Press Esc to close

Welcome to Money Morning - Only the News You Can Profit From.

Close

This Says Our Favorite Biotech Is Off to the Races

Shares of a promising biotech we recommended back in February 2013 – jumped as much as 27% to a three-month high of $14.20 yesterday after the company said a new cancer drug met its main goal in a midstage clinical trial.

Its shares backtracked a bit as the day progressed but still closed 17.6% higher for the session. These shares have advanced 361% since we first told you about them. The stock has generated a peak gain of 456%, making it one of the 31 recommendations we’ve made to you that have doubled or better since we launched Private Briefing in August 2011. (More on that later…)

Category

Stocks- Money Morning - Only the News You Can Profit From.

  • Can Earnings Keep This Netflix (Nasdaq: NFLX) Stock Hot Streak Going?

    After soaring more than 180% this year, will Netflix (Nasdaq: NFLX) stock get a boost from today's earnings, or is this growth tear ending?

    We'll find out Monday after the close when the video-streaming giant posts second-quarter results.

    Upside numbers are expected from Netflix, which just made Emmy history with its blockbuster series "House of Cards" and "Arrested Development." Netflix garnered 14 nominations including Best Drama for Cards.

    Year-to-date, shares have nearly tripled, rallying more than 180%. That puts NFLX as the top performer in the S&P 500 Index.

    But as investors have experienced in the past, Netflix stock can reverse course in dramatic fashion…

    To continue reading, please click here…

  • Why Ford (NYSE: F) Stock is On a Roll

    For three decades now, I've trusted Fords.

    I got my first used Ford Escort as a college kid, drove it for years, then passed it down to my younger brother.

    I bought a brand-new red Mustang in the late 1980s – and still regret ever having sold it.

    I've since had an Escort wagon, which died only because the guy who changed the oil didn't put the cap back on the oil pan when he was done.

    And I just bought my latest Escort – a 2001 model with more than 95,000 miles on it. I have every reason to believe that with proper TLC, it'll go to at least 200,000.

    How I went from a new Mustang in the late '80's to a 12-year-old Escort – a car Ford doesn't even make anymore – that's another story.

    But you get the picture. I believe in the Ford brand.

    And I'm not alone.

    Indeed, Ford leads the auto industry in brand loyalty, with a rate of 65.1%, the automotive analyst Polk reports.

    Wishing I had Bought Ford Stock

    If only I had bought Ford Motor Co. (NSFE: F) stock back when I bought my first Escort.

    To continue reading, please click here…

  • Why China’s Bernie Madoff Should Give Pause to Americans Doing Business in China

    Zeng Chengjie, a real estate developer who has been likened to "China's Bernie Madoff," was executed by the government last week for fraud and illegal fundraising.

    The businessman allegedly defrauded more than 57,000 investors out of approximately RMB2.8 billion (US $460 million), of which RMB1.7 billion has been returned.

    Zeng used the money to fund his company for urban development projects, including public facilities and local landmarks.

    He has been described as a self-made businessman – the type who pulled himself up by the bootstraps at a young age. In 2006, his hometown published a profile on Zeng filled with accolades, referring to him as a "diligent, wise, and conscientious man."

    To continue reading, please click here…

  • Keith Fitz-Gerald Spots Hot Topics in a G20 Meeting Preview

    The Group of Twenty (G20) is the premier forum for international cooperation on the most important issues of the global economic and financial agenda. Its summit is set for September 5-6 in St. Petersburg, Russia.

    Money Morning's Chief Investment Strategist Keith Fitz-Gerald appears on CCTV America for a G20 meeting preview.

    Keith discusses what he thinks will be the hot topics, including global employment, Abenomics, and the potential for trade wars.

    Get ahead of the curve by listening to Keith's full analysis of what will likely unfold in the G20 meeting, in the video below:

    G20 Preview

    To continue reading, please click here…

  • Can Google Earnings (Nasdaq: GOOG) Push Stock to $1,000 a Share?

    Google earnings for the second quarter come out after the bell today – with most analysts expecting a strong quarter.

    Google Inc. (Nasdaq: GOOG) is expected to report Q2 earnings of $10.78 per share on revenue of $14.45 billion. That compares with a $10.12 EPS profit on revenue of $9.61 billion in the same quarter a year ago, according to analysts polled by Reuters.

    To continue reading, please click here…

  • A Guide to Pricing and Investing in Tech IPOs

    Earlier this week, I shared with Money Morning readers a breakdown on how IPOs are priced.

    In this IPO pricing overview, Money Morning Capital Wave Strategist Shah Gilani explained the pitfalls of over- and underpricing an IPO.

    An overpriced IPO can be a death sentence for a company, generating bad PR, a stock that bombs, and more. Facebook's (NASDAQ:FB) IPO disaster is a prime example of IPO overpricing.

    To continue reading, please click here…

  • Buy, Sell or Hold: Is Sysco Eating Up the Competition?

    You call to make reservations at that new and trendy restaurant.  Can you guess who the restaurant called prior to opening its doors?  Chances are the first call it made was to Sysco Corporation (NYSE: SYY).

    Sysco's by far and away the leading provider of food to the restaurant industry. The company has an 18% share in a $235 billion dollar industry in the U.S., Canada and Ireland.

    Sysco provides the restaurateur everything he needs – from high-quality chef ingredients to Styrofoam cups. It serves more than 400,000 customers and has over 180 distribution centers.

    Shareholders have been rewarded by Sysco's fine execution of its business plan as it breaks above new multi-year highs.

    However, there is something strange afoot.

    To continue reading, please click here…

  • These Global Construction Stocks Can Make You – and Your Grandchildren – Rich

    There are engineering projects and then there are generational engineering projects.

    A supertall skyscraper like Dubai's Burj Khalifa or New York City's One World Trade Center may take six or eight years from beginning of construction to topping it out. Contracts to construct buildings like these can bring significant revenues to the companies who land the jobs.

    Then there are even bigger projects, huge infrastructure investments that have the tendency to alter the destiny of nations over the course of generations. Some of these projects are designed to be worked on and expanded indefinitely.

    The challenges that changing climate and demographics pose will bring about a wave of these mega-projects around the world, most of which will take at least a generation to complete, and in many cases, far beyond that.

    When they're finished, the face of the planet will be changed, hundreds of millions of people will be affected – for the better. And investors with the foresight to get in on the ground floor could end up being very rich.

    The Delta Works

    The Dutch have battled the North Sea and their rivers for centuries, keeping the water out, and claiming living space for their small, densely populated, low-lying country. Much of Western Europe drains into the Netherlands' meandering river system. Between the sea and the rivers, the country is in a watery squeeze, but it's more than holding its own.

    Most of the Netherlands' territory has been claimed from the sea, two-thirds of its citizens live below sea level, and more than half the country lies at 1 meter or less below sea level.

    After a disastrous flood in 1953 killed thousands and inundated more than 9% of their total farmland, the Dutch realized that a long-term solution was needed.

    The Delta Commission, was formed, and afterward conceived of a mega-project under the omnibus Deltaplan, comprising a huge network of dams, bridges, sluices, locks, dikes, and storm surge barriers erected all over the soggy Rijn, Maas, and Scheldt deltas in the northwest of the country.

    More than 50 years on, the system has worked with typical Dutch efficiency and effectiveness, but it's not truly "complete" yet.

    To continue reading, please click here…

  • Corporate Tax Avoidance in the Crosshairs of OECD Plan

    Fed up with corporate tax avoidance that keeps their fingers off of billions of dollars in potential revenue to feed their spendthrift ways each year, governments in the world's richest economies soon hope to have a plan to do something about it.

    The Organization for Economic Cooperation and Development (OECD) will present a preliminary version of such a plan at the meeting of G20 finance minister in Moscow on July 17.

    Getting the world's major governments to cooperate on anything is never easy, but in corporate tax avoidance they have an issue that politicians of almost any culture or political stripe can agree on.

    "This is a very challenging piece of work," said OECD secretary general Angel Gurria at the organization's annual conference in May. "We have created a regime where it is legal to pay no or little taxes. But I'm very confident we can find a formula that provides a level playing field."

    In government speak, this level playing field means hiking corporate taxes.

    Most of the world's developed economies also happen to have severe debt problems and are looking for revenue wherever they can find it. Getting more money out of multinational corporations would be a big help.

    And several high profile examples of corporate tax avoidance over the past year have also put the issue on the public's radar screen, adding to the political pressure to "do something."

    To continue reading, please click here…

  • Buy, Sell or Hold: Talking Trash about Waste Management

    Nothing is more unappealing than having to discuss the finer points of garbage. While on the contrary, nothing is more exciting than discussing America's transition to a "greener" society.

    This is where Waste Management (NYSE: WM) finds itself – caught in the middle of these two discussions.

    With a market cap of nearly $19 billion Waste Management is the largest trash collector and processor of waste in the U.S. The company owns 264 active solid-waste landfills and services over 21 million customers.

    Waste Management recycled 9 million tons of trash in 2012. It also produces sustainable energy through landfill gas and burning waste.

    That's the down 'n dirty basics of the company's operations. But let's do a little bit of dumpster-diving and look somewhat deeper at its business model.

    Collection & Landfill

    The large bulk of Waste Management's revenues starts with those trucks we see visit our home every week. Waste Management enters into multi-year agreements with local governments and commercial customers for garbage pick-up. The trash then gets hauled to a local landfill or transfer station.

    The fees Waste Management receives from these established customers act very much like an annuity since it is unlikely that the customer will ever leave. Local governments are trying to lower costs, so the idea of them starting (or even continuing with) city sanitation departments are quickly discarded.

    To continue reading, please click here…