Great news for Autoliv: Someone else is going to win Takata sweepstakes
Whew! And Yay! Whew, that it looks like someone else is going to win the bidding to acquire what’s left of airbag maker and Autoliv competitor Takata. Yay, that the likely acquirer is an airbag maker owned by China’s Ningbo Joyson Electronic. I’m...
Bye,bye MLP: OKE to acquire master limited partnership OKS
It’s not exactly an uncommon kind of transaction these days: General partner ONEOK (OKE) will acquire Master Limited Partnership ONEOK Partners (OKS) for $9.3 billion in stock. (For example, Targa Resources (TRGP) rolled up its MLP Targa Resources Partners this...
Day 2 for Apple earnings leads to some market concern
Apple (AAPL) shares soared on Wednesday after the company announced December quarter earnings. And there was sure a lot to cheer about as I noted in my post on Apple’s results yesterday. The shares closed up $5.15 to $129. Today, though, was a day for mulling...
Apple plays the earnings game and wins–at least for today
All the headlines that I’ve seen after Apple (AAPL) reported earnings for the December quarter (first quarter of the 2017 fiscal year) after the market close today say that Apple beat Wall Street projections by 14 cents a share on earnings. Which sounds...
Corning’s earnings beat today is all about Gorilla Glass
Update January 24, 2017. This morning, January 24, before the open in New York Corning (GLW) reported earnings of 50 cents a share, six cents a share above Wall Street estimates and up 47% from the year-ago quarter. Revenues also beat estimates, rising 6.2% year over...
Time to buy this dividend: Legal attacks push Qualcomm dividend to 3.9%
Here’s the really important pair of numbers that explains what’s happening to Qualcomm (QCOM). From its business of licensing patents for cell phones Qualcomm makes a gross margin of 61%. Apple (AAPL) had a gross margin of 39% in its most recent fiscal...
Skyworks gains big on earnings beat: What does this mean for the rest of the Apple ecosystem?
After the close today, January 19, Skyworks Solutions (SWKS), a supplier of chips for Apple’s (AAPL) iPhone announced that December quarter earnings had beaten analyst estimates by 3 cents a share. The results also beat on revenue. The company guided Wall Street...
Energy MLP and Dividend Portfolio member Western Gas Partners increases distribution
Western Gas Partners (WES), a master limited partnership (MLP) that’s a member of my Dividend Portfolio, announced today that it would pay a quarterly distribution of 86 cents per unit for the fourth quarter of 2016. That brings the total distribution for 2016...
My long-term pick Luxottica in $50 billion deal
In a $50 billion deal announced today Italy’s Luxottica (LUX), the world’s leading eyewear company, will combine with France’s Essilor (ESLOY), the world’s biggest maker of lenses, to form a from lens to Sunglass Hut giant in the eyewear...
Sell CMI: After a 55% gain in 2016 Cummins no longer yields enough to stay in my Dividend portfolio
After a 55.3% gain in 2016, shares of Cummins (CMI) no longer pay enough to remain in my Dividend portfolio. The huge appreciation of 2016 means the stock now yields just 2.98% and in this portfolio I look for yields of 4% or more. (With 5% as the ideal–but hey...
Sell COP: ConocoPhillips now yields just 2.01% and that’s not enough for my Dividend portfolio
It’s not that shares of ConocoPhillips (COP) had such a stellar 2016–the gain for the year was just 7.4%. But the company, faced with low oil prices, cut the dividend on its stock by 66% in 2016 in order to conserve cash. That has pushed the dividend yield...
Sell INTC: At a yield of 2.98% Intel doesn’t earn a place in my Dividend portfolio
It’s not that shares of Intel (INTC) had such a stellar 2016–the gain for the year was just 5.3%. But the company continues to struggle with declining demand in its core PC market and faces strong resistance from competitors to its efforts to break into...
Pipeline OKS to be one of first beneficiaries as OPEC’s production cuts raise oil output from U.S. shales
Update January 11, 2017. Tracing this chain of cause and effect is pretty simple: OPEC cuts oil production to raise oil prices; U.S. shale producers with low costs increase drilling and output (by a forecast 250,000 barrels a day in 2017); U.S. pipeline MLPs (master...
Incyte ended 2016 with big news; begins 2017 the same way–and stock climbs 9.44% on the day
Incyte (INCY) ended 2016 with a big deal. The company agreed to pay Merus (MRUS) $120 million and to buy $80 million in Merus stock for the exclusive rights to 11 bispecific antibody programs. The companies will work together to develop and commercialize these...
Qualcomm’s really, really small chip is a big, big deal
Update January 4, 2017. Qualcomm (QCOM) announced a new Snapdragon chip (Snapdragon 835) at the Consumer Electronics Show in Las Vegas on Tuesday, January 3. The chip will take up about 35% less space than last year’s Snapdragon chip in devices such as...
Shares of Jubak Pick Acadia Pharmaceuticals pop 11% on buyout rumors
Update January 4. Shares of Acadia Pharmaceuticals (ACAD) were up 12% this morning, January 4, before closing with a gain of 11.02% to $31.94. The action came on rumors that Pfizer (PFE) or another big drug company would make a bid for the biotech on the strength of...
What’s the “quid” for Softbank’s “quo”?
Update December 30,2016. Softbank (SFTBY) has been in the headlines a lot recently–usually after an announcement by President-elect Donald Trump. There was Softbank CEO and chairman Masayoshi Son emerging after a meeting with Trump at Trump Tower to announce...
Vale sells fertilizer assets to Mosaic–time for this long-term stock pick to pay down some debt
Brazil’s Vale (VALE) has agreed to sell it fertilizer assets to Mosaic (MOS) for $2.5 billion in cash and stock. The price at 15 times trailing-12-month EBITDA (earnings before taxes, interest, depreciation, and amortization) is a good one given the continued...
Raising my target price on Jubak Picks Cheniere Energy
Update December 9, 2016 The Cheniere Energy story is pretty simple. The company got the first license to export liquified natural gas from the United States, locked in long-term contracts for its Sabine Pass and Corpus Christi terminals, and then waited for revenue to...
Stillwater Mining up 18% on acquisition news
Stillwater Mining (SWC) has agreed to an acquisition offer from South Africa’s Sibanye Gold (SBGL.) The proposed purchase price of $2.2 billion works out to $18.00 a share for the largest primary producer of platinum and palladium outside of South Africa and...
Selling Syngenta out of Jubak Picks on December 12
The offer on the table from ChemChina to purchase Syngenta (SYT) works out to a price of about $94 a share. So why is Syngenta selling today at $80.06 a share? Because the risk that this deal won’t get completed continues to climb. At the Chinese end because...
Keeping Corning in my long-term 50 Stocks portfolio but calling shares fully valued after 36% gain year-to-date
Update December 8, 2016. Corning (GLW) is up again today–1.22% on December 8–on news that the company has authorized a $4 billion share buyback. With a gain of 7.2% in the last month and 36.1% year-to-date I think the shares are now fully valued. No need...
Adding Coach to my dividend portfolio; keeping it in long-term 50 Stocks list
And to think that in 2015 I was thinking of dropping Coach (COH) from my long-term Jubak 50 Stocks portfolio. In mid-2015 the stock was languishing at $28.48 (September 25, 2015) and seemed to be floundering with stagnant sales, falling margins, and a loss of pizzazz...
Pioneer Natural Resources updates production plans; I’d look to buy if OPEC/Non-OPEC meeting this weekend disappoints
Update December 6, 2016. Pioneer Natural Resources (PXD), one the biggest oil shale producers in the low cost Permian Basin, filled in some details on its post-OPEC agreement on reducing production today at the Cowen & Co. Energy Conference. The company said it...
More asset sales, less debt, higher share price for Chesapeake
Today Chesapeake Energy (CHK), the second largest U.S. producer of natural gas, announced a deal to sell 78,000 acres in Louisiana’s Haynesville Shale for $450 million to Indigo Minerals. The deal brings Chesapeake’s asset sales in 2016 to $2 billion. The...
My second Trump administration stock pick–this time it’s infrastructure
When big macro news comes down the pike that promises to change the fundamentals in a sector, frequently the stocks that rally hardest are those that belong to the most “endangered” companies. Which doesn’t mean those are the shares that you want to...
Selling Allergan out of my 12-18 month Jubak Picks portfolio; will be adding it to long-term 50 Stocks portfolio
I still like Allergan’s (AGN) portfolio of anti-aging drugs, especially it’s Botox franchise. But I’m not especially fond of the company’s current strategy of acquisitions in the very hot market for NASH drugs. Yes, someone will win a key...
Good news for Ionis pipeline from this trial–upping target price to $65
Sometimes the importance of a clinical trial extends way beyond the specific drug under study. That’s the case with the Phase II data recently released by Ionis for FIXRx. The trial did show efficacy in the treatment of kidney disease. But the most important...
More good news for Jubak Pick Incyte–raising target price to $125
Incyte (INCY) has been one of the big movers in the biotech rally after Donald Trump’s victory in the November 8 presidential election. The stock is up 26.7% from the close on November 3 to the close today, November 17. (Incyte is a member of my Jubak Picks...Jim’s Daily Email Alerts:
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