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Even as Congress prepares to embrace this cleaner, abundant domestic fuel, the sector's stocks aren't moving yet. But when they do, these plays could pay off.
By Jim Cramer, TheStreet
The natural-gas act is about to go through, and nobody really believes it.
Last night on "Mad Money" I spoke to John Larson, the congressman from Connecticut and the man behind the House's thrust into natural-gas-powered trucks. Larson has been heavily influenced by Boone Pickens on this one, with Boone shrewdly pushing for the use of all domestic fuels -- natural gas being the only one we have in abundance.
With strong support in the Senate from Harry Reid and this push by Larson, it will be pretty impossible to stop a large rebate or tax credit for fleets to buy trucks that use cleaner, cheaper natural gas. And when I say "impossible to stop," I mean neither the coal lobby nor its president in the White House can seem to buck this one.
Teva Pharmaceuticals could soon see generic competition for one of the most lucrative drugs in its arsenal.
With an assist from some selling on good news, long-term worries are winning at the moment.
For the second quarter, earnings climbed to $1.08 a share. That was an increase of 30% from the 83 cents a share in the second quarter of 2009. The Wall Street consensus had projected earnings of $1.04.
There's evidence in the credit derivatives market that the bond bears are packing it in and moving on.
Although stocks have been sliding the past two days -- in what appears to be a typical pullback within a medium-term uptrend -- there are still plenty of reasons higher prices are likely over the horizon.
Company sales surveys conducted by the ISI Group rose by the largest amount in four months last week. Job gains look set to continue into the second half of the year. Business confidence is up in Germany. Employment is rising at a 3% annual rate in Taiwan. And exports are surging in Japan and South Korea.
Bank of America introduces the monthly fee in Georgia and might expand it to other states.
And customers outside Georgia may soon get hit with the fee, too. The bank plans to introduce the fee in other markets, reports American Banker.
It's no surprise as banks and airlines try to one-up each other to see who can nickel-and-dime their customers the most.
Look for pessimism to return by late August. September is shaping up to be a tough month.
I interrupt this summer rally with an important message to all investors: Market psychology has not changed despite heady gains in stocks.
A market that was grossly oversold has recovered nicely in July. The spark for the rally has been second-quarter earnings that have not disappointed investors and reinforced the idea that the market is cheap, at least in the short term.
Once the euphoria of positive earnings ends in late August, pessimism is likely to return. September is shaping up to be quite the vacuum in terms of news impacting stock valuations.
Dumping its Phibro trading unit was a stroke of genius -- and we don't say 'genius' and 'Citigroup' together very often.
Phibro, if you'll recall, was the home of Andrew Hall, the rockstar commodities trader that was due a $100 million bonus. Hall became the poster child for excessive Wall Street compensation at a time when Citigroup was getting a $45 billion government bailout.
Did one employee really deserve $100 million? That drama was big news at Citigroup, and no doubt factored hugely in the bank's decision to sell Phibro last year to Occidental Petroleum (OXY) for a price rumored to be around $450 million.
A Taiwanese smart-phone maker will debut 4 handsets to beat Apple to Asian customers.
If Apple (AAPL) can sell more than 1.7 million iPhone 4 units in just three days in the U.S., it’s hard to imagine how long the lines will be when it hits the streets of China.
The People’s Republic is the world’s largest mobile phone market, and negotiations were finalized yesterday on a contract with a Chinese telecom provider to land the iPhone 4 on mainland China very soon.
With terms of its contract with telecom carrier China Unicom Ltd. (CHU) set to be announced on Aug. 1, things do seem to be lining up for Apple to expand its approximate 7% share of sales in the Chinese market ending the second quarter.
But AAPL shareholders shouldn’t uncork the champagne just yet.
The battleground for social networking: Online video games?
It's getting increasingly difficult to escape the influence of Facebook. Every product you buy, from your non-dairy creamer to Dr. Scholl's insoles, invites you to become a fan on the omnipresent social network.
If any company can relate to Facebook’s virtual monopoly over a section of cyberspace, it’s Google (GOOG). The search engine has become synonymous with surfing the Web, with the verb "googling" actually enjoying a place in the Oxford English Dictionary.
But Facebook better watch out -- because if Google has its way, "facebooking" will never have the chance to become a verb. That's because the Internet juggernaut is creating a Facebook competitor of its own and is looking to take over the social-networking scene.
Apparently Apple's iPad doesn't have the market cornered on the e-reader -- yet.
Amazon.com (AMZN) and its groundbreaking Kindle e-reader have been overshadowed as of late by electronics juggernaut Apple and the sexy new iPad. Tech sites touted an iPad frenzy in Asia as the gadget went global last week, and rumors abound that demand is so high that iPad suppliers can’t keep up.
But if you think Apple (AAPL) and its iPad have killed the Kindle, think again. It turns out that a recent price cut to Amazon’s entry-level e-reader has been met with tremendous success. Sales were so strong that Amazon completely sold out of its $189 model!
These stocks have shown poor fundamentals.
The stock market had a pretty good run last week, with the Dow Jones gaining about 3.3%, the S&P 500 adding +3.5% and the Nasdaq tacking on +4.2%. Favorable corporate earnings from some blue chip stocks helped lead the charge, and gave way to new optimism for many stocks. Now we've kicked off this week with some positive momentum too, with the markets struggling to fight into the black for the full year and stay there.
But don’t think this means that the market is going to be smooth sailing from here on out. The bottom line is that a number of companies are still struggling, after just posting poor earnings or issuing warning signs as they approach their earnings date.
To keep you out of the worst stocks, here are 3 big name blue chips to sell now:
Any positives from tomorrow's jobless claims should send bank stocks on a run.
By Jim Cramer, TheStreet
They weren't Stone Walls, a la Jackson in the Civil War, but the banks hung in all day yesterday and acted well into the bell.
The strength was a marked improvement over what seemed to be an investible trend. Yesterday I took a stab at it, saying that a lack of bad press -- headline risk -- might be behind the stabilization. I think that's part of it. So is valuation; the rest of the market has moved a great deal while this group has done nothing.
But the thing that bothered me about it is that if you are rotating into Procter (PG) and out of PPG Industries (PPG), you are doing so because of market weakness. If you are buying Progress Energy (PGN), it’s because you think the economy in this country is poor and getting worse. If that's the case, you don't want to own banks.
McDonald's is introducing new products, growing revenue and increasing operating margins.
If you're worried that the U.S. and global economies are going to slow in the second half of 2010, then McDonald's (MCD) on its second-quarter performance is the stock for you. (Of course, if you think the upswing of the past week isn't just a bounce, McDonald's isn't the stock for you. See this post for more on that.)
The company reported earnings last week for the quarter of $1.13, a penny better than the Wall Street consensus, and revenue of $5.95 billion, slightly above projections for $5.91 billion. Comparable store sales climbed 3.7% in the United States, 5.2% in Europe, and 4.6% in the Asia/Pacific, Middle East, and Africa business unit.
And that's without any big macro trends in its favor.
The company now sells more cars in China -- where brands like Buick are adored -- than in the US.
The company is killing it in China. In Shanghai alone, there are 27 dealerships selling Buicks -- the brand the Chinese have fallen in love with, The New York Times reports.
That's quite a different story than in the U.S., where people are leery of an automaker still 61% owned by the U.S. Treasury. And Buicks aren't exactly considered a hot car here.
Desktops aren't a huge part of the company anymore, but sales are still strong.
So it's nice to see Apple rolling out a long-overdue update to its desktop line. The company beefed up its iMacs, adding new processors from Intel (INTC) and new graphics chips.
It will also begin selling a new Mac Pro tower with up to 12 processing cores, MarketWatch reported. And it debuted a new $69 trackpad for desktops that is similar to what's already in the portable MacBooks.
Look past the high prices for potential earnings.
By Louis Navellier, InvestorPlace.com
High-priced stocks are certainly not right for every investor, but for those who are willing to dive into pricey shares, it’s important to know if the risk will be worth the reward. With the right pick, a solid outlook can translate into a high-value investment.
Here are 3 stocks with shares trading well into triple digits that would not surprise anyone with a steady rise in current asking price in the days to come.
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[BRIEFING.COM] Stocks entered the weekend on a mixed note as the S&P 500 shed 0.1% while the Dow ended with a gain of 0.1%.
The major averages began the day on a lower note as nine of ten sectors saw losses of more than 0.5%.
The consumer staples sector was the lone exception as the group spent the entire day in positive territory thanks to the relative strength of Dow component Procter & Gamble (PG 81.89, +3.19). The second-largest staple stock advanced ... More
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