR over FY18-20 and maintain ��BUY�� with TP of INR1,313� . At CMP, the stock trades at 17.8x FY20E EPS.

For all recommendations report,�click here

Disclaimer:�The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More First Published on May 29, 2018 06:10 pm

Tuesday, May 29, 2018

Liquidity Services (LQDT) Receives Daily Media Sentiment Rating of 0.14

Press coverage about Liquidity Services (NASDAQ:LQDT) has been trending somewhat positive recently, according to Accern. The research group rates the sentiment of news coverage by reviewing more than 20 million news and blog sources in real-time. Accern ranks coverage of public companies on a scale of negative one to positive one, with scores closest to one being the most favorable. Liquidity Services earned a daily sentiment score of 0.14 on Accern’s scale. Accern also assigned news coverage about the business services provider an impact score of 46.5172522637305 out of 100, indicating that recent news coverage is somewhat unlikely to have an impact on the stock’s share price in the near term.

Several research analysts have commented on the stock. Zacks Investment Research upgraded shares of Liquidity Services from a “hold” rating to a “buy” rating and set a $8.00 price objective for the company in a research report on Wednesday, March 14th. ValuEngine downgraded shares of Liquidity Services from a “sell” rating to a “strong sell” rating in a research report on Thursday, February 8th. Finally, Barrington Research set a $10.00 price target on shares of Liquidity Services and gave the stock a “buy” rating in a report on Tuesday, May 1st.

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Shares of Liquidity Services traded down $0.05, hitting $5.60, during trading on Monday, MarketBeat Ratings reports. 52,649 shares of the company were exchanged, compared to its average volume of 75,781. Liquidity Services has a 1-year low of $4.34 and a 1-year high of $7.65. The company has a market capitalization of $179.77 million, a PE ratio of -5.71 and a beta of 0.60.

Liquidity Services (NASDAQ:LQDT) last announced its earnings results on Thursday, May 3rd. The business services provider reported ($0.12) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.14) by $0.02. Liquidity Services had a negative net margin of 12.72% and a negative return on equity of 19.31%. The company had revenue of $43.10 million for the quarter, compared to analysts’ expectations of $60.16 million. sell-side analysts expect that Liquidity Services will post -0.71 earnings per share for the current fiscal year.

In other Liquidity Services news, insider Roger Gravley sold 12,385 shares of Liquidity Services stock in a transaction on Monday, April 2nd. The shares were sold at an average price of $6.23, for a total transaction of $77,158.55. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Insiders own 22.10% of the company’s stock.

Liquidity Services Company Profile

Liquidity Services, Inc provides e-commerce marketplace solutions to manage, value, and sell inventory and equipment for business and government clients in the United States. The company's marketplaces include liquidation.com that enable corporations to sell surplus and salvage consumer goods and capital assets; govliquidation.com, which enables federal government agencies and commercial businesses to sell surplus and scrap assets; govdeals.com that enables local and state government entities, school boards, and public utilities to sell surplus and salvage assets; auctiondeals.com self-service solution which enable sellers list their assets to commercial businesses to sell surplus and salvage assets.

Insider Buying and Selling by Quarter for Liquidity Services (NASDAQ:LQDT)

Monday, May 28, 2018

Starbucks (SBUX) Shares Bought by Gabelli Funds LLC

Gabelli Funds LLC raised its holdings in Starbucks (NASDAQ:SBUX) by 33.6% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 433,317 shares of the coffee company’s stock after acquiring an additional 109,000 shares during the quarter. Gabelli Funds LLC’s holdings in Starbucks were worth $25,085,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors have also modified their holdings of the business. Magellan Asset Management Ltd lifted its stake in Starbucks by 18.1% during the fourth quarter. Magellan Asset Management Ltd now owns 30,912,781 shares of the coffee company’s stock valued at $1,775,321,000 after buying an additional 4,744,675 shares in the last quarter. Capital International Investors lifted its stake in Starbucks by 28.3% during the third quarter. Capital International Investors now owns 21,269,515 shares of the coffee company’s stock valued at $1,142,386,000 after buying an additional 4,696,452 shares in the last quarter. Harding Loevner LP purchased a new stake in Starbucks during the third quarter valued at about $128,044,000. Lazard Asset Management LLC lifted its stake in Starbucks by 300.6% during the fourth quarter. Lazard Asset Management LLC now owns 4,051,366 shares of the coffee company’s stock valued at $232,669,000 after buying an additional 3,040,030 shares in the last quarter. Finally, Atlantic Trust Group LLC lifted its stake in Starbucks by 1,244.8% during the third quarter. Atlantic Trust Group LLC now owns 2,440,293 shares of the coffee company’s stock valued at $131,068,000 after buying an additional 2,258,828 shares in the last quarter. 72.38% of the stock is owned by institutional investors.

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In related news, Director Craig Weatherup sold 59,838 shares of the stock in a transaction that occurred on Tuesday, March 13th. The stock was sold at an average price of $60.10, for a total value of $3,596,263.80. Following the transaction, the director now owns 26,500 shares in the company, valued at $1,592,650. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 3.40% of the company’s stock.

Starbucks opened at $57.92 on Friday, Marketbeat reports. Starbucks has a 52 week low of $52.58 and a 52 week high of $64.87. The company has a market capitalization of $79.60 billion, a P/E ratio of 28.12, a PEG ratio of 1.66 and a beta of 0.63. The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.83 and a current ratio of 1.09.

Starbucks (NASDAQ:SBUX) last released its quarterly earnings data on Thursday, April 26th. The coffee company reported $0.53 EPS for the quarter, hitting analysts’ consensus estimates of $0.53. Starbucks had a return on equity of 60.33% and a net margin of 18.71%. The firm had revenue of $6.03 billion for the quarter, compared to the consensus estimate of $5.93 billion. During the same quarter in the prior year, the company posted $0.45 earnings per share. The firm’s revenue was up 13.9% on a year-over-year basis. sell-side analysts anticipate that Starbucks will post 2.49 EPS for the current year.

Starbucks declared that its Board of Directors has approved a stock repurchase plan on Thursday, April 26th that authorizes the company to buyback 0 outstanding shares. This buyback authorization authorizes the coffee company to reacquire shares of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 25th. Investors of record on Thursday, May 10th were issued a $0.30 dividend. The ex-dividend date of this dividend was Wednesday, May 9th. This represents a $1.20 dividend on an annualized basis and a yield of 2.07%. Starbucks’s dividend payout ratio is currently 58.25%.

A number of analysts have commented on SBUX shares. Zacks Investment Research raised shares of Starbucks from a “hold” rating to a “buy” rating and set a $65.00 price objective for the company in a research note on Tuesday, January 30th. Vetr lowered shares of Starbucks from a “strong-buy” rating to a “buy” rating and set a $62.03 price objective for the company. in a research note on Wednesday, February 14th. UBS set a $64.00 price objective on shares of Starbucks and gave the company a “buy” rating in a research note on Friday, March 9th. Finally, BidaskClub raised shares of Starbucks from a “hold” rating to a “buy” rating in a research note on Friday, March 30th. One equities research analyst has rated the stock with a sell rating, thirteen have issued a hold rating and nineteen have issued a buy rating to the company. The company presently has an average rating of “Buy” and an average price target of $64.23.

About Starbucks

Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of specialty coffee worldwide. The company operates in four segments: Americas; China/Asia Pacific; Europe, Middle East, and Africa; and Channel Development. Its stores offer coffee and tea beverages, roasted whole bean and ground coffees, single-serve and ready-to-drink coffee and tea products, and food and snacks; and various food products, such as pastries, breakfast sandwiches, and lunch items.

Institutional Ownership by Quarter for Starbucks (NASDAQ:SBUX)

Sunday, May 27, 2018

Apple: All Margins Aren't Equal

My previous research placed the services business as a prime catalyst and reason for supporting the $100 billion share buyback plan of Apple (AAPL). Morgan Stanley upped their price target to $214 on optimism for this divisions growth as the margins on the business could provide a boost to profits that go far beyond the revenue contribution.

Source: Apple website

Services Growth

As Apple reaches for a market valuation of $1 trillion, a lot of fears exist that iPhone sales have peaked. The tech giant is getting more per phone via a higher average selling price or ASP, but Apple saw units sold peak back in 2015.

The quarterly peak was 78 million units sold back in FQ1'17, but the company has seen limited growth since FQ1'15 when 74 million units were sold. The annual units sold did peak in 2015 at 231 million units and dipped to 217 million units last year.

Source: Statista

While worldwide smartphone sales are forecast to continue growing with the spread of high-speed internet access around the world, the amount of consumers able to afford an $700+ iPhone isn't expected to expand materially. For this reason, Apple has spent the last couple of years trying to increase the ASP with phones like the iPhone X with a listed price above $1,000.

In the quarter ended March with a full quarter of iPhone X sales, iPhone revenues grew far in excess of units sold. The ASP grew to $734, up from $655. For this reason, iPhone revenues surged 14% on a meager 3% growth in units.

Source: Apple FQ1'18 data summary

The fears exist that Apple won't be able to continue expanding ASPs requiring a future catalyst beyond hardware. While possibly not even true, the key for investors is that the tech giant already has a business unit that has evolved into a massive division. Since the start of 2014, Services have grown revenues from under $5 billion per quarter to over $9 billion in most recent quarter. Even better, the growth is steady unlike hardware sales that require new products every year.

Source: appleinsider

Even better, the growth is steady unlike hardware sales that require new products every year.

Accretive Margins

The thesis for Morgan Stanley analyst Katy Huberty hiking the Apple price target to $214 from $200 is the strong margins from services. The company doesn't provide a lot of details other than the knowledge that gross margins have averaged around 39% over the lat 5 years.

Chart AAPL Gross Profit Margin (Quarterly) data by YCharts

Historically, services generate higher margins from the recurring revenues versus selling one unit every few years. The company though has several service businesses from the App store to Apple Music. The recent IPO of streaming music service Spotify (SPOT) brought some attention to the low margins in that unit that were probably extrapolated far too much in the case of Apple.

Spotify only forecasts generating margins in the 25% range this quarter so obviously this figure is far below the corporate level of Apple and the tech giant has fewer subscribers than Spotify. Investors looking at the historical margins of Spotify might extrapolate those to the rest of the services business.

Source: Spotify Investor Day 2018

Katy Huberty projects that the services division actually generates a 50% gross margin with operating margins above 40%. Growth in services will help drive higher margins in the overall business.

Apple CFO Luca Maestri made claims on the recent FQ2 earnings call that the division does generate higher margins than the corporate average currently in the 38.5% range:

Gross margin was 38.3%, essentially flat sequentially, as we offset the seasonal loss of leverage with cost improvements and a shift in mix toward services...Our services business, and I've said it in the past, is accretive to company margins. And so as we are able to grow the services business, that should provide a positive, a tailwind.

Hubert believes services will grow from 22% of gross profit dollars in FY18 to 40% of gross profit dollars by FY22. Just keeping the remaining business flat, Apple would see a $20 billion boost to gross profits.

Combined with a $100 billion share buyback that reduces share counts by over 10%, Apple will still see a big EPS boost even if the hardware business flat lines. Based on operating margins that reach 45% and the 15% tax rate, the EPS would see about a $1 per share jump each year from services gross profit growth of about $5 billion annually. By FY22, EPS could expand $4 from growth in services alone.

The impact might turn larger if Apple reduces the share count beyond 10%. The current buyback would cut shares outstanding from 5.07 billion to closer to 4.50 billion shares, but the tech giant will generate close to $60 billion in free cash flow annually that can keep the buyback going each year.

Takeaway

The key investor takeaway is that Apple is shifting away from a reliance on the iPhone business. The highly profitable services business could easily approach 50% of profits in the next five years far before reaching the scale of the iPhone.

All margins aren't equal and this fact will benefit Apple shareholders over the next few years while the market wrongly focus on peak iPhone sales. The stock trades far too cheap at 14x FY19 EPS estimates for a business that could approach 50% of profits from services by FY22.

Disclosure: I am/we are long AAPL.

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.

Additional disclosure: The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

Friday, May 25, 2018

Investment Analysts’ Weekly Ratings Updates for Rhoen Klinikum (RHK)

Rhoen Klinikum (ETR: RHK) has recently received a number of price target changes and ratings updates:

5/14/2018 – Rhoen Klinikum was given a new €29.15 ($34.70) price target on by analysts at Berenberg Bank. They now have a “neutral” rating on the stock. 5/8/2018 – Rhoen Klinikum was given a new €29.00 ($34.52) price target on by analysts at Independent Research GmbH. They now have a “neutral” rating on the stock. 5/4/2018 – Rhoen Klinikum was given a new €22.00 ($26.19) price target on by analysts at Kepler Capital Markets. They now have a “sell” rating on the stock. 5/4/2018 – Rhoen Klinikum was given a new €25.20 ($30.00) price target on by analysts at Warburg Research. They now have a “neutral” rating on the stock. 4/4/2018 – Rhoen Klinikum was given a new €25.20 ($30.00) price target on by analysts at Warburg Research. They now have a “neutral” rating on the stock. 4/3/2018 – Rhoen Klinikum was given a new €29.00 ($34.52) price target on by analysts at Independent Research GmbH. They now have a “neutral” rating on the stock. 3/29/2018 – Rhoen Klinikum was given a new €25.20 ($30.00) price target on by analysts at Warburg Research. They now have a “neutral” rating on the stock.

Shares of Rhoen Klinikum stock opened at €26.60 ($31.67) on Friday. Rhoen Klinikum AG has a 1-year low of €25.08 ($29.86) and a 1-year high of €32.12 ($38.24).

RH�N-KLINIKUM Aktiengesellschaft, together with its subsidiaries, builds, acquires, and operates primarily acute-care hospitals in Germany. Its hospitals offer treatment services primarily in the areas of cardiovascular, neurological disorders, oncology, pneumology, orthopedic, accident, and surgeries; rehabilitation and nursing services to the elderly; and thoracic, tumors, and psychosomatic, as well as spinal, column, and joints diseases.

Tuesday, May 22, 2018

Are Boomers Ready To Make The Greatest Wealth Transfer In History?

&l;strong&g;By&a;nbsp;Jess Stonefield, &l;a href=&q;http://nextavenue.org&q; target=&q;_blank&q; rel=&q;noopener noreferrer&q; target=&q;_blank&q;&g;Next Avenue&l;/a&g; Contributor&l;/strong&g;

&l;img class=&q;dam-image shutterstock size-large wp-image-1094924144&q; src=&q;https://specials-images.forbesimg.com/dam/imageserve/1094924144/960x0.jpg?fit=scale&q; data-height=&q;720&q; data-width=&q;960&q;&g;&l;em&g;Credit: Shutterstock&l;/em&g;

As we build families and age, the discussion of wills and estate plans becomes increasingly prevalent. Our financial planners (and children) want to make sure our assets go where we hope when we pass away &a;mdash; that nothing ends up in probate and that our money and valuables will be transferred seamlessly to those we love.

The only problem: no one talks about what happens &l;em&g;after&l;/em&g;.&a;nbsp; Why does it matter? Here&a;rsquo;s why: We are at the brink of the largest intergenerational wealth transfer in history.

&l;strong&g;A $30 Trillion Wealth Transfer&l;/strong&g;

Accenture reports that over the next 30 to 40 years, $30 trillion in assets will pass from boomers to their heirs in the United States alone. What many people don&a;rsquo;t realize, however, is that &l;a href=&q;https://www.forbes.com/sites/carolynrosenblatt/2011/12/09/wealth-transfers-how-to-reverse-the-70-failure-rate/#38de6bb52879&q; target=&q;_blank&q; rel=&q;noopener noreferrer&q;&g;70% of those intergenerational wealth transfers will fail&l;/a&g; by the time they reach the second generation, according to The Williams Group, a financial advisory firm. Another study found that &l;a href=&q;http://www.marketwatch.com/story/one-in-three-americans-who-get-an-inheritance-blow-it-2015-09-03&q; target=&q;_blank&q; rel=&q;noopener noreferrer&q; target=&q;_blank&q;&g;one third of people&l;/a&g; who received an inheritance had &l;em&g;negative savings&l;/em&g; within two years of the event.

&l;strong&g;Also on Forbes:&l;/strong&g;

There must be a better way.

&l;!--nextpage--&g;

Many of those inheriting money are ill-prepared to manage it. A sudden windfall is often a huge temptation to spend and splurge, rather than an opportunity to make smart financial decisions. Without proper planning, the inheritance you pass on could easily dissolve, rather than providing your children and grandchildren with a solid financial future.

&l;strong&g;3 Ways to Pass on Values and Money&l;/strong&g;

Luckily, you &l;em&g;can&l;/em&g; turn the tide of failed wealth transfer. Here are three ways:

&l;strong&g;1. Make wealth a family discussion. &l;/strong&g;Don&a;rsquo;t wait until end-of-life to discuss what wealth means to you with your children and grandchildren. Let them know why financial security matters and how you would like them to use your money when you pass away. Yes, you might want them to take a family vacation to create special memories. But you might also want them to finish college, set up a retirement account or establish a foundation for a cause you love. They won&a;rsquo;t know until you talk about it.

&l;strong&g;2. Focus on values &a;mdash; not balances. &l;/strong&g;Many kids and grandchildren discuss how much they&a;rsquo;ll get when someone in their family makes their transition. Instead of talking to your kids and grandkids about net worth, try talking to them about values. Forget &l;em&g;your&l;/em&g; legacy &a;mdash; what is your &l;em&g;family&a;rsquo;s&l;/em&g; legacy? Do you want to instill the concept of giving to those in need? How about saving animals or serving refugees? When children grow up living certain values, they are far more likely to live them when you&a;rsquo;re gone.

&l;strong&g;3. Establish a clear purpose for your wealth. &l;/strong&g;You&a;rsquo;re allowed. After all, you earned it. If you want your kids to use your wealth to launch a foundation, pay for their own child&a;rsquo;s college or provide the down payment on a new home, let them know. Stipulate that those funds must be used as intended so they won&a;rsquo;t go to waste. If you want a minimum of 50% of your wealth to be put toward a retirement nest egg or invested to launch a long-term scholarship fund for those in need, say it! Your children will likely thank you in the long run.

No matter how much or how little you are leaving to your children, it&a;rsquo;s imperative that you take steps to keep that wealth safe. Money isn&a;rsquo;t just for spending. It&a;rsquo;s for building brighter futures, more secure retirements and safe living conditions. It&a;rsquo;s for making a difference &a;mdash; and with your help, it can.