Best International Companies For 2016

Morgan Stanley’s David Risinger and team give their thoughts on one of the most pressing questions for investors in shares of Valeant Pharmaceuticals International (VRX)–when will it be safe to invest? The answer is unclear:

Associated Press

When will it be safe to go back into the water? Over the last few months, it seems every time investors thought that there would not be any new shoes to drop, more bad news occurred. For example, just over the weekend, Bloomberg carried an article that Sprout investors are concerned that Valeant has failed to successfully commercialize Sprout’s female libido pill Addyi. (A Valeant spokesperson told Bloomberg that the company “intends to comply with all of its obligations under [its] agreement with the former shareholders of Sprout. “)

Risinger and team also consider what it will take to relieve Valeant of its $31B debt burden:

Best International Companies For 2016: lululemon athletica inc.(LULU)

Lululemon Athletica Inc., together with its subsidiaries engages in the design, manufacture, and distribution of athletic apparel and accessories for women, men, and female youth primarily in Canada, the United States, and Australia. Its apparel assortments include fitness pants, shorts, tops, and jackets for healthy lifestyle activities, such as yoga, running, and general fitness. The company?s fitness-related accessories comprise bags, socks, underwear, yoga mats, instructional yoga DVDs, and water bottles. It sells its products through its retail stores; independent franchises; and a network of wholesale accounts, such as yoga studios, health clubs, and fitness centers, as well as directly to consumers through e-commerce. As of May 1, 2011, the company had 142 corporate-owned and franchise stores under the lululemon athletica and ivivva athletica brand names. Lululemon Athletica Inc. was founded in 1998 and is based in Vancouver, Canada.

Advisors’ Opinion:

  • [By Paul Ausick]

    Big Earnings Movers: Lululemon Athletica Inc. (NASDAQ: LULU) is down 5.4% at $65.27 on weak guidance<<LINK>>. The Kroger Co. (NYSE: KR) is up 2.5% at $38.60. The Mens Wearhouse Inc. (NYSE: MW) is down 12.1% at $34.05.

  • [By Teresa Rivas]

    Safeway (SWY) was up nearly 4% after an upgrade to Outperform at Credit Suisse, which also upgraded lululemon (LULU), sending shares up 1%, and downgraded Under Armour (UA)shares were down 1.6%.

Best International Companies For 2016: NewStar Financial, Inc.(NEWS)

 

NewStar Financial, Inc. operates as a commercial finance company in the United States. It provides senior secured cash flow loans, and second lien and unitranche loans to middle market companies for acquisitions, recapitalizations, and refinancing or other general corporate purposes; and senior secured loans to larger middle market companies. The company also offers working capital financing, such as asset-based loans, including revolving lines of credit, and senior secured term loans to asset-intensive companies for acquisitions, recapitalizations, and growth strategies. In addition, it provides first mortgage transitional financing to professional real estate investors and developers to acquire and reposition commercial properties comprising office, multi-family, retail, and industrial properties. Further, the company offers a range of equipment loan and lease financing options to mid-sized companies to fund various equipmen t types consisting of manufacturing, technology, healthcare, transportation, and telecom equipment, as well as it provides investment advisory and asset management services. It serves healthcare, manufacturing and industrial, financial services, energy/chemical services, printing/publishing, business and technology services, auto/transportation, marketing, wholesale distribution, technology, telecommunications, and education, as well as consumer, retail, and restaurant industries. The company was formerly known as Novus Capital, Inc. and changed its name to NewStar Financial, Inc. in June, 2004. NewStar Financial, Inc. was incorporated in 2003 and is based in Boston, Massachusetts.

Advisors’ Opinion:

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Top 5 Wireless Telecom Companies To Invest In 2016: CarMax Inc(KMX)

CarMax, Inc., through its subsidiaries, operates as a retailer of used vehicles in the United States. It also sells vehicles that do not meet its retail standards to licensed dealers through on-site wholesale auctions, as well as sells new vehicles under franchise agreements. In addition, the company provides customers financing alternatives through its finance operation, CarMax Auto Finance, as well as through its third-party financing providers. Further, it offers a range of other related products and services, including the sale of extended service plans, guaranteed asset protection, and accessories; the appraisal and purchase of vehicles directly from consumers; and vehicle repair services. As of December 21, 2011, the company operated 107 used car superstores in 52 markets. CarMax, Inc. was founded in 1993 and is headquartered in Richmond, Virginia.

Advisors’ Opinion:

  • [By Monica Gerson]

    CarMax, Inc (NYSE: KMX) is projected to report its quarterly earnings at $0.71 per share on revenue of $3.68 billion.

    ConAgra Foods Inc (NYSE: CAG) is expected to report its quarterly earnings at $0.59 per share on revenue of $2.86 billion.

  • [By Monica Gerson]

    Wall Street expects CarMax, Inc (NYSE: KMX) to report its quarterly earnings at $0.71 per share on revenue of $3.68 billion. CarMax shares gained 0.38 percent to $53.50 in after-hours trading.

  • [By Rich Bieglmeier]

    On Tuesday, September 24, CarMax Inc. (KMX) will release sales and earnings for the second quarter ended August 31, 2013 and will host a conference call for investors at 9:00 a.m. ET.

  • [By Paul R. La Monica]

    The two companies he’s targeting in this sector are user car dealer CarMax (KMX) and motorcycle king Harley-Davidson (HOG). He said both have been very aggressive.

Best International Companies For 2016: Alon USA Energy, Inc.(ALJ)

 

Alon USA Energy, Inc. engages in refining and marketing petroleum products, primarily in the South Central, Southwestern, and Western regions of the United States. It operates in three segments: Refining and Marketing, Asphalt, and Retail. The Refining and Marketing segment operates sour crude oil refinery located in Big Spring, Texas; light sweet crude oil refinery located in Krotz Springs, Louisiana; and heavy crude oil refineries located in Paramount, Bakersfield and Long Beach, California with a crude oil throughput capacity of approximately 217,000 barrels per day. This segment refines crude oil into petroleum products, such as gasoline, diesel fuel, jet fuel, petrochemicals, petrochemical feedstocks, asphalt, and other petroleum-based products. It also markets motor fuels to third-party distributors under the Alon brand; licenses Alon brand name; and provides payment card processing services, advertising programs, and lo yalty and other marketing programs to licensed locations. The Asphalt segment sells paving asphalt to road and materials manufacturers, and highway construction/maintenance contractors as ground tire rubber, polymer modified, or emulsion asphalt. The Retail segment operates convenience stores that offer various grades of gasoline, diesel fuel, food products and services, tobacco products, non-alcoholic and alcoholic beverages, and general merchandise, as well as money orders to the public primarily under the 7-Eleven and Alon brands. As of December 31, 2014, this segment operated 295 owned and leased convenience store sites primarily in Central and West Texas, and New Mexico. Alon USA Energy, Inc. was founded in 2000 and is based in Dallas, Texas.

Advisors’ Opinion:

  • [By Lisa Levin]

    In trading on Monday, energy shares dipped by 0.70 percent. Meanwhile, top losers in the sector included TravelCenters of America LLC (NYSE: TA), down 18 percent, and Alon USA Energy, Inc. (NYSE: ALJ), down 8 percent.

Best International Companies For 2016: Intuit Inc.(INTU)

 

Intuit Inc. provides business and financial management solutions for small businesses, consumers, and accounting professionals primarily in the United States, Canada, the United Kingdom, Australia, India, and Singapore. The companys Small Business segment provides QuickBooks financial and business management online services and desktop software; QuickBooks technical support services; financial supplies; and QuickBooks Accountant, QuickBooks Accountant Plus, and QuickBooks Online Accountant, as well as the QuickBooks ProAdvisor Program for the accounting professionals. This segment also offers small business payroll products and services, including online payroll offerings, such as Quickbooks Online Payroll and Intuit Online Payroll; desktop payroll offerings comprising QuickBooks Basic Payroll and QuickBooks Enhanced Payroll; and full service payroll offerings, such as Intuit Full Service Payroll and QuickBooks Assisted Payr oll. In addition, it provides merchant services, including credit and debit card processing; Web-based transaction processing services for online merchants; online payment services; GoPayment mobile payment processing services; and QuickBooks point of sale solutions. Its Consumer segment provides TurboTax income tax preparation products and services; and electronic tax filing services. The companys Professional Tax segment offers Lacerte, ProSeries, ProFile, and Intuit Tax Online professional tax products and services; and electronic tax filing services, bank product transmission services, and training services. The company sells its products and services through various sales and distribution channels, including Websites, promotions, call centers, retail locations, and online mobile application stores, as well as through alliance partners, such as banks, credit unions, and other financial institutions. Intuit Inc. was founded in 1983 and is headquartered in Mountain View, California.

Advisors’ Opinion:

  • [By Monica Gerson]

    Intuit Inc. (NASDAQ: INTU) reported upbeat results for its third quarter and raised its FY16 guidance. Intuit shares dropped 2.15 percent to $105.00 in the after-hours trading session.

Best International Companies For 2016: BanColombia S.A.(CIB)

 

Bancolombia S.A. provides various banking products and services to individual, corporate, and government customers. The company operates through ten segments: Banking Colombia, Banking El Salvador, Leasing, Trust, Investment Banking, Brokerage, Banking Panama, Insurance, Off Shore, and All Other. It offers checking and savings accounts, fixed term deposits, and investment products; trade financing, loans funded by domestic development banks, working capital loans, credit cards, personal and vehicle loans, payroll loans, overdrafts, and financing for industrial projects; mortgage banking and factoring services; and financial and operating leasing services. The company also provides capital market products, such as futures, forwards, options, and swaps; and brokerage, investment advisory, and private banking services, including selling and distributing equities, futures, foreign currencies, fixed income securities, mutual funds, and structured products. In addition, it offers asset management products, such as mutual funds, private equity funds, and privately managed investment accounts; cash management services; foreign currency transaction services; and bancassurance and insurance services. Further, the company provides investment banking services, such as financial advisory, underwriting services, capital market services, and private equity management services; and trust services, such as money market accounts, mutual and pension funds, private equity funds, payment trust, custody services, and corporate trust. Additionally, it offers loan management, transportation, and real estate brokerage services; and is involved in outsourcing activities. As of December 31, 2015, it had 1,274 branches. The company also operates 5,080 automatic teller machines. Bancolombia S.A. was founded in 1945 and is headquartered in Medell铆n, Colombia.

Advisors’ Opinion:

  • [By Matt Smith]

    Bancolombia appears attractively priced
    Another Colombian company that appears under-valued is the Andean country’s largest commercial bank Bancolombia (NYSE: CIB  ) . For the year-to-date Bancolombia’s share price fell 17% because of a weak second quarter bottom-line. This decline was primarily caused by the bank’s net income plunging by 41% year-over-year because of mark-to-market losses caused by the value lost in the bank’s securities portfolio.

  • [By Monica Gerson]

    Bancolombia SA (ADR) (NYSE: CIB) is expected to post its quarterly earnings at $0.77 per share on revenue of $945.66 million.

    Cellcom Israel Ltd. (NYSE: CEL) is estimated to post its earnings for the latest quarter.

  • [By Lisa Levin]

    Foreign Regional Banks: This industry declined 2 percent by 11:00 am with Bancolombia SA (ADR) (NYSE: CIB) moving down 3.7 percent. Bancolombia’s PEG ratio is 4.51.