/* Article Data (Server Side) article (o): [object Object] WSODIssue (s): |40203|45719|138551|199529|207106|5086770|36315247 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): Seven stocks with high sales growth to watch after today’s GDP data Link (s): http://folionation.squarespace.com/news/2014/7/31/seven-stocks-with-high-sales-growth-to-watch-after-todays-gd.html Thumbnail (s): DocumentDate_raw (n): 1406813700000 DocumentDate (s): July 31, 2014 DocumentDate_smart (s): Jul 31, 2014 DocumentKey (s): 1107-290734296785734945745-591ILMRNSLHG3OI9O14AJR00IJ ContentType (s): Article TrackingPixel (s): Content (s):

Inventory turnover bolstered second quarter GDP expansion. Will it also help stocks with high sales growth?

After contracting a disappointing 2.9% in the first three months of the year, the US economy rebounded with a better-than-expected 4% annualized growth rate in the second quarter. Many, including the International Money Fund, had expected the US's GDP expansion to hover around 3%.

Instead, a 2.5% jump in consumer spending along with a 5.5% increase in business investment and a 9.5% surge in exports helped drive the economy to its best performance since the third quarter of 2013. And a buildup in private inventories, a value measurement determined by subtracting withdrawals from additions, added 1.7% to GDP growth.

The uptick in inventory and its role in the economy's second-quarter expansion inspired our following list. We began by screening for stocks with encouraging inventory trends, meaning that revenue grew faster than inventory year-over-year and inventory decreased as a percentage of the firm's assets during the same period. We then limited that group to stocks based in the US.

Next, we took a closer look at sales growth since the stocks were all relatively successful in clearing their inventory. We screened for stocks with high sales growth of 25% or greater quarter-over-quarter.

And for our final screen, we looked for stocks that were undervalued with a price/earnings growth (PEG) ratio below 1.

We were left with eight stocks on our list. Do you expect these US stocks with high sales growth to see continued surges in revenue? Use this list as a starting point for your own analysis, and let us know what you think in the comments.

Click on the interactive chart to view data over time. 

 

1. Alliance Fiber Optic Products Inc. (AFOP, Earnings, Analysts, Financials): Engages in the design, manufacture, and marketing of a range of fiber optic components and integrated modules incorporating these components to communications equipment manufacturers and service providers in North America, Europe, and Asia. Market cap at $219.48M, most recent closing price at $11.94.

 


2. Anika Therapeutics Inc. (ANIK, Earnings, Analysts, Financials): Develops, manufactures, and commercializes therapeutic products for tissue protection, healing, and repair. Market cap at $471.76M, most recent closing price at $34.48.

 


3. Gilead Sciences Inc. (GILD, Earnings, Analysts, Financials): Engages in the discovery, development, and commercialization of therapeutics for the treatment of life threatening diseases worldwide. Market cap at $128.19B, most recent closing price at $83.57.

 


4. Methode Electronics Inc. (MEI, Earnings, Analysts, Financials): Designs and manufactures electro-mechanical devices worldwide. Market cap at $1.27B, most recent closing price at $33.77.

 


5. Micron Technology Inc. (MU, Earnings, Analysts, Financials): Engages in the manufacture and marketing of semiconductor devices worldwide. Market cap at $25.89B, most recent closing price at $24.75.

 


6. PGT, Inc. (PGTI, Earnings, Analysts, Financials): Engages in the manufacture and sale of windows and doors. Market cap at $558.09M, most recent closing price at $12.07.

 


7. Wesco Aircraft Holdings, Inc. (WAIR, Earnings, Analysts, Financials): Distributes and provides supply chain management services to the global aerospace industry. Market cap at $2.06B, most recent closing price at $21.69.

 


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relatedData (o:Array(16)): 0 (o): [object Object] Headline (s): Spain's economy grows at its fastest rate since beginning of 2007 Teaser (s): MADRID: Spain's gross domestic product grew 1 per cent April to June on a quarterly basis according to preliminary data from the National Statistics Institute on Thursday, the strongest in over eight years. Source (s): Economic Times DocumentDate (s): 1 hour ago DocumentDate_raw (n): 1438246800000 Link (s): http://economictimes.indiatimes.com/news/international/business/spains-economy-grows-at-its-fastest-rate-since-beginning-of-2007/articleshow/48280482.cms DocumentKey (s): HTTPeconomictimes.indiatimes.com/news/international/business/spains-economy-grows-at-its-fastest-rate-since-beginning-of-2007/articleshow/48280482.cms DMSourceID (s): Google ContentType (s): Article 1 (o): [object Object] Headline (s): Royal Dutch Shell Profits Continue to Fall, Prompting 6500 Layoffs Teaser (s): LONDON - Royal Dutch Shell said on Thursday that its profit fell sharply in the second quarter as a strong performance in marketing and refining failed to offset the brunt of lower oil and gas prices. 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Source (s): Bloomberg DocumentDate (s): 3 hours ago DocumentDate_raw (n): 1438236995000 Link (s): http://www.bloomberg.com/news/articles/2015-07-30/deutsche-bank-second-quarter-profit-jumps-on-lower-tax-payments DocumentKey (s): HTTPwww.bloomberg.com/news/articles/2015-07-30/deutsche-bank-second-quarter-profit-jumps-on-lower-tax-payments DMSourceID (s): Google ContentType (s): Article 3 (o): [object Object] Headline (s): Asian stocks higher after Fed leaves rates unchanged, China steady following ... Teaser (s): Specialist Glenn Carell, foreground, works with traders at his post that handles Twitter, on the floor of the New York Stock Exchange, Wednesday, July 29, 2015. Source (s): Fox Business DocumentDate (s): 3 hours ago DocumentDate_raw (n): 1438236675000 Link (s): http://www.foxbusiness.com/markets/2015/07/30/asian-stocks-higher-after-fed-leaves-rates-unchanged-china-steady-following/ DocumentKey (s): HTTPwww.foxbusiness.com/markets/2015/07/30/asian-stocks-higher-after-fed-leaves-rates-unchanged-china-steady-following/ DMSourceID (s): Google ContentType (s): Article 4 (o): [object Object] Headline (s): Elon Musk's Tesla Referral Program includes Free Model X Teaser (s): Tesla introduces a referral program. It is the first such program for Tesla and it has a lot of incentives include a chance to get a free Model X. Tesla Motors is not advertising and has no dealership network. Source (s): I4U News DocumentDate (s): 4 hours ago DocumentDate_raw (n): 1438236378000 Link (s): http://www.i4u.com/2015/07/93696/elon-musk-announces-tesla-referral-program-saving-big-bucks DocumentKey (s): HTTPwww.i4u.com/2015/07/93696/elon-musk-announces-tesla-referral-program-saving-big-bucks DMSourceID (s): Google ContentType (s): Article 5 (o): [object Object] Headline (s): Whole Foods Market Announces First 365 by Whole Foods Market™ Store Leases Teaser (s): AUSTIN, Texas, Jul 30, 2015 (BUSINESS WIRE) -- Whole Foods Market WFM, -0.29% announced the first five leases for its streamlined, value-oriented 365 by Whole Foods Market brand, with store openings scheduled through 2017. 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Source (s): Washington Technology DocumentDate (s): 7 hours ago DocumentDate_raw (n): 1438225040000 Link (s): http://washingtontechnology.com/articles/2015/07/29/dod-dhmsm-award.aspx DocumentKey (s): HTTPwashingtontechnology.com/articles/2015/07/29/dod-dhmsm-award.aspx DMSourceID (s): Google ContentType (s): Article 7 (o): [object Object] Headline (s): Dollar, bond yields rise on US rate hike bets Teaser (s): LONDON The dollar jumped and world stocks were left flat-footed on Thursday after the Federal Reserve painted a relatively bright picture of the U.S. Source (s): Reuters DocumentDate (s): 9 hours ago DocumentDate_raw (n): 1438217530000 Link (s): http://www.reuters.com/article/2015/07/30/us-markets-global-idUSKCN0Q402720150730 DocumentKey (s): HTTPwww.reuters.com/article/2015/07/30/us-markets-global-idUSKCN0Q402720150730 DMSourceID (s): Google ContentType (s): Article 8 (o): [object Object] Headline (s): Samsung Electronics cautious on outlook, says mobile business environment tough Teaser (s): SEOUL Samsung Electronics Co Ltd (005930.KS) offered a downbeat outlook for the third quarter after April-June profit dropped on a supply shortage for one of its main smartphone models, underscoring continued headwinds for the tech giant. Source (s): Reuters DocumentDate (s): 9 hours ago DocumentDate_raw (n): 1438215750000 Link (s): http://in.reuters.com/article/2015/07/30/samsung-elec-results-idINKCN0Q40SL20150730 DocumentKey (s): HTTPin.reuters.com/article/2015/07/30/samsung-elec-results-idINKCN0Q40SL20150730 DMSourceID (s): Google ContentType (s): Article 9 (o): [object Object] Headline (s): One in every five minutes on a mobile phone is spent on Facebook Teaser (s): Facebook now accounts for one out of every five minutes people spend on mobile phones in the US, the social network revealed, as it unveiled second-quarter results. Source (s): Telegraph.co.uk DocumentDate (s): 11 hours ago DocumentDate_raw (n): 1438209946000 Link (s): http://www.telegraph.co.uk/finance/newsbysector/mediatechnologyandtelecoms/digital-media/11772072/One-in-every-five-minutes-on-a-mobile-phone-is-spent-on-Facebook.html DocumentKey (s): HTTPwww.telegraph.co.uk/finance/newsbysector/mediatechnologyandtelecoms/digital-media/11772072/One-in-every-five-minutes-on-a-mobile-phone-is-spent-on-Facebook.html DMSourceID (s): Google ContentType (s): Article 10 (o): [object Object] WSODIssue (s): DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): Windows 10 has finally arrived Link (s): http://folionation.squarespace.com/news/2015/7/29/windows-10-has-finally-arrived.html Thumbnail (s): DocumentDate_raw (n): 1438185420000 DocumentDate (s): July 29, 2015 DocumentDate_smart (s): 18 hours ago DocumentKey (s): 1107-290734296785735428691-3S507NMJ2TSHGV0L0B4977P7JO ContentType (s): Article TrackingPixel (s): Teaser (s):

The day everyone was waiting for after Windows 8 came out in 2012 has arrived: the release of Windows 10.

Microsoft (MSFT) released Windows 10, its newest operating system software, on Wednesday. This is the first new Windows product since 2012, the same year that the heavily-lambasted Windows 8 came out and PC sales first declined. And in an effort to ensure Windows 10's success and widspread adoption, Microsoft is offering free upgrades to current users with Windows 7 or above.

As of 11:48 AM EST, Microsoft shares are up 2.10 percent.

While Windows 10 has received glowing reviews, the slowdown in the PC market remains an obstacle for Microsoft. According to market research firm IDC, global PC shipments declined by 2.8 percent to 308.6 million units in 2014. On the positive side, this was less than analysts' projected 4.8 percent drop. Furthermore, the Wall Street Journal reports that business customers are likely to install the software in 2016.

11 (o): [object Object] WSODIssue (s): |45294|286571 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): A Tale of Main Street vs. Wall Street: Wal-Mart and Amazon Link (s): http://folionation.squarespace.com/news/2015/7/29/a-tale-of-main-street-vs-wall-street-wal-mart-and-amazon.html Thumbnail (s): DocumentDate_raw (n): 1438185060000 DocumentDate (s): July 29, 2015 DocumentDate_smart (s): 18 hours ago DocumentKey (s): 1107-290734296785735428677-5ANVPOOPHUJMQ8JL6S5G86L3TL ContentType (s): Article TrackingPixel (s): Teaser (s):

E-commerce's meteoric growth is sending Amazon's shares on a tear while Wal-Mart shares are on the decline.​

Excitement over the growth in Amazon.com’s (AMZN) Amazon Web Services, or AWS, was so strong that the stock rallied to $580.57 intraday on July 24. The stock’s price-multiples are beyond stratospheric, and bullishness for the company is very strong.

Amazon reported a 20 percent increase in sales in its second-quarter earnings. Free cash flow was up around fourfold, at $4.37 billion; in the prior year, it was $1.04 billion. Net income was $92 million, or $0.19 per share. Presently, Amazon’s stock boasts a forward P/E of 183.29.

Amazon’s stock performance compared to that of a traditional retailer like Wal-Mart (WMT) speaks volumes: online sales will keep getting bigger and will take market share from brick-and-mortar businesses.

After reaching a high of $90.97 in January, Wal-Mart shares have fallen steadily and are down 15.8 percent since the beginning of the year. The stock is trading around $72. Meanwhile, Amazon is up 69.9 percent over the same period.

Amazon’s valuations appear stretched, but the demand for AWS will only grow. That, along with the popularity of online retail shopping, are the two reasons the stock is richly valued.

A contrarian investor may prefer Walmart. With a forward P/E under 15, Wal-Mart is also expanding its online retailing segment. It recently opened a fulfillment centre in Bethlehem, Pennsylvania. This puts Wal-Mart in direct competition with Amazon and will require significant investment for the firm. Given the low valuation, it is not expensive for investors to consider Wal-Mart.

If Wal-Mart’s online channel is successful, then that could put an end to the downtrend in its share price. 

Written by Chris Lau

 

Click on the interactive chart to view data over time. 

1. Amazon.com Inc. (AMZN, Earnings, Analysts, Financials): Operates as an online retailer in North America and internationally. Market cap at $246.54B, most recent closing price at $526.03.

 

 

2. Wal-Mart Stores Inc. (WMT, Earnings, Analysts, Financials): Operates retail stores in various formats worldwide. Market cap at $233.52B, most recent closing price at $72.10.

 

 

 

(Monthly return data sourced from Zacks Investment Research. All other data sourced from FINVIZ.)

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© Kapitall, Inc. All rights reserved. Kapitall Wire is a division of Kapitall, Inc. Kapitall Generation, LLC is a wholly owned subsidiary of Kapitall, Inc.

Kapitall Wire offers free cutting edge investing ideas, intended for educational information purposes only. It should not be construed as an offer to buy or sell securities, or any other product or service provided by Kapitall Inc., and its affiliate companies.

Open a free account today get access to virtual cash portfolios, cutting-edge tools, stock market insights, and a live brokerage platform through our affiliated company, Kapitall Generation, LLC. 

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12 (o): [object Object] WSODIssue (s): |45563793|72887506|34453364 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): From Google to LinkedIn, everyone is looking at ad revenue Link (s): http://folionation.squarespace.com/news/2015/7/28/from-google-to-linkedin-everyone-is-looking-at-ad-revenue.html Thumbnail (s): DocumentDate_raw (n): 1438110360000 DocumentDate (s): July 28, 2015 DocumentDate_smart (s): Jul 28, 2015 DocumentKey (s): 1107-290734296785735427840-358D1UN64BGPM37R1CE2NJQ36N ContentType (s): Article TrackingPixel (s): Teaser (s):

Ad revenue is Google's bread and butter, and it's becoming more important to Facebook and LinkedIn too.

Google (GOOG) impressed the market when it reported its second-quarter results on July 16. Revenue was up 11 percent year over year, but that is not the reason investors were happy. The firm is focusing on its core strengths, and this has the market excited.

In the second quarter, Google earned $6.99 per share on revenue of $17.72 billion. The higher revenue was encouraging, but it does not justify the stock’s P/E of 29. Fortunately, Google is reigning in costs. In the past, the firm spent heavily on robotics, self-driving cars, social media and Google Glass. None of the initiatives are accretive to earnings.

Ad sales still make up the majority of Google’s revenue. With $12.4 billion in ad revenue from Google sites and $3.6 billion from other sites, the company is still a digital advertising giant. Facebook’s (FB) ad sales may eventually overtake Google’s, but that may take some time.

 A few years ago, Facebook did not have any ads on mobile. In the last year, user engagement stood at one in seven minutes on mobile. Instagram also helped the social media company win a large share of mobile users’ time. By February, Facebook had two million active advertisers.

In the first quarter of 2015, Facebook’s advertising revenue grew by 46 percent, with 73 percent coming from the mobile channel. Total ad revenue was $3.3 billion. For the second quarter, Facebook expects revenue to weaken primarily due to the strong dollar.

Google’s focus back on its core businesses should help boost online ad sales. Investors already expect Facebook’s dominance in social media to continue. Expectations are high on the jobs board market front, too. 

LinkedIn (LNKD) is up as much as Facebook in the last three years:

In the first quarter of 2015, LinkedIn generated $638 million in revenue. Much of that came from subscriptions to the career networking website. Ad revenue accounted for $119 million during the quarter, up 38 percent year over year.

When LinkedIn reports on July 30, the stock could rocket higher. The company warned last quarter that new product releases and a transition in the company’s sales force may negatively hurt the company’s short-term outlook. 

Written by Chris Lau

 

Click on the interactive chart to view data over time. 

1. Facebook Inc. (FB, Earnings, Analysts, Financials): Operates as a social networking company worldwide. Market cap at $265.94B, most recent closing price at $94.17.

 

 

 

2. Google Inc. (GOOG, Earnings, Analysts, Financials): Builds tech products and provides services to organize information. Market cap at $428.79B, most recent closing price at $627.26.

 

 

3. LinkedIn Corporation (LNKD, Earnings, Analysts, Financials): Operates an online professional network. Market cap at $28.46B, most recent closing price at $220.66.

 

 

 

(Monthly return data sourced from Zacks Investment Research. All other data sourced from FINVIZ.)

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© Kapitall, Inc. All rights reserved. Kapitall Wire is a division of Kapitall, Inc. Kapitall Generation, LLC is a wholly owned subsidiary of Kapitall, Inc.

Kapitall Wire offers free cutting edge investing ideas, intended for educational information purposes only. It should not be construed as an offer to buy or sell securities, or any other product or service provided by Kapitall Inc., and its affiliate companies.

Open a free account today get access to virtual cash portfolios, cutting-edge tools, stock market insights, and a live brokerage platform through our affiliated company, Kapitall Generation, LLC. 

Securities products and services are offered by Kapitall Generation, LLC - a FINRA/SIPC member.

13 (o): [object Object] WSODIssue (s): |86785487|6616168|9622118|73328048 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): US infrastructure is aging and in dire need of a refresh Link (s): http://folionation.squarespace.com/news/2015/7/27/us-infrastructure-is-aging-and-in-dire-need-of-a-refresh.html Thumbnail (s): DocumentDate_raw (n): 1438028640000 DocumentDate (s): July 27, 2015 DocumentDate_smart (s): Jul 27, 2015 DocumentKey (s): 1107-290734296785735426843-0PVE5NC2CPSCD1QQK379IT7TT4 ContentType (s): Article TrackingPixel (s): Teaser (s):

Our country relies on it, but very few much-needed improvements to US infrastructure are taking place.

New York Governor Andrew Cuomo and Vice President Joe Biden made a joint appearance Monday afternoon to announce major infrastructure upgrades to LaGuardia Airport. Adding to Biden's "third-world country" description of LaGuardia, Cuomo said the airport was "un-New York" and revealed that construction on a new LaGuardia airport will begin next year. The project is expected to cost the Port Authority of NY & NJ $4 billion.

LaGuardia is but one example of US infrastructure that badly needs an update. There are the Hudson River rail tunnels—which service Amtrak and NJ Transit trains between New York and New Jersey—the Albion River Bridge in coastal California and the nation's wastewater and drinking water systems, to name a few.

According to the American Society of Civil Engineers' 2013 report card, which assesses and grades all segments of US infrastructure, things are in poor shape. The overall grade was a D+, and an estimated $3.6 trillion would need to be invested in infrastructure by 2020 to improve the situation.

Per Governing.com, the five largest infrastructure projects currently underway in the US are the Dulles International Airport Corridor Metrorail Project, Otay Mesa East port facility construction, modernization of O'Hare International Airport, expansion of the Crescent Corridor freight rail network and replacing the Alaskan Way Viaduct. Combined the projects will cost $21.4 billion. 

While there are trillions that need to be invested in US infrastructure, the fact remains that they haven't been yet. Perhaps this is why infrastructure ETFs with exposure to potential US projects haven't been performing well. In fact, all of the following funds have underperformed the market on a monthly quarterly and year-to-date basis. 

Could the LaGuardia airport project help some of these ETFs turn things around?

Click on the interactive chart to view data over time. 

1. Deutsche X-trackers S&P Hedged Global Infrastructure ETF (DBIF, Earnings, Analysts, Financials): Seeks to track the performance of equity securities of infrastructure issuers in developed markets. Net assets under management: $3.53M, most recent closing price: $23.77.

The fund has underperformed the market by -3.22% over the last month, -5.54% over the last quarter and -4.66% since the beginning of the year.

 

2. SPDR S&P Global Infrastructure ETF (GII, Earnings, Analysts, Financials): Seeks to reflect the stock performance of companies within the infrastructure industry, principally those engaged in management, ownership and operation of infrastructure and utility assets. Net assets under management: $97.83M, most recent closing price: $46.08.

The fund has underperformed the market by -4.46% over the last month, -8.40% over the last quarter and -3.64% since the beginning of the year.

 

3. iShares Global Infrastructure ETF (IGF, Earnings, Analysts, Financials): Seeks to replicate the S&P Global Infrastructure Index. Net assets under management: $1.20B, most recent closing price: $40.05.

The fund has underperformed the market by -4.09% over the last month, -8.00% over the last quarter and -3.79% since the beginning of the year.

 

4. DJ Brookfield Global Infrastructure ETF (TOLZ, Earnings, Analysts, Financials): Seeks to replicate Dow Jones Brookfield Global Infrastructure Composite Index. Net assets under management: $25.99M, most recent closing price: $40.55.

The fund has underperformed the market by -5.60% over the last month, -10.04% over the last quarter and -7.10% since the beginning of the year.

 

(Monthly return data sourced from Zacks Investment Research. Assets data sourced from Yahoo! Finance. All other data sourced from FINVIZ.)

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© Kapitall, Inc. All rights reserved. Kapitall Wire is a division of Kapitall, Inc. Kapitall Generation, LLC is a wholly owned subsidiary of Kapitall, Inc.

Kapitall Wire offers free cutting edge investing ideas, intended for educational information purposes only. It should not be construed as an offer to buy or sell securities, or any other product or service provided by Kapitall Inc., and its affiliate companies.

Open a free account today get access to virtual cash portfolios, cutting-edge tools, stock market insights, and a live brokerage platform through our affiliated company, Kapitall Generation, LLC. 

Securities products and services are offered by Kapitall Generation, LLC - a FINRA/SIPC member.

14 (o): [object Object] WSODIssue (s): |21167564|45304298|210195|90065765 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): What is NCR, the company behind ATMs, worth? Link (s): http://folionation.squarespace.com/news/2015/7/27/what-is-ncr-the-company-behind-atms-worth.html Thumbnail (s): DocumentDate_raw (n): 1438016040000 DocumentDate (s): July 27, 2015 DocumentDate_smart (s): Jul 27, 2015 DocumentKey (s): 1107-290734296785735426587-1771A52F86OFS0TR77MQT0M8KF ContentType (s): Article TrackingPixel (s): Teaser (s):

How much is that ATM manufacturer in the window? In the case of NCR, it's $10 billion.

ATM-maker NCR Corporation (NCR), which boasts a market capitalization of $5.2 billion, is in play. Two private equity firms—Blackstone (BX) and Carlyle (CG)—are teaming up to buy the company for $40 a share, or $10 billion.

NCR is in the business of running transactions. This may seem boring, but last year, it generated $6.5 billion in annual sales and is expected to see $6.81 billion at the end of 2015.

The stock is trading at a discount to the bidding price, but it is not inexpensive. Its P/E is 31.33, while the forward P/E is around 10.

With the way shares are trading, it is uncertain if the buyout will happen at all. Current shareholders are valuing the stock at the right level because the purchase price would include NCR’s roughly $3.2 billion debt.

Another reason is that the electronic payment process industry is a better investing option than NCR. There is already strong interest for cryptocurrency, but that is not an investment idea. PayPal (PYPL) is a legitimate business that holds significant potential. The company made $2.16 billion in revenue in Q4 2014.

PayPal is growing. The company acquired Xoom, a digital remittance company. It also bought Paydiant, a white-label mobile wallet platform. Lastly, PayPal’s Braintree unit services businesses by providing them with online payment services.

NCR may or may not be bought out, but if it is, there is some upside. For investors too impatient to wait, PayPal is another transaction-centric company that has the potential.

Written by Chris Lau

 

Click on the interactive chart to view data over time. 

1. The Blackstone Group L.P. (BX, Earnings, Analysts, Financials): Provides alternative asset management and financial advisory services worldwide. Market cap at $45.26B, most recent closing price at $38.26.

 

 

2. The Carlyle Group LP (CG, Earnings, Analysts, Financials): Specializes in direct and fund of fund investments. Market cap at $8.43B, most recent closing price at $26.15.

 

 

 

3. NCR Corporation (NCR, Earnings, Analysts, Financials): Provides technologies and services that enable businesses to connect, interact, and transact with their customers in the financial industry worldwide. Market cap at $5.20B, most recent closing price at $30.70.

 

 

4. PayPal Holdings Inc. (PYPL, Earnings, Analysts, Financials): Operates as a technology platform company that enables digital and mobile payments on behalf of consumers and merchants worldwide. Market cap at $45.14B, most recent closing price at $37.0.

 

 

(Monthly return data sourced from Zacks Investment Research. All other data sourced from FINVIZ.)

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The Chinese stock market had a terrible Monday, falling the most it has in one day in eight years.

After three weeks of government-induced calm, the Chinese stock market dropped by over 8 percent on Monday, its biggest tumble since February 2007. The benchmark Shanghai Composite Index fell 8.5 percent, the tech-heavy Shenzhen Composite slid 7 percent and the CSI300 index, which includes the largest firms on the Shanghai and Shenzhen indexes, declined 8.5 percent.

Monday's Chinese stock market crash calls into question the sustainability of the Chinese government's intervention, which came in the midst of China's bear market earlier this month. After rising 150 percent between June 2014 and June 2015, the Shanghai Composite took a turn for the worse on June 12, losing nearly 30 percent by July 7. The Shenzen Composite lost approximately 40 percent over the same period.

To stop the collapse, the Chinese government officially prohibited major shareholders from selling shares for six months. Unofficially, the government seems to have encouraged 21 major brokerages to agree to buy $120 billion yuan worth of stocks in a market-stabilization attempt and 28 private companies to call off their IPOs.

The Deutsche X-trackers Harvest CSI300 ETF China A-Shares ETF (ASHR), which tracks the CSI300, is down 9.28 percent today as of 10:41 AM EST. Over a three-month period, the ETF is down 20.97 percent.

*/ Seven stocks with high sales growth to watch after today’s GDP data

Seven stocks with high sales growth to watch after today’s GDP data

Inventory turnover bolstered second quarter GDP expansion. Will it also help stocks with high sales growth?

After contracting a disappointing 2.9% in the first three months of the year, the US economy rebounded with a better-than-expected 4% annualized growth rate in the second quarter. Many, including the International Money Fund, had expected the US's GDP expansion to hover around 3%.

Instead, a 2.5% jump in consumer spending along with a 5.5% increase in business investment and a 9.5% surge in exports helped drive the economy to its best performance since the third quarter of 2013. And a buildup in private inventories, a value measurement determined by subtracting withdrawals from additions, added 1.7% to GDP growth.

The uptick in inventory and its role in the economy's second-quarter expansion inspired our following list. We began by screening for stocks with encouraging inventory trends, meaning that revenue grew faster than inventory year-over-year and inventory decreased as a percentage of the firm's assets during the same period. We then limited that group to stocks based in the US.

Next, we took a closer look at sales growth since the stocks were all relatively successful in clearing their inventory. We screened for stocks with high sales growth of 25% or greater quarter-over-quarter.

And for our final screen, we looked for stocks that were undervalued with a price/earnings growth (PEG) ratio below 1.

We were left with eight stocks on our list. Do you expect these US stocks with high sales growth to see continued surges in revenue? Use this list as a starting point for your own analysis, and let us know what you think in the comments.

Click on the interactive chart to view data over time. 

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1. Alliance Fiber Optic Products Inc. (AFOP, Earnings, Analysts, Financials): Engages in the design, manufacture, and marketing of a range of fiber optic components and integrated modules incorporating these components to communications equipment manufacturers and service providers in North America, Europe, and Asia. Market cap at $219.48M, most recent closing price at $11.94.

 

2. Anika Therapeutics Inc. (ANIK, Earnings, Analysts, Financials): Develops, manufactures, and commercializes therapeutic products for tissue protection, healing, and repair. Market cap at $471.76M, most recent closing price at $34.48.

 

3. Gilead Sciences Inc. (GILD, Earnings, Analysts, Financials): Engages in the discovery, development, and commercialization of therapeutics for the treatment of life threatening diseases worldwide. Market cap at $128.19B, most recent closing price at $83.57.

 

4. Methode Electronics Inc. (MEI, Earnings, Analysts, Financials): Designs and manufactures electro-mechanical devices worldwide. Market cap at $1.27B, most recent closing price at $33.77.

 

5. Micron Technology Inc. (MU, Earnings, Analysts, Financials): Engages in the manufacture and marketing of semiconductor devices worldwide. Market cap at $25.89B, most recent closing price at $24.75.

 

6. PGT, Inc. (PGTI, Earnings, Analysts, Financials): Engages in the manufacture and sale of windows and doors. Market cap at $558.09M, most recent closing price at $12.07.

 

7. Wesco Aircraft Holdings, Inc. (WAIR, Earnings, Analysts, Financials): Distributes and provides supply chain management services to the global aerospace industry. Market cap at $2.06B, most recent closing price at $21.69.

 

Analyze These Ideas: Getting Started

Read descriptions for all companies mentionedAccess a performance overview for all stocks in the listCompare analyst ratings for the companies mentionedCompare analyst ratings to annual returns for stocks mentionedReal-Time Opinion: Scan the latest tweets about these companies (feed will open in a new window)

Dig Deeper: Access Company Snapshots, Charts, Filings

Alliance Fiber Optic Products Inc.(AFOP, Chart, Download SEC Filings)Anika Therapeutics Inc.(ANIK, Chart, Download SEC Filings)Gilead Sciences Inc.(GILD, Chart, Download SEC Filings)Methode Electronics Inc.(MEI, Chart, Download SEC Filings)Micron Technology Inc.(MU, Chart, Download SEC Filings)PGT, Inc.(PGTI, Chart, Download SEC Filings)Wesco Aircraft Holdings, Inc.(WAIR, Chart, Download SEC Filings)

ABOUT US

© Kapitall, Inc. All rights reserved. Kapitall Wire is a division of Kapitall, Inc. Kapitall Generation, LLC is a wholly owned subsidiary of Kapitall, Inc.

Kapitall Wire offers free cutting edge investing ideas, intended for educational information purposes only. It should not be construed as an offer to buy or sell securities, or any other product or service provided by Kapitall Inc., and its affiliate companies.

Open a free account today get access to virtual cash portfolios, cutting-edge tools, stock market insights, and a live brokerage platform through our affiliated company, Kapitall Generation, LLC. 

Securities products and services are offered by Kapitall Generation, LLC - a FINRA/SIPC member.

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