Here is a closer look at five companies that recently topped sales and profit expectations while raising guidance. The stocks could be good long-term plays.
The stock trades at 12 times this year's earnings estimates, well below its 10-year average of 47.
What's next? Technology that brings the computer to your TV, analysts say. Apple could use a new hit, since it is facing tough competition from smartphones running the Android operating system from Google (GOOG, news).
"This could be a $150 stock in a couple years," says Craig Hodges, co-manager of the Hodges (HDPMX) fund.
Some critics, however, say it's better to grow profits organically than to pay top dollar to buy a company.
The Lexington, Ky., company recently beat quarterly earnings estimates by an impressive 16%. "They have knocked the cover off the ball," says Hodges, a shareholder.
Acme Packet (APKT, news) makes devices that help send data across Internet-protocol networks. The Bedford, Mass., company invented the session border controller, which has become more important as more video and voice data have gone online.
Investors are paying a hefty premium for the stock, however; it trades at 60 times this year's expected earnings.
This San Jose, Calif., company makes programmable logic devices used in communications network gear, consumer electronics and industrial equipment.
Sales to China contributed one-third of its 2010 revenue of nearly $2 billion.
Some on Wall Street doubt that Altera can keep growing rapidly, but the company continues to surprise to the upside, says Patrick Newton, a semiconductor analyst with investment bank Stifel Nicolaus.
This article was reported by Elizabeth O'Brien for SmartMoney.
VIDEO ON MSN MONEY
From a local news article, "The firm, its employees and political arm contributed at least $83,000 to state legislators in 2010., almost all Republicans. The contributions are a small part of the $1 million-plus the company gives to elected leaders nationally". Keeping the palms greased, you scratch my back and I scratch yours. Caterpillar remains a US company, and reaps all the rewards of tax breaks and incentives, yet how much of it is actually here, besides corporate headquarters and white collar jobs? My plan would be to eliminate those tax breaks and incentives, create personal and corporate flat tax of about 35%, off the top, with no deductions, no hiding places, and no exemptions. Any companies who outsource would face a 1000% tax on their own goods, which are now declared as 'imports'. If you want to be a US based company, then be HERE, lock, stock and barrel, or else.
Be careful when these stories start coming out there helping to manipulate the market for some selling off and dropping the stock. Board of directors and the elite know how to manipulate there earnings drop prices and then them back. It's good old boy's and inside trading.
Jack **** website keeps blocking me saying Im blogging
I'd pay more attention to some of these critiques, particularly that of Calily griping about Gumball, if he didn't resort to name-calling and/or took a crash course in grammar. Just because you're emailing doesn't mean you should commit the crime of murdering the King's English.
P.S. Tarpaper: How does big business making record profits help the common man? If greedy corporations aren't rehiring at least some of those people who have been laid off in the last five years I don't give a hoot about them stashing away greenbacks. If record profits come at the expense of the middle class they become a long-term recipe of disaster.
But, for example, CAT here is said to "keep on winning" yet it's annual earnings from 2004-10 are: $4.15 $1.43 $5.66 $5.37 $5.17 $4.04. It's not even making what it was in 2004 and it "keeps on winning?"
APKT has seen its share price fall from $20 at the end of '06 to $3 at the end of '08 and then fairly steadily grow to $67 and a P/E of nearly 100. Of the 17 analysts covering it, 0 say strong buy, 9 say weak buy, 6 say hold, and 2 say sell. Based on Harry Domash's analysis of what buy-sell signals really mean to insiders: that's 0 buy, 9 hold, and 8 sell. And if it is worth buying, it's not because it "keeps" doing anything for any considerable period.
AAPL, ALTR, and TPX have, at a glance, Buffett-type "keep winning" credentials, though TPX has an awful lot of debt.
My strategy: Just track the flow of money between the markets before picking your stocks or going to long/short position.
I saw the smart money movement 4 weeks ago and bought LVLT at May 1(Up by 45%).
There are some algorithmic systems (for example “I Know First” system ) that tracking the flow of money daily.
Copyright © 2013 Microsoft. All rights reserved.
Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.
Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. 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 SIX Financial Information.
[BRIEFING.COM] Stocks ended modestly higher as the S&P 500 climbed 0.2%, and the Dow added 0.4% to register its 19th consecutive Tuesday of gains.
The major averages saw little change during morning action, but afternoon buying interest helped lift the indices to session highs. Most cyclical sectors (with the exception of materials and technology) finished among the leaders, but the defensively-geared health care sector settled atop the leaderboard as biotechnology outperformed. ... More
More Market News
|There’s a problem getting this information right now. Please try again later.|