There are two ways to invest in retail stocks. You can focus on strong and steady operators such as Costco (Nasdaq: COST) or Wal-Mart (NYSE: WMT) and hope to secure moderate upside. Or you can be bold and buy shares of truly struggling retailers that have fallen deeply out of favor.
That latter approach has been extremely profitable in 2013 for anyone with the guts to invest in GameStop (NYSE: GME) or Best Buy (NYSE: BBY). Just a few quarters ago, these companies looked to be in deep trouble as spending on video games and consumer electronics, respectively, increasingly was taking place at rivals. Those two retailers have found a way to lure back customers, and the payoff has been huge.
Best Rising Stocks To Buy Right Now: Arch Capital Group Ltd.(ACGL)
Arch Capital Group Ltd., together with its subsidiaries, provides insurance and reinsurance products worldwide. It operates in two segments, Insurance and Reinsurance. The Insurance segment offers casualty; construction; executive assurance; healthcare; collateral protection, debt cancellation, and service contract reimbursement products; national accounts casualty; professional liability; programs; property, energy, marine, and aviation; surety; and travel and accident insurance products. It also provides other insurance products, such as excess workers compensation and employers’ liability insurance coverages for qualified self-insured groups, associations, and trusts; captive insurance programs; and accident, disability, and medical plan insurance coverages for employer groups, medical plan members, students, and other participant groups. This segment markets its products through a network of licensed independent retail and wholesale brokers. The Reinsurance segment rei nsures third party liability and worker?s compensation exposures; individual property risks that include personal lines and commercial property exposures; other specialty lines, including surety, accident and health, workers’ compensation catastrophe, multi-peril crop, trade credit, and political risk; catastrophic perils, such as hurricane, earthquake, flood, tornado, hail, and fire; marine business, which includes coverage for hull, cargo, and transit and offshore oil and gas operations, as well as aviation business that comprises coverage for airline and general aviation risks; and non-traditional business to provide insurers with risk management solutions. This segment markets its reinsurance products through brokers, as well as directly with the ceding companies. The company was founded in 1995 and is headquartered in Hamilton, Bermuda.
- [By Holly LaFon]
Arch Capital (ACGL)’s Dinos Iordanu recently described to our analysts how he met me in 2001. Before we invested in his business, we asked him all sorts of personal questions about how he came to America from Cyprus; whether or not his wife had a job; and how big was his house? He told our analysts that “Ron was trying to get a sense of me. He wanted to understand how I viewed risk. No one else asked us such questions. They were the right questions since you were investing in our business, which was assuming underwriting risk on your behalf. “We got it right with Dinos and have about quadrupled our money in the past twelve years, not exactly the most propitious time to invest in stocks! Of course, there can be no assurance that future investments will be as profitable…although you can be assured that we will continue to work hard to try to achieve similar results.
Best Rising Stocks To Buy Right Now: Smith & Wesson Holding Corp (SWHC)
Smith & Wesson Holding Corporation (Smith & Wesson), incorporated on June 17, 1991, is a manufacturer of firearms. The Company manufactures a range of handguns, modern sporting rifles, hunting rifles, black powder firearms, handcuffs, and firearm-related products and accessories for sale to a range of customers, including gun enthusiasts, collectors, hunters, sportsmen, competitive shooters, individuals desiring home and personal protection, law enforcement and security agencies and officers, and military agencies in the United States and globally. It sell its products under the Smith & Wesson brand, the M&P brand, the Thompson/Center brand, and the Walther brand. The Company manufactures its firearm products at its facilities in Springfield, Massachusetts and Houlton, Maine. On July 26, 2012, it sold all of the assets of Smith & Wesson Security Solutions, Inc.
During the fiscal year ended April 30, 2012 (fiscal 2012), the Company introdu ced multiple new handgun and modern sporting rifle models, and one new bolt action rifle platform. The Company’s rifle introductions included the addition of the M&P15 300 Whisper to the Company’s line of modern sporting rifles. As of April 30, 2012, the Company participated in three categories of the long-gun market and both core categories of the handgun market.
The Company manufactures an variety of handgun models that include revolvers and pistols. A revolver is a handgun with a cylinder that holds the ammunition in a series of rotating chambers that are successively aligned with the barrel of the firearm during each firing cycle. There are two general types of revolvers: single-action and double-action. The Company’s small-frame revolvers have been carried by law enforcement personnel and personal defense-minded citizens. The Company’s revolvers are available in a variety of models and calibers, with applications in virtually all profe ssional and personal markets.
The Company’s M! &P15 Series of modern sporting rifles are designed to satisfy the functionality and reliability needs of global military, law enforcement, and security personnel. These rifles are also popular as sporting target rifles and are sold to consumers through the Company’s sporting good distributors, retailers, and dealers. The Company has a range of product portfolio of modern sporting rifles, which includes a lower price-point, sport model, a .22 caliber model, and a fully automatic model designed for the exclusive use of military and law enforcement agencies throughout the world.
The Company manufactures three lines of bolt-action rifles under its Thompson/Center brand consisting of several models in each line. The Company’s hunting rifles are offered in 16 different calibers. Bolt-action rifles operate by the cycling of a bolt handle that allows for both the loading and unloading of rounds through a magazine fed system.
D uring fiscal 2012, the Company introduced the Dimension bolt action rifle platform. Under the Company’s Thompson/Center brand, the Company also offers seven models of American-made single shot black powder, or muzzle loader, firearms. The Company offers eight models of interchangeable, single shot firearm systems that deliver numerous gun, barrel, caliber configurations, and finishes. These systems can be configured as a center-fire rifle, rim-fire rifle, shotgun, black powder firearm, or single-shot handgun for use across the entire range of big- and small-game hunting.
The Company manufactures handcuffs and restraints in the United States. The Company fabricates these products from the carbon or stainless steel.
Smith & Wesson Academy
Through the Smith & Wesson Academy, the Company offers instruction designed to meet the training needs of law enforcement and security customers worldwide. Classes are conducted at the Company’s facility in Springfield, Massachusetts or o! n locatio! n around the world.
The Company’s services include forging, heat treating, finishing, and plating. It provides services to third-party customers.
The Company competes with Ruger,Taurus, Beretta, Glock, Heckler & Koch, Sig Sauer, Springfield Armory, Bushmaster, Rock River, Stag Arms, DPMS, Browning, Marlin, Remington, Ruger, Savage, Weatherby, CVA, Traditions, and Winchester.
- [By Ben Levisohn]
Shares of Smith & Wesson (SWHC) have gained 17% today after the gun maker reported better-then-forecast earnings.
Bloomberg News has the details on Smith & Wesson’s results:
Earnings per share in the quarter ended Jan. 31, rose 35 percent to 35 cents, the Springfield, Massachusetts company said in a statement yesterday. That beat the 29 cent average estimate of eight analysts in a Bloomberg survey. The company said it estimates full-year earnings per share of between $1.39 and $1.42, increasing its previous estimate of between $1.30 and $1.35.
Sales of handguns, which include the company’s popular M&P pistols, grew 30 percent as the company sought to increase market share, Chief Executive Officer James Debney said in a conference call yesterday. Total revenue grew 7 percent to $145.9 million, surpassing estimates of 142.9 million. Income from continuing operations rose to $20.1 million from $17.5 million.
Wedbush’s Rommel Dionisio and Alicia Reese fret about Smith & Wesson’s retail-sales trends:
In the wake of the Newtown tragedy in Dec. 2012, widespread consumer fears of tightened gun control pulled forward industry demand in early 2013. Now facing unusually difficult y/y comparisons, retail sales trends the past several months have been down significantly y/y (see Figure 1), a trend which should continue through at least May or June. We also note from our recent channel checks that overall retail inventories, which were in short supply last spring, have largely normalized…
S&W’s recent decision to stop selling its most important product line of M&P pistols
in California, effectively shutting down much of its total sales in this major market
rather than comply with the state’s new microstamping law, will likely begin to
impact results in FY15.
Barron’s offers its take here.
- [By John Kell and Lauren Pollock var popups = dojo.query(“.socialByline .popC”); ]
Among the companies with shares expected to actively trade in Wednesday’s session are Navistar International Corp.(NAV), Smith & Wesson Holding Corp.(SWHC) and USEC Inc.(USU)
- [By Sue Chang and Saumya Vaishampayan]
Smith & Wesson Holding Corp. (SWHC) shares jumped 16%. The gun maker’s quarterly results beat earnings forecasts and it raised its outlook for the year. The firm raised its full-year earnings per share estimate for continuing operations to a range of $1.39 to $1.42, beating the Wall Street forecast of $1.33 per share, according to FactSet.
- [By Paul Ausick]
Smith & Wesson Holding Corp. (NASDAQ: SWHC) reported fiscal third quarter 2014 earnings after markets closed on Tuesday. For the quarter, the gun maker posted diluted earnings per share (EPS) of $0.35 on revenues of $145.9 million. In the same period a year ago, the company reported EPS of $0.26 on revenues of $136.24 million. Third-quarter results compare to the Thomson Reuters consensus estimate for EPS of $0.29 on $142.7 million in revenues.
Best Rising Stocks To Buy Right Now: NCI Inc.(NCIT)
NCI, Inc. provides information technology (IT) and professional services and solutions to the United States Federal Government defense, intelligence, and civilian agencies. It offers enterprise systems management services, including infrastructure operations and management; outsourcing and managed; infrastructure consolidation and modernization; public/private cloud computing; planning and disaster recovery; virtual desktop infrastructure; application and network management; network design, implementation, and migration; network monitoring and performance evaluation; multi-site environments; and data center modernization and consolidation. The company also provides network engineering services comprising architecture development and design; protocol and topology optimization; disaster response planning and recovery; installation, test, and evaluation; network configuration and compliance audit; network security evaluation; protocol and topology optimization; reliability an d contingency assessment; requirements analysis; redundant routing/switching solutions; and enterprise vulnerability management. In addition, it offers cybersecurity and information assurance services consisting of intrusion detection/prevention system development; public key infrastructure implementation; certification and accreditation; computer forensics and ediscovery; policy and procedures development; threat assessment and mitigation; products evaluation and integration; security test and evaluation; cybersecurity fusion centers; and risk management and continuous monitoring. Further, the company provides software development and systems engineering services; program management and lifecycle support services; professional engineering, logistics, and support services; health IT and informatics services; and modeling, simulation, and training services. NCI, Inc. is headquartered in Reston, Virginia.
- [By CRWE]
NCI, Inc. (NASDAQ:NCIT) will issue its third quarter 2012 financial results after the market closes on Wednesday, October 31, 2012. Management will then discuss the results, as well as operating trends and future performance expectations, on a conference call beginning at 4:30 p.m. Eastern Time.
Best Rising Stocks To Buy Right Now: Consolidated Water Co. Ltd. (CWCO)
Consolidated Water Co. Ltd., through its subsidiaries, develops and operates seawater desalination plants and water distribution systems. It operates through three segments: Retail, Bulk, and Services. The Retail segment produces and supplies water to end-users, including residential, commercial, and government customers, as well as tourist properties. The Bulk segment supplies potable water to government utilities and private customers. The Services segment designs, constructs, and sells desalination plants to third parties, as well as provides desalination plant management and operating services to plants owned by others. The company uses reverse osmosis technology to produce fresh water from seawater. It operates approximately 14 reverse osmosis desalination plants in the Cayman Islands, The Bahamas, Belize, the British Virgin Islands, and the United States. Consolidated Water Co. Ltd. was founded in 1973 and is based in Grand Cayman, the Cayman Islands.
- [By Jake L’Ecuyer]
Leading and Lagging Sectors
Utilities sector surged 0.26%, saw CPFL Energia SA (NYSE: CPL) as the top gainer. Among leading sector stocks, gains came from Consolidated Water Co (NASDAQ: CWCO), Companhia Paranaense de Energia (NYSE: ELP) and Public Service Enterprise Group (NYSE: PEG).
- [By David Dittman]
Answer: I like Consolidated Water Co Ltd (NSDQ: CWCO), which specializes in large-scale desalination systems.
Question: Why has the Australian currency shown such weakness recently compared to the US dollar and the euro?
- [By Eric Volkman]
Consolidated Water (NASDAQ: CWCO ) is keeping its shareholder payout taps open. The company has declared a dividend of $0.075 per share for its Q3. This will be paid on July 31 to shareholders of record as of July 1. That amount matches each of the firm’s previous quarterly distributions stretching back to late 2009. Prior to that, Consolidated Water handed out $0.065 per share.
Best Rising Stocks To Buy Right Now: Resources Connection Inc.(RECN)
Resources Connection, Inc. provides professional services in the areas of finance, accounting, risk management and internal audit, corporate advisory, strategic communications and restructuring, information management, human capital, supply chain management, actuarial, and legal and regulatory services to support client-led projects and initiatives. It offers finance and accounting services, including financial analyses, budgeting and forecasting, audit preparation, public-entity reporting, tax-related projects, merger and acquisition due diligence, initial public offering assistance, and assistance in the preparation or restatement of financial statements; information management services, such as financial system/enterprise resource planning implementation, and post implementation optimization services; and corporate advisory, strategic communications, and restructuring services. The company also provides risk management and internal audit services comprising compliance r eviews, internal audit co-sourcing, and assistance services; supply chain management services, including strategic sourcing efforts, contract negotiations, and purchasing strategy services; and actuarial support services for pension and life insurance companies. In addition, it offers human capital services, such as change management, and compensation program design and implementation services; and legal and regulatory services comprising providing attorneys, paralegals, and contract managers to assist clients, such as law firms with project-based or peak period needs. Further, the company provides policyIQ, a Web-based content management product for documenting, managing, and communicating various types of business information, including policies and procedures, Sarbanes documentation, training documentation, and other business content. It operates in North America, Europe, and the Asia Pacific. The company was founded in 1996 and is headquartered in Irvine, California.Advisors’ Opinion:
- [By Jake L’Ecuyer]
Resources Connection (NASDAQ: RECN) shot up 7.38 percent to $15.29 after the company reported upbeat FQ2 earnings.
Rite Aid (NYSE: RAD) was also up, gaining 8.13 percent to $5.45 after the company reported a 2.9% gain in its December same-store sales.
- [By Laura Brodbeck]
Earnings Expected From: Landec Corporation (NASDAQ: LNDC), Resources Connection, Inc. (NASDAQ: RECN) Economic Releases Expected: Indian manufacturing PMI, Spanish manufacturing PMI, Hong Kong retail sales, Italian manufacturing PMI, French manufacturing PMI, German manufacturing PMI, eurozone manufacturing PMI, US manufacturing PMI, Canadian manufacturing PMI, US manufacturing PMI
- [By Rich Smith]
On May 28, Irvine, Calif.-based Resources Connection (NASDAQ: RECN ) will be losing one chief executive officer, and gaining a new one.
Best Rising Stocks To Buy Right Now: Kayne Anderson Energy Total Return Fund Inc (KYE)
Kayne Anderson Energy Total Return Fund, Inc. (the Fund) is a non-diversified closed-end investment company. The Fund’s investment objective is to obtain a high total return with an emphasis on current income. The Fund seeks to achieve this objective by investing primarily in securities of companies engaged in the energy industry, principally including publicly-traded energy-related master limited partnerships and limited liability companies taxed as partnerships (MLPs), MLP affiliates, energy-related United States and Canadian royalty trusts and income trusts and other companies that derive at least 50% of their revenues from operating assets used in, or providing energy-related services for, the exploration, development, production, gathering, transportation, processing, storing, refining, distribution, mining or marketing of natural gas, natural gas liquids (including propane), crude oil, refined petroleum products or coal.
Effective December 31, 2006, K ayne Anderson assigned the Investment Management Agreement to its subsidiary, KA Fund Advisors, LLC (the Adviser). The Fund focuses on investing at least 80% of the aggregate of its net assets and borrowings (total assets) in securities of Energy Companies. The Fund invests in equity securities, such as common stocks, preferred stocks, convertible securities, warrants, depository receipts, and equity interests in MLPs, MLP affiliates, royalty trusts and other Energy Companies.
- [By Robert Rapier]
We got several questions about Kayne Anderson Energy Total Return Fund (NYSE: KYE) during the chat. The main advantage of closed-end MLP funds is the diversification they provide, along with the convenience of a 1099 miscellaneous income tax form instead of having to deal with K-1 forms from each individual MLP. This makes a closed-end MLP fund a more attractive option for an IRA.
Best Rising Stocks To Buy Right Now: Sally Beauty Holdings Inc.(SBH)
Sally Beauty Holdings, Inc., through its subsidiaries, engages in the distribution and retail of professional beauty supplies primarily in North America, South America, and Europe. The company operates in two segments, Sally Beauty Supply and Beauty Systems Group. The Sally Beauty Supply segment operates a chain of cash and carry retail stores that provide various third-party branded and exclusive-label professional beauty supplies, including hair color products, hair care products, hair dryers and hair styling appliances, skin and nail care products, and other beauty items to retail consumers and salon professionals. This segment sells various third-party brands, such as Clairol, Revlon, and Conair, as well as a selection of exclusive-label merchandise. The Beauty Systems Group segment distributes professional brands of beauty products directly to salons and salon professionals through its sales force and professional-only stores. This segment operates stores under the Co smoProf service mark. It sells a range of third-party brands, such as Paul Mitchell, Wella, Sebastian, Goldwell, Joico, and TIGI. As of September 30, 2011, the company operated a multi-channel platform of 4,128 company-owned stores, 181 franchised stores, and 1,116 professional distributor sales consultants in the United States, Puerto Rico, Canada, Mexico, Chile, the United Kingdom, Ireland, Belgium, France, Germany, and Spain. Sally Beauty Holdings, Inc. was founded in 1964 and is headquartered in Denton, Texas.
- [By Rich Bieglmeier]
Sally Beauty Holdings, Inc. (NYSE:SBH) is ready for a makeover according to Wells Fargo. Analyst, Chris Ferrara believes the worst could be over for SBH. The analyst says, “While near-term visibility is generally limited for SBH’s business model, shares are -7% YTD (vs S&P 500 -3%), presenting attractive risk/reward. We believe comps likely bottomed at Sally Beauty Supply in the December quarter, and that the recent string of downward earnings revisions is likely over.”
- [By Amal Singh]
Some companies in the beauty and personal care segment have one important characteristic — a recession-proof nature, which is a result of everyone’s desire to look beautiful and young. This brings us to Ulta Salon, Cosmetics & Fragrance (NASDAQ: ULTA ) and Sally Beauty Holdings (NYSE: SBH ) . Both have performed quite well over the last few years, as shown in the chart below, even during the recession (the gray area being the recession period). Their performance stands in stark contrast to that of Regis (NYSE: RGS ) , which has seen its top line drop continuously after peaking in 2008.
Best Rising Stocks To Buy Right Now: Telular Corporation(WRLS)
Telular Corporation designs, develops, and distributes products and services that utilize wireless networks to provide data and voice connectivity among people and machines primarily in the United States and internationally. It provides machine-to-machine and event monitoring services, including Telguard that comprises a specialized terminal unit, which interfaces with commercial security control panels and communicates with event processing servers to provide real-time transport of alarm signals from residential and commercial locations to an alarm company?s central monitoring station; and TankLink solution that combines a cellular communicator, wireless data services, and a Web-based application into a single offering, which allows end-users to monitor the product level in a given tank vessel. The company also offers fixed cellular terminals for voice, fax, and Internet access over the wireless networks. It sells its products to security equipment distributors, cellular carriers, and value added resellers. The company was founded in 1986 and is headquartered in Chicago, Illinois.
- [By Eric Volkman]
Telular (NASDAQ: WRLS ) will most likely soon be an asset belonging to another company. It has entered into an agreement to be bought by private equity firm Avista Capital Partners for total consideration of $253 million. This consists of $12.61 per share in cash and roughly $18.5 million in assumed debt.
Best Rising Stocks To Buy Right Now: Huntington Bancshares Incorporated(HBAN)
Huntington Bancshares Incorporated operates as the holding company for The Huntington National Bank that provides commercial, small business, and consumer banking services. The company?s Retail and Business Banking segment offers various financial products and services, including checking, savings, and money market accounts, certificates of deposit, consumer loans, and small business loans and leases; and investments, insurance, interest rate risk protection, foreign exchange hedging, and treasury management services to consumer and small business customers. Its Regional and Commercial Banking segment provides commercial lending; depository and liquidity management products; treasury management solutions; equipment and technology leasing; international services; and capital markets services, such as interest rate risk protection, foreign exchange hedging and sales, trading of securities, mezzanine investment capabilities, and employee benefit programs to government, not-f or-profit, health-care, and publicly traded entities. The company?s Automobile Finance and Commercial Real Estate segment offers financing for the purchase of automobiles, and new and used vehicle inventory by automotive dealerships; and financing for land, buildings, and other commercial real estate owned or constructed by real estate developers, automobile dealerships, or other customers. Its Wealth Advisors, Government Finance, and Home Lending segment provides investment management; investment servicing; custody, and corporate trust and retirement plan services; and administrative and operational support to fund to high net worth customers. It also offers online, mobile, and telephone banking services; and operates approximately 1,300 automated teller machines. As of December 31, 2011, the company had 652 branches located in Ohio, Michigan, Pennsylvania, Indiana, West Virginia, and Kentucky. Huntington Bancshares Incorporated was founded in 1866 and is headquartered in C olumbus, Ohio.
- [By Tim Melvin]
We are starting to see bank merger activity accelerate as banks like Huntington Bancorp (HBAN) and First Merchants (FRME) looking to expand and growth their asset base in the aftermath of the credit crisis. Banks with below-average capital and returns could quickly become buyout targets.
- [By Lauren Pollock]
Huntington Bancshares Inc.’s(HBAN) fourth-quarter earnings fell 5.7% as the lender’s revenue declined, though it wrote off fewer bad loans and its loan portfolio grew. Shares edged down 1.9% to $9.71 premarket.
Best Rising Stocks To Buy Right Now: Dupont Fabros Technology Inc. (DFT)
DuPont Fabros Technology, Inc., a real estate investment trust (REIT), engages in the ownership, acquisition, development, operation, management, and lease of large-scale data center facilities in the United States. The company leases its data centers to the American and international technology companies to house, power, and cool the computer servers that support their critical business processes. It also provides certain technical services to tenants, including layout design and installation of electrical power circuits, data cabling, server cabinets and racks, computer room airflow analyses, and monitoring. As of December 31, 2011, the company owned and operated seven data centers located in Northern Virginia; one data center in suburban Chicago, Illinois; one data center in Piscataway, New Jersey; one data center in Santa Clara, California. DuPont Fabros Technology, Inc. has elected to be taxed as a REIT. As a REIT, it would not be subject to federal corporate income t axes if it distributes at least 90% of its taxable income to its stockholders. The company was founded in 2007 and is headquartered in Washington, District of Columbia.
- [By alicet236]
Dupont Fabros Technology Inc. (DFT): President and CEO Hossein Fateh Sold 146,687 Shares
President and CEO of Dupont Fabros Technology Inc. (DFT) Hossein Fateh sold 146,687 shares on 01/10/2014 at an average price of $24.62. DuPont Fabros Technology Inc. was incorporated in March 2007 under the laws of the State of Maryland. Dupont Fabros Technology Inc. has a market cap of $1.61 billion; its shares were traded at around $24.92 with a P/E ratio of 100.90 and P/S ratio of 4.47. The dividend yield of Dupont Fabros Technology Inc stocks is 3.82%. Dupont Fabros Technology Inc. had an annual average earnings growth of 14.50% over the past five years.
- [By Rich Duprey]
Investors might find it fabulous that DuPont Fabros Technology (NYSE: DFT ) has increased its second-quarter dividend, the third time in two years the payout has been increased.