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Showing posts with label stock pick. Show all posts
Showing posts with label stock pick. Show all posts

Monday, March 10, 2008

Omnicell Ind - Fundamentally Looks Good


Omnicell, Inc. is a leading provider of various medication control and patient safety solutions for acute care health facilities.

The company's healthcare automation solutions enable healthcare facilities to acquire, manage, dispense, and administer medications and medical-surgical supplies. It offers medication-use product line for use in acute care nursing departments, central pharmacy automation, physician order management, and nursing workflow automation at the bedside.

The company had very recently announced on Feb 25th, repurchase of an aggregate of up to $40 million of its common stock over the next 12 months. The Company’s Board of Directors decided to pursue this course of action after a review of the Company’s financial position and investment alternatives. The Company expects the stock repurchase program to be accretive to earnings.

This move had leaded the Omnicell stock to remain isolated with ongoing carnage and turmoil in stock market. The stock show strong buy signal and downside risk also looks quite less.

Omnicell also announced that it expects 2008 earnings from operating income will be higher than previously estimated and expects the estimated return on cash investments to be reduced to an average of 3% as a result of recent Federal Reserve rate reductions, which will offset the increases in operating income. After these adjusted estimates, Omnicell reaffirms its previous 2008 earnings forecast of $0.85 to $0.88 per share, excluding stock compensation charges.

Technically the stock looks quite good. The stock is certainly giving buy signal and has very good potential to touch $30 on mid term basis.

Disclaimer: The views, investment and stock trading tips expressed on this online stock trading blog are solely from the blog owner. The blog owner advises users to check with certified experts before taking any stock trading or stock investing decision.

Saturday, March 1, 2008

Stock pick - Universal Health Services Inc


Universal Health Services Inc (UHS) posted a descent quarterly result on Thursday 28 Feb, 2008. The USH Inc Posted 17% increase in 4th quarter profit on back of higher revenue from its acute care and behavioral health facilities.

Universal health earned $40 million, or 75% per share, compared with $34.2 million, or 63 cents per share, for the same quarter in 2006.

Revenue for the quarter rose 12% to $1.19 billion as expected with Wall Street estimates of $1.20 billion.

Universal forecast 2008 earnings from continuing operations of $3.37 to $3.42 per share on revenue of $5.13 billion. Wall Street analysts' are estimating earnings of $3.37 per share.

The main revenue source from acute care hospitals rose 7.6 %, while revenue at behavioral health facilities rose 9.5 %.

With ongoing bloodbath on Wall Street, it becomes evident to stay in more profitable and defensive stock which will help you to keep your stock investment safe. According to me USH stock comes in that defensive stock category. This stock has unique presence in healthcare sector. The healthcare sector is said to be more defensive and less impacted with any financial crisis.

Looking at technical chart of this stock, it looks like the stock has strong resistant at $54. According to me the stock should cross $54 irrespective of what is happening in overall stock market. Still I would remain cautions and will avoid doing any stock trading in this stock until the stock crosses $54 with high volume. Once the $54 is taken out successfully with high volume and stock remains above $54 for couple of days then I would like to take long position with price target of $62 and then $67.

Median target: $62
High target: $67

Disclaimer: The views, investment and stock trading tips expressed on this online stock trading blog are solely from the blog owner. The blog owner advises users to check with certified experts before taking any stock trading or stock investing decisions.

Monday, February 25, 2008

Stock Pick - Zebra Technologies Corp


Zebra Technologies Corp (ZBRA) posted a higher than street expected fourth-quarter profit on Monday.

The company’s net profit rose to $30.8 million or 45 cents a share from $21.4 million, or 30 cents a share, a year earlier. Company’s revenue increased 11.3% to $233.6 million from $209.9 million. Wall Street analysts had expected earnings of 43 cents a share on revenue of $226 million.

The company said it expected first-quarter earnings of 36 cents to 44 cents a share on sales of $238 million to $255 million. The forecast includes special items that will reduce profit by about 9 cents a share.

The company, with international headquarters in Vernon Hills, Illinois, USA, has an installed base of nearly five million printers worldwide. Zebra Technologies delivers innovative and reliable on-demand printing solutions for business improvement and security applications in 100 countries around the world. More than 90 percent of Fortune 500 companies use Zebra-brand printers. A broad range of applications benefit from Zebra-brand bar code, "smart" label, receipt, and card printers, resulting in enhanced security, increased productivity, improved quality, lower costs, and better customer service. The company has sold nearly five million printers, including RFID printer/encoders and wireless mobile solutions, and also offers software, connectivity solutions, and printing supplies.

The fundamental story of the stock looks bright, but technically the stock movement is not that encouraging. The stock has strong resistance at level of $34, but if stock crosses $34 resistance level successfully with huge volume then the stock can easily head to $42 and then $49. The stock seems to have strong support level at $27.50. The stock can be bought from median to long term perspective with price target of $42. From stock trading perspective once the stock takes out $34 resistance successfully the traders can go long with strict stoploss at $27.50. Any sharp fall in this stock should be taken as good opportunity to enter in this stock.

Median target: $42
High target: $49
Stoploss: $27.50

Disclaimer: The views, investment and stock trading tips expressed on this online stock trading blog are solely from the blog owner. The blog owner advises users to check with certified experts before taking any stock trading or stock investing decisions.

Saturday, February 23, 2008

Stock Pick - Williams Companies Inc.


Williams Companies Inc. (WMB)

Williams Companies Inc through its subsidiaries engages in the production, gathering, processing, and transportation of natural gas.

The ongoing rise in energy prices has significantly boosted the company’s revenue. The company announced its quarterly result on Thursday. The company reported healthy 53% jump in its fourth-quarter profit.

Many of the research firm has upgraded this stock to outperform. Fundamentally as well as technically, the stock is positioned well. At present situation the overall Wall Street is going through significant volatile session, William Companies is showing strong uptrend. From stock trading perspective the stock is giving buy signal with a stoploss around $33.50. The median target for this stock can be around $42 to $45.

For fourth-quarter 2007, recurring income from continuing operations after mark-to-market adjustments was $358 million, or 59 cents per share, compared with $173 million, or 28 cents per share, for the same period in 2006.

Recurring income from continuing operations after mark-to-market adjustments was $1.05 billion, or $1.73 per share, for 2007, compared with $648 million, or $1.07 per share, for 2006.

For 2007, Williams' businesses reported consolidated segment profit of $2.16 billion, compared with $1.49 billion for 2006. In fourth-quarter 2007, the company reported consolidated segment profit of $539 million, compared with $375 million in the fourth quarter of 2006.

The profit was mainly driven by higher natural-gas liquid margins remaining at historically high levels, strong growth in domestic natural gas production volumes, and the positive effect of new rates on two pipeline systems. Moreover the company is expecting this trend to remain through the year.

Current price: $35.57
Target price: $42 to $45
Stoploss: $33.50

Disclaimer: The views, investment and stock trading tips expressed on this online stock trading blog are from the blog owner. The blog owner advises users to check with certified experts before taking any stock trading or stock investing decisions.

Wednesday, February 20, 2008

Stock Pick-Hewlett-Packard


February 20, 2008

In the midst of trouble economy of US, Hewlett-Packard has reported a strong set of quarterly numbers above Wall Street's expectations. The company announced its quarterly result yesterday. The company reported a strong healthy jump in net revenue of 13% to $28.5 billion, ahead of the $27.6 billion Wall Street expectation for its first quarter, which ended in January. The company reported strong gains in sales and earnings for its fiscal first quarter.

Looking from technical as well as fundamental point of view, Hewlett-Packard gives strong buy signal. The mid term and long term perspective of this stock looks quite great and certainly it is good stock pick for stock investing.

The company also issued revenue and profit guidance for its second quarter and full fiscal year that topped analysts' consensus estimates.

The company earned $2.1 billion, or 80 cents per share, up 38% from a year ago. Excluding certain one-time items, the company reported a profit of 86 cents per share, well ahead of analysts' forecasts of 81 cents per share.

The company also reported it expects second-quarter sales to be in the range of $27.7 billion to $27.9 billion, versus the $27.4 billion. For the full year, the company’s revenue should be between $113.5 billion and $114 billion, surpassing Wall Street's expectation of $111.7 billion.

The company said most of its revenue came from outside the United States. Revenue from emerging markets Brazil, Russia, China and India grew 35% from a year ago.

The company is expecting profit for second quarter, excluding charges, of 83 cents to 84 cents a share, slightly higher than the 82 cents per share that analysts were predicting. The company is also expecting for the full year, profits should come in at a range of $3.50 to $3.54 a share, much higher than analysis’s expectation of $3.36 per share.

Saturday, February 9, 2008

Stock pick - Credicorp


February 09, 2008

The technical as well as fundamental story of Credicrop (NYSE: BAP) looks quite strong. Credicrop seems to outperform the overall stock market, and can be a good stock pick at present situation from stock trading as well as stock investing perspective.

Since the starting of year 2008, the Dow Jones and NASDAQ are showing poor performance. Maximum of the index stocks are beaten down sharply, however Peru’s Credicrop has been showing strong defense and has been performing quite well as compared to other peer stocks.

Credicorp reported 4.1% increase in 4Q07 earnings reaching US$ 94 million, consolidating its outstanding performance with total earnings for the year 2007 of US$ 350.7 million.
• Loan growth of its banking business exceeded expectations again this quarter with total net loans up 10.5% QoQ and consolidating an astounding annual growth of 40.7%.
• Interest income followed this trend with a robust 20.6% QoQ growth, contributing to annual growth of 36.3% despite the persistent competition and pressure on rates.
• NII however, increased a more modest 27.2% during 2007.
• Strong non financial income growth of 8.1% QoQ and annual growth of 21% reveals further increases in bank transactional activity and the fee expansion at the pension fund business.
• Despite the competitive pressures and increased funding costs, the impact on Net Interest Margin could be contained given the better earnings structure resulting from the continuing change in loan mix showing NIM of 5.11% in 4Q07 vs. 5.16% in 3Q07. However, NIM for 2007 was better at 5.21% improving from 2006’s NIM at 5.06%.

Company’s information

Credicorp is listed in the New York Stock Exchange and fully complies with the Sarbanes Oxley Act in force in the United States since July 2002. The Sarbanes Oxley Act has become the international standard against which Corporate Governance practices are rated.

Credicorp Ltd. (NYSE: BAP) is the leading financial services holding company in Peru. It primarily operates via its four principal subsidiaries:
• Banco de Credito del Peru (BCP)
• Atlantic Security Holding Corporation (ASHC)
• El Pacífico-Peruano Suiza Compañía de Seguros y Reaseguros (PPS)
• Grupo Credito
Credicorp is engaged principally in commercial banking (including trade finance, corporate finance and leasing services), insurance (including commercial property, transportation and marine hull, automobile, life, health and pension fund underwriting insurance) and investment banking (including brokerage services, asset management, trust, custody and securitization services, trading and investment). BCP is the Company's primary subsidiary; as of the period ended December 31, 2005, it contributed 97.0% of Credicorp's total revenues.

Monday, December 3, 2007

Vivendi in plan to acquire major Activision Inc. stake


Vivendi the Game Makers is in plans to obtain a controlling stake in Activision Inc. and unite the company with Vivendi Games in a contract that would form a competitor to Electronic Arts Inc. as the world's largest video game publisher.

After the acquisition of Activision Ind the Vivendi Games will hold 52% stake in a new company to be called Activision Blizzard. On that basis, Activision and Vivendi valued the combined company at $18.9 billion.

After the transaction closes, expected in the first half of 2008, Activision Blizzard will launch a $4 billion all-cash tender offer to purchase up to 146.5 million Activision Blizzard common shares at $27.50 each. Vivendi also has agreed to acquire an additional $700 million of newly issued Activision shares, giving Vivendi about a 68 percent stake in Activision Blizzard if the tender offer is fully subscribed.

The combined company is targeting pro forma operating income of $1.1 billion and pro forma earnings per share of more than $1.20 in calendar year 2009. The acquisition will make available Activision Blizzard with the most consolidate and broadest collection of interactive entertainment assets in the industry.

Activision Blizzard will continue to operate as a public company traded on the Nasdaq Stock Market under the ticker ATVI.

The offer price is a 24 percent premium to Activision's closing price Friday of $22.15 per share.

According to me from mid term to long term stock investing point of view Activision Blizzard is great stock pick and one can lookup for substantial returns from this stock going forward.

Friday, November 23, 2007

Stock trading software


What is stock trading software?
Stock trading software is definitely a new generation tool which has helped many stock traders to execute their option trading, day trading as well as short term stock trading positions.

Who can use this software?
This software can be use by a person who has basic knowledge of stock trading and one who knows every aspect involved in it. By using this software it does not mean that you will be able to make money very easily without any efforts, but instead this software will ease your work quite considerably and will assist you to take the stock trading decision more precisely making your trade successful.

Many of these stock trading software are fully automatic and also semiautomatic and just by defining your requirements the software will scan and will find out perfect stock pick that are based on your requirements. The automatic software also has a capability to automatically execute your buy and sell signal stocks which need to be programmed by you depending upon your requirements.

It having said that maximum of the active stock trader uses this software more often to buy/sell their stock position.

Benefit of using stock trading software
• The software will help to quickly find out the perfect stock pick which best fitted your requirements in terms of price level, volume, liquidity, etc
• The software will help you to manage your stock portfolio.
• It will help you in assisting which stock to buy and which stock to sell at their specific price.
• • It also helps how many quantities of stocks to buy and how many quantities stocks to sell with stop loss order price for avoiding any further loss.
• It will help you to avoid entering in bad trade
• It will constantly help you to find the trend of the stock either in downward direction or upward direction to take precise decision.

Monday, November 19, 2007

Tips - Buying at support level and selling at resistance level


While doing stock trading the one of the tips or strategy could be to buy stocks at support level and sell stock at resistance level. Normally any stock tends to trade in a narrow range with very limited liquidity and volume. At such situation maximum of the stock investors avoid entering in these stocks but stock trader thinks this as good stock trading opportunity as long as these stock are trading in their specific price zone range. Stock traders always keep monitoring these stocks and enter in such stock pick at their support level and normally exit at their resistance level.

Say for example XZY Company stock is roughly trading in a very narrow range of $52 to $55. Stock trader immediately enters in such stock at $52 and exist their position near to $55.

Now you might be thinking of how stock trader makes out to enter in this stock at $52? Looking to the previous chart history of this stock the stock traders immediately make out $52 as strong support zone. In many previous sessions this XYZ stock had came near to $52 and had bounce back and not made a downward breakout of $52. Whenever this XYZ stock had touch $52 or is very near to it a significant buying had emerged and stock has bounce back from $52 and this gives a clear indication that at $52 the XYZ stock has strong support which could be a buy signal at anytime if this stock touches or is near to $52.

Precautions to take
Stock trading has always been risky as no person in world would give you 100% prediction. Now in above example XYZ stock shows strong support at $20 but unfortunately if the stock breaks $52 and moved further down with significant increase in average volume clearly gives a signal that this stock had break its support level of $52 and at such point making a stop loss near to $50 to $51 could be a very good sensible strategy for avoiding any significant money loss.

Wednesday, August 22, 2007

Stock portfolio

Stock portfolio is a very strong professional stock trading tool if managed in proper and effective way gives you high and high returns in stock market by any other mean is not that quite possible. Stock portfolio provides you an additional security and decreases your risk appetite in significant way in stock market.

Stock portfolio is a mixture of any number of stocks mostly preferable for small stock market investor or stock market trader is 10 to 15 numbers. Stock market traders prefer to have 10 to 15 numbers of best stock collections in their favorite stock portfolio which helps them to execute stock trading almost on daily basis. It always does not happened that day traders are able to conduct their day trading in only one specific stock on daily basis because they know that only one stock cannot give them a perfect entry point on daily basis to conduct day trading so to overcome this issues they prefers to have 10 to 15 stocks or more which helps them to give chance to enter in any 2-3 stocks for day trading on daily basis.

Professional stock market investors also prefer to maintain 5 to 10 numbers or a bit more of best stocks in their stock portfolio. By investing money not only in one stock but diverting the money in mixture of stock gives them an additional security and reduces their risk appetite. The stock portfolio consists of mixture of stocks such as large cap, mid cap, highly volatile stock, highly defensive stock, highly liquid stock, very less affected by external factor stock, etc. The stock investor prefers to maintain portfolio as per their investment horizon and amount of money they want to invest in their best stocks.

Now you might be thinking about how the stock portfolio will give high return and will reduce risk?
As it is know the stock trading or stock investing is a risky factor to make money. No doubt that if your stock pick selection is perfect from all angle chances are evergreen that you will make handsome of money, but still it is having said that there is still risk associated in it, because the external factors which might impact your stock pick is not in your hand and nor you can imagine it, which might cause the stock dump.
The external factors might consist of
• interest rate.
• crude oil dependence
• government policies
• natural disaster, and many more
which might negatively influence the specific stock pick you are holding, so to overcome this issue you need to make stock trading or stock investing in more than 2 to 3 stocks of different categories as mentioned above which will help you to trim down your risk associated only in one stock.

The stock portfolio is only established after a strong stock research which you want to include in your portfolio. Stock research includes the fundamental as well as technical study which gives a correct view about the overall performance of your favorite stock pick. The some of the categories in stock portfolio but not limited to are:

Large Caps
• Large cap stocks are stock with market capitalization of more than $5 billion such as IBM, Microsoft, Wal-Mart, etc
• You need to keep these types of stock in your stock portfolio because these stocks are consistently out performer in their whole history and will remain out performer in future also
• This stock has a deep market penetration, endurance and solid business management background and has a capacity to cope with any unsuitable condition.
• These stocks make consistent good innovative changes in their product which gives you an assurance and faith that you money is always safe and will give you high returns.

Mid Caps
Mid cap stocks are stock with market capitalization between $1 billion to $5 billion.
• There is slight risk as compared to large caps in doing stock trading or stock investment in these stocks because mid caps stocks does not always give that much of consistent performance as compared to large caps.
• Also there is lot of competition in mid cap companies which might impact their profit margin in significant way along with inconsistent market base
• But still if your have done strong stock research and have pick out a good mid cap stock which might sustain at any unsuitable condition and has a capacity to become a large caps in coming years then you have a very good potential to make good money in coming days.
• The advantage of investing your money in mid cap is that the mid cap stocks has a big room to become a large caps which will increase it market capitalization giving you high stock price return along with other benefits.

Small Caps
Small cap stocks are highly risky stocks and are also called as penny stocks.
• There is sudden inflow and sudden outflow of funds from these stocks which makes these stocks more vulnerable.
• If at any point any uncertain situation arise in the stock market, these small caps penny stocks are the first which are hammered significantly, but also if there is any strong rally in stock market, these stocks have a big potential to go high giving you high returns.

So to increase your efficiency and to maintain consistent profit from stock market you need to be more specific in selecting your stock portfolio. Consuming mixture of stock pick of different categories and of different business aspect will end up giving you consistent money at low risk.

Sunday, August 19, 2007

Long term stock investment

Stock trading done for long term basis can be purely said as long term stock investment. Investing in stock if done in more regular strategic investment way can give you high returns. Many stock market investors basically retail investors are quite interested for long term stock investing plan rather than going for short term margin gain which is quite risky. Long term stock market investment gives an additional leverage position to a stock market investor if the stock pick choice is right, and also it does not get affected by the short-term volatility in the stock market.

Long term stock investment is more profitable and with regular performance of chosen stock pick (company) the stock investor gets regular dividend as well as bonus which is quite encouraging and cheering to investor as well as it spreads a message among stock market investor about the company’s goodwill, which helps to keep on consistently rising the stock price and generating high return to stock investor.

Long term stock investment is basically done keeping in view for making an investment for minimum of five years to as long as the stock investor prefer to keep it as an investment. Investors who generally gets regular returns via that stock pick through a source like regular dividend and bonus does not sell that specific stock pick and keeps on holding that stock pick as long as their best stock market investment is performing good by maintaining the current market share and well as increasing its company brand to more customer base.

Before going for any long term stock investment approach, proper study of best stock is needed along with proper strategic investment plan. Long term stock investment is usually done in the stock which has a good reputation, which has gained stock market investors’ confidence and which is performing very well at every time interval. Stock prices are always volatile and do not remains stable at any point, with keeping this in mind, no full investment in stock is done at one point, but professional stock investor use strategic investment plan which help them to make regular investment in their same favorite stock at various prices of their stock pick. The strategic investment plan is done in two ways.

1. Stock market investor who are more confident on their chosen stock pick make regular investment in stock at every significant dip in their favorite stock pick, keeping in view the long-term returns. The stock market investor who makes investment in stock through this strategy uses every dip in their favorite stock pick as an opportunity to make their investment.
2. The second way the stock investors invest their money in their favorite stock pick is by regularly investing at every rise that happens in their stock pick. Stocks which are consisting performing well always have a chance to rise higher by gathering more attention of fellow stock investors.

With the help of these strategic investment plans, the stock investors invest their money in their stock pick at every specific time interval which reduces their risk appetite and protect their money at every ups and downs of stock market.

The some of the long term stock investing benefits

1. Your long term stock investment return is always high than of fixed deposit or small savings in bank.
2. Gives you an additional leveraged position against rising inflation.
3. Regular returns from stock investing in the form of dividend and bonus if the stock pick is consistently performing well.
4. You are always a share partner of successful corporate of whom you are holding stocks.
5. Historical out performer than any other asset classes.