Wednesday, 31 October 2012

Tesoro Is Cheaper Than Valero


When we compare two giant refineries, namely Tesoro (TSO) and Valero (VLO), we observe that the former is more attractive than the latter due to its low valuations, higher profit margins, better return on equity, and low dependence on debt. TSO is trading at attractive valuations, with an EV/EBITDA of 3.75x, at a discount when compared to its peer VLO's EV/EBITDA of 4x. Tesoro's five-year expected PEG ratio of 0.75 in comparison to 0.99 for Valero depicts that TSO's investors can buy growth cheaply. Therefore, we recommend investors to prefer Tesoro over Valero.
Tesoro should be preferred by investors due to its increasing crack spreads, higher capacity utilization, and increasing throughput. We believe the company will acquire BP's (BP) Carson refinery with its strong financial and legal position. This acquisition in Carson City will enable the company to achieve synergies because of its strategic location with TSO's West Coast refinery. Moreover, this acquisition will further increase the company's profitability through managing the carbon tax regulation in the California region.
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Sprint: A Turnaround Stock To Buy


The third largest telecom carrier in terms of subscribers, Sprint Nextel Corporation (S), announced its quarterly results last Thursday, posting a wider loss in the third quarter as compared to the same quarter of the previous year. The company, which recently was part of the $20 billion deal with the Japan-based telecom operator SoftBank (SFTBF.PK), reported a loss of $767 million and a loss per share of $0.26, which was largely due to the expenses incurred in regards to its Network Vision Program. Loss per share of $0.26 is much lower than what analysts were expecting. Sprint recognized approximately $400 million in depreciation during the quarter for the shutdown of its iDen Nextel platform, which affected its profitability, however, its network vision program, which involves shutting its iDen Network, is well on track, as the number of sites that are ready for construction or already underway has doubled to reach a total of approximately 14,000 sites.

Sprint: A Turnaround Stock To Buy


The third largest telecom carrier in terms of subscribers, Sprint Nextel Corporation (S), announced its quarterly results last Thursday, posting a wider loss in the third quarter as compared to the same quarter of the previous year. The company, which recently was part of the $20 billion deal with the Japan-based telecom operator SoftBank (SFTBF.PK), reported a loss of $767 million and a loss per share of $0.26, which was largely due to the expenses incurred in regards to its Network Vision Program. Loss per share of $0.26 is much lower than what analysts were expecting. Sprint recognized approximately $400 million in depreciation during the quarter for the shutdown of its iDen Nextel platform, which affected its profitability, however, its network vision program, which involves shutting its iDen Network, is well on track, as the number of sites that are ready for construction or already underway has doubled to reach a total of approximately 14,000 sites.

Sprint: A Turnaround Stock To Buy


The third largest telecom carrier in terms of subscribers, Sprint Nextel Corporation (S), announced its quarterly results last Thursday, posting a wider loss in the third quarter as compared to the same quarter of the previous year. The company, which recently was part of the $20 billion deal with the Japan-based telecom operator SoftBank (SFTBF.PK), reported a loss of $767 million and a loss per share of $0.26, which was largely due to the expenses incurred in regards to its Network Vision Program. Loss per share of $0.26 is much lower than what analysts were expecting. Sprint recognized approximately $400 million in depreciation during the quarter for the shutdown of its iDen Nextel platform, which affected its profitability, however, its network vision program, which involves shutting its iDen Network, is well on track, as the number of sites that are ready for construction or already underway has doubled to reach a total of approximately 14,000 sites.

Paccar Is A Buy Despite Weakness In Truck Manufacturers


Paccar Ltd (PCAR), the truck manufacturer, has topped earnings estimates for all of its previous four quarters. While the same did not happen this time around, as the company produced an EPS in-line with expectations, it did manage to top revenue estimates.
PCAR is a light, medium and heavy duty truck and engines manufacturer. The company sells its trucks to other dealers with nameplates of Kenworth, Peterbilt and DAF. During the past three months, analyst estimates for EPS had been brought down from 78 cents too 66 cents. The decline in both earnings and revenue figures paints a dirty picture for not only the company, but also for the overall truck manufacturer industry. The PCAR management itself admitted that truck orders had been weak from the North American and European markets.
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Buy Linn Energy: 7% Dividend Yield With Hedged Oil And Gas Production


Linn Energy (LINE) has shown impressive third quarter results, with EPS of $0.45 beating analyst estimates by $0.16. Its superior financial performance is reflected in the 14% increase in profitability, 65% improvement in EBITDA margins, and 106% rise in average daily production. In our opinion, its high dividend yield of 7 percent and dividend payout of 60.5 percent makes it a good prospect for dividend-seeking investors. We believe the company is on the right track to achieve cost efficiencies, and its continuously increasing reserves portray its bright future profitability. Therefore, we reiterate our bullish stance on the stock.
Linn Energy is one of the largest U.S. oil and gas development, production and exploration companies. Its reserves have shown remarkable growth of 50% over the course of the last year, and a CAGR of approximately 65% from 2006 to 2012. It had recorded total reserves of 5.1 Tcfe till the end of first half of 2012, as reflected in the chart below. We assume the continuation of this reserve growth rate will enable the company to generate a sustainable amount of revenue in the coming period.
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Berkshire Hathaway, Hedge Funds Are Buying DaVita


Between September 26th and September 28th, Berkshire Hathaway (BRK.A) purchased 283,403 shares of DaVita Inc. (DVA), in the price range of $100.96-$103.7272. Lately, it has been observed that Berkshire continues to purchase shares, and the latest figures show that the current holdings of Berkshire amount to $10,547,040. DVA has also been reported to be a consensus buy among hedge funds in the second quarter of 2012. DVA currently trades at all time high prices of 16x its forward (2013) earnings.
DVA is a provider of kidney dialysis services, chiefly within the U.S., for patients suffering from chronic kidney failure (end stage renal disease or ESRD). It served a total of 142,000 patients throughout the U.S. 93% of the consolidated net operating revenue was accounted for by the company's dialysis and lab related services, while the remaining was chipped in by other ancillary services, which related to the core business of providing dialysis services.
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2 Solar Stock Buys To Play A Solar Rebound


The solar industry has become extremely competitive over the last few years. The primary reason was a decline in polysilicon prices that led to Chinese solar manufacturers adding to their production capacities (to benefit from declining raw material prices). The result was an excess supply of solar cells that led to a massive decline in solar ASPs and hitting the bottom line of solar companies. In this scenario, we are recommending investors to take long positions in MEMC Electronic (WFR) and SunPower Corporation (SPWR) based upon the respective following key points:
MEMC Electronic:
  • MEMC has shown impressive revenue growth of 78% in the second quarter, led by strong demand from uncertain European markets.
  • The stock has shown an upward movement of 30% over the course of the last three months, and has significant potential to show a further upside.
  • The drastic increase of 120% in the PV Industry in 1H2012 makes it a good prospect to take advantage of ongoing increasing demand in the United States.
  • The stock is trading at low valuations, as compared to its peers in the industry.
  • Its earnings will grow by 280% by the end of FY2013, according to 16 analyst estimates.
  • The company has significant potential to capture growing demand in emerging solar markets in the U.S., India and China.

Monday, 15 October 2012

The Advantages of Stock Investment


If you do not want to earn through a job that requires you to work very long hours then you can always go and invest in the stock market and earn an income through investing in the stocks to buy now.  There are a lot of advantages of stock investment because of which many people are getting inclined towards it and earning money.  Where there are advantages of stock investment is there are also disadvantages of it.  However if you manage the stock investment with intelligence then you can minimize the disadvantages and get the maximum out of the advantages of the stock market.

The very first advantage of the stock market investment is the flexibility that it offers to everybody who was trying to invest in it and the stocks to buy now.  Firstly you do not have to work long hours that you will have to work in a regular job.  You will select the time of investing in the stock market and managing it according to your ease and schedule and convenience.  There is no pressure and you will be the boss of yourself.  This will take out the stress and anxiety from many people’s lives which are associated with long hours of work.  You will feel extremely easy when you will start investing in the stock market because you will not have to sit in one chair for long hours and work on the same boring thing every day.

Wednesday, 10 October 2012

Top five tips to buy best dividend paying stocks


Summary
Buying best dividend paying stocks is always considered as a challenging task for researchers/investors. Recently we have seen a lot of shocking trends in the worldwide stock market. There are many high dividend paying stocks around the international stock market but as a researcher you need to choose the best stock very carefully.


Look at the whole scenario of the stock market 
Firstly you need to look at the whole scenario of the international stock market very vigilantly as well as carefully. Let me clear one very important thing before you that stock market is a fluctuating market. Everyday you will see the fluctuations and changing trends in stocks to buy. You will see how the gold prices are going up and down in the market. You will also find how the oil and gasoline worth is rapidly changing. You will also come across that how the penny stocks worth is fluctuation. So it has been a changing scenario in the stock market. No one could predict exactly about the stock market changing trends. 

Wednesday, 3 October 2012

Investment in Stocks Means Worthwhile For Investors


Summary

Investors should look into the key factors which play a vital role in the selection of the stocks to buy now. What are the most valuable and compatible stocks to buy for you? You need to make an in-depth analysis of the whole stock market as quickly as possible. There are plenty of stock marketing companies and service providers around the world today.

What you need to do for finding a top rated company?

Don’t forget that finding company in any stock market is not easy. Therefore if you want to take hold of unique stocks, you need to patch up with top rated stock marketing companies. These are available on the internet and are offering the best dividend paying stocks to their customers as well as shareholders. The stock market exists very heavily in China, Japan, United States, Canada and several other countries. The good news for investors and shareholders is that wherever they are residing they do not need to bother themselves because best stock marketing companies are based in your own areas, regions and countries at the moment. All you need to do is enhance your web research a bit so that you can find the best results within a shorter time span.