The S&P 500 tried to close at a new all-time high today, but ultimately couldn’t pull it off.
andrew gombert/European Pressphoto Agency
The S&P 500 rose 1.3% to 2,129.90 this week after gaining 1.5% today, while the Dow Jones Industrial Average advanced 1.1% to18,146.74 this week after rising 250.86 points, or 1.4% today. The Nasdaq Composite gained 1.9% to 4,956.76 this week after climbing 1.6% today. The 10-year Treausury yield closed at 1.366%, a record low.
Citigroup’s Steven Englander explains why the payrolls report was good for stocks:
NFP at 287k is a shocker, but the Fed is looking at a 2mth MA of 149k and a 6mth of 172k and 12mth of 204k. All of these are decelerating. It is hard for them to tell if this is labor supply or labor demand, but the numbers are neither weak enough for them to think in terms of easing nor strong enough for them to want to hike. The spike up and down make it likely that this is a data aberration rather than May being particularly weak or June particularly strong. This is a good number for risk because it reduces the tail risk that the US is sliding into the no-growth abyss of the rest of the world, which would have generated a significant bad news is bad news response. Right now this is more positive for risk than a couple of extra bps of fed fund risk. For most of the market the combo of Brexit risk, EZ banks risk and China slowdown risk is more than enough to keep the Fed on hold; many on the Fed are inclined to see the glass as half empty anyway. Just as the BoE exp ects a tidal wave of bad economic data related to Brexit, many on the Fed see overseas growth as sapping US activity.
Top Healthcare Equipment Companies To Buy Right Now: Coca-Cola Company (The)(KO)
The Coca-Cola Company, a beverage company, manufactures and distributes various nonalcoholic beverages worldwide. The company primarily offers sparkling beverages and still beverages. Its sparkling beverages include nonalcoholic ready-to-drink beverages with carbonation, such as carbonated energy drinks, and carbonated waters and flavored waters. The companys still beverages comprise nonalcoholic beverages without carbonation, including noncarbonated waters, flavored and enhanced waters, noncarbonated energy drinks, juices and juice drinks, ready-to-drink teas and coffees, and sports drinks. It also provides flavoring ingredients, sweeteners, beverage ingredients, and fountain syrups, as well as powders for purified water products. The Coca-Cola Company sells its products primarily under the Coca-Cola, Diet Coke/Coca-Cola Light, Coca-Cola Zero, Fanta, Sprite, Minute Maid, Georgia, Powerade, Del Valle, Schweppes, Aquarius, Mi nute Maid Pulpy, Dasani, Simply, Glac茅au Vitaminwater, Bonaqua/Bonaqa, Gold Peak, FUZE TEA, Glac茅au Smartwater, and Ice Dew brand names. The company offers its beverage products through a network of company-owned or controlled bottling and distribution operators, as well as through independent bottling partners, distributors, wholesalers, and retailers. The Coca-Cola Company was founded in 1886 and is headquartered in Atlanta, Georgia.
- [By Dan Moskowitz]
Due to its industry, retail beverages, Cott is often compared to all-mighty Coca-Cola (NYSE: KO ) and often underappreciated PepsiCo (NYSE: PEP ) . The latter is often underappreciated because not many retail investors are aware of its dominance in the snack category, which makes it more diversified than both Cott and Coca-Cola. On the other hand, Coca-Cola owns the top brand name in the world, and that’s difficult to compete with. Like Cott, Coca-Cola is likely to focus more on what’s selling well, which includes ready-to-drink teas, juices, sports drinks, and energy drinks.
Top Healthcare Equipment Companies To Buy Right Now: Fortinet, Inc.(FTNT)
Fortinet, Inc. provides cyber security solutions for enterprises, service providers, and government organizations worldwide. The company offers FortiGate physical and virtual appliances products that provide various security and networking functions, including firewall, intrusion prevention, anti-malware, virtual private network, application control, Web filtering, anti-spam, and wide area network acceleration; FortiManager product family to provide a central management solution for FortiGate products comprising software updates, configuration, policy settings, and security updates; and the FortiAnalyzer product family, which provides a single point of network log data collection. It also offers FortiAP secure wireless access points; FortiWeb, a Web application firewall; FortiMail email security; FortiDB database security appliances; FortiClient, an endpoint security software; and FortiSwitch secure switch connectivity product s. In addition, the company provides FortiSandbox advanced threat protection solutions; and FortiDDos and FortiDB database security appliances. Further, it offers security subscription, technical support, training, and professional services. The company was founded in 2000 and is headquartered in Sunnyvale, California.
- [By Lee Jackson]
Deutsche Bank also listed Expedia Inc. (NASDAQ: EXPE), Fortinet Inc. (NASDAQ: FTNT) and Informatica Corp. (NASDAQ: INFA) as the three most controversial stocks. These three literally generated the most hallway, and probably bar-stool, debates at the conference.
Top 10 Prefered Stocks To Watch For 2016: 21Vianet Group, Inc.(VNET)
21Vianet Group, Inc. provides carrier-neutral Internet data center services to Internet companies, government entities, blue-chip enterprises, and small- to mid-sized enterprises in the Peoples Republic of China. It offers hosting and related services to house servers and networking equipment in its data centers, and connects them through a data transmission network; and other hosting related value-added services. The companys hosting and related services include managed hosting services that offer data center space to customers servers and networking equipment and provide tailored server administration services; and interconnectivity services that allow customers to connect their servers with Internet backbones and other networks through its border gateway protocol network or single-line, dual-line, or multiple-line network. Its hosting and related services also comprises content delivery network services; cloud service s that enable businesses to run their applications over the Internet using its IT infrastructure; virtual private network services; and value-added services, such as firewall, server load balancing, data backup and recovery, data center management, server management, and backup server services. In addition, the company provides traffic charts and analysis, gateway monitoring for servers, domain name system setup, defense mechanism against distributed denial of service attacks, basic setting of switches and routers, and virus protections; managed network services that allow customers to transmit data across the Internet through its hosting area network and data transmission network; route optimization services; and wired broadband services. As of December 31, 2014, it operated 16 self-built and 73 partnered data centers located in approximately 30 cities in China with 21,522 cabinets. It has strategic partnerships with Microsoft Corporation and IBM. The company was founded in 1999 and is headquartered in Beijing, the Peoples Republi! c of China.
- [By Monica Gerson]
21Vianet Group Inc (NASDAQ: VNET) shares rose 5.88 percent to $15.30 in the pre-market trading session as the company reported a $388 million investment by TUS Holdings.
Top Healthcare Equipment Companies To Buy Right Now: Flextronics International Ltd.(FLEX)
Flextronics International Ltd. provides design and electronics manufacturing services to original equipment manufacturers. The company offers its services to a range of products in the infrastructure, mobile communication devices, computing, consumer digital devices, industrial, semiconductor capital equipment, clean technology, aerospace and defense, white goods, automotive and marine, and medical devices markets. Its services include design and engineering services, such as contract design, joint development manufacturing, and original design and manufacturing services in a range of technical competencies that include system architecture, user interface and industrial design, mechanical engineering, enclosure systems, thermal and tooling design, electronic system design, reliability and failure analysis, and component level development engineering; and systems assembly and manufacturing services, including enclosures, testing, and materials procurement and inventory mana gement services. The company also offers various component product solutions comprising rigid and flexible printed circuit board fabrication, display and touch solutions, optomechatronics, and power supplies; after market supply chain logistics services; and reverse logistics and repair services, such as returns management, exchange programs, complex repair, asset recovery, recycling, and e-waste management services for consumer and midrange products, printers, PDA’s, mobile phones, consumer medical devices, notebooks, PC’s, set-top boxes, game consoles, and infrastructure products. It has operations in Asia, the Americas, and Europe. Flextronics International Ltd. was founded in 1990 and is headquartered in Singapore.
- [By Amber Hestla, Michael J. Carr]
Among its suppliers is Flextronics International (Nasdaq: FLEX), which offers a variety of engineering services and provides supply chain management. Other Flextronics customers include Hewlett-Packard (NYSE: HPQ), LG and Google's (Nasdaq: GOOG) Motorola Mobility.
Top Healthcare Equipment Companies To Buy Right Now: Illinois Tool Works Inc.(ITW)
Illinois Tool Works Inc. manufactures and sells industrial products and equipment worldwide. It operates through seven segments: Automotive OEM; Test & Measurement and Electronics; Food Equipment; Polymers & Fluids; Welding; Construction Products; and Specialty Products. The Automotive OEM segment produces components and fasteners for automotive-related applications. The Test & Measurement and Electronics segment provides equipment, consumables, and related software for testing and measuring of materials and structures, as well as equipment and consumables used in the production of electronic subassemblies and microelectronics. The Food Equipment segment offers commercial food equipment and related services. The Polymers & Fluids segment produces adhesives, sealants, lubrication and cutting fluids, and fluids and polymers for auto aftermarket maintenance and appearance. The Welding segment produces arc welding equipment, consu mables, and accessories for various industrial and commercial applications. The Construction Products segment produces engineered fastening systems and solutions. The Specialty Products segment provides beverage packaging equipment and consumables, product coding and marking equipment and consumables, and appliance components and fasteners. The company distributes its products directly to industrial manufacturers, as well as through independent distributors. Illinois Tool Works Inc. was founded in 1912 and is headquartered in Glenview, Illinois.
- [By Ben Levisohn]
Technology and Industrials are our favorite ways to buy cyclical MO. Specifically, we see the Technology Select Sector SPDR ETF (XLK) as an attractive pre-breakout idea and a likely candidate to lead the S&Ps secular advance over the coming years. Buy ideas at the stock level include: Accenture (ACN), Broadcom (AVGO), Microsoft , Texas Instruments (TXN),Visa (V),Yahoo! (YHOO). We also recommend buying the Industrial Select Sector SPDR ETF (XLI) which is reversing its year-long downtrend and in position for new highs over the coming months, in our view. Buy ideas at the stock level include: Honeywell International, Ingersoll-Rand (IR), Illinois Tool Works (ITW), 3M, Southwest Airlines (LUV), Xylem (XYL). Underlined stocks are fundamentally-rated Outperform at Oppenheimer.
Top Healthcare Equipment Companies To Buy Right Now: Smithfield Foods Inc.(SFD)
Smithfield Foods, Inc., together with its subsidiaries, engages in the production and marketing of fresh meat and packaged meats products in the United States and internationally. The company involves in the production of hog; and produces various fresh pork, beef, poultry, and packaged meats products. It sells fresh pork to retail customers as unprocessed and trimmed cuts, such as butts, loins, picnics, and ribs; packaged meats products, including smoked and boiled hams, bacon, sausage, hot dogs, and deli and luncheon meats; specialty products, such as pepperoni and dry meat products; and ready-to-eat prepared foods comprising pre-cooked entrees, and pre-cooked bacon and sausages. The company offers its products to supermarket chains; wholesale distributors; the foodservice industry, including fast food, restaurant and hotel chains, hospitals, and other institutional customers; export markets; and other further processors. It sells its products through its salespersons an d independent commission brokers. Smithfield Foods, Inc. was founded in 1961 and is headquartered in Smithfield, Virginia.
- [By Victor Mora]
Smithfield Foods is a provider of fresh and packaged meat products that are seen as a staple food item for many consumers and growing populations worldwide. A takeover of the company is believed to be going through after a shareholder vote scheduled for Tuesday. The stock has been moving higher in recent years and is now trading slightly below all-time high prices. Over the last four quarters, investors have had mixed feelings about the company, as earnings have been decreasing and revenues have been rising. Relative to its peers and sector, Smithfield Foods has been a year-to-date performance leader. WAIT AND SEE if a vote to acquire Smithfield Foods goes through.