A day following the Dow Jones Industrial Average's (DJINDICES: ^DJI ) worst loss of the year, blue chips rallied from their lows on strong earnings from two of America's most recognizable brands. A report showing that inflation hasn't yet taken a strong hold also helped today's rally, as investors believe this may indicate a continuation of more stimulus efforts from the Federal Reserve. The Dow ended with a 157 point, or 1.1%, gain, closing at 14,756.
Coca-Cola (NYSE: KO ) was the star of the day, adding a remarkable 5.7% after earnings that beat expectations by a long shot. Although earnings per share actually declined 13% in the first quarter, but that was good enough to beat analyst projections for the quarter. And Coke's sales actually rose 4% in the period, with international growth coming in higher than domestic growth.
Walt Disney (NYSE: DIS ) , a company that has come to represent much more than just Mickey Mouse's iconic large ears, tacked on 3.2% Tuesday. Sports broadcasting giant ESPN, a subsidiary of Disney's, delayed a joint news conference with the Southeastern Conference scheduled for Tuesday after the tragic events at the Boston Marathon yesterday. Though nothing's certain about the topic of the press conference, investors are hoping it will usher in the SEC's very own network.
Hot Blue Chip Stocks To Own Right Now: Chevron Corporation(CVX)
Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.
Advisors' Opinion:- [By Dan Caplinger]
Meanwhile, crude oil is very slightly higher, with domestic West Texas Intermediate climbing less than a dime to about $105.50 and Brent crude prices rising about $0.50 to $107.70. Rising prices have been important in helping push Dow energy giants ExxonMobil (NYSE: XOM ) and Chevron (NYSE: CVX ) toward all-time highs, but because both of these companies have integrated operations that include production, transportation, refining, and marketing, the influence of the spread between WTI and Brent prices is less extreme, as it simply changes the relative profitability of segments within each business. For energy companies that focus on particular areas, be they upstream exploration and production activity or downstream refining operations, those narrowing spreads have favored upstream over downstream players lately, as refiners have gotten less of a price advantage than in the past from what had been higher discounts for domestic crude inputs.
- [By Jonas Elmerraji]
First up is Chevron (CVX), the large-cap oil and gas supermajor. Chevron has spent most of the year in a well-defined uptrend, but lately shares have been tracking more sideways than upwards. Here's why that's actually a good thing for investors right now.
Chevron is currently forming an ascending triangle pattern, a bullish setup that's formed by horizontal resistance above shares at $127 and uptrending support to the downside. Basically, as CVX bounces between those two technical price levels, it's getting squeezed closer and closer to a breakout above that $127 level. When that happens, traders have a buy signal for shares.
A lot of Chevron's fortunes are tied to commodities like oil and gas. As an integrated energy firm, CVX has its hands involved in every step in the process from pulling resources out of the ground to selling them at retail. But price action is providing traders with a shortcut for figuring out Chevron's next steps this fall. If you decide to buy the $127 breakout, I'd recommend keeping a protective stop right above the 200-day moving average.
- [By Aimee Duffy]
Hawaii only has two operating oil refineries. Tesoro (NYSE: TSO ) plans to close the one it owns, Chevron (NYSE: CVX ) owns the other, and the cost of shipping crude oil out there is the main reason that gas is so expensive. California is ranked second largely because it has the highest taxes on gas in the country. The combined local, state, and federal taxes tack on just shy of $0.69 per gallon, according to the American Petroleum Institute.
Hot Blue Chip Stocks To Own Right Now: Colgate-Palmolive Company(CL)
Colgate-Palmolive Company, together with its subsidiaries, manufactures and markets consumer products worldwide. It offers oral care products, including toothpaste, toothbrushes, and mouth rinses, as well as dental floss and pharmaceutical products for dentists and other oral health professionals; personal care products, such as liquid hand soap, shower gels, bar soaps, deodorants, antiperspirants, shampoos, and conditioners; and home care products comprising laundry and dishwashing detergents, fabric conditioners, household cleaners, bleaches, dishwashing liquids, and oil soaps. The company offers its oral, personal, and home care products under the Colgate Total, Colgate Max Fresh, Colgate 360 Advisors' Opinion:
- [By Dan Caplinger]
Investors have always been interested in stocks that pay dividends, but lately, low interest rates on bonds and other fixed-income investments have made solid dividend payers even more valuable. Among the most promising dividend stocks in the market is Colgate-Palmolive (NYSE: CL ) , and one big reason is that it is one of the few exclusive companies to make the list of Dividend Aristocrats. In order to become a member of this elite group, a company must have raised its dividend payouts to shareholders every single year for at least a quarter-century. Only a few dozen stocks manage to make the cut, and those that do tend to stay there for a long time.
- [By Eric Volkman]
It's one of the steadiest dividend payers on the market, and it's continuing to fly level. Colgate-Palmolive (NYSE: CL ) has declared a fresh quarterly common stock dividend, which is to be $0.34 per share, paid on August 15 to shareholders of record as of July 23. That amount matches the firm's previous distribution; this was paid in May. Prior to that, Colgate-Palmolive handed out $0.31 per share.
- [By Dividend Growth Investor]
In a previous article, I outlined that it is getting more difficult to find quality dividend paying stocks to buy. Most of the usual suspects like Kimberly-Clark (KMB) or Colgate-Palmolive (CL) are very overvalued today, which prevents me from adding to my positions there. Other companies like Chevron (CVX) are attractively valued today, but unfortunately my portfolio is overweight in them. Currently I find the oil sector to be cheap and have some of the lowest P/E ratios in the market. However, I would hate to be concentrated in one sector which is exposed to the fluctuating prices in its commodity products.
10 Best Heal Care Stocks To Watch For 2014: International Business Machines Corporation(IBM)
International Business Machines Corporation (IBM) provides information technology (IT) products and services worldwide. Its Global Technology Services segment provides IT infrastructure and business process services, including strategic outsourcing, process, integrated technology, and maintenance services, as well as technology-based support services. The company?s Global Business Services segment offers consulting and systems integration, and application management services. Its Software segment offers middleware and operating systems software, such as WebSphere software to integrate and manage business processes; information management software for database and enterprise content management, information integration, data warehousing, business analytics and intelligence, performance management, and predictive analytics; Tivoli software for identity management, data security, storage management, and datacenter automation; Lotus software for collaboration, messaging, and so cial networking; rational software to support software development for IT and embedded systems; business intelligence software, which provides querying and forecasting tools; SPSS predictive analytics software to predict outcomes and act on that insight; and operating systems software. Its Systems and Technology segment provides computing and storage solutions, including servers, disk and tape storage systems and software, point-of-sale retail systems, and microelectronics. The company?s Global Financing segment provides lease and loan financing to end users and internal clients; commercial financing to dealers and remarketers of IT products; and remanufacturing and remarketing services. It serves financial services, public, industrial, distribution, communications, and general business sectors. The company was formerly known as Computing-Tabulating-Recording Co. and changed its name to International Business Machines Corporation in 1924. IBM was founded in 1910 and is based in Armonk, New York.
Advisors' Opinion:- [By Matt Koppenheffer]
9. Conservative investment portfolio
If there's one thing that people think of Warren Buffett as, it's a great investor. But he's also a very conservative investor -- particularly when it comes to Berkshire's portfolio. Berkshire's "big four" stocks --�Wells Fargo� (NYSE: WFC ) ,�Coca-Cola� (NYSE: KO ) ,�IBM� (NYSE: IBM ) , and�American Express�-- are all companies that we could see solid returns from in the years ahead. But, more importantly, they're all companies that we're�unlikely�to see drastic underperformance from.�
Hot Blue Chip Stocks To Own Right Now: Visa Inc.(V)
Visa Inc., a payments technology company, engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses, and government entities. The company owns and operates VisaNet, a global processing platform that provides transaction processing services. It also offers a range of payments platforms, which enable credit, charge, deferred debit, debit, and prepaid payments, as well as cash access for consumers, businesses, and government entities. The company provides its payment platforms under the Visa, Visa Electron, PLUS, and Interlink brand names. In addition, it offers value-added services, including risk management, issuer processing, loyalty, dispute management, value-added information, and CyberSource-branded services. The company is headquartered in San Francisco, California.
Advisors' Opinion:- [By Matt Thalman]
After losing 1.92%, Visa (NYSE: V ) became the Dow's third worst stock to own last week. Once again, the move comes after the company reported earnings. While on the surface Visa's results were impressive -- revenue up 8%; earnings up 20%, increased dividend; announcement of a bigger share buyback -- the stock fell on Wednesday after the report came out. One likely cause is that investors were looking for slightly more from the company. For one thing, client incentives rose 20% during the quarter, which put a damper on revenue growth and made the earnings increase look less impressive. High expectations can mean price loses from time to time in the short run, but that shouldn't drive investors away from strong long-term companies, such as Visa. �
- [By Victor Reklaitis]
The Dow Jones Industrial Average (DJIA) rose 71 points, or 0.5%, to 15,067. Visa Inc. (V) �showed the largest gain among blue chips with its 1% advance, while Verizon Communications Inc. (VZ) � and Merck & Co. (MRK) �were the biggest losers as they each fell 0.6%.
- [By Lee Jackson]
Visa Inc. (NYSE: V) is another top credit card stock investors can look to buy. The company engages in the operation of retail electronic payments network worldwide. It facilitates commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses and government entities. A staggering 21 analysts across Wall Street rate the stock at Buy, and nobody has a Sell rating on it. The consensus price target for the stock is $212. Investors are paid a 0.8% dividend.
- [By WALLSTCHEATSHEET.COM]
Visa strives to help consumers, companies, governments, and other entities by providing methods of easy transaction worldwide. The company recently reported earnings that made investors happy, and the stock is now trading near all-time high prices, with still more room to rise. Over the last four quarters, earnings and revenue figures have been increasing, which has pleased investors in the company. Relative to its strong peers and sector, Visa has been an average year-to-date performer. Look for Visa to continue to OUTPERFORM.
Hot Blue Chip Stocks To Own Right Now: McDonald's Corporation(MCD)
McDonald?s Corporation, together with its subsidiaries, operates as a worldwide foodservice retailer. It franchises and operates McDonald?s restaurants that offer various food items, soft drinks, coffee, and other beverages. As of December 31, 2009, the company operated 32,478 restaurants in 117 countries, of which 26,216 were operated by franchisees; and 6,262 were operated by the company. McDonald?s Corporation was founded in 1948 and is based in Oak Brook, Illinois.
Advisors' Opinion:- [By Eric Parnell]
After taking these risks into consideration, maintaining an allocation to stocks remains worthwhile in such an environment. Given the volatility that often accompanies the turbulent May to October period, it may offer some particularly good trading opportunities as either broader markets or specific securities experience steep corrections followed by swift rallies. But risks must be monitored closely and holdings should be viewed with a potentially shorter time horizon depending on how events unfold in the coming months. Emphasizing stocks that exhibit quality, low volatility, value and current income that are also not technically overbought provides an additional way to control risk in the current environment. This includes allocations such as the Vanguard Dividend Appreciation ETF (VIG) and high quality individual names such as Exxon Mobil (XOM), International Business Machines (IBM), McDonald's (MCD), General Electric (GE) and Oracle (ORCL). It should be noted that IBM, General Electric and Oracle were all positions that were scooped up following recent sharp pullbacks.
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