BALTIMORE ( Stockpickr) — Which stocks should I buy? It’s the eternal question that most investors spend most of their time wondering. But is it the wrong question?
Must Read: Warren Buffett’s Top 10 Dividend Stocks
More so than any other year since 2008’s market crash, 2014 has been a year for stock pickers. That’s because, as the end of the calendar year creeps closer, one in three S&P 500 components is actually down since January. And considering the fact that the big index is up more than 10% year-to-date, those underperformers are missing the mark by a big margin. In a big way, knowing which stocks not to buy has almost been more important for your ability to book gains in 2014 than knowing which ones you should.
That’s why we’re taking a closer technical look at five “toxic stocks” to sell this week.
Just to be clear, the companies I’m talking about today aren’t exactly junk. By that, I mean they’re not next up in line at bankruptcy court. But that’s frankly irrelevant; from a technical analysis standpoint, sellers are shoving around these toxic stocks right now. For that reason, fundamental investors need to decide how long they’re willing to take the pain if they want to hold onto these firms in the weeks and months ahead. And for investors looking to buy one of these positions, it makes sense to wait for more favorable technical conditions (and a lower share price) before piling in.
Hot Regional Bank Companies To Buy Right Now: Rackspace Hosting Inc(RAX)
Rackspace Hosting, Inc. operates in the hosting and cloud computing industry. It provides information technology (IT) as a service, managing Web-based IT systems for small and medium-sized businesses, as well as large enterprises worldwide. The company?s service suite includes dedicated hosting comprising customer management portal and other management tools that manage data center, network, hardware devices, and operating system software; and cloud computing that enables customers to provide and manage a pool of computing resources, as well as delivery of computing resources to business when they need them. It offers cloud servers, cloud files, and cloud sites, as well as cloud applications, such as email, collaboration, and file back-ups; and hybrid hosting that provides a combination of dedicated hosting and cloud computing services. The company also offers customer support services. It sells its service suite through direct sales teams, third-party channel partners, an d online ordering. The company was formerly known as Rackspace.com, Inc. and changed its name to Rackspace Hosting, Inc. in June 2008. Rackspace Hosting, Inc. was founded in 1998 and is headquartered in San Antonio, Texas.
- [By Monica Gerson]
Rackspace Hosting, Inc. (NYSE: RAX) reported better-than-expected earnings for the first quarter, but the company missed analysts’ sales estimates. Rackspace shares dropped 7.72 percent to $20.80 in the after-hours trading session.
Hot Regional Bank Companies To Buy Right Now: Sun Life Financial Inc.(SLF)
Sun Life Financial Inc., a financial services organization, provides protection and wealth products and services to individuals and corporate customers worldwide. It operates through five segments: Sun Life Financial Canada, Sun Life Financial United States, Sun Life Financial Asset Management, Sun Life Financial Asia, and Corporate. The company offers life and health, long-term and short-term disability, medical stop-loss and dental, and accidental death insurance services; long-term care, medical coverage, and guaranteed income and death reinsurance services; and investment funds, as well as third-party mutual funds. It also provides life, dental, drug, extended health care, disability, and critical illness benefits programs; and voluntary benefits solutions directly to individual plan members, including post-employment life and health plans to plan members. In addition, the company offers group retirement products and servi ces, including investment-only segregated funds and fixed rate annuities, stock plans, group life annuities, and pensioner payroll services, as well as solutions for de-risking defined benefit pension plans. Further, it provides asset management services for retail and institutional investors through mutual and commingled funds, separately managed accounts, institutional products, and retirement strategies; and customized fixed income solutions, including liability-driven investment products, as well as alternative asset classes, such as private fixed income, real estate, and commercial mortgages. The company markets and distributes its products through independent insurance and mutual fund licensed brokers, broker-dealers, benefits consultants, and sales representatives. Sun Life Financial Inc. was founded in 1999 and is headquartered in Toronto, Canada.
- [By Monica Gerson]
Sun Life Financial Inc (NYSE: SLF) is expected to post its quarterly earnings at $0.91 per share on revenue of $4.56 billion.
ScanSource, Inc. (NASDAQ: SCSC) is projected to post its quarterly earnings at $0.65 per share on revenue of $871.06 million.
Top 10 Wireless Telecom Companies To Own For 2016: H&R Block, Inc.(HRB)
H&R Block, Inc., through its subsidiaries, provides tax preparation, banking, and other services to the general public primarily in the United States, Canada, and Australia. The company offers assisted income tax return preparation and related services through a system of retail offices operated directly by the company or by franchisees; and online tax services, such as tax advice, professional and do-it-yourself (DIY) tax return preparation, and electronic filing services through its Website hrblock.com. It also develops and markets DIY desktop income tax preparation software; and develops and provides applications for mobile devices, which offer tax and related services. In addition, the company provides refund anticipation checks, H&R Block Emerald Advance lines of credit and Prepaid MasterCard, and Peace of Mind Extended Service Plan, Tax Identity Shield, and Cash Back refund discount programs. Further, it offers tradition al retail banking services primarily to its assisted and DIY tax clients. The company was founded in 1946 and is headquartered in Kansas City, Missouri.
- [By Monica Gerson]
Shares of H & R Block Inc (NYSE: HRB) surged over 12 percent on Friday as the company reported better-than-expected results for its fourth quarter and lifted its quarterly dividend to $0.22 per share. H & R Block shares gained 0.29 percent to $24.30 in the after-hours trading session.
- [By Ben Levisohn]
H&R Block (HRB) has climbed 3.1% to $22.20 after beating earnings forecasts by a penny and hiking its dividend.
Cliffs Natural Resources (CLF) has gained 1.2% to $5.16 after getting upgraded to Outperform from Market Perform at Macquarie.
Hot Regional Bank Companies To Buy Right Now: Seres Therapeutics, Inc.(MCRB)
Seres Therapeutics, Inc., a microbiome therapeutics platform company, focuses on the development of biological drugs designed to restore health by repairing the function of a dysbiotic microbiome. Its lead product candidate is SER-109, a bacterial spore ecology, which has completed open label Phase Ib/2 clinical study for the prevention of further recurrences of Clostridium difficile infection (CDI). The company also develops SER-287 that is in phase Ib clinical study to treat inflammatory bowel disease, including ulcerative colitis. Its product candidates in pre-clinical development comprise SER-262, an Ecobiotic microbiome therapeutic designed to be used following antibiotic treatment of primary CDI; and SER-155 for the prevention of transplant-related mortality. Seres Therapeutics, Inc. has a strategic collaboration with Nestle Health Science. The company was formerly known as Seres Health, Inc. and changed its name to Sere s Therapeutics, Inc. in May 2015. Seres Therapeutics, Inc. was founded in 2010 and is headquartered in Cambridge, Massachusetts.
- [By Lisa Levin]
Seres Therapeutics Inc (NASDAQ: MCRB) shares dropped 70 percent to $10.69 after the company reported interim results from SER-109 Phase 2 ECOSPOR study in multiply recurrent clostridium difficile infection. The study did not achieve primary endpoint.
Hot Regional Bank Companies To Buy Right Now: Lions Gate Entertainment Corporation(LGF)
Lions Gate Entertainment Corp., incorporated on April 28, 1997, is engaged in motion picture production and distribution, television programming and syndication, home entertainment, international distribution and sales, branded channel platforms, interactive ventures and games and location-based entertainment. The Company operates through two segments: Motion Pictures and Television Production. The Company’s Motion Pictures segment consists of the development and production of feature films, acquisition of North American and around the world distribution rights, North American theatrical, home entertainment and television distribution of feature films produced and acquired, and around the world licensing of distribution rights to feature films produced and acquired. The Company’s Television Production segment consists of the development, production and around the world distribution of television productions, including television series, television movies, and mini-series a nd non-fiction programming.
The Company’s Motion Pictures segment is engaged in the domestic theatrical release of motion pictures licensed to theatrical exhibitors on a picture-by-picture basis (directly distributed by it in the United States and through a sub-distributor in Canada). It is engaged in the sale and rental of its film productions and acquired or licensed films and certain television programs (including theatrical and direct-to-video releases) to retail stores and through digital media platforms. The Company distributes a library of approximately 16,000 motion picture titles and television episodes and programs. It licenses its theatrical productions and acquired films to the linear pay, basic cable and free television markets. It is engaged in the licensing of productions, acquired films, catalog product and libraries of acquired titles from its international subsidiaries and distribution to international distributors, on a territory-by-territory basis. It has an interactive ve! ntures and games division and global franchise management and strategic partnerships division. It is also engaged in the sale and licensing of music from the theatrical exhibition of its films and the television broadcasts of its productions, and licensing of its films and television programs to ancillary markets.
The Company’s Television Production segment is engaged in the licensing and syndication of approximately one-hour and approximately half-hour scripted and unscripted series, television movies, mini-series and non-fiction programming. The Company is engaged in the sale or rental of television production movies or series on packaged media and through digital media platforms.
- [By Monica Gerson]
Lions Gate Entertainment Corp. (USA) (NYSE: LGF) is projected to post a quarterly loss at $0.01 per share on revenue of $740.67 million.
Eaton Vance Corp (NYSE: EV) is estimated to report its quarterly earnings at $0.48 per share on revenue of $321.42 million.