Seeking Alpha: Bristol-Myers No Bargain

While some Big Pharma companies can fairly be accused of being too passive in dealing with upcoming patent expirations and relying too much on cost-cutting to boost numbers, that's not really the case for Bristol-Myers Squibb (BMY). Not only has Bristol-Myers continued to invest in the clinic, but the company has also been an active acquirer in the biotech space. Although Bristol-Myers has respectable growth prospects relative to its peer group, this earnings stream seems fairly valued today.

Read the full article here:
Bristol-Myers No Bargain

Seeking Alpha: Relief Will Only Carry Caterpillar So Far

Earnings from heavy machinery specialist Caterpillar (CAT) certainly gave investors a little relief, but they shouldn't underestimate the risks to growth over the next 12-18 months. While this company certainly does have solid long-term prospects, the possibility of long-term gain isn't always enough to assuage the short-term pain that can go with wholesale institutional abandonment of a sector.

Continue here:
Relief Will Only Carry Caterpillar So Far

Investopedia: Will This Be The Pause That Refreshes Apple?

It will be interesting to see how investors and analysts ultimately process Apple's (Nasdaq:AAPL) fiscal third quarter miss. This is not the first time that the company has missed expectations or rattled investors, and it seems like the investment community is so focused on the next iPhone launch that this hiccup in performance doesn't amount to much. Apple still presents a very interesting conundrum in valuation - today's price seems to discount an erosion in sales growth and/or margins that nobody is willing to publicly discuss or put into print.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/Will-This-Be-The-Pause-That-Refreshes-Apple-AAPL-MSFT-GOOG-NOK0725.aspx

Investopedia: Weatherford Has To Be Better

When it comes to the No. 4 energy services company Weatherford (NYSE:WFT), I have walked the line between supporter and apologist as I thought I saw a lot of potential value in running this business better. Unfortunately, while it is still true that Weatherford has an interesting under-valued business, it's also true that the company's management has to clean up a lot of messes. Consequently, there's value here, but its value that comes with a big asterisk.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/Weatherford-Has-To-Be-Better-WFT-HAL-SLB-BHI0725.aspx

Investopedia: Broadcom In The Right Place At The Right Time

Broadcom (Nasdaq:BRCM) continues to deliver the goods. In a market rattled by bad tech earnings numbers, particularly in chips and communications, this leading communications chip company once again posted solid results and encouraging guidance. While the exceptional popularity of Broadcom concerns me, the numbers are what they are and Broadcom still looks like a good stock to own.

Please click the link for more:
http://stocks.investopedia.com/stock-analysis/2012/Broadcom-In-The-Right-Place-At-The-Right-Time-BRCM-TXN-QCOM-AAPL0725.aspx

Investopedia: Metal Fatigue At Steel Dynamics

Although I don't own it, I nevertheless feel like I've spent a lot of 2012 supporting or coming to the defense of steel companies like ArcelorMittal (NYSE:MT), Nucor (NYSE:NUE) and Steel Dynamics (Nasdaq:STLD). Maybe there's some logic there, as buying into beaten-down commodity stocks can be a good way to earn short-to-intermediate capital gains, or maybe I'm just stubborn. Whatever the case, it's getting harder and harder to stay optimistic on Steel Dynamics even though (yep, you guessed it) the shares don't look especially pricey today.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Metal-Fatigue-At-Steel-Dynamics-STLD-NUE-MT-AKS0725.aspx

Seeking Alpha: Illinois Tool Works Hunkering Down

Industrial conglomerate Illinois Tool Works (ITW) was a growth laggard in the first quarter, and slowing demand in markets like Europe, China, and the U.S. didn't help matters for this quarter. Margins held up well, though, and management's decision to simplify the business during this lull ought to have the company in good position to post good margins whenever the recovery may come. Illinois Tool Works just isn't cheap enough to be my favorite industrial name (a common complaint with me and this stock), but those who believe in the margin expansion story may find more to like here, even if the company is facing a stiffer headwind going into the second half.

Please follow this link for more:
Illinois Tool Works Hunkering Down

Investopedia: Is Halliburton Finding The Bottom?

Buying a stock in the energy service sector is a little like buying a ticket to a roller-coaster ride, but one that is already in progress and one where they don't tell you where the car is on the track. When a stock like Halliburton (NYSE:HAL) is near its 52-week lows, it's relatively easy to assume that things will get better, but there may be a further dive yet to come. Likewise, when the stock is riding high you just know that there will be another drop ... but that the stock may have yet to rise before that fall begins.

Please continue here:
http://stocks.investopedia.com/stock-analysis/2012/Is-Halliburton-Finding-The-Bottom-HAL-SLB-BHI-WFT0724.aspx

Investopedia: For Texas Instruments The Song Remains The Same

For all the talk of how supply chain and customer inventories are scraping the bottom, there's just no momentum in the broad semiconductor sector. Once again Texas Instruments (Nasdaq:TXN) found itself with a tougher-than-expected quarter and once again guidance is heading lower. While it remains a fine company with significant untapped potential, investors have to realize that the potential may stay on ice for a while longer.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/For-Texas-Instruments-The-Song-Remains-The-Same-TXN-QCOM-BRCM-INTC0724.aspx

Investopedia: Bull Vs. Bear - Olympic Advertising Is A Waste Of Shareholders' Money

Question: Are the Olympics worth the money spent on marketing by corporate sponsors?

Bear's Response
Commercial sponsorship is a huge part of the "Olympic experience." Not only do corporate sponsors go a long way toward defraying the cost of an Olympics, but "in kind" payment of services and products can make the games run more smoothly. The question, though, is whether these companies get an adequate return on their money. I believe they do not.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Bull-Vs.-Bear-Olympic-Advertising-Is-A-Waste-Of-Shareholders-Money-MCD-KO-NKE-UPS0724.aspx

Seeking Alpha: Fear And Noise Creating Opportunity In Freeport-McMoRan

It may sound sarcastic or cynical, but if the news flow around copper miner Freeport-McMoRan (FCX) is terrible, it's probably time to think about a good entry price. Certainly, there are worries pushing down on valuation today -- worries tied to production costs, worries tied to global growth and implied demand, and worries tied to ongoing saber-rattling from the Indonesian government. The reality, though, is that this is what it looks and sounds like when companies like this bottom out. When the news turns positive, that may just be a signal to look for the exit.

Please click here for more:
Fear And Noise Creating Opportunity In Freeport-McMoRan

Seeking Alpha: Peabody Energy Still In Limbo; How Low Can It Go?

The investment thesis on Peabody Energy (BTU) continues to be that it's the best house on a pretty scary street - a street that increasingly looking like Elm Street for long-suffering investors. If there's good news in the company's second quarter results, it's that the Street seems to still be washing out expectations despite some signs of improvement in the U.S. coal business. While this remains an interesting asset-driven company for the long term, the coal sector has shown in spades that the answer to the question of how much worse things can get is "a lot worse".

Please continue here:
Peabody Energy Still In Limbo; How Low Can It Go?

Seeking Alpha: A Disappointing, But Not Altogether Surprising, Failure For JNJ And Pfizer

Some diseases are notoriously hard targets for new pharmaceutical development, and Alzheimer's may well be one of the worst. There are very few drugs on the market for the disease (Forest Labs' (FRX) Namenda and Pfizer's (PFE) Aricept are the two most prominent), but Johnson & Johnson (JNJ), Pfizer, and Elan (ELN) hoped to defy the odds and bring a new Alzheimer's drug to market - bapineuzumab.

Unfortunately, Pfizer's news announcement Monday after the close largely brings that hope to an end.

Read more here:
A Disappointing, But Not Altogether Surprising, Failure For JNJ And Pfizer

Investopedia: The Week Ahead In Healthcare

With earnings season now in swing, it looks as though the state of the healthcare market is "more of the same." Company executives have managed Wall Street expectations such that companies are technically posting above-expectation earnings, but a lot of this outperformance seems to be coming from lower tax rates, "other income" and lower operating spending. Overall revenue growth is still not impressive, and with the market-beating returns seen across the sector so far this year, there could be some risk to these stocks if revenue growth doesn't accelerate towards the end of the year.

For the full piece, please click here:
http://stocks.investopedia.com/stock-analysis/2012/The-Week-Ahead-In-Healthcare-JNJ-SYK-STJ-ABT0723.aspx

Investopedia: Genesee's Bold Bid To Be The Leading Short-Line Operator

It's always interesting to see how nimble and well-managed companies can prosper by zigging when larger rivals zag. Class 1 railroad operators like Union Pacific (NYSE:UNP) and Norfolk Southern (NYSE:NSC) have spent the last three decades selling off their short-line operations in response to the Staggers Act, while short-line specialist Genesee & Wyoming (NYSE:GWR) has been busy buying short-line rails and building itself into one of the premier operators.

On Monday, Genesee announced a major expansion of that strategy - agreeing to acquire fellow short-line operator RailAmerica (NYSE:RA) for $27.50 per share or about $1.4 billion overall. This is a very sizable deal for Genesee & Wyoming and one of those bold moves that will either vault the company to a new level of operating performance or saddle the company for years with debt and non-synergistic assets.

Please continue here:
http://stocks.investopedia.com/stock-analysis/2012/Genesees-Bold-Bid-To-Be-The-Leading-Short-Line-Operator-GWR-RA-UNP-NSC0723.aspx

Seeking Alpha: Is McDonald's Setting Up A 2008/2009 Rerun?

Companies like Nike (NKE), Coca-Cola (KO), and McDonald's (MCD) don't give you too many chances to get in at reasonable valuations, and oftentimes those opportunities come with substantial market worries. While McDonald's present valuation doesn't exactly make it a screaming buy, there are at least a couple of similarities between conditions today and conditions three to four years ago - the period when McDonald's really separated itself from the QSR pack and delivered quite a run.

Please read the full article here:
Is McDonald's Setting Up A 2008/2009 Rerun?

Seeking Alpha: Reasons For Relief At Eaton, But Tougher Times Still Ahead

Eaton (ETN) isn't necessarily the best industrial company that investors can buy, but it's a quality name that investors ought to reconsider during the lulls in the cycle. With good long-term fundamentals in most (if not all) of its target markets and reasonable leverage to emerging market growth, Eaton should be a reliable "market growth-plus" story for the foreseeable future.

Please click this link for more:
Reasons For Relief At Eaton, But Tougher Times Still Ahead

Seeking Alpha: Microsoft's Battles - Value Versus Operating Leverage, Enterprise Versus Consumer

Microsoft (MSFT) remains a confounding stock for an investor with a value inclination. While the stock looks undervalued even on the assumption of 5% free cash flow declines for a decade, the company clearly as a long way to go to catch up to rivals like Apple (AAPL) and Google (GOOG) in markets like mobile, consumer, and online. Likewise, while Microsoft is stronger in enterprise than the Street seems to think, the company needs to show stronger operating leverage.

Continue reading here:
Microsoft's Battles - Value Versus Operating Leverage, Enterprise Versus Consumer

Investopedia: CNOOC Paying Up For An Undervalued Canadian Oil Asset

Canada and China have had an interesting relationship over recent years. While Canada has certainly appreciated China's boundless appetite for its ores, agricultural products and energy exports, it has not been quite so appreciative of the efforts of Chinese companies to acquire operating assets in the country. So while CNOOC's (NYSE:CEO) announced intention to acquire Nexen (NYSE:NXY) makes sense on many levels, it may not be a total certainty that the deal goes through.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/CNOOC-Paying-Up-For-An-Undervalued-Canadian-Oil-Asset-CEO-NXY-BHP-POT0723.aspx

Investopedia: Better Operating Performance Should Let Baker Hughes' Value Emerge

Companies would do well to follow one of the fundamental precepts of medical ethics - "primum non nocere" (first do no harm). While there is little that any one company can do about the overall demand environment in a given quarter or year, there's a lot that can be done to at least minimize the damage. In the case of Baker Hughes (NYSE:BHI), it looks like a lot of the operating issues and missteps that bedeviled recent quarters have improved, and while the near-term outlook for energy services is not great, there's value here nonetheless.

Please read more here:
http://stocks.investopedia.com/stock-analysis/2012/Better-Operating-Performance-Should-Let-Baker-Hughes-Value-Emerge-BHI-HAL-SLB-WFT0723.aspx

Investopedia: Check Point Is In Its Competitors' Crosshairs, But Maybe Too Cheap

Not too many tech stocks get a second act, and Check Point Software's (Nasdaq:CHKP) heyday was back in the mid-to-late 90's, alongside companies like Cisco (Nasdaq:CSCO) and Symantec (Nasdaq:SYMC) that have likewise been unable to recapture former glories. The question for shareholders, though, is whether oncoming next-gen competition will damage this business as much as feared and whether they have the patience for the Street to come back around to the value of this business.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/Check-Point-Is-In-Its-Competitors-Crosshairs-But-Maybe-Too-Cheap-CHKP-FTNT-FIRE-CSCO0723.aspx

FYI On Comments

I'm going to be turning off the comments feature.
There has been only minimal interest/usage from readers and I'm frankly tired of battling the spammers.

Seeking Alpha: Can Intuitive Surgical Drive Wider Adoption Fast Enough To Maintain Multiples?

Coming out of second quarter earnings, it's as clear as ever that surgical robot company Intuitive Surgical (ISRG) does not have the luxury of being casual about driving wider adoption of its daVinci robotic surgical system. While the U.S. prostatectomy market is not going to disappear, the multiples on this stock leave almost no room for disappointment and declines in this long-time core market are starting to weigh on procedure volumes.

Continue here to the full article:
Can Intuitive Surgical Drive Wider Adoption Fast Enough To Maintain Multiples?

Seeking Alpha: Another Disappointing Quarter Still Doesn't Make Cepheid Cheap

So far, this has been a tough quarter for some of the growth darlings of the medical technology sector. It's still somewhat early in the reporting cycle, but Intuitive Surgical (ISRG) and MAKO Surgical (MAKO) have both disappointed, and Cepheid (CPHD) joins that unfortunate list for the second time in as many quarters. While the sort of operational disturbances that Cepheid is seeing are not at all uncommon with small, young companies, the cripplingly high expectations built into the stock give it little room to breathe.

Read more here:
Another Disappointing Quarter Still Doesn't Make Cepheid Cheap

Seeking Alpha: Can Nokia Pull Out Of Its Death Spiral?

Simply put, Nokia (NOK) is a mess. Where once this was the world's best cell phone maker and the owner of a high-quality balance sheet, now the company is struggling to stay relevant and stem the loss of market share to Apple (AAPL) and Samsung (SSNLF.PK). Although the company's feature phone business in North America looks as though its in shambles, the company does have enough liquidity and time to make what may be a last stand around its Microsoft (MSFT) Windows-powered Lumia.

Please follow this link for the full article:
Can Nokia Pull Out Of Its Death Spiral?

Investopedia: Mighty Mellanox Mashes Expectations

Tech is perennially frustrating for value-driven investors, but Mellanox (Nasdaq:MLNX) is taking that to a new level. While the shares have long looked appealing on the basis of the growth potential, valuation has looked aggressive unless an investor was willing to make pretty outrageous growth estimates. As it turns out, maybe "outrageous" was actually conservative, as this Infiniband adapter specialist boosted revenue guidance for the next quarter by a whopping 50%.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Mighty-Mellanox-Mashes-Expectations-MLNX-INTC-HPQ-IBM0720.aspx

Investopedia: Mind The Moving Parts At Yum!

Taken as a whole, Yum! Brands (NYSE:YUM) is still an exceptional global restaurant concept. You could argue that the company has "out-McDonald's (NYSE:MCD)" McDonald's, with its exceptional success and excellent growth platforms in Southeast Asia, Latin America and the Middle East. All of that said, Yum! Brands has long carried a premium valuation due to that Chinese growth kicker and while the company is likely to continue to be quite successful, valuation may be an issue with the shares.

Read more here:
 http://stocks.investopedia.com/stock-analysis/2012/Mind-The-Moving-Parts-At-Yum-YUM-MCD-SBUX-PZZA0720.aspx

Investopedia: Street To Chipotle - Queremos More Growth, Now!

Figuring out the difference between a pot-hole and a sinkhole is a pretty critical skill when it comes to investing in high-growth stocks, and it seems especially relevant to Chipotle Mexican Grill (NYSE:CMG). Whether slower comps later this year are just a lull or a new trend, and whether the company can maintain exceptionally high restaurant margins are two huge questions that play directly into the valuation. Given the high valuation, I can understand if investors feel that caution is the better part of valor and want to step to the side for the time being.

Please follow this link for more:
http://stocks.investopedia.com/stock-analysis/2012/Street-To-Chipotle---Queremos-More-Growth-Now-CMG-YUM-MCD-PNRA0720.aspx

Investopedia: Danaher Battening Down The Hatches

There is no real doubt anymore that the bloom is off the industrial rose; investors are no longer asking if there's going to be a significant slowdown in industrial earnings growth, but rather when the growth will resume. To that end, Danaher (NYSE:DHR) did not really provide a lot of cheer with its second quarter earnings release. Danaher is still not really cheap enough to own today, but it's at least at a point where investors may want to watch it more closely in case this market malaise stretches into the fall.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Danaher-Battening-Down-The-Hatches-DHR-HON-A-ABT0720.aspx

Investopedia: BB&T Still Not Getting Its Due

Shareholders in super-regional bank BB&T (NYSE:BBT) just have to accept that this bank is a bit of a black sheep in the analyst community. Although, like U.S. Bancorp (NYSE:USB), BB&T largely moved through the housing crash and credit crisis bruised but not bloodied, analysts have seemingly been waiting for the other shoe to drop. The good news, though, is that there is both value and high-quality operations here and that will eventually show itself in the market.

Please read more here:
http://stocks.investopedia.com/stock-analysis/2012/BBT-Still-Not-Getting-Its-Due-BBT-WFC-STI-PNC0720.aspx

Seeking Alpha: Stryker Looking A Little Stiff And Creaky

With relatively positive news about the orthopedics market from Biomet and Johnson & Johnson (JNJ), investors were primed to hear more of the same from Stryker (SYK). Unfortunately, Stryker disappointed with numbers that showed real share loss outside the U.S. and ongoing difficulties in the hospital capital equipment market. While Stryker remains a quality GARP name to consider in healthcare, management's credibility is increasingly on the line.

Continue here:
Stryker Looking A Little Stiff And Creaky

Seeking Alpha: Honeywell Close, But Not In The Sweet Spot

Industrial companies and stocks are clearly out of favor right now, and that's not an entirely unreasonable position - Europe continues to struggle, China and Brazil look weaker, and even the robust U.S. industrial rebound seems to be tiring. All of that bad news seem to largely be in these stocks, though, and that could make it a good time to consider shopping for diversified names like Honeywell (HON).

Click here to continue:
Honeywell Close, But Not In The Sweet Spot

Seeking Alpha: While Not Expensive, Both Halves Of Abbott Need Work

Drug, device, and nutrition conglomerate Abbott Labs (ABT) continues to oscillate just above and below the point where it looks like an interesting buy in the healthcare space. Valuation may not be too demanding, investors nevertheless have reason to pause before jumping into this name. On both sides of the soon-to-be-split business, there is real work that needs doing.

Read more here:
While Not Expensive, Both Halves Of Abbott Need Work

Investopedia: IBM - The New Model For Tech?

When I last wrote about IBM (NYSE:IBM) in mid-April 2012, I thought that for all of the quality that IBM offered, the stock was still too expensive and vulnerable to a broader tech slowdown. The stock (and tech in general) dutifully cooperated, falling about 10% over that period. While IBM is not yet cheap enough to make it a hands-down buy, it is very much worth noting that not only is IBM now the model that many tech companies seem to aspire to, but it is also executing that model better than anybody else.

Read more here: 

http://www.investopedia.com/stock-analysis/2012/IBM---The-New-Model-For-Tech-IBM-MSFT-HPQ-DELL0719.aspx#ixzz216IJvJcW

Investopedia: F5 Networks Managing The Slowdown Pretty Well

Once again, it looks like we have a summer of discontent for tech stock investors, as economic issues in Europe, the slowdown in China and the not-so-unusual summer malaise weigh on financial results and stock valuations. While networking equipment company F5 (Nasdaq:FFIV) has shown that it's not immune to these issues, the company's performance is holding up relatively well. Though not by any means a safe play or a value stock, investors ought to consider buying shares during this lull.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/F5-Networks-Managing-The-Slowdown-Pretty-Well-FFIV-CTXS-CSCO-RVBD0719.aspx

Investopedia: Enthusiasm For Bank Of America Seems A Little Strange

Say what you will about the quality of sell-side research these days, but scanning reports can at least give you a sense of how one side of the Street feels about a company. To that end, I'm a little surprised at the generally positive response to Bank of America's (NYSE:BAC) second quarter earnings. While it is true that credit and capital are slowly getting better, I see a lot of "core" issues that make me question the pace and extent of the bank's ultimate recovery.

Please continue here:
http://stocks.investopedia.com/stock-analysis/2012/Enthusiasm-For-Bank-Of-America-Seems-A-Little-Strange-BAC-C-JPM-WFC0719.aspx

Investopedia: F5 Networks Managing The Slowdown Pretty Well

Once again, it looks like we have a summer of discontent for tech stock investors, as economic issues in Europe, the slowdown in China and the not-so-unusual summer malaise weigh on financial results and stock valuations. While networking equipment company F5 (Nasdaq:FFIV) has shown that it's not immune to these issues, the company's performance is holding up relatively well. Though not by any means a safe play or a value stock, investors ought to consider buying shares during this lull.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/F5-Networks-Managing-The-Slowdown-Pretty-Well-FFIV-CTXS-CSCO-RVBD0719.aspx

Investopedia: Expectations, Not Performance, The Biggest Issue At J.B. Hunt

There's really not much a company can do when its stock takes on a popularity above and beyond rationality, as very few CEOs are going to come out and talk down their company's prospects. Nevertheless, fandom can create its own problems, and the popularity of J.B. Hunt (Nasdaq:JBHT) as an organic growth play in transportation and a great way to leverage the growth of intermodal traffic has resulted in high expectations and an arguably unsustainable valuation. Accordingly, I think there's a meaningful gap between how well the company actually performed in the second quarter and how the market has responded.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Expectations-Not-Performance-The-Biggest-Issue-At-J.B.-Hunt-JBHT-HUBG-PACR-NSC0719.aspx

Seeking Alpha: Can Stanley Black & Decker Shake Off This Sluggishness?

Given that Stanley Black & Decker (NYSE: SWK) isn't quite as exposed to a U.S. housing recovery as commonly believed, it isn't the uncertain pace there that is keeping growth down. Rather, Stanley Black & Decker is seeing broad-based sluggishness across almost all of its businesses. While further diversification into industrial fasteners makes some long-term sense and the stock's valuation is not demanding, investors will have to have some patience to see this one work out.

Please click here for more:
Can Stanley Black & Decker Shake Off This Sluggishness?

Seeking Alpha: St. Jude Medical's Weaker Guidance Presents Another Opportunity

At the risk of being accused of trying to spin straw into gold, I can't bring myself to get all that worked up about St. Jude Medical's (STJ) modest shortfall in Q2 and lower guidance for 2012. Yes, in the momentum-driven "what have you done for me lately" world of Wall Street, that's a bad thing. But my bullish thesis on St. Jude wasn't really about what the company would do in 2012, and the company's long-term opportunities still look attractive.

Please click here for the full article:
St. Jude Medical's Weaker Guidance Presents Another Opportunity

Seeking Alpha: With Qsymia Approval, The Race Is Now On

As expected, Vivus (VVUS) got FDA approval for its anti-obesity drug Qsymia (formerly known as Qnexa) on Tuesday. With both Arena Pharmaceuticals (ARNA) and Vivus beating the odds and getting the FDA go-ahead, the race is now on to disprove the skeptics (and validate the bulls) and rack up significant prescriptions and drug sales. While I do believe Vivus has the edge in this race, investors should not underestimate the challenges of launching new drugs to skeptical docs.

Please read more here:
With Qsymia Approval, The Race Is Now On

Investopedia: U.S. Bancorp Still Standing Out From The Crowd

As U.S. Bancorp (NYSE:USB) has long had a winning formula for both its banking and non-bank operations, it's no great surprise that the company continues to report very solid financials. Although its stock does not seem to offer the same upside as other names, USB looks like one of the more dependable names in the large bank universe.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/U.S.-Bancorp-Still-Standing-Out-From-The-Crowd-USB-WFC-PNC-CBSH0718.aspx

Investopedia: Can Intel Manufacture An Edge?

Companies have been lining up to tell investors how tough the PC market is these days, so there was a little bit of relief when Intel's (Nasdaq:INTC) second quarter numbers were basically on target. The issue for investors, though, is that near-term pressures in the PC market and a relatively unimpressive valuation could well weigh on shares even as the company has an improving long-term outlook.

Click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Can-Intel-Manufacture-An-Edge-INTC-AMD-STX-MSFT0718.aspx

Investopedia: CSX In Solid Shape Despite Weak Coal

Given how often data is reported about the railroad industry, there aren't too many secrets or surprises in the industry. In the case of CSX (NYSE:CSX), for instance, pretty much everybody knew going in that coal numbers were going to look pretty bad, but that other categories like automobiles and intermodal would help the overall numbers. Even with the operational challenges created by lower coal traffic, CSX is doing a good job of improving its operating performance.

Please read more here:
http://stocks.investopedia.com/stock-analysis/2012/CSX-In-Solid-Shape-Despite-Weak-Coal-CSX-UNP-NSC-JBHT0718.aspx

Investopedia: Packaging Corp Continues To Play A Solid Hand

Containerboard and corrugated packaging is admittedly not the most exciting of market sectors, and it is most definitely a commodity market. But not all commodities are quite the same, and Packaging Corp (NYSE:PKG) has built a solid defensible niche by running low-cost mills and focusing on specialty products and regional customers that companies like International Paper (NYSE:IP) and Rock-Tenn (NYSE:RKT) do not. While Packaging Corp (aka "PCA") is rightly well-respected within the industry for its patient, conservative approach, it's worth wondering if there's enough growth here to really appeal to investors.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Packaging-Corp-Continues-To-Play-A-Solid-Hand-PKG-IP-RKT-KS0718.aspx

Investopedia: Will Margins Take Some Fizz From Coca-Cola?

Although many packaged food companies have struggled to maintain their volumes while passing through higher input prices, Coca-Cola (NYSE:KO) isn't like most companies. Although ongoing margin compression merits some attention, it's hard to imagine that long-term holders are going to get too worked up about it. Coca-Cola remains what it has long been - a top-quality company with a price to match.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Will-Margins-Take-Some-Fizz-From-Coca-Cola-KO-PEP-DPS-COT0718.aspx

Investopedia: Rumors Roil VMware

Virtualization leader VMware (NYSE:VMW) has been an exceptional stock for the past three years and the business has grown nicely on the back of server virtualization, system virtualization and management tools. Sometimes, though, I wonder if investors overlook a key part of the VMware story - namely, that EMC (NYSE:EMC) owns 80% or so of the business and can largely do as it pleases with it.

That is coming home to roost with a vengeance on Tuesday, as rumors have spread widely that EMC is replacing VMware's CEO. While these reports have not been confirmed as of this writing, such a change would be a considerable shake-up for investors and would certainly introduce new risk into the business.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/Rumors-Roil-VMware-VMW-EMC-MSFT-CTXS0718.aspx

Seeking Alpha: Plenty Of Analysts Scared To Go Into Forest Labs

"If you go out in the woods today,
You'd better not go alone.
It's lovely out in the woods today,
But safer to stay at home. " Teddy Bear's Picnic, J.Kennedy

It's hard to find a healthcare stock where there is such a wide divergence of opinion and range of possible outcomes as with Forest Labs (FRX). Despite an exemplary record of free cash flow production and sales execution, many analysts still cannot find the will to believe that the company can reload after the loss of Lexapro and resume a growth trajectory. While there are in fact good reasons to wonder about the future growth of the company, this is a story where the courageous could come out with sizable capital gains.

Please follow this link for the full article:
Plenty Of Analysts Scared To Go Into Forest Labs

Seeking Alpha: Mind The Margins And Devices, But Johnson & Johnson Looks Alright

With the Synthes merger in hand, a new CEO in charge, and a rejuvenated pharmaceutical business, Johnson & Johnson (JNJ) is perhaps in the best shape it has been in in quite some time. By no means is this a flawless story, particularly as the device business seems to need some real work, but it looks as if the company has more going for it than against it at this point.

Please read more here:
Mind The Margins And Devices, But Johnson & Johnson Looks Alright

Seeking Alpha: TPG's Bid For Par Reflects More Difficult Generic Environment

While the seemingly endless M&A process among generic drug companies means that the acquisition of Par Pharmaceuticals (PRX) isn't a complete surprise, it's an interesting deal all the same. Not only does this deal point to the cost of not having a truly global business, but it also seems to speak to the extent to which this sector could see pipeline-driven valuation worries in the coming years.

Please click here for more:
TPG's Bid For Par Reflects More Difficult Generic Environment

Seeking Alpha: ICU Medical's Growth Needs Some Intensive Care

ICU Medical (ICUI) is a company likely to toil in near-obscurity for the foreseeable future. The company does most of what it does exceptionally well, but it strikes many as a dull business. While that doesn't seem to be a problem at companies like Bard (BCR) or Becton Dickinson (BDX), ICU Medical is relatively illiquid, under-followed, and still fairly volatile when it comes to earnings performance. All of that said, this is still a company that belongs on the watchlists of value-oriented med-tech investors.

Click here for more:
ICU Medical's Growth Needs Some Intensive Care

Investopedia: Yahoo Makes A Bold Move Bringing In New Leadership

It was no secret that Yahoo! (Nasdaq:YHOO) was looking for a new CEO, but much of the news in recent weeks has centered around who didn't want the job. Consequently, sentiment was building that the one-time Internet pioneer was going to keep interim CEO Levinsohn and remove the "interim" from his title. However, Yahoo! wouldn't be Yahoo! without throwing a curveball, and the company threw what looks like a doozy - hiring Marissa Mayer from Google (Nasdaq:GOOG).

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Yahoo-Makes-A-Bold-Move-Bringing-In-New-Leadership-YHOO-GOOG-YELP-FB0717.aspx

Investopedia: Bank Of The Ozarks Hitting The Accelerator In A Low-Growth Environment

I am big fan of Bank of the Ozarks (Nasdaq:OZRK), so it bothers me that I can't find much value in these shares. Moreover, while I believe this company's aggressive growth strategy could underpin its evolution into a significant regional bank, I do worry that the bank is doing too much too soon. While it certainly makes sense to grow aggressively while many larger competitors have a hand tied behind their back, aggressive growth stories in banking have a disturbing habit of going sour at some point.

Challenges Seem to Be Intensifying
While there are certainly regional differences in business conditions in the U.S., the fact remains that Bank of the Ozarks operates in the same low-rate/narrow spread environment as First Horizon (NYSE:FHN), Cullen/Frost (NYSE:CFR), and Regions Financial (NYSE:RF). To wit, it's a lot harder to make a buck in regular old banking.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/Bank-Of-The-Ozarks-Hitting-Accelerator-In-A-Low-Growth-Environment-OZRK-RF-FHN-CFR0717.aspx

Investopedia: Commerce Bancshares Looks Like A Slow-And-Steady Pick

This arguably isn't the sort of market that really favors a stock like Commerce Bancshares (Nasdaq:CBSH). While the Midwest wasn't hit as hard in the housing crunch, it isn't a sexy market like the Southeast or Texas. What's more, with the generally conservative habits of Commerce Bancshares leadership, this stock is more likely to accrete value slowly (but dependably) rather than make flashy moves.

Please follow this link for more:
http://stocks.investopedia.com/stock-analysis/2012/Commerce-Bancshares-Looks-Like-A-Slow-And-Steady-Pick-CBSH-USB-BAC-BMO0717.aspx

Investopedia: Wells Fargo Doing Well, But How Long Will "Better" Take?

Wells Fargo (NYSE:WFC) deserves credit for the extent to which it has cleaned up its messes from the housing crash. Not only does Wells Fargo enjoy a pretty attractive risk exposure, but the company has multiple avenues for future growth. The question for investors is how quickly those avenues can lead to actual increased returns.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/Wells-Fargo-Doing-Well-But-How-Long-Will-Better-Take-WFC-USB-PNC-JPM0717.aspx

Investopedia: Bull Vs. Bear - Netflix Can Rise Back To $100

Question: Can Netflix Hit $100 Again?
Bull's Response
It's been a wild ride for Netflix (Nasdaq:NFLX). Once a darling of the "growth at any cost" crowd, Netflix stock enjoyed a rocket ride from late 2008 to mid-2011 that took it over $300 a share. Then came the "Apocaflix" strategic shift/marketing nightmare that not only confused and alienated customers, but dramatically dented investor and analyst confidence in the story. So now the question before is whether Netflix can hit $100 again. For those of you also considering this question, here's what I believe to be the main arguments for a bull case for Netflix reaching that level again.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Bull-Vs.-Bear-Netflix-Can-Rise-Back-To-100-NFLX-AAPL-AMZN-GE0717.aspx

Investopedia: Citigroup Stays On Track

Citigroup's (NYSE:C) problems were never the sort that were going to allow a quick fix, and some of the risk in the stock has centered around the company being too aggressive in trying to compensate for past mistakes. While a slowdown in many overseas markets is a definite risk factor to the near-term growth outlook, Citi seems to be sticking to a multi-year recovery strategy and it looks like the bank will be in decent shape in two or three years' time.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Citigroup-Stays-On-Track-C-USB-WFC-BAC0716.aspx

Seeking Alpha: AngioDynamics Still A "Hurry Up And Wait" Story

Small-cap med-tech stock AngioDynamics (ANGO) continues to offer the sort of patience-testing value opportunity that drives many investors away in frustration. That said, a rebound in the company's laser-based varicose vein treatment and synergies from the Navilyst deal do give patient investors a little encouragement for the short-term.

Please click here for more:
AngioDynamics Still A "Hurry Up And Wait" Story

Seeking Alpha: Will Alnylam Raise Money Soon?

There's an old adage in biotech that says you raise money when you can, regardless of whether you really need it at the moment. With very strong early-stage data in hand on lead compound ALN-TTR02, Alnylam Pharmaceuticals (ALNY) may well be considering whether it is time to raise money again.

Please read more here:
Will Alnylam Raise Money Soon?

Seeking Alpha: Glaxo And Human Genome Have Apparently Seen Reason

If word from usually reliable Bloomberg is to be believed, the managements of GlaxoSmithKline (GSK) and Human Genome Sciences (HGSI) have seen reason and reached an agreement on a friendly transaction. While this deal is an unconfirmed rumor at the time of this writing, Glaxo has supposedly upped its offer by a little less than 10%, to $14 per share or $2.8 billion in cash.

Please read more here:
Glaxo And Human Genome Have Apparently Seen Reason

Investopedia: Where Does A Bruised JPMorgan Go From Here?

Reputation is a delicate thing, and in less than one quarter JP Morgan (NYSE:JPM) has lost much of the luster it built during the credit crisis. While management has apparently acted quickly to mitigate the damage of a large bad trade, the slow pace of recovery in its core banking business makes it harder to take up the slack. Although investors can certainly find value in JP Morgan at current prices, risks remain from scandals like the LIBOR rigging and a potential worsening of credit conditions if the economy slows significantly

Please read the full article:
http://stocks.investopedia.com/stock-analysis/2012/Where-Does-A-Bruised-JP-Morgan-Go-From-Here-JPM-C-USB-COF0716.aspx

Investopedia: The Week Ahead In Healthcare

With earnings season kicking into high gear, the week of July 16 to July 20 promises a little more action for investors. Although healthcare earnings reports don't tend to spur the same sort of volatile trading action as tech earnings, investors will be keenly interested in what major companies like Johnson & Johnson (NYSE:JNJ), Stryker (NYSE:SYK) and St. Jude (NYSE:STJ) have to say about volume and pricing trends in healthcare.

Please read more here:
http://stocks.investopedia.com/stock-analysis/2012/The-Week-Ahead-In-Healthcare-ALNY-JNJ-SYK-FRX0716.aspx

Second Quarter Performance

I thought I had posted this the weekend after the end of the second quarter, but either I messed up or there was some issue with Blogspot. In any case, I'm re-posting it here.

The slowdown in industrials did me no favors, nor did the issues in Brazil or at JPMorgan (NYSE: JPM). That said, it could have been a lot worse. I have a fair bit of dry powder now, and I'm looking to get more active after second quarter earnings. 


Q2'12 Performance
Portfolio A - (5.0%)
Portfolio B - (0.1%)
Combined Portfolios - (3.2%)

S&P 500 - (3.3%)
Nasdaq -  (5.1%)
Russell 3000 - (3.7%)

YTD Performance
Portfolio A - +11.0%
Portfolio B - +15.1%
Combined Portfolios - +12.5%

S&P 500 - +8.3%
Nasdaq - +12.7%
Russell 3000 - +8.2%

Disclosure: I own shares of JPMorgan

Investopedia: Rebound In Eurozone Industrial Production Doesn't Seem To Matter

One of the signs of a bear market is when there is little or no reaction to what would ordinarily be good news. Although Eurozone industrial production rose a better-than-expected 0.6% in May, European stock markets continue to sell-off on Thursday in the ongoing global equity sell-off. While good news is good news, this may be an example where investors would do well to listen to the companies and ignore the government officials and analysts.

Please follow this link for more:
http://stocks.investopedia.com/stock-analysis/2012/Rebound-In-Eurozone-Industrial-Production-Doesnt-Seem-To-Matter-SI-CMI-MT-CAT0713.aspx

Investopedia: SuperValu May Be Too Far Gone To Save

Food retailing has never been an easy business, particularly since large discounters like Walmart (NYSE:WMT) and Target (NYSE:TGT) got into the game in a big way. While there has been room for companies with differentiated models (often built around premium products or intense merchandising skill), SuperValu (NYSE:SVU) has been struggling to differentiate itself and compete effectively in the mainline supermarket space. With this major earnings disappointment in hand, it's worth asking if even deep-value turnaround investors ought to bother with this name.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/SuperValu-May-Be-Too-Far-Gone-To-Save-SVU-WMT-KR-FDO0713.aspx

Investopedia: Adtran And Its Peers Are Back To "Show Me" Status

I'll often get emails from readers that ask me "if you think this stock is cheap, why don't you own it?" Adtran (Nasdaq:ADTN) is a great example of why I often wait to pull the trigger - while I do like the company's management and I think there's potential for the business to grow, no single boat can fight the tide and I'd rather wait to see signs of stabilization (or recovery) in the carrier spending market before stepping up with my own money.

Please follow this link to continue:
http://stocks.investopedia.com/stock-analysis/2012/Adtran-And-Its-Peers-Are-Back-To-Show-Me-Status-ADTN-CTL-APKT-CALX0712.aspx

Investopedia: Hi-Tech Pharmacal An Under-Followed Name Worth Following

Due to the seemingly insatiable appetites of companies like Teva (NYSE:TEVA), Mylan (Nasdaq:MYL) and Watson (NYSE:WPI), there aren't nearly as many independent publicly-traded generic drug companies as there used to be. While scarcity value alone is not a good argument for considering Hi-Tech Pharmacal (Nasdaq:HITK), this company's focus on higher-barrier products and over-the-counter (OTC) cold and cough business, coupled with little sell-side support, could make it a potential hidden gem at some point.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Hi-Tech-Pharmacal-An-Under-Followed-Name-Worth-Following-HITK-PRX-TEVA-WCRX0712.aspx

Seeking Alpha: Fastenal - Plenty To Love Outside The Valuation

Sentiment has very definitely turned on the American industrial economy, and investors have been fleeing the stocks of industrial distributors and supplies like Fastenal (FAST), MSC Industrial (MSM), and Grainger (GWW). Fastenal once again delivered a good quarter of growth in an absolute sense, but the high valuation and competitive threats make this a less perfect stock.

A Sigh Of Relief After Q2
With the reported monthly sales figures at Fastenal and Grainger showing declining growth (but still double-digit growth in the case of Fastenal), analysts have been paring back their estimates here for a couple of months. Consequently, the company's basically in-line performance and the steady tone of management on the call seems to be giving investors some relief.

Please click here to continue:
Fastenal - Plenty To Love Outside The Valuation

Financial Edge: Jobs That Can't Be Outsourced

There's little question that outsourcing has had a significant impact on the U.S. economy. Outsourcing customer service and support jobs to countries like India has become so common that it's become an advertising campaign topic for companies that want to stand out for their better (and presumably not outsourced) services. However, with companies seeing savings of 50% or more for outsourced positions, it's clearly tempting for those companies under never-ending pressure to either match low-price competitors or shore up their own operating margins.

Read more here:
http://www.investopedia.com/financial-edge/0612/Jobs-That-Cant-Be-Outsourced.aspx#axzz20AZba2Fe

Investopedia: A Small Miss Means Little for The Long Term At Wolverine

Starting around September of this year, the next couple of years at Wolverine (NYSE:WWW) could be very interesting. The billion dollar-plus acquisition of Collective Brands' (NYSE:PSS) Performance and Lifestyle Group holds the promise of transforming the company from a high-return/low-growth cash-farmer into a company that produces both robust returns and solid growth. Against that backdrop, a two-cent miss in quarterly earnings just doesn't seem like a big deal and this looks like a stock that could still be an attractive buy today.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/A-Small-Miss-Means-Little-For-The-Long-Term-At-Wolverine-WWW-PSS-VFC-NKE0711.aspx

Investopedia: Regulation Likely To Always Weigh On Shaw

It's hard to maintain a lot of enthusiasm for engineering and construction (E&C) companies like Shaw Group (NYSE:SHAW). By their very nature, large projects take a long time to design, permit and execute, and there is enough competition in the industry to prevent anyone from making especially attractive economic returns for a long time. That said, I do not believe Shaw's valuation reflects the steps that the company has taken to reduce the risk of its operations, nor the long-term realities of electricity demand.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Regulation-Likely-To-Always-Weigh-On-Shaw-SHAW-JEC-FLR-KBR0711.aspx

Investopedia: hhgregg's Struggles Suggest Best Buy Could Be In Big Trouble

For all of the debate and discussion about what ails Best Buy (NYSE:BBY) and whether this large electronics and appliance retailer has a future, it's worth observing that times are just as bad (if not worse) at hhgregg (NYSE:HGG). While investors shouldn't draw straight lines between the two companies (hhgregg is much more focused on appliances and TVs), the fact remains that consumers are holding back on big-ticket spending and this does not bode well for the retailers.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/hhgreggs-Struggles-Suggest-Best-Buy-Could-Be-In-Big-Trouble-HGG-BBY-LOW-HD0711.aspx

Investopedia: Is Moore's Law Fueling Intel's Investment in ASML?

Maybe the corporate world's never-ending capacity to surprise is what has kept me so interested in the equity markets for over 20 years. In the latest example, Intel (Nasdaq:INTC), a company famous for playing suppliers off each other and encouraging/supporting small up-and-comers, is taking a significant stake in lithography equipment maker ASML (Nasdaq:ASML) and agreeing to help fund the company's R&D efforts. While this is an unusual deal in many respects, it seems to acknowledge (if not cement) ASML's market leadership, as well as the challenges of continuing to push the leading edge of chip development.

Please click here to continue:
http://stocks.investopedia.com/stock-analysis/2012/Is-Moores-Law-Fueling-Intels-Investment-In-ASML-INTC-ASML-TSM-CAJ0711.aspx

Investopedia: Familiar Problems Stalk Alcoa

Another quarter has rolled by, but precious little has changed for giant aluminum company Alcoa (NYSE:AA). The company's growth and cost initiatives continue to deliver real (and positive) results in the downstream business, but there's little they can do to navigate around the difficult operating environment for its upstream businesses. And once again, the shares look pretty cheap on most metrics, but investors could be looking at dead money here. Investopedia Broker Guides: Enhance your trading with the tools from today's top online brokers.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Familiar-Problems-Stalk-Alcoa-AA-NOR-CENX-RIO0711.aspx

Seeking Alpha: Cummins - If The Good Are Struggling, Where Does That Leave The Rest?

A strong second half is looking less and less likely for the industrial sector. Class 8 truck orders have been declining, Europe is not getting better, and emerging markets continue to weaken. Now we have Cummins (CMI) warning that management no longer expects 2012 revenue to grow from 2011 levels.

While I have expressed some reservations in the past about Cummins' valuation and the risk of engine market share loss to internal programs, I have never questioned the quality of the business, or its status as a leader. So then, if Cummins is now of the opinion that there will be no revenue growth this year, where does that leave truck manufacturers and other heavy equipment producers?

Please click here for more:
Cummins - If The Good Are Struggling, Where Does That Leave The Rest?

Seeking Alpha: Komatsu Confirms The Smoke, But Declines To Fire

For over a year, investors have been buzzing over the idea that Japanese heavy machinery giant Komatsu (KMTUY.PK) would be interested in acquiring mining equipment manufacturer Joy Global (JOY) and basically matching Caterpillar's (CAT) move to into mining equipment. While the combination would make a certain amount of sense, Komatsu would seem to have laid the rumors to rest in an interview with Bloomberg.

Follow this link for the full piece:
Komatsu Confirms The Smoke, But Declines To Fire

Seeking Alpha: Keeping The Faith On BioMimetic Therapeutics

It hasn't been easy to stay bullish on BioMimetic Therapeutics (BMTI), as the stock has stagnated while the company worked to resubmit its PMA for its Augment bone graft product. What's more, news about under-reported side-effects and over-promised for Medtronic's (MDT) Infuse BMP-2 protein has not led doctors nor analysts to have especially warm and fuzzy feelings about the orthobiologics space. All of that said, there remains a real medical need for this product, and the efficacy data on Augment is such that I believe there is a legitimate bull case to be made on BioMimetic.

Please continue reading here:
Keeping The Faith On BioMimetic Therapeutics

Seeking Alpha: MAKO's Blood Is In The Water

When I wrote on MAKO Surgical (MAKO) in the wake of disappointing first quarter results, I mentioned an old wives tale that says med-tech companies miss in threes. Based on management's warning that second quarter results would come up short of lowered expectation, it looks we may have one more yet to go.

Read more here:
MAKO's Blood Is In The Water

Investopedia: Helen Of Troy Needs To Find Margin Leverage

Helen Of Troy (Nasdaq:HELE) is a classic second-chance stock. Between management's aggressive M&A philosophy and the ups and downs of the value-priced home and personal care market, these shares are surprisingly volatile for a company that markets shampoo, deodorant, garlic presses and the like.

I do like the relative scarcity value of this company, not to mention the leverage potential of acquiring neglected brands and pushing them through a surprisingly strong retail distribution network. Accordingly, while these shares are not a screaming bargain today, they are starting to look interesting for more risk-tolerant investors.

Read the full article here:
http://stocks.investopedia.com/stock-analysis/2012/Helen-Of-Troy-Needs-To-Find-Margin-Leverage-HELE-PG-UL-CLX0710.aspx

Investopedia: Duke Energy Has Made Utilities Interesting Again, For All The Wrong Reasons

Internal corporate politics are often confusing, if not incomprehensible, to outsiders, but sometimes a corporation goes above and beyond the call of duty in creating a "what the ... ?" moment for analysts and investors to ponder. Enter Duke Energy (NYSE:DUK) and what appears to be a scandal-in-the-making regarding its sudden CEO change in the wake of the closing of its acquisition of Progress Energy.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Duke-Energy-Has-Made-Utilities-Interesting-Again-For-All-The-Wrong-Reasons-DUK-AEP-EIX-SO0710.aspx

Investopedia: June's Rail Traffic A Bit Of History Repeated

Rail traffic data, as reported by the Association of American Railroads' "Rail Time Indicators," continues to show sluggish, but still very real growth in the industrial economy of the United States. Conditions are not great, as weaker coal and grain demand continue to impact total volume, but they are at least supportive of a cautious optimism on the overall U.S. economy.

Click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Junes-Rail-Traffic-A-Bit-Of-History-Repeated-UNP-RAIL-GBX-KSU0710.aspx

Investopedia: The Amazon Smartphone Rumor Just Won't Die

Clearly Amazon (Nasdaq:AMZN) has ambitions that go beyond being the leading e-commerce platform. Not only has the company gotten in the cloud services game, but the company's Kindle has shown itself to be a legitimate tablet competitor to Apple (Nasdaq:AAPL) and Samsung. Now it seems that buzz is building again that the company is about to launch its own smartphone.

Please continue here:
http://stocks.investopedia.com/stock-analysis/2012/The-Amazon-Smartphone-Rumor-Just-Wont-Die-AMZN-AAPL-GOOG-MSFT0710.aspx

Investopedia: WellPoint Buys More Medicaid Exposure

Funny how a Supreme Court ruling can change strategic priorities. Not all that long after management stated that it had no plans to expand its Medicaid business, WellPoint (NYSE:WLP) announced Monday that it was acquiring Medicaid managed care company Amerigroup (NYSE:AGP) in a nearly $5 billion deal. Not only does this deal look as though it can be very accretive over time (even with a 43% premium), but it arguably represents a best-of-breed buyout in a sector that could soon see more activity.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/WellPoint-Buys-More-Medicaid-Exposure-WLP-AGP-MOH-CNC0709.aspx

Investopedia: Bull Vs. Bear - Major Automakers Face A Tough Future

Question: Are automakers a smart investment right now?

Bear's Response
The auto industry has certainly enjoyed a meaningful recovery from the worst of The Great Recession, when both General Motors and Chrysler declared bankruptcy and Ford (NYSE:F) came under serious stress. It wasn't just an American phenomenon either - even mighty automakers such as Toyota (NYSE:TM), Nissan (OTC:NSANY) and Honda (NYSE:HMC) saw major declines in sales and profitability, and a host of European carmakers saw substantial stress.

While auto sales for the major automakers may be better than its lowest levels, that doesn't mean that major automakers represent great investments today. Not only are these companies facing a challenging demand environment, but production costs are increasing and this industry has a decidedly mediocre history of financial performance.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Bull-Vs.-Bear-Major-Automakers-Face-A-Tough-Future--F-TM-NSANY-HMC0709.aspx

Seeking Alpha: How Did It All Go So Wrong For Patriot Coal?

I imagine a few investors are feeling pretty confused now, with news that Patriot Coal (PCX) has declared bankruptcy. So how is that a company whose assets ought to hold hundreds of millions of dollars worth of net value is going the route of bankruptcy?

Cue The Outrage
It is a pretty safe bet that we'll all hear from the anti-Obama contingent before long, and not without some reason. Notions like "Obama is trying to kill private enterprise" is garbage better suited to talk radio, but the fact remains that the Obama administration has made it meaningfully more difficult to be in the coal business. Whether it's OSHA regulations that cover underground mine operators like Patriot, Arch Coal (ACI), or Alpha Natural Resources (ANR), or EPA regulations that make it more expensive to burn coal for electricity generation, it's not easy to be in the Appalachian coal business (and not all that much better to be in Powder River Basin).

Please click here to read more:
How Did It All Go So Wrong For Patriot Coal?

Seeking Alpha: Alnylam Far From Primetime, But Still An Intriguing Prospect

Here at the midpoint, 2012 is looking like a strong year for biotech and some risky names have done quite well. Although not coming close to the gains seen in Arena Pharmaceuticals (ARNA), Amylin Pharmaceuticals (AMLN), or Lexicon Pharmaceuticals (LXRX), RNA interference specialist Alnylam Pharmaceuticals (ALNY) has come on strong with encouraging early-stage data and a greater risk tolerance on the part of investors.

All of the standard warnings apply to Alnylam, as the company is indeed many years from potential product approvals and none of the company's programs are in advanced trials. Upping the risk even more is the fact that RNA interference is still an unproven approach and many Big Pharma companies appear to have backed away from the technology. All that said, this company has a broad clinical program, numerous high-value targets, deep IP, and a healthy balance sheet.

Read the full article here:
Alnylam Far From Primetime, But Still An Intriguing Prospect

Investopedia: The Week Ahead In Healthcare

For better or worse, late June through mid-July tends to be a period where very little of note happens. There are no major medical conferences during this period, the FDA seems to avoid scheduling PDUFA dates during this time period, and there are no significant earnings on the calendar. With analysts and managers using the time to take rare vacations (or not-so-rare excursions to the golf course), stocks tend to drift and investors can likely expect the same for the week ending July 13.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/The-Week-Ahead-In-Healthcare-VVUS-GSK-JNJ-XLV0706.aspx

Investopedia: Navistar Changes Gear With Its Engine Program

It looks like truck and engine manufacturer Navistar (NYSE:NAV) has finally bowed to the inevitable and is changing up its engine technology. While the company's press release reads as though this is a big leap forward, the reality is that management has struggled mightily with its existing advanced exhaust gas recirculation (EGR) technology and had little choice but to abandon an all-EGR approach in favor of urea-based after treatment. Although this switch is a necessary step for the company, it remains to be seen how much implementing this new approach (and getting EPA certification) is going to cost.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/Navistar-Changes-Gear-With-Its-Engine-Program-NAV-CMI-CAT-DE0706.aspx

Investopedia: Early Returns From Tech Not Looking Good

'Tis the season for companies to issue warnings that calendar second quarter earnings are not going to be up to snuff. With investors already jittery about the outlook for tech stocks, July 5, 2012's warnings from Seagate (Nasdaq:STX) and Informatica (Nasdaq:INFA) are not going to the sector any favors.

Seagate - Yes, It's Still a Cyclical Business
As the hard drive company least damaged by the Thai floods, Seagate has been on something of a roll with its operations. That roll has now noticeably slowed. Whereas the company had once guided to "at least $5 billion" in revenue and gross margin of 34.5%, management warned that actual revenue for the quarter will be more on the order of $4.5 billion, while gross margin will be closer to 33.6%. If there's good news here, it's that analysts were already getting more skeptical and cautious, and had been lowering their numbers. Consequently, the announced miss adds up to less than 10% on the top line and about one point on the gross margin line.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/Early-Returns-From-Tech-Not-Looking-Good-STX-INFA-WDC-IBM0706.aspx

Investopedia: Will Hot Dry Weather Shrivel These Sectors?

Much has been made of the near-record corn planting this year in the U.S., and this activity has certainly been a boon to Monsanto (NYSE:MON) and presumably DuPont's (NYSE:DD) Pioneer business as well. With this high level of planting activity, analysts had assumed a bumper crop and easing input cost pressures on the food sector. Unfortunately, planting is about the only part of the process that farmers can control and hot, dry weather is starting to sap the corn crop. Not only is this becoming a worrying scenario for farmers, but also for a host of companies and industries that need a healthy corn crop for their own prosperity.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/Will-Hot-Dry-Weather-Shrivel-These-Sectors-CORN-MON-POT-TSN0705.aspx

Investopedia: Microsoft Recognizes A Multi-Billion Dollar Error

Relative to companies like Oracle (Nasdaq:ORCL) and IBM (NYSE:IBM), Microsoft (Nasdaq:MSFT) is perhaps not as acquisitive as investors might expect for a company of its size. Coupled with top-line growth that is not exactly robust, it would seem to set up the question as to why Microsoft isn't more active. Perhaps the announcement of a $6 billion goodwill writedown in the Online Services business goes some way toward explaining it.

Please follow this link to read more:
http://stocks.investopedia.com/stock-analysis/2012/Microsoft-Recognizes-A-Multi-Billion-Dollar-Error-MSFT-GOOG-IBM-ORCL0704.aspx

Investopedia: Bid Rigging Costs Barclays Its Diamond

As news continues to unfold regarding the scale and depth of the LIBOR manipulation scandal, politicians are starting to hunt for scalps. The now-former CEO of British bank Barclays (NYSE:BCS) has chosen to cooperate, as Bob Diamond has resigned his position. It remains to see just how far this scandal will reach, and whether or not Diamond will be the only major CEO to lose his job over bad behavior that is increasingly looking like an industry phenomenon.

Please click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Bid-Rigging-Costs-Barclays-Its-Diamond-BCS-RBS-HSB-LYG0704.aspx

Investopedia: Do Nike's Earnings Have Broader Meaning On China?

Nike (NYSE:NKE) is often as near as what comes to a bulletproof stock - the company's brand is known all over the world, management runs the company with high efficiency and results are generally reasonably predictable. Occasionally, a little gap in the armor appears and patient investors have an opportunity to buy shares at a reasonable price. Nowadays it looks like Nike's "China problem" may be just such a gap.

Click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Do-Nikes-Earnings-Have-Broader-Meaning-On-China-NKE-UA-KO-YUM0704.aspx

Investopedia: Lincare Shows That You Can Go Home Again

If I had to guess the sort of healthcare company that would get a premium acquisition offer, Lincare (Nasdaq:LNCR) would be low on my list, as relatively few buyers would want to pay a premium to get into a business that is beset by constant reimbursement pressures. But, as the old saying goes, you only need one buyer to make a deal and Lincare found that one.

In a deal that reverses a spin-out from nearly 25 years ago, German industrial gases company Linde will be acquiring Lincare for $4.6 billion in total considerations. That works out to $41.50 per share for Lincare's shareholders; a 22% premium to Friday's closing price (which had been moving up on takeover rumors) and a whopping 67% premium to the stock's three-month average price.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Lincare-Shows-That-You-Can-Go-Home-Again-LNCR-APD-PX-AMED0704.aspx

Investopedia: According To Siemens, An Industrial Rebound May Not Be Around The Corner

For the first half of 2012, most large industrial companies repeated a similar refrain - first half results were weak due to problems in Europe and China, but the second half would be better. If recent comments from Siemens' (NYSE:SI) CFO are broadly applicable, though, that rebound may not materialize as hoped.

Siemens Finding Its Targets Harder to Hit
Siemens has been one of the more relatively conservative industrial conglomerates for a little while now, as CFO Joe Kaeser started the year off by telling the Wall Street Journal that full-year guidance was going to be "ambitious." Mr. Kaeser recently updated these views, suggesting that the company's financial targets for the second half were getting even harder to reach.

Read more here:
http://stocks.investopedia.com/stock-analysis/2012/According-To-Siemens-An-Industrial-Rebound-May-Not-Be-Around-The-Corner-SI-ABB-GE-EMR0703.aspx

Investopedia: Monsanto Has Bloomed, But Summer Won't Last Forever

To be clear right from the start, I am a fan (and owner) of Monsanto (NYSE:MON). I think it is a fantastic (albeit flawed) company that has a major role to play in feeding the world against a backdrop of increasing pressures on land and water. I also know it's extremely controversial, and that saying anything favorable about Monsanto or the genetically enhanced seeds that it sells (alongside others like DuPont (NYSE:DD) and Syngenta (NYSE:SYT)) is a virtual guarantee for generating emails from those who want to "educate" me on how it's an evil company that will doom us all.

Setting aside the emotional aspects of it, Monsanto is not the sterling stock idea it once was. Business is going gangbusters today, and investors have pushed up the valuation along the way. While I do believe the long-term outlook for Monsanto is excellent, investors looking to commit new money today do need to be disciplined about the price that they pay.

Continue here:
http://stocks.investopedia.com/stock-analysis/2012/Monsanto-Has-Bloomed-But-Summer-Wont-Last-Forever-MON-DD-SYT-DOW0703.aspx

Investopedia: Paychex Still In A Low Gear

A muddle-through economy and a legacy of high valuation continues to weigh on shares of small business payroll and human resource (HR) service provider Paychex (Nasdaq:PAYX). While the large amount of sell-side skepticism on this stock might appeal to investors with a contrarian streak, the lack of growth and momentum are legitimate concerns. Paychex's above-average yield and strong potential for dividend growth makes it a worthwhile hold, but it's hard to get excited about this combination of growth and valuation today.

Please read more here:
http://stocks.investopedia.com/stock-analysis/2012/Paychex-Still-In-A-Low-Gear-PAYX-ADP-IBM-ACN0703.aspx

Investopedia: Healthcare Outlook For The Week Ahead

With the Fourth of July holiday coming smack in the middle of the week, this week is likely to be light on news and investable events for investors. Trading volumes will likely be thin, and there are no scheduled announcements of any significance.

Will Glaxo up Its Bid? 
GlaxoSmithKline (NYSE:GSK) ended last week by extending its tender offer to acquire Human Genome Sciences (Nasdaq:HGSI), but has not increased its bid beyond the original $13 per share. With Human Genome shares trading just above $13, it seems that investors have only modest confidence that a higher bid will come, though RBC's Michael Yee recently published a note suggesting that a higher bid (of $15 per share) could be on the way.

Continue reading here:
http://stocks.investopedia.com/stock-analysis/2012/Healthcare-Outlook-For-The-Week-Ahead-HGSI-GSK-HCA-TEVA0703.aspx

Seeking Alpha: Dells Wins Quest; Now For The Hard Part

Patience has apparently prevailed for Quest Software (QSFT) shareholders, as Dell (DELL) has publicly announced a deal to acquire the enterprise software company for $28 per share in cash. While Dell has long been rumored as the lead suitor for the company (apart from original bidder Insight Venture Partners), this is the first public acknowledgment from Dell.

Click here for more:
Dells Wins Quest; Now For The Hard Part

Seeking Alpha: Amylin Bows Out Gracefully

The long drama around the Amylin Pharmaceuticals (AMLN) looks like it has reached its end - Bristol-Myers Squibb (BMY) announced the acquisition of Amylin late Friday night in a deal that will pay Amylin shareholders $31 per share in cash. While some sources have reported the size of the deal as $5.3 billion, it's actually larger than that (about $7 billion) as Bristol-Myers will also be taking on over half a billion in Amylin debt and over $1 billion in financial obligations to Lilly (LLY).

Bristol-Myers is also bringing a partner into this deal. While it technically won't take place until the Bristol-Amylin merger closes, AstraZeneca (AZN) will be buying in as part of the existing diabetes drug partnership between the two companies. For $3.4 billion, AstraZeneca will be getting a 50% interest in Amylin's products and the option to chip in another $135 million for the right to equal say in the management and strategic planning of the collaboration.

Read more here:
Amylin Bows Out Gracefully