Can Goldman Sachs Break Out of Its Range?

With shares of Goldman Sachs (NYSE:GS) trading around $162, is GS an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework.

T = Trends for a Stock’s Movement

Goldman Sachs is engaged in investment banking, securities, and investment management. It provides a range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments, and high net worth individuals. The company operates in four segments: investment banking, institutional client services, investing and lending, and investment management. Through its segments, Goldman Sachs provides valuable investment services to consumers and companies worldwide.

CEO Lloyd Blankfein announced Tuesday that Goldman Sachs would begin winding down hedge funds and garnering private equity to comply with financial reforms created to restrain activities deemed riskier. At a Bank of America conference, Blankfein said that the changes were consistent with guidelines under the Volcker Rule that disallow banks from trading for their own account. He noted that investment banking remains Goldman's primary focus and that clients would demand certain services, regardless of Volcker prohibiting them.

T = Technicals on the Stock Chart Are Strong

Goldman Sachs stock has made significant progress in the last several quarters. The stock is currently trading in a sideways range that has existed for most of the year. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Goldman Sachs is trading above its rising key averages, which signals neutral to bullish price action in the near-term.

Source: Thinkorswim

Taking a look at the implied volatility (red) and implied volatility skew levels of Goldman Sachs options may help determine if investors are bullish, neutral, or bearish.

	Implied Volatility (IV)	30-Day IV Percentile	90-Day IV Percentile
Goldman Sachs Options	19.29%	10%	8%

What does this mean? This means that investors or traders are buying a minimal amount of call and put options contracts as compared to the last 30 and 90 trading days.

	Put IV Skew	Call IV Skew
December Options	Flat	Average
January Options	Flat	Average

As of Wednesday, there is average demand from call buyers or sellers and low demand by put buyers or high demand by put sellers, all neutral to bullish over the next two months. To summarize, investors are buying a minimal amount of call and put option contracts and are leaning neutral to bullish over the next two months.

Top 10 Insurance Companies To Own For 2014

On the next page, let’s take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Increasing Quarter-Over-Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Goldman Sachs’s stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Goldman Sachs look like and, more importantly, how did the markets like these numbers?

	2013 Q2	2013 Q1	2012 Q4	2012 Q3
Earnings Growth (Y-O-Y)	1.05%	107.87%	9.44%	203.29%
Revenue Growth (Y-O-Y)	-19.51%	0.21%	1.42%	52.69%
Earnings Reaction	-2.42%	-1.69%	-1.61%	4.05%

Goldman Sachs has seen increasing earnings and revenue figures over the last four quarters. From these numbers, the markets have had conflicting feelings about Goldman Sachs’s recent earnings announcements.

P = Excellent Relative Performance Versus Peers and Sector

How has Goldman Sachs stock done relative to its peers – JPMorgan Chase (NYSE:JPM), Citigroup (NYSE:C), and Morgan Stanley (NYSE:MS) — and sector?

	Goldman Sachs	JPMorgan Chase	Citigroup	Morgan Stanley	Sector
Year-to-Date Return	28.1%	22.29%	25.4%	55.86%	33.91%

Goldman Sachs has been a relative performance leader, year-to-date.

Conclusion

Goldman Sachs is a bellwether in the financial sector that strives to provide valuable financial products and services to consumers and businesses around the world. The firm’s CEO announced Tuesday that Goldman Sachs would begin winding down hedge funds and garnering private equity to comply with financial reforms created to restrain activities deemed riskier. The stock has been moving higher in recent years but has been part of a range for most of this year. Over the last four quarters, earnings and revenues have been on the rise. However, investors have had conflicting feelings about Goldman Sachs's earnings announcements. Relative to its peers and sector, Goldman Sachs has been a relative performance leader year-to-date. WAIT AND SEE what Goldman Sachs does this quarter.

Wynn Withdraws Pennsylvania Casino Application

It looks like Wynn Resorts Ltd. (NASDAQ: WYNN) is going to keep its high-end domestic growth ambitions localized to Las Vegas, Nevada. Even if it wants to expand domestically, it will be doing so elsewhere other than in Pennsylvania. The company issued a press release on Monday afternoon confirming the end of its local application in that state.

The company’s board of directors recently met to carefully examine the feasibility and opportunities associated with the company's domestic development in Philadelphia, Pennsylvania. It is a no-go move. The company’s press release said,

“At this time, the Board has decided that the best course for the company is to pursue business opportunities elsewhere… The board took a host of factors into consideration, including the Philadelphia market performance over the past year and the competition which will result from the recent approval of gaming in the State of New York. Consequently, the company will withdraw its licensing applications in Pennsylvania.”

Wynn’s market cap is more than $16 billion, almost all of which is made up of the interests in and developments in Las Vegas and Macau (China). Two clichés seem appropriate here. Wynn does not think it is always sunny in Philadelphia. Maybe whatever happens in Vegas doesn’t have to stay in Vegas, but not in Philly either.

Wynn Resorts’ shares were up 1.2% at $165.80 in late afternoon trading on Monday. Its 52-week trading range is $103.34 to $173.38 and the consensus price target from analysts in the Thomson Reuters coverage universe is $179.38.

Where Will Apple Go Next?

With shares of Apple (NASDAQ:AAPL) trading around $533, is AAPL an OUTPERFORM, WAIT AND SEE, or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Apple designs, manufactures, and markets mobile communication and media devices, personal computers, portable digital music players, and a variety of related software, services, peripherals, networking solutions, third-party digital content, and applications. The company's products and services include the iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and OS X operating systems, iCloud, and further accessory, service, and support offerings. Apple also delivers digital content and applications through its iTunes, App, iBook, and Mac App stores.

Apple has bought Israel-based PrimeSense Ltd, a developer of chips that enable three-dimensional machine vision, the companies said on Monday, a move that signals gesture-controlled technologies in new devices from the maker of iPhones and iPads. An Apple spokesman confirmed the purchase but declined to say how much it spent or what the technology will be used for. Israeli media said Apple paid about $350 million for PrimeSense, whose technology powers the gesture control in Microsoft Corp’s Xbox Kinect gaming system.

T = Technicals on the Stock Chart Are Strong

Apple stock has struggled to make significant progress in the last several quarters. The stock is currently surging higher and looks poised to continue. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Apple is trading above its rising key averages, which signal neutral to bullish price action in the near-term.

(Source: Thinkorswim)

Taking a look at the implied volatility (red) and implied volatility skew levels of Apple options may help determine if investors are bullish, neutral, or bearish.

	Implied Volatility (IV)	30-Day IV Percentile	90-Day IV Percentile
Apple Options	Hot Stocks To Buy Right Now 21.46%	10%	8%

What does this mean? This means that investors or traders are buying a very small amount of call and put options contracts as compared to the last 30 and 90 trading days.

	Put IV Skew	Call IV Skew
December Options	Flat	Average
January Options	Flat	Average

As of today, there is an average demand from call buyers or sellers and low demand by put buyers or high demand by put sellers, all neutral to bullish over the next two months. To summarize, investors are buying a very small amount of call and put option contracts and are leaning neutral to bullish over the next two months.

On the next page, let’s take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Mixed Quarter-Over-Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Apple’s stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Apple look like and more importantly, how did the markets like these numbers?

	2013 Q3	2013 Q2	2013 Q1	2012 Q4
Earnings Growth (Y-O-Y)	-4.73%	-19.85%	-17.97%	-0.43%
Revenue Growth (Y-O-Y)	4.19%	0.86%	11.27%	17.65%
Earnings Reaction	-2.49%	5.13%	-0.16%	-12.35%

Apple has seen decreasing earnings and increasing revenue figures over the last four quarters. From these numbers, the markets have had conflicting feelings Apple’s recent earnings announcements.

P = Weak Relative Performance Versus Peers and Sector

How has Apple stock done relative to its peers, Google (NASDAQ:GOOG), Microsoft (NASDAQ:MSFT), BlackBerry (NASDAQ:BBRY), and sector?

	Apple	Google	Microsoft	BlackBerry	Sector
Year-to-Date Return	0.23%	49.62%	40.47%	-46.80%	11.88%

Apple has been a poor relative performer, year-to-date.

Conclusion

Apple strives to provide innovative products and services that consumers and companies love to own. The company has bought Israel-based PrimeSense Ltd a move that signals gesture-controlled technologies in new devices from the maker of iPhones and iPads. The stock hasn’t made significant progress in the last several years however, it’s currently surging higher. Over the last four quarters, earnings have been decreasing while revenues have been rising. Relative to its peers and sector, Apple has been a weak year-to-date performer. WAIT AND SEE what Apple does in the coming weeks.

5 Best Blue Chip Stocks To Own For 2014

Kiplinger's Personal Finance writer Carolyn Bigda looks at a trio of favored blue chip stocks, each providing investors with yields above 5%.

Steve Halpern: We are here today with Carolyn Bigda of Kiplinger's Personal Finance. How are you doing, Carolyn?

Carolyn Bigda: I am fine, thank you.

Steve Halpern: In your recent article for Kiplinger's, which just hit the newsstands this week, you look at what you call Steady Eddie stocks, long-term dividend payers, and for this article, you focus on stocks yielding 5% or more. First off, you look at AT&T (T). Could you explain what the attraction behind that idea is?

Carolyn Bigda: Sure. AT&T is paying just north of 5%, which is a pretty big yield for telecom, and the company—as you said earlier—these are Steady Eddies.

And the company has raised its dividend consecutively for 29 years, which is a pretty good record. You have a pretty reliable dividend payer with a very attractive yield.

5 Best Blue Chip Stocks To Own For 2014: Philip Morris International Inc(PM)

Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. Its international product brand line comprises Marlboro, Merit, Parliament, Virginia Slims, L&M, Chesterfield, Bond Street, Lark, Muratti, Next, Philip Morris, and Red & White. The company also offers its products under the A Mild, Dji Sam Soe, and A Hijau in Indonesia; Diana in Italy; Optima and Apollo-Soyuz in the Russian Federation; Morven Gold in Pakistan; Boston in Colombia; Belmont, Canadian Classics, and Number 7 in Canada; Best and Classic in Serbia; f6 in Germany; Delicados in Mexico; Assos in Greece; and Petra in the Czech Republic and Slovakia. It operates primarily in the European Union, Eastern Europe, the Middle East, Africa, Asia, Canada, and Latin America. The company is based in New York, New York.

Advisors' Opinion:

• [By Dan Caplinger]

  Philip Morris International (NYSE: PM  ) will release its quarterly report on Thursday, and projections suggest that it will manage to deliver decent results for investors. But shareholders don't seem convinced about Philip Morris earnings, as they've recently sent the stock down substantially from its May highs.

• [By Rich Duprey]

  Global tobacco giant�Philip Morris International (NYSE: PM  ) announced this morning its second-quarter dividend of $0.85 per share, the same rate it's paid for the past three quarters after raising the payout 10% from $0.77 per share.

5 Best Blue Chip Stocks To Own For 2014: 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 Matt Thalman]

  Dow movers
  Oil has been on quite the run over the past two days. Yesterday, light crude rose 3.25% and today it was up 1.72%. Not surprising, the Dow's big oil companies also moved higher. Shares of Chevron (NYSE: CVX  ) closed the day higher by 1.19%, while ExxonMobil (NYSE: XOM  ) moved higher by 1.57%. Today's moves followed yesterday's performance when Chevron increased by 1.47% and Exxon by 1.28%. While the two have recently been moving in line with each other, year to date Chevron is up more than 14% while Exxon has only increased by a little more than 4%. A number of analysts have stated that they believe Chevron will outperform Exxon over the next five years, and so far their predictions look good.�

Top 10 Safest Companies To Own In 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 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 Jon C. Ogg]

  Colgate-Palmolive Co. (NYSE: CL) was raised to Overweight from Equal Weight and the price target is now $68 (versus a $59.93 close) at Morgan Stanley.

5 Best Blue Chip Stocks To Own For 2014: 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 Steve Heller]

  It seems that once you've grown large enough to disrupt business as usual for MasterCard (NYSE: MA  ) and Visa (NYSE: V  ) , you run the risk of getting muscled. MasterCard recently announced plans to raise prices on intermediated payment processors (read: digital wallets) that chose to withhold valuable transaction details from MasterCard. In other words, this measure takes direct aim at eBay's (NASDAQ: EBAY  ) PayPal and other digital wallets such as Google Wallet that do not share transaction details with the payment processor.

• [By Alex Planes]

  What's in your wallet? The tag line might not be Visa's (NYSE: V  ) , but the answer almost certainly is. At the end of 2011, there were 261 million Visa credit cards and 392 million Visa debit cards circulating in just the United States. People around the world are more likely to have a Visa card than they are to have a cell phone, and are far more likely to have a Visa card than they are to hold any competing card:

5 Best Blue Chip Stocks To Own For 2014: Apple Inc.(AAPL)

Apple Inc., together with subsidiaries, designs, manufactures, and markets personal computers, mobile communication and media devices, and portable digital music players, as well as sells related software, services, peripherals, networking solutions, and third-party digital content and applications worldwide. The company sells its products worldwide through its online stores, retail stores, direct sales force, third-party wholesalers, resellers, and value-added resellers. In addition, it sells third-party Mac, iPhone, iPad, and iPod compatible products, including application software, printers, storage devices, speakers, headphones, and other accessories and peripherals through its online and retail stores; and digital content and applications through the iTunes Store. The company sells its products to consumer, small and mid-sized business, education, enterprise, government, and creative markets. As of September 25, 2010, it had 317 retail stores, including 233 stores in the United States and 84 stores internationally. The company, formerly known as Apple Computer, Inc., was founded in 1976 and is headquartered in Cupertino, California.

Advisors' Opinion:

• [By Rick Munarriz]

  Is a $200 Windows 8 device even possible given Microsoft's (NASDAQ: MSFT  ) steep licensing ransom when pitted against the freely available Android? What about Apple (NASDAQ: AAPL  ) ? Margins have been contracting at the consumer tech titan, but is Apple ready for this kind of price war?

Oil Opportunities at Developing Markets

I find the analysis and comparison between companies with base in different geographies an entertaining exercise that offers a singular perspective upon future prospects. In other words, business activities are approached from diverse angles according to social, political, and economical background. Hence, Petroleo Brasileiro (PBR) and PetroChina (PTR) do compete in the same segments, but results are separated by a gamut of particularities.

Looking to the East

PetroChina is the largest Chinese integrated oil & gas company, and was fostered through government initiatives. The main objective of Chinese authorities was to strengthen domestic firms to compete internationally. Today, PetroChina is listed among the top oil & gas companies of the world, but government intervention limits growth opportunities. Hence, the upstream segment continues to improve performance, while refining and natural gas activities lag behind due to strict price controls.

On the upside, PetroChina is located in the world's fastest growing economy, and holds a dominant market positioning. Hence, the gas segment is expected to receive an extra push as the Chinese authorities continue to promote natural gas. Investment incentives are expected for a future the expansion of pipelines and distribution networks. Also, the government mediates between the firm and foreign authorities to tap open otherwise inaccessible markets. It is no surprise then, that the firm is present in Iraq, for example, where access to oil resources is so zealously guarded by domestic and international authorities.

With declining oil reserves in mainland China, PetroChina has been paying more attention to the gas side of the business. This is also related to the fact that oil production costs in China continue to raise as enhanced oil recovery techniques become ever more common. Another less significant reason is governmental preoccupation for the environment. According to Chinese authorities, the country holds an estimated 50.9 trill! ion cubic feet of gas reserves in the regions of Changqing, Tarim, and Sichuan. It is worth highlighting the fact that gas operations, and analyst concur on this point, will not be ready for another five years.

Financially, PetroChina is moderate due to a high debt when compared to cash flow. The stock currently trades at 9.9 times its trailing earnings, less than half a point above the industry average. Stock has recently been bought by Jim Simmons, who continues to be the guru with the largest position in the company. I do not share his optimism based on the continued governmental intervention. In other words, the Chinese authorities use the firm for domestic politics, keeping fuel prices low, while damaging company's revenues.

Looking to the South

Petroleo Brasileiro is the largest integrated oil & gas company in Brazil, and among the top three in the region. Although in the past decade operations have exposed to its neighbors, the Argentine and Uruguayan markets have seen the Brazilian producer reduce its stakes. In Argentina, the firm sold out its gas station segment, while in Uruguay, recent announcements made public the sale of exploration blocks number 3 and 4 to Royal Dutch Shell. Another note worth highlighting is a reduction on domestic forecasted production, due to overly optimistic assumptions.

Looking forward, analysts have questioned Petrobras' prospects arguing that new legislation will stretch the firm too thin. I understand their argument, but do not reach the same conclusions because the legislation also pressures foreign companies. In other words, if international investors have an important interest at a pre-salt field, and Petrobras is not able to meet legislation requirements, foreign interests may aid their Brazilian counterpart. There are not many untapped oil & gas sources around the world, and the partnership will in turn result beneficial to both parties.

The most important characteristic held by Petrobras is deepwater offshore operations. Th! e experti! se and skills acquired through time are invaluable, and grant the firm an important edge over many competitors, including industry leaders like Exxon and Chevron. Hence, being the victim of a spy scam at the hands of the most important intelligence agency in the world should surprise no one. However, that favorable built-in characteristic may not be enough to offset shortcomings in the refining segment. Government officials have some blame to take for it, as the company is unable to take advantage of favorable oil price swings.

The balance sheet for Petrobras is similar to that of PetroChina, although debt holds lesser importance. Currently trading at 7.8 times its trailing earnings, the stock carries a discount of 18% to the industry average. The largest guru holding stock, Ken Fisher, has stood still since December, 2012. Meanwhile, Brian Rodgers, the second largest guru holding a position bought an additional 3 million shares. I share his optimism and share the company´s recent cost control policies. The know-how held by the Brazilian oil & gas is turning more valuable as oil reserves continue to dwindle.

Less government is good

I prefer Petrobras to PetroChina simply because government authorities intervene in a comparatively smaller measure. While both authorities manipulate market prices, the Brazilian try to maintain a stable price. I mean, abrupt swings in price are not automatically passed on, but this does not mean that refining activities always get the short end of the stick. Sometimes, the mechanism works the other way around, and benefits the firm, not the customer. Additionally, the stock currently carries an interesting discount.

Disclosure: Vanina Egea holds no position in any of the mentioned stocks.

Best China Stocks To Watch Right Now

In the U.S., when the topic of clean energy comes up, we like to debate concepts like climate change or global warming, turning it into a political debate more than a strategic one. Subsidies to industries such as wind or solar, no matter how small, take criticism from politicians and the media while the government continues to subsidizes oil, gas, coal, and nuclear production to the tune of billions of dollars each year. We neglect to account for externalities such as the cost of war ships keeping the Suez Canal open when Iran threatens to close it, oil spills inland and offshore, the wars in Iraq, and the limited liability given to the operators' nuclear plants. If Fukishima happened here, it would be no problem for U.S. companies -- Uncle Sam would pick up the tab.

In China, the energy debate is very different. When China sees its imports of coal rising and dependence on foreign oil growing, it springs into action. Not by screaming, "Drill, baby, drill," but by investing billions of dollars in home-grown energy sources. Yes, I'm talking about clean, renewable energy, and China's investment in these energy sources make U.S. subsidies look like the half-hearted effort they are.

Best China Stocks To Watch Right Now: Arotech Corporation(ARTX)

Arotech Corporation, together with its subsidiaries, provides defense and security products. It operates in three divisions: Training and Simulation, Battery and Power Systems, and Armor. The Training and Simulation division develops, manufactures, and markets multimedia and interactive digital solutions for use-of-force training and driving training of military, law enforcement, security, and other personnel; provides simulators, systems engineering, and software products to the United States military, government, and private industry; and offers specialized use of force training for police, security personnel, and the military. The Battery and Power Systems division manufactures and sells lithium and zinc-air batteries for defense and security products and other military applications; and develops and sells rechargeable and primary lithium batteries and smart chargers to the military and to private defense industry. This division also develops, manufactures, and markets primary zinc-air batteries, rechargeable batteries, and battery chargers for the military; and produces water-activated lifejacket lights for commercial aviation and marine applications. The Armor Division manufactures military and paramilitary armored vehicles, and employs sophisticated lightweight materials to produce aviation armor; and uses engineering concepts to produce combat armored military vehicles and up-armor civilian commercial vehicles. This division also uses lightweight armoring materials and advanced engineering processes to provide ballistic armor kits for rotary and fixed wing aircraft. Arotech sells its products primarily in the United States, Israel, Taiwan, Canada, England, Germany, Australia, China, Hong Kong, Mexico, India, Spain, Singapore, and Japan. The company was formerly known as Electric Fuel Corporation and changed its name to Arotech Corporation in September 2003. Arotech Corporation was founded in 1990 and is based in Ann Arbor, Michigan.

Advisors' Opinion:

• [By Roberto Pedone]

  One under-$10 stock that's quickly moving within range of triggering a major breakout trade is Arotech (ARTX), which is a defense and security products and services company, engaged in two business areas: interactive simulation for military, law enforcement and commercial markets; and batteries and charging systems for the military. This stock has been on fire so far in 2013, with shares up big by 98%.

  If you take a look at the chart for Arotech, you'll notice that this stock is spiking sharply higher today right above its 50-day moving average of $1.84 a share with above-average volume. Volume so far in Thursday has registered over 430,000 shares, which is well above its three-month average action of 302,874 shares. This spike is quickly pushing shares of ARTX within range of triggering a major breakout trade.

  Traders should now look for long-biased trades in ARTX if it manages to break out above some key overhead resistance levels at $2.35 to its 52-week high at $2.71 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 302,874 shares. If that breakout hits soon, then ARTX will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $4 to $5 a share.

  Traders can look to buy ARTX off any weakness to anticipate that breakout and simply use a stop that sits right below its 50-day moving average at $1.84 a share, or below more support at $1.63 a share. One can also buy ARTX off strength once it clears those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Best China Stocks To Watch Right Now: Bona Film Group Limited(BONA)

Bona Film Group Limited distributes films in the People?s Republic of China. It distributes films to movie theaters, as well as to non-theatrical distribution channels, including DVD and Blu-ray and other home video products; Internet and digital distribution; in-flight entertainment; and cable, satellite, and broadcast televisions. The company also invests in the production of Chinese and Hong Kong films in order to obtain the distribution rights for movie theaters and non-theatrical channels. In addition, Bona Film Group operates six movie theaters in five cities of the People?s Republic of China; operates a talent agency business that represents artists; and involves in film advertising and television production businesses. The company was founded in 2003 and is headquartered in Beijing, the People?s Republic of China.

Advisors' Opinion:

• [By Bryan Murphy]

  With just a quick glance at the chart, Bona Film Group Ltd (NASDAQ:BONA) doesn't look like anything other than an erratic mess. When you take a step back and take a look at the longer-term chart of BONA, however, you can see the last several weeks have ushered in a major bullish change of direction for the stock... meaning now's a great time to start wading into a position.

• [By Seth Jayson]

  Calling all cash flows
  When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Bona Film Group (Nasdaq: BONA  ) , whose recent revenue and earnings are plotted below.

Top Casino Companies To Own For 2014: Sina Corporation(SINA)

SINA Corporation provides online media and mobile value-added services (MVAS) in the People?s Republic of China. It provides advertising, non-advertising, and free services through SINA.com, Weibo.com, and SINA Mobile. SINA.com offers free interest-based channels that provide region-focused format and content, including news, sports, automobile-related news, finance, entertainment, luxury, technology, digital, tools, collectibles, video, music, and wireless application protocol, as well as interactive platform for fashion-conscious users to share comments and ideas on a range of topics, such as health, cosmetics, and beauty. The company's microblogging platform, Weibo.com, enables its users to follow the hottest topics being discussed online, as well as discussions related to people they know. Weibo accounts consist of celebrities, commercial enterprises, government entities, and grass root Internet users. Its SINA Mobile service allows users to receive news and informatio n, download ring tones, mobile games and pictures, and participate in dating and friendship communities. The company also offers SINA Game, which serves as an interactive platform that provides users with downloads and gateway access to popular online games; SINA eReading, a shop for book reviews; SINA.net, an enterprise solutions platform to assist businesses and government bodies; and SINA Mall, an online shopping Website. In addition, it provides a platform for Chinese bloggers; photo-sharing platform; free email, VIP mail, and corporate email for enterprise users; audio and video-based instant messaging tools; proprietary search technology; and classified advertising services, as well as hosts topic-specific discussion forums in Chinese language; and creates user-maintained and supported online communities. The company has strategic cooperation agreement with China Unicom (Hong Kong) Limited. SINA Corporation was founded in 1997 and is headquartered in Shanghai, the Peop le?s Republic of China.

Advisors' Opinion:

• [By Kevin Chen]

  For some time, China's largest search engine could always count on its partnership with SINA� (NASDAQ: SINA  ) Weibo, a Twitter-like service, to infuse Baidu products with social information. But now that China's biggest e-commerce retailer Alibaba has bought shares in Weibo, Baidu investors should be scared. Not only may Baidu lose its social edge, but the Alibaba-SINA deal could also spell trouble for Baidu's future.�

• [By Rick Munarriz]

  A month ago he was concerned about SINA (NASDAQ: SINA  ) , fearing that Alibaba purchasing an 18% stake in SINA Weibo might lead to problems for Baidu. SINA could potentially limit access to its real-time searches of Weibo content, just as domestic search giants had to shell out for access to Twitter. It would be a pretty big gamble for the popular micro-blogging platform since Baidu still commands the lion's share of China's search requests.

Best China Stocks To Watch Right Now: CNinsure Inc.(CISG)

CNinsure Inc., together with its subsidiaries, provides insurance brokerage and agency services, and insurance claims adjusting services in the People?s Republic of China. The company offers property, casualty, and life insurance products underwritten by domestic and foreign insurance companies operating in China. Its property and casualty insurance products include automobile, individual accident, commercial property, homeowner, cargo, hull, liability, and construction insurance; and life insurance products comprise individual whole life insurance, term life insurance, education annuity, and health insurance, as well as universal insurance and group life insurance. The company also offers insurance claims adjusting services, which include pre-underwriting survey, claims adjusting, disposal of residual value, loading and unloading supervision, and consulting services, as well as damage assessment, survey, authentication, and loss estimation to insurance companies and the i nsured; and value-added services to its customers in conjunction with distributing automobile insurance products. As of April 15, 2010, its distribution and service network consisted of 49 insurance agencies, 3 insurance brokerages, and 4 claims adjusting firms, with 571 sales and service outlets. The company was founded in 1998 and is headquartered in Guangzhou, the People?s Republic of China.

Advisors' Opinion:

• [By John Udovich]

  China is set to ease the one child policy, something that could benefit Chinese stocks in general but be especially beneficial to insurance stocks like China Life Insurance Company Ltd (NYSE: LFC) and CNinsure Inc (NASDAQ: CISG) plus health care stocks like Mindray Medical International Ltd�(NYSE: MR) and Concord Medical Services Hldg Ltd (NYSE: CCM). First, let�� be clear that China is NOT abolishing the one child policy as the changes will merely�allow married couples to have two children if one spouse is an only child plus it will be up to China�� 34 province-level administrations to revise�their laws and put the new policy into effect. Moreover, China�� family-planning bureaucracy employs more than 500,000 full-time workers and six million part-time workers all the way down to the village level to�collect billions of dollars in fines and these bureaucrats have fought for years against policy changes���meaning they could throw up roadblocks if not placated. With that said, the insurance and health care sectors are two sectors with publicly Chinese stocks that look set to�take advantage of the coming changes.

Best China Stocks To Watch Right Now: ATA Inc.(ATAI)

ATA Inc., through its subsidiaries, provides computer-based testing services in the People?s Republic of China. It offers services for the creation and delivery of computer-based tests utilizing its test delivery platform, proprietary testing technologies, and testing services; and provides logistical support services relating to test administration. The company?s computer-based testing services are used for professional licensure and certification tests in various industries, including information technology (IT) services, banking, securities, teaching, and insurance. Its e-testing platform integrates various aspects of the test delivery process for computer-based tests ranging from test form compilation to test scoring, and results analysis. ATA also provides career-oriented educational services, such as single course programs, degree major course programs, and pre-occupational training programs focusing on preparing students to pass IT and other vocational certification tests; test preparation and training programs and services to test candidates preparing to take professional certification tests in securities, futures, banking, insurance and teaching industries; online test preparation and training platform for the securities and banking industries; and test preparation software for the teaching industry. In addition, the company offers HR select employee assessment solution, an online system that utilizes its proprietary software and an inventory of test titles to help employers improve the efficiency and accuracy of their employee recruitment process. As of March 31, 2010, it had contractual relationships with 1,988 ATA authorized test centers. The company serves Chinese governmental agencies, professional associations, IT vendors, and Chinese educational institutions, as well as individual test preparation services. ATA Inc. was founded in 1999 and is based in Beijing, the People?s Republic of China.

Best China Stocks To Watch Right Now: Top Image Systems Ltd.(TISA)

Top Image Systems Ltd. provides enterprise solutions for managing and validating content entering organizations from various sources. It develops and markets automated data capture solutions for managing and validating content gathered from customers, trading partners, and employees. The company?s solutions deliver digital content to the applications that drive an enterprise by using technologies, such as wireless communications, servers, form processing, and information recognition systems. It offers eFLOW Unified Content Platform that provides the common architectural infrastructure for its solutions. The company also provides Smart, an automated classification solution, which is the eFLOW plug-in for unstructured content providing single point of entry for information entering the organization; and Freedom, the eFLOW plug-in for semi-structured content that enables customers to identify and capture critical data from semi-structured documents, such as invoices, purchase orders, shipping notes, and checks. In addition, it offers Integra, the eFLOW plug-in for structured content, which provides a solution for data capture, validation, and delivery from structured predefined forms; eFLOW Ability, an integrated module interfacing with SAP systems for automated parking, approval, and posting of invoices and other document within SAP systems; and eFLOW Invoice Reader, an invoice capture and approval solution, which could be deployed and integrated in enterprise accounting environment, such as SAP, Oracle, and other financial systems. Top Image Systems Ltd. sells its products through a network of value-added distributors, systems integrators, original equipment manufacturers, and partners in approximately 40 countries worldwide. It has strategic partnership with SQN Banking Systems (SQN) to incorporate SQN's fraud detection solutions with its eFLOW Banking Platform in the Asia Pacific market. The company was founded in 1991 and is headquartered i n Ramat Gan, Israel.

Best China Stocks To Watch Right Now: ChinaEdu Corporation(CEDU)

ChinaEdu Corporation, together with its subsidiaries, provides educational services to the online degree programs of universities in the People?s Republic of China. It also offers online tutoring services to primary and secondary school students; operates primary and secondary schools; and markets international English language curriculum programs to established learning institutions, as well as international polytechnic programs to vocational schools in China. The company?s online degree programs offer associate and bachelor?s degree programs, including accounting, marketing, finance, business administration, international business, law, civil engineering, education, computer science, literature, project management, marketing, and administrative management. These online degree programs primarily target working adults. Its services also include academic program development, technology services, enrollment marketing, recruiting, student support services, and finance operati ons. The company provides technical, recruiting, and other services for the online degree programs of 27 universities; and technology support services to 7 additional universities that are awaiting regulatory approval to launch their online degree programs. As of December 31, 2010, it served approximately 311,000 online degree programs students, as well as approximately 51,450 students in other businesses. ChinaEdu Corporation was founded in 1999 and is based in Beijing, the People?s Republic of China.

Best China Stocks To Watch Right Now: China Gerui Advanced Materials Group Limited(CHOP)

China Gerui Advanced Materials Group Limited engages in the manufacture and sale of cold-rolled narrow strip steel products in the People's Republic of China. The company converts steel manufactured by third parties into thin steel sheets and strips. It sells its products directly to its customers in a range of industries, including food and industrial packaging, construction and household decorations materials, electrical appliances, and telecommunications wires and cables industries. The company was formerly known as Golden Green Enterprises Limited and changed its name to China Gerui Advanced Materials Group Limited in December 2009. China Gerui Advanced Materials Group Limited is based in Zhengzhou, China.

Markets build defenses against U.S. default

LONDON (CNNMoney) Investors may still believe a U.S. default is unthinkable but the people who run financial markets appear much less comfortable in taking that risk.

The Chicago Mercantile Exchange (CME), which operates the world's biggest derivatives market, is asking investors to stump up more cash to trade in financial products that provide protection against rising interest rates.

Trade in these "interest rate swaps" is one of the most liquid markets around, with outstanding notional volumes of about $490 trillion at the end of 2012, according to the Bank for International Settlements.

The contracts are often cleared through exchanges such as CME and Eurex, operated by Deutsche Boerse (DBOEF).

CME said it would gradually apply an additional "event risk" margin of 12% to all over-the-counter interest rate swaps due to the "additional uncertainty brought by the debt ceiling debate."

The margin will rise by 3% on Wednesday and by the same amount each day for the next three days.

Disarray in Washington has sent interest rates on short-term Treasuries higher, and big money market funds run by Fidelity, JPMorgan (JPM, Fortune 500) and Charles Schwab (SCHW, Fortune 500) have reduced their exposure to U.S. debt maturing in late October and November.

CME said the move was temporary and subject to review.

"It will be rolled back upon resolution of market uncertainty stemming from this specific event risk," it said in a statement.

Top 5 Dividend Companies To Invest In Right Now

Chicago is not the only exchange getting worried about its possible exposure to the shock waves that a U.S. default would unleash on world markets.

Earlier this week, Hong Kong cut the value of short-term Treasury bills held as collateral.

The local exchange said that Treasury bills maturing within a year would be discounted by 3%, rather than 1%.

Many financial institutions have also admitted that they're still engaged in debt disaster planning.

Citigroup (C, Fortune 500) CFO John Gerspach said Tuesday that the bank "remains hopeful" a deal can be worked out to avoid a default. But he added that "hope is not a plan" and that the bank has prepared for different contingencies over the past fe! w weeks.

  China: Solve debt ceiling ASAP

Apart from warning of the risks to the world economy, central banks have largely been silent on what measures they would take in the event the U.S. is unable to pay all its bills.

But Jon Cunliffe, who takes charge of financial stability at the Bank of England next month, said Monday that lessons had been learned from the crisis of 2007-08, particularly with regard to the speed with which a U.S. shock would ripple through the financial system.

"I would expect the Bank of England to be planning for it, and I would expect private sector actors to be doing that," he told U.K. lawmakers. "There is some anecdotal evidence that banks and others are thinking about how they would manage this."

Ron Burgundy disses Dodge Durango

When your looking for plugs from an edgy comedian, you better be prepared for a rough ride.

That's what Chrysler Group may be finding about now with Ron Burgundy, the red-coated anchorman character played by Will Ferrell. He went on Conan O'Brien's show on TBS in character last week and took mock potshots at the family hauler he has been promoting in ads, reports Larry P. Vellequette, writing in Automotive News.

"It's a terrible car," Ferrell as Burgundy tells O'Brien. "They gave me one for free, and I drove it four feet and the thing cracked in half."

But Conan protests, saying people are buying the big crossover because of Burgundy's endorsement.

"Well, I got paid. They're suckers. I'm just the messenger. I'm not in there tinkering around with lug nuts," Ferrell, star of yet-another Anchorman movie featuring Burgundy coming soon, says.

Who knows? Chrysler may be loving the attention, good or bad. Surveys are already showing that the Ferrell-as-Burgundy ads and webisodes are breaking through with consumers. In them, Ferrell touts aspects of the vehicle like a roomy glove compartment.

But he hasn't gone negative -- until now. And while you and us get the joke, some may wonder whether all potential Dodge buyers are on board.

Prefer UnitedHealth, Cigna and Aetna for Healthcare Reform Buffers, Morgan Stanley Says

Managed care companies could have a tough 2014, says Morgan Stanley, as they navigate the reforms hitting healthcare. Its advice: Look for diversification in stocks like Cigna (CI), UnitedHealth (UNH) and Aetna (AET).

Getty Images

That’s diversification of business, however, not stocks. Morgan Stanley’s Andrew Schenker and team write:

We favor MCOs with diversified earnings streams and exposure to segments less levered to reform uncertainties. While most MCOs should ultimately benefit under reform, we expect some to be winners and some to be challenged next year given the opportunities for enrollment growth, the potential for margin compression, and execution missteps due to reform. Our proprietary market/pricing model of the commercial, Medicaid, and Medicare spaces give us confidence that our Overweight rated stocks [Aetna, Cigna, and UnitedHealth] are best positioned to: 1) see EPS growth next year and 2) spread reform-related risks across their broader books.

Best Cheap Companies To Buy For 2014

Diversified plays like Aetna, UnitedHealth and Cigna also have the advantage of being cheaper than “Medicaid pure-plays,” trading at 11.6 times forward earnings, versus 20.9 times. “We expect multiples will converge between Medicaid and diversified stocks as the Medicaid pipeline is realized and long-term growth normalizes,” Schenker says. “Therefore, even with the recent outperformance, we think multiples of diversified companies can expand as investors gain comfort that such companies can navigate the Affordable Care Act (ACA) changes and produce earnings growth.”

Aetna has gained 1.3% to $66.79, UnitedHealth has risen 1.4% to $72.97 and Cigna is little changed.

5 Best Growth Stocks For 2014

Investors are loving Best Buy (NYSE: BBY  ) these days, but can the same be said about its shoppers? Best Buy stock may be one of this year's biggest winners, but the news isn't likely to be as upbeat when the struggling consumer-electronics chain reports on Tuesday.

Best Buy stock hit a new high this week, and the shares have more than doubled this year, but don't be fooled by a pretty stock chart. Best Buy still has some pretty big problems.

Analysts see Best Buy earning $0.25 a share during the fiscal first quarter ending in April, roughly a third of the $0.72 a share it posted a year earlier. Revenue is expected to decline by 8%. This certainly doesn't seem like a company on the upswing.

Bulls will point to positive comps during its most recent holiday quarter, but Best Buy had to sacrifice plenty to arrive at the meager 0.9% same-store-sales growth. Gross margins contracted slightly, and marketing costs spiked as promotional activity picked up to woo traffic.

5 Best Growth Stocks For 2014: Intuitive Surgical Inc.(ISRG)

Intuitive Surgical, Inc. designs, manufactures, and markets da Vinci surgical systems for various surgical procedures, including urologic, gynecologic, cardiothoracic, general, and head and neck surgeries. Its da Vinci surgical system consists of a surgeon?s console or consoles, a patient-side cart, a 3-D vision system, and proprietary ?wristed? instruments. The company?s da Vinci surgical system translates the surgeon?s natural hand movements on instrument controls at the console into corresponding micro-movements of instruments positioned inside the patient through small puncture incisions, or ports. It also manufactures a range of EndoWrist instruments, which incorporate wrist joints for natural dexterity for various surgical procedures. Its EndoWrist instruments consist of forceps, scissors, electrocautery, scalpels, and other surgical tools. In addition, it sells various vision and accessory products for use in conjunction with the da Vinci Surgical System as surgical procedures are performed. The company?s accessory products include sterile drapes used to ensure a sterile field during surgery; vision products, such as replacement 3-D stereo endoscopes, camera heads, light guides, and other items. It markets its products through sales representatives in the United States, and through sales representatives and distributors in international markets. The company was founded in 1995 and is headquartered in Sunnyvale, California.

Advisors' Opinion:

• [By Anders Bylund]

  Plenty of companies operate behind a business moat, which makes it hard for competitors to steal their thunder. Intuitive Surgical (NASDAQ: ISRG  ) made its moat a mile wide, filled it with boiling acid, and populated it with mutant alligators.

• [By Brian Stoffel]

  Intuitive Surgical (NASDAQ: ISRG  ) maker of the da Vinci Robotic Surgical System and market-leader in technology-assisted surgery, is slated to report earnings after the market closes Thursday. For investors who have suffered through a rough 2013 -- with shares trading down almost 20% since the beginning of the year -- here are three key areas to focus on when earnings are reported.

• [By Roberto Pedone]

   

  Intuitive Surgical (ISRG) designs, manufactures and markets da Vinci Surgical Systems, EndoWrist instruments and surgical accessories. This stock closed up 4.5% to $380.99 in Monday's trading session.

   

  Monday's Volume: 741,000
  
  Three-Month Average Volume: 658,592
  
  Volume % Change: 56%

   

  Shares of ISRG jumped sharply higher on Monday after William Blair said it's time to start accumulating shares of Intuitive Surgical after watching presentations on one of Intuitive's surgical system, da Vinci.

   

   

  From a technical perspective, ISRG ripped higher here right above some near-term support at $360 with above-average volume. This stock recently formed a double bottom chart pattern at $357.02 to $358.02. Following that bottom, shares of ISRG have started to rebound strongly and move within range of triggering a near-term breakout trade. That trade will hit if ISRG manages to take out Monday's high of $382.31 to more resistance at $401 with high volume.

   

  Traders should now look for long-biased trades in ISRG as long as it's trending above Monday's low of $362.29 and then once it sustains a move or close above those breakout levels with volume that hits near or above 658,592 shares. If that breakout hits soon, then ISRG will set up to re-fill some of its previous gap down zone from July that started near $430. An even bigger gap down zone sits right above $432.50, so keep that level in mind if ISRG clears it with volume soon.

   

• [By Dan Carroll]

  Shares of medical robotics maker Intuitive Surgical (NASDAQ: ISRG  ) are in free-fall today after yesterday's earnings, with the stock plummeting 4.7% after losing a bundle yesterday as well. Earnings aren't the disappointment, however: Intuitive destroyed analyst expectations and showed solid growth in both procedures and device sales. Investors haven't been so kind to the stock, however, and with shares of the company down almost 8% in the last five days alone, it's time to ask: Why is everyone selling this stock?

5 Best Growth Stocks For 2014: Nordstrom Inc.(JWN)

Nordstrom, Inc., a fashion specialty retailer, offers apparel, shoes, cosmetics, and accessories for women, men, and children in the United States. It offers a selection of brand name and private label merchandise. The company sells its products through various channels, including Nordstrom full-line stores, off-price Nordstrom Rack stores, Jeffrey? boutiques, treasure & bond, and Last Chance clearance stores; and its online store, nordstrom.com, as well as through catalog. Nordstrom also provides a private label card, two Nordstrom VISA credit cards, and a debit card for Nordstrom purchases. The company?s credit and debit cards feature a shopping-based loyalty program. As of September 30, 2011, it operated 222 stores, including 117 full-line stores, 101 Nordstrom Racks, 2 Jeffrey boutiques, 1 treasure & bond store, and 1 clearance store in 30 states. The company was founded in 1901 and is based in Seattle, Washington.

Advisors' Opinion:

• [By Marshall Hargrave]

  Worth noting is that the average remaining tenure for the Calvin Klein licenses is eight to nine years. Other tailwinds for GIII include:

  The team sports business is now a $100 million business and was nonexistent 5 years ago. Sales makeup is 50% sportswear and 50% coats. We see this business continuing to grow as the overall popularity of sports teams continues.Dresses from Eliza J continue to be a top seller at Nordstrom's (JWN) and other high-end retailers.Ivanka Trump showrooms will be opening in Q4. The line will be launching dresses, suit separates and swimwear.The biggest business for GIII remains outerwear and the company started shipping product at the end of Q2. GIII has approximately 30 licensed, owned and private label brands and a covers the entire spectrum of retailers from mass market to luxury.Vilebrequin was acquired in August of last year and the addition helped grow non-licensed revenues to $70 million in Q2 compared to $48 million last year without Vilebrequin. Vilebrequin sells swimwear, resort wear and related accessories through a network of company-owned and franchised shops. To grow Vilebrequin, the company will be adding footwear to its shops, in particular flip-flops in all of the stores by November. The company is planning to grow Vilebrequin's presence in the U.S. and has been adding buildouts in key department stores. Furthermore, Vilebrequin's e-commerce site should be live in the next 60 days.

  GIII's entry into the footwear market is well in line with its long-term plans to become a men's and women's head-to-toe apparel maker.

Hot Oil Stocks To Own Right Now: Eastern Insurance Holdings Inc.(EIHI)

Eastern Insurance Holdings, Inc., through its subsidiaries, provides workers compensation insurance and reinsurance products in the United States. The company?s Workers Compensation Insurance segment provides traditional workers compensation insurance coverage products, including guaranteed cost policies, policyholder dividend policies, retrospectively-rated policies, deductible policies, and alternative market products to employers. This segment distributes its workers? compensation products and services through its independent insurance agents primarily in Pennsylvania, Delaware, North Carolina, Maryland, Indiana, and Virginia. Its Segregated Portfolio Cell Reinsurance segment offers alternative market workers compensation solutions comprising program design, fronting, claims administration, risk management, segregated portfolio cell rental, asset management, and segregated portfolio management services to individual companies, groups, and associations. Eastern Insurance Holdings, Inc. is headquartered in Lancaster, Pennsylvania.

Advisors' Opinion:

• [By Lauren Pollock]

  ProAssurance Corp.(PRA) agreed to acquire Eastern Insurance Holdings Inc.(EIHI) for about $205 million, expanding the insurance company’s casualty insurance offerings. Eastern Insurance is a domestic casualty insurance group specializing in workers’ compensation products and services, among other things. ProAssurance plans to pay $24.50 in cash for each outstanding Eastern share, a 16% premium over Monday’s closing price.

5 Best Growth Stocks For 2014: TrueBlue Inc.(TBI)

TrueBlue, Inc. provides temporary blue-collar staffing services in the United States. It supplies on demand general labor to various industries under the Labor Ready brand; skilled labor to manufacturing and logistics industries under the Spartan Staffing brand; and trades people for commercial, industrial, and residential construction, and building and plant maintenance industries under the CLP Resources brand. The company also provides mechanics and technicians to the aviation maintenance, repair and overhaul, aerospace manufacturing, and assembly industries, as well as to other transportation industries under the Plane Techs brand; and temporary drivers to the transportation and distribution industries under the Centerline brand. It primarily serves small and medium-size businesses. The company was formerly known as Labor Ready, Inc. and changed its name to TrueBlue, Inc. in December 2007. TrueBlue, Inc. was founded in 1985 and is headquartered in Tacoma, Washington.

Advisors' Opinion:

• [By Travis Hoium]

  What: Shares of staffing agency TrueBlue (NYSE: TBI  ) jumped 10% today after the company reported earnings.

  So what: Revenue jumped 19%, to $422.3 million, and beat estimates of $420.2 million from Wall Street. Adjusted earnings per share were also up 19%, to $0.31, outpacing estimates by $0.05.�

• [By idahansen]

  The entire demand labor industry should do well as the US Department of Labor just reported that 169,000 more jobs were added to the American economy. The more work there is, the more demand there is for the services of staffing solutions firms such as Labor SMART, Paychex (NASDAQ: PAYX), TrueBlue (NYSE: TBI), and Robert Half International (NYSE: RHI).

• [By Jonathan Yates]

  When looking at small cap stocks, it is useful to compare the company with others that have expanded in both share price and size. For those considering investing in the $100 billion staffing industry, the growth of TrueBlue (NYSE: TBI) shows what could be the potential path for Labor SMART (OTCBB: LTNC), as both operate in the $29 billion demand labor sector. Other firms have done well in the staffing industry include Paychex (NASDAQ: PAYX) and ManPower Group (NYSE: MAN).

5 Best Growth Stocks For 2014: Sara Lee Corporation(SLE)

Sara Lee Corporation engages in the manufacture and marketing of a range of branded packaged meat, bakery, and beverage products worldwide. Its packaged meat products include hot dogs and corn dogs, breakfast sausages, sandwiches and bowls, smoked and dinner sausages, premium deli and luncheon meats, bacon, beef, turkey, and cooked ham. It also offers frozen baked products, which comprise frozen pies, cakes, cheesecakes, pastries, and other desserts. In addition, Sara Lee provides roast, ground, and liquid coffee; cappuccinos; lattes; and hot and iced teas, as well as refrigerated dough products. The company sells its products under Hillshire Farm, Ball Park, Jimmy Dean, Sara Lee, State Fair, Douwe Egberts, Senseo, Maison du Caf

Bitcoin: $500 to $900 and back ... in a day!

The price of the currency soared nearly from a little over $500 early Monday to an all-time high of $900.98. By Tuesday morning, it had plunged back down again to a level just above $500.

NEW YORK (CNNMoney) As investors, technophiles and lawmakers debate the legitimacy of Bitcoin, one thing's for sure: the fledgling digital currency is on the roller coaster ride of a lifetime.

Within a 28-hour period stretching from Monday morning to early Tuesday, the price of the currency soared nearly 70%, from a little over $500 to an all-time high of $900.98 .. before plunging back down again to a level just above $500. (Bitcoins trade 24/7 online.)

By midday Tuesday, Bitcoin was back above $700, a 50-fold increase since the beginning of the year, when a single Bitcoin was worth around $13.

The latest surge in Bitcoin has been fueled by investors, particularly those in China, betting on the future growth of the currency as a credible alternative.

Bitcoin was created anonymously in 2010 as an experimental form of money that exists only online. It is not managed by any central authority and is "mined" by solving complex math problems using powerful computers.

The algorithm behind the virtual currency caps the total number of Bitcoins at 21 million. Currently, there are almost 12 million Bitcoins in circulation, giving the currency a total market value of almost $8.5 billion.

Twins Tyler and Cameron Winklevoss, who have said they believe Bitcoin will be a better long-term bet than gold and have filed paperwork to create launch a Bitcoin exchanged traded fund, predicted that the Bitcoin market could be worth up to $400 billion.

  How I make money mining bitcoins

Though Bitcoin has been gaining traction among investors and even consumers, government officials worry about the lack of regulation for the digital currency, especially since it's been commonly used for anonymously buying drugs and other criminal activity.

The FBI recently shut down Silk Road, an online black market for illicit drugs that primarily used Bitcoin.

But an official from the Justice Department told lawmakers on the Senate Committee on Homeland Security and Government Affairs Monday that the DOJ still needs more help catching criminals who use digital and mostly untraceable currency.

The Senate Committee on Banking, Housing and Urban Affairs will hold a Bitcoin hearing later Tuesday.

The Government Shutdown Was Worse Than You Think

Financial ratings agency Standard & Poor's reported this week the 16-day U.S. government shutdown costs delivered a massive $24 billion hit to the U.S. economy.

Standard & Poor's said the shutdown equaled some $1.5 billion a day and "shaved at least 0.6% off annualized fourth quarter 2013 GDP growth." Moody's Analytics reported similar numbers, saying the shutdown cost $1.4375 billion per day, for a $23 billion wallop to U.S. gross domestic product.

"The bottom line is the government shutdown has hurt the U.S. economy," Standard & Poor's said in a statement. "In September, we expected 3% annualized growth in the fourth quarter because we thought politicians would have learned from 2011 and taken steps to avoid things like a government shutdown and the possibility of a sovereign default. Since our forecast didn't hold, we now have to lower our fourth-quarter growth estimate to closer to 2%."

How the Full Government Shutdown Cost Was Tabulated

The tab from the government shutdown includes lost wages, lost productivity, and the ripple effects that followed. Here's how the direct and indirect costs added up, according to a report released late last week from the Office of Management and Budget (OMB):

The shutdown cost national parks and museums $500 million in admission fees and concession stand sales. But the financial impact went much further. Some 700,00 people visit parks every day in a typical October, and communities surrounding the nation' s 401 national parks see about $76 million a day in total visitor spending that is lost during a government shutdown, according to the National Park Service. According to the U.S. Travel Association, $152 million per day, or $2.4 billion, in spending related to travel was forfeited over the 16-day shutdown. In Washington, D.C., alone, there was a 9% decrease in hotel occupancy during the first week of the October shutdown, according to the official tourism corporation of D.C, Destination D.C. Government permit offices across the country stopped collecting fees, government contractors stopped receiving checks, and critical research projects ceased. Several military contractors remain in limbo as uncertainty lingers about big projects. Most furloughed workers, in effect, got a paid vacation. Most received back pay for time lost during the standstill. In addition, many will likely pocket overtime pay as some agencies rush work that didn't get done over the two-week closure. Absent staff workers from the National Oceanic and Atmospheric Administration weren't on the job to issue permits to Alaskan king crab fisherman. The result was the short yet lucrative season (dubbed the Super Bowl of crab fishing) was delayed by four days. The delay cost fisherman thousands of dollars in lost revenue. Approximately 1,400 workplace safety inspections were suspended and won't be made up in full. The Grain Inspection, Packers and Stockyards Administration said "inability to investigate alleged violations could hamper corrective action in the long term and could have an immediate impact on members of the industry."

Overall, "The shutdown jeopardized both the income stability of Federal employees and their ability to focus on important agency missions that citizens rely upon each day," according to the OMB report. The deadlock "risks seriously damaging the ability to attract and retain the kind of driven, patriotic Americans to public service that our citizens deserve and that our system of self-government demands."

Government Shutdown a Hit to America's Reputation

But the full cost of the government shutdown was much greater. It caused irreparable damage at a number of government agencies and again called into question America's ability to control its finances.

Basically, the United States lost some of its swagger thanks to D.C. drama.

The government was closed because our country's leaders couldn't fulfill one of their most central responsibilities: enacting a budget.

Hot Growth Companies To Watch In Right Now

Washington lawmakers chose politics over people as they wrangled over a deal. And, the world took notice. China and Japan, the two biggest foreign creditors of the U.S., sternly warned Congress to get its fiscal house in order. (Just look at China's call for a "de-Americanized world"...)

In a move that signaled discontent with Washington's budget deal and ballooning balance sheet, China rating agency Dagong downgraded America's sovereign debt rating one notch to A minus.

"The fundamental situation that the debt growth rate significantly outpaces that of the fiscal income and gross domestic product remains unchanged," Dagong said on its website.

"For a long time the U.S. government maintained its solvency by repaying its old debts through raising new debts, which constantly aggravated the vulnerabilities of the federal government's solvency. Hence, the government is still approaching the verge of default crisis, a situation that cannot be substantially alleviated in the foreseeable future," Dagong continued.

The hastily agreed upon deal only funds the government through Jan. 15, and lifted the debt ceiling only through Feb. 7.

After that, Congress and the president will be back trying to negotiate a compromise. We all know how well that goes. Another stalemate would likely put a significant dent in business, consumer, and global confidence.

"If people are afraid that the government policy brinkmanship will resurface again, and with the risk of another shutdown or worse, they'll remain afraid to open up their checkbooks," Standard & Poor's said in a statement. "That points to another Humbug holiday season."

And a rough start to 2014...

Did you know the government shutdown forced President Obama to cancel his trip to a key meeting with the Association of Southeast Asian Nations leaders? This missed appearance was crucial because it created an "open season" for China's leaders at the summit... and that couldn't come at a worse time for the world...here's why.

Related Articles:

FOX Business News:
Did the Government Shutdown Hurt Job, Economic Growth? The Washington Post:
How Much Did the Shutdown Cost the Economy? CNN Money:
Tallying the Costs of the Government Shutdown

Rise of the Stock Market Machines: Human Intervention Impossible

By Hal M. Bundrick

NEW YORK (MainStreet) -- It's an invisible stock market lorded over by a new machine ecology executing trades at a speed undetectable by human beings. Researchers say this subsecond market activity shows "an intriguing correlation with the onset of the system-wide financial collapse in 2008" and generates a hidden universe of competitive machines so advanced "humans lose the ability to intervene in real time."

And this nano-market mastered by aggressive, high frequency trading bots crashed over 18,000 times from 2006 to 2011.

Led by Neil Johnson, a University of Miami physics professor, a group of researchers analyzed millisecond-scale stock market data from Nanex and identified large numbers of subsecond "ultrafast extreme events" (UEEs).
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"Our findings are consistent with an emerging ecology of competitive machines featuring 'crowds' of predatory algorithms, and highlight the need for a new scientific theory of subsecond financial phenomena," the study says. Johnson and his fellow researchers say there is a billion-dollar "technological arms race" underway to reduce communication and computational operating times down to several orders of magnitude below human response times -- toward the physical limits of the speed of light. "For example, a new dedicated transatlantic cable is being built just to shave five milliseconds off transatlantic communication times between U.S. and U.K. traders, while a new purpose-built chip iX-eCute is being launched which prepares trades in 740 nanoseconds," the report states. "In stark contrast, for many areas of human activity, the quickest that someone can notice potential danger and physically react, is approximately one second. Even a chess grandmaster requires approximately 650 ms just to realize that she is in trouble (i.e. her king is in checkmate)."
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The team uncovered an explosion of UEEs beginning in 2006, just after new legislation came into force that made high frequency trading more attractive. "We find 18,520 crashes and spikes with durations less than 1500 ms in our dataset," the researchers say. These flash trades adjust back to the prevailing market price within milliseconds. Science officer Spock would certainly say that this was all quite "fascinating," but would quite likely add, "A difference that makes no difference is no difference."

Top 5 Energy Stocks To Invest In Right Now

Indeed. If these hyper trades revert to the mean at a speed imperceptible by humans, what's the problem?
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"As long as you have the normal combination of prey and predators, everything is in balance, but if you introduce predators that are too fast, they create extreme events," Johnson says. "What we see with the new ultrafast computer algorithms is predatory trading. In this case, the predator acts before the prey even knows it's there."

The invisible bot mobs could be responsible for increased market volatility and systemic failures like the recent "flash freeze" that shut down the Nasdaq.

"Our findings show that, in this new world of ultrafast robot algorithms, the behavior of the market undergoes a fundamental and abrupt transition to another world where conventional market theories no longer apply," Johnson says. --Written by Hal M. Bundrick for MainStreet

American International Group Inc (AIG): Current Weakness Offers A Buying Opportunity

Shares of American International Group, Inc. (NYSE: AIG) were down more than 6 percent after CEO Bob Benmosche's "goals" versus "guidance" commentary that was a retraction on the company's plan to achieve a 10 percent plus return on equity (ROE) by 2015.

Benmosche stressed that the goals set in the 2011 re-IPO process--the centerpiece being a 10 percent plus ROE in 2015--were very much aspirational in nature, noting that the company still aspires to achieve them.

Management is unsure whether AIG can reach its aspirational goals by 2015, suggesting these goals may take longer to reach. Goals with time distant deadlines begin to look more like guidance as the deadline approaches, and AIG does not intend to give guidance to the investment community.

[Related -American International Group Inc (AIG): Buy This 'Hated' Company While It's Still An Incredible Bargain]

The knee-jerk reaction of investors is that AIG management is now concerned about its ability to meet its goals in a timely manner, and so they are retracting these goals. That's probably the worst-case interpretation of Benmosche's comments, and that is precisely the correct way investors ought to interpret them.

However, the question is whether this is actually problematic?

Investors should note that precise guidance is tough for an insurance company, which deals with events such as natural disasters. Insurance is not a business that operates under strict degrees of accuracy.

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Consensus 2015 EPS forecasts suggest a 2015 ROE range of 7-9 percent without a single analyst believing AIG is capable of achieving a 10%+ ROE in 2015.

" Essentially, AIG management is coming around to a view that investors have already widely shared. Our view has been and continues to be that AIG does not need to achieve a 10% ROE to be an attractive investment. We have and continue to forecast an 8% as attractive enough to buy the stock today," Deutsch! e Bank analyst Joshua Shanker said in a client note.

If AIG management has merely scaled back its guidance to a consensus view, there is some mystery as to why the stock is down over four days of trading. The market at times is subject to irrational dislocations.

It may be the case that there were some investors whose blue sky 2015 scenario has been reined in. However, for most investors, not much has changed.

The company proposed (and perhaps retracted) a lofty and likely unachievable goal of a 10 percent plus ROE in 2015. This involves execution, cost-cutting, capital management and high interest yields.

On the other hand, the company may be able to execute on some of these plans and achieve a stable 8 percent plus ROE instead. If the company is able to show quarterly consistency, implementation of a nominal dividend and deployment of cash into interest bearing investments, the stock can appreciate.

"We believe AIG shareholders will enjoy healthy double-digit appreciation in the stock with a mere 8% ROE in two years," Shanker added.

As the company monetizes assets for the purpose of share repurchase, the book value per share growth can be accelerated. There is additional upside associated with improved operations at its United Guaranty subsidiary, actualization of deferred tax assets and gains in its diminished derivatives portfolio.

In addition, under the leadership of Benmosche, the company has improved the results of all of its key segments. It has lowered its financing costs and spent heavily on infrastructure, which should help underwriting margins going forward.

AIG offers continued earnings growth, with EPS expected to increase at an average rate of 11.33 percent over the next five years. In comparison, the industry and sector growth rates are estimated at 11.09 percent and 10.54 percent, respectively. The S&P 500 is expected to grow 9.78 percent for the same period.

Further, AIG generates excess liquidity that should continue enhance it! s ability! to buyback shares at a discount to tangible book value, likely reducing downside.

Shares of AIG trade 11 times its 2014 consensus earnings estimate, and traded between $30.64 and $53.33 during the past 52-weeks.

As such, investors should take the current weakness in AIG shares as a buying opportunity, as AIG at $47 to $48 represents likely the best risk/reward opportunity.

13 Things You Shouldn't Buy on Black Friday

Bloomberg via Getty Images With all the 2013 Black Friday ad leaks and sneak peeks we've unearthed in the past few weeks, this season's shopping extravaganza is looking ripe with deals and discounts for all. But even though many product categories will see new all-time low prices, not everything is at its lowest price on Black Friday. In fact, there are 13 items you definitely shouldn't buy on November 29. This baker's dozen of goods -- including toys and brand-name TVs as well as international airfare and digital cameras -- will mostly see better discounts in December and the new year. While we advise against purchasing the following products around Black Friday, keep in mind that nothing is written in stone, and we may still see some stellar deals within these categories; however, it's more likely that we'll encounter so-so offers, so it's best to temper your expectations.

Best Small Cap Stocks To Buy Right Now

Small cap medical device or biotech related stocks Therapeutic Solutions International Inc (OTCMKTS: TSOI), diaDexus, Inc (OTCMKTS: DDXS) and Spherix Inc (NASDAQ: SPEX) have been getting some attention lately in various investment newsletters with the good news being that it appears none are the subject of paid promotions from stock promoters. So why are these three stocks all of a sudden getting some attention and what else do you need to know about them before you make a short or a long term bet on one? Here is a closer look at the whole picture and what you might be missing:

Therapeutic Solutions International Inc (OTCMKTS: TSOI)Has Little News and Its Financials Aren�� Exciting

Small cap Therapeutic Solutions International is a global manufacturer of the chairside anterior midpoint stop appliance (AMPSA) devices marketed internationally under the trade names Migran-X庐 and AMPSA CS庐, which have helped countless patients prevent debilitating migraine and tension headache pain, bruxism, clenching, grinding, and TMJ disorders. On Friday, Therapeutic Solutions International sank 14.3% to $0.006 for a market cap of $536,798 after suddenly shooting higher on Thursday plus TSOI is down 87.5% over the past year and down 97.1% over the past five years according to Google Finance.

Best Small Cap Stocks To Buy Right Now: bebe stores inc.(BEBE)

bebe stores, inc. engages in the design, development, and production of women?s apparel and accessories. Its products include a range of separates, tops, dresses, active wear, and accessories in career, evening, casual, and active lifestyle categories. The company markets its products under the bebe, BEBE SPORT, bbsp, and 2b bebe brand names targeting 21 to 34-year-old woman. As of July 2, 2011, it operated 252 retail stores, and an online store at bebe.com in the United States, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Japan, and Canada, as well as 60 international licensee operated stores in south east Asia, the United Arab Emirates, Israel, Russia, Mexico, and Turkey. The company was founded in 1976 and is headquartered in Brisbane, California.

Advisors' Opinion:

• [By Rich Duprey]

  Women's fashion leader bebe (NASDAQ: BEBE  ) has a new face on its board of directors. The specialty retailer announced Monday it has named Narry Singh to join the board, noting his contributions in the world of digital entertainment.

• [By Rich Smith]

  This series, brought to you by Yahoo! Finance, looks at which upgrades and downgrades make sense and which ones investors should act on. Today, our headlines include upgrades for both industrialist Aixtron (NASDAQ: AIXG  ) and fashionista bebe stores (NASDAQ: BEBE  ) . But the news isn't all good, so let's start off with a few words on...

• [By Ben Levisohn]

  Bebe Stores (BEBE) reported a loss of 14 cents a share, more than the 13 cent loss forecast by analysts, and said it would experience a loss in the low- to mid-teens during the current quarter.

Best Small Cap Stocks To Buy Right Now: ATA Inc.(ATAI)

ATA Inc., through its subsidiaries, provides computer-based testing services in the People?s Republic of China. It offers services for the creation and delivery of computer-based tests utilizing its test delivery platform, proprietary testing technologies, and testing services; and provides logistical support services relating to test administration. The company?s computer-based testing services are used for professional licensure and certification tests in various industries, including information technology (IT) services, banking, securities, teaching, and insurance. Its e-testing platform integrates various aspects of the test delivery process for computer-based tests ranging from test form compilation to test scoring, and results analysis. ATA also provides career-oriented educational services, such as single course programs, degree major course programs, and pre-occupational training programs focusing on preparing students to pass IT and other vocational certification tests; test preparation and training programs and services to test candidates preparing to take professional certification tests in securities, futures, banking, insurance and teaching industries; online test preparation and training platform for the securities and banking industries; and test preparation software for the teaching industry. In addition, the company offers HR select employee assessment solution, an online system that utilizes its proprietary software and an inventory of test titles to help employers improve the efficiency and accuracy of their employee recruitment process. As of March 31, 2010, it had contractual relationships with 1,988 ATA authorized test centers. The company serves Chinese governmental agencies, professional associations, IT vendors, and Chinese educational institutions, as well as individual test preparation services. ATA Inc. was founded in 1999 and is based in Beijing, the People?s Republic of China.

Top Tech Stocks To Invest In 2014: China Metro-Rural Holdings Limited(CNR)

China Metro-Rural Holdings Limited, through its subsidiaries, primarily engages in the development and operation of agricultural logistics and trade centers in northeast China. It also involves in purchasing, processing, assembling, merchandising, and distributing pearls and jewelry products. The company markets its pearls and jewelry products to wholesale distributors and mass merchandisers in Europe, the United States, Hong Kong, and other parts of Asia. In addition, it develops, sells, and leases residential and commercial properties in Hong Kong and the People?s Republic of China. The company is based in Tsimshatsui, Hong Kong.

Advisors' Opinion:

• [By Katie Brennan]

  Canadian National Railway Co. (CNR) added 0.9 percent to C$104.93 and Canadian Pacific Railway Ltd. rose 1.7 percent to C$131.73.

  Niko Resources surged 3.4 percent to $8.64 after the company entered an agreement for a $60 million loan that will be funded by a group of institutional investors. Net proceeds from the loan will be used to fund working capital requirements.

Best Small Cap Stocks To Buy Right Now: OmniVision Technologies Inc.(OVTI)

OmniVision Technologies, Inc. designs, develops, and markets semiconductor image-sensor devices. The company offers CameraChip image sensors, which are single-chip solutions that integrate various functions, such as image capture, image processing, color processing, signal conversion, and output of a processed image or video stream for use in various consumer and commercial mass-market applications; and CameraCube imaging devices that are image sensors with integrated wafer-level optics. It also provides companion chips used to connect its image sensors to various interfaces, including the universal serial bus and other industry standard interfaces; and companion digital signal processors that perform compression in standardized still photo and digital video formats. In addition, the company designs and develops software drivers for Linux, Mac OS, and Microsoft Windows, as well as for embedded operating systems, such as Blackberry OS, Palm OS, Symbian, Windows CE, Windows Embedded, and Windows Mobile. Its products are used in mobile phones, notebooks, Webcams, digital still and video cameras, commercial and security and surveillance, and automotive and medical applications, as well as in entertainment devices. The company sells its products directly to original equipment manufacturers and value added resellers, as well as indirectly through distributors worldwide. OmniVision Technologies, Inc. was founded in 1995 and is based in Santa Clara, California.

Advisors' Opinion:

• [By Evan Niu, CFA]

  STMicroelectronics (NYSE: STM  ) and OmniVision (NASDAQ: OVTI  ) are the two camera suppliers, and HTC is reportedly no longer considered a "tier one" manufacturer so it doesn't get priority any more. That implies that one of these image sensor specialists was giving HTC the cold shoulder in favor of bigger names.

• [By Dan Caplinger]

  But if you expand your view of the market, you'll find plenty of big movers and more interesting goings-on. OmniVision Technologies (NASDAQ: OVTI  ) is the big winner this afternoon, soaring more than 19% in the wake of last night's positive earnings report. OmniVision said its cost-reduction strategy had started to bear fruit, revealing a combination of favorable results for its most recent quarter and expectation-beating guidance for the current quarter. In the long run, OmniVision has to demonstrate its ability to keep its image-sensor chips in the most popular smartphones, tablets, and other mobile devices. So far, though, investors are content with the growth they've seen.

• [By Brian Pacampara]

  What: Shares of image sensor specialist OmniVision Technologies (NASDAQ: OVTI  ) spiked 19% today after its quarterly results and outlook topped Wall Street expectations.

• [By Rick Munarriz]

  Briefly in the news
  And now let's take a quick look at some of the other stories that shaped our week.

  OmniVision (NASDAQ: OVTI  ) investors are seeing the big picture. Shares of the image sensor maker moved higher after posting better-than-expected quarterly results. Revenue soared 54%, and OmniVision's profit of $0.31 a share blew away the $0.21 analysts were targeting. Nokia (NYSE: NOK  ) is no longer the leading smartphone seller in Finland. Tech tracker IDC reports that Samsung outsold Nokia in its home country this past quarter. So much for the hometown hero. Vringo (NASDAQ: VRNG  ) got another tech giant to pay up, but it won't be much. The company announced a patent-infringement settlement with Mr. Softy in which Vringo will receive $1 million and enter into a licensing deal with the world's largest software company.

Best Small Cap Stocks To Buy Right Now: Sky-mobi Limited(MOBI)

Sky-mobi Limited engages in the operation of a mobile application store in the People?s Republic of China. It works with handset companies to pre-install its Maopao mobile application store on handsets and with content developers to provide users with applications and content titles. The users of its Maopao store could browse, download, and purchase a range of applications and content, such as single-player games, mobile music, and books. The company?s Maopao store enables mobile applications and content to be downloaded and run on various mobile handsets with hardware and operating system configurations. It also operates a mobile social network community, the Maopao Community, where it offers localized mobile social games, as well as applications and content with social network functions to its registered members. The company owns proprietary mobile application technology in the cloud computing, the MRP format, and SDK development environment. As of March 31, 2011, it had entered into cooperation agreements with approximately 523 handset companies to pre-install Maopao. The company was formerly known as Profit Star Limited and changed its name to Sky-Mobi Limited in October 2010. Sky-mobi Limited was incorporated in 2007 and is headquartered in Hangzhou, China.

Advisors' Opinion:

• [By Roberto Pedone]

  Another stock that's starting to move within range of triggering a big breakout trade is Sky-mobi (MOBI), which, through its subsidiaries, engages in the operation of a mobile application platform embedded on mobile phones to provide mobile application store and services in the People�s Republic of China. This stock has been red hot so far in 2013, with shares up a whopping 88%.

  If you look at the chart for Sky-mobi, you'll notice that this stock recently formed a triple bottom chart pattern at $3.31, $3.28 and $3.40 a share. That bottoming pattern occurred over the last two months. Shares of MOBI have now started to uptrend and flirt with its 50-day moving average of $3.76 a share. That move is quickly pushing MOBI within range of triggering a big breakout trade.

  Traders should now look for long-biased trades in MOBI if it manages to break out above some near-term overhead resistance levels at $3.71 to $3.83 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 145,934 shares. If that breakout triggers soon, then MOBI will set up to re-test or possibly take out its 52-week high at $4.96 a share. Any high-volume move above that level will then give MOBI a chance to tag its next major overhead resistance levels at $5.55 to $6.13 a share.

  Traders can look to buy MOBI off any weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at $3.40 to $3.28 a share. One can also buy MOBI off strength once it takes out that breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Best Small Cap Stocks To Buy Right Now: Texas Instruments Incorporated(TXN)

Texas Instruments Incorporated engages in the design and sale of semiconductors to electronics designers and manufacturers worldwide. The company?s Analog segment offers high-performance analog products comprising standard analog semiconductors, such as amplifiers, data converters, and interface semiconductors; high-volume analog and logic products; and power management semiconductors and line-powered systems. Its Embedded Processing segment includes DSPs that perform mathematical computations to process and enhance digital data; and microcontrollers, which are designed to control a set of specific tasks for electronic equipment. The company?s Wireless segment designs, manufactures, and sells application processors and connectivity products. Its Other segment offers smaller semiconductor products, which include DLP products that are primarily used in projectors to create high-definition images; and application-specific integrated circuits. This segment also provides handhe ld graphing and scientific calculators, as well as licenses technologies to other electronic companies. The company serves the communications, computing, industrial, consumer electronics, automotive, and education sectors. Texas Instruments Incorporated sells its products through a direct sales force, distributors, and third-party sales representatives. It has collaboration agreements with PLX Technology Inc.; Neonode, Inc.; and Ubiquisys Ltd. The company was founded in 1938 and is headquartered in Dallas, Texas.

Advisors' Opinion:

• [By Tim Beyers]

  But investing is also a game best played in context. How does Intel stock compare to peers Advanced Micro Devices (NYSE: AMD  ) and Texas Instruments (NASDAQ: TXN  ) ? Here's what the numbers say: