SEC Investor Newsletter

Newsletter for March 30, 2009

SECInvestor.com — Mon, 30 Mar 2009 18:18:21 GMT

Weekly Market Overview

The stock market opened the week lower as investors reacted to the government’s refusal to commit additional capital to the automakers. The refusal marked a turning point for many market participants, who believed that the government would continue to back domestic industries for as long as necessary. Financials, energies, and commodities also dropped sharply on the news as it increased concerns over the health of the U.S. economy going forward.

Top 10 Stocks to Watch this Week

Fundamental Analysis

Kraft Foods Inc. (NYSE: KFT) may not be in the most appetizing industry, but it seems to be well-positioned for success in this tough economic climate. The food processing company sees long-term growth rates of 7 to 9 percent, while it continues to pay a strong 5 percent dividend yield. However, not everyone is optimistic about the future of premium food companies. (Read More)
Trico Marine Services Inc. (NASDAQ: TRMA) shares moved higher after the company rejected a proposal submitted by Kistefos in a DEF14A filing with the SEC. The letter rebuffs the proposals by stating that it can only consider proposals that company with Delaware law and the company’s governing documents. Some of Kistefos’s proposals violate these laws and therefore cannot be considered at the company’s next annual meeting of shareholders. (Read More)
CKE Restaurants, Inc. (NYSE: CKR) reported its fourth quarter earnings Wednesday, but it’s the future that concerns many investors. The restaurant chain saw a challenging year in 2008 (fiscal 2009), with record commodity prices, the collapse of the credit markets, and a significant decline in consumer spending in the latter half of the year. However, the company was able to post an 18.9% increase in net income for the year. The big question for investors is: Are these increases sustainable? (Read More)
Williams-Sonoma, Inc. (NYSE: WSM) shares opened higher after the company announced that it is continuing to explore additional traffic drivers through paid and natural search, target-driven direct response, and affiliate programs to boost revenues. The company also plans to increase productivity and enhance its profit margins through a variety of initiatives outlined in its investor conference call. (Read More)
Multimedia Games Inc. (NASDAQ: MGAM) shares opened lower despite positive comments out of an analyst. Roth Capital noted that, according to an Associated Press article, a judge ruled that the White Hall gambling center in Alabama, where the company owns 400 out of 950 total charity bingo games, can re-open without the threat of another raid by the Governor’s Task Force on Illegal Gambling. Despite the legal uncertainty, the firm continues to find shares undervalued and maintains a buy rating. (Read More)

Technical Analysis

GameStop Corp. (GME) - Intermediate-term bullish diamond bottom.
Nuveen Dividend Advantage (NZF) - Intermediate-term bullish bottom triangle.
Blackrock Muniyield Insurance (MYI) - Intermediate-term bullish bottom triangle.
Skillsoft Plc. (SKIL) - Intermediate-term bullish bottom triangle.
YRC Worldwide Inc. (YRCW) - Intermediate-term bullish megaphone bottom.

Stocks of the Week : CKE Restaurants (CKR)

CKE Restaurants, Inc. (NYSE: CKR) reported its fourth quarter earnings Wednesday, but it’s the future that concerns many investors. The restaurant chain saw a challenging year in 2008 (fiscal 2009), with record commodity prices, the collapse of the credit markets, and a significant decline in consumer spending in the latter half of the year. However, the company was able to post an 18.9% increase in net income for the year. The big question for investors is: Are these increases sustainable? (Read More)

Article of the Week : Understanding Market Makers

Market makers play a big role in over the counter markets like the OTC-BB and Pinksheets. Often times, there is not a lot of liquidity and trading volume in these markets, which creates a need for market makers to step in and create a trading environment. This article will explore how market makers function, especially in the OTC markets where they play a vital role. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending and confidence is seen for a lot longer.

Newsletter for March 23, 2009

SECInvestor.com — Mon, 23 Mar 2009 19:50:46 GMT

Weekly Market Overview

The U.S. stock market rallied today after the Treasury announced a $1 trillion program to reduce the number of toxic assets contaminating U.S. banks. The financial sector led the rally as any reduction in toxic assets could lead to an increase in lending and improved balance sheets for banks and financial institutions. Meanwhile, oil and commodity prices opened higher due to increased inflationary concerns before moving down marginally on profit-taking.

Top 10 Stocks to Watch this Week

Fundamental Analysis

Wilshire Enterprises Inc. (AMEX: WOC) shareholders have been presented with two conflicting stories throughout this lengthy proxy battle. Management believes that Full Value’s fire-sale of assets would not fetch a fair premium in today’s markets. Meanwhile, Full Value believes that management simply wants to entrench itself for another year and continue draining the company’s capital. (Read More)
Target Corporation (NYSE: TGT) shares opened sharply higher amid a broad market rally on the Treasury’s new plan to buy up toxic assets. However, investors have another good reason to be happy after looking at a Form 4 filing with the SEC. Executive Officer Gregg Steinhafel purchased 150,000 shares on March 18th at an average price of $30.35 per share. However, is this a real sign of confidence or something else entirely? (Read More)
Capital One Financial Corporation (NYSE: COF) has been hit hard by the economic downturn as higher defaults caused significant deterioration in their credit card portfolio. The stock fell from a high of around $65 per share to a low of around $8 per share before rebounding. However, many investors now believe that the tide may be turning for the credit card issuer. (Read More)
Image Entertainment, Inc. (NASDAQ: DISK) shares fell sharply after the company announced the departure of President and Chief Operating Officer David Borshell in an 8-K filing with the SEC. The executive will be replaced by Jeff Framer, who has served as Chief Financial Officer since April 1993. The announcement comes just a year after the retirement of Marty Greenwald who Borshell replaced. (Read More)
DayStar Technologies Inc. (NASDAQ: DSTI) shares opened lower after the company’s auditors expressed doubt about its ability to continue as a going concern in its latest 10-K filing with the SEC. These comments are typically reserved for companies that do not have adequate capital, and may not be able to raise adequate capital, to fund their operations. (Read More)

Technical Analysis

Dreyfus Strategic Muni (DSM) - Intermediate-term bullish bottom triangle.
VisionChina Media Inc. (VISN) - Intermediate-term bullish bottom triangle.
United States Gasoline (UGA) - Intermediate-term bullish head and shoulders bottom.
Take Two Interactive (TTWO) - Intermediate-term bullish megaphone bottom.
Cal-Maine Foods Inc. (CALM) - Long-term bullish continuation wedge.

Stocks of the Week : Wilshire Enterprises (WOC)

Wilshire Enterprises Inc. (AMEX: WOC) shareholders have been presented with two conflicting stories throughout this lengthy proxy battle. Management believes that Full Value’s fire-sale of assets would not fetch a fair premium in today’s markets. Meanwhile, Full Value believes that management simply wants to entrench itself for another year and continue draining the company’s capital. (Read More)

Article of the Week : Understanding Market Makers

Market makers play a big role in over the counter markets like the OTC-BB and Pinksheets. Often times, there is not a lot of liquidity and trading volume in these markets, which creates a need for market makers to step in and create a trading environment. This article will explore how market makers function, especially in the OTC markets where they play a vital role. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for March 16, 2009

SECInvestor.com — Mon, 16 Mar 2009 20:10:35 GMT

Weekly Market Overview

The U.S. markets opened in positive territory and moved even higher before giving up much of the gains before close. President Obama's $15 billion plan to help small businesses helped improve the banking sector and helped offset the AIG's much-anticipated largest loss in corporate history. Many experts now believe that much of the bad news may be priced in, but investors are not out of the woods quite yet. Most investors may still want to keep their money on the sidelines until things improve.

Top 10 Stocks to Watch this Week

Fundamental Analysis

Joy Global (NDAQ: JOYG) shares opened higher after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the coal company is substantially undervalued and recommended that investors pick up some shares in the infrastructure play as the Chinese are ordering equipment and the U.S. is set to rebound. (Read More)
Accenture Ltd. (NYSE: CAN) shares opened lower despite positive comments from CNBC’s Jim Cramer. The hedge fund manager turned television star suggested that the company could benefit from continued IT outsourcing on his Mad Money Lightning Round. Cramer recommended viewers pick up some shares of this “terrific company” at around $30 a piece. (Read More)
The Mosaic Company (NYSE: MOS) shares opened lower after CNBC’s Jim Cramer recommended rival Terra Nitrogen Company, L.P. (NYSE: THN) on his Mad Money Lightning Round. The hedge fund manager turned television star remains cautious on the fertilizer sector and suggested that Terra Nitrogen has been one of the few survivors, in part thanks to its strong dividend yield. (Read More)
Osteotech, Inc. (NDAQ: OSTE), a leader in the emerging field of biologic products for regenerative healing, is planning on regenerating profits for shareholders, too. After a tough fourth quarter, the company believes it is well-positioned or long-term profitable revenue growth in fiscal 2010 and well into the future as several new promising drugs and devices in its pipeline come to fruition. (Read More)
Johnson & Johnson (NYSE: JNJ) shares opened higher following positive comments by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the firm may put a competitive bid in for Schering-Plough and is well-positioned for future growth. Cramer recommended that viewers step in and “pull the trigger” on JNJ. (Read More)

Technical Analysis

Aracruz Celulose SA (ARA) - Intermediate-term bullish continuation wedge.
Iconix Brand Group (ICON) - Long-term bullish diamond bottom.
IntercontinentalExchange (ICE) - Intermediate-term bullish double bottom.
Intevac Inc. (AVAC) - Intermediate-term bullish megaphone bottom.
IRIS International (IRIS) - Intermediate-term bullish bottom triangle.

Stocks of the Week : GMX Resources Inc. (GMXR)

GMX Resources Inc. (NASDAQ: GMXR) shares opened sharply higher after an activist investor hinted they may take future action to unlock value at the firm in a Schedule 13D/A filing with the SEC. (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for March 2, 2009

SECInvestor.com — Mon, 02 Mar 2009 20:36:08 GMT

Weekly Market Overview

The U.S. markets opened the week sharply lower on the heels of an additional $30 billion government package to help insurance giant AIG. Approximately 94% of the companies listed on the S&P 500 are trading lower, while the Dow Jones Industrial Average dropped to its lowest levels in 12 years. The only good news was that consumer spending edged up 0.6% for the first time in six months on higher wages, especially among government employees.

Top 10 Stocks to Watch this Week

Fundamental Analysis

The Walt Disney Company (NYSE: DIS) shares opened lower despite receiving a positive recommendation by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that Disney remains a strong company and suggested viewers buy it for the long-term, but cautioned that things would likely be bad for the next three to six months. Cramer also recommended that investors buy in increments as the stock drops to average in lower. (Read More)
ConAgra Foods, Inc. (NYSE: CAG) shares opened lower despite receiving a positive recommendation by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that ConAgra remains a strong company with a good dividend despite the peanut scare, and recommended that viewers buy in four increments as the stock moves lower. (Read More)
Target Corporation (NYSE: TGT) shares opened lower after a key activist announced that he would be seeking board representation. Bill Ackman’s Pershing Square disclosed a reduced stake in the retailer, but unveiled talks with Target about naming potential directors to the company’s board. (Read More)
PPL Corporation (NYSE: PPL) shares opened lower despite positive comments by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star is bullish on utilities in this market and recommended PPL along with Exelon Corporation (NYSE: EXC) and Consolidated Edison Inc. (NYSE: ED), which he insists has better growth rates in recent months and years. (Read More)
Maximus, Inc. (NYSE: MMS) shares opened lower despite positive comments by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the firm is a great play on Obama’s administration as it provides healthcare and human services management for the government. As a result, Cramer recommended viewers pick up some shares of the stock. (Read More)

Technical Analysis

Netease.com Inc. (NTES) - Long-term bullish continuation diamond.
AptarGroup Inc. (ATR) - Intermediate-term bullish continuation wedge.
Citigroup Capital IX (C.S) - Intermediate-term bullish continuation wedge.
Leap Wireless (LEAP) - Intermediate-term bullish bottom triangle.
Big Lots Inc. (BIG) - Intermediate-term bullish diamond bottom.

Stocks of the Week : Tarrant Merger Gets a lot more Likely

Tarrant Apparel Group (NASDAQ: TAGS) shares more than doubled late last week after a large shareholder announced his support of the merger proposal with Sunrise Acquisition Company. Interim Chief Executive Gerard Guez will vote his 48.3% stake of common stock in favor of the merger. This development makes it very likely that the merger agreement will be consummated. (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for February 24, 2009

SECInvestor.com — Mon, 23 Feb 2009 20:48:46 GMT

Weekly Market Overview

The market moved sharply lower as the economic pictures continues to grow dimmer. Sells pushed the S&P 500 below the $750 level, which has provided support over the past few weeks. The move down was also broadly based with financials rallying before falling near session lows. The pessimism has also taken a toll on oil prices, which fell sharply throughout the session. Overall, the market is seeking more guidance as to government plans to help shore up the economy.

Top 10 Stocks to Watch this Week

Fundamental Analysis

VNUS Medical Technologies, Inc. (VNUS) shares opened lower despite positive comments from CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the medical device maker is a great speculative stock in a strong healthcare market. However, Cramer did note that the stock has already had a healthy run so far this year. (Read More)
TeleCommunication Systems Inc. (TSYS) shares opened lower despite receiving a positive recommendation by CNBC’s Jim Cramer. The hedge fund manager turned television star believes that the wireless data communications company is a good stock that has held up well. As a result, Cramer recommended that viewers take a look at the stock for their own portfolios. (Read More)
CarMax Inc. (KMX) is in an unpopular business and at least on influential shareholder may be losing faith. Billionaire investor Warren Buffett owns 17.6 million shares, which is down from 18.4 million shares last quarter. The question on many investors’ minds is: Does Buffett still like CarMax? (Read More)
Berkshire Hathaway Inc. (BRK.A) shares are a few hours away from one of their lowest closing prices since late 2005 – hovering above $80,000 for class-a shares and $2,640 for the more attainable class-b shares – after losing more than 40% of their value over the last 12-months and another 4% today. (Read More)
American Campus Communities, Inc. (ACC) shares moved lower despite receiving a positive recommendation from CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the business of redoing the area around school is bullish and recommended that viewers purchase the stock at these levels. (Read More)

Technical Analysis

Phase Forward Inc. (PFWD) - Intermediate-term bullish diamond bottom.
Soapstone Networks Inc. (SOAP) - Intermediate-term bullish bottom triangle.
ProShares Ultrashort Oil (DUG) - Intermediate-term bullish double bottom.
TeleTech Holdings Inc. (TTEC) - Intermediate-term bullish bottom triangle.
RehabCare Group, Inc. (RHB) - Intermediate-term bullish megaphone bottom.

Stocks of the Week : VNUS Medical Technologies

VNUS Medical Technologies, Inc. (NDAQ: VNUS) shares opened lower despite positive comments from CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the medical device maker is a great speculative stock in a strong healthcare market. However, Cramer did note that the stock has already had a healthy run so far this year. (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for February 9, 2009

SECInvestor.com — Mon, 09 Feb 2009 19:05:08 GMT

Weekly Market Overview

Wall Street gave back some of last week's gains as joy over the government's expected stimulus bill waned amid more grim corporate news. The Senate is expected to pass the $827 billion stimulus bill on Tuesday, but the government still faces the challenge of reconciling the Senate bill with the Houses's $819 billion version that passed earlier. Meanwhile, President Obama is still pushing to have the measure on his desk for signing by the middle of the month. It is this bill that will likely determine the course of Wall Street over the next few months...

Top 10 Stocks to Watch this Week

Fundamental Analysis

Southern Copper Corporation (PCU) - Southern Copper shares opened higher after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round late last week. The hedge fund manager turned television star noted the sharp rise in copper prices and believes that the stock is headed higher. However, many experts are concerned about substantial inventories in the London Metal Exchange. (Read More)
The Black & Decker Corporation (BDK) - Black & Decker shares opened lower despite receiving a positive recommendation from CNBC’s Jim Cramer on is Mad Money Lightning Round. The hedge fund manager turned television star believes that the appliance company still has great cash flows and a great dividend despite its weak quarterly earnings. As a result, Cramer recommended that viewers buy the stock when shares hit the $26 to $27 range. (Read More)
Hasbro, Inc. (HAS) - Hasbro shares moved higher after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the toymaker has terrific products and called it a very steady company. Cramer recommended that this was a stock to put away for the children and gave investors the heads up. (Read More)
The Walt Disney Company (DIS) - Disney shares opened higher after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the American icon is a buy below $20 with strong management and robust performance. (Read More)
Monster Worldwide, Inc. (MWW) - Monster shares opened lower after jobless claims increased sharply. The number of workers applying for new claims for jobless benefits rose by 62,000 last week as the recession continues to affect the labor markets. The number was above analyst expectations and marks a trend that may continue for some time into the future. (Read More)

Technical Analysis

Res-Care Inc. (RSCR) - Intermediate-term bullish bottom triangle.
Bio-Reference Laboratories Inc. (BRLI) - Intermediate-term bottom triangle.
Smith Micro Software Incorporated (SMSI) - Intermediate-term bottom triangle.
Kaman Corporation (KAMN) - Intermediate-term bottom triangle.
Ennis Inc. (EBF) - Intermediate-term bottom triangle.

Stocks of the Week : Southern Copper Corporation (PCU)

Southern Copper shares opened higher after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round late last week. The hedge fund manager turned television star noted the sharp rise in copper prices and believes that the stock is headed higher. However, many experts are concerned about substantial inventories in the London Metal Exchange. (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for January 26, 2009

SECInvestor.com — Mon, 26 Jan 2009 19:27:24 GMT

Weekly Market Overview

Wall Street was mixed during today's session after a series of major events. Pfizer announcedthat it would acquire rival Wyeth for $68 billion while existing home sales made a surprise jump in December. Pfizer's move reassured investors that dealmaking could continue amid a difficult recession while home sales reignited hopes of a turnaround in the housing sector. Finally, investors were reassured about financials and other companies facing difficulties after Standard & Poor's reaffirmed their credit rating on General Electric.

Top 10 Stocks to Watch this Week

Fundamental Analysis

Noble Energy, Inc. (NBL) - Noble Energy shares opened sharply higher after the discovery of a major natural gas field that could turn the country into an energy exporter. The Tamar-1 drilling site, located 90 kilometers west of the port of Haifa, is the largest discovery in the eastern Mediterranean and is significant even by global standards. The value of the offshore gas is estimated at $15 billion, but could be more. (Read More)
Emergent BioSolutions Inc. (EBS) - Emergent shares opened lower despite positive recommendations by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the biotechnology firm is well-positioned as an anti-terrorism Obama play. However, Cramer suggested that viewers let the stock come down a bit before picking up shares. (Read More)
The Walt Disney Company (DIS) - Walt Disney shares opened higher after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the American icon is a buy below $20 with strong management and robust performance. (Read More)
Optimer Pharmaceuticals, Inc. (OPTR) - Optimer shares gave up some ground after a strong rally on Thursday. The move also came despite a positive recommendation by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star said that the company could be a big winner as nobody else seems to be working on gastrointestinal research. (Read More)
Paychex, Inc. (PAYX) - PayChex shares opened lower despite receiving a positive recommendation by CNBC’s Jim Cramer on his Mad Money program. The hedge fund manager turned television star believes that the firm’s high 5 percent dividend yield has now made it an “accidental high yielder” worthy of buying on the way down. As a result, Cramer recommended “pulling the trigger” at these levels. (Read More)

Technical Analysis

Alliance Resource Partners (ARLP) - Intermediate-term bullish bottom triangle.
Rangold Resources Ltd (GOLD) - Long-term bullish continuation diamond.
Unitedhealth Group Incorporated (UNH) - Long-term bullish head and shoulders bottom.
Calgon Carbon Corporation (CCC) - Intermediate-term bullish bottom triangle.
Gold Resource Corporation (GORO) - Intermediate-term bullish bottom triangle.

Stocks of the Week : Noble Energy (NBL)

Noble Energy shares opened sharply higher after the discovery of a major natural gas field that could turn the country into an energy exporter. The Tamar-1 drilling site, located 90 kilometers west of the port of Haifa, is the largest discovery in the eastern Mediterranean and is significant even by global standards. The value of the offshore gas is estimated at $15 billion, but could be more. (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for January 12, 2009

SECInvestor.com — Mon, 12 Jan 2009 20:05:17 GMT

Weekly Market Overview

The market moved down on Monday as investors worried about earnings reports expected to come out this week. Meanwhile, energy companies also fell as oil prices opened the week lower once again. Wall Street is expecting fourth quarter earnings to be very bleak, especially after several companies warned last week that they are being hit hard by the global recession. Oil fell below $40 a barrel as investors worried that a worsening economy may hurt demand. Financial stocks also declined as investors were careful to watch Citigroup and Morgan Stanley in their attempt to decline. Investors are now in a wait-and-see mode until all of the upcoming data this week is out of the way.

Top 10 Stocks to Watch this Week

Fundamental Analysis

Ingersoll-Rand Company Limited (NYSE: IR) - Ingersoll shares opened lower despite positive comments by CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the diversified technology company is going to report a disappointing quarter, but remains confident that the company will be strong in the long-term. As a result, Cramer recommended that viewers wait until $16 per share before “pulling the trigger”. (Read More)
Quanta Services, Inc. (NYSE: PWR) - Quanta shares opened lower despite positive comments from CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star believes that the construction services company is an Obama play that many people do not realize. Obama has talked about the notion of improving the grid many times and the only company that really makes money off of that is Quanta. As a result, Cramer recommended the stock to viewers. (Read More)
Life Partners Holdings, Inc. (NDAQ: LPHI) - Life Partners is definitely not in a “dead” industry as shares continue to trade near their 52-week highs. The life insurance broker helps policyholders sell their life insurance policies on the secondary market to investors that pay them cash and hold the policies until maturity. Given the current market conditions, Life Partners is broker with strong demand on both sides of the equation. (Read More)
Novo Nordisk A/S (NYSE: NVO) - Novo Nordisk shares moved higher over the past few days after CNBC’s Jim Cramer recommended the stock on his Mad Money Lightning Round. The hedge fund manager turned television star believes that global stock markets are slowing down and drug stocks stand to benefit as a result. Cramer had also recommended the stock in the past given its promising diabetes drug candidates, but the stock continued to drop over time until recently. (Read More)
Netflix, Inc. (NDAQ: NFLX) - Netflix shares opened lower despite positive comments from CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star has been a fan of the company since it was in the $20 range, but cautioned that investors may want to wait until next quarter’s results are posted before investing given its substantial move higher. (Read More)

Technical Analysis

Lloyds Tsb Group (LYG) - Intermediate-term bullish bottom triangle.
Blackrock Muniyield (MQT) - Intermediate-term bullish double bottom.
Nuveen Insured Premium Income (NPX) - Intermediate-term bullish double bottom.
Lindsay Corporation (LNN) - Intermediate-term bullish diamond bottom.
Thq Incorporated (THQI) - Intermediate-term bullish double bottom.

Stocks of the Week : NetFlix (NFLX)

Netflix shares opened lower despite positive comments from CNBC’s Jim Cramer on his Mad Money Lightning Round. The hedge fund manager turned television star has been a fan of the company since it was in the $20 range, but cautioned that investors may want to wait until next quarter’s results are posted before investing given its substantial move higher. (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for January 5, 2008

SECInvestor.com — Mon, 05 Jan 2009 20:41:02 GMT

Weekly Market Overview

The major indexes started the week on a negative note as investors saw lower construction spending as a negative sign for the economy. Meanwhile, investors also had a chance to take a closer look at president-elect Barack Obama's proposed tax cut as he called on Congress to pass an economic stimulus plan to create 3 million jobs. Meanwhile, traders dismissed the drop today as selling from Friday's sharp rally that sent the DJIA to a two-moth high.

Top 10 Stocks to Watch this Week

Fundamental Analysis

United States Steel Corporation (X) - U.S. Steel, Nucor Corporation and other steelmakers may not be in the most attractive sector right now, but the stars may be aligning for these troubled stocks. Obama’s proposed $1 trillion economic stimulus package will focus on infrastructure projects as a means to create jobs, which is good news for the base of almost all infrastructure projects – steel. So, is now the right time to get involved in the steel industry? (Read More)
Gramercy Capital Corporation (GKK) - Gramercy shares fell sharply after the real estate firm elected not to pay its fourth quarter dividend. The decision raises concerns about the finance company’s balance sheet as real estate investment trusts are forced to distribute 90 percent of their income to shareholders via dividends. The move also mirrors that of many other REITs in the market that have dropped 40 to 70 percent in recent months as the economic crisis deepens. (Read More)
BorgWarner Inc. (BWA) - BorgWarner shareholders may want to keep a close eye on their stock after TRC Capital Corporation announced a so-called “mini-tender offer”. The below-market $20 per share tender offer is for approximately 2.16 percent of the firm’s outstanding shares and represents a 4.21 percent discount to the closing price on December 18th. Moreover, the offer is subject to numerous conditions and contingencies including the availability of financing on terms satisfactory to TRC. (Read More)
Pall Corporation (PLL) - Pall Corporation may be in the purification business, but its business has very little to clean up. The company has a great business and solid management that is ready to guide it through the ongoing economic decline. And after a strong earnings report last quarter, many shareholders are bullish on the prospects for this company going forward. So, is now the time to pull the trigger on this recession-resistant stock? (Read More)
Caterpillar Inc. (CAT) - Caterpillar shares have begun to recover from their 52-week lows amid speculation that president-elect Barack Obama’s economic stimulus plan may increase demand for the equipment-maker’s products. The plan contains billions in provisions for infrastructure projects that will likely require construction and mining equipment to fully realize. So, is now the time to pick up shares of Caterpillar? (Read More)

Technical Analysis

Mobile Mini Inc. (MINI) - Intermediate-term bullish head and shoulders bottom.
John Wiley & Sons Inc. Cl A (JWA) - Intermediate-term bullish head and shoulders bottom.
Endurance Specialty Holdings Ltd. (ENH) - Intermediate-term bullish double bottom.
Laboratory Corporation Of America Holdings (LH) - Intermediate-term bullish diamond bottom.
Usec Inc. (USU) - Long-term bullish bottom triangle.

Stocks of the Week : The Finish Line, Inc. (FINL)

The Finish Line, Inc. (FINL), the ubiquitous mall athletic shoe retailer, is down more than 1% in midday trading ahead of tomorrow's third quarter earnings announcement. Given the terrible state of retail sales, things could be especially ugly for a non-discount specialty store like Finish Line. Here's what to expect for the three months ending November 2008... (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.

Newsletter for December 30, 2008

SECInvestor.com — Mon, 29 Dec 2008 19:14:17 GMT

Weekly Market Overview

Wall Street began the week on a mixed note with the potential failure of Dow Chemical's merger being offset by higher oil prices that helped that sector. Israel continued its attack on the Gaza strip for a third day, which sparked concern that oil supplies may be disrupted. Oil rebounded to nearly $40 a barrel in response, which could signal the beginning of a recovery in the commodity that has been trading near its 4-year lows on slowing demand. Overall, the markets remained largely mixed on relatively low volume on account of the holiday season in the United States.

Top 10 Stocks to Watch this Week

Fundamental Analysis

Petroleo Brasileiro (PBR) - Petrobras shares opened higher after crude oil prices rallied higher. The news comes as many oil exploration companies like Petrobras have been hit hard by lower prices. Lower prices equate to less revenues and lower profits while also jeopardizing many projects that were justified by higher oil prices – especially offshore. (Read More)
Ivanhoe Mines Ltd. (IVH) - Ivanhoe and Rio Tinto (RIO) received some good news over the past few weeks. Mongolia’s parliament voted to set a deadline of February 2009 for completing a long-awaited draft investment agreement for its giant Oyu Tolgoi project. Ivanhoe and Rio Tinto are the two miners who have rights to what many believe is the largest undeveloped copper and gold mine in the world. (Read More)
Red Hat, Inc. (RHT) - Red Hat is one of the premier providers of open source solutions designed to cut costs for corporations with a large information technology footprint. The firm has capitalized on the worldwide recession by touting its software as a way to trim costs. The results of this campaign were apparent in its fourth quarter earnings that surpassed analyst estimates. (Read More)
Oshkosh Corporation (OSK) - Oshkosh Corporation looks like a compelling value to many value investors, but the transportation industry may take some time to recover. The stock trades at a price-earnings multiple of 7x while paying a 5.1 percent dividend yield, but slower spending and higher costs continue eating into top and bottom line results. So, when is the right time to buy this stock? (Read More)
Kimberly-Clark Corporation (KMB) - Kimberly Clark shares have been under pressure over the last few months as consumer spending continues to drop precipitously. However, the stock’s robust product line and strong dividend yield have proven to be a glimmer of hope for shareholders. So, is now the right time for investors to buy shares of the consumer products manufacturer? (Read More)

Technical Analysis

Applied Industrial Technologies Inc. (AIT) - Intermediate-term bullish head and shoulders bottom.
Entergy Corporation (ETR) - Intermediate-term bullish bottom triangle.
Cogdell Spencer Incorporated (CSA) - Intermediate-term bullish head and shoulders bottom.
Blackrock Munivest Fund (MVT) - Intermediate-term bullish bottom triangle.
Halozyme Therapeutics Incorporated (HALO) - Intermediate-term bullish head and shoulders buttom.

Stocks of the Week : Berkshire Hathaway (BRK)

Shares of Warren Buffett’s philosophy embodied and incorporated, better known as Berkshire Hathaway Inc. (BRK-A), are managing to beat the return of the S&P 500 Index as the year comes to a close – but with the S&P down more than 41% year-to-date and Berkshire not that far behind with more than a 35% loss, that is not much to brag about. Not despite the loss, but because of the loss, the question now becomes: are Berkshire Hathaway shares a buy? (Read More)

Article of the Week : High End Retailers Suffer during Holidays

Macy’s Inc. (M), Saks Incorporation (SKS), and other high end retailers fell after reports of a weak holiday season hit the market. Retailers’ sales fell around 4 percent during the holiday season as the weak economy took its toll on consumer spending, according to a report earlier this week by MasterCard’s SpendingPulse. Many experts have seen this holiday season as one of the most difficult on record with soaring unemployment and a sharply lower stock market eating into consumer spending. (Read More)

Final Words

The future of the U.S. economy remains uncertain as inflation continues to rise. Overall, the economy seems to be healing, but consumers may lag a bit behind as weakness in spending is seen for at least a couple more quarters.