Wednesday, April 30, 2014

Edmunds: Micromanaging can stifle employees

Hi Gladys: My wife and I often debate on how to deal with employees. I say that employees can often behave like children and I have to keep my eye on them and make certain that they do things the way I want things done. I am the head of our family construction company that was started more than 50 years ago by my late father. My wife works in the administrative office of the company and she accuses me of micromanaging. According to her, employees must learn to manage themselves and my job is to tell them what their duties are and I should step back and let them do their jobs. What do you think? — A. N.

Self-management is important. Micromanaging can waste both the time and energy of the manager and ultimately can become debilitating to the employee. This combination can create a lot of tension in the workplace for all parties and will most likely spill over to your customers, clients and even vendors.

When we talk about self-management, I believe that a person's strengths and weaknesses must be taken into account. How do you identify the strengths of your employee and how do you go about developing those strengths? Keep in mind that if we want our staff to self-manage then that has to be a part of our agenda during the hiring process.

I am the first to admit that managing a company and its employees is not an easy task. And I have made my own share of blunders.

I once managed my company like the proverbial mother hen. I watched everything my employees did and found myself correcting them when it wasn't going the way I would have done whatever the job was. Thank goodness I was shown the error of my ways. One day while having lunch with an older and wiser entrepreneur who I had designated as my mentor, he mentioned his concern for my management style.

He said he had observed me communicating to my staff before leaving for lunch. And he said that if I wanted to have continued success in business I should take his comments to heart.

He said: The boss's job is to det! ermine the objectives and goals of the company. Once that's done we must lead our employees in a way that meets our goals. In leading our staff in the right direction we must understand that each person brings to the company his or her own skills and talents. And it is our job to learn what those skills are and help the employee to develop them. When you succeed in recognizing an employee's strengths and make a point to give the kind of input that helps the employee develop, everyone wins. But, when you fail to develop a staff person and not allow them a chance to do the work you eventually erode confidence.

I have never forgotten that insightful luncheon. I make a point to follow his sage advice and it has served me well.

Management is not an easy task and there are many ways to approach it. However keep in mind that you don't want your management styles to become a roadblock between you and continued success.

Consider helping your employee to become the best that they can be and it's possible that you will see business increasing.

Gladys Edmunds, founder of Edmunds Travel Consultants in Pittsburgh, is an author and coach/consultant in business development. Her column appears Wednesdays. E-mail her at gladys@gladysedmunds.com. An archive of her columns is here. Her website is gladysedmunds.com.

Monday, April 28, 2014

Drive-through brings fresh meat to customers

ALEXANDRIA, VA. – As a line of cars forms in the back parking lot of a church here, a massive refrigerated truck hums on the edge of the lot. It's a Zaycon Foods truck, offloading chilled boxes of ground beef and ham straight into customers' trunks.

After delivering a couple hundred pounds of meat to customers here, the truck will head on to Lynchburg, Va., the 39th of 45 stops over a period of about two weeks. In total, it will deliver more than 20,000 pounds of meat, reloading with fresh cases several times during the trip. In each location, the truck creates make-shift drive-throughs, where customers will come to pick up their share of farm-fresh meat.

In nearly every state, Zaycon Foods customers are bypassing the grocery store to buy boneless skinless chicken breasts, hickory smoked bacon and sirloin steaks straight from the source: the farms where the animals were raised. Zaycon partners with those farms to deliver food to customers in a model that's like a marriage between Costco and a farmers market.

Customers prepay for bulk cases of meat, and at bulk prices. The highest a chicken breast has ever sold for is $1.89 a pound, co-owner Mike Conrad says. Ground beef goes for around $3.99 a pound. Products are 100% natural without added hormones or preservatives.

Customers are notified of upcoming "events" – when a certain product is going to become available – and can pre-order as many cases as they want. When they arrive on location, they don't even have to get out of the car. A truck driver uses an iPad to find their order and loads the boxes into their trunk.

Zaycon sells everything from chicken and beef to salmon and even fresh produce and milk in some locations, all in bulk, and in about half the time it takes for most products to reach, and then sell from, grocery store shelves. The model has caught on with 350,000 customers across the country as Americans have become more conscious about where and how they get their food.

"People like to know where the! ir food comes from," Conrad says. Zaycon's goal is to deliver food to customers within a maximum of six days from when it leaves the processing plant, and often in two to three days.

Since starting in Spokane, Wash., in 2009, Zaycon has grown to serve 48 states, representing about 1,300 drop-off locations. The company primarily specializes in meat, and because of the size of orders, customers are mostly families, Conrad says.

Zaycon's marketing efforts are entirely based on word-of-mouth and social media. It uses Facebook pages to rally customers and see whether there's enough interest in potential new markets and gives food credits to customers who help recruit others.

"I think companies miss the boat by not letting their customers be a part of you," Conrad says. "There's an emotional attachment there."

Stacy Medrano first ordered chicken breasts with Zaycon about eight months ago. She was impressed enough to place a second order for ground beef, which she came to pick up in Alexandria.

"The chicken breasts are fresher," she says. "There's no smell, there's no foul taste or sliminess to them. They're bigger and juicier, just overall better quality."

Zaycon doesn't have enough customers to be able to partner with local farmers in each of its locations, though it does in some. In order to keep prices down it primarily works with larger farms in Florida, Georgia and Louisiana.

Eventually Conrad hopes the company grows enough to buy and sell everything locally in each of the company's locations.

"It's really about the health and wellness of people," he says. "Most people don't understand where food comes from. I'm trying to educate them."

Sunday, April 27, 2014

Corporate earnings take Latin American hit

After years of rosy outlooks south of the border, American companies doing business in Latin America are getting hit hard by devalued currencies throughout the region. And judging by the economic outlook of countries from Mexico to Argentina, that could become the norm.

Ford became the latest company to report a significant hit when the automaker took a $310 million charge to account for the devaluation on Venezuela's currency -- the bolivar. That follows other big hits to automakers, such as General Motors' $412 million charge in Venezuela.

While automakers are taking the biggest hits, analysts say the devaluation of foreign currencies has already become a standard bullet point in the earnings reports of many U.S. multinationals. Sheraz Mian, director of research at Chicago-based Zacks Investment Research, said he's seen similar explanations for lowered earnings from companies like General Mills, Adobe, Oracle and Colgate-Palmolive.

"There's a fair amount of exposure to these currency effects," Mian said. "It's a legitimate concern."

Latin America experienced a boom throughout the 2000s, when many countries reaped the benefits of high commodity prices and internal improvements in their economies. But political turmoil in countries like Venezuela and Argentina, combined with broader economic slowdowns in countries like Brazil and Mexico, has led to a weaker economic position for countries throughout the region.

That has led to sharp decreases in the currency value of many Latin American countries. Venezuela now has the third-highest inflation rate in the world at 56%, with Argentina not far behind (21%).

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That's why it came as little surprise to Ford analysts when the company announced such a big charge when converting their Venezuelan earnings to American dollars.

"They pretty much telegraphed that," said RBC Capital m! arkets analyst Joseph Spak. "The devaluations are out of their control. It happens and they've got to take it."

While such hits could scare off investors, there's little chance that U.S. companies will pull out of Latin America.

The financial boom of the 2000s resulted in a rapid expansion of the region's middle class. According to the World Bank, more than 50 million people rose from poverty over that decade, resulting in 30% of the region's population now living in the middle class.

So even though the economies of Latin America are expected to experience slower growth in the coming years, many feel that companies will continue fighting to get into those markets because of the combined purchasing power there.

"For people that are in the business of producing consumer goods, there are mostly expectations that there are new opportunities throughout the region that didn't exist a decade ago," said Cynthia Arnson, director of the Latin American Program at the Washington, D.C.-based Wilson Center. "A lot of people have more money in their pockets to spend and there's no indication quite yet that basic consumer goods are not still going to be in demand."

Saturday, April 26, 2014

Amazon: The Song Remains the Same

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The Street eagerly awaits Amazon (AMZN) earnings each quarter … but really, why even bother?

You see, nearly every quarter we get a case of what classic rockers Led Zeppelin call, "The Song Remains the Same." That is to say, Amazon earnings come in with big revenue growth and a tiny profit due largely to massive reinvestment of capital into the business that allows it to expand.

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This is all part of CEO Jeff Bezos' master plan to take over not just the electronic retailing world (it has long since done that), but also the way humans consume everything, from books to entertainment to groceries.

To couch it in Led Zeppelin-like poetry, you might say Bezos, "Had a dream. Crazy dream."

A Look at Amazon Earnings … For What They’re Worth

During Q1, AMZN reported earnings growth of 28% vs. the prior year, with EPS coming in at 23 cents. That metric was in line with consensus expectations. As for the top line, Amazon saw sales growth of 23% year over year to a remarkable $19.74 billion.

That's a lot of cheese, as the saying goes.

More importantly, it also represents revenue acceleration over Q4's relatively low (yet still enviable) growth of “just” 20% year-over-year.

The bad news for Q1 Amazon earnings is that the company saw operating income fall 19% to $146 million. Amazon cited increased costs and increased sales support spending for the tepid bottom-line while reporting that total operating expenses — things such as fulfillment, content, marketing and technology — jumped by 23.3%. Shipping costs, always an issue for Amazon, rose some 28% worldwide.

Shareholders got even more bad news on Friday, as Wall Street basically interpreted Amazon earnings negatively … and started to look ahead.

Specifically, AMZN shares sank nearly 9% in mid-Friday trade, as the fast money focused on the company's less-than-robust Q2 outlook. Amazon forecasts sales in the coming quarter to be $18.1 billion to $19.8 billion. That's a disappointment when the average analyst forecast sits at $19.03 billion. The company also said it anticipates operating at a loss in the second quarter.

That’s Fine. AMZN Isn’t About Earnings

Now, the Street's reaction to the Q1 metrics and Q2 forecast is clear in terms of how bad AMZN stock was tanking late Friday.

Thing is, like it always is, when considering AMZN, you have to play the long game.

Yes, profits are tiny, but that has always been the case. The more important thing here is that revenue continues to grow, and Amazon continues to make investments in future growth areas. Some recent examples of this are video content deals with the likes of HBO, as well as future plans to move into the so-called "last mile" delivery. (This delivery issue is where I suspect that, given time, we'll ultimately see costs reduced significantly.)

Of course, the issue for investors here is, should you be buying the same old song and dance from Amazon?

Absolutely.

Given the double-digit percentage haircut in the shares over the past several months, I think now could be the best time in years to buy AMZN stock for the intermediate and/or long term. Much harder here is what to do with the stock if you've been long and have a substantial gain.

For example, those who bought and held AMZN five years ago now are sitting on a profit of more than 300%. Hey, if you're one of those investors, then banking gains certainly is understandable.

However, one thing for certain is that Jeff Bezos is in it for the long haul.

If you want to make money in the long haul too (and don't we all), then I say buy more AMZN stock at current levels.

As of this writing, Jim Woods did not hold a position in any of the aforementioned securities.

Thursday, April 24, 2014

SEC opens probe over GM ignition switch recall

The U.S. Securities and Exchange Commission is investigating General Motors over its handling of an ignition switch defect, according to a public filing today.

The disclosure in GM's quarterly SEC filing, marks the latest of several government investigations over the automaker's failure to fix sooner a defect that's now blamed for at least 32 crashes and 13 deaths.

GM's document said the SEC is investigating its handling of the ignition switch defect, which engineers first discovered more than a decade ago but failed to fix despite a change to the component approved in 2005.

The automaker has now recalled 2.6 million small cars mostly Chevrolet Cobalts and Saturn Ions from 2003 through 2007 model years. The ignition key can be jostled from the "on" to the "accessory" position by a driver's knee or the weight of a keychain. That, in turn, can cut power to the engine, air bags and other electrical systems.

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A spokeswoman for the SEC declined to comment, saying the agency does not confirm or deny investigations. GM spokesman Jim Cain also declined to comment.

The disclosure also stated that GM is facing at least 55 lawsuits throughout the country, including challenges from shareholders accusing the automaker of securities fraud.

Government investigations include a criminal probe by the U.S. Justice Department, a regulatory investigation by the National Highway Traffic Safety Administration and inquiries by U.S. House and Senate committees.

Analysts expect GM to pay several billion dollars in fines, damages and settlements. But the company is asking U.S. Bankruptcy Court in Manhattan to uphold an immunity against "economic loss" lawsuits that was granted to it as part of its 2009 government-backed bankruptcy.

"We are investigating these matters internally and believe we are cooperating fully with all requests, notwithsta! nding NHTSA's recent fines for failure to respond," GM said in the SEC filing. "Such investigations could result in the imposition of damages, fines or civil and criminal penalties."

Earlier today, GM CEO Mary Barra said on a conference call that the company would disclose the findings of an internal investigation being conducted by outside lawyer Anton Valukas as soon as his probe is finished.

The company has also hired disaster compensation expert Kenneth Feinberg to explore the options, including a fund to compensate victims of the ignition switch defect.

"The recall team is being thorough, progressive and proactive," Barra said. "When the facts are in, we will be transparent and we will

Wednesday, April 23, 2014

Top Restaurant Stocks To Own For 2014

Top Restaurant Stocks To Own For 2014: Noodles & Co (NDLS)

Noodles & Company, incorporated on December 19, 2002, is a casual restaurant concept offering lunch and dinner. The Company offers noodle and pasta dishes, staples of many cuisines, with the goal of delivering fresh ingredients and flavors globally under one roof from Pad Thai to Mac & Cheese. The Company's globally inspired menu includes a variety of cooked-to-order dishes, including noodles and pasta, soups, salads and sandwiches, which are served on china by its friendly team members.

As of May 28, 2013, including the 16 Company owned restaurants and one franchise restaurant opened in 2013. The Company opened 39 new company owned restaurants and six franchise restaurants. In 2012, the Company began using Your World Kitchen to describe the breadth of its offering and its customers' dining experience.

Advisors' Opinion:
  • [By Rick Aristotle Munarriz]

    Justin Sullivan/Getty Images March hasn't been a good month for the quick-service industry. Sbarro -- the pizza and pasta chain that's a staple in many malls -- filed for Chapter 11 bankruptcy reorganization earlier this month. A few days later it was toasted-sandwich maker Quiznos following suit. This doesn't mean that you'll never have another slice of Sbarro's New York-style pizza or a French dip sub at Quiznos. Unlike Chapter 7 bankruptcy, where cash-strapped companies wind down their operations, Chapter 11 gives companies another chance to get it right after negotiating with creditors. It's not a good place to be -- and this is the second time Sbarro has gone this route in the past three years. However, things have to be pretty bad if you're willing to risk upsetting creditors and potentially hand over ownership in the pursuit of a cleaner balance sheet. Sbarro and Quiznos hope that a fiscal makeover will turn the tide. Sbarro will surrender ownersh! ip to lenders in a move that will replace 80 percent of its debt with equity. Quiznos filed a prepackaged restructuring plan that would shave $400 million of debt. Both chains will live on, but they may not be the same. Mauled at the Mall Sbarro has shut 180 company-owned locations with plans to shutter dozens more. There are now less than 800 units. Quiznos has 2,100 largely franchisee-owned locations, but we'll have to see how that holds up over time. Sbarro cited an "unprecedented decline in mall traffic" as a factor in its slide. As shoppers migrate online, there has been slower foot traffic at the suburban mall and hence to the food court. Quiznos relies on standalone locations and strip-mall outlets that haven't necessarily suffered from the thinning shopping mall crowds that have hurt Sbarro. However, Quiznos has been hit by everything from the larger Subway following it into toasted subs to folks scaling back on carbohydrates. It didn't seem as if this was a problem last year. Two of the hotte

  • [By Ben Levisohn]

    What happens when noodles gets overcooked? They turn into a gooey, mushy mess. What happens when Noodles & Co (NDLS), which trades at a 78.5 times forward earnings, releases disappointing results? It too turns into a gooey, mushy mess.

  • [By Lauren Pollock]

    Noodles(NDLS) & Co.’s third-quarter profit soared as the fast-casual dining chain’s sales were bolstered by new restaurant openings and rising demand at established locations. Though sales were boosted by higher traffic and an increase in the amount spent per customer, shares of Noodles dropped 7.9% to $43 in premarket trading as the revenue growth wasn’t as lofty as analysts expected.

  • [By Ben Rooney]

    There were three other consumer focused companies that more than doubled: sandwich shop Potbelly (PBPB), organic grocery store Sprouts Farmers Market (SFM) and Noodles & Co. (NDLS), a casual dining chain.

  • source from Top Stocks Blog:http://www.topstocksblog.com/top-restaurant-stocks-to-own-for-2014.html

Tuesday, April 22, 2014

SolarCity Corp (SCTY): Baird Says Buy the Dip

SolarCity Corp (NASDAQ:SCTY) is a darker shade of green than most today. The alternative energy company I sup more than a buck (1.83%) as we type thanks in part to an upgrade from Baird.

Analyst Ben Kallo rates SCTY as a "Buy," up from "Neutral" and fixed a $75 price-target on the stock.

SolarCity is engaged in the design, installation and sale or lease of solar energy systems to residential and commercial customers, or sale of electricity generated by solar energy systems to customers. The Company's solar energy products include Solar Energy Systems, and SolarLease and power purchase agreement finance products.

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Kallo believes recent weakness has created an opportunity to buy on the cheap, "CTY's pullback of approximately 35% since Feb. 27 provides an excellent buying opportunity, in our view, on the stock most levered to the U.S. rooftop market, which will likely undergo a boom over the next several years. SCTY's cost reductions and scale continue to strengthen its position in the market. Additionally, innovative financing products, such as solar ABS', provide relatively low-cost capital for SCTY to capitalize on the expansive U.S. greenfield opportunity."

According to utilitydive.com, "Residential solar has experienced steady, if somewhat gradual, growth to this point. But the market may be well-positioned for a boom. GTM Research sees the residential solar financing market in the U.S. growing from $1.3 billion in 2012 to $5.7 billion in 2016."

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SolarCity is at the forefront of the financing revolution. However, 2016 is far away and investors are more concerned with today. Let's see what story the sun stock's chart is telling.

SCTY's shares put in a double, short-cycle, pivot-point bottom in the area around $54, give or take fifty cents. This W like support levels comes following a rapid descent from the February 52-week high of $88.35. The $54ish stopping point creates a triangle pattern; however, Wall Street might not be done drawing the right side of the shape. If $54 fails to hold support, then a larger, more complete triangle would complete at $45ish.

On the plus side, a bullish MACD crossover under the zero line is emerging from today's price action. The technical buy signal happened twice in the past 52-weeks and is 2-for-2 on predicting a significant rally, but not immediately. The race higher commenced  about two weeks after the signal.

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From a fundamental standpoint, SolarCity is more difficult to evaluate. The company isn't profitable and isn't expected to be anytime soon. In this regard, about the best you can do is look at the company from a revenue perspective.

In its limited public life, SCTY trades with an average price-to-sales (P/S) ratio of 16.68, compared to today's 28.46 time sales – gulp.

For 2014, the street thinks the company's top line will add up to $273.65 million and $450.76 next year. At the average P/S ratio, the green energy company's shares would price out at $49.88 and $82.14 using '14 and '15 consensus sales estimates, respectively.

Scarily, competitors trade at an average P/S ratio of 1.44, which would push SCTY under $10 should investors apply the same standard to SolarCity.

Overall: SolarCity Corp's (NASDAQ:SCTY) stock charts suggests there is more upside than downside at current levels; however, SCTY is expensive relative to its peer group and recent P/S history. The stock is for those investors who can stomach a 35% fall in a very short timeframe as SCTY is likely to remain volatile while its valuations are high. 

Monday, April 21, 2014

Advanced Micro Devices, Inc. (AMD) Q1 Earnings Preview: April Fools’ Gold

Advanced Micro Devices, Inc. (NYSE:AMD) will webcast its quarterly earnings conference call on Thursday, April 17, 2014 at 5:30 p.m. EDT / 2:30 p.m. PDT to discuss the results of its fiscal first quarter ending March 29, 2014.

Wall Street anticipates that the chip-maker will breakeven for the quarter, which is $0.13 better than last year's loss of $0.13 per share. iStock expects AMD  to beat Wall Street's consensus number. The iEstimate is $0.01, a penny, but infinitely more than expected.

Sales, like earnings, are expected to grow, rising a muscular 23.20% year-over-year (YoY). Advanced Micro's consensus revenue estimate for Q1 is $1.34 billion, more than last year's $1.09 billion.

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Advanced Micro Devices is a global semiconductor company with facilities around the world. The Company offers x86 microprocessors, as standalone devices or as incorporated as an accelerated processing unit (APU), for the commercial and consumer markets, embedded microprocessors for commercial, commercial client and consumer markets and chipsets for desktop and mobile devices, including mobile personal computers, or PCs, and tablets, professional workstations and servers and graphics, video and multimedia products for desktop and mobile devices, including mobile PCs and tablets, home media PCs and professional workstations, servers and technology for game consoles.

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An earnings beat from AMD? Big whoop! Management has done an excellent job managing expectations. Profits topped the consensus outlook 14 of the last 16 quarters by an average of 9.26% with a range of 2.33% to 31.25% more than expected. Meanwhile, the three meet the street's mark for the three reaming quarterly checkups.

Despite the strong track record of bullish beats, the semiconductor's share price went up nine and down seven times in the days surrounding the last 16 profit reviews. When green, the stock averaged a gain of 3%, maxing out at 7.10%. And when red, the price backed up from -1.50% to -6.60% with a typical loss of -3.74.

From a seasonal standpoint, the April announcement has been strong on surprises, but blah on performance. AMD bypassed Wall Street's view by 11.43%, 3.03%, 10.71% and 31.25% for the past four April announcements, from the most recent back. However, the stock priced limped in the three-days book ending those solid quarters, losing -4.9% last April while gaining 0.6%, 0.6%, and 0.4% for the three prior diamond month announcements, once again in order from most recent.

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Overall: Advanced Micro Devices, Inc. (NYSE:AMD) is set up for a good quarter. Earnings and sales are expected to rise sharply YoY, and management was able to get costs under control in 2013. Costs of goods fell 20.68% versus a -2.27% decline for sales, which is beneficial for profit margins.

While the income statement looks healthy, iStock will be keeping an eye on inventory as the balance sheet line item spiked 57.3% in 2013. Too much old technology collecting dust on shelves eventually turns into super low profit margins. Hopefully, there is a dramatic inventory reduction Thursday afternoon; otherwise, a charge could be forthcoming in future quarters. 

Sunday, April 20, 2014

European Commission OKs ICE Takeover of NYSE Euronext

IntercontinentalExchange's (NYSE: ICE  ) impending acquisition of NYSE Euronext (NYSE: NYX  ) doesn't pose enough of a threat to competition to warrant concern, at least according to the European Commission. As a result, the European Union's executive branch has approved the proposed transaction, saying that it does not "raise competition concerns as NYX and ICE are not direct competitors in the markets concerned and would continue to face competition from a number of other competitors."

Both companies professed happiness at the ruling in separate press releases. IntercontinentalExchange quoted Chairman and CEO Jeffrey Sprecher as saying that "we welcome the decision by the European Commission."

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NYSE Euronext CEO Duncan Niederauer opined that "this is obviously a significant step forward in completing our compelling combination, and we now look forward to working with our regulators to obtain the final approvals necessary to close the transaction."

The deal is still subject to final approval from the Securities and Exchange Commission and other national financial regulatory bodies.

Saturday, April 19, 2014

What's the Opportunity at Energy Transfer Partners?

Last year, Energy Transfer Partners (NYSE: ETP  ) missed out on the tremendous gains that its industry peers experienced. The partnership's structure was clunky, natural gas prices were killing its bottom line, and it didn't look like a distribution increase was anywhere in sight. How quickly the tide has turned.

ETP units have finally started to rise, and it still packs a lot of potential. That's why we have created a premium report on ETP to lay out what the partnership is, what it has done, and where it is headed in order to guide investors on whether the company merits consideration for their portfolios. 

Following is an excerpt from the report, laying out the company's opportunity. We hope you enjoy it. 

The Opportunity

Over the course of the last three years, ETP made several major acquisitions and launched more than $3 billion worth of organic growth projects. The result of that push is that the ETP we see today barely resembles the ETP we knew back then. In the early going, these acquisitions were just strapped to the back of the partnership as it plowed forward into the next big buy. Now, management has started to reorganize its structure in an effort to simplify operations and increase transparency, which in turn makes it easier for investors to focus on the opportunities that these moves provided in the first place.

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The sheer volume of the acquisitions and the organic growth projects does two things for the partnership. First, it increases the diversity of ETP's business mix. Second, it almost guarantees the likelihood of additional distributable cash flow.

For example, last year's acquisition of Sunoco gives ETP (once strictly a natural gas midstream company) access to the crude oil, refined products, and natural gas liquids markets. Between Sunoco and its associated master limited partnership, Sunoco Logistics Partners, ETP now operates 5,400 miles of crude oil pipeline and 2,500 miles of refined products pipeline. Energy Transfer also picked up 40 miles of natural gas liquids pipeline, and one natural gas liquids storage facility in the deal. As a reminder, ETP owns Sunoco, but it does not own Sunoco Logistics; rather it controls a 2% general partner stake, 32.4% of its limited partner units, and all of the incentive distribution rights.

In 2009, 52% of ETP's business was dedicated to intrastate natural gas pipelines. Today, that number is down to 17 %, and the overall makeup of the business is far more diversified than it was even two short years ago. In this way, ETP mitigates any disadvantages that affect one specific revenue stream, while opening the door for more opportunistic growth across the various niches of the midstream industry. As Energy Transfer's business mix continues to diversify, its cash flows will do the same. Right now, roughly 70% of ETP's cash flows are derived from some aspect of its natural gas -- intrastate and interstate -- and natural gas liquids business, and 30% is derived from crude oil and petroleum products.

The best part about many of ETP's new projects is that they supported by fee-based contracts, meaning there is little to no exposure to commodity price risks, creating reliable income streams that lend themselves well to increasing distribution payments.

The other important diversification component that is represented in the Sunoco acquisition is that the buyout expands Energy Transfer's range geographically, as most of Sunoco's pipelines and terminals are located in the Northeast U.S.

Sunoco Logistics pipelines stretch down from New York, across Pennsylvania and Ohio, into Michigan, and ultimately run down to Oklahoma and Texas, giving ETP incredible access to the Marcellus and Utica Shales. The Marcellus Shale is a particularly intriguing play right now. Natural gas and natural gas liquids production in the shale is booming, despite low gas prices, and energy analysts expect output from the Marcellus to climb 78% over the next two to three years.

Another crucial pickup for ETP was its acquisition of a 50% stake in the Citrus pipeline system, which runs from Texas along the Gulf Coast and down into Florida. Florida is a quiet yet significant player in the world of natural gas. Second only to Texas, the state generates at least 62% of its electricity from natural gas, and that number will increase as coal and fuel oil power plants continue to be replaced by natural-gas-powered facilities. ETP's pickup is a smart foray into one of the most crucial gas markets in the U.S.

All of this growth will mean increased opportunities for additional distributable cash flow for Energy Transfer. For example, ETP expects the Sunoco acquisition to bring in 33% of future cash flow. In the first quarter of 2013, ETP's stake in Sunoco Logistics combined with Sunoco's retail business to contribute adjusted EBITDA of $273 million.

Looking for more guidance?
That was just a sample of our new premium report on ETP. If you're weighing whether the company is a buy or sell, the report is an essential resource for investors seeking more information on the company. Not only that, but the report comes with updated quarterly guidance and dives into upcoming catalysts on the horizon. To get started, simply click here now. 

Friday, April 18, 2014

Tax lessons learned for the 2013 season

Income tax, federal taxes, state taxes, IRS, renting, owning a home, having a child, W-4 forms

I spent a good part of 2013 and early 2014 warning financial advisers about higher taxes that were just around the corner for their clients due to the American Taxpayer Relief Act of 2012.

But I never anticipated I'd be writing Uncle Sam a four-figure check. Ouch.

The exact amount on my husband and I owed for federal taxes was $4,175. That's decent-vacation-in-Europe money. Or new-pair-of-fancy-roadbikes money. The best alternative? We could've just left that money where it was originally: sitting in our emergency fund savings account.

For those of you who missed all the stories I wrote last year and through the first few months of 2014, here's a quick recap on ATRA: Single filers with taxable income over $400,000 and married-filing-jointly filers with taxable income over $450,000 will be subject to a top marginal income tax rate of 39.6%, plus a top marginal tax rate of 20% on long-term capital gains.

Starting at the $250,000 (single) and $300,000 (married, filing jointly) levels, there's also a phaseout of personal exemptions and itemized deductions. Don't forget the 3.8% surtax on net investment income, plus the 0.9% Medicare tax on wages, which apply at $200,000 income level for single filers and $250,000 for married filing jointly.

My husband and I do “well enough.” We're far enough from the $250,000 income threshold that we don't have to worry just yet about the additional levies on wages. We do earn enough, however, that we're close to the higher end of the 25% tax bracket.

But we did undergo a couple of major changes from the 2012 tax year to the 2013 tax year. The biggest one being that my husband was between jobs in 2012 and doing some independent contractor work on the side, then he became a W-2 employee for the full year of 2013. The end result? A huge bump in combined income for the two of us, raising us from five figures to the low six figures.

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There are valuable life lessons to be learned here, for my husband and myself, as well as for your client base of moderately successful Gen X and Gen Y or Millennial clients who will one day hit those higher income levels.

Here are a few takeaways for advisers and accountants working with these younger clients. Don't be afraid to give these taxpayers a little homework:

1. Double-check your clients' W-4 forms. This is particularly important for households with two wage earners. Sometimes it's better t! o pay a little more in extra income taxes throughout the year, rather than having to write out one big check come April 15. A big mistake for these taxpayers is filling out the W-4 form — the form in which an employee calculates how much taxes an employer should withhold — in such a manner that the employee receives only the standard deduction and taxes are withheld in the 10% bracket. Sure enough, my husband and I have this on our to-do list, as we both withheld our taxes in the 10% bracket, underpaying on taxes through 2013. Updating a W-4 is a relatively simple fix that can save a bundle.

“What I recommend as a good fix in maybe 80% to 90% of situations is that one spouse should claim zero and married, while the other claims zero and single,” said Jerry Love, a certified public accountant and personal financial specialist.

When your Gen X and Gen Y clients' combined family income hits the $100,000 threshold, it's time to have a talk about Form W-4, updating it to ensure that they're withholding enough money in payroll taxes, Mr. Love said. “Once you get over $100,000, you can end up in the 25% bracket very quickly,” he added.

2. Freelancers, consultants and other independent contractors must make sure they're withholding enough taxes, too. Gen X and Gen Y clients with an entrepreneurial streak need to be aware that once they're on their own as a small business owner, they're responsible for ensuring they withhold and estimate the appropriate amount for taxes. “Many [independent contractors] came to the table to file, received this huge tax bill and didn't realize they had to withhold their taxes,” noted Ted Jenkin, co-CEO of oXYGen Financial. “More people in their 20s, 30s and 40s are doing small businesses and part-time work, generating multiple income streams. But they need to know how payroll, federal and state taxes work.”

3. Urge clients to step up their contributions into 401(k) and IRA plans. If it's available, kick money in! to a heal! th savings account, too. Advisers with young clients: This might sound like a no-brainer, but you can't stress it enough. Remind your Gen X and Gen Y clients to throw in as much money as they can into their retirement savings plans. Sweeten the pot by telling them that they can cut their taxable income if they step up their 401(k) contributions. Personal note here: I'm contributing at about 10%, but my husband is contributing 5% of salary to his retirement plan. Yep, our CPA scolded us on this one.

A quick reminder of contribution limits in 2014: Workers can defer up to $17,500 into a 401(k), 403(b) and most 457 retirement plans, plus a catch-up contribution of $5,500 if they're 50 and up. Annual contributions to an IRA are capped at $5,500, plus a $1,000 catch-up contribution for those over 50.

A talk about budgeting goes hand-in-hand with encouragement to raise contributions. Gen X and Y-ers need to weigh the real-life implications of raising that 401(k) contribution. That'll likely mean cutting expenses elsewhere for the greater good of tax savings and retirement security.

4. Roth IRAs and Roth 401(k)s: Have a serious discussion about these savings vehicles, and be aware of the tax implications. Paying income taxes up front for saving in a Roth account might not be such a bad idea if your client's tax rate is low. Make sure your clients ask whether there's a Roth 401(k) available at work, too. “If your tax rate is at 15% or lower, you should probably do the Roth 401(k),” said Mr. Jenkin.

When it comes to looking at a conversion, make sure clients aren't running off and doing them solo. Ben Eisen of MarketWatch (a fellow Millennial) chronicles here his tax misadventures following a Roth IRA conversion.

“If you're doing this on your own, the conversion could bump you into a higher tax bracket,” said Mr. Jenkin. “But if your income goes down or if you have an off year, that's when you can look at converting those assets.”

5. Talk about owning versus re! nting. Ti! me goes by quickly when you're young and having fun. In my case, my husband and I have been renting in the same building for four years. We like our neighborhood in Jersey City, N.J. Our CPA left us with this parting thought: If you're planning on staying in the area long-term, is it time to think about owning?

Take the time to crunch the numbers with your client: In a state with high property taxes, it's easy to let that sticker shock deter would-be homeowners from thinking about buying. Make a list of pros and cons for your Gen X or Gen Y-er, and think about the possible tax savings: Mortgage interest is tax deductible, as are property taxes. Fit that tax savings in context with the bigger picture of your client's finances: Is the purchase feasible? How much do you need to sock away for a down payment? Which expenses do you need to cut in order to get there?

But there are also traps. Make sure your estimated tax benefits are reasonable. “Don't overestimate the amount you'll get back if you purchase a home,” warned Eric Roberge, a financial planner with Beyond Your Hammock.

6. If your client has a child or is considering it, then it's time to have a talk. Kids cost money, but they come with other benefits, too: Now your Gen X or Gen Y-er can claim a dependent. Children bring a bevy of tax benefits, including the earned income tax credit ($3,304 in 2014 for one child of taxpayers filing jointly. This goes up to $5,460 for two kids and $6,143 for three or more). There's the dependency exemption of $3,950 for 2014. Further, contributions to Section 529 college savings plans can be tax deductible on your client's state tax return. It's also time to revisit tax withholdings.

“Getting married, having a new child — all that may add potential deductions and allow you to adjust your withholdings,” said Mr. Jenkin. “Many people don't think about it: What are the other deductions?”

Thursday, April 17, 2014

Hot Warren Buffett Companies To Buy Right Now

Hot Warren Buffett Companies To Buy Right Now: Hibbett Sports Inc.(HIBB)

Hibbett Sports, Inc. operates sporting goods stores in small to mid-sized markets primarily in the southeast, southwest, Mid-Atlantic, and Midwest regions of the United States. Its stores offer an assortment of merchandise, including athletic footwear, team sports equipment, athletic and fashion apparel, and related accessories. The company also provides its merchandise directly to educational institutions and youth associations. As of January 28, 2012, it operated 832 stores consisting of 812 Hibbett Sports stores, 19 smaller-format Sports Additions athletic shoe stores, and 1 larger-format Sports & Co. superstore in 26 states. The company was formerly known as Hibbett Sporting Goods, Inc. and changed its name to Hibbett Sports, Inc. in January 2007. Hibbett Sports, Inc. was founded in 1945 and is headquartered in Birmingham, Alabama.

Advisors' Opinion:
  • [By John Kell and Lauren Pollock var popups = dojo.query(".socialByline .popC"); ]

    Hibbett Sports Inc.(HIBB) posted an increase in fiscal fourth-quarter sales, but its bottom line was hit by higher costs. The company’s results fell below Wall Street expectations, sending shares down 4.5% to $55.25 premarket.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Hibbett Sports (Nasdaq: HIBB  ) , whose recent revenue and earnings are plotted below.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow! once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Hibbett Sports (Nasdaq: HIBB  ) , whose recent revenue and earnings are plotted below.

  • source from Top Stocks Blog:http://www.topstocksblog.com/hot-warren-buffett-companies-to-buy-right-now-3.html

Wednesday, April 16, 2014

Europe Is Looking Brighter for Ford Motor Company

High gas prices have made the Fiesta Ford's best-seller in Europe. Photo credit: Ford Motor Company

Like most of its competitors, Ford  (NYSE: F  ) has had a rough ride in Europe over the last few years. Severe recessions in many key European nations drove new-vehicle sales to lows not seen in two decades -- and Ford, along with several rivals, lost billions.

But the European auto market is finally starting to pick up -- and Ford's sales are looking strong. In this video, the Motley Fool's John Rosevear looks at Ford's latest numbers from the Old World, and explains why the picture should continue to brighten for Ford in coming months.

A transcript of the video is below.

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John Rosevear: Hey Fools, it's John Rosevear, senior auto analyst for Fool.com. Ford announced on Tuesday that its sales in Europe rose 12% in March.

That was enough to give them an 11% gain for the first quarter. That's ahead of the overall market, which gained 10% in March and 8% for the quarter, so Ford gained market share. It was up to 8.9% in March, up two-tenths of a percent from March of last year.

These may sound like ordinary sounding numbers but Europe has been a big challenge for Ford and most of their rivals for several years now, so this is all actually very good news.

Ford is working hard to turn around its European operation, it lost $1.6 billion dollars in Europe last year, $1.7 billion the year before, but the company says it's on track to break even next year, and increasing sales and market share, especially in the retail and commercial vehicle markets, is one key part of how they're going to do it.

We have a habit of getting worried when automakers talk about fleet sales, because we associate the phrase "fleet sales" with low-profit sales to rental-car fleets. But Ford has been moving away from those kinds of sales in both the U.S. and in Europe, while continuing to go after commercial vehicle fleet sales.

That's things like work trucks and delivery vans, Ford considers that to be good profitable business and they compete hard for it. In the U.S. they do it primarily with pickups, but in Europe they sell a lot of vans, variations of the Transit van and the smaller Transit Connect vans, as well as the even smaller Transit Courier van and a commercial van version of the Fiesta hatchback, when you need something really small for your business. They also sell the Ranger pickup in Europe, in regular, super, and double cab versions.

And just as they are here, these commercial truck sales are a key part of Ford's business in Europe. Ford's commercial vehicle sales were up 10% in the first quarter, and Ford's share of the European commercial vehicle market was up to 10.4%, up two-tenths of a percentage point, they say that's their highest level since 1998. Meanwhile, sales to rental fleets were down as a percentage of total sales, so we like to see that.

Ford's top sellers in Europe continue to be the Fiesta and the Focus and the Kuga, in that order. Fiesta sales rose 7% during the quarter and we reported earlier in April that Ford had increased production of the Fiesta by 200 cars a day at its big plant in Cologne Germany, and they've been working extra weekend shifts.

The Kuga is the European version of the Escape, it replaced an old model that they made specifically for Europe. Sales were up 56% in the first quarter. Another part of Ford's turnaround plan is to expand their product lineup, they have 10 new models coming to Europe in 2014 and more next year, including for the first time the Ford Mustang, so they could continue to outpace the overall market for a while as they expand their offerings.

Long story short, the first quarter was great for Ford in Europe, and that means good news for Ford's profits over the long term. Thanks for watching.

Tuesday, April 15, 2014

6 Stocks to Sell Now

Stock market volatility—especially downward volatility—is back. In seven trading sessions from April 3 through April 11, the Dow Jones industrial average experienced four single-day triple-digit drops, including one of 267 points, as well as one day with a gain of 181 points. For all the wild swings, however, the bull market remains in force. The broader Standard & Poor's 500-stock index, which has returned 199% since bottoming on March 9, 2009, is off a mere 4% from its record high.

See Also: Why Rising Interest Rates Won't Kill the Bull Market

Still, the market's shaky performance raises the question of whether this is a good time to take some profits. In that spirit, we've identified six stocks that we think are no longer the bargains they once were or whose growth prospects have become less rosy. If they're in your portfolio, think about cutting them loose. (The stocks are listed alphabetically; prices are as of April 11.)

Garmin (GRMN, $54.86). Smart phones are eating into the sales of makers of global positioning systems, or GPS. Case in point: Revenues at Garmin's auto division fell 13% last year. The Switzerland-based company is starting to diversify into areas such as fitness and aviation, which helped boost the stock 64% over the past year. But analysts don't expect profits to grow meaningfully again before 2015. And the stock is not particularly cheap, selling at 21 times estimated 2014 earnings.

Lululemon Athletica (LULU, $52.08). The Canada-based athletic apparel maker stumbled last year when shoppers complained that the store's pricey yoga pants were see-through. Lululemon is making amends, but other companies have since entered the high-end athletic apparel market. The stock's glamour days—it rose 13-fold from early 2009 to last June—are history. Analysts expect same-store sales—sales at stores open for at least one year—to rise only by low-to-mid-single-digit percentages in the current fiscal year, which ends in January.

Netflix (NFLX, $326.71). Shares of the online video-streaming company quadrupled in 2013. But Netflix is feeling the pressure from competitors. The Los Gatos, Cal., company plans to spend about $3 billion to acquire content this year, more than twice Netflix's cash balance. That means the company will need to raise funds. What's more, with a price-earnings ratio of 80, based on estimated 2014 earnings, the stock is vulnerable to any sort of disappointing news. Indeed, when word broke in March that Apple and cable TV giant Comcast could offer a joint video-streaming service, Netflix's stock fell 6.7% in a single day.

RadioShack (RSH, $2.03). The consumer-electronics chain repeatedly fell short of analysts' earnings estimates last year. The Fort Worth, Tex., company is trying to bounce back, but consumer-electronics is an intensely competitive business, especially when it comes to selling mobile phones. In 2013, sales of mobile phones, which account for more than half of Radio Shack's revenues—declined 10.4% in stores that were in existence for at least one year. So far this year, the stock has declined 22%. Its low-single-digit price suggests that investors think there's a good chance Radio Shack is heading toward oblivion.

Rite Aid (RAD, $7.04). The nation's third-largest drugstore chain wowed investors on April 10 when it reported better-than-expected profits for the quarter that ended March 1. What's more, the Camp Hill, Pa., company projected higher sales and earnings in the current fiscal year, thanks in part to its recent purchase of RediClinic, which operates 30 in-store health clinics in Texas. As a result, the stock surged 8.4% on what was a miserable day for most stocks. But much of the good news may already be baked into the share price. The stock has more than tripled over the past year and now trades for 19 times estimated year-ahead earnings. By contrast, Rite Aid's main rivals, CVS Caremark and Walgreens, trade at 16 and 17 times estimated year-ahead profits, respectively. Rite Aid also carries much more debt than other drugstore chains. That could come back to haunt the company if its turnaround stumbles.

Tesla Motors (TSLA, $203.78). Despite a recent pullback, Tesla's stock has nearly quintupled over the past year and trades at 116 times estimated 2014 earnings. But the Palo Alto, Cal., company, which went public in 2010, may not be able to keep up with investor expectations. A report by UBS says the rich share price assumes that Tesla will produce one million vehicles per year a decade from now, a daunting task. Meanwhile, Tesla needs to reduce the cost of its car batteries in order to roll out lower-priced models. "The downside is material," UBS says.



Monday, April 14, 2014

Analysts jump on Leapfrog

Geoffrey SeilerPiper Jaffray initiated coverage of Recommended List selection LeapFrog (LF), starting the stock with an "overweight" rating. Analyst Stephanie Wissink placed an $11 price target on the stock.

Meanwhile, Roth resumed coverage of the infant and juvenile industry today, and analyst Dave Kingc called LeapFrog their "top pick" and offered a $12 per share price target.

Wissink wrote, "We think shares present a compelling investment opportunity at current levels.  Earnings power nears $1.00, implying a severely discounted multiple for a company with strong brand equity."

In her note, the analyst pointed to increasing birthrates and strong brand equity of the LeapFrog brand. On the former point, Wissink sees current infant/baby and preschool demographic trends as conservatively adding two to three percentage points of incremental growth.


On the latter point, she wrote: "There is tremendous brand equity and trust among the purchasing consumer, which we think the company can leverage to regrow its revenue base."

At Roth, King wrote: "In evaluating different Infant & Juvenile industry stocks, we see LeapFrog as the top pick in the category due to its leading brand position, growing content sales, and strong cash generation"

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He added, "We expect it will continue to benefit from a secular trend toward better education and a significant 'English as a Second Language' opportunity."

In our view, as the top brand in toddler educational toys and content, LeapFrog is well positioned to take advantage of the industry tailwind. Kids are increasingly becoming tech savvy at younger and younger ages, and LeapFrog's products and digital content play into this trend.

LeapFrog shares have been hot recently, but the stock still remains inexpensive, trading at around 9.5x the 2014 consensus, excluding its nearly $3.00 per share in net cash. The company has been executing well, and it has a very strong brand. While competition is increasing, LeapFrog's content helps separate it from rivals.

International expansion, especially in the English-as-a-second-language field, is a nice potential growth area, and birthrate trends mentioned by Piper Jaffray are also a notable driver. The company is also a strong free cash flow generator, and has a rock solid balance sheet, with about 30% of its enterprise value in cash.

If LeapFrog can convince investors that it's an educational content company and not a "kiddie tablet" maker, then it is likely to command a much higher multiple than it currently has.

We also think the company could make an attractive takeout candidate for a large toymaker like Hasbro or Mattel, as well as private equity. We continue to rate the stock a "Buy" with a $12 target.

Saturday, April 12, 2014

Yahoo! Should Stream Taylor Swift's Next Tour

NEW YORK (TheStreet) -- I'm not trying to start a social movement among legions of diehard Taylor Swift fans. (Though if anybody could start one it'd be them. And I don't mind if they do).

I just believe, from a business perspective, it's an absolute no-brainer for Yahoo! (YHOO) to take ownership of a live concert streaming space nobody, outside of a handful of startups and random musical acts, seriously dabbles in.

Consider the following logic that hypothetically lays out one of the many ways a Marissa Mayer-led live concert streaming strategy could take shape.

If I'm Mayer I'm doing two things right now: Buying up and/or partnering with live concert streaming startups such as iRocke and even smaller outfits like Concert Window (the way she she did Evntlive). Going after a big name act (or two) as a proving ground for the popular and economic viability of the space. Taylor Swift comes in on point two. I use her as an example because there's no better example to use. The passion Swift's fans have for her parallels the passion Bruce Springsteen's fans have for Bruce and (recent Rock and Roll Hall of Fame inductees) The E Street Band. It's this passion that debunks the inane notion that live video streaming of concerts might dampen enthusiasm for the in-person live performance. Some folks -- in the music industry of all places -- are actually against live concert streaming because they think it will detract from ... exactly what I don't know. Have any members of the music industrial complex ever been, how you say, diehard fans? Have they gone through the emotional processes that take place pre-show, in-show and post-show with respect to the Swift, Springsteen or (insert your favorite here) experience? I don't think they have or live concert streaming would be a widespread thing that's happening right now. The Music Industry Doesn't Serve the Emotional Needs That Result From Extreme Fandom There's a Springsteen fan message board I used to visit frequently. Prior to each show, a member starts a "Setlistvision thread." Then during the show people who are not at that night's show are in touch, via smartphone, with fellow fans in attendance. Throughout the night, the "caller" feeds the setlist to the poster song-by-song. For the entire three to four hours of the Springsteen experience, these people are eagerly waiting for words on a screen -- not even audio or video. The community feel of it all -- which could be easily tied into a streaming media platform -- helps keep them engaged. However, even if you took that away, I'm pretty confident they would keep coming back absent any other reliable and consistent setlist source.  Springsteen fans visit multiple sites that track the setlist in real-time night after night, either in anticipation of the show (or shows) they plan to see or as therapy to ease the sadness associated with not being able to attend a stop on the tour. This practice is not just a Bruce thing. Then there's Google's (GOOG) YouTube. It's the place you go to search for bootleg recordings of live concerts. Many diehards browse YouTube immediately after a concert ends, refreshing the screen at regular intervals waiting for videos to hit. If you happened to have been at a show, the YouTube component takes on even more meaning. Seeing a musician and/or band you have a strong emotional bond with is nothing short of a cathartic experience. It's intense. It's euphoric. It's a bit like a drug. On that Springsteen site I mentioned, you'll sometimes see the term "post-Bruce depression" pop up. Granted -- there might be more going on with you psychologically if you suffer Springsteen withdrawal to the point of melancholy or worse, but that doesn't make the affliction any less real. By and large, the music industry does a wholly pitiful job meeting the emotional needs of its customers. We're forced to scrap and scavenge third-party platforms from fan sites run on a shoestring to YouTube to get our fix. And that's the point, we need our fix. Once we get a taste of the live experience, we go searching for other ways to self-medicate. To feel like we're part of something we know can't match, but is better than nothing vis-a-vis being there. If serious and casual fans can become addicted for periods of time to refreshing a freaking message board thread to see the name of the next song an artist played, don't you think they might pony up for high-quality streaming access to the tour?

A rhetorical question which leads into exactly what music lovers might be buying after the click to Page Two ...

Stock quotes in this article: YHOO 

Yahoo! Should Emulate Live Concert Tour Streaming After Major Professional Sports Apps

I use NHL Game Center and the far superior Major League Baseball At-Bat (premium edition) to follow hockey and baseball. The basic concept of both is that for a monthly fee you receive access to a live stream of pretty much every game every night (with the exception of local blackouts and national telecasts), plus you receive instant archive access to games as well as statistics and other features geared toward diehard as well as casual fans. There's even smart integration with each league's e-commerce merchandise sites.

To my knowledge, these apps have done nothing to hurt the leagues. In fact, they're promoting them like crazy because the loyalty and passion they nurture can help drive everything from ticket sales to ratings to merch sales. For goodness sake, this season, you receive free MLB At-Bat online access if you purchase DIRECTV's (DTV) MLB Extra Innings package. That deal put me over the edge to buy. And shortly after I made that investment, I bought a Blue Jays cap and hoodie. Go figure.

Anyway, Yahoo! -- or somebody else -- could structure it any number of ways. By artist. By genre. They could allow you to select X number of artists for this much per month (or year) on an ascending scale. They could go a la carte by show. Or both. And more. Whatever. The particulars don't matter at this stage. What matters is that Yahoo! -- or whomever seizes this massive opportunity -- should model live concert streaming after the sports apps. Using Taylor Swift as an example ... She's likely to tour later this year or in 2015 at the latest after she releases a new record. That's the ideal time to launch a live concert streaming package, via Yahoo!, which provides subscribers access to a live stream of each stop on the tour, archived video access to each show on the tour and other bells and whistles, which could range from discounted event tickets and merch to other Taylor-related features. This would be a goldmine. If the sports leagues can do it and World Wrestling Entertainment (WWE) can do something similar, there's no reason in the world why Taylor Swift and a whole host of other acts cannot do likewise. In fact, they're leaving money and synergy on the table by not doing likewise. If money's an issue for younger Swift fans still under parental control, not a problem. These diehards will cancel Netflix (NFLX) subscriptions left and right to cover or supplement the cost (probably the latter) of a Taylor Swift tour subscription. And it won't be merely a kid thing. It's ignorant misnomer to believe Swift's audience consists solely of penniless school kids. First, just because they're school kids doesn't mean they're penniless. But, beyond that, the country audience is massive. And it's young. It's precisely the demo that's apparently leaving Facebook (FB) (though I don't buy that). A thought that triggers hysteria among the financial and tech media. I include that simply to say -- the teen to 34-year old demo is a vitally important one.  A recent The NY Times article on the "young, rich and ruling" class of country music fans noted: On the radio, (country) has displaced Top 40 as America's most popular musical format. Its biggest star is Taylor Swift, a 24-year-old phenomenon who last year earned more from music than any other singer ... ... country's increasingly mainstream appeal was on display during the Academy of Country Music Awards on CBS, which last year had 15.5 million viewers, its biggest audience in 15 years, according to Nielsen. ... Country's popularity on the radio is reflected on the road. Live Nation (LYV) recently reported that audiences for its country concerts grew 50 percent last year to seven million, and the company said that it now views country as one of its two fastest-growing genres, along with electronic dance, the hot youth trend of the moment. Ms. Swift's tour last year, which was promoted by Live Nation's rival, AEG Live, was the biggest in North America over all, with $113 million in ticket sales ... But here's the deal -- Swift's appeal isn't merely that she's country. Because she's really not, at least by any traditional definition of the term. It's that she's the most successful, dynamic and talented crossover artist of our time. And maybe ever. Top 40 shouldn't worry much because Swift's carrying it as much as she's carrying country, no matter what the official numbers state. There's precedent for what Swift has done -- Canadian Shania Twain -- but nothing that matches the scope and scale. Or the passion ... from fans. This phenomenon should strongly suggest a hot iron to the music industry. One it should strike NOW. But there's no organizing (or smart enough) force within the industry to do what needs to be done. That's where a dynamic leader and visionary such as Mayer comes in. She walks into a meeting with whomever needs to be there from Swift's camp and associated factions and says something to the effect of I don't care what your rules and regulations are. I don't care about your backwards royalty and licensing structures. I don't want to hear why we CAN'T do this. All of the above is why you have seen industry wide revenue decrease. Because you didn't properly seize the future. Because you live by rules as opposed to make them suit what you should want and need to have happen. Well now we're going to help you do things the right way for once. And we're going to start with Taylor Swift. Mayer will probably be nicer than that. Or maybe she won't. Doesn't matter. Because the thrust of her desire (assuming she has one) to make live concert streaming a major part of Yahoo!'s online video strategy is righteous. It would be an offer they -- be it Taylor's label, Big Machine, or anybody else who claims a piece of her action -- would be certifiably insane, not to mention inane, to pass up. Others would watch and, in no time, they'll be calling Yahoo! asking how they can sign up.  Follow @rocco_thestreet --Written by Rocco Pendola in Santa Monica, Calif.

Stock quotes in this article: YHOO  Rocco Pendola is a full-time columnist for TheStreet. He lives in Santa Monica. Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Thursday, April 10, 2014

Top 5 High Tech Companies To Watch For 2015

Earlier this year, Virtu Financial Inc. was named as one of the 24/7 Wall St. Top 10 IPOs to Watch for 2014. We had the very first filing as one of a confidential filing matter with the SEC, but now Wall Street can count this one listed as officially coming to market�after a Monday filing. The company will trade under the stock ticker “VIRT” on NASDAQ.

Virtu is one of the top market makers and liquidity providers in many markets. Its revenues are generated by buying and selling large volumes of securities and other financial instruments – high frequency trading and market making. Virtu even claims to� make markets by providing quotations to buyers and sellers in over 10,000 securities and financial instruments on more than 210 different exchanges, markets and liquidity pools in 30 countries around the world.

Virtu’s underwriting group is rather large, and it would lead us to believe that more (perhaps much more) than just the nominal $100 million mentioned in the filing. Goldman Sachs, J.P. Morgan, and Sandler O’Neill are the book runners. Co-managers are listed as Barclays, BMO Capital Markets, Citigroup, Credit Suisse, and UBS.

Top 5 High Tech Companies To Watch For 2015: Mecox Lane Limited(MCOX)

Mecox Lane Limited, through its subsidiaries, engages in the design and sale of apparel, accessories, and home and healthcare products through its online platform and stores in the People?s Republic of China. Its apparel and accessories include women?s T-shirts, sweaters, jeans, dresses, outerwear, purses, and shoes, as well as offers kids? apparels and men?s apparels. The company also provides home furnishings and other small household appliances; a large-rim cup to cook instant noodles; beauty and healthcare products, such as skin care, fragrance, cosmetics, and other personal care products; and pet-related and other products. It sells its products under Euromoda and Rampage brands, as well as under third-party brands. In addition, the company involves in the telephonic sale of garments, accessories, and other products; and wholesale and retail of garments. Further, it offers software development and information technology support services. As of December 31, 2010, t he company operated 451 stores, including 327 franchised stores and 124 directly operated stores in 172 cities. Mecox Lane Limited distributes its products through company-owned and franchised stores, as well as through its M18.com e-commerce Website. The company was founded in 1996 and is headquartered in Shanghai, the People?s Republic of China. Mecox Lane Limited is a subsidiary of Mecox Lane.

Advisors' Opinion:
  • [By Roberto Pedone]

    Mecox Lane (MCOX) offers a selection of products apparel, accessories and home and health care products through its online platform and third party e-commerce websites. This stock closed up 13.5% to $4.10 in Tuesday's trading session.

    Tuesday's Range: $3.62-$4.18

    52-Week Range: $1.67-$7.88

    Tuesday's Volume: 274,000

    Three-Month Average Volume: 238,211

    From a technical perspective, MCOX exploded higher here right above some near-term support at $3.42 and back above its 50-day moving average of $4 with above-average volume. This stock has been trending sideways and consolidating over the last two months, with shares moving between $3.23 on the downside and $4.58 on the upside. This spike on Tuesday is quickly pushing shares of MCOX within range of breaking out above the upper-end of its recent range. That trade will hit if MCOX manages to clear Tuesday's high of $4.18 and then above more resistance at $4.58 with high volume.

    Traders should now look for long-biased trades in MCOX as long as it's trending above its 200-day at $3.24 and then once it sustains a move or close above those breakout levels with volume that hits near or above 238,211 shares. If that breakout hits soon, then MCOX will set up to re-test or possibly take out its next major overhead resistance levels at $6 to its 52-week high at $7.88.

Top 5 High Tech Companies To Watch For 2015: SkyWest Inc (SKYW)

SkyWest, Inc. (SkyWest), incorporated in 1972, through subsidiaries, SkyWest Airlines, Inc. (SkyWest Airlines) and ExpressJet Airlines, Inc. (ExpressJet) operates the regional airline in the United States. In addition, the Company provides ground handling services for other airlines throughout its system. The Company operates in two segments: SkyWest Airlines and ExpressJet. On December 31, 2011, its subsidiary, ExpressJet Airlines, Inc. (ExpressJet Delaware) was merged into its subsidiary, Atlantic Southeast Airlines, Inc. (Atlantic Southeast), with the surviving company named ExpressJet Airlines, Inc. (the ExpressJet Combination). ExpressJet includes the operations of Atlantic Southeast Airlines, Inc. (Atlantic Southeast) and ExpressJet Airlines, Inc. (ExpressJet Delaware), which is prior to the ExpressJet Combination.

As of December 31, 2011, SkyWest and ExpressJet offered scheduled passenger and air freight service with approximately 4,000 total daily departures to different destinations in the United States, Canada, Mexico and the Caribbean. All of its flights are operated as Delta Connection, United Express, Continental Express, US Airways Express or Alaska under code-share arrangements with Delta, United Air Lines, Inc. (United), Continental Airlines, Inc. (Continental), US Airways Group, Inc. (US Airways) and Alaska Airlines (Alaska). As of December 31, 2011, its consolidated fleet consisted of a total of 732 aircraft, of which 443 were assigned to United and Continental, 268 were assigned to Delta, eight were in preparation for new code-share assignments, five were assigned to Alaska, four were subleased to affiliated entities, two were assigned to US Airways and two were subleased to unaffiliated entities. In addition, it provides electronic or paper copies of its filings free of charge upon request.

As of December 31, 2011, it operated two types of regional jet aircraft: the Bombardier Aerospace (Bombardier) regional jet, which include the 50-seat Bombardier CRJ20! 0 Regional Jet (the CRJ200), the 70-seat Bombardier CRJ700 Regional Jet (the CRJ700) and the 70-90-seat Bombardier CRJ900 Regional Jet (the CRJ900), and the 50-seat Embraer ERJ-145 regional jet (ERJ145). As of December 31, 2011, it also operated the 30-seat Embraer Brasilia EMB-120 turboprop (the Brasilia turboprop). During the year ended December 31, 2011, approximately 65.2% of the Company's aggregate capacity was operated under the United Express Agreements and Continental Express Agreement, approximately 33.6% was operated under the Delta Connection Agreements, approximately 0.9% was operated under the Alaska Capacity Purchase Agreement, approximately 0.1% was operated under the US Airways Express Agreement and approximately 0.2% was operated under a code-share agreement with AirTran Airways, Inc.

On November 17, 2011, SkyWest Airlines and US Airways entered into the SkyWest Airlines US Airways Express Agreement. As of December 31, 2011, SkyWest Airlines operated two CRJ200s under the SkyWest Airlines US Airways Express Agreement, flying a total of approximately ten US Airways Express flights per day between Phoenix and designated outlying destinations. On April 13, 2011, SkyWest Airlines and Alaska entered into the SkyWest Airlines Alaska Capacity Purchase Agreement. As of December 31, 2011, SkyWest Airlines operated five CRJ700s under the SkyWest Airlines Alaska Capacity Purchase Agreement, flying a total of approximately 30 Alaska flights per day between Seattle, Portland and designated outlying destinations.

As of December 31, 2011, SkyWest Airlines and ExpressJet scheduled the daily flights as Delta Connection carriers: 530 flights to or from Hartsfield-Jackson Atlanta International Airport, 316 flights to or from Salt Lake City International Airport, 132 flights to or from Minneapolis International Airport, 94 flights to or from Memphis International Airport, 94 flights to or from Detroit International Airport and 8 flights to or from Cincinnati/Northern Kentucky Inte! rnational! Airport.. As of December 31, 2011, SkyWest Airlines scheduled 15 daily flights as an Alaska carrier to or from Portland International Airport and 15 daily flights as an Alaska carrier to or from Seattle International Airport. As of December 31, 2011, SkyWest Airlines scheduled ten daily flights as an US Airways Express carrier to or from Phoenix International Airport.

As of December 31, 2011, SkyWest Airlines and ExpressJet scheduled the daily flights as a United or Continental Express carrier: 572 flights to or from Houston International Airport, 486 flights to or from Chicago O'Hare International Airport, 412 flights to or from Denver International Airport, 306 flights to or from San Francisco International Airport, 284 flights to or from Los Angeles International Airport, 214 flights to or from Newark International Airport, 148 flights to or from Washington Dulles International Airport, 128 flights to or from Cleveland International Airport and 64 flights to or from other airports. As of December 31, 2011, it operated 17 CRJ200s for United under a pro-rate agreement. The Company also operated one CRJ200 under a pro-rate agreement with Delta, as of December 31, 2011.

SkyWest Airlines

SkyWest Airlines provides regional jet and turboprop service primarily located in the midwestern and western United States. SkyWest Airlines offered approximately 1,650 daily scheduled departures as of December 31, 2011, of which approximately 1,110 were United Express flights, 500 were Delta Connection flights, 30 were Alaksa-coded flights and 10 were US Airways Express flights. SkyWest Airlines' operations are conducted from hubs located in Chicago (O'Hare), Denver, Los Angeles, Houston, Portland, Seattle, Phoenix, San Francisco and Salt Lake City. SkyWest Airlines' fleet as of December 31, 2011 consisted of 21 CRJ900s, all of which were flown for Delta; 96 CRJ700s, of which 70 were flown for United, 21 were flown for Delta and five were flown for Alaska; 153 CRJ200s, of which 82 ! were flown! for United, 61 were flown for Delta, eight were in preparation for service under a code-share agreement with US Airways and two were flown for US Airways; and 45 Brasilia turboprops, of which 35 were flown for United and 10 were flown for Delta.

As of December 31, 2011, SkyWest Airlines was conducting its Delta Connection operations pursuant to the terms of an Amended and Restated Delta Connection Agreement, which obligates Delta to compensate SkyWest Airlines for its direct costs associated with operating Delta Connection flights, plus a payment based on block hours flown (the SkyWest Airlines Delta Connection Agreement). SkyWest Airlines' United code-share operations are conducted under a United Express Agreement, pursuant to which SkyWest Airlines is paid primarily on a fee-per-completed block hour and departure basis, plus a margin based on performance incentives (the SkyWest Airlines United Express Agreement). During December 31, 2011, SkyWest Airlines entered into code-share agreements with Alaska and US Airways, pursuant to which SkyWest Airlines is paid primarily on a fee-per-completed block hour and departure basis, plus a fixed margin per aircraft each month.

ExpressJet

ExpressJet provides regional jet service principally in the United States, primarily from hubs located in Atlanta, Cleveland, Cincinnati, Chicago (O'Hare), Denver, Houston, Newark and Washington Dulles. ExpressJet offered more than 2,100 daily scheduled departures as of December 31, 2011, of which approximately 650 were Delta Connection flights and 1,450 were Continental Express or United Express flights. As of December 31, 2011, the combined fleet of ExpressJet consisted of 10 CRJ900s, which were flown for Delta, 46 CRJ700s,which were flown for Delta, 113 CRJ200s, 99 of, which were flown for Delta and 14 of, which were flown for United and 242 ERJ145s, which were flown for United or Continental.

Under the terms of a Second Amended and Restated Delta Connection Agreement exec! uted betw! een Delta and Atlantic Southeast and to, which ExpressJet is a party (the ExpressJet Delta Connection Agreement), Delta has agreed to compensate ExpressJet for its direct costs associated with operating Delta Connection flights, plus, if ExpressJet completes a certain minimum percentage of its Delta Connection flights, a specified margin on such costs. Under the ExpressJet Delta Connection Agreement, excess margins over certain percentages must be returned to or shared with Delta, depending on various conditions. ExpressJet's Continental and United code-share operations are conducted under a Capacity Purchase Agreement between ExpressJet and Continental (the Continental CPA) and two United Express Agreements between ExpressJet and United (collectively, the ExpressJet United Express Agreements), pursuant to, which ExpressJet is paid by Continental or United, as applicable, primarily on a fee-per-completed block hour and departure basis, plus a margin based on performance incentives.

The Company competes with Air Wisconsin Airlines Corporation, American Airlines, Inc. Delta Air Lines, Inc. Compass Airlines, Alaska Air Group, Inc. Mesa Air Group, Inc., Pinnacle Airlines Corp., Republic Airways Holdings Inc. and Trans State Airlines, Inc.

Advisors' Opinion:
  • [By Michele Lerner, The Motley Fool]

    Alan Diaz/APAmerican Airlines did better at staying on schedule last year than it did in 2012, when it accused pilots of a work slowdown. DALLAS -- A big drop in customer complaints helped U.S. airlines post their best ratings ever even though more flights were late and more bags were mishandled, according to a report released Monday by university researchers. Virgin America topped the ratings, and three regional airlines scored at the bottom. Among the four biggest airlines, Delta Air Lines (DAL) ranked best followed by Southwest (LUV), American (AAL) and United (UAL), according to researchers from Wichita State University and Embry-Riddle Aeronautical University. The researchers have graded airlines since 1991 on government figures for on-time performance, mishandled bags, bumping passengers, and complaints filed with the U.S. Department of Transportation. Their key findings: On-Time Performance: Airlines operated 78.4 percent of their flights on time in 2013, down from 81.8 percent in 2012. Best: Hawaiian Airlines (HA); worst: American Eagle. Only two airlines improved: American Airlines and United. Bag Handling: The rate of lost, stolen or delayed bags rose 5 percent. Best: Virgin America; worst: American Eagle. Bumping: The rate of bumping passengers from flights fell 8 percent. Best: JetBlue Airways (JBLU); worst: SkyWest (SKYW). Complaints: Consumer complaints to the government dropped 15 percent in 2013 after rising 20 percent the year before. Best: Southwest Airlines; worst: Frontier (RJET). One of the report's authors, Wichita State business professor Dean Headley, credited the drop in complaints partly to United Airlines. The company suffered several computer-network outages and grounded hundreds of flights in 2012 when it combined the United and Continental computer networks after a merger, but "got their act together" in 2013, he said. Headley said the drop in complaints might also reflect "a certain amount of resignation" that "it's neve

  • [By Adam Levine-Weinberg]

    The Frontier sale has been delayed several times, although management has suggested that it may be resolved within a few weeks. The contest for new fixed-fee contracts has been a mixed bag: without signed labor agreements, Republic has trouble making competitive bids. Republic did win a big contract from AMR (NASDAQOTH: AAMRQ  ) recently, but other major contracts have gone to top competitor SkyWest (NASDAQ: SKYW  ) .

  • [By DAILYFINANCE]

    Lynne Sladky/AP WASHINGTON -- U.S. airlines scored their second best performance last year in the more than two decades that researchers have been measuring airline quality, with Virgin America the leader, says an annual report released Monday. The report ranked the 14 largest U.S. airlines based on on-time arrivals, mishandled bags, consumer complaints and passengers who were bought tickets but were turned away because flights were over booked. Airline performance in 2012 was the second highest in the 23 years that Wichita State University at Omaha in Nebraska and Purdue University in Indiana have tracked the performance of airlines. The airline's best year was 2011. Virgin America, headquartered in Burlingame, Calif., did the best job on baggage handling and had the second-lowest rate of passengers denied seats due to overbookings. United Airlines (UAL), whose consumer complaint rate nearly doubled last year, had the worst performance. United has merged with Continental Airlines, but has had rough spots in integrating the operations of the two carriers. The number of complaints consumers filed with the Department of Transportation overall surged by one-fifth last year to 11,445 complaints, up from 9,414 in 2011. "Over the 20 some year history we've looked at it, this is still the best time of airline performance we've ever seen," said Dean Headley, a business professor at Wichita State University in Kansas, who has co-written the annual report. The best year was 2011, which was only slightly better than last year, he said. Despite those improvements, it isn't surprising that passengers are getting grumpier, Headley said. Carriers keep shrinking the size of seats in order to stuff more people into planes. Empty middle seats that might provide a little more room have vanished. And more people who have bought tickets are being turned away because flights are overbooked. "The way airlines have taken 130-seat airplanes and expanded them to 150 seats to sque

  • [By Rich Duprey]

    Passenger airline operator�SkyWest (NASDAQ: SKYW  ) announced today its third-quarter dividend of $0.04 per share, the same rate it's paid since 2008.

Top 5 Financial Stocks To Buy Right Now: BofI Holding Inc.(BOFI)

BofI Holding, Inc. operates as the holding company for BofI Federal Bank that provides various consumer and wholesale banking services primarily through the Internet in the United States. It accepts various deposit products, including demand deposit, savings, and certificates of deposit accounts. It also provides loan products, which consist of single family loans, home equity loans, multifamily loans, commercial real estate loans, recreational vehicle and automobile loans, and overdraft lines of credit In addition, the company offers online bill payment, interbank transfer, mobile banking, text message banking, ATM cards or VISA debit cards, and overdraft protection services. It serves approximately 36,000 retail deposit and loan customers across 50 states. BofI Holding, Inc. was incorporated in 1999 and is based in San Diego, California.

Advisors' Opinion:
  • [By John Reese]

    BofI Holding, Inc. (BOFI) is a newcomer to the Validea Hot List; the stock gets high scores from my Peter Lynch- and Motley Fool-based models, as well as my Momentum Investor approach.

  • [By David Hanson and Matt Koppenheffer]

    The circus surrounding Jamie Dimon and JPMorgan Chase (NYSE: JPM  ) shareholders continues, but is there another Wall Street CEO that might soon feel similar pressures?�Elsewhere in the banking industry, BofI Holding (NASDAQ: BOFI  ) reported first-quarter earnings, and it appears that the bank has been able to maintain its impressive growth.�

  • [By Charly Travers]

    2013 was an incredible year for investors, but has this amazing run-up left any climbing room for stocks in 2014? In this video, five of our analysts around Fool HQ answer the question, "What is one stock to watch in 2014?" They discuss�Twitter (NYSE: TWTR  ) ,�Bank of Internet (NASDAQ: BOFI  ) ,�Extendicare (NASDAQOTH: EXETF  ) ,�Potash Corporation (NYSE: POT  ) , and�Intel (NASDAQ: INTC  ) , and why these five stocks could be poised to outperform in 2014, even as the market continues to reach all-time highs.

  • [By John Maxfield]

    In this day and age of Internet and mobile banking, it's imperative that the nation's traditional banks make progress on these fronts lest competitors like Bank of Internet (NASDAQ: BOFI  ) continue to take market share. Just since 2008, for instance, Bank of Internet has nearly doubled the size of its balance sheet as customers flock to its above-average savings account yields.

Top 5 High Tech Companies To Watch For 2015: Omnicell Inc.(OMCL)

Omnicell Inc. provides automated solutions for hospital medication and supply management primarily in the United States and Canada. The company offers medication use products, which include OmniRx that automates the management and dispensing of medications at the point of use; SinglePointe, a software product that controls medications on a patient-specific basis; AnywhereRN, a software that allows nurses to remotely operate automated dispensing cabinets; Pandora Analytics, a reporting and data analytics tool; and Savvy Mobile Medication System, a mobile platform for hospital information systems. Its medication use products also include OmniLinkRx, a software product that automates communication between nurses and the pharmacy; WorkflowRx, an automated storage, retrieval, inventory management, and repackaging solution; controlled substance barcode inventory management system; and Anesthesia Workstation, a secure dispensing system for the management of anesthesia supplies an d medications. In addition, the company provides medical and surgical supply products, which comprise Omnicell Supply Solution that automates the management and dispensing of medical and surgical supplies at the point of use; Supply/Rx Combination Solution, which manages medications and supplies in one versatile cabinet; Omnicell Tissue Center that manages the chain of custody for bone and tissue specimens; OptiFlex SS, which supplies modules for the perioperative areas; OptiFlex CL that supplies modules for the cardiac catheterization lab and other procedure areas; and OptiFlex MS, a system for the management of medical and surgical supplies. Further, it provides customer education and training, and maintenance and support services. The company was formerly known as Omnicell Technologies, Inc. and changed its name to Omnicell, Inc. in 2001. Omnicell, Inc. was founded in 1992 and is headquartered in Mountain View, California.

Advisors' Opinion:
  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Omnicell (Nasdaq: OMCL  ) , whose recent revenue and earnings are plotted below.

  • [By Leo Fasciocco]

    Omnicell (OMCL) is organized into two operating business segments: Acute Care, which primarily includes sold to hospitals, and non-acute care, for customers outside of hospitals.

Top 5 High Tech Companies To Watch For 2015: Waste Connections Inc. (WCN)

Waste Connections, Inc., an integrated solid waste services company, provides solid waste collection, transfer, disposal, and recycling services. The company also offers intermodal services, including repositioning, storage, maintenance, and repair of cargo containers for international shipping companies for the rail haul movement of cargo and solid waste containers in the Pacific Northwest. In addition, it provides container and chassis sales and leasing services to its customers. Further, the company offers residential, commercial, and industrial solid waste collection services; and provides recycling services for various recyclable materials, including cardboard, office paper, plastic containers, glass bottles, and ferrous and aluminum metals. Its transfer stations receive, compact, and load solid waste to be transported to landfills via truck, rail, or barge. As of December 31, 2010, the company owned or operated a network of 135 solid waste collection operations, 54 t ransfer stations, 39 recycling operations, 44 active landfills, and 7 intermodal facilities, as well as one exploration and production waste treatment and disposal facility. It serves approximately two million residential, commercial, and industrial customers from a network of operations in 27 states in the United States. The company was founded in 1997 and is based in Folsom, California.

Advisors' Opinion:
  • [By Rich Smith]

    Treasure in trash
    Markets are up modestly in early trading Monday, and one company leading the way upwards is trash collector Waste Connections (NYSE: WCN  ) . Up nearly 39% over the past year, and up nearly twice as much as the S&P 500, Waste Connections got a further boost today when analysts at Stifel Nicolaus raised their price target on the stock to $47 a share.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Waste Connections (NYSE: WCN  ) , whose recent revenue and earnings are plotted below.

  • [By Marc Bastow]

    Integrated municipal solid waste services company Waste Connections (WCN) raised its quarterly dividend 15% to 11.5 cents per share, payable on Nov. 19 to shareholders of record as of Nov. 5.
    WCN Dividend Yield:�1.04%

  • [By Sean Williams]

    Other players in the field, such as Waste Connections (NYSE: WCN  ) , have viewed traditional refuse collection as too crowded and have looked toward unique ways of boosting their bottom line. Waste Connection last year purchased R360 Environmental Solutions for $1.3 billion to get a foothold in the oil and natural gas industry. R360 generates revenue by cleaning contaminated fields, recovering oil from storage tanks, and washing drilling facilities.

Wednesday, April 9, 2014

CME Electronic Trading Halt Pulls Pit Traders Back Into the Fray

NEW YORK (TheStreet) -- Even in the era of electronic trading and high-frequency Flash Boys, sometimes wires get crossed. 

Electronic trade at CME (CME) froze on Tuesday, causing floor traders to experience a little nostalgia as they were forced to use an open outcry system to transmit orders. CME operates the Chicago Mercantile Exchange, the Chicago Board of Trade and other exchanges worldwide.

Traders realized that a glitch was occurring at around 2 p.m. Eastern time, when prices failed to update on order entries. This led to a flood of floor traders back into trading pits, using traditional hand signals and shouting to communicate orders.

Initially, some feared that the switch to open-outcry trading would strain the system and lead to more issues at CME. But without floor trading, the entire system would have shut down. CME is the largest futures exchange operator in the world as measured by market capitalization and contracts traded. The CME's various exchanges trade around 1.1 million agricultural commodity contracts a day, meaning halted prices have the potential to disrupt markets across the globe. Tuesday's issues affected farmers, grain companies and investors who sought to buy and sell derivative contracts. Some of their orders were canceled when submitted electronically, and there was also some difficulty for floor traders to answer and respond to all the telephone orders received. Sterling Smith, a futures specialist at Citigroup, told the Wall Street Journal that the day was aggravating for producers and dealers of commodities who really needed to hedge supplies. Futures and options trading in 31 different markets from wheat to rainfall futures were halted, but CME clarified that oils and metals trading was not affected. The exchange also did not give exact reasoning behind problems that halted electronic trading. Although Chicago's floor-based trading has seen its influence decline over the past decade, CME keeps pit trading open as an option for brokers and investment managers who prefer the method. The rush of activity Tuesday was embraced by market veterans who saw it as an opportunity to show their relevance after years of watching computers take over the industry. "It was just a blast from the past," Jerome Israelov, a veteran grain floor trader who lost his voice in the shouting, told the Chicago Tribune, "It was just a fun, fun hour." CME resumed electronic trading Wednesday morning, with a spokesperson claiming that the issue had been resolved. CME Chart /a>CME data by YCharts At the time of publication, the author had no position in any of the funds mentioned. Follow @macroinsights This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.

Stock quotes in this article: CME