Wednesday, August 20, 2014

Top 5 Promising Companies To Watch For 2014

For this review, I looked for weak and oversold market averages on monthly charts by using one of my favorite technical indicators��SI (Relative Strength Index)��o identify what may be promising buy areas from which rallies could develop, explains Bonnie Gortler in Systems and Forecasts.

Although it was not an easy task to find market averages that are oversold on a long-term basis, because the stock market has been trending higher since 2009, I found four out-of-favor ETFs that intrigued me and could be good investment opportunities in 2014.

The iShares Silver Trust ETF (SLV), which tracks silver bullion, peaked in April 2011 at $48.35. A rally attempt, from the lows in June 2012, failed in September 2012, and was unable to gather much momentum to the upside until July of 2013. Once again, the rally failed.

SLV is best for aggressive traders, not for conservative investors, because it is very volatile. Aggressive traders could buy now if they want to take a chance that the bottom is in and don't want to wait until the downtrend is broken. I do suggest a tight stop of 5% below your purchase, just in case the final bottom is not in.

Best Communications Equipment Companies To Own For 2015: MicroFinancial Incorporated(MFI)

Microfinancial Incorporated, through its subsidiaries, operates as a specialized commercial finance company that provides microticket equipment leasing and rental, and other financing services in the United States. The company provides financing alternatives, and leases and rents commercial equipment to start-up and established businesses for use in their daily operations. It leases water filtration systems, food service equipment, security equipment, point-of-sale cash registers, salon equipment, health care and fitness equipment, and automotive equipment. The company primarily sources its originations through a network of independent equipment vendors, sales organizations, and other dealer-based origination networks. Microfinancial Incorporated was founded in 1987 and is headquartered in Woburn, Massachusetts.

Advisors' Opinion:
  • [By Eric Lam]

    Alacer Gold Corp. and Iamgold Corp. rallied at least 5.9 percent as the metal traded at its highest in 11 weeks. Maple Leaf Foods Inc. (MFI) jumped 7.8 percent as it agreed to sell a unit for C$645 million ($614 million). Penn West Petroleum (PWT) Ltd. added 1.7 percent after cutting 25 percent of its workforce to reduce costs.

Top 5 Promising Companies To Watch For 2014: SAP AG(SAP)

SAP AG provides business software primarily in Europe, the Middle East, Africa, the Americas, and the Asia Pacific Japan region. The company?s products includes SAP Business Suite software, which supports large organizations in their core business operations, such as supplier relationship, production, warehouse management, sales, administration, and customer relationship; SAP Business All-in-One, a business management software that assists midsize companies in managing various business functions, including financials, human resources, procurement, inventory, manufacturing, logistics, product development, sales, and marketing; SAP Business One, a business management application for small businesses; and SAP Business ByDesign, an on-demand solution for integrated business management applications. Its products also comprises SAP BusinessObjects Edge business intelligence and enterprise performance management solutions; Xcelsius, a data visualization software; Crystal Reports, which helps users design interactive reports; Sybase IQ, an optimized analytics server designed to deliver results for business intelligence, analytics, data warehousing, and reporting solutions; SAP solutions for sustainability; and SAP NetWeaver technology platform, which integrates information and business processes across various technologies and organizational structures. In addition, the company offers industry and solution-focused, business transformation, information technology transformation, custom development, and support services; and program, project management, quality assurance, and education and certification services. It sells its products through its subsidiaries and resellers. SAP AG has a strategic relationship with Cap Gemini S.A. to develop and deploy enterprise mobility solutions. The company was formerly known as SAP Aktiengesellschaft Systeme, Anwendungen, Produkte in der Datenverarbeitung. SAP AG was founded in 1972 and is headquartered in Walldorf , Germany.

Advisors' Opinion:
  • [By Tim Brugger]

    In an effort to expand its enterprise mobile application security offerings, SAP (NYSE: SAP  ) has reached an agreement with Mocana to resell its Mocana Mobile App Protection (MAP) solution, the companies announced today.

  • [By Holly LaFon]

    MBIAcommon stock is The Allocation Fund�� largest position. Recent legal settlements paid and reserves taken by defendants are convincing skeptics of the company�� ability to more than just survive. Following GAAP, the company reports a book value of about $12 per share. Following Statutory Accounting Principles (SAP) utilized by insurance regulators, book adjusts to $16. Assuming an orderly run-off, the company calculates an adjusted book value of $35. Each method has its strengths and weaknesses and does not include a value for new business.

  • [By Julianne Pepitone]

    But we also included Chinese tech titans Baidu (BIDU) and Sina (SINA), European heavyweights SAP (SAP) and ARM Holdings (ARMH) and leaders in more specialized industries such as video game companies Activision Blizzard (ATVI) and Electronic Arts (EA), security firm Symantec (SYMC, Fortune 500) and online travel king Priceline (PCLN, Fortune 500).

Top 5 Promising Companies To Watch For 2014: Spdr Dj Wilshire Small Cap Value Etf (SLYV)

SPDR DJ Wilshire Small Cap Value (ETF) seeks to replicate, as closely as possible, the performance of the Dow Jones Wilshire Small Cap Value Index (the Index). The Index represents the small-cap portion of the Dow Jones Wilshire 5000 Composite Index (the Composite Index). The Composite Index tracks all the United States common stocks regularly traded on the NYSE, the AMEX and the NASDAQ National Market.

The Index includes the components of the Composite Index ranked 751 to 2,500 by full market capitalization and that are classified as value based on analysis that accounts for six factors. The six factors are projected price-to-earnings ratio (P/E), projected earnings growth, price-to-book ratio, dividend yield, trailing revenue growth and trailing earnings growth. The Fund uses a passive management strategy designed to track the total return performance of the float-adjusted Index.

Advisors' Opinion:
  • [By Tom Lydon]

    The following ETFs are some of the top-ranked small-cap ETFs by Zacks. SPDR S&P 600 Small Cap Value ETF (SLYV) is up 5.8% over the past three months, and up 20.6% in 2013. The financial and industrial sectors are top weightings. Vanguard S&P Small Cap 600 Value ETF (VIOV) is up 6.4% and has gathered 21.5% year-to-date. Similar to SLYV, VIOV is heavy on the financial and industrial sectors.

Top 5 Promising Companies To Watch For 2014: Marathon Petroleum Corp (MPC)

Marathon Petroleum Corporation (MPC), incorporated on November 9, 2009, is a petroleum product refiners, transporters and marketers in the United States. The Company operates in three segments: Refining & Marketing, Speedway and Pipeline Transportation. Marathon Petroleum�� refining, marketing and transportation operations are concentrated in the Midwest, Gulf Coast and Southeast regions of the United States. MPC has two retail brands: Speedway and Marathon. Effective as of June 30, 2011, MPC was separated from Marathon Oil Corporation (Marathon Oil) and became an independent company in a spin-off transaction.

Refining & Marketing

The Company owned and operated six refineries in the Gulf Coast and Midwest regions of the United States with an aggregate crude oil refining capacity of approximately 1.2 million barrels per calendar day as of December 31, 2011. During 2011, its refineries processed 1,177 million barrels per day of crude oil and 181 mbpd of other charge and blend stocks. Its refineries include crude oil atmospheric and vacuum distillation, fluid catalytic cracking, catalytic reforming, desulfurization and sulfur recovery units. The refineries process a range of crude oils and produce numerous refined products, ranging from transportation fuels, such as reformulated gasolines, blend-grade gasolines intended for blending with fuel ethanol and ultra-low-sulfur diesel fuel, to heavy fuel oil and asphalt. Additionally, MPC manufacture aromatics, propane, propylene, cumene and sulfur.

The Company�� Garyville, Louisiana refinery is located along the Mississippi River in southeastern Louisiana between New Orleans and Baton Rouge. The Garyville refinery is configured to process heavy sour crude oil into products, such as gasoline, distillates, asphalt, polymer grade propylene, propane, isobutane, sulfur and fuel-grade coke. The Catlettsburg, Kentucky refinery is located in northeastern Kentucky on the western bank of the Big Sandy River, near the confluence! with the Ohio River. The Catlettsburg refinery processes sweet and sour crude oils into products such as gasoline, distillates, asphalt, cumene, petrochemicals, propane and propylene. The Robinson, Illinois refinery is located in southeastern Illinois. The Robinson refinery processes sweet and sour crude oils into products, such as multiple grades of gasoline, distillates, anode-grade coke, propane, butane and propylene.

MPC�� Detroit, Michigan refinery is located near Interstate 75 in southwest Detroit. It is the petroleum refinery operating in Michigan. The Detroit refinery processes light sweet and heavy sour crude oils, including Canadian crude oils, into products, such as gasoline, distillates, asphalt, slurry, propane, and propylene. Its Canton, Ohio refinery is located approximately 60 miles southeast of Cleveland, Ohio. The Canton refinery processes sweet and sour crude oils into products such as gasoline, distillates, asphalt, propane, slurry and roofing flux. Its Texas City, Texas refinery is located on the Texas Gulf Coast approximately 30 miles south of Houston, Texas. The refinery processes sweet crude oil into products such as gasoline, chemical grade propylene, propane, slurry and aromatics.

As of December 31, 2011, the Company owned and operated 62 light product and 21 asphalt terminals. In addition, it distributes through approximately 52 third-party light product and 12 third-party asphalt terminals in its market area. During 2011, marine transportation operations included 15 towboats, as well as 167 owned and 14 leased barges that transport refined products on the Ohio, Mississippi and Illinois rivers and their tributaries, as well as the Intercoastal Waterway. As of December 31, 2011, the Company leased or owned approximately 1,950 railcars of various sizes and capacities for movement and storage of refined products. In addition, it own 124 transport trucks for the movement of refined products.

The Company produces propane at all six of its! refineri! es. Propane is primarily used for home heating and cooking, as a feedstock within the petrochemical industry, for grain drying and as a fuel for trucks and other vehicles. The Company is also a producer and marketer of feedstocks and specialty products. Product availability varies by refinery and includes propylene, cumene, dilute naphthalene oil, molten sulfur, toluene, benzene and xylene. Propane is primarily used for home heating and cooking, as a feedstock within the petrochemical industry, for grain drying and as a fuel for trucks and other vehicles.

Speedway

The Company sells transportation fuels and convenience products in the retail market in the Midwest, primarily through Speedway convenience stores. The Speedway segment sells gasoline and merchandise through convenience stores that the Companu owns and operates, primarily under the Speedway brand. Speedway-branded convenience stores offer a range of merchandise, such as prepared foods, beverages and non-food items, including a number of private-label items. As of December 31, 2011, Speedway had 1,371 convenience stores in seven states.

Pipeline Transportation

The Company transports crude oil and other feedstocks to our refineries and other locations, delivers refined products to wholesale and retail market areas and includes, among other transportation-related assets, a majority interest in LOOP LLC, which is the owner and operator of the United States deepwater oil port. It owns common carrier pipeline systems through Marathon Pipe Line LLC (MPL) and Ohio River Pipe Line LLC (ORPL), both of which are wholly owned subsidiaries. These pipeline systems transport crude oil and refined products, primarily in the Midwest and Gulf Coast regions, to its refineries, its terminals and other pipeline systems. The Company�� MPL and ORPL wholly owned carrier systems consist of 1,707 miles of crude oil lines and 1,825 miles of refined product lines comprising 31 systems located in 11 states, as of Decem! ber 31, 2! 011. In addition, MPL leases and operates 217 miles of common carrier refined product pipelines.

The common carrier refined product pipelines include the owned and operated Cardinal Products Pipeline and the Wabash Pipeline. The Cardinal Products Pipeline delivers refined products from Kenova, West Virginia, to Columbus, Ohio. The Wabash Pipeline system delivers refined products from Robinson, Illinois, to various terminals in the area of Chicago, Illinois. Other refined product pipelines owned and operated by MPL extend from: Robinson, Illinois to Louisville, Kentucky; Robinson, Illinois to Lima, Ohio; Wood River, Illinois to Indianapolis, Indiana; Garyville, Louisiana to Zachary, Louisiana, and Texas City, Texas to Pasadena, Texas.

As of December 31, 2011, the Company had partial ownership interests in the pipeline companies that have approximately 110 miles of crude oil pipelines and 3,600 miles of refined products pipelines, including about 970 miles operated by MPL, which include Centennial Pipeline LLC (Centennial), Explorer Pipeline Company (Explorer), LOCAP LLC (LOCAP), LOOP LLC (LOOP), Muskegon Pipeline LLC (Muskegon) and Wolverine Pipe Line Company (Wolverine).

The Company holds a 50% interest in Centennial, which owns a refined products pipeline system connecting the Gulf Coast region with the Midwest market. The Company holds a 17% interest in Explorer, a refined products pipeline system extending from the Gulf Coast to the Midwest. It holds a 51% interest in LOOP, the owner and operator of the Louisiana Offshore Oil Port, which is a deepwater oil port capable of receiving crude oil from large crude carriers, located 18 miles off the coast of Louisiana, and a crude oil pipeline connecting the port facility to storage caverns and tanks at Clovelly, Louisiana. The Company holds a 60% interest in Muskegon, which owns a refined products pipeline extending from Griffith, Indiana to North Muskegon, Michigan. It hold a 6% interest in Wolverine, a refined prod! ucts pipe! line system extending from Chicago, Illinois to Toledo, Ohio.

Advisors' Opinion:
  • [By John Divine]

    Marathon Petroleum (NYSE: MPC  ) took the biggest hit, losing 4.3% as oil refiners got hammered today. Marathon's fall today, however, wasn't merely dealt a bum hand by virtue of its industry's weakness; today's slip was company-specific. While Marathon doesn't report quarterly earnings until Aug. 1, it decided to give shareholders a heads-up that things weren't going to be rosy. The company is looking for income between $570 million and $600 million, compared to $814 million profits in the year-ago period, as margins were pressured.

  • [By Dan Caplinger]

    Before you conclude that a stock is fundamentally cheap based on its P/E ratio, though, you need to look not just at its current earnings but also at its future prospects. Often, especially with cyclical stocks, you'll find that P/E gives you the exact opposite message that you'd expect. Consider these examples:

    In the energy sector, oil giants ExxonMobil (NYSE: XOM  ) and Chevron (NYSE: CVX  ) both have attractive P/E ratios of around 10. Yet looking forward, analysts don't expect either company to produce a lot of profit growth, as both companies have had to work extremely hard to avoid massive output declines stemming from falling production levels from their respective oil-field assets. As long as Exxon and Chevron can acquire new properties with lucrative prospects, they'll be able to keep revenue up, but it's far from certain whether they'll succeed in finding new discoveries. The cyclical trend is even more apparent in the refining industry. Marathon Petroleum (NYSE: MPC  ) and Phillips 66 (NYSE: PSX  ) have made huge share-price advances over the past year, as extremely wide spreads between crude oil prices in the U.S. and abroad have led to unusually high profits for refined-product sales. Now, though, analysts have increasingly concluded that a combination of rising costs, greater regulation, and narrowing spreads will lead to falling profits, making current P/Es based on trailing earnings artificially low if they turn out to be right. You can find similar trends in other industries as well. Even in the traditionally high-growth tech industry, many sector giants have seen their P/E ratios plunge as earnings growth has slowed to a standstill. Dell (NASDAQ: DELL  ) is one of the most notable of these companies, with explosive growth during the 1990s having given way more recently to the PC bust and concerns about the viability of its business model going forward. Its share price has fall
  • [By Holly LaFon]

    His largest holdings are Cytec Industries Inc. (CYT), Vivus Inc. (VVUS), Marathon Petrol (MPC), Google Inc. Cl A (GOOG) and Liberty Media A (LINTA).

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