great investment stocks


It doesn’t matter what Trump thinks or says. It matters what he does, and more importantly, what federal regulators do. Such is the patient suffering of AT&T (NYSE:T). Just what am I talking about here? WE learned today that allegedly Trump has expressed reservations and opposition to the AT&T and Time Warner (NYSE:TWX) deal. Supposedly Trump contended that the merger would concentrate too much power. Perhaps in some respects he is correct, given these are two major media companies, and AT&T has morphed itself into one of the most innovative telecommunications giants on the globe. This move is a power play, no doubt about it. But Trump doesn’t have the final say. Regulators do. Can his opposition hurt? It is not a good thing. We would prefer to have the President elects’ support for any endeavor we embark on. But this piece isn’t about politics. It is about whether the deal stands a chance. And frankly, this $85 billion acquisition does stand a chance, regardle ss of whatever today’s small sell-off on the news of our next President’s feelings are on the merger.

great investment stocks: Telecom Italia S.P.A.(TI)


Advisors’ Opinion:

  • [By Lisa Levin]

    In trading on Friday, telecommunications services shares fell by 0.29 percent. Meanwhile, top losers in the sector included Telecom Italia SpA (ADR) (NYSE: TI), down 4 percent, and Internet Initiative Japan Inc. (ADR) (NASDAQ: IIJI), down 3 percent.

great investment stocks: Spirit Airlines Inc.(SAVE)

Advisors’ Opinion:

  • [By Ben Levisohn]

    Given YTD performance, everything looks cheap. But we remain selective. Ex-Spirit Airlines (SAVE), our entire coverage universe is down year-to-date, with most names also underperforming the S&P 500. Multiples have compressed, with diminishing differentiation between (for example) those with declining leverage (Delta) vs. those where leverage is on the rise (America). In a vacuum, a Buy could potentially be argued for any individual name. Based on estimated risk and upside potential, Delta and Southwest are our top two picks.

  • [By Ben Levisohn]

    Yesterday, shares of United Continental (UAL) and American Airlines (AAL) got pummeled after Delta Air Lines (DAL) offered disappointing guidance. Today, airline stocks are getting smacked again, this time after Credit Suisse Julie Yates and Parker Kim cut their ratings on American and United Continental, while stating a preference for airlines like Southwest Airlines (LUV) and Spirit Airlines (SAVE) that have low exposure to international air travel. They explain why:

  • [By Ben Levisohn]

    There were 67 times this happened, the first coming in June 2011 (airlines didnt guide to margins before that), and 66 of these instances came from Delta, United, andAmerican (the 67th wasSpirit Airlines (SAVE)). As we said earlier the most short term alpha, +5.3%, was generated over the subsequent four days by being long airlines into a guidance update where an airline would merely affirm a PRASM guide but raise the margin guide. This only happened four times and obviously was a result of airlines holding some semblance of price as costs declined.

great investment stocks: CGG(CGG)


Advisors’ Opinion:

  • [By Jonas Elmerraji]

    First up is French oil service firm CGG Veritas (CGG)
    . The Eurozone-based energy stock hasn’t exactly posted blockbuster performance in 2013, but investors who ignore CGG for the final stretch of the year could be making a big mistake. That’s because of a bullish technical pattern that’s emerging in shares right now.

    CGG spent most of the last eight months looking anything but bullish. But an ascending triangle pattern is changing that. The pattern is formed by horizontal resistance to the upside at $26, and uptrending support to the below shares. Basically, as CGG bounces in between those two technical levels, it’s getting squeezed closer and closer to a breakout above $26. When that happens, traders have a buy signal.


    The ascending triangle pattern in CGG Veritas isn’t exactly textbook. That’s because the setup is forming at the bottom of a downtrend, rather than in the middle of an uptrend – but it’s a mistake to get caught up on the textbook pictures of what trading patterns are supposed to look like. On a move through $26, the trading implications are just as actionable.

great investment stocks: Reynolds American Inc(RAI)

Advisors’ Opinion:

  • [By Ben Levisohn]

    Just before 1pm today, shares of Reynolds American (RAI) took a sudden nosedive on reports that its merger with British American Tobacco (BTI) had “hit a snag” according to StreetInsider.com. Cowen’s Vivien Azer and team still think a deal gets done:

    Getty Images

    Street Insider is reporting that BATS’ acquisition of RAI has “hit a snag,” and that “a potential transaction may be less likely near-term.” We view this source as less credible (vs. a WSJ or CNBC), in particular given the scant level of detail. While the delay in a consummated deal has extended longer than we thought, we still view the deal as likely (85% probability).


    Shares of Reynolds American have dropped 1.3% to $55.47 at 2:26 p.m. today, while British American Tobacco has declined 0.2% to $112.71. Shares of Philip Morris International (PM), which could be interested in an acquisition of Altria Group (MO), have fallen 1% to$90.28 after getting cut toNeutral from Buy at BofA Merrill Lynch, while Altria has risen 0.5% to$67.94 after getting upgraded to Buy from Neutral at Merrill.

  • [By Benzinga News Desk]

    Jefferies started Altria Group (NYSE: MO) at Hold and Reynolds American (NYSE: RAI) at Buy.


    Sell-Side's Most Noteworthy Calls JPMorgan downgraded Wells Fargo (NYSE: WFC) to Neutral. Morgan Stanley downgraded Skechers (NYSE: SKX) to Equal-Weight. Raymond James upgraded Petrobas (NYSE: PBR) to Market Perform. Credit Suisse upgraded Clovis (NASDAQ: CLVS) to Outperform. Deal Talk

    Some traders attributing after-hours upside in Clovis to a Janney Capital analyst comment during a Bloomberg interview, saying there are "many suitors" for the company, Including Eli Lilly (NYSE: LLY), Roche (OTC: RHHBY) and Merck (NYSE: MRK). A Clovis spokesperson told Benzinga it's company policy not to comment on rumors.

  • [By Ben Levisohn]

    Reynolds American (RAI) topped the S&P 500 today after receiving a bid from British American Tobacco (BTI) that values the stodgy tobacco stock at $$56.50 a share.

    Getty Images

    Shares of Reynolds American soared 14% to $53.78 today, while the S&P 500 finished little changed at 2,141.16.

    Cowen’s Vivien Azer and Aaron Grey call the “multiple offered for Reynolds American quite compelling.” They explain why:


    British American Tobaccois proposing to acquire the outstanding 58% of RAI that it does not already own. The offer of $56.50 / share is comprised of $24.13 in cash, and the rest in BAT shares. The deal constitutes a 16.3x EBITDA multiple, which we view as quite attractive in the tobacco landscape (in particular, as it represents a healthy premium relative to the 13x that RAI paid for Lorillard)…

    We view the multiple offered for RAI as quite compelling. That said, CEO Susan Cameron has distinguished herself by creating exceptional shareholder returns via both the acquisition of Lorillard as well as the $5 bn sale of Natural American Spirits international business to JT. As such, we would not rule out the possibility of RAI negotiating a modest premium relative to this offer. We would note that we would not expect these negotiations to be protracted, given that this deal could face far less regulatory scrutiny (as unlike theLorillard deal, we do not see any meaningful antitrust issues). Maintain Outperform rating on Reynolds American.


    Thanks to the takeover offer, Reynolds American, which reported net income of $3.3 billion on sales of $10.7 billion in 2015, saw its market capitalization jump to $76.8 billion today from $67.3 billion yesterday.

     

     

     

great investment stocks: Targa Resources, Inc.(TRGP)

Advisors’ Opinion:

  • [By Lisa Levin]

    In trading on Tuesday, utilities shares fell by 0.37 percent. Meanwhile, top losers in the sector included Targa Resources Corp (NYSE: TRGP), down 3 percent, and FirstEnergy Corp. (NYSE: FE), down 2 percent.

  • [By Garrett Cook]

    Citi maintains Buy ratings on Targa Resources (NYSE: TRGP), ONEOK (NYSE: OKE) and Oneok Partners (NYSE: OKS) citing the companies stories around natural gas liquids (NGLs).

  • [By Lisa Levin]

    Here is the list of stocks going ex-dividend on Monday.

    AptarGroup, Inc. (NYSE: ATR) – $0.3200 dividend, 1.6780 percent yield. AptarGroup reported weaker-than-expected Q3 results on Thursday. Fidelity Southern Corporation (NASDAQ: LION) – $0.1200 dividend, 2.6359 percent yield. The company, based in Atlanta, Georgia, provides financial products and services for customers. Apple Hospitality REIT Inc (NYSE: APLE) – $0.1000 dividend, 6.5826 percent yield. Apple Hospitality REIT, based in Richmond, Virginia, operates as a subsidiary of Apple REIT Companies. Targa Resources Corp (NYSE: TRGP) – $0.9100 dividend, 7.7299 percent yield. The Houston, Texas-based company provides midstream natura

great investment stocks: Avid Technology Inc.(AVID)

Advisors’ Opinion:

  • [By Monica Gerson]

    Avid Technology, Inc. (NASDAQ: AVID) is estimated to post its quarterly earnings at $0.36 per share on revenue of $144.02 million.

    Consolidated Water Co. Ltd. (NASDAQ: CWCO) is expected to post its quarterly earnings at $0.11 per share on revenue of $15.15 million.