6/14/2013 6:00 PM ET|
DirecTV and 9 other hot stocks
The largest U.S. provider of direct-to-home digital TV service appears on an MSN Money list of recommended stocks.
Facing a stagnant market (nearly 90% of U.S. households already subscribe to a pay TV service), DirecTV (DTV) is going where the growth is.
In recent years that's meant an aggressive push into Latin America, where cable and satellite TV penetration lags that of the United States. Now, DirecTV is reportedly a leading contender to acquire Hulu, in a deal that would give it greater access to the growing number of viewers who watch video over the Internet.
Some technology blogs are reporting that DirecTV is close to consummating a $1 billion deal for Hulu, which offers viewers free, ad-supported content from Fox, NBC and ABC, as well as a $7.99-a-month subscription option for expanded access to TV shows..
Hulu, which was launched by the networks in 2007, has been unable to keep pace with faster-growing rivals such as YouTube, owned by Google (GOOG) and Netfix (NFLX). Still, a deal for Hulu could give DirecTV a brand-name entrée into Internet-based broadcasting that would help it compete for customers.
DirecTV provides digital TV service and on-demand video to roughly 20 million subscribers in the United States and nearly 11 million in Latin America. It competes with cable providers such as Comcast (CMCSA) and Time Warner Cable (TWC) as well as phone companies like AT&T (T) and Verizon Communications (VZ), which bundle their own video services into voice, telephone and Internet packages.
The El Segundo, Calif., company appears on a daily ranking created with StockScouter, an MSN Money tool that identifies stocks with strong growth prospects in the near term. All stocks with Scouter ratings of 8, 9 or 10 are considered for the list, which is then shortened to exclude stocks with a trading volume below 50,000 shares a day. The remaining stocks are ranked on the basis of market capitalization, sector membership and whether they are growth or value stocks.
Dish Network (DISH), the No. 2 direct-to-home digital TV service, after DirecTV, has been considering an even bolder move to tap the growing demand for wireless broadband service as the pay TV market stagnates; Dish made an unsolicited bid for Sprint Nextel (S) after the wireless company had agreed to be acquired by Japanese telecommunications giant SoftBank (SFTBY). Control of Sprint -- the No. 3 wireless provider in the United States -- would catapult Dish into the mobile-phone industry, which is increasingly central to how Americans communicate, work and consume media and entertainment.
DirecTV's U.S. subscriber growth has slowed as the company has placed priority on holding on to subscribers that generate the most revenue and profit, and worrying less when cost-sensitive customers shop for less-expensive TV options.
The company said it had 21,000 net subscriber additions in the United States in the first quarter, down from 81,000 in the year-earlier period. The total U.S. subscriber base rose 0.7% in the quarter to 20.1 million.
It added 583,000 net subscribers in Latin America, down from 593,000 a year earlier. DirecTV said it ended the first quarter with 10.9 million subscribers in the region, up 29% year on year.
Eleven of the 20 analysts covering the company rate the stock a "strong buy," two have "moderate buy" ratings, six have "hold" recommendations and one has a "strong sell" rating.
DirecTV has a StockScouter rating of 9, meaning the stock is expected to significantly outperform the market over the next six months with less than average risk.
StockScouter top 10 for June 14
Abbott Laboratories (ABT)
Activision Blizzard (ATVI)
Boston Scientific (BSX)
Brocade Communications Systems (BRCD)
Farm and construction machinery
StockScouter beats the market
Here at MSN Money, we think our StockScouter rating system is about as good as it gets when you're trying to decide where to invest. StockScouter looks for stocks whose business fundamentals, price behavior, valuation and stock-ownership characteristics appear to predict a rising price in the future, based on how those factors have influenced stock prices in the past.
The system assigns each stock an expected six-month return and balances that return against the stock's expected volatility. Scouter rates stocks on a scale of 1 to 10, and ratings can change daily. Ratings and data in the chart above were current as of this article's publication date.
In addition to the daily top 10 list described above, StockScouter is used by investment research firm Verus Analytics (previously known as the quantitative business unit of Gradient Analytics) to generate a monthly benchmark portfolio of stocks that, refreshed monthly, has outperformed the market since its inception in August 2001.
An investor who began in 2001 by investing in each of the benchmark portfolio's top 10 stocks at the start of the month, selling them at the end of the month and then starting fresh with a new group of 10 stocks, would have generated returns, before trading costs and taxes, of 890% through May 31, 2013.
Writer Jon Markman, at the time a columnist for MSN Money, collaborated with company researchers on the tool. Markman suggested rolling over the top 10 stocks every six months to hold down trading costs, a strategy that might be a better fit for most investors; that would yield different results, which would vary based on your starting point.
Performance through May 31
Full 50 position portfolio
Average annual return
Top 10 portfolio
Average annual return
Inception: August 2001
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WHAT?!?! Goldman sux?
Guess who's account in Switzerland the insider trading of over a billion on the Buffett Heinz buyout the other day came from??
Goldman Sachs. and yes the SEC said this. FU goldman...wealth destroying idiots who deserve death or multiple life in "drop the soap" prison. jerks!
Goldman sachs are the people which brought the crash of 2008, which us taxpayers paid for with our wealth of the country for these greedy SOB's who lost billions, their corrupt jacking of the books is the crime of the century against this nation. with TARPP and the out sending of our wealth, no way, we will have citizens arrests on these THIEVES at their offices and their homes, what kind of fools do you believe the american people are? fool us once, not twice.........
The majors are not just going to roll over and let SWA take over. This may be a huge mistake for them...time will tell. As for buying the stock, no thanks ....too many other promising stocks to invest money in.
In a game where ethics are a hindrance, never bet against the devil.
The lead-in today (March 9th) is a story about 'homebuilder' D.R.Horton. Just a little heads up, in Baldwin County Alabama there is starting to be a backlash against them for the shoddy construction (done by crews that don't speak English and all use the same SS number). Illegal wiring, improper roofing (on the Gulf Coast and these clowns CLEARLY do not know how to roof in hurricane country), etc.
Gonna be bad when they get nailed to the wall for all the 'short cuts' they take.................
yes all big and little companies Pay Tax, they pay an addition 7.65% above and beyond what is taken from your check, they pay unemployment so the unemployed can get a check, employers also pay FUTA Tax, if they earn income they pay upwards of 30 % of their income, they also pay sales tax ( collected from retail sales), there are several digfferant licences they pay for (not a tax) they employed YOU take tax from you and send it in, they pay Property Tax, They pay Gas Tax if the have trucks or cars.
Here is a simple list
Social security 7.65 % from you and they match it
Income Tax 9 if they earned money
Tax on their electricity, natural gas, oil, any purchases they make that are for their own use, they pay sales tax , etc.....
If i did not have to pay all these taxes my employes would earn at least 30% more than they do now and maybe even 50
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Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
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