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...
Financial markets decide the S&P earnings recession is over–time to sell my S&P short ETF
It looks like the third quarter saw the end of the long earning recession for Standard & Poor’s 500 companies. That recession had seen earnings for the S&P 500 companies drop for five straight quarters. With more than 90% of the S&P 500 companies...
Acadia Pharmaceuticals is my first Trump stock pick
The big test for Acadia Pharmaceuticals (ACAD) this quarter certainly wasn’t earnings. As an early stage biotech losses are expected and that’s exactly what the company delivered when it reported third quarter results on November 7. The loss came to 61...
Bristol-Myers continues to make up lost ground after August failure of Opdivo trial
Back on August 8 Bristol-Myers Squibb (BMY) announced that its key immuno-oncology drug Opdivo had failed to demonstrate its efficacy in a trial for treating lung cancer. At the time I characterized this particular trial as a part of a go-for-broke strategy that would...
Where will the next new device, the one after the smartphone, come from? Look inside Apple’s iPhone 7 for the answer
Today, I’m going to tell you why Apple’s (AAPL) iPhone 7 is way ahead in the race to build the next new device, the one that comes after the smartphone as it now exists. I think that leading position means you should add Apple stock to your long-term...
MGM Resorts still has more upside from here
MGM Resorts International (MGM) hit a new 52-week high during intraday trading on November 7. The stock is now up 119.96% since I added it to my Jubak Picks portfolio back on May 4, 2012. Shouldn’t I just take my profits and run? Well, Yes if all the catalysts...
Facebook beats earnings expectations yesterday but plunges today
Facebook (FB) crushed Wall Street expectations for the third quarter when it announced earnings after the close yesterday. And yet the shares closed down 5.68% today to $119.95. How come? Some of it is the general market nervous that I spelled out in my Morning...
Can Facebook beat sky-high expectations on November 2? Adding it to my long-term portfolio
How high are expectations for Facebook’s (FB) third quarter earnings report after the close on November 2? The report comes with the stock at an all-time high. (Shares closed at $130.99 on October 31.) Wall Street is looking for 96 cents a share, up from 57...
Why AT&T’s bid for Time Warner, even if not smart in itself, raises odds that Verizon will buy Yahoo
On Monday, October 24, Â the U.S. stock market expressed its doubts that the AT&T (T) bid for Time Warner would go through/should go through. But despite those doubts I think the mere fact of the bid increases the likelihood that Verizon (VZ) will buy Yahoo (YHOO)...
Selling my Treasury ETF because my scenario on global central bank policy was wrong
When I bought shares of the iShares 7-10 Year Treasury Bond ETF (IEF) back on June 28, 2016, it was in the belief that the Federal Reserve would raise interest rates (as early as September or as late as December) while other central banks remained committed to their...
Finally it’s official: Qualcomm to acquire NXP Semiconductors for $110 a share in cash
Qualcomm (QCOM) and NXP Semiconductors (NXPI) have agreed to a deal that would see a subsidiary of Qualcomm acquire NXP for $110 a share in cash. The structure of the deal will allow Qualcomm to use its offshore cash reserves to help fund the deal, which is expected...
Apple earnings, revenue, and iPhone sales disappoint almost exactly as Wall Street had projected
Unfortunately for the price of Apple (AAPL) shares and for Apple shareholders, Wall Street estimates for the September quarter that Apple reported last night, October 25, were almost precisely on track. Apple beat earnings estimates by a penny, reporting $1.67 a...Some hope for the company but disappointingly familiar news for copper in Freeport-McMoRan earnings today
The story in Freeport-McMoRan Copper & Gold’s (FCX) third quarter earnings report today was better news for the company than it was for the copper market in particular or the global commodities sector in general. The company did miss Wall Street estimates on...Jim’s Daily Email Alerts:
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