Among the companies with shares expected to actively trade in Wednesday’s session are Caterpillar Inc.(CAT), Boeing Co.(BA) and Motorola Solutions Inc.(MSI)
Caterpillar’s third-quarter earnings fell 44% as the maker of mining and construction equipment said weak demand for mining equipment continued to weigh on results. Results missed expectations, and the world’s largest seller of bulldozers, excavators and wheel loaders lowered its full-year guidance, sending shares down 5% to $84.74 premarket.
Boeing’s third-quarter earnings rose 12% as strength in its commercial aircraft business offset weaker profits at its defense division. The company raised its per-share earnings estimate for the year as results beat views. Shares edged up 2.8% to $125.90 premarket.
Top Rising Stocks To Buy For 2016: Asbury Automotive Group Inc (ABG)
Asbury Automotive Group, Inc. (Asbury), incorporated on February 15, 2002, is an automotive retailers in the United States. As of December 31, 2011, the Company operated 99 franchises (79 dealership locations). It offers a range of automotive products and services, including new and used vehicles; vehicle maintenance; replacement parts and collision repair services; new and used vehicle financing, and aftermarket products, such as insurance, warranty and service contracts. As of December 31, 2011, it offered 30 domestic and foreign brands of new vehicles. Its brand mix is weighted 84% towards luxury and mid-line import brands, with the remaining 16% consisting of domestic brands. As of December 31, 2011, it operated dealerships in 18 metropolitan markets throughout the United States. As of December 31, 2011, its retail network consisted of eight locally-branded dealership groups. As of December 31, 2011, its brand names included Nalley Automotive Group, Courtesy Autogroup, Coggin Automotive Group, Crown Automotive Company, David McDavid Auto Group, North Point Auto Group, Gray-Daniels Auto Family and Plaza Motor Company. During the year ended December 31, 2011, the Company sold its heavy truck business in Atlanta, Georgia, two franchises and one additional ancillary business. On May 2, 2011, the Company sold its luxury brand dealership in California. In December 2012, the Company acquired a Volkswagen and a Bentley store in the Atlanta, Georgia market.
New Vehicle Sales
As of December 31, 2011, the Company owned a range of 30 American, European and Asian brands. Its new vehicle unit sales consist of the sale of new vehicles to individual retail customers (new vehicle retail) and the sale of new vehicles to commercial customers (fleet). During the year ended December 31, 2011, it sold 71,449 new vehicles through its dealerships. During 2011, new vehicle sales were 54% of its total revenues and 22% of its total gross profit. The Company�� new vehicle revenues include new vehi! cle sale and lease transactions arranged by its dealerships with third parties.
Used Vehicle Sales
The Company sells used vehicles at all of its dealership locations. Used vehicle sales include the sale of used vehicles to individual retail customers (used retail) and the sale of used vehicles to other dealers at auction (wholesale). During 2011, it sold 55,805 used retail vehicles through its dealerships. During 2011, sales of used retail vehicles accounted for approximately 25% of its total revenues. During 2011, wholesale sales represented 4% of its total revenues.
The Company�� new vehicle operations provide its used vehicle operations with a supply of trade-ins and off-lease vehicles. It also purchases a portion of its used vehicle inventory at auctions restricted to new vehicle dealers and open auctions, which offer vehicles sold by other dealers and repossessed vehicles. Its used vehicle inventory is sold as wholesale if a vehicle is not sold at retail within 60 days, except for used vehicles, which does not fit within its inventory mix. The reconditioning of used vehicles also generates revenue for its parts and service departments.
Parts and Service
Asbury sells replacement parts and provides vehicle maintenance and collision repair service at all of its franchised dealerships, for the vehicle brands sold at those dealerships. As of December 31, 2011, in addition, it maintained 25 free-standing collision repair centers either on the premises of, or in close proximity to, its dealerships. During 2011, parts and service revenues accounted for approximately 14% of its total revenues.
Finance and Insurance
The Company refers to the finance and insurance portion of its business as F&I. Through its F&I business, it arranges, and receives commissions for, third-party financing of the sale or lease of new and used vehicles to customers, as well as offers a range of aftermarket products, such as extended servi! ce contra! cts, guaranteed asset protection (GAP) debt cancellation, pre-paid maintenance and credit life and disability insurance. It also generates F&I revenues from the receipt of marketing fees paid to it under agreements with preferred lenders. During 2011, its F&I business generated approximately 3% of its total revenues. Extended service contracts cover repair work after the expiration of the manufacturer warranty. GAP debt cancellation covers the customer after a total loss for the difference between the value of the vehicle and the outstanding loan or lease obligation after insurance proceeds. Prepaid maintenance covers routine maintenance work, such as oil changes, cleaning and adjusting of brakes, multi-point vehicle inspections and tire rotations. Credit life and disability covers the remaining amounts due on an auto loan or a lease in the event of death or disability.
The Company earns sales-based commissions from third-party lenders, including manufacturer captive finance subsidiaries which arranges on behalf of its customers. It may be charged back (chargebacks) for these commissions in the event a finance contract is cancelled or repaid, typically within the first 90 days of such contract. During 2011, it arranged customer financing on approximately 70% of the vehicles it sold. The Company is a party to a range of preferred lender agreements. These payments are determined by the lenders based upon an agreed-upon earnings schedule.
Advisors' Opinion:- [By Jeremy Bowman]
What: Shares of Asbury Automotive Group (NYSE: ABG ) were revving up today, gaining as much as 15% after posting a strong earnings report.
Best Net Payout Yield Companies To Invest In 2015: Nuveen Preferred and Convertible Income Fund (JPC)
Nuveen Multi-Strategy Income & Growth Fund is a close-ended balanced mutual fund launched by Nuveen Investments Inc. The fund is co-managed by Nuveen Asset Management, Spectrum Asset Management, Tradewinds Global Investors, LLC, and Symphony Asset Management, LLC. It invests in the public equity and fixed income markets of the United States. The fund seeks to invest in the stocks of companies operating across diversified sectors. For the fixed income portfolio, it invests in the debt instruments, including high yield debt and senior loans. The fund benchmarks the performance of its portfolio against the Merrill Lynch Preferred Stock Hybrid Securities Index, Lehman Tier 1 Capital Securities Index, Merrill Lynch All U.S. Convertibles Index, and CSFB High Yield index. It was formerly known as Nuveen Preferred and Convertible Income Fund. Nuveen Multi-Strategy Income & Growth Fund was formed on March 26, 2003 and is domiciled in the United States.
Advisors' Opinion:- [By Douglas A. McIntyre]
J.C. Penney (NYSE: JPC) and the KMart and Sears divisions of Sears Holdings (NASDAQ: SHLD) are supposes to be the losers among large U.S. retailers. Their stores are too old, their brands too badly damaged, and their balance sheet too frail for either to do well in the white hot competition for holiday sales. However, their stock prices say otherwise, which means there is some expectation that they will outperform forecasts.
Best Net Payout Yield Companies To Invest In 2015: Arbor Realty Trust Inc (ABR)
Arbor Realty Trust, Inc., incorporated in June 2003, is a specialized real estate finance company. The Company invests in a diversified portfolio of structured finance assets in the multi-family and commercial real estate markets. It invests primarily in real estate-related bridge and mezzanine loans, including junior participating interests in first mortgages, preferred and direct equity, and in limited cases, discounted mortgage notes and other real estate-related assets (collectively, structured finance investments). The Company also holds investments in mortgage-related securities and real estate property. It conducts all of its operations and investing activities through its operating partnership, Arbor Realty Limited Partnership, and its wholly-owned subsidiaries. The Company serves as the general partner of its operating partnership, and owned a 100% partnership interest in its operating partnership as of December 31, 2011.
Targeted Investments
The Company offers bridge financing products to borrowers who are seeking short-term capital to be used in an acquisition of property. The bridge loans it makes range in size from $1 million to $75 million and are predominantly secured by first mortgage liens on the property. The Company offers junior participation financing in the form of junior participating interest in the senior debt. Junior participation financings have the same obligations, collateral and borrower as the senior debt. Its junior participation loans range in size from $1 million to $60 million and have terms of up to 10 years. The Company offers mezzanine financing in the form of loans that are subordinate to a conventional first mortgage loan and senior to the borrower�� equity in a transaction. The Company holds a majority of its mezzanine loans through subsidiaries of its operating partnership that are pass-through entities for tax purposes or taxable subsidiary corporations. The Company provides financing by making preferred equity investments in entit! ies that directly or indirectly own real property. Its preferred equity investments typically range in size from $1 million to $75 million, and have terms up to 10 years.
Structured Finance Investments
The Company owns a diversified portfolio of structured finance investments consisting primarily of real estate-related bridge, junior participation interests in first mortgages, and mezzanine loans, as well as preferred equity investments and mortgage-related securities. As of December 31, 2011, it had 119 loans and investments in its portfolio, totaling $1.5 billion. These loans and investments were for 72 multi-family properties, 25 office properties, nine land properties, seven hotel properties, three retail properties, two condominium properties and one commercial property.
Advisors' Opinion:- [By Lee Jackson]
Arbor Realty Trust Inc. (NYSE: ABR) recently increased its cash position with a secondary offering of 6 million shares of stock. The company invests in multifamily and commercial real estate-related bridge loans, junior participating interests in first mortgages, mezzanine loans, preferred and direct equity, discounted mortgage notes and other real estate-related assets, as well as holds investments in mortgage-related securities and real estate property. Arbor Realty Trust is rated as a stock to buy at Deutsche Bank with a $9.50 price target. The Thomson/First Call estimate for the stock is $9.25. Investors are paid a very solid 7.2% divided. The stock closed Friday at $6.88.
Best Net Payout Yield Companies To Invest In 2015: Globe Specialty Metals Inc.(GSM)
Globe Specialty Metals, Inc., together with its subsidiaries, produces and sells silicon metal and silicon-based alloys in North America, Europe, South America, and Asia. The company primarily offers silicon metal that is used as a raw material for silicone compounds, aluminum, and polysilicon. It also produces silicon-based alloys, such as ferrosilicon; magnesium-ferrosilicon-based alloys known as nodularizers; ferrosilicon-based alloys known as inoculants; calcium silicon alloys; and cored-wire silicon-based alloy products, as well as carbon electrodes, silica fume, and fines. The silicon-based alloy products are used as raw materials for steel, automotive components, and ductile iron. In addition, the company processes and supplies specialty metallurgical coal to other silicon and silicon-based alloy producers. Its customers include silicone chemical, aluminum, and steel manufacturers; auto companies and their suppliers; ductile iron foundries; manufacturers of photovol taic solar cells and computer chips; and concrete producers. The company was formerly known as International Metal Enterprises, Inc. and changed its name to Globe Specialty Metals, Inc. in November 2006. Globe Specialty Metals, Inc. was incorporated in 2004 and is headquartered in New York, New York.
Advisors' Opinion:- [By Marc Bastow]
Silicon metals and alloys producer Globe Specialty Metals (GSM) raised its quarterly dividend 7.1% to 7.5 cents per share, payable March 12 to shareholders of record as of Feb. 26.
GSM Dividend Yield: 1.65%
Best Net Payout Yield Companies To Invest In 2015: Team Inc.(TISI)
Team, Inc. provides specialty maintenance and construction services for maintaining high temperature and high pressure piping systems and vessels that are utilized in heavy industries. It offers inspection and assessment services, such as inspection and evaluation of piping, piping components, and equipment; field heat treating services, including electric resistance and gas-fired combustion; leak repair services comprising on-stream repairs of leaks in pipes, valves, flanges, and other parts of piping systems and related equipment; and fugitive volatile organic chemical emission leak detection services consisting of identification, monitoring, data management, and reporting. The company also provides hot tapping services, such as hot tapping, Line-stop, and Freeze-stop services; field machining services, including the use of portable machining equipment to repair or modify machinery, equipment, vessels, and piping systems, as well as flange facing, pipe cutting, line bori ng, journal turning, drilling, and milling services; and technical bolting services comprising the use of hydraulic or pneumatic equipment with bolt tightening techniques for leak-free connections, plant maintenance, and expansion projects, as well as bolt disassembly and hot bolting services. In addition, it offers field valve repair services consisting of on-site repairs to manual and control valves, and pressure and safety relief valves, as well as specialty valve actuator diagnostics and repair. The company markets its services to companies in a various heavy industries, which include the petrochemical, refining, power, pipeline, steel, pulp and paper, and shipbuilding industries, as well as to municipalities, original equipment manufacturers, distributors, and engineering and construction firms. It operates in the United States, Canada, Europe, and internationally. The company was founded in 1973 and is headquartered in Alvin, Texas.
Advisors' Opinion:- [By Ben Levisohn]
Team Inc.�(TISI) has dropped 11% after the company missed its earnings forecast and lowered guidance.
Monsanto�(MON) has dropped 2.2% to $103.15 after the agricultural-products company reported a loss of 47 cents a share, missing analyst forecasts for a loss of 43 cents, and said it would buy a firm that analyzes the weather.
- [By Seth Jayson]
Calling all cash flows
When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Team (NYSE: TISI ) , whose recent revenue and earnings are plotted below.
No comments:
Post a Comment