What a week out of Japan for investors! Japan’s Nikkei (NIKKEIINDICES: ^NI225 ) stock index exploded on one of its best weekly runs in recent history, roaring higher by 7.6%. The Nikkei’s been one of the best indexes across the world this year, and there’s no slowing it down right now as Japan pushes forward in its stimulus moves and fight against decades of stagnation.
But can the Nikkei keep its run going through the end of the year? Japanese stocks have made many investors wealthy, but analysts and economists are concerned after Japan’s economy hit a snag in its most recent quarter. Let’s catch up on the latest.
Is Japan’s growth slowing?
Japan’s GDP growth slowed down to just 0.5% in the third quarter, recording an annualized growth rate of 1.9%. That’s far less than the annualized rate of 3.8% seen in the prior quarter, although as Tokyo noted, it’s still far better than the contraction the country was experiencing in 2012. There’s no doubt that Prime Minister Shinzo Abe’s economic expansion have jump-started an economy stuck in a rut until this year.
Top 5 Warren Buffett Stocks To Buy Right Now: Goodrich Petroleum Corporation (GDP)
Goodrich Petroleum Corporation, an independent oil and natural gas company, engages in the exploration, development, and production of oil and natural gas. The company holds interest in the Eagle Ford Shale Trend located in South Texas; the Haynesville Shale and Cotton Valley Taylor Sand in northwest Louisiana and East Texas; and the Tuscaloosa Marine Shale located in southwest Mississippi and southeast Louisiana. It owns working interests in 392 producing oil and natural gas wells located in 32 fields in 8 states. As of December 31, 2012, the company had estimated proved reserves of approximately 254.0 billion cubic feet of natural gas, 5.1 million barrels of crude oil or other liquid hydrocarbons (MMBbls) of natural gas liquids, and 8.1 MMBbls of oil and condensate. Goodrich Petroleum Corporation was founded in 1995 and is based in Houston, Texas.
- [By Holly LaFon]
Another area that is intriguing to us is the North American energy sector which looks to have a number of interesting catalysts currently. While the energy sector is at present only a modest overweight in the portfolios, we have been encouraged by several trends taking place for a number of years. These positive developments are also having an impact that goes far beyond the energy sector itself. Many believe that the U.S. will become energy independent and possibly a net exporter of natural gas and oil (currently restricted by law) in the next decade. This opinion is based primarily on the development of new drilling techniques (i.e. horizontal drilling, and high pressure fracking) that have enabled companies to access oil and natural gas reserves in shale formations that were previously not economically viable. The ability to tap into this acreage is a game-changer in our view and is already having a tremendous impact on the economy. Employment rates in these mostly rura l areas surrounding the shale basins are very high and companies thus find hiring extremely competitive. Strong labor markets tend to create strong local economies. Oil States International (OIS) has been able to capitalize on this trend by providing housing and other services to oil service workers that are in demand in the area. CST Brands (CST) operates gas stations in Texas, but it is increasingly looking to broaden its product offering beyond fuel. Rail companies like Union Pacific (UNP), Canadian Pacific (CP), Kansas City Southern (KSU) and Genesee and Wyoming (GWR) have also benefited substantially. Given that shale areas are rural and often lacking infrastructure, substantial investment must be made to support drilling and production activities. Without pipelines in place, railroads have been the primary takeaway mechanism for moving production to the various clusters of refining capacity around the United States. In order to serve this demand, massive investment in railcars has been nee
- [By Grace L. Williams]
Yesterday, we recapped a sticky issue over at Goodrich Petroleum (GDP) regarding a successfully fracked well that got clogged.
Agence France-Presse/Getty Images
Goodrich fell 5.1% yesterday but things have begun to normalize for Goodrich shares today, as at least one analyst weighed in this morning with a note saying this is a minor setback at best.
SunTrust Robinson Humphrey’s Neil Dingmann explains that there’s no need to pull the plug on Goodrich’s shares:
It is not uncommon for a well to become plugged during the flowback stage, especially using new technology (dissolvable frac plugs). However, we still anticipate an initial production rate over 700 barrels per day, possibly rivaling the Smith 5-29H-1 (about 1,000 barrels per day) and coming online potentially as soon as early January. In addition, the Weyerhaeuser 51-1H-1 should be completed and initial production next month and the CMR 8-5H-1 should come online a few weeks later. We also still soon anticipate the announcement of a large acquisition by another operator in the Tuscaloosa Marine Shale (TMS).
Dingmann also notes that shares have been under pressure as investors worry over well completion, and that turnaround in the form of a few good wells will ease that worry.
Shares of Goodrich have gained 0.2% to $16.46 at 11:07 a.m. today, while Cabot Oil & Gas (COG) has fallen 0.2% to $38.39, Anadarko Petroleum (APC) has gained 0.4% to $78.50, Range Resources (RRC) is little changed at $83.56 and Pioneer Natural Resources (PXD) is little changed at$186.36.
- [By Jake L’Ecuyer]
Equities Trading DOWN
Shares of Goodrich Petroleum (NYSE: GDP) were down 5.43 percent to $16.32 following the news of plugging at Tuscaloosa Marine Shale.
- [By Canadian Value]
A study by the World Bank identified Malaysia and Thailand as having the largest household debts, as a share of gross domestic product (GDP), among Asia’s developing economies.
Top 5 Warren Buffett Stocks To Buy Right Now: Sigma-Aldrich Corp (SIAL)
Sigma-Aldrich Corporation, incorporated in May 12, 1975, is a life science and high technology company. The Company develops, manufactures, purchases and distributes the range of chemicals, biochemicals and equipment available globally and also provides global biopharmaceutical testing services. These chemical products, kits and services are used in scientific research, including genomic and proteomic research, biotechnology, pharmaceutical development and as key components in pharmaceutical, diagnostic and other high technology manufacturing. As of December 31, 2012, the Company offered approximately 45,000 equipment products. On January 31, 2012, the Company completed its acquisition of all of interest of BioReliance, a provider of global biopharmaceutical testing services. On April 2, 2012, the Company acquired Research Organics, a supplier of purity biochemicals.
The Company provides products and services that focus on research customers that use smaller q uantities of its products in basic life science and high-technology research and development (R&D); manufacturing customers that use its products in quantities in lab-stage development and manufacturing; life science customers who use its biopharmaceutical testing services to facilitate the development, manufacturing and commercialization of biological drugs, and industrial and diagnostic companies that use its products in range of forms of assays and testing, as well as in clinical diagnostics. The Company has a customer base of commercial laboratories, pharmaceutical companies, industrial companies, universities, diagnostics companies, biotechnology companies, electronics companies, hospitals, governmental institutions and non-profit organizations located in the United States and globally.
- [By Maxx Chatsko]
Any company that creates products and relies on other companies to use and distribute them will inevitably forge strong relationships with its customers. It’s an important thing to look into when investing, yet easy to overlook. Investors should know whether customers are reliable, which are leaned on the most, and if the company they own is too dependent on any customer (or a select few). Bioprocessing product company Repligen (NASDAQ: RGEN ) may make consumables that are the lifeline of the biotech industry, but its customer relationships are absolutely critical for smooth operations. Let’s look at how the company interacts with the Life Sciences division of General Electric (NYSE: GE ) , EMD Millipore from Merck (NYSE: MRK ) , and Sigma-Aldrich (NASDAQ: SIAL ) — the three most important customers.
- [By Monica Gerson]
Sigma-Aldrich (NASDAQ: SIAL) is expected to report its Q3 earnings at $0.99 per share on revenue of $661.29 million.
CR Bard (NYSE: BCR) is projected to post its Q3 earnings at $1.40 per share on revenue of $739.62 million.
Top 5 Warren Buffett Stocks To Buy Right Now: Buffalo Wild Wings Inc.(BWLD)
Buffalo Wild Wings, Inc. engages in the ownership, operation, and franchise of restaurants in the United States. The company provides quick casual and casual dining services, as well as serves bottled beers, wines, and liquor. As of July 26, 2011, it had 773 Buffalo Wild Wings locations in 45 states in the United States, as well as in Canada. The company was founded in 1982 and is headquartered in Minneapolis, Minnesota.
- [By Victor Selva]
As we can see, the firm has a higher ROE than Wendy´s and Buffalo Wild Wings, Inc. (BWLD), but far less than the ones from Dunkin Brands Group Inc (DNKN) and Brinker International, Inc. (EAT).
- [By Leo Fasciocco]
Buffalo Wild Wings (BWLD) has annual revenues of $1.3 billion. Its owned and franchised restaurants feature a variety of boldly flavored, made-to-order menu items, including Buffalo, New York-style chicken wings spun in one of their signature sauces.
- [By Steve Symington]
Meanwhile, its significantly larger beer-and-wings cousin, Buffalo Wild Wings (NASDAQ: BWLD ) , had just managed to grow revenue 12% year over year — a performance driven not only by new restaurant openings, but also by B-Wild’s respective 5.2% and 3.1% same-store sales increases at company-owned and franchised restaurants. Of course, Buffalo Wild Wings shares also plunged the following day as a result of its cautious forward outlook, but the stock has since rebounded nicely as investors take solace knowing diners are still coming back in droves.
Top 5 Warren Buffett Stocks To Buy Right Now: Franklin Resources Inc.(BEN)
Franklin Resources Inc. is a publicly owned asset management holding company. The firm provides its services to individuals, institutions, pension plans, trusts, and partnerships. It manages, through its subsidiary, separate client-focused equity, fixed income, and balanced portfolios. The firm also launches equity, fixed income, and balanced mutual funds. It launches hedge funds and provides retirement plans to its clients through its subsidiaries. The firm invests in the public equity and fixed income markets across the globe through its subsidiaries. Franklin Resources, Inc was founded in 1947 and is based in San Mateo, California with additional offices in Edinburgh, United Kingdom, Fort Lauderdale, Florida, St. Petersburg, Florida, Hong Kong, China, Melbourne, Australia, Sydney, Australia, Nassau, Bahamas, New York City, Paris, France, Rancho Cordova, California, and Toronto, Ontario.
- [By Dan Caplinger]
In the following video, Dan Caplinger, The Motley Fool’s director of investment planning, goes through a few situations where an IRA rollover might not be ideal. Dan notes that Franklin Templeton (NYSE: BEN ) , AllianceBernstein (NYSE: AB ) , Goldman Sachs (NYSE: GS ) , and other companies often offer cheaper class of mutual funds that would otherwise carry sales loads or higher fees outside a 401(k). Dan also talks about company stock and the special rules for 401(k)s that own it, as well as the importance of looking at overall fees to decide if your 401(k) is the best place to invest or whether an IRA rollover will help you more.
- [By Tim Melvin]
The flood of 13F filings has begun in advance of this week’s deadline. Among the early filers is Michael Price, the once well-known and widely followed value investor. Price compiled an incredible track record at the Mutual Series Funds before selling the operation to Franklin Templeton (BEN) and then retiring a few years later.
- [By Wallace Witkowski]
While the big banks and financial firms have already reported earnings, Greenhaus noted this week will see the largest number of financial sector firms reporting than any other week. More than 20 S&P 500 financial sector companies report including several insurers such as Dow component Travelers Cos. (TRV) , a number of real-estate investment trusts such as Simon Properties Group Inc. (SPG) , capital markets firms such as Franklin Resources Inc. (BEN) and State Street Corp. (STT) , as well as exchange operator Nasdaq OMX Group Inc. (NDAQ)
Top 5 Warren Buffett Stocks To Buy Right Now: Myers Industries Inc.(MYE)
Myers Industries, Inc. manufactures and distributes polymer products for the industrial, agricultural, automotive, commercial, and consumer markets primarily in the North, Central, and South America. It operates in four segments: Material Handling, Lawn and Garden, Engineered Products, and Distribution. The Material Handling segment offers plastic reusable material handling containers, and pallets and bins, as well as metal shelving, cabinets, and racking systems primarily under the Buckhorn and Akro-Mils brand names for automotive, appliance, general industrial/manufacturing, distribution, agriculture, retail, and food processing markets. The Lawn and Garden segment provides injection-molded and thermoformed pots, hanging baskets, flats and carry trays, plug trays, nursery containers, propagation sheets, and specialty pots under the Dillen, ITML, Pro Cal, Listo, Planters? Pride, and Akro-Mils Lawn & Garden brand names for the horticultural container needs of the floricult ure/horticulture market. Its customers include professional growers, greenhouses, nurseries, retail garden centers, mass merchandisers, and consumers. The Engineered Products segment offers engineered plastic and rubber original equipment and replacement parts, tire repair materials, and custom rubber and plastic components and materials under the Ameri-Kart, Patch Rubber, and WEK brand names. This segment serves the automotive, recreational vehicle and marine, construction and agriculture equipment, healthcare, and transportation markets. The Distribution segment distributes tools, equipment, and supplies used for tire, wheel, and undervehicle service on passenger, heavy truck, and off-road vehicles. It offers products under the Myers Tire Supply and Myers Tire Supply International brands to independent tire dealers, mass merchandisers, commercial auto and truck fleets, tire retreaders, and general repair facilities. Myers Industries, Inc. was founded in 1933 and is headqu a rtered in Akron, Ohio.
- [By Seth Jayson]
Calling all cash flows
When you are trying to buy the market’s best stocks, it’s worth checking up on your companies’ free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That’s what we do with this series. Today, we’re checking in on Myers Industries (NYSE: MYE ) , whose recent revenue and earnings are plotted below.
- [By Rich Duprey]
Industrial polymer manufacturer Myers Industries (NYSE: MYE ) announced yesterday its second-quarter dividend of $0.09 per share, the same rate it paid last quarter after raising the payout 12.5%, from $0.08 per share.
- [By Travis Hoium]
What: Shares of Myers Industries (NYSE: MYE ) jumped as much as 12% today after the company reported second-quarter earnings.
So what: Sales jumped 13% to $204 million and net income was up 47% to $8.3 million, or $0.25 per share. Analysts were only expecting $198.1 million in revenue and $0.21 in earnings, so the results were much more than investors had hoped for.