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Goldman Says Don't Be Afraid to Own Dover (DOV)
Posted by The Staff on Apr 19, 2012 4:08 PM
Goldman Sachs analysts continue to make the case for owning Dover Corp. (NYSE: DOV). Today they reiterated their Buy rating on the stock, sighting a number of positives, including successful product launches and improvements in production. They also believe that Dover Corp. is likely to beat high end guidance next time they report earnings.
RIM (RIMM) May Hire JPMorgan to Shop Itself
Posted by The Staff on Apr 19, 2012 3:48 PM
An article published today at Bloomberg suggests that beleaguered telecommunications company, RIM (Nasdaq: RIMM), could be in talks to sell itself or part of its company. According to reports, RIM is considering hiring JPMorgan Chase & Co. to help it manage "strategic options".
William Blair analyst, Doradla, said RIM doesn't need a banker to negotiate a licensing relationship. "The way I interpret hiring a banker is to sell parts of business, an outright sale or an equity stake by a third party."
Tenille Kennedy, a RIM spokeswoman, refused...
Adobe (ADBE) Revamped Cloud Software Will Boost the Stock
Posted by The Staff on Apr 19, 2012 3:21 PM
Adobe (Nasdaq: ADBE) is set to launch CS6 on Monday, April 23rd. The revamped cloud based software will allow Adobe to unveil products, features and pricing details. Analysts at Macquarie Equity Research are anticipating a successful launch of CS6 will help support the stock, which currently trades at near $32.94 per share, five dollars below their 12 month target of $37.
Analysts Brad Zelnick and Bhavin Shah of Macquarie E.R. maintained their outperform rating on Adobe, stating that "While Adobe shares historically underperform post CS launch, we believe CS6 will break the...
Whole Foods Continues Upbeat Trends
Posted by The Staff on Apr 19, 2012 1:16 PM
A post Easter survey conducted by Jefferies was upbeat about Whole Foods (NYSE: WFM). Consumer spending trends remain strong, although they do not appear to be accelerating. The survey showed 79% of consumers are more willing to spend, which is up from 69% post-New Years and 46% from a year ago.
While these numbers are unlike to cause an immediate pop in the stock, they do support the case for owning Whole Foods with a long/mid term time horizon.
Jefferies' analyst said the numbers suggest there could be...
Despite Mounting Worries Apple (AAPL) iPhone 5 Set for Sept. Launch
Posted by The Staff on Apr 19, 2012 12:51 PM
A Jefferies' quarterly handset survey showed a sharp drop in optimism regarding smartphone sales volumes, from 74% in Dec. to 28% in March. This represents the largest sequential decline in eight years. However, despite these headwinds, analysts at Jefferies are optimistic about the strength of Apple stock (Nasdaq: AAPL) and the upcoming quarter.
The firm said the iPhone 5 is set to launch in Sept. despite potential supply issues at Qualcomm (Nasdaq: QCOM) which could delay the launch until...
AT&T;, Verizon Upcoming EPS Will Be Lackluster
Posted by The Staff on Apr 18, 2012 5:13 PM
The wireless carrier business lacks luster due to intense competition within the space, according to analyst Greg Miller at Cancaccord Genuity.
The two largest wireless companies, AT&T (NYSE: T) and Verizon (NYSE: VZ), will report earning next week (Version reports on April 19th, and AT&T reports on April 24th.), but it is unlikely that either report will provide evidence that conditions are improving or that competition is easing.
"Although we expect the postpaid flow share to continue to favor Verizon," Miller Explains, "we believe it will become apparent that the US wireless market is becoming...
Don't Fret Apple (AAPL) Carrier Subsidies Cut, the iPhone 5 Will Keep Them Paying Up the Nose - Analyst
Posted by The Staff on Apr 18, 2012 4:30 PM
In the call of the day, Goldman Sachs analysts raised their price target on Apple (Nasdaq: AAPL) from $700 to $750. The topic of carrier subsidies and tighter upgrade policies was particularly interesting, since it has been a major concern to investors. However, the report points out that these fears are likely to be overblown, especially near term as vendors prepare for the release of iPhone 5.
"The iPhone 5 launch is likely to be one of the most important smartphone product cycles weve seen to date, and we...
A Pair Trade in the Energy Patch
Posted by The Staff on Apr 18, 2012 3:56 PM
Today, Deutsche Bank issued somewhat of a pairs trade within the energy space. It issued a Buy rating for Exxon Mobile (NYSE: XOM) and it downgraded competitor ConocoPhillips (NYSE: COP) to Hold. The changes highlight the market's obsession for higher yields, particularly in the the sector.
The Deutsche Bank analysts said they expect Exxon Mobile to increase their dividend by 33%, which would equate to a 15% increase in the share price. Deutsche Bank analysts don't expect ConocoPhillips stock to be as attractive to...
Wynn's (WYNN) the Winner From a New Cotai Land Win
Posted by The Staff on Apr 18, 2012 3:07 PM
Wynn Resorts (Nasdaq: WYNN) shares are up 5 percent Wednesday after analysts estimate that a new Cotai, Macau land purchase could add $30 per share.
At $130 per share intraday, Wynn trades near the center of its 52 week range between $101 and $172.
Shares have been under pressure because of fears that the company was reaching capacity in its gaming business. The new property would be a good step forward in creating additional long term revenue growth for the gaming company, although the land deal has not yet been finalized.
Nomura...
Chesapeake (CHK) Sell-Off on "Margin Call McClendon" Could Provide a Great Entry
Posted by The Staff on Apr 18, 2012 1:35 PM
Chesapeake Energy's (NYSE: CHK) stock is down over 7 percent Wednesday following a Reuters news report that CEO Aubrey McClendon borrowed $1.1 billion against his stake in the company's oils and natural gas wells. Shareholder aren't taking too kindly to the news as this isn't the first time McClendon has been accused of putting his own interests ahead of shareholders.
During the height of the financial crisis he sold hundreds of millions in company stock after margin calls, giving investors plenty of reason to doubt McClendon.
In his defense,...
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