/* Article Data (Server Side) article (o): [object Object] Content (s): Article Not Found. relatedData (o:Array(16)): 0 (o): [object Object] Headline (s): Zynga Shares Their First Quarter Results After Cost Cuts Teaser (s): Most companies are sharing their first quarter results, with a number of these companies posting that they are seeing an increase in profits. Source (s): CDA News DocumentDate (s): 41 minutes ago DocumentDate_raw (n): 1462421250000 Link (s): http://cdanews.com/2016/05/zynga-shares-their-first-quarter-results-after-cost-cuts/ DocumentKey (s): HTTPcdanews.com/2016/05/zynga-shares-their-first-quarter-results-after-cost-cuts/ DMSourceID (s): Google ContentType (s): Article 1 (o): [object Object] Headline (s): Consumer Agency Moves to Assert Bank Customers' Right to Sue Teaser (s): Richard Cordray, director of the Consumer Financial Protection Bureau, before a hearing of the Senate Banking, Housing and Urban Affairs Committee last month. Source (s): New York Times DocumentDate (s): 53 minutes ago DocumentDate_raw (n): 1462420575000 Link (s): http://www.nytimes.com/2016/05/05/business/dealbook/consumer-agency-moves-to-assert-bank-customers-right-to-sue.html DocumentKey (s): HTTPwww.nytimes.com/2016/05/05/business/dealbook/consumer-agency-moves-to-assert-bank-customers-right-to-sue.html DMSourceID (s): Google ContentType (s): Article 2 (o): [object Object] Headline (s): NY / Region|Shutdown or Less Service? MTA Weighs 2 Options for L Train Project Teaser (s): Crews work on the L train line after Hurricane Sandy damaged it in 2012. The Metropolitan Transportation Authority is considering two options for fixing the line's tunnel under the East River. 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Source (s): Quartz DocumentDate (s): 1 hour ago DocumentDate_raw (n): 1462417200000 Link (s): http://qz.com/674991/baidu-should-have-even-higher-standards-than-google-because-its-all-chinas-citizens-have/ DocumentKey (s): HTTPqz.com/674991/baidu-should-have-even-higher-standards-than-google-because-its-all-chinas-citizens-have/ DMSourceID (s): Google ContentType (s): Article 4 (o): [object Object] Headline (s): Lawsuit seeks stronger regulation by EPA on how drillers handle, dispose of ... Teaser (s): In a lawsuit filed Wednesday, seven environmental and community organizations are suing the U.S. Environmental Protection Agency in federal court to compel the agency to tighten controls on the handling and disposal of oil and shale gas drilling and ... Source (s): Pittsburgh Post-Gazette DocumentDate (s): 6 hours ago DocumentDate_raw (n): 1462399264000 Link (s): http://powersource.post-gazette.com/powersource/policy-powersource/2016/05/04/Lawsuit-seeks-stronger-regulation-by-EPA-on-how-drillers-handle-dispose-of-fracking-waste/stories/201605040156 DocumentKey (s): HTTPpowersource.post-gazette.com/powersource/policy-powersource/2016/05/04/Lawsuit-seeks-stronger-regulation-by-EPA-on-how-drillers-handle-dispose-of-fracking-waste/stories/201605040156 DMSourceID (s): Google ContentType (s): Article 5 (o): [object Object] Headline (s): Tribune Publishing rejects Gannett offer Teaser (s): Tribune Publishing's board has voted unanimously to reject Gannett's $815 million unsolicited offer to buy the Chicago-based owner of the Chicago Tribune, Los Angeles Times and other major newspapers. Source (s): Chicago Tribune DocumentDate (s): 7 hours ago DocumentDate_raw (n): 1462397364000 Link (s): http://www.chicagotribune.com/business/ct-tribune-publishing-rejects-gannett-0505-biz-20160504-story.html DocumentKey (s): HTTPwww.chicagotribune.com/business/ct-tribune-publishing-rejects-gannett-0505-biz-20160504-story.html DMSourceID (s): Google ContentType (s): Article 6 (o): [object Object] Headline (s): Tesla Motors posts a bigger loss, and two key executives plan to leave Teaser (s): Tesla Motors Inc. reported a larger first-quarter loss compared with a year ago Wednesday, but the report nearly was overshadowed by the planned departure of two of the company's key manufacturing executives. Source (s): Los Angeles Times DocumentDate (s): 7 hours ago DocumentDate_raw (n): 1462395238000 Link (s): http://www.latimes.com/business/autos/la-fi-tesla-earns-20160504-story.html DocumentKey (s): HTTPwww.latimes.com/business/autos/la-fi-tesla-earns-20160504-story.html DMSourceID (s): Google ContentType (s): Article 7 (o): [object Object] Headline (s): 4 Reasons Why Aeropostale Lost Its Cool With Shoppers Teaser (s): NEW YORK - Aeropostale Inc., once a popular mall destination for teens, has filed for Chapter 11 bankruptcy protection, becoming the latest victim in the fast-changing retail landscape. Source (s): New York Times DocumentDate (s): 8 hours ago DocumentDate_raw (n): 1462394364000 Link (s): http://www.nytimes.com/aponline/2016/05/04/business/ap-us-aeropostale-teen-woes.html DocumentKey (s): HTTPwww.nytimes.com/aponline/2016/05/04/business/ap-us-aeropostale-teen-woes.html DMSourceID (s): Google ContentType (s): Article 8 (o): [object Object] WSODIssue (s): |41742|4541440|3346440 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): Sell In May and Go Away? Link (s): http://folionation.squarespace.com/news/2016/5/4/sell-in-may-and-go-away.html Thumbnail (s): DocumentDate_raw (n): 1462381200000 DocumentDate (s): May 4, 2016 DocumentDate_smart (s): 1:00 PM DocumentKey (s): 1107-290734296785735677591-0M1C46PR5VVN098PJJQFKRJCJV ContentType (s): Article TrackingPixel (s): Teaser (s):

Just as schoolchildren learn "April showers bring May flowers," investors know "Sell in May and go away." 

"Sell in May and go away" is one of Wall Street's most beloved cliches. The idea behind the saying is that investors should sell their stocks in May to avoid the seasonal underperformance that takes place between May and October. Per Investopedia, citing the Stock Trader's Almanac, the average return of the Dow Jones Industrial Average is 0.3% between May and October, compared to 7.5% between November and April since 1950.

Of course, following cliches may not be the best investing strategy, especially since past performance isn't indicative of future performance. Take last May, for example. At the end of the month, the Dow and S&P 500 were up 1%, while the Nasdaq gained roughly 3%.

The three indices also had a good May back in 2014; the Dow hit a new high, the S&P 500 rose over 2% and the Nasdaq surged 3.1%. And as Brian Lund pointed out over at Daily Finance, the SPDR S&P 500 ETF (SPY) and the Powershares QQQ ETF (QQQ), which track the S&P 500 and Nasdaq, respectively, rose 6% and 14% between May 2 and September 2, 2014.

On the other hand, following investor selling can be a useful metric when considering a stock. Significant selling by institutional investors, such as hedge funds and mutual funds, and company insiders can indicate increased bearishness towards a stock. Both groups of investors are likely to have a better understanding of the company's specific industry—as well as the various conditions that can affect its success—than the average investor. When insiders sell, lack of faith in the company's future may be why, though there are other possible explanations as well.

Screening for stocks with an uptick in selling by institutional investors and insiders is one way to get a sense of how bearish informed investors are towards a stock. With that in mind, here are three stocks with very negative institutional and insider transactions. That means that the net activity for both institutional and insider transactions has been at least 20% negative. 

Click on the interactive chart to view data over time. 

 

1. Alliance Healthcare Services Inc. (AIQ): Provides outpatient diagnostic imaging services and radiation therapy services in the United States. Market cap at $74.55M, most recent closing price at $7.02.

Insider transactions at -26.68%.

Institutional transactions at -55.05%,

 

2. Lake Shore Bancorp Inc. (LSBK): Operates as the holding company for Lake Shore Savings Bank that provides banking products and services in New York. Market cap at $89.29M, most recent closing price at $14.25.

Insider transactions at -23.15%.

Institutional transactions at -26.61%.

 

3. PharmAthene Inc. (PIP): Engages in the development and commercialization of medical countermeasures against biological and chemical weapons in the United States. Market cap at $156.11M, most recent closing price at $2.40.

Insider transactions at -28.85%.

Institutional transactions at -22.87%,

 

 (Monthly return data provided by MOD. 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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9 (o): [object Object] Headline (s): US Productivity Shrinks Again in First Quarter Teaser (s): One of the worst stretches ever for American productivity growth is getting even worse. Worker productivity—the output of goods and services for each hour of labor—slid in the opening months of the year as companies shelled out more on wages. Source (s): Wall Street Journal DocumentDate (s): 16 hours ago DocumentDate_raw (n): 1462365388000 Link (s): http://www.wsj.com/articles/u-s-productivity-fell-1-in-first-quarter-1462365346 DocumentKey (s): HTTPwww.wsj.com/articles/u-s-productivity-fell-1-in-first-quarter-1462365346 DMSourceID (s): Google ContentType (s): Article 10 (o): [object Object] Headline (s): Wall St. falls as data adds to growth worries; biotechs down Teaser (s): NEW YORK U.S. stocks declined for a second day on Wednesday, weighed down by tepid data on private sector U.S. jobs and a retreat in biotech shares. Source (s): Reuters DocumentDate (s): 16 hours ago DocumentDate_raw (n): 1462363966000 Link (s): http://www.reuters.com/article/us-usa-stocks-idUSKCN0XV180 DocumentKey (s): HTTPwww.reuters.com/article/us-usa-stocks-idUSKCN0XV180 DMSourceID (s): Google ContentType (s): Article 11 (o): [object Object] WSODIssue (s): DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): The Dire Straits of Puerto Rico Link (s): http://folionation.squarespace.com/news/2016/4/29/the-dire-straits-of-puerto-rico.html Thumbnail (s): DocumentDate_raw (n): 1461962820000 DocumentDate (s): April 29, 2016 DocumentDate_smart (s): Apr 29, 2016 DocumentKey (s): 1107-290734296785735673852-4GS1NUE80E5KUCDTM7OV928VKV ContentType (s): Article TrackingPixel (s): Teaser (s):

Puerto Rico can't pay its creditors, and Congress is dragging its heels with a relief measure to help the island.

May Day is a holiday celebrated around the world, but this year, the first day of May signals the dawn of a new economic nightmare for Puerto Rico. The small island, which became a U.S. territory in 1898, is supposed to make a $422 million payment to its creditors the following day, May 2. Unfortunately, after nine years of recession, Puerto Rico is broke, and missing Monday's payment means that the island will default on its debt. 

How It Happened

The severity of Puerto Rico's fiscal crisis made international headlines in June 2015 when Governor Alejandro Garcia Padilla made an astonishing announcement: the island was unable to pay its $72 billion debt. Padilla expressed his desire to make arrangements to restructure Puerto Rico's debt with its creditors. 

But as a commonwealth, Puerto Rico is only entitled to some of the benefits that states enjoy. Citizenship is one of them; bankruptcy protection isn't. And the differences don't end there: while the U.S. gradually bounced back from the 2008 economic crisis, Puerto Rico continued to flounder.

Part of the reason for Puerto Rico's sustained economic demise stems from its nearly decade-long recession. The island slid into a recession in 2006 after the U.S. government eliminated the Section 936 tax incentive, which gave American businesses based in Puerto Rico a federal tax exemption. The Clinton Administration decided to eliminate Section 936 in the '90s an effort to raise revenue to shrink the Federal deficit despite then-Governor Dr. Pedro J. Rossello and various business groups arguing that removing Section 936 would devastate the Puerto Rican economy

Lo and behold, in 2006, at the completion of the 10-year plan to phase out Section 936, Puerto Rico's economy contracted. And in the years that followed, the Puerto Rican government borrowed lots of money to run the country.

Where Things Stand

Ten months after Padilla's announcement, and Puerto Rico's situation has only worsened. In July 2015, 34 hedge funds—clearly unbothered by the vulture fund nickname—suggested that the government close schools and fire teachers. The funds reasoned the government could then use funds that were earmarked for education to pay off its debts. 

Even though the government didn't take the funds' advice, public programs have suffered amid the crisis. The government was unable to make a $250 million payment to its hospitals last year, further exasperating an already underfunded and overwhelmed healthcare system.

As a result, services and hours have been cut, and now coverage is on the chopping block. Ricardo Rivera-Cardona, the head of the Health Insurance Administration, told NPR last month that if Congress doesn't lift Puerto Rico's Medicaid reimbursement cap—which would give the island the same amount of funding as states—one million out of 1.6 million Medicaid patients will lose coverage. 

Also in March, Puerto Rico went before the Supreme Court to argue for a local law that would allow public utilities to restructure their debt, though a ruling on that case is likely months away.

Congress could provide Puerto Rico with the relief it needs in managing its crushing debt. However, despite House Speaker Paul Ryan's insistence in December that lawmakers come up with a "reasonable solution" by March, Congress has failed to make meaningful progress on a bill. Although the way Ryan tells it in his response to Hamilton creator Lin-Manuel Miranda's critical rap on Last Night Tonight With John Oliver, Congress is making progress

(Skip to 19:01 for Miranda's rap) 

Ryan commented on the situation on Tuesday. Three days later, and there still isn't a bill.

12 (o): [object Object] WSODIssue (s): |45294|72887506|228906|20623115 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): How Much Would You Spend On a Smart Home? Link (s): http://folionation.squarespace.com/news/2016/4/27/how-much-would-you-spend-on-a-smart-home.html Thumbnail (s): DocumentDate_raw (n): 1461778800000 DocumentDate (s): April 27, 2016 DocumentDate_smart (s): Apr 27, 2016 DocumentKey (s): 1107-290734296785735671940-13TLJUV0L9KCGRSQ0KCIRI6MRT ContentType (s): Article TrackingPixel (s): Teaser (s):

Talk of smart homes has floated around for years, but what will it take for smart home to become the norm?

The smart home is nothing new—just watch an episode of The Jetsons for a glimpse of home automation, or check out Ford's (F) 1967 short film 1999 AD for another take on the domicile of the future. People have long dreamed of controlling their home's operations with a simple flip of a switch, press of a button, vocal command or tap/swipe on a screen.

And we're getting closer to that, albeit slowly. Market research firm Gartner predicts that the typical family home may have 500 smart devices in 2022. One company that may pop up in more homes by that time is Nest Labs, one of the best-known companies in the Internet-connected home devices space. Nest makes smart thermostats, smoke and carbon monoxide detectors and security systems, and it was acquired by Google—now Alphabet (GOOG)—for a staggering $3.2 billion in January 2014.

Unfortunately for Nest, it has struggled to meet its parent company's $300 million annual sales target; Re/code reports that the company generated $340 million in revenue last year only after incorporating sales from Dropcam (which it acquired in 2014).

Nest's sales may not be growing fast enough to satisfy Alphabet management, but interest in smart homes is strong. In its 2015 State of the Smart Home report, which surveyed 1,600 adults in the U.S. and Canada, smart home solutions provider Icontrol found that 54% of U.S. respondents intended to purchase at least one smart home device in the coming year. 

Millennials, in particular, are interested in smart home technology—and it's not because of laziness, stupidity, or general being-the-worst-ness. According to Better Homes and Gardens's 2015 Home Factor survey, 74% of Gen Y respondents believed smart home technology was "customizable to their needs," 70% thought it would increase energy efficiency and 67% expected it to save time. Part of that customization means plug-and-play solutions, such as Koninklijke Philips NV's (PHG) Hue wireless lighting, that renters can easily install, uninstall and move. 

Additionally, 68% of millennials said smart home technology was a "good investment," up from 57% in 2014.

Smart home technology may be considered a good investment by most, but it's also considered an expensive investment by most, too. Per the Home Factor survey, just 51% of millennial respondents thought their budget could accommodate smart technology purchases. That's better than the feeling in the general survey pool: 7 in 10 respondents said the technology was too costly. 

So, how much is too much when it comes to making a home smart? In the State of the Smart Home report, respondents 45-years-old and younger expected to spend $2,000 to $3,000 on smart home upgrades while respondents over age 45 capped spending at $500.

With that in mind, below is a list of three stocks that offer smart home products, as well as the retail price for these devices. If you, like four in 10 millennials, find smart homes appealing, do you plan to buy these products? Or would you rather invest in the companies behind these technologies? Or...

 

Click on the interactive chart to view data over time. 

1. Amazon.com Inc. (AMZN, Earnings, Analysts, Financials): Operates as a global online retailer and offers cloud computing services through its Amazon Web Services platform Market cap at $291.49B, most recent closing price at $620.50.

Amazon Echo, a wireless speaker and voice command device, retails for $179.99. There's also a payment plan of five monthly payments of $36.00.

 

2. Alphabet Inc. (GOOG, Earnings, Analysts, Financials): Provides online advertising services, assorted Internet products and hardware through its Google segment and runs speculative businesses through its Other Bets segment. Market cap at $495.14B, most recent closing price at $718.77.

Subsidiary Nest Labs develops and markets the Nest Learning Thermostat, which retails for $249, Nest Protect smoke and carbon monoxide dector, which retails for $99, and Nest Cam security camera, which retails for $199.

 

3. Koninklijke Philips N.V. (PHG, Earnings, Analysts, Financials): Engages in the healthcare, consumer lifestyle, and lighting product businesses worldwide. Market cap at $24.79B, most recent closing price at $28.28.

The Hue wireless lighting starter kit retails for $79.95.

 

4. Spectrum Brands Holdings Inc. (SPB, Earnings, Analysts, Financials): Operates as a consumer products company worldwide and, through its Hardware and Home Improvement group, owns lock manufacturer Kwikset. Market cap at $6.61B, most recent closing price at $111.89.

Subsidiary Kwikset manufactures and sells the Kevo lock, which opens with a key or smartphone and retails for $199, and offers other connected lock solutions.

 

(Quarterly sales data sourced from Zacks Investment Research. All other data sourced from FINVIZ.)

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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.

13 (o): [object Object] WSODIssue (s): DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): All It Takes Is One Bad Apple (Earnings Report) Link (s): http://folionation.squarespace.com/news/2016/4/27/all-it-takes-is-one-bad-apple-earnings-report.html Thumbnail (s): DocumentDate_raw (n): 1461778740000 DocumentDate (s): April 27, 2016 DocumentDate_smart (s): Apr 27, 2016 DocumentKey (s): 1107-290734296785735671927-1K9MVQR24CDFC3NEFO4NCNG9RJ ContentType (s): Article TrackingPixel (s): Teaser (s):

Apple's first-quarter earnings fell short of expectations because people just aren't buying iPhones like they used to.

Unlucky number 13 reared its ugly head when Apple (AAPL) released its first-quarter earnings after market close on Monday. The consumer tech giant reported its first year-over-year decline in revenue since 2003 due to a slowdown in iPhone sales. Following the earnings release, the stock fell roughly 6% and lost over $40 billion in value in after hours trading, making it the worst performer in the Dow Jones Industrial Average since being added on March 18, 2015—a little over 13 months ago. 

Apple shares recovered some of their losses in Wednesday morning trading. The stock is down 6.20% as of 1:35PM EST. 

14 (o): [object Object] WSODIssue (s): |70660|80204|97838|137951|170676|225857|272896 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): Brazil Impeachment Looks Bad for Dilma, Less So For Stocks Link (s): http://folionation.squarespace.com/news/2016/4/18/brazil-impeachment-looks-bad-for-dilma-less-so-for-stocks.html Thumbnail (s): DocumentDate_raw (n): 1461008100000 DocumentDate (s): April 18, 2016 DocumentDate_smart (s): Apr 18, 2016 DocumentKey (s): 1107-290734296785735664280-1TTS2VQ8AIS38BJM2UFDGA6C7I ContentType (s): Article TrackingPixel (s): Teaser (s):

As an impeachment motion gains steam, Brazilian stocks and the Brazilian real rally. What gives? 

It's a Manic Monday in Brazil. On Sunday night, the lower house of Brazil's congress voted overwhelmingly to impeach two-term leftist President Dilma Rousseff. House Speaker Eduardo Cunha, who is facing charges of corruption and perjury, led the charge against Rousseff, which resulted in 367 of the lower house's 513 deputies voting for her impeachment. The motion only needed two-thirds majority support to advance to the Senate. 

Now, Rousseff, who is Brazil's first female president, sees her political life hanging by a thread. After gaining an impressively high approval rating of 92% in the early days of her presidency, her approval rating has since plummeted. In June 2015, her approval rating fell to the lowest level for a Brazilian president since Fernando Collor de Meleo (who was impeached in 1992).

Rousseff's tenure has been marred by a corruption scandal involving Petrobras (PBR), the government-run oil company, a recession, rising inflation and disillusionment from her former supporters. But the formal reason given for her impeachment has nothing to do with the aforementioned issues; Rousseff's opponents, including her nemesis Cunha, have accused her of deliberately misrepresenting the size of the budget deficit while campaigning for her second term.  Rousseff hasn't been charged with corruption, although the Guardian reports that more than 150 deputies (who voted yes on Sunday) have actually been implicated in crimes. 

Sunday's vote means that the Senate has to decide whether or not it accepts the impeachment motion. If at least 41 of the 81 Senators approve the motion—the expected outcome at this point—Rousseff has to temporarily step down for 180 days as the charges are investigated. Vice Preisdent Michel Temer would then become the interim president. To the markets' delight, Temer is a pro-business politician; his party, the Brazilian Democratic Movement Party (PMDB), released a liberal economic platform this past October, which called for public spending cuts, pension reform and greater private investment.

Following Sunday night's vote, investors sent the Brazilian real up Monday morning, forcing the central bank to intervene to stop the currency from appreciating too much. If the real were to become too strong, the price of Brazilian exports would increase and make Brazilian goods less competitive in the global market, further exacerbating the country's poor economic situation. 

Per the Financial Times, the real rose 1.5% to 3.478 reais to the dollar on Monday before the central bank erased all of the gains by selling nearly 70,000 reverse currency swaps out of 320,000. Reverse currency swaps are a financial instrument the central bank can use to weaken the real through the purchase of U.S. dollars in the futures market. Investors are paid the overnight interbank rate in reais and receive a fixed interest rate in dollars. 

Still, the optimism surrounding the possibilities that accompany a new administration has its limits. As Bloomberg reports, analysts surveyed by the Brazilian central bank believe the economy will contract yet again in 2016, this time by 3.8%.

Below is a list of eight Brazilian stocks that have underperformed the market over the past year and have negative EPS growth this year. The infamous Petrobras is included in the list. All of the stocks have outperformed the market so far this year.

These stocks are also rallying about their 20-day, 50-day and 200-day simple moving averages (SMA) as of 1:25PM EST. That rally echoes Brazil's benchmark Bovespa index's 23% rally since the beginning of the year, which Bloomberg attributes to the bullish belief that a Temer adminstration would be more business friendly than Rousseff's.

Click on the interactive chart to view data over time. 

 

1. Companhia Brasileira de Distribuicao (CBD, Earnings, Analysts, Financials): Operates as a retailer of food products, clothing, home appliances, and other products through its chain of hypermarkets, supermarkets, specialized and department stores, convenience stores, and the internet in Brazil. Market cap at $3.82B, most recent closing price at $14.70.

EPS growth this year at -80.30%.

Performance over the past year at -54.16%.

Performance year to date at 39.73%.

The stock is rallying 3.78% above its 20-day SMA, 16.77% above its 50-day SMA and 1.43% above its 200-day SMA. 

 

2. CPFL Energia S.A. (CPL, Earnings, Analysts, Financials): Engages in the generation, distribution, and sale of electricity in Brazil. Market cap at $5.38B, most recent closing price at $11.03.

EPS growth this year at -8.90%.

Performance over the past year at -17.21%.

Performance year to date at 48.65%.

The stock is rallying 0.23% above its 20-day SMA, 11.62% above its 50-day SMA and 20.20% above its 200-day SMA. 

 

3. Companhia Paranaense de Energia (ELP, Earnings, Analysts, Financials): Engages in the generation, transmission, distribution, and sale of electricity for industrial, residential, commercial, and rural customers primarily in the State of Parana, Brazil. Market cap at $2.19B, most recent closing price at $8.12.

EPS growth this year at -1.10%.

Performance over the past year at -28.47%.

Performance year to date at 38.33%.

The stock is rallying 1.06% above its 20-day SMA, 14.29% above its 50-day SMA and 3.09% above its 200-day SMA. 

 

4. Gerdau S.A. (GGB, Earnings, Analysts, Financials): Engages in the production and sale of steel products in Brazil and internationally. Market cap at $3.61B, most recent closing price at $2.21.

EPS growth this year at -427.90%.

Performance over the past year at -29.05%.

Performance year to date at 84.17%.

The stock is rallying 14.67% above its 20-day SMA, 49.92% above its 50-day SMA and 43.66% above its 200-day SMA. 

 

5. Itau Unibanco Holding S.A. (ITUB, Earnings, Analysts, Financials): Provides commercial, corporate, and investment banking services to individuals, small and middle-market companies, and large corporations in Brazil and internationally. Market cap at $54.12B, most recent closing price at $9.29.

EPS growth this year at -5.50%.

Performance over the past year at -20.09%.

Performance year to date at 47.05%.

The stock is rallying 3.83% above its 20-day SMA, 18.38% above its 50-day SMA and 25.27% above its 200-day SMA. 

 

6. Petroleo Brasileiro S.A. (PBR, Earnings, Analysts, Financials): Engages in oil and natural gas exploration and production, refining, trade, and transportation businesses. Market cap at $43.57B, most recent closing price at $6.72.

EPS growth this year at -372.90%.

Performance over the past year at -22.58%.

Performance year to date at 56.28%.

 The stock is rallying 14.44% above its 20-day SMA, 40.31% above its 50-day SMA and 31.33% above its 200-day SMA. 

 

7. Telefonia Brasila S.A. (VIV, Earnings, Analysts, Financials): Provides fixed-line and mobile telecommunications services to residential and corporate customers in Brazil. Market cap at $21.34B, most recent closing price at $13.32.

EPS growth this year at -47.80%.

Performance over the past year at -15.13%.

Performance year to date at 40.47%.

The stock is rallying 0.95% above its 20-day SMA, 14.13% above its 50-day SMA and 18.32% above its 200-day SMA. 

 

(One-month 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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15 (o): [object Object] WSODIssue (s): |54857|80419|99841|102102|66431715|195843|76446372|232953 DMSourceID (s): KAPITALL Source (s): Kapitall Headline (s): Co-Living and Renting: How Millennials Live Now Link (s): http://folionation.squarespace.com/news/2016/4/15/co-living-and-renting-how-millennials-live-now.html Thumbnail (s): DocumentDate_raw (n): 1460742000000 DocumentDate (s): April 15, 2016 DocumentDate_smart (s): Apr 15, 2016 DocumentKey (s): 1107-290734296785735662399-3HLJ0DR3TLGNOGK7F0F2D5R9P6 ContentType (s): Article TrackingPixel (s): Teaser (s):

Millennials are renters. In an attempt to meet Gen Y's needs, coliving—a different type of renting— is spreading.

Imagine a space where you sleep on a Murphy bed that comes out of the wall in a shared living room. The Murphy bed comes with clean linens, and the larger, fully-furnished space gets a full cleaning once a month. The building, which houses your residential unit, has some perks, too: fitness classes, community events, potluck dinners, as well as all the beer, coffee and tea you could ever want. And this experience can be yours for just $1,375 a month in New York City ($875 if you live in Washington, D.C.).

Would you live there? 

If you said yes, then you're in luck. This is what life is like at WeLive, coworking startup WeWork's new experiment in coliving. Forget privacy; though an individual room is available for $2,550 (NYC) or $1,775 (DC)—almost double the price of a bed. WeLive's coliving model, along with others on the market, promises residents amenities, community and convenience instead. Part of that convenience includes lease-free living: WeLive residents live month-to-month and don't have to prove that they make 40 times their monthly rent in order to be approved. 

WeWork has a lot riding on WeLive. The company, which has a $16 billion valuation, opened its first New York WeLive location above an existing WeWork coworking space in downtown Manhattan in early April. The Crystal City DC WeLive building will open in May. In the fall, a leaked presentation stated that WeWork expected 21% of its revenue to come from WeLive by 2018, with $605.9 million in annual sales.

Coliving is geared toward entrepreneurs, city transplants and millennials, who are increasingly prioritizing experiences, which appreciate in value, over things, which depreciate. Considering that 50% of Gen Y-ers rent, according to a 2015 study commissioned by the Urban Land Institute, selling communal living is an opportunity for businesses to combine millennial values and the millennial lifestyle—at a premium, of course.

For the time being, WeWork is a private company although the Wall Street Journal reported in 2014 that the company then planned to go public within two to three years. Competitors Common and Stage 3 Properties are privately held as well. But if you want to invest in real estate without being a landlord, residential real estate investment trusts (REITs) are one option. In some cases, you can become a real estate shareholder for less than $10. 

The following list features five REITs that specialize in apartments. Each REIT has high dividend yields and positive EPS growth over the past five years. During that same period, the National Association of Realtors reported that renters' income grew by an average 11% while rent rose 15%. The REITs below also have properties in major metropolitan areas, which could give them access to millennial renters as a 2015 Pew Charitable Trusts report on millennial living found that they overwhelmingly live in cities and suburbs.

How do you feel about coliving? Let us know your thoughts in the comments.

Click on the interactive chart to view data over time. 

1. Avalonbay Communities (AVB, Earnings, Analysts, Financials): Engages in the development, redevelopment, acquisition, ownership, and operation of multifamily communities in the United States. Market cap at $24.88B, most recent closing price at $178.28.

EPS growth over the past five years at 2.91%.

Dividend yield at 38.10%.

Avalonbay Communities’s portfolio includes properties in metropolitan areas in California, Connecticut, Maryland, Massachusetts, New Jersey, New York, Rhode Island, Texas, Virginia, Washington and Washington, D.C.

 

2. Camden Property Trust (CPT, Earnings, Analysts, Financials): Engages in the ownership, development, acquisition, management, and disposition of multifamily residential properties in the United States. Market cap at $7.37B, most recent closing price at $80.08.

EPS growth over the past five years at 3.64%.

Dividend yield at 264.60%.

Camden Property’s portfolio includes properties in metropolitan areas in Arizona, California, Colorado, Delaware, Florida, Georgia, Nevada, North Carolina, Texas, and Virginia.

 

3. Equity Residential (EQR, Earnings, Analysts, Financials): Engages in the acquisition, development, and management of multifamily properties in the United States. Market cap at $25.86B, most recent closing price at $69.35.

EPS growth over the past five years at 2.79%.

Dividend yield at 52.40%.

Equity Residential’s portfolio includes properties in the Boston, Los Angeles, Manhattan, San Francisco, Seattle and Washington, D.C. metropolitan areas.

 

4. Essex Property Trust Inc. (ESS, Earnings, Analysts, Financials): Engages in the ownership, operation, management, acquisition, development, and redevelopment of apartment communities primarily in the West Coast of the United States. Market cap at $14.67B, most recent closing price at $218.89.

EPS growth over the past five years at 2.80%.

Dividend yield at 26.40%.

Essex Property’s portfolio includes properties in metropolitan areas in California and Washington.

 

5. Independence Realty Trust Inc. (IRT, Earnings, Analysts, Financials): Engages in the ownership and acquisition of well-located garden-style and mid-rise apartment communities throughout the United States. Market cap at $332.32M, most recent closing price at $6.97.

EPS growth over the past five years at 10.30%.

Dividend yield at 33.20%.

Independence Realty’s portfolio includes properties in metropolitan areas in Alabama, Arizona, Arkansas, Florida, Georgia, Kansas, Kentucky, Illinois, Indiana, Mississippi, Missouri, Ohio, Oklahoma, Nevada, North Carolina, South Carolina, Tennessee, Texas and Virginia.

 

6. Mid-America Apartment Communities Inc. (MAA, Earnings, Analysts, Financials): Engages in acquiring, owning, and operating apartment communities primarily in the Sunbelt region of the United States. Market cap at $7.32B, most recent closing price at $96.13.

EPS growth over the past five years at 3.22%.

Dividend yield at 72.00%.

Mid-America Apartment’s portfolio includes properties in metropolitan areas in Alabama, Arizona, Arkansas, Florida, Georgia, Kansas, Kentucky, Mississippi, Missouri, Nevada, North Carolina, South Carolina, Tennessee, Texas and Virginia.

 

7. Monogram Residential Trust Inc. (MORE, Earnings, Analysts, Financials): Engages in the acquisition of multifamily properties in core urban markets in the United States. Market cap at $1.69B, most recent closing price at $10.16.

EPS growth over the past five years at 3.02%.

Dividend yield at 25.10%.

Monogram’s portfolio includes properties in the following metro areas: Atlanta, Austin, Boston, Northern California, Southern California, Cherry Hill (NJ), Chicago, Dallas, Denver, Central Florida, Southern Florida, Houston, Las Vegas and Washington, D.C.

 

8. Post Properties Inc. (PPS, Earnings, Analysts, Financials): Engages in the development, ownership, and management of multifamily apartment communities in the United States. Market cap at $3.08B, most recent closing price at $56.18.

EPS growth over the past five years at 3.24%.

Dividend yield at 46.50%.

Post Properties’s portfolio includes properties in the following metro areas: Atlanta, Austin, Charlotte, Dallas, Houston, Orlando, Raleigh, Tampa and Washington, D.C.

 

(One-year return data sourced from Zacks Investment Research. All other data sourced from FINVIZ.)

Analyze These Ideas: Getting Started

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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.

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