Wednesday, December 18, 2013

Best Blue Chip Companies For 2014

Although we don't believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes -- just in case they're material to our investing thesis.

Stocks fell for the third straight day today, and the Dow Jones Industrial Average (DJINDICES: ^DJI  ) had its worst session in nearly a month as concerns mounted about the Federal Reserve stimulus taper and a disappointing holiday season. The blue chips fell 94 points, or 0.6%, ending the day at 15,915.

With the Fed set to hold its next Open Market Committee meeting in two weeks to determine the future of its $85 billion bond-buying program, investors once again became nervous about the coming taper. Recent jobs numbers have been strong, and Friday's November jobs report should go a long way to determining monetary policy. Another month of strong employment growth could mean the Fed begins cutting the stimulus sooner than expected. Stocks have gained more than 25% this year in large part because of the Fed's bond-buying program, which have made bond yields artificially low, making stocks look better by comparison. Tomorrow's jobs report from ADP will be the first hint at how many new jobs were created in November.

Best Blue Chip Companies For 2014: Colgate-Palmolive Company(CL)

Colgate-Palmolive Company, together with its subsidiaries, manufactures and markets consumer products worldwide. It offers oral care products, including toothpaste, toothbrushes, and mouth rinses, as well as dental floss and pharmaceutical products for dentists and other oral health professionals; personal care products, such as liquid hand soap, shower gels, bar soaps, deodorants, antiperspirants, shampoos, and conditioners; and home care products comprising laundry and dishwashing detergents, fabric conditioners, household cleaners, bleaches, dishwashing liquids, and oil soaps. The company offers its oral, personal, and home care products under the Colgate Total, Colgate Max Fresh, Colgate 360 Advisors' Opinion:

  • [By James Well]

    Analysts��Consensus Position on Pfizer

    Thirteen analysts including those at TheStreet, Thomson Reuters/Verus, Goldman Sachs, J.P. Morgan, Barclays Capital, Morgan Stanley and Argus Research are optimistic about the performance of Pfizer going forward and, hence, reiterated a consensus buy recommendation at an average target price of $31.78 per share. Last Wednesday, analysts at Goldman Sachs removed Pfizer from Goldman�� conviction buy list (CL) where Pfizer has been since Aug. 9, 2011, and placed it on the buy list but raised its price target from $34 to $35 per share. Jami Rubin, an analyst with Goldman Sachs, claimed that Pfizer has gone up by 82.5% since being added to the CL as against 53.9% for the S&P 500 during the period and, therefore, there was the need to replace Pfizer with AbbVie at a price target of $60 because they claimed AbbVie has greater upside at this time.

  • [By Dividend Growth Investor]

    In a previous article, I outlined that it is getting more difficult to find quality dividend paying stocks to buy. Most of the usual suspects like Kimberly-Clark (KMB) or Colgate-Palmolive (CL) are very overvalued today, which prevents me from adding to my positions there. Other companies like Chevron (CVX) are attractively valued today, but unfortunately my portfolio is overweight in them. Currently I find the oil sector to be cheap and have some of the lowest P/E ratios in the market. However, I would hate to be concentrated in one sector which is exposed to the fluctuating prices in its commodity products.

Best Blue Chip Companies For 2014: Visa Inc.(V)

Visa Inc., a payments technology company, engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. The company owns and operates VisaNet, a global processing platform that provides transaction processing services. It also offers a range of payments platforms, which enable credit, charge, deferred debit, debit, and prepaid payments, as well as cash access for consumers, businesses, and government entities. The company provides its payment platforms under the Visa, Visa Electron, PLUS, and Interlink brand names. In addition, it offers value-added services, including risk management, issuer processing, loyalty, dispute management, value-added information, and CyberSource-branded services. The company is headquartered in San Francisco, California.

Advisors' Opinion:
  • [By Jane Edmondson]

    Green Dot (GDOT), a Pasadena, CA-based company, is a leading provider of prepaid MasterCard (MA) and Visa (V) debit cards. Green Dot products are sold in more than 60,000 retail locations including drug stores, grocery stores, convenience stores, and discount department stores. The company also has a discounted offering available exclusively through Wal-Mart (WMT).

  • [By Andy Obermueller]

    The magazine examined some large companies as the drivers in this new technological push, which hinges largely on the continued adoption of portable devices, like cellphones, that can be used much like a credit or debit card. Its winners are Google (Nasdaq: GOOG) because of its Google Wallet initiative, which I was among the first to cover; eBay's (Nasdaq: EBAY) PayPal; Visa (NYSE: V); MasterCard (NYSE: MA); Apple (Nasdaq: AAPL) and Facebook (Nasdaq: FB).

  • [By Wallace Witkowski]

    This will be a ��ow-a-day��week of quarterly results with Merck & Co. (MRK) �on Monday, Pfizer Inc. (PFE) �on Tuesday, Visa Inc. (V) �on Wednesday, Exxon Mobil Corp. (XOM) �on Thursday, and Chevron Corp. (CVX) �on Friday.

  • [By Matt Brownell]

    Alamy The holiday shopping season is upon us, and that means you're probably about to spend a whole lot of money: According to the National Retail Federation, the average American will spend about $738 on gifts, decorations and other holiday purchases. And, actually, that's down 2 percent from last year, so perhaps we're all trying to be a hair more frugal. But another way to save on those holiday outlays can be to pick the right card when you get to the checkout counter. So which one should you use? If you're planning on carrying a balance into 2014, the answer is obvious: Whichever card has the lowest rate. But if you're planning on paying off your purchases in full and APRs aren't a concern, then you'll need to consider what ancillary benefits you can get by choosing one card over another. The Rewards Carousel The biggest consideration here is what sort of cash-back rewards you can get out of your card. Usually, you get only 1 percent back, which is a drop in the shopping bucket. But many cards have 5 percent bonus categories that rotate on a quarterly basis. And the good news is that credit-card issuers tend to pick bonus categories for the fourth quarter that line up nicely with where you're likely to spend money for the holidays. Take the Chase (JPM) Freedom card, for instance: This quarter, you can get 5 percent cash-back at Amazon.com (AMZN) and department stores including J.C. Penney (JCP), Sears (SHLD) and Nordstrom. The bad news is that some of the retailers with the lowest prices, including Target (TGT), Walmart (WMT) and warehouse-club stores, are excluded from the deal. Still, if you drop $300 between Macy's and Amazon this holiday season, you're getting back $15 just by using your Freedom card. If you intend to do most of your shopping online, your best bet might be the Discover (DFS) It card, which provides 5 percent cash-back on all online purchases through the end of the year. "As people do more holiday spending online, this is a great

5 Best Casino Stocks To Invest In Right Now: International Business Machines Corporation(IBM)

International Business Machines Corporation (IBM) provides information technology (IT) products and services worldwide. Its Global Technology Services segment provides IT infrastructure and business process services, including strategic outsourcing, process, integrated technology, and maintenance services, as well as technology-based support services. The company?s Global Business Services segment offers consulting and systems integration, and application management services. Its Software segment offers middleware and operating systems software, such as WebSphere software to integrate and manage business processes; information management software for database and enterprise content management, information integration, data warehousing, business analytics and intelligence, performance management, and predictive analytics; Tivoli software for identity management, data security, storage management, and datacenter automation; Lotus software for collaboration, messaging, and so cial networking; rational software to support software development for IT and embedded systems; business intelligence software, which provides querying and forecasting tools; SPSS predictive analytics software to predict outcomes and act on that insight; and operating systems software. Its Systems and Technology segment provides computing and storage solutions, including servers, disk and tape storage systems and software, point-of-sale retail systems, and microelectronics. The company?s Global Financing segment provides lease and loan financing to end users and internal clients; commercial financing to dealers and remarketers of IT products; and remanufacturing and remarketing services. It serves financial services, public, industrial, distribution, communications, and general business sectors. The company was formerly known as Computing-Tabulating-Recording Co. and changed its name to International Business Machines Corporation in 1924. IBM was founded in 1910 and is based in Armonk, New York.

Advisors' Opinion:
  • [By Chris Neiger]

    IBM (NYSE: IBM  ) just launched a $1 billion initiative to build and test Flash technology for enterprise solutions. The company said that Flash is already an integral part of consumer products, and that the technology could help companies tackle Big Data challenges.

  • [By Editor , Dividend Growth Investor]

    The company�� last dividend increase was in September 2013 when the Board of Directors approved a 15 % increase in the semi-annual dividend to 93 cents per share. The company�� peer group includes IBM (IBM) and Deloitte Consulting.

  • [By Dan Caplinger]

    Still, IBM (NYSE: IBM  ) has shown that such a transformation can be done. The former hardware giant has done a stellar job of moving into higher-margin server and IT services businesses. In particular, by focusing itself on the big-data needs of businesses seeking to mine voluminous amounts of information for business-enhancing knowledge, IBM managed to get an early jump on its similarly sized competitors and remain at the forefront of innovation in tech.

  • [By Dan Carroll]

    Fellow tech stock IBM (NYSE: IBM  ) isn't having such a good day: Big Blue's shares have fallen 1.5% to rank among the top Dow laggards. The company is looking to cut costs by cutting employees, particularly after a worse-than-expected first quarter sunk the firm's stock by nearly 8% in one day back in April. The firm is planning to spend up to $1 billion on the cuts, which began today and could encompass up to 8,000 workers around the globe.

Best Blue Chip Companies For 2014: Apple Inc.(AAPL)

Apple Inc., together with subsidiaries, designs, manufactures, and markets personal computers, mobile communication and media devices, and portable digital music players, as well as sells related software, services, peripherals, networking solutions, and third-party digital content and applications worldwide. The company sells its products worldwide through its online stores, retail stores, direct sales force, third-party wholesalers, resellers, and value-added resellers. In addition, it sells third-party Mac, iPhone, iPad, and iPod compatible products, including application software, printers, storage devices, speakers, headphones, and other accessories and peripherals through its online and retail stores; and digital content and applications through the iTunes Store. The company sells its products to consumer, small and mid-sized business, education, enterprise, government, and creative markets. As of September 25, 2010, it had 317 retail stores, including 233 stores in the United States and 84 stores internationally. The company, formerly known as Apple Computer, Inc., was founded in 1976 and is headquartered in Cupertino, California.

Advisors' Opinion:
  • [By Evan Niu, CFA]

    Apple (NASDAQ: AAPL  ) wants to move away from Samsung. This we know. While the South Korean conglomerate has many independent divisions, Apple doesn't like giving the component segment business while the smartphone segment is its most viable competitor. To that end, the surest signs yet have emerged that Apple has inked a three-year deal with Taiwan Semiconductor (NYSE: TSM  ) .

  • [By Dan Radovsky]

    Anybody who wants to buy an iPhone in Russia needn't bother going to any of the Russian mobile operators. VimpleCom (NASDAQ: VIP  ) , the last Russian telecom offering the iPhone, has just hung up on Apple (NASDAQ: AAPL  ) , according to Russian language website Hi-Tech Mail.

  • [By Daniel Sparks]

    It's no secret. Apple's (NASDAQ: AAPL  ) cheap. Competitive pressures from other large tech companies�have investors wondering if Apple will be able to stay on top. Consumers, however, are more certain about how they feel about Apple. The latest report from MarketingWeek suggests customers are enthused with the company's products. Apple's brand, the report states, is more valuable than ever.

  • [By Rick Munarriz]

    Well, that wasn't so bad, Apple (NASDAQ: AAPL  ) investors. Shares of the consumer-tech giant are climbing higher after the company posted reasonable quarterly results.

Best Blue Chip Companies For 2014: McDonald's Corporation(MCD)

McDonald?s Corporation, together with its subsidiaries, operates as a worldwide foodservice retailer. It franchises and operates McDonald?s restaurants that offer various food items, soft drinks, coffee, and other beverages. As of December 31, 2009, the company operated 32,478 restaurants in 117 countries, of which 26,216 were operated by franchisees; and 6,262 were operated by the company. McDonald?s Corporation was founded in 1948 and is based in Oak Brook, Illinois.

Advisors' Opinion:
  • [By Dan Carroll]

    Now fully into earnings season, the Dow Jones Industrial Average (DJINDICES: ^DJI  ) is having a hard time getting things going today. The index has hung flat for most of the day as blue-chip stocks have remained mixed between risers and losers. McDonald's (NYSE: MCD  ) sure hasn't helped after the company's earnings report sent the fast-food giant's shares tumbling. Let's catch up on all the action around the Dow you need to know.

  • [By Andrew Marder]

    Walking a thin line
    The difficulty that Wendy's has had, and will continue to have, I think, is that it's very hard to be all things to all people. The idea of being the better burger chain means that Wendy's is going to be competing not only with McDonald's (NYSE: MCD  ) and Burger King, but also Five Guys and In-and-Out Burger.

  • [By Asit Sharma]

    Last week,�Wendy's� (NASDAQ: WEN  ) announced in its second-quarter earnings report that it will sell 425 company-operated stores to franchisees. This will reduce the number of company-owned and -operated stores in the Wendy's system from 22% to 15%. �Coupled with earnings that beat expectations, Wendy's stock rose more than 8.5% on the day of the announcement. After a few years of rather aimless wandering while McDonald's (NYSE: MCD  ) increased its dominance, and Burger King� (NYSE: BKW  ) returned to the public markets courtesy of merger-savvy Brazilian billionaires, is Wendy's poised to excite investors again?

Best Blue Chip Companies For 2014: Philip Morris International Inc(PM)

Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. Its international product brand line comprises Marlboro, Merit, Parliament, Virginia Slims, L&M, Chesterfield, Bond Street, Lark, Muratti, Next, Philip Morris, and Red & White. The company also offers its products under the A Mild, Dji Sam Soe, and A Hijau in Indonesia; Diana in Italy; Optima and Apollo-Soyuz in the Russian Federation; Morven Gold in Pakistan; Boston in Colombia; Belmont, Canadian Classics, and Number 7 in Canada; Best and Classic in Serbia; f6 in Germany; Delicados in Mexico; Assos in Greece; and Petra in the Czech Republic and Slovakia. It operates primarily in the European Union, Eastern Europe, the Middle East, Africa, Asia, Canada, and Latin America. The company is based in New York, New York.

Advisors' Opinion:
  • [By Dan Caplinger]

    Philip Morris International (NYSE: PM  ) will release its quarterly report on Thursday, and projections suggest that it will manage to deliver decent results for investors. But shareholders don't seem convinced about Philip Morris earnings, as they've recently sent the stock down substantially from its May highs.

  • [By Jon C. Ogg]

    Philip Morris International Inc. (NYSE: PM) has experienced more than impressive growth in both its share price and its profits in the past four years. Lately its gains have petered out. The problem is that much of that growth has come from a few countries in Asia, and if one analyst report is accurate, there will be little to no growth from those areas ahead. Nomura Securities is downgrading Philip Morris to a Reduce rating from Neutral, but for all practical purposes it is a Sell rating. The firm’s $76 price target suggests downside of more than $10 ahead.

  • [By Ben Levisohn]

    Phillip Morris (PM) gained 2.8% to $86.56 after boosting its dividend by 10.6%.

    Restoration Hardware (RH) dropped 12% to $68.04 despite what many considered to be a solid earnings�report. Not Barron’s.

Best Blue Chip Companies For 2014: Chevron Corporation(CVX)

Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.

Advisors' Opinion:
  • [By Matt Thalman]

    On less than usual volume, shares of Chevron (NYSE: CVX  ) rose 1.1% today. Less than 4.5 million shares of the oil giant traded hands today while the average three-month volume is just below 6.1 million shares. The low volume may have played a role in the stock moving higher today as there were likely more buyers than sellers. This idea shouldn't seem too far-fetched, as the stock is still trading for less than 10 times price to earnings, and paying a 3.2% dividend yield at a time when we haven't seen oil make any significant moves lower since the middle of April. Lastly, the stock likely was under buying pressure today after the announcement that China's energy needs will double that of the U.S.'s by 2040.�

  • [By GuruFocus] ref="http://www.gurufocus.com/StockBuy.php?GuruName=Tom+Gayner">Tom Gayner initiated holdings in Chevron Corp. His purchase prices were between $114.81 and $126.43, with an estimated average price of $120.86. The impact to his portfolio due to this purchase was 0.18%. His holdings were 43,000 shares as of 06/30/2013.

    New Purchase: Brookfield Property Partners LP (BPY)

    Tom Gayner initiated holdings in Brookfield Property Partners LP. His purchase prices were between $19.57 and $23.64, with an estimated average price of $21.67. The impact to his portfolio due to this purchase was 0.13%. His holdings were 175,122 shares as of 06/30/2013.

    New Purchase: ONEOK, Inc. (OKE)

    Tom Gayner initiated holdings in ONEOK, Inc.. His purchase prices were between $41.16 and $52.13, with an estimated average price of $46.98. The impact to his portfolio due to this purchase was 0.1%. His holdings were 70,000 shares as of 06/30/2013.

    New Purchase: Blackstone Group LP (BX)

    Tom Gayner initiated holdings in Blackstone Group LP. His purchase prices were between $19.1 and $23.45, with an estimated average price of $21.2. The impact to his portfolio due to this purchase was 0.09%. His holdings were 116,900 shares as of 06/30/2013.

    New Purchase: BlackRock Inc (BLK)

    Tom Gayner initiated holdings in BlackRock Inc. His purchase prices were between $245.3 and $291.69, with an estimated average price of $267.9. The impact to his portfolio due to this purchase was 0.08%. His holdings were 9,100 shares as of 06/30/2013.

    New Purchase: KKR & Co LP (KKR)

    Tom Gayner initiated holdings in KKR & Co LP. His purchase prices were between $17.8 and $21.15, with an estimated average price of $19.85. The impact to his portfolio due to this purchase was 0.08%. His holdings were 115,000 shares as of 06/30/2013.

    New Purchase: Eni SpA (E)

    Tom Gayner initiated holdings in Eni SpA. His purchase prices were between $40.39 and $48.96, with an estimate

  • [By Dividends4Life]

    Chevron Corporation (CVX) is a global integrated oil company (formerly ChevronTexaco) with interests in exploration, production, refining and marketing, and petrochemicals.
    Yield: 3.3% | Years of Dividend Growth: 26

  • [By Teresa Rivas]

    Shares of Chevron (CVX) were up 0.7% in recent trading, on the heels that it has reached a settlement with Brazilian prosecutors.

    Chevron and Transocean (RIG) were named in the $20 billion lawsuit over a 2011 oil spill off the southeast coast of the country, and both parties are expected to sign off on the deal today, reports The Wall Street Journal. Criminal charges against executives have already been dropped.

    The move comes at a delicate time for Brazil��hile many energy companies are eager to tap the nations resources and appetite, some criticized the government of overacting to the spill; the settlement should calm some ruffled feathers a month before the country will auction off rights to what ��s believed to be one of the largest oil fields ever discovered in deep ocean waters,��notes the Journal.

    However, Transocean didn�� get any bump from the news, and was trading down 1.5% at recent check.� Both names have lagged the index in the past year: While the S&P 500 has gained nearly 15% in the last 12 months, Chevron is up 5.7% and Transocean is up just 1.7%.

    Other oil majors like Exxon (XOM) and ConocoPhillips (COP) are also up today.

    Update: Reuters is reporting that Chevron� is considering bid for stake in a Brazil offshore oil prospect (via Briefing.com).

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